Document:

<PAGE>

                                                                EXHIBIT 10(g)(g)

                           ASSET PURCHASE AGREEMENT

     This ASSET PURCHASE AGREEMENT (this "Agreement"), dated as of May 15, 2000,
is made by and between Merkafon International, Ltd., a Texas limited partnership
("Buyer"), AWWC Texas I, LP, a Delaware limited partnership ("Seller"), and
Access Worldwide Communications, Inc., a Delaware corporation ("Access
Worldwide").

     WHEREAS, Access Worldwide directly or indirectly owns 100% of the equity
interests in Seller; and

     WHEREAS, Seller desires to sell to Buyer, and Buyer desires to purchase
from Seller, upon the terms and subject to the conditions herein set forth, all
of the assets owned, leased or used by Seller for use in or otherwise related to
its provision of inbound and outbound telemarketing services from, and other
call center operations conducted at, 6500 International Parkway, Suite 1500,
Plano, Texas  75093 (the "Call Center");

     NOW, THEREFORE, in consideration of the premises and the mutual covenants
and agreements herein contained, and intending to be legally bound hereby, Buyer
and Seller hereby agree as follows:

                                   ARTICLE I

                           TERMS OF THE TRANSACTION

          1.1  Assets to be Transferred.  At the Closing (defined below), and
               ------------------------
on the terms and subject to the conditions set forth in this Agreement, Seller
and Access Worldwide agree to sell, assign, transfer, deliver, and convey
(collectively, "transfer"), or cause to be transferred, to Buyer, and Buyer
agrees to purchase, all the following assets and properties (the "Assets"),
which constitute, among other things, all of the tangible assets and properties
that are owned, leased or used by Seller in the Call Center:

          (a)  Equipment and Machinery.  All vehicles, equipment, machinery,
               -----------------------
     materials, furniture, fixtures, spare parts, supplies, and other tangible
     personal property described on Schedule 1.1(a);
                                    ---------------

          (b)  Computers.  All of the computer equipment and hardware, including
               ---------
     without limitation all central processing units, terminals, disk drives,
     tape drives, electronic memory units, printers, keyboards, screens,
     peripherals (and other input/output devices), modems and other
     communication controllers, and any and all parts and appurtenances thereto,
     described on Schedule 1.1 (b).
                  ----------------

          (c)  Permits.  All right, title, and interest of Seller in, to, and
               -------
     under all Permits described on Schedule 1.1(c), as such Permits can be
                                    ---------------
     lawfully conveyed;

                                       1
<PAGE>

          (d) Contracts and Agreements.  All right, title, and interest of
              ------------------------
     Seller  and Access Worldwide in, to, and under the contracts (with
     customers, suppliers, lessors of personal property, or otherwise), which
     are described on Schedule 1.1(d), and all rights (including rights of
                      ---------------
     refund and offset), privileges, deposits, claims, causes of action, and
     options in favor of Seller and Access Worldwide, relating or pertaining to
     such contracts and agreements;

          (e) Intellectual Property.  All patents, trademarks, service marks,
              ---------------------
     trade names, service names, brand names, copyrights, trade secrets, know-
     how, proprietary processes and materials, inventions, computer software
     (including documentation and object and source codes), and similar rights
     described on Schedule 1.1(e), and all registrations, applications,
                  ---------------
     licenses, claims, causes of action, and rights with respect to any of the
     foregoing, and all rights to recover for infringement thereof (the
     "Intellectual Property");

          (f) Warranty Claims.  All rights, claims, and causes of action of
              ---------------
     Seller under or pursuant to all warranties, representations,
     indemnifications, hold harmless provisions, and guarantees made by
     suppliers, licensors, manufacturers, contractors, and others (including
     Seller's predecessors in title to the Assets) in respect of the Assets;

          (g) Prepaid Expenses.  All right, title, and interest of Seller in and
              ----------------
     to all prepaid rentals and other prepaid expenses arising from payments
     made by Seller in the ordinary course of the operation of the Call Center
     prior to the close of business on the Closing Date for goods or services
     where such goods or services have not been received by Seller by the close
     of business on the Closing Date, as same are listed on Schedule 1.1(g)
                                                            ---------------

          (h) Customer and Supplier Data.  All customer lists and customer data,
              --------------------------
     vendor lists and vendor data, supplier lists and supplier data, relating,
     respectively, to the Seller's customers, vendors, and suppliers.

          (i) Books and Records.  All books, records, papers, and instruments of
              -----------------
     Seller of whatever nature and wherever located that relate to the Assets or
     the operation of the Call Center, including without limitation all
     financial and accounting records and all books and records relating to the
     purchase of materials, supplies, and services, the sale of products, and
     dealings with customers (including all customer lists), vendors, and
     suppliers, and including computerized books and records and other
     computerized storage media and the software used in connection therewith,
     provided that Seller shall retain title to, and only be required to deliver
     copies of, minute books and other corporate documents and tax returns and
     other accounting and financial records.

All the assets and properties described in this Section 1.1 and to be
transferred to Buyer pursuant to this Agreement are collectively referred to
herein as the "Assets."

     1.2  Excluded Assets.  Other than the Assets, Seller is not conveying any
          ---------------
assets or properties to Buyer.  The assets not being sold include but are not
limited to those listed on Schedule 1.2.
                           ------------

                                       2
<PAGE>

     1.3  Purchase Price; Payment Terms.  The total purchase price to be paid
          -----------------------------
by Buyer, in addition to the assumption by Buyer of the Assumed Liabilities
(defined below), in consideration of the transfer to Buyer of the Assets and the
execution of the License Agreement described in Section 8.7(l) is Five Million
Dollars ($5,000,000) (the "Purchase Price").  At the Closing, Buyer shall pay
Four Million Seven Hundred Fifty Thousand Dollars ($4,750,000) of the Purchase
Price to Seller via wired funds.  Seller agrees that for a period of three
months following the Closing Date, and for as long thereafter as any
indemnification claim asserted by Buyer under this Agreement is pending (but
only up to the amount of such claim), the remaining Two Hundred Fifty Thousand
Dollars ($250,000) of the Purchase Price (the "Holdback") shall be deposited in
an escrow account pursuant to Section 1.4 below.

     1.4  Escrow of Funds.  In order to secure the indemnity obligations of
          ---------------
Seller under Article XI, Seller shall, at the Closing, cause to be deposited
with Bank of America as escrow agent the amount of $250,000 under an escrow
agreement (the "Escrow Agreement") in form and substance mutually satisfactory
to the parties which shall provide that such funds shall be held in escrow for
three months following the Closing in accordance with the following terms and
conditions:

          (a)  The escrow deposit, together with all income therefrom ("escrow
     funds"), shall be held by the escrow agent in a separate interest-bearing
     account and disbursed only in accordance with the provisions of the Escrow
     Agreement.

          (b)  All escrow funds for which claims have been made by Buyer during
     the three-month period following the Closing for matters for which Buyer is
     entitled to be indemnified under Article XI shall be paid to Buyer, unless
     Seller objects to the claim within five (5) days after notice to Seller.

          (c)  If a claim is objected to, the dispute shall be resolved by
     Seller and Buyer or by arbitration or other mutually satisfactory means
     within sixty (60) days after the claim is made.  Upon resolution, escrow
     funds, if any, due Buyer shall be disbursed to Buyer.

          (d)  Such provisions as are required by the escrow agent for its
     protection shall be included.  The escrow agent's fees for service as
     escrow agent shall be shared equally by the parties (but not paid out of
     escrow funds).

          (e)  All escrow funds remaining in escrow for which no claim has been
     made during the three-month period following the Closing Date and remaining
     after all claims so made have been resolved shall be disbursed to Seller.

          (f)  The Escrow Agreement shall specify the types of investments the
     escrow agent may make with the escrow funds, which investments generally
     shall be certificates of deposit and short-term government securities and
     other similar interest-bearing investments.

     1.5  Liabilities Assumed by Buyer.  As partial consideration for the
          ----------------------------
transfer of the Assets to Buyer, Buyer agrees, upon the terms and subject to the
conditions set forth herein, to assume, as

                                       3
<PAGE>

of the Closing, and thereafter to pay, perform, and discharge only those
obligations of Seller specifically set forth on Schedule 1.5 hereof
                                                ------------
(collectively, the "Assumed Liabilities"), which schedule shall include,
regarding each such liability, a detailed list of all creditors and counter-
parties, aggregate amount outstanding, payment terms (including amounts and
frequency) and any contingent liabilities associated therewith.

     1.6  Certain Adjustment.  The Purchase Price shall be adjusted as
          ------------------
necessary to reflect the proration of ad valorem taxes provided for in Section
6.4.

     1.7  Allocation of Purchase Price.  As soon as practicable following
          ----------------------------
Closing, Buyer will determine the appropriate allocation of the Purchase Price
among the Assets pursuant to Section 1060 of the Code, and will notify Seller of
such determination prior to the due date (including extensions) for filing
Seller's federal income Tax Returns for its taxable year that includes the
Closing Date.  Seller and Buyer shall report the transactions contemplated
hereby on all Tax Returns (including information returns and supplements thereto
required to be filed by the parties under Section 1060 of the Code) in a manner
consistent with such allocation.

     1.8  Liabilities Not Assumed by Buyer.  Buyer shall not assume or take
          --------------------------------
title to the Assets subject to, or in any way be liable or responsible for, any
liabilities or obligations of Seller or any affiliate of Seller (whether or not
referred to in any Schedule or Exhibit hereto), except as specifically provided
in Section 1.5, it being expressly acknowledged that it is the intention of the
parties hereto that all liabilities and obligations that Seller has or may have
in the future (whether accrued, absolute, contingent, unliquidated, or
otherwise, whether or not known to Seller, and whether due or to become due),
other than the Assumed Liabilities, shall be and remain the liabilities and
obligations of Seller.  Without limiting the generality of the foregoing, except
as specifically provided in Section 1.5 or elsewhere within this Agreement,
Buyer shall not assume or take title to the Assets subject to, or in any way be
liable or responsible for:

          (a) any liabilities or obligations of Seller or Access Worldwide
     whether or not relating to the Assets, and whether or not arising or
     asserted prior to the Closing;

          (b) any liability or obligation of Seller under any mortgage, deed of
     trust, security agreement, or financing statement, or any note, bond, or
     other instrument or obligation secured thereby;

          (c) any liability or obligation of Seller in respect of any express or
     implied representation, warranty, agreement, or guaranty made (or claimed
     to have been made) by Seller, or imposed (or asserted to be imposed) by
     operation of law, in respect of any products produced, distributed, or sold
     by Seller, or any services performed by Seller, on or prior to the Closing
     Date;

          (d) any liability or obligation of Seller to repair or replace any
     products produced, distributed, or sold by Seller on or prior to the
     Closing Date;

                                       4
<PAGE>

          (e) any liability or obligation of Seller under any recalls after the
     Closing Date mandated by any Governmental Entity of any products produced,
     distributed, or sold by Seller on or prior to the Closing Date;

          (f) any liability or obligation of Seller arising from or in
     connection with product liability claims relating to products produced,
     distributed, or sold by Seller in connection with its business on or prior
     to the Closing Date;

          (g) any liability or obligation of Seller existing at or arising after
     the Closing Date under any leases, contracts, agreements, or Permits
     included in the Assets that results from the breach, default, or wrongful
     action or inaction of Seller prior to the close of business on the Closing
     Date;

          (h) any liability or obligation of Seller resulting from or relating
     to the employment relationship between Seller and its present or former
     employees or independent contractors, or the termination of any such
     employment or other relationship, including without limitation severance
     pay and other similar benefits, if any, and any claims filed on or prior to
     the Closing Date or that may thereafter be filed by or on behalf of any
     such present or former employee or independent contractor relating to the
     employment or termination of employment or services of any such person by
     Seller, including without limitation any claim for wrongful discharge,
     breach of contract, unfair labor practice, employment discrimination,
     unemployment compensation, or workers' compensation;

          (i) any liability or obligation of Seller in respect of any agreement,
     trust, plan, fund, or other arrangement under which benefits or employment
     is provided for Seller's present or former employees or independent
     contractors;

          (j) any liabilities or deficiencies for any Taxes, to the extent
     applicable to periods (or portions thereof) ending on or prior to the
     Closing Date; and

          (k) any liability for the cost of removal of underground storage
     tanks, testing and remediation, and other related costs, and any liability,
     including fines, for the violation of, or arising under, any Applicable
     Environmental Law.

     1.9  Definitions. All capitalized terms used in this Agreement and not
          -----------
otherwise defined are defined in Article XIII of this Agreement.

                                  ARTICLE II

                   REPRESENTATIONS AND WARRANTIES OF SELLER

     Seller  and Access Worldwide jointly and severally  represent and warrant
to Buyer that:

                                       5
<PAGE>

     2.1  Corporate Organization and Qualification.  Seller is a limited
          ----------------------------------------
partnership duly organized, validly existing, and in good standing under the
laws of Delaware and Seller and has all requisite partnership power and
authority to own, lease, and operate its properties and to carry on its business
as now being conducted.  No actions or proceedings to dissolve Seller are
pending or threatened.  Seller is duly qualified or licensed to do business as a
foreign partnership in all jurisdictions where required.

     2.2  Authority Relative to This Agreement.  Seller has full partnership
          ------------------------------------
power and authority to execute, deliver, and perform this Agreement and the
Ancillary Documents to which it is a party and to consummate the transactions
contemplated hereby and thereby.  The execution, delivery, and performance by
Seller of this Agreement and the Ancillary Documents to which it is a party, and
the consummation by it of the transactions contemplated hereby and thereby, have
been duly authorized by all necessary partnership and corporate action of Seller
and its partners.  This Agreement has been duly executed and delivered by Seller
and constitutes, and each Ancillary Document executed or to be executed by
Seller has been, or when executed will be, duly executed and delivered by Seller
and constitutes, or when executed and delivered will constitute, a valid and
legally binding obligation of Seller, enforceable against Seller in accordance
with its terms, except that such enforceability may be limited by (i) applicable
bankruptcy, insolvency, reorganization, moratorium, and similar laws affecting
creditors' rights generally, (ii) equitable principles that may limit the
availability of certain equitable remedies (such as specific performance) in
certain instances, and (iii) public policy considerations with respect to the
enforceability of rights of indemnification.

     2.3  Noncontravention.  The execution, delivery, and performance by Seller
          ----------------
of this Agreement and the Ancillary Documents to which it is party and the
consummation by it of the transactions contemplated hereby and thereby do not
and will not (i) conflict with or result in a violation of any provision of the
limited partnership agreement or other governing instruments of Seller, (ii)
conflict with or result in a violation of any provision of, or constitute (with
or without the giving of notice or the passage of time or both) a default under,
or give rise (with or without the giving of notice or the passage of time or
both) to any right of termination, cancellation, or acceleration under, or
require any consent, approval, authorization, or waiver of, or notice to, any
party to, any bond, debenture, note, mortgage, indenture, lease, contract,
agreement, or other instrument or obligation to which Seller is a party or by
which Seller, or any of its properties, may be bound or any Permit held by
Seller, (iii) result in the creation or imposition of any Encumbrance upon the
Assets, (iv) result in the loss of any benefit to, or privilege or right of, the
business attributable to any of the Assets, or (v) violate any Applicable Law
binding upon Seller, its business or any of the Assets except, in the case of
clause (ii) above, for (A) such consents, approvals, authorizations, and waivers
that have been obtained and are unconditional and in full force and effect and
such notices that have been duly given, and (B) such consents, approvals,
authorizations, waivers, and notices disclosed on Schedule 2.3.
                                                  ------------

     2.4  Governmental Approvals. Except as disclosed on Schedule 2.4, no
          ----------------------                         ------------
consent, approval, order, or authorization of, or declaration, filing, or
registration with, any Governmental Entity is required to be obtained or made by
Seller or Access Worldwide in connection with the execution, delivery, or
performance by Seller or Access Worldwide of this Agreement and the Ancillary
Documents to which it is a party or the consummation by it of the transactions
contemplated hereby or thereby, other than (i) filings with Governmental
Entities to occur in the ordinary course following

                                       6
<PAGE>

the consummation of the transactions contemplated hereby, and (ii) such
consents, approvals, orders, or authorizations that, if not obtained, and such
declarations, filings, or registrations that, if not made, would not,
individually or in the aggregate, have a material adverse effect on the
business, assets, results of operations, condition (financial or otherwise), or
prospects of Seller or on the ability of Seller to consummate the transactions
contemplated hereby.

     2.5  Title to Assets.  Seller is the sole owner of, and has good and
          ---------------
marketable title to, all the Assets, free and clear of all Encumbrances other
than the Permitted Encumbrances.  Upon Seller's transfer of the Assets to Buyer
pursuant to this Agreement, Buyer will have good and marketable title to all the
Assets, free and clear of all Encumbrances other than the Permitted
Encumbrances.  Except as disclosed on Schedule 2.5, no financing statement (or
                                      ------------
other instrument sufficient or effective as a financing statement) under the
Uniform Commercial Code with respect to any of the Assets has been filed and is
effective in any jurisdiction, and Seller has not signed any such financing
statement (or other instrument) or any mortgage or security agreement granting
any mortgage or security interest in any of the Assets or authorizing any
secured party thereunder to file any such mortgage or financing statement (or
other instrument).

     2.6  Financial Statements; Projections.
          ---------------------------------

     (a)  Seller has delivered to Buyer accurate and complete copies of Seller's
unaudited balance sheets as of December 31, 1999 and 1998, and its unaudited
balance sheet as of March 31, 2000, and the related statements of income for the
annual or quarterly periods then ended, (collectively, the "Financial
Statements"). The Financial Statements (i) represent actual bona fide
transactions, (ii) have been prepared from the books and records of Seller in
conformity with generally accepted accounting principles, consistently applied,
and (iii) accurately, completely, and fairly present Seller's financial position
as of the respective dates thereof and its results of operations for the periods
then ended. The statement of income included in the Financial Statements does
not contain any items of special or nonrecurring income, and the balance sheet
included in the Financial Statements does not reflect any write-up or
revaluation increasing the book value of any assets, nor have there been any
transactions since December 31, 1999 giving rise to special or nonrecurring
income or any such write-up or revaluation.

     (b)  Seller represents that it has in good faith and upon a reasonable
basis prepared the revenue projections of the Call Center for the year 2000,
which are attached hereto as Schedule 2.6.; however, Seller does not warrant
                             -------------
that the Center's actual results for the year 2000 will match the projected
results.

     2.7  Liabilities.  Seller has no liabilities or obligations (whether
          -----------
accrued, absolute, contingent, unliquidated, or otherwise, whether or not known
to Seller, and whether due or to become due), except (i) liabilities reflected
on the Financial Statements and described in the notes thereto, (ii) liabilities
which have arisen since the date of the Financial Statements in the ordinary
course of business (none of which is a liability for breach of contract, breach
of warranty, tort, or infringement), none of  which is material, (iii)
liabilities arising under executory contracts entered into in the ordinary
course of business (none of which is a liability for breach of contract), and
(iv) liabilities specifically set forth on Schedule 2.7.
                                           ------------

                                       7
<PAGE>

     2.8  Absence of Certain Changes.  Except as disclosed on Schedule 2.8,
          --------------------------                          ------------
since January 1, 2000: (i) there has not been any material adverse change in, or
any event or condition that might reasonably be expected to result in any
material adverse change in, the business, assets, results of operations,
condition (financial or otherwise), or prospects of Seller or the ownership or
operation of the Assets or any material portion thereof; (ii) Seller has
conducted its business only in the ordinary course consistent with past
practice; (iii) Seller has not incurred any material liability, engaged in any
material transaction, or entered into any material agreement outside the
ordinary course of business consistent with past practice; and (iv) Seller has
not suffered any material loss, damage, destruction, or other casualty to any of
the Assets (whether or not covered by insurance).

     2.9  Tax Matters.  Except as disclosed on Schedule 2.9:
          -----------                          ------------

          (a) Seller has duly filed all Tax Returns required to be filed by or
     with respect to it with the IRS or other applicable authority, and no
     extensions with respect to such Tax Returns have been requested or granted,
     and all Taxes due and payable for the periods covered by such Tax Returns
     have been paid prior to the date on which any fine, penalty, interest or
     late charge may be added thereto for nonpayment thereof, or any such fine,
     penalty, interest, late charge or loss has been paid;

          (b) there has been no issue raised or adjustment proposed (and none is
     pending) by the IRS or any other taxing authority with respect to
     liabilities for Taxes of Seller or any Affiliated Group of which Seller is
     or has been a member;

          (c) there are no Encumbrances with respect to Taxes (except for liens
     with respect to real property Taxes not yet due) upon any of the Assets;
     and

          (d) Seller has duly and timely withheld from salaries, wages, and
     other compensation and paid over to the appropriate taxing authorities all
     amounts required to be so withheld and paid over under all Applicable Laws.

     2.10 Compliance With Laws.  To Seller's knowledge without investigation,
          --------------------
Seller has complied and is complying in all material respects with all
Applicable Laws relating to the ownership or operation of the Assets or the
operation of Seller's business (including without limitation Applicable Laws
relating to transportation, securities, properties, business operations,
products, manufacturing processes, advertising and sales practices, employment
practices, terms and conditions of employment, wages and hours, safety,
occupational safety, health, environmental protection, product safety, and civil
rights).  Seller has not received any written notice, that has not been
dismissed or otherwise disposed of, that Seller has not so complied.  Seller is
not charged, or to the best knowledge of Seller threatened, with or under
investigation with respect to, any alleged violation of any Applicable Law
relating to any aspect of the ownership of the Assets or operation of Seller's
business.

     2.11 Legal Proceedings.  Except as set forth on Schedule 2.11, there are no
          -----------------                          -------------
Proceedings pending, or to the best knowledge of Seller threatened, against or
involving Seller (or any of its

                                       8
<PAGE>

directors or officers) in connection with the Assets or Seller's business. No
judgment, order, writ, injunction, or decree of any Governmental Entity has been
issued or entered against Seller or any of its affiliates that continues to be
in effect with respect to or affecting the Assets or the operation of Seller's
business. There are no Proceedings pending, or to the best knowledge of Seller
threatened, seeking to restrain, prohibit, or obtain damages or other relief in
connection with this Agreement or the transactions contemplated hereby.

     2.12  [Reserved]
     2.13  [Reserved]

     2.14  Permits.  Set forth on Schedule 2.14 is a list of all Permits held by
           -------                -------------
Seller. Each of such Permits is in full force and effect, Seller is in
compliance with all of its obligations with respect thereto, and, to the best
knowledge of Seller, no event has occurred that permits, or with or without the
giving of notice or the passage of time or both would permit, the revocation or
termination of any thereof. Except as disclosed on Schedule 2.14, no notice has
                                                   -------------
been issued by any Governmental Entity and no Proceeding is pending or, to the
best knowledge of Seller threatened, with respect to any alleged failure by
Seller to have any Permit or any alleged failure by Seller to comply with any
Permit.

     2.15  [Reserved]

     2.16  Books and Records.  All the books and records of Seller, including
           -----------------
all personnel files, employee and independent contractor data, and other
materials relating to Seller's employees and independent contractors, are
substantially complete and correct, have been maintained in accordance with good
business practice and all Applicable Laws.  Such books and records accurately
and fairly reflect, in reasonable detail, all transactions, revenues, expenses,
assets, and liabilities of Seller.

     2.17  Brokerage Fees.  Seller and its affiliates have not retained any
           --------------
financial advisor, broker, agent, or finder or paid or agreed to pay any
financial advisor, broker, agent, or finder on account of this Agreement or any
transaction contemplated hereby.  Seller shall indemnify and hold harmless Buyer
from and against any and all losses, claims, damages, and liabilities (including
legal and other expenses reasonably incurred in connection with investigating or
defending any claims or actions) with respect to any finder's fee, brokerage
commission, or similar payment in connection with any transaction contemplated
hereby asserted by any person on the basis of any act or statement made or
alleged to have been made by Seller or any of its affiliates.

     2.18  Related Party Transactions.  Except as disclosed on Schedule 2.18, no
           --------------------------                          -------------
partner, officer, or employee of Seller or any associate of any such partner,
officer, or employee is presently, directly or indirectly, a party to any
transaction with Seller relating to the Assets or the Call Center, including,
without limitation, any agreement, arrangement, or understanding, written or
oral, providing for the employment of, furnishing of services by, rental of real
or personal property from, or otherwise requiring payments to any such partner,
officer, employee, or associate.  For purposes of this Section only, an
"associate" of any partner, officer, or employee means (i) a spouse, parent,
sibling, child, mother- or father-in-law, son- or daughter-in-law, or brother-
or sister-in-law of such partner, officer, or employee or (ii) any director,
partner, officer or employee of such partner, officer,

                                       9
<PAGE>

or employee or any corporation, partnership, trust, or other entity in which
such partner, officer, or employee or associate thereof has a substantial
ownership or beneficial interest (other than an interest in a public corporation
which does not exceed three percent of its outstanding securities) or is a
director, officer, partner, or trustee or person holding a similar position.

                                       10
<PAGE>

     2.19 Environmental Matters.
          ---------------------

          (a) Seller has received no written notice of any investigation or
     inquiry by any Governmental Entity under any Applicable Environmental Laws
     (as defined below) relating to the ownership or operation of the Assets or
     the operation of the Call Center.  To the actual current knowledge of
     Seller, Seller has not disposed of any hazardous material (as defined
     below) on any of the Assets and no condition exists on any of the Assets
     which would subject Seller or the Assets to any remedial obligations under
     any Applicable Environmental Laws.

          (b) For purposes of this Agreement, "Applicable Environmental Laws"
     means any and all Applicable Laws pertaining to health, safety, or the
     environment in effect (currently or hereafter) in any and all jurisdictions
     in which Seller has conducted operations or activities or owned or leased
     property, including, without limitation, the Clean Air Act, as amended, the
     Comprehensive Environmental Response, Compensation and Liability Act of
     1980, as amended, the Rivers and Harbors Act of 1899, as amended, the
     Federal Water Pollution Control Act, as amended, the Occupational Safety
     and Health Act of 1970, as amended, the Resource Conservation and Recovery
     Act of 1976, as amended, the Safe Drinking Water Act, as amended, the Toxic
     Substances Control Act, as amended, the Superfund Amendments and
     Reauthorization Act of 1986, as amended, the Hazardous Materials
     Transportation Act, as amended, the Texas Water Code, the Texas Solid Waste
     Disposal Act, and other environmental conservation or protection laws.  For
     purposes of this Agreement, the term "hazardous material" means (i) any
     substance which is listed or defined as a hazardous substance, hazardous
     constituent, or solid waste pursuant to any Applicable Environmental Laws
     and (ii) petroleum (including crude oil and any fraction thereof), natural
     gas, and natural gas liquids.

     2.20 Labor Relations.
          ---------------

     (a) Except as disclosed on Schedule 2.20, (i) there are no collective
                                -------------
bargaining agreements or other labor union contracts applicable to any employees
of Seller to or by which Seller is a party or is bound, no such agreement or
contract has been requested by any employee or group of employees of Seller, and
no discussions have occurred with respect thereto by management of Seller with
any such employees; (ii) no employees of Seller are represented by any labor
organization, collective bargaining representative, or group of employees; (iii)
no labor organization, collective bargaining representative, or group of
employees claims to represent a majority of the employees of Seller; (iv) Seller
is not aware of or involved with any representational campaign or other
organizing activities by any union or other organization or group seeking to
become the collective bargaining representative of any of the employees of
Seller; (v) Seller is not obligated to bargain collectively with respect to
wages, hours, and other terms and conditions of employment with any recognized
or certified labor organization, collective bargaining representative, or group
of employees representing employees of Seller; and (vi) Seller is not aware of
any strikes, work stoppages, work slowdowns, or lockouts or any threats thereof
by or with respect to any employees of Seller, and since January 1, 1997, there
have been no labor disputes, strikes, work stoppages, work slowdowns, lockouts,
or similar matters involving any such employees.

                                       11
<PAGE>

     (b)  Seller is in compliance with all Applicable Laws pertaining to
employment and employment practices and wages, hours, and other terms and
conditions of employment in respect of its employees and has no accrued
liability for any arrears of wages or any Taxes or penalties for failure to
comply with any thereof. Seller is not engaged in any unfair labor practices or
unlawful employment practices. There is no pending or, to the best knowledge of
Seller, threatened Proceeding against or involving Seller by or before, and
Seller is not subject to any judgment, order, writ, injunction, or decree of or
inquiry from, the National Labor Relations Board, the Equal Employment
Opportunity Commission, the Department of Labor, or any other Governmental
Entity in connection with any current, former, or prospective employee of
Seller.

     (c)  Seller believes that its relations with its employees are
satisfactory.

     2.21 Illegal Payments.  To the best knowledge of Seller, none of Seller or
          ----------------
any director, officer, employee, or agent of Seller has, directly or indirectly,
paid or delivered any fee, commission, or other sum of money or item of property
however characterized to any broker, finder, agent, government official, or
other person, in the United States or any other country, in any manner related
to the Assets or Seller's business, which Seller or any such director, officer,
employee, or agent knows or has reason to believe to have been illegal under any
Applicable Law.

     2.22 Condition of Assets.  The Assets constitute, among other things, all
          -------------------
the tangible assets and properties used or held for use in connection with the
operation of Seller's business. All the Assets shall, as of the date of Closing,
be in good working order (which Buyer shall be permitted to verify via a walk-
through within 24 hours prior to closing), failing which Buyer may elect not to
close and may terminate this Agreement.

     2.23 Intellectual Property.  Except for the trademarks, service marks, and
          ---------------------
trade names set forth on Schedule 2.23, Seller does not own, hold, use, or have
                         -------------
pending any Intellectual Property in connection with the operation of the Assets
or its business. Seller has not received any written notice or claim of any
infringement, violation, misuse, or misappropriation by Seller in connection
with any Intellectual Property owned or purported to be owned by any other
person.

     2.24 Agreements.
          ----------

     (a)  All material agreements, arrangements, and understandings of any
nature (written or oral, formal or informal) (collectively, for purposes of this
Section, "agreements") to which Seller is a party or by which Seller is
otherwise bound, that relate to the Assets or Seller's business at the Call
Center are listed on Schedule 2.24.
                     -------------

     (b)  Seller has delivered to Buyer and Buyer acknowledges receipt of
accurate and complete copies of the agreements listed on Schedule 2.24. Each of
                                                         -------------
such agreements is a valid and binding agreement of the parties thereto,
enforceable against them in accordance with its terms. Except as set forth on
Schedule 2.24, no breach or default exists with respect to any of such
-------------
agreements; no event has occurred which, after the giving of notice or the
passage of time or otherwise, will result in any such breach or default; and
Seller has not been advised by any other party to any of such

                                       12
<PAGE>

Agreements that such party believes there has been a breach of any of such
Agreements. Except as disclosed on Schedule 2.24, each of such agreements is
                                   -------------
freely and fully assignable to Buyer without penalty or other adverse
consequence.

     2.25 Personal Property.  Set forth on Schedule 2.25 is a list (as of March
          -----------------                -------------
15, 2000, and containing, where applicable, a detail of serial numbers and
version numbers) of all furniture, equipment, machinery, computer hardware and
software, materials, motor vehicles, and other personal property (other than
spare parts, supplies, and inventories) owned or leased by Seller and used or
held for use in connection with the operation of the Call Center (other than any
item having a value individually of less than $1,000, which together with all
such omitted items do not, in the aggregate, have a value exceeding $25,000).

     2.26 Customers.  Set forth on Schedule 2.26 is a list of the ten (10)
          ---------                -------------
largest customers of the Seller, on the basis of revenues for goods sold or
services provided for the most recent fiscal year. Schedule 2.26 also lists the
                                                   -------------
ten (10) largest suppliers of the Seller, on the basis of cost of goods or
services purchased for the most recent fiscal year. Except as disclosed in
Schedule 2.26, no such customer or supplier has ceased or materially reduced its
-------------
purchases from or sales or provision of services to the Seller since December
31, 1999, or to the knowledge of the Seller, has threatened to cease or
materially reduce such purchases or sales or provision of services after the
date hereof. Except as disclosed in Schedule 2.26, to the knowledge of the
                                    -------------
Seller, no such customer or supplier is the subject of any bankruptcy proceeding
or has otherwise commenced any proceeding to seek protection from its creditors
generally.

     2.27 Disclosure.  No representation or warranty made by Seller or Access
          ----------
Worldwide in this Agreement, and no statement of Seller or Access Worldwide
contained in any document, certificate, or other writing furnished or to be
furnished by them pursuant hereto or in connection herewith, contains or will
contain, at the time of delivery, any untrue statement of a material fact or
omits or will omit, at the time of delivery, to state any material fact
necessary in order to make the statements contained therein, in light of the
circumstances under which they are made, not misleading. Neither Seller nor
Access Worldwide knows of any matter specifically relating to the Assets or
Seller's business that has not been disclosed to Buyer pursuant to this
Agreement that has, is likely to have, or will have a material adverse effect on
the Assets or Buyer's operation thereof. Seller has delivered or made available
to Buyer accurate and complete copies of all agreements, documents, and other
writings referred to or listed in this Article II or any Schedule hereto.

     2.28 Representations and Warranties on Closing Date.  The representations
          ----------------------------------------------
and warranties made in this Article II will be true and correct on and as of the
Closing Date with the same force and effect as if such representations and
warranties had been made on and as of the Closing Date, except that any such
representations and warranties that expressly relate only to an earlier date
shall be true and correct on the Closing Date as of such earlier date.

                                       13
<PAGE>

                                  ARTICLE III

                    REPRESENTATIONS AND WARRANTIES OF BUYER

     Buyer represents and warrants to Seller that:

     3.1  Authority Relative to This Agreement.  Buyer has full partnership
          ------------------------------------
power and authority to execute, deliver, and perform this Agreement and the
Ancillary Documents to which it is a party and to consummate the transactions
contemplated hereby and thereby. The execution, delivery, and performance by
Buyer of this Agreement and the Ancillary Documents to which it is a party, and
the consummation by it of the transactions contemplated hereby and thereby, have
been duly authorized by all necessary action of Buyer. This Agreement has been
duly executed and delivered by Buyer and constitutes, and each Ancillary
Document executed or to be executed by Buyer has been, or when executed will be,
duly executed and delivered by Buyer and constitutes, or when executed and
delivered will constitute, a valid and legally binding obligation of Buyer,
enforceable against Buyer in accordance with its respective terms, except that
such enforceability may be limited by (i) applicable bankruptcy, insolvency,
reorganization, moratorium, and similar laws affecting creditors' rights
generally, (ii) equitable principles that may limit the availability of certain
equitable remedies (such as specific performance) in certain instances, and
(iii) public policy considerations with respect to the enforceability of rights
of indemnification.

     3.2  Noncontravention.  The execution, delivery, and performance by Buyer
          ----------------
of this Agreement and the Ancillary Documents to which it is a party and the
consummation by it of the transactions contemplated hereby and thereby do not
and will not (i) conflict with or result in a violation of any provision of, or
constitute (with or without the giving of notice or the passage of time or both)
a default under, or give rise (with or without the giving of notice or the
passage of time or both) to any right of termination, cancellation, or
acceleration under, or require any consent, approval, authorization, or waiver
of any party to, any bond, debenture, note, mortgage, indenture, lease,
contract, agreement, or other instrument or obligation to which Buyer is a party
or by which Buyer or any of its properties may be bound or any Permit held by
Buyer, (ii) result in the creation or imposition of any Encumbrance upon the
properties of Buyer, or (iii) violate any Applicable Law binding upon Buyer.

     3.3  Governmental Approvals.  No consent, approval, order, or
          ----------------------
authorization of, or declaration, filing, or registration with, any Governmental
Entity is required to be obtained or made by Buyer in connection with the
execution, delivery, or performance by Buyer of this Agreement and the Ancillary
Documents to which it is a party or the consummation by it of the transactions
contemplated hereby or thereby, other than (i) filings with Governmental
Entities to occur in the ordinary course following the consummation of the
transactions contemplated hereby, and (ii) such consents, approvals, orders, or
authorizations that, if not obtained, and such declarations, filings, or
registrations that, if not made, would not, individually or in the aggregate,
have a material adverse effect on the business, assets, results of operations,
condition (financial or otherwise), or prospects of Buyer or on the ability of
Buyer to consummate the transactions contemplated hereby.

                                       14
<PAGE>

     3.4  Legal Proceedings.  There are no Proceedings pending, or to the best
          -----------------
knowledge of Buyer threatened, seeking to restrain, prohibit, or obtain damages
or other relief in connection with this Agreement or the transactions
contemplated hereby.

     3.5  Brokerage Fees.  Neither Buyer nor any of its affiliates has
          --------------
retained any financial advisor, broker, agent, or finder or paid or agreed to
pay any financial advisor, broker, agent, or finder on account of this Agreement
or any transaction contemplated hereby. Buyer shall indemnify and hold harmless
Seller from and against any and all losses, claims, damages, and liabilities
(including legal and other expenses reasonably incurred in connection with
investigating or defending any claims or actions) with respect to any finder's
fee, brokerage commission, or similar payment in connection with any transaction
contemplated hereby asserted by any person on the basis of any act or statement
made or alleged to have been made by Buyer or any of its affiliates.

     3.6  Disclosure.  No representation or warranty made by Buyer in this
          ----------
Agreement, and no statement of Buyer contained in any document, certificate, or
other writing furnished or to be furnished by Buyer pursuant hereto or in
connection herewith, contains or will contain, at the time of delivery, any
untrue statement of a material fact or omits, or will omit, at the time of
delivery, to state any material fact necessary in order to make the statements
contained therein, in the light of the circumstances under that they are made,
not misleading.

     3.7  Representations and Warranties on Closing Date.  The representations
          ----------------------------------------------
and warranties made in this Article III will be true and correct on and as of
the Closing Date with the same force and effect as if such representations and
warranties had been made on and as of the Closing Date, except that any such
representations and warranties that expressly relate only to an earlier date
shall be true and correct on the Closing Date as of such earlier date.

                                  ARTICLE IV

                                    CLOSING

     The consummation of the transactions contemplated hereby shall take place
(i) at the offices of Thompson & Knight, P.C., 1700 Pacific Avenue, Suite 3300,
Dallas, Texas 75201, at 10:00 a.m., local time, as soon as practicable following
satisfaction or waiver of all of the conditions set forth in Articles VII, VIII
and IX (the "Closing"). The date on which the Closing is required to take place
is herein referred to as the "Closing Date." All Closing transactions shall be
deemed to have occurred simultaneously.

                                       15
<PAGE>

                                   ARTICLE V

                      CONDUCT OF BUSINESS PENDING CLOSING

     Seller hereby covenants and agrees with Buyer as follows:

     5.1  Conduct and Preservation of Business.  Except as expressly provided
          ------------------------------------
in this Agreement, during the period from the date hereof to the Closing, Seller
(i) shall conduct the business of the Call Center only in the ordinary course
consistent with past practice and in compliance with this Agreement and all
Applicable Laws; (ii) shall use its best efforts to preserve, maintain, and
protect the Assets; and (iii) shall use its best efforts to preserve intact the
Call Center's business organization, to keep available the services of its
employees, and to maintain existing relationships with suppliers, contractors,
distributors, customers, and others having business relationships with Seller.

     5.2  Restrictions on Certain Actions.  Without limiting the generality of
          -------------------------------
Section 5.1, and except as otherwise expressly provided in this Agreement, prior
to the Closing, Seller shall not, without the prior written consent of Buyer:

          (a) mortgage or pledge any of the Assets or create or suffer to exist
     any Encumbrance thereupon, other than those existing in connection with the
     Permitted Encumbrances;

          (b) sell, lease, transfer, or otherwise dispose of, directly or
     indirectly, any of the Assets, other than in the ordinary course of
     business consistent with past practice;

          (c) regarding the Assets, enter into, or amend, modify, or change, any
     lease, contract, agreement, commitment, arrangement, or transaction related
     to the Call Center, except in the ordinary course of business consistent
     with past practice;

          (d) delay payment of any account payable or other liability of such
     Seller beyond its due date or the date when such liability would have been
     paid in the ordinary course of business consistent with past practice;

          (e) allow the levels of raw materials, work-in-process, finished
     goods, supplies, and other materials included in the Assets to vary in any
     material respect from the levels customarily maintained by Seller in the
     ordinary course of business consistent with past practice;

          (f) permit any current insurance or reinsurance policies to be
     canceled or terminated or any of the coverages thereunder to lapse if such
     policy covers Assets or insures risks, contingencies, or liabilities of
     Seller, unless simultaneously with such cancellation, termination, or
     lapse, replacement policies providing coverage equal to or greater than the
     coverage canceled, terminated, or lapsed are in full force and effect and
     written copies thereof have been provided to Buyer;

                                       16
<PAGE>

          (g) take any action that would or might make any of the
     representations or warranties of such Seller contained in this Agreement
     untrue or inaccurate as of any time from the date of this Agreement to the
     Closing or would or might result in any of the conditions set forth in this
     Agreement not being satisfied;

          (h) enter into or amend any contract, agreement, or other commitment
     that would have a material adverse effect on the Assets or the Call Center;
     or

          (i) authorize or propose, or agree in writing or otherwise to take,
     any of the actions described in this Section 5.2.

                                  ARTICLE VI

                             ADDITIONAL AGREEMENTS

     6.1  Payment of Liabilities.  Seller shall pay, perform, and discharge all
          ----------------------
of Seller's liabilities (other than the Assumed Liabilities) that are due after
the Closing Date, as and when the same become due and payable.

     6.2  Notification of Certain Matters.  Seller shall give prompt notice to
          -------------------------------
Buyer of (i) any material failure of Seller to comply with or satisfy any
covenant, condition, or agreement to be complied with or satisfied hereunder,
and (ii) any notice or other communication from any person alleging that the
consent or approval of such person is or may be required in connection with the
transactions contemplated by this Agreement (other than those consents and
approvals indicated as required on Schedule 2.3). Buyer shall give prompt
                                   ------------
notice to Seller of any material failure of Buyer to comply with or satisfy any
covenant, condition, or agreement to be complied with or satisfied hereunder.
The delivery of any notice pursuant to this Section 6.2 shall not be deemed to
(i) modify the representations or warranties hereunder of the party delivering
such notice, or (ii) limit or otherwise affect the remedies available hereunder
to the party receiving such notice.

     6.3  Fees and Expenses.  Except as otherwise expressly provided in this
          -----------------
Agreement, all fees and expenses, including fees and expenses of counsel,
financial advisors, and accountants, incurred in connection with this Agreement
and the transactions contemplated hereby shall be paid by the party incurring
such fee or expense, whether or not the Closing shall have occurred; provided,
however, that if this Agreement shall have been terminated pursuant to Section
10.1 as a result of the willful breach by a party of any of its representations,
warranties, covenants, or agreements set forth in this Agreement, such breaching
party shall pay the costs and expenses of the other parties in connection with
the transactions contemplated by this Agreement.

     6.4  Taxes; Other Charges.  All sales, use and gross receipts Taxes
          --------------------
resulting from the consummation of the transactions contemplated hereby (other
than income taxes of Buyer and its affiliates) shall be borne by Seller, and the
parties shall cooperate in obtaining all exemptions from such Taxes. All other
excise, registration, transfer, recording, and stamp Taxes and fees incurred

                                       17
<PAGE>

in connection with the consummation of the transactions contemplated hereby
shall be borne by Buyer. All ad valorem or similar Taxes attributable to the
Assets for the 2000 calendar year (as well as prepaid rentals and unearned and
paid utility charges) shall be pro-rated between Buyer and Seller on a daily
basis as of the Closing Date.

     6.5  Public Announcements.  Except as may be required by Applicable Law,
          --------------------
neither Buyer, Seller nor Access Worldwide shall issue any press release or
otherwise make any public statement with respect to this Agreement or the
transactions contemplated hereby without the prior written consent of the other
party (which consent shall not be unreasonably withheld). Any such press release
or public statement required by Applicable Law shall only be made after
reasonable notice to the other party.

     6.6  Books and Records.  Buyer agrees that Seller shall have the right, at
          -----------------
its own expense, at any time or from time to time after the Closing Date during
reasonable business hours upon reasonable notice, to inspect and make copies of
or extracts from any of the books and records relating to the ownership or
operation of the Assets prior to the Closing Date in the possession of Buyer or
its affiliates. None of such books and records in the possession of Buyer shall
be destroyed without the express written consent of Seller unless first
reproduced by microfilm or any other similar process. In the event that Buyer
shall wish to destroy any of such books and records at any time or from time to
time after the Closing Date, Buyer shall give not less than sixty (60) days
notice to Seller, who shall have the right, at its own expense, during
reasonable business hours to remove such books and records and to keep
possession of the same.

     6.7  [Reserved]

     6.8  Employee and Employee Benefit Plan Matters.
          ------------------------------------------

          (a) Schedule 6.8(a) sets forth a complete list of the names, social
              ---------------
     security numbers and dates of employment of each employee of Seller
     relevant to the operation of the Assets and the Call Center as of the date
     of this Agreement (the "Relevant Employees"), together with a description
     of the position of each such employee and the total amounts of salary,
     bonuses and other compensation paid or payable by Seller to each such
     employee for the fiscal year ending December 31, 1999. Buyer shall offer
     employment, effective on the Closing Date, to those Relevant Employees who
     are employed by Seller as of the Closing Date and any such Relevant
     Employee receiving an employment offer shall be afforded the benefits and
     other employment terms as are provided by Buyer in its sole discretion. In
     connection with such matters, Seller will be responsible for the payment of
     any and all sums due and owing to any such employees who accept such offer
     of employment with respect to severance pay, accrued and unused vacation,
     employee benefits, insurance items, salary and similar matters related to
     such employees' employment by Seller. It shall be a requirement that any
     such employee who accepts Buyer's offer of employment shall have resigned
     his employment with Seller as of the Closing Date and that Seller shall
     have released such employee from all non-competition, non-solicitation,
     confidentiality and similar agreements as to periods after the Closing
     Date.

                                       18
<PAGE>

          (b) Buyer is not hereby, and at no time hereafter will be, adopting,
     accepting, or assuming any employee benefit plan or collective bargaining
     agreement relating to Seller's employees or any other agreement, trust,
     plan, fund, or other arrangement of Seller that provides for employee
     benefits or perquisites (collectively, "Employment Arrangements"), and
     Buyer shall have no liability or obligation whatsoever under any Employment
     Arrangement to Seller or to any employees of Seller, whether or not any of
     such employees are offered employment by or become employees of Buyer.
     Buyer is not obligated to replace any of the Employment Arrangements for
     any employees of Seller who become employees of Buyer, nor is Buyer
     obligated to provide such persons with any similar agreements, plans, or
     arrangements.

          (c) Seller will comply after the Closing Date with the requirements of
     Sections 601 through 608 of ERISA and Section 4980B of the Code with
     respect to any employee or former employee of Seller (and any dependent or
     former dependent thereof) whose employment with Seller terminates in
     connection with or prior to Buyer's purchase of the Assets.

          (d) The parties hereto do not intend to create any third party
     beneficiary rights respecting any employee of Seller or its affiliates as a
     result of the provisions of this Agreement and specifically hereby negate
     any such intent.

     6.9  Acquisition Proposals.  From and after the date of this Agreement
          ---------------------
until the earlier of the Closing or the termination of this Agreement, neither
Seller nor any affiliate, director, officer, employee, agent, or representative
of Seller shall, directly or indirectly, (i) solicit, initiate, or encourage any
Acquisition Proposal (as defined below) or (ii) engage in discussions or
negotiations with, or disclose any nonpublic information relating to the Assets
or the Call Center to, any person that is considering making or has made an
Acquisition Proposal. The term "Acquisition Proposal", as used in this Section
6.9, means any offer or proposal for, or any indication of interest in, the
acquisition of the Assets, the Call Center or any portion thereof, other than
the transactions contemplated or expressly permitted by this Agreement, by
virtue of a merger, sale of assets or stock, or other acquisition of any of the
stock or assets of Seller.

     6.10 Reasonable Best Efforts.  Each party hereto agrees that it will not
          -----------------------
voluntarily undertake any course of action inconsistent with the provisions or
intent of this Agreement and will use its reasonable best efforts to take, or
cause to be taken, all action and to do, or cause to be done, all things
reasonably necessary, proper, or advisable under Applicable Laws to consummate
the transactions contemplated by this Agreement. Seller shall cooperate with and
assist Buyer and its authorized representatives in order to provide an efficient
and orderly transfer of the control and management of the Assets and the Call
Center to Buyer, to permit Buyer to assume the Assumed Liabilities without any
changes in their repayment terms and conditions, and to avoid any undue
interruption in the ongoing operations of the Assets and the Call Center
following the Closing.

                                  ARTICLE VII

                                       19
<PAGE>

                      CONDITIONS TO OBLIGATIONS OF SELLER

     The obligations of Seller to consummate the transactions contemplated by
this Agreement shall be subject to the fulfillment on or prior to the Closing
Date of each of the following conditions:

     7.1  Representations and Warranties True.  All the representations and
          -----------------------------------
warranties of Buyer contained in this Agreement, and in any agreement,
instrument, or document delivered pursuant hereto or in connection herewith on
or prior to the Closing Date, shall be true and correct as of the date made and
(having been deemed to have been made again on and as of the Closing Date in the
same language) shall be true and correct on and as of the Closing Date.

     7.2  Covenants and Agreements Performed.  Buyer shall have performed and
          ----------------------------------
complied with all covenants and agreements required by this Agreement to be
performed or complied with by it on or prior to the Closing Date.

     7.3  Certificate.  Seller shall have received a certificate executed on
          -----------
behalf of Buyer by the chief executive and chief financial officers of Buyer,
dated the Closing Date, representing and certifying, in such detail as Seller
may reasonably request, that the conditions set forth in Sections 7.1 and 7.2
have been fulfilled.

     7.4  Legal Proceedings.  No Proceeding shall, on the Closing Date, be
          -----------------
pending or threatened seeking to restrain, prohibit, or obtain damages or other
relief in connection with this Agreement or the consummation of the transactions
contemplated hereby.

     7.5  Approval.  The transactions contemplated by this Agreement shall
          --------
have been approved, in accordance with Applicable Laws and the limited
partnership agreement of Buyer, by the general partner of Buyer, and by the
general partner's Board of Directors.

     7.6  Releases.
          --------

          (a) Seller shall have obtained releases from John Allen and Chris
     Purdy from any liability for post-Closing compensation from Seller
     (including without limitation any claims for termination and/or severance
     payments).

          (b) With respect to all employees being hired by Buyer who are being
     released from agreements under Section 6.8, Sellers shall have obtained
     releases from such employees releasing Sellers from any and all severance
     and/or termination payments and any other claims relative to said
     employee's termination by Sellers.

                                       20
<PAGE>

                                 ARTICLE VIII

                      CONDITIONS TO OBLIGATIONS OF BUYER

     The obligations of Buyer to consummate the transactions contemplated by
this Agreement shall be subject to the fulfillment on or prior to the Closing
Date of each of the following conditions:

     8.1  Representations and Warranties True.  All the representations and
          -----------------------------------
warranties of Seller contained in this Agreement, and in any agreement,
instrument, or document delivered pursuant hereto or in connection herewith on
or prior to the Closing Date, shall be true and correct as of the date made and
(having been deemed to have been made again on and as of the Closing Date in the
same language) shall be true and correct on and as of the Closing Date.

     8.2  Covenants and Agreements Performed.  Seller shall have performed and
          ----------------------------------
complied with all covenants and agreements required by this Agreement to be
performed or complied with by it on or prior to the Closing Date.

     8.3  Certificate.  Buyer shall have received certificates executed on
          -----------
behalf of Seller by the chief executive officer and chief financial officer of
Seller, dated the Closing Date, representing and certifying, in such detail as
Buyer may reasonably request, that the conditions set forth in Sections 8.1 and
8.2 have been fulfilled.

     8.4  Legal Proceedings.  No Proceeding shall, on the Closing Date, be
          -----------------
pending or threatened seeking to restrain, prohibit, or obtain damages or other
relief in connection with this Agreement or the consummation of the transactions
contemplated hereby.

     8.5  No Material Adverse Change.  Since the date hereof, there shall not
          --------------------------
have been any material adverse change in the business, assets, results of
operations, condition (financial or otherwise), or prospects of Seller or the
ownership or operation of the Assets or the Call Center or any material portion
thereof.

     8.6  Documents.  Buyer shall have received, after using diligent efforts
          ---------
to obtain, the certificates, instruments, and documents listed below, all of
which shall be in form and substance reasonably satisfactory to Buyer:

          (a) Bills of sale, certificates of title and other instruments of
     assignment, transfer, and conveyance sufficient to transfer to Buyer and
     effectively vest in Buyer all right, title, and interest of Seller and
     Access Worldwide in and to the Assets, subject only to the Permitted
     Encumbrances.

          (b) Executed copies of all consents and approvals of third parties
     required to be obtained by or on the part of Seller for the consummation of
     the transactions contemplated hereby.

          (c) [Reserved]

                                       21
<PAGE>

          (d) Lien search reports showing that no financing statements or other
     liens (or notices with respect to liens) affecting any of the Assets naming
     Seller or Access Worldwide as debtor are on file in the Uniform Commercial
     Code or other relevant records of the office of the Secretary of State or
     the county clerk's office of any jurisdiction in which any of the Call
     Center's operations are conducted, other than as otherwise permitted by
     this Agreement.

          (e) Releases of all liens affecting any of the Assets.

          (f) Seller shall deliver to Buyer a non-foreign certificate required
     by Section 1445 of the Code and applicable regulations.

          (g) A lease agreement with CB Parkway Business Center III, Ltd., in a
     form acceptable to Buyer, granting Buyer full rights as sole tenant and
     occupant of all premises at which the Call Center's operations are
     conducted.

          (h) Written assurance from Sprint/United Management Company confirming
     the continuing validity and enforceability of that certain Master Services
     Agreement dated as of January 1, 1997 with Seller, and that Sprint/United
     Management Company will recognize Buyer as the owner of all of Seller's
     right, title, and interest in and to such agreement.

          (i) True and complete copies of Seller's balance sheet as of March 31,
     2000 and the related statements of income for the three months then ended.

          (j) Employment Agreements between Buyer and John Allen and between
     Buyer and Chris Purdy, in each case having a term of not less than two (2)
     years.

          (k) A Noncompetition Agreement between Seller, Access Worldwide and
     Buyer, substantially in the form attached hereto as Exhibit A, and a
                                                         ---------
     Referral Agreement between Seller, Access Worldwide and Buyer substantially
     in the form attached hereto as Exhibit B.
                                    ---------

          (l) A document evidencing the termination of Seller's rights to use
     the JESS software and any other software licensed to Seller by Access
     Worldwide.

          (m) A License Agreement providing that Access Worldwide will provide
     to Buyer a royalty-free, fully paid-up, non-exclusive, perpetual license to
     Access Worldwide's JESS software (including open source codes) for
     unlimited seats, and that if either party makes any enhancements to the
     JESS software, it will provide such enhancements (with open source codes)
     to the other on a royalty-free, fully paid-up, non-exclusive, perpetual
     basis. The License Agreement will further provide that Buyer may sell or
     license the software to non-U.S. persons provided that one-half of the
     proceeds therefrom must be paid to Access Worldwide. The License Agreement
     will further provide that Access Worldwide will provide to Buyer limited
     technical support for 90 days following the Closing at no charge except
     that Buyer will pay Access Worldwide's out-of-pocket expenses, and that
     Access Worldwide will provide technical support beyond such 90-day period
     to Buyer at $150.00 per hour in addition to out-of-pocket expenses. Terms
     of payment are net 30 days.

                                       22
<PAGE>

          (n) Such other certificates, instruments, and documents as may be
     reasonably deemed necessary by Buyer to carry out the intent and purposes
     of this Agreement, including a copy of the duly signed director consent or
     minutes, as applicable and certified as true and complete by the Secretary
     of Seller, required by Section 8.7.

     8.7  Approval.  The transactions contemplated by this Agreement shall have
          --------
been approved, in accordance with Applicable Laws and the limited partnership
agreement of Seller, by the general partner of Seller and by the general
partner's Board of Directors.

                                  ARTICLE IX

                   CONDITIONS TO OBLIGATIONS OF ALL PARTIES

     The obligations of all parties to consummate the transactions contemplated
by this Agreement shall be subject to the fulfillment on or prior to the Closing
Date of each of the following conditions:

     9.1  Governmental Approvals.  Favorable orders, consents, and approvals in
          ----------------------
the form required to consummate this Agreement, the Ancillary Documents, and all
transactions contemplated thereby, shall have been received (if required) from
necessary governmental agencies.

                                   ARTICLE X

                     TERMINATION, AMENDMENT, AND REMEDIES

     10.1 Termination.  This Agreement may be terminated and the transactions
          -----------
contemplated hereby abandoned at any time prior to the Closing in the following
manner:

          (a) by mutual written consent of Seller and Buyer; or

          (b) by Seller or by Buyer, if:

              (i)  the Closing shall not have occurred on or before the
          thirtieth day following the date of execution of this Agreement,
          unless such failure to close shall be due to a breach of this
          Agreement by the party seeking to terminate this Agreement pursuant to
          this clause (i); or

              (ii) there shall be any statute, rule, or regulation that makes
          consummation of the transactions contemplated hereby illegal or
          otherwise prohibited or a Governmental Entity shall have issued an
          order, decree, or ruling or taken any other action permanently
          restraining, enjoining, or otherwise prohibiting

                                       23
<PAGE>

          the consummation of the transactions contemplated hereby, and such
          order, decree, ruling, or other action shall have become final and
          nonappealable; or

          (c) by Seller, if (i) any of the representations or warranties of
     Buyer contained in this Agreement shall not be true and correct when made
     or at any time prior to the Closing as if made at and as of such time, or
     (ii) Buyer shall have failed to fulfill any of its obligations under this
     Agreement, and, in the case of each of clauses (i) and (ii), such
     misrepresentation, breach of warranty, or failure (provided it can be
     cured) has not been cured within thirty (30) days of actual knowledge
     thereof by Buyer; or

          (d) by Buyer, if (i) any of the representations or warranties of
     Seller contained in this Agreement shall not be true and correct when made
     or at any time prior to the Closing as if made at and as of such time, or
     (ii) Seller shall have failed to fulfill any of its obligations under this
     Agreement, and, in the case of each of clauses (i) and (ii), such
     misrepresentation, breach of warranty, or failure (provided it can be
     cured) has not been cured within thirty (30) days of actual knowledge
     thereof by Seller.

     10.2 Effect of Termination.  In the event of the termination of this
          ---------------------
Agreement pursuant to Section 10.1 by Seller or Buyer, written notice thereof
shall forthwith be given by specifying the provision hereof pursuant to which
such termination is made, and this Agreement shall become void and have no
effect, except that the agreements contained in this Section 10.2, in Section
6.3, and in Articles XI, XII and XIII shall survive the termination hereof.
Nothing contained in this Section 10.2 shall relieve any party from liability
for any breach of this Agreement.

     10.3 Waiver.  Seller, on the one hand, or Buyer, on the other, may (i)
          ------
waive any inaccuracies in the representations and warranties of the other
contained herein or in any document, certificate, or writing delivered pursuant
hereto or (ii) waive compliance by the other with the other's agreements or
fulfillment of any conditions to obligations contained herein. Any agreement on
the part of a party hereto to any such waiver shall be valid only if set forth
in an instrument in writing signed by or on behalf of such party or parties. No
failure or delay by a party hereto in exercising any right, power, or privilege
hereunder shall operate as a waiver thereof nor shall any single or partial
exercise thereof preclude any other or further exercise thereof or the exercise
of any other right, power, or privilege.

     10.4 Remedies Not Exclusive.  The rights and remedies herein provided
          ----------------------
shall be cumulative and not exclusive of any rights or remedies provided by law.
The rights and remedies of any party based upon, arising out of, or otherwise in
respect of any inaccuracy in or breach of any representation, warranty,
covenant, or agreement contained in this Agreement shall in no way be limited by
the fact that the act, omission, occurrence, or other state of facts upon which
any claim of any such inaccuracy or breach is based may also be the subject
matter of any other representation, warranty, covenant, or agreement contained
in this Agreement (or in any other agreement between the parties) as to which
there is no inaccuracy or breach.

                                       24
<PAGE>

                                  ARTICLE XI

                 SURVIVAL OF REPRESENTATIONS; INDEMNIFICATION

     11.1 Survival.
          --------

          (a) The representations and warranties of the parties hereto contained
     in this Agreement or in any certificate, instrument, or document delivered
     pursuant hereto shall survive for three months after the Closing Date,
     except that the representatives contained in Sections 2.2, 2.5, 3.2 and
     14.1 will survive for a period of three years after the Closing Date and
     the representations contained in Sections 2.9 and 2.19 will survive until
     three months following the expiration of the limitation period under the
     applicable statute of limitations (each such time of expiration, a
     "Survival Date"). From and after the Survival Date, no party hereto or any
     shareholder, director, officer, employee, or affiliate of such party shall
     be under any liability with respect to any representation or warranty to
     which such Survival Date relates, except with respect to matters as to
     which notice has been received in accordance with Section 11.1(b).

          (b) No party hereto shall have any indemnification obligation pursuant
     to this Article XI in respect of any representation or warranty unless
     before the applicable Survival Date said party shall have received from the
     party seeking indemnification written notice of the existence of the claim
     for or in respect of which indemnification in respect of such
     representation or warranty is sought.

     11.2 Indemnification by Seller.  Subject to the terms and conditions of
          -------------------------
this Article XI, Seller and Access Worldwide shall jointly and severally
indemnify, defend, and hold harmless Buyer, each director, officer, employee,
representative and agent of Buyer, and their respective heirs, legal
representatives, successors, and assigns (collectively, the "Buyer Group"), from
and against any and all claims, actions, causes of action, demands, assessments,
losses, damages, liabilities, judgments, settlements, penalties, costs, and
expenses (including reasonable attorneys' fees and expenses), of any nature
whatsoever, whether actual or consequential (collectively, "Damages"), asserted
against, imposed upon, or incurred by any member of the Buyer Group, directly or
indirectly, by reason of or resulting from any of the following (collectively,
"Buyer Claims"):

          (a) any inaccuracy in or breach of any representation or warranty of
     Seller or Access Worldwide contained in this Agreement or in any
     certificate, instrument, or document delivered pursuant hereto;

          (b) any breach by Seller or Access Worldwide of any of the covenants
     or agreements contained in this Agreement or in any certificate,
     instrument, or document delivered pursuant hereto;

                                       25
<PAGE>

          (c) any liability or obligation of Seller or its affiliates (whether
     accrued, absolute, contingent, unliquidated, or otherwise, whether or not
     known to Seller, and whether due or to become due), unless otherwise
     assumed by Buyer hereunder;

          (d) any Taxes arising under state Tax laws in connection with the sale
     of the Assets to Buyer;

          (e) the ownership, operation, management, or use of the Assets and the
     Call Center prior to and including the Closing Date;

          (f) any services provided, or any products manufactured, distributed
     or sold, by Seller or its affiliates;

          (g) any action taken or claim asserted by or on behalf of any partner
     of Seller, whether or not in connection with the transactions contemplated
     by this Agreement; and

          (h) any acts or omissions of Seller or its affiliates prior to the
     Closing Date and any events or occurrences involving the Assets or the Call
     Center, the operation of Seller's business (other than the Assumed
     Liabilities), or the current or former employees or independent contractors
     of Seller or its affiliates taking place prior to the Closing Date, unless
     otherwise assumed by Buyer hereunder.

     11.3 Indemnification by Buyer.  Subject to the terms and conditions of
          ------------------------
this Article XI, Buyer shall indemnify, defend, and hold harmless Seller and
Access Worldwide, and each director, officer, employee, representative and agent
of Seller and Access Worldwide, and their respective heirs, legal
representatives, successors, and assigns (collectively, the "Seller Group") from
and against any and all Damages asserted against, resulting to, imposed upon, or
incurred by any member of the Seller Group, directly or indirectly, by reason of
or resulting from any of the following:

          (a) any inaccuracy in or breach of any representation or warranty of
     Buyer contained in this Agreement or in any certificate, instrument, or
     document delivered pursuant hereto;

          (b) any breach by Buyer of any of the covenants or agreements
     contained in this Agreement or in any certificate, instrument, or document
     delivered pursuant hereto; and

          (c) the operation of the Assets and the Call Center following the
     Closing Date.

     11.4 Procedure for Indemnification.  Promptly after receipt by an
          -----------------------------
indemnified party under Section 11.2 or 11.3 of notice of the commencement of
any action, or after an indemnified party's otherwise becoming aware of facts or
circumstances giving rise to any Damages, such indemnified party shall, if a
claim in respect thereof is to be made against an indemnifying party under such
Section, give written notice to the indemnifying party of the commencement
thereof, but the failure to so notify the indemnifying party shall not relieve
it of any liability that it may have to any indemnified party except to the
extent the indemnifying party demonstrates that the defense of such

                                       26
<PAGE>

action is prejudiced thereby. In case any such action shall be brought against
an indemnified party and it shall give written notice to the indemnifying party
of the commencement thereof, the indemnifying party shall be entitled to
participate therein and, to the extent that it may wish, to assume the defense
thereof with counsel reasonably satisfactory to such indemnified party. If the
indemnifying party elects to assume the defense of such action, the indemnified
party shall have the right to employ separate counsel at its own expense and to
participate in the defense thereof. If the indemnifying party elects not to
assume (or fails to assume) the defense of such action, the indemnified party
shall be entitled to assume the defense of such action with counsel of its own
choice, at the expense of the indemnifying party. If the action is asserted
against both the indemnifying party and the indemnified party and there is a
conflict of interests that renders it inappropriate for the same counsel to
represent both the indemnifying party and the indemnified party, the
indemnifying party shall be responsible for paying for separate counsel for the
indemnified party; provided, however, that if there is more than one indemnified
party, the indemnifying party shall not be responsible for paying for more than
one separate firm of attorneys to represent the indemnified parties, regardless
of the number of indemnified parties. If the indemnifying party elects to assume
the defense of such action, (a) no compromise or settlement thereof may be
effected by the indemnifying party without the indemnified party's written
consent (which shall not be unreasonably withheld) unless the sole relief
provided is monetary damages that are paid in full by the indemnifying party and
(b) the indemnifying party shall have no liability with respect to any
compromise or settlement thereof effected without its written consent (which
shall not be unreasonably withheld).

     11.5 Limitation of Liability.  Except for claims arising from alleged
          -----------------------
breaches of the representations contained in Sections 2.2, 2.5, 2.9, 2.19, 3.1
or 14.1 of this Agreement, the indemnification obligations of the parties hereto
pursuant to this Article X shall be subject to the following limitations:

     (a)  No indemnification shall be required to be made by either party
pursuant to this Article XI with respect to any claims for which indemnification
is provided hereunder unless that the aggregate amount of Damages incurred by
such party with respect to all such claims (whether asserted, resulting,
imposed, or incurred before, on, or after the Closing Date) exceeds $25,000, in
which case the indemnifying party shall be liable to the full extent of such
Damages, subject to the limit set forth in Section 11.5(b) below.

     (b)  Other than for fraud, neither party shall be liable to the other
party for any sum in excess of $250,000.00, whether arising by virtue of a
direct claim by one of the parties hereto against the other, or by virtue of a
claim asserted by a third party.

     11.6 Indemnification Despite Negligence, Strict Liability or Liability
          -----------------------------------------------------------------
Without Fault.  It is the express intention of the parties hereto that each
-------------   -----------------------------------------------------------
person to be indemnified pursuant to this Article XI shall be indemnified and
-----------------------------------------------------------------------------
held harmless from and against all Damages as to which indemnity is provided for
--------------------------------------------------------------------------------
under this Article XI notwithstanding that any such Damages arise out of or
---------------------------------------------------------------------------
result from the (i) ordinary, strict, sole, or contributory negligence, or (ii)
-------------------------------------------------------------------------------
strict liability (or other liability without fault) of such person and
----------------------------------------------------------------------
regardless of whether any other person (including
-------------------------------------------------

                                       27
<PAGE>

another party to this Agreement) is or is not also negligent or otherwise liable
--------------------------------------------------------------------------------
with respect to the matter in question.
--------------------------------------

                                  ARTICLE XII

                                 MISCELLANEOUS

     12.1 Notices.  All notices, requests, demands, and other communications
          -------
required or permitted to be given or made hereunder by any party hereto shall be
in writing and shall be deemed to have been duly given or made if delivered
personally, or transmitted by first class registered or certified mail, postage
prepaid, return receipt requested, or sent by prepaid overnight delivery
service, or sent by cable, telegram, telefax, or telex, to the parties at the
following addresses (or at such other addresses as shall be specified by the
parties by like notice):

          If to Buyer:

               Prior to Closing:

               Merkafon International, Ltd.
               6750 Hillcrest Plaza Dr., Suite 308
               Dallas, TX 75230
               Attn: Helene Cohen
               Fax: (972) 233-7311

               After Closing

               Merkafon International, Ltd.
               6500 International Parkway, Suite 1500
               Plano, TX 75093
               Attn.: Jesus Rodriguez

          with a copy to:

               Thompson & Knight L.L.P.
               1700 Pacific Avenue, Suite 3300
               Dallas, TX 75201
               Attn: Joe A. Rudberg, Esq.
               Fax: (214) 969-1751

          If to Seller or Access Worldwide:

               Access Worldwide Communications, Inc.
               4950 Blue Lake Drive, Suite 300
               Boca Raton, FL 33431

                                       28
<PAGE>

               Attn: Michael Dinkins, CEO
               Fax: (561) 226-5050

                                       29
<PAGE>

          with a copy to:

               Kenneth W. Shapiro
               Shapiro Abrams Zedeck
               1776 N. Pine Island Road, Suite 326
               Fort Lauderdale, Florida 33322
               Fax: (954) 523-0997

Such notices, requests, demands, and other communications shall be effective
upon receipt.

     12.2 Entire Agreement.  This Agreement, together with the Schedules,
          ----------------
Exhibits, Annexes, and other writings referred to herein or delivered pursuant
hereto, constitutes the entire agreement between the parties hereto with respect
to the subject matter hereof and supersedes all prior agreements and
understandings, both written and oral, between the parties with respect to the
subject matter hereof.

     12.3 Binding Effect; Assignment; No Third Party Benefit.  This Agreement
          --------------------------------------------------
shall be binding upon and inure to the benefit of the parties hereto and their
respective successors and permitted assigns. Except as otherwise expressly
provided in this Agreement, neither this Agreement nor any of the rights,
interests, or obligations hereunder shall be assigned by any of the parties
hereto without the prior written consent of the other parties, except that Buyer
may assign to any affiliate of Buyer any of Buyer's rights, interests, or
obligations hereunder, upon notice to Seller, provided that no such assignment
shall relieve Buyer of its obligations hereunder. Except as provided in Article
XI, nothing in this Agreement, express or implied, is intended to or shall
confer upon any person other than the parties hereto, and their respective
successors and permitted assigns, any rights, benefits, or remedies of any
nature whatsoever under or by reason of this Agreement.

     12.4 Severability.  If any provision of this Agreement is held to be
          ------------
unenforceable, this Agreement shall be considered divisible and such provision
shall be deemed inoperative to the extent it is deemed unenforceable, and in all
other respects this Agreement shall remain in full force and effect; provided,
however, that if any such provision may be made enforceable by limitation
thereof, then such provision shall be deemed to be so limited and shall be
enforceable to the maximum extent permitted by Applicable Law.

     12.5 GOVERNING LAW.  THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED
          -------------
AND ENFORCED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF TEXAS, WITHOUT
REGARD TO THE PRINCIPLES OF CONFLICTS OF LAWS THEREOF.

     12.6 References.  All references in this Agreement to Articles, Sections,
          ----------
and other subdivisions refer to the Articles, Sections, and other subdivisions
of this Agreement unless expressly provided otherwise. The words "this
Agreement", "herein", "hereof", "hereby", "hereunder", and words of similar
import refer to this Agreement as a whole and not to any particular subdivision
unless expressly so limited. Whenever the words "include", "includes", and
"including" are used in this Agreement, such words shall be deemed to be
followed by the words "without

                                       30
<PAGE>

limitation". Each reference herein to a Schedule, Exhibit, or Annex refers to
the item identified separately in writing by the parties hereto as the described
Schedule, Exhibit, or Annex to this Agreement. All Schedules, Exhibits, and
Annexes are hereby incorporated in and made a part of this Agreement as if set
forth in full herein.

     12.7 Further Assurances.  From time to time, at the request of either party
          ------------------
hereto and without further consideration, the parties hereto agree that each
will execute and deliver to the other any and all documents in addition to those
expressly provided for in this Agreement that may be reasonably necessary or
appropriate to carry out the purposes of this Agreement and the transactions
contemplated hereby, whether at or after the Closing. Seller further agrees that
from time to time after the Closing Date it will execute and deliver to Buyer or
its designee such further conveyances, assignments, or other written assurance,
and take such further necessary actions, as Buyer may reasonably request in
writing to perfect and protect Buyer's title to the Assets, and to secure to
Buyer the benefit of the Call Center.

     12.8 Counterparts.  This Agreement may be executed by the parties hereto in
          ------------
any number of counterparts, each of which shall be deemed an original, but all
of which shall constitute one and the same agreement. Each counterpart may
consist of a number of copies hereof each signed by less than all, but together
signed by all, the parties hereto.

     12.9 Remedies Not Exclusive.  The rights and remedies herein provided shall
          ----------------------
be cumulative and not exclusive of any rights or remedies provided by law. The
rights and remedies of any party based upon, arising out of, or otherwise in
respect of any inaccuracy in or breach of any representation, warranty,
covenant, or agreement contained in this Agreement shall in no way be limited by
the fact that the act, omission, occurrence, or other state of facts upon which
any claim of any such inaccuracy or breach is based may also be the subject
matter of any other representation, warranty, covenant, or agreement contained
in this Agreement (or in any other agreement between the parties) as to which
there is no inaccuracy or breach.

                                 ARTICLE XIII

                                  DEFINITIONS

     13.1 Certain Defined Terms.  As used in this Agreement, each of the
          ---------------------
following terms has the meaning given it below:

          "affiliate" means, with respect to any person, any other person that,
     directly or indirectly, through one or more intermediaries, controls, is
     controlled by, or is under common control with, such person. For the
     purposes of this definition, "control", when used with respect to any
     person, means the possession, directly or indirectly, of the power to
     direct or cause the direction of the management and policies of such
     person, whether through the ownership of voting securities, by contract, or
     otherwise; and the terms "controlling" and "controlled" have meanings
     correlative to the foregoing.

                                       31
<PAGE>

          "Affiliated Group" has the meaning set forth in Section 1504 of the
     Code.

          "Ancillary Documents" means each agreement, instrument, and document
     (other than this Agreement) executed or to be executed by Seller or Buyer
     in connection with the transactions contemplated by this Agreement.

          "Applicable Laws" means any statute, law, rule, or regulation or any
     judgment, order, writ, injunction, or decree of any Governmental Entity to
     which a specified person or property is subject.

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

          "Encumbrances" means liens, charges, pledges, options, mortgages,
     deeds of trust, security interests, claims, restrictions, easements, and
     other encumbrances of every type and description, whether imposed by law,
     agreement, understanding, or otherwise.

          "Governmental Entity" means any court or tribunal in any jurisdiction
     or any federal, state, municipal, or other governmental body, agency,
     authority, department, commission, board, bureau, or instrumentality.

          "Intellectual Property" means patents, trademarks, service marks,
     trade names, service names, brand names, copyrights, trade secrets, know-
     how, inventions, computer software (including documentation and object and
     source codes), and similar rights, and all registrations, applications,
     licenses, and rights with respect to any of the foregoing.

          "IRS" means the Internal Revenue Service.

          "Permits" means licenses, permits, franchises, consents, approvals,
     variances, exemptions, and other authorizations of or from Governmental
     Entities.

          "Permitted Encumbrances" means (i) Encumbrances created by Buyer, (ii)
     liens for Taxes not yet due and payable, (iii) statutory liens (including
     materialmen's, mechanic's, repairmen's, landlord's, and other similar
     liens) arising in connection with the ordinary course of business securing
     liabilities payments for which are not yet due and payable, and (iv) such
     imperfections or irregularities of title, if any, as are approved by Buyer
     and (A) are not substantial in character, amount, or extent and do not
     materially detract from the value of the property subject thereto, (B) do
     not materially interfere with either the present or intended use of such
     property, and (C) do not, individually or in the aggregate, materially
     interfere with the conduct of normal operations; provided, however, that
     "Permitted Encumbrances" shall not include any liens for Taxes or statutory
     liens filed of record against the Assets.

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

                                       32
<PAGE>

          "Proceedings" means all proceedings, actions, claims, suits,
     investigations, and inquiries by or before any arbitrator or Governmental
     Entity.

          "Taxes" means any income taxes or similar assessments or any sales,
     gross receipts, excise, occupation, use, ad valorem, property, production,
     severance, transportation, employment, payroll, franchise, or other tax
     imposed by any United States federal, state, or local (or any foreign or
     provincial) taxing authority, including any interest, penalties, or
     additions attributable thereto.

          "Tax Return" means any return or report, including any related or
     supporting information, with respect to Taxes.

                                  ARTICLE XIV

                                    JOINDER

     14.1 Joinder.  To the extent certain specific provisions of this
          -------
Agreement specifically and expressly require the act or assent of Access
Worldwide, Access Worldwide hereby joins in this Agreement for the limited
purpose of agreeing to said specific provisions, and, in connection herewith,
Access Worldwide specifically represents and warrants as follows:

     (a) Access Worldwide is a corporation duly organized, validly existing, and
in good standing under the laws of Delaware, and Access Worldwide and has all
requisite corporate power and corporate authority to own, lease, and operate its
properties and to carry on its business as now being conducted. No actions or
proceedings to dissolve Access Worldwide are pending or threatened.

     (b) Access Worldwide has full corporate power and corporate authority to
execute, deliver, and perform this Agreement and the Ancillary Documents to
which it is a party and to consummate the transactions contemplated hereby and
thereby. The execution, delivery, and performance by Access Worldwide of this
Agreement and the Ancillary Documents to which it is a party, and the
consummation by it of the transactions contemplated hereby and thereby, have
been duly authorized by all necessary corporate action. This Agreement has been
duly executed and delivered by Access Worldwide and constitutes, and each
Ancillary Document executed or to be executed by Access Worldwide has been, or
when executed will be, duly executed and delivered by Access Worldwide and
constitutes, or when executed and delivered will constitute, a valid and legally
binding obligation of Access Worldwide, enforceable against Access Worldwide in
accordance with its terms, except that such enforceability may be limited by (i)
applicable bankruptcy, insolvency, reorganization, moratorium, and similar laws
affecting creditors' rights generally, (ii) equitable principles that may limit
the availability of certain equitable remedies (such as specific performance) in
certain instances, and (iii) public policy considerations with respect to the
enforceability of rights of indemnification.

                                       33
<PAGE>

     IN WITNESS WHEREOF, the parties have executed this Agreement, or caused
this Agreement to be executed by their duly authorized representatives, all as
of the day and year first above written.

                                     AWWC TEXAS I, LP

                                     By:  ACCESS WORLDWIDE COMMUNICATIONS, INC.,
                                          its general partner

                                          By: /s/ MICHAEL DINKINS
                                             ----------------------------
                                             Name:  Michael Dinkins
                                             Title: CEO

                                     ACCESS WORLDWIDE COMMUNICATIONS, INC.

                                     By:  /s/ MICHAEL DINKINS
                                         -----------------------
                                         Name:  Michael Dinkins
                                         Title: CEO

                                     MERKAFON INTERNATIONAL, LTD.

                                     By:  MERKAFON MANAGEMENT COMPANY,
                                          its general partner

                                          By:  /s/ ALEJANDRO PEREZ E.
                                             ----------------------------
                                             Name:  Alejandro Perez E.
                                             Title: Director

                                       34<PAGE>

                                                                    Exhibit 10.1

                                OPTION AGREEMENT
                                     between

                         HEARST-ARGYLE PROPERTIES, INC.

                                       and

                        EMMIS COMMUNICATIONS CORPORATION

                            Dated as of June 5, 2000
<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                                             Page
                                                                                                             ----
<S>                                                                                                          <C>
1.          Option............................................................................................1

            1.1.        Grant of Option.......................................................................1

            1.2.        Exercise Procedures...................................................................1

2.          Purchase of Assets and Assumption of Liabilities..................................................1

            2.1.        Purchase of Assets....................................................................1

            2.2.        Excluded Assets.......................................................................3

            2.3.        Assumed Liabilities...................................................................3

            2.4.        Liabilities Not Assumed...............................................................4

3.          Option Payments and Purchase Price................................................................4

            3.1.        Option Payments.......................................................................4

            3.2.        Amount................................................................................4

            3.3.        Allocation............................................................................5

4.          Closing Date; Cash Payment; Purchase Price Adjustment; Collection of Accounts Receivable..........5

            4.1.        Closing...............................................................................5

            4.2.        Cash Payment..........................................................................5

            4.3.        Purchase Price Adjustment.............................................................5

            4.4.        Collection of Accounts Receivable.....................................................6

5.          Nonassignable Contracts or Licenses...............................................................7

6.          Representations and Warranties of Seller..........................................................7

            6.1.        Organization, Power, Standing and Qualification.......................................7

            6.2.        Due Authorization.....................................................................7

            6.3.        Freedom to Contract...................................................................7

            6.4.        Assets................................................................................8

            6.5.        Financial Information................................................................10

            6.6.        Title to Property....................................................................11

            6.7.        Condition of Property................................................................11

            6.8.        Labor Matters........................................................................11

            6.9.        Transactions with Affiliates; Entire Business........................................12

            6.10.       Litigation...........................................................................12

            6.11.       Compliance with Law..................................................................12

            6.12.       Employee Benefit Plans...............................................................12

</TABLE>
<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                                                             Page
                                                                                                             ----
<S>                                                                                                          <C>
            6.13.       Tax Matters..........................................................................12

            6.14.       Environmental Matters................................................................13

            6.15.       Brokers..............................................................................13

            6.16.       Disclaimer of Seller.................................................................13

            6.17.       Full Disclosure......................................................................13

7.          Representation and Warranties of Buyer...........................................................13

            7.1.        Organization, Power and Standing.....................................................13

            7.2.        Authorization........................................................................13

            7.3.        Freedom to Contract..................................................................13

            7.4.        Litigation...........................................................................14

            7.5.        Brokers..............................................................................14

            7.6.        Qualifications as FCC Licensee.......................................................14

            7.7.        Adequacy of Financing................................................................14

            7.8.        Breaches.............................................................................14

8.          Pre-Closing Covenants............................................................................14

            8.1.        Transactions and Conduct of Business Pending the Closing.............................14

            8.2.        Regulatory and Other Approvals.......................................................15

            8.3.        FCC Application......................................................................15

9.          Conditions Precedent to Closing..................................................................16

            9.1.        Conditions Precedent to the Obligations of Buyer to Complete the Closing.............16

            9.2.        Conditions Precedent to the Obligations of Seller to Complete the Closing............17

10.         Additional Agreements............................................................................18

            10.1.       Further Information..................................................................18

            10.2.       Record Retention.....................................................................18

            10.3.       Tax-Free Exchange....................................................................18

            10.4.       Employee and Employee Benefit Matters................................................18

            10.5.       Tax Matters..........................................................................19

            10.6.       Use of Names.........................................................................20

            10.7.       Audited Financial Statements.........................................................20

            10.8.       No Solicitation......................................................................20

11.         Survival; Indemnification........................................................................20
</TABLE>

                                       ii
<PAGE>

                                TABLE OF CONTENTS
                                   (continued)

<TABLE>
<CAPTION>
                                                                                                             Page
                                                                                                             ----
<S>                                                                                                          <C>
            11.1.       Survival of Representations and Warranties...........................................20

            11.2.       Indemnification of Buyer.............................................................21

            11.3.       Indemnification of Seller............................................................22

            11.4.       Exclusive Provisions; No Rescission..................................................22

12.         Termination of Agreement.........................................................................22

            12.1.       Termination..........................................................................22

            12.2.       Survival.............................................................................23

13.         Miscellaneous....................................................................................23

            13.1.       Certain Definitions..................................................................23

            13.2.       Expenses.............................................................................25

            13.3.       Notices..............................................................................25

            13.4.       Publicity; Confidentiality...........................................................26

            13.5.       Entire Agreement.....................................................................26

            13.6.       Waivers and Amendments...............................................................27

            13.7.       Governing Law........................................................................27

            13.8.       Binding Effect; No Assignment........................................................27

            13.9.       Seller Not Responsible for Buyer's Actions Under TBA.................................27

            13.10.      Variations in Pronouns...............................................................28

            13.11.      Counterparts.........................................................................28

            13.12.      Exhibits and Schedules...............................................................28

            13.13.      Headings.............................................................................28

            13.14.      Severability of Provisions...........................................................28

            13.15.      No Third Party Beneficiary...........................................................28

            13.16.      Specific Performance.................................................................28

</TABLE>

                                      iii
<PAGE>

                                OPTION AGREEMENT
                                ----------------

            This OPTION AGREEMENT made this 5th day of June, 2000, is by and
between Hearst-Argyle Properties, Inc., a Delaware corporation, with offices at
888 Seventh Avenue, New York, New York 10106 (the "Seller"), and Emmis
Communications Corporation, an Indiana corporation, with offices at One Emmis
Plaza, 40 Monument Circle, Suite 700, Indianapolis, Indiana 46204 (the "Buyer").

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

            WHEREAS, Seller owns and operates radio stations KTAR-AM, KMVP-AM
and KKLT-FM (the "Stations") in Phoenix, Arizona pursuant to licenses issued by
the Federal Communications Commission (the "FCC"); and

            WHEREAS, Seller desires to sell, and Buyer desires to purchase,
substantially all of the assets owned, used or held for use primarily in the
conduct of the business and operations of the Stations, and in connection
therewith, Buyer has agreed to assume certain of the liabilities of Seller
relating to the Stations, all on the terms set forth herein; and

            WHEREAS, concurrently with the execution and deliver of this
Agreement, Seller and Buyer have entered into a Program Service and Time
Brokerage Agreement, dated as of the date hereof (the "TBA"); and

            WHEREAS, certain terms used herein have the meanings ascribed to
such terms in Section 13.1 hereof.

            NOW, THEREFORE, in consideration of the foregoing and of the
respective promises, covenants, representations and warranties herein contained,
it is agreed:

            1. Option.
               -------

               1.1. Grant of Option. Seller grants to Buyer the exclusive right
                    ---------------
and option (the "Option") to purchase, on the Closing Date (as defined below),
the Assets (as defined below), and assume the Assumed Liabilities (as defined
below), upon and subject to the terms and conditions of this Agreement,
including, without limitation, Section 10.3.

               1.2. Exercise Procedures. Buyer may exercise the Option only by
                    -------------------
giving written notification of such exercise to Seller at any time during the
earlier to occur of (i) the period commencing on the date that Seller provides
written notification to Buyer ("Early Notification") that Buyer may exercise the
Option and ending sixty (60) calendar days after the date of the Early
Notification (the "Early Exercise Period"), or (ii) the period commencing on the
third anniversary of the date hereof and ending thirty (30) calendar days after
the third anniversary of the date hereof (the "Exercise Period"). If the Option
is properly exercised, Seller and Buyer shall be required to consummate the
purchase and sale of the Assets, and the assumption of the Assumed Liabilities,
in accordance with this Agreement. Anything contained herein to the contrary
notwithstanding, if Seller gives the Early Notification and Buyer shall not
exercise the Option on or before the end of the Early Exercise Period, then the
Option shall terminate and become null and void.

            2. Purchase of Assets and Assumption of Liabilities.
               -------------------------------------------------

               2.1. Purchase of Assets. On the terms and subject to the
                    ------------------
conditions set forth in this Agreement and except as provided in Section 2.2,
provided that the Option is properly exercised, on the Closing Date, Seller
agrees to sell, transfer, assign, convey and deliver to Buyer, and Buyer agrees
to purchase, acquire and accept from Seller, all of Seller's right, title and
interest in and to all of the assets,
<PAGE>

properties and rights of Seller owned, leased, licensed or used by Seller
primarily in the conduct of the business and operations (the "Business") of the
Stations, as and to the extent existing on the Closing Date (such assets,
properties and rights are hereinafter collectively referred to as the "Assets"),
free and clear of all liens and encumbrances other than Permitted Liens. Without
limitation of the foregoing, but except as provided in Section 2.2, the Assets
include the following:

               (a) Real Property. All real property owned by Seller which is
                   -------------
described on Schedule 6.4(c) hereto, together with all easements, licenses,
interests and all of the rights arising out of the ownership thereof or
appurtenant thereto (the "Real Property"), together with all buildings,
structures, facilities, fixtures and other improvements on the Real Property
(the "Improvements");

               (b) Real Property Leases. The Real Property Leases listed on
                   --------------------
Schedule 6.4(c) hereto (the "Leases");

               (c) Inventory. All Inventory which is owned by Seller primarily
                   ---------
with respect to the conduct of the Business as and to the extent existing on the
Closing Date;

               (d) Tangible Personal Property. All Tangible Property owned or
                   --------------------------
used by Seller primarily with respect to the conduct of the Business, including,
but not limited to, the Tangible Property set forth on Schedule 6.4(a) hereto,
together with any modifications, replacements, improvements to such Tangible
Property, and subject to such additional Tangible Property and deletions
therefrom, made or acquired by Seller between the date hereof and the Closing
Date in accordance with the terms and provisions of this Agreement or the TBA;

               (e) Contracts. To the extent assignable, all contracts and other
                   ---------
agreements (other than the Leases) to which Seller is a party and which relate
primarily to the conduct of the Business (the "Contracts"), including, but not
limited to, those set forth on Schedule 6.4(d) hereto;

               (f) Intangible Property. All Intangible Property (other than
                   -------------------
corporate names, logos, trademarks or tradenames) owned or used by Seller
primarily with respect to the conduct of the Business, and all associated
goodwill, including but not limited to the Intangible Property (other than
corporate names, logos, trademarks or tradenames) listed on Schedule 6.4(b)
hereto and all of the corporate names, logos, trademarks and tradenames set
forth on Schedule 2.1(f) hereto;

               (g) Books and Records. All general, financial and personnel
records, correspondence and other files and records, including customer lists
and sales records of Seller, pertaining primarily to the conduct of the Business
as and to the extent existing on the Closing Date;

               (h) Goodwill. All of Seller's goodwill in the Business;
                   --------

               (i) Claims. All claims, causes of action, rights of recovery and
                   ------
rights of set-off arising primarily out of the conduct of the Business as and to
the extent existing on the Closing Date; and

               (j) Licenses. All licenses, permits, and regulatory approvals of
                   --------
Seller pertaining to the Stations (the "Licenses"), including, without
limitation, all licenses and authorizations issued by the FCC authorizing
Seller's operation of the Stations (the "FCC Licenses") as set forth on Schedule
6.4(f) hereto.

                                       2
<PAGE>

               2.2. Excluded Assets. Any provision of this Agreement to the
                    ---------------
contrary notwithstanding, Buyer shall not acquire and there shall be excluded
from the Assets the following (the "Excluded Assets"):

               (a) Cash. All cash, marketable securities, commercial paper,
                   ----
certificates of deposit and other bank deposits, treasury bills and other cash
equivalents;

               (b) Accounts Receivables. All accounts receivables owned by
                   --------------------
Seller and arising primarily out of the conduct of the Business;

               (c) Prepaid Expenses. All prepaid expenses relating primarily to
                   ----------------
the conduct of the Business;

               (d) Bank Accounts. All rights with respect to bank accounts;
                   -------------

               (e) Intercompany Accounts. All rights of Seller or the Business
                   ---------------------
with respect to any obligations of any other business unit of Seller, any
Affiliate of Seller or any director or officer (other than those officers who
are Transferred Employees (as defined below)) of Seller or of any Affiliate of
Seller;

               (f) Certain Names. All rights to use the corporate names, logos,
                   -------------
trademarks or tradenames not set forth on Schedule 2.1(f) hereto or any
derivatives or variances thereof which are not set forth on Schedule 2.1(f)
hereto, including but not limited to, the name "Hearst", "Hearst-Argyle", the
Hearst and Hearst-Argyle corporate logos and any derivatives or variances
thereof;

               (g) Insurance. All insurance policies and all rights of every
                   ---------
nature and description under or arising out of such policies;

               (h) Employee Benefit Plans. Except as expressly set forth in
                   ----------------------
Section 10.4, all Plans, including all rights, obligations and liabilities under
and all assets of the Plans;

               (i) Loan Documents. All notes, bonds, loan agreements, and other
                   --------------
instruments evidencing or securing liabilities for indebtedness for borrowed
money owed to a third party, including guarantees of the foregoing, except for
capitalized leases included in the Contracts listed on Schedule 6.4(d)
or not required to be so listed; and

               (j) Other Matters. All rights of Seller under this Agreement, the
                   -------------
TBA, and the agreements and instruments delivered to Seller by Buyer pursuant to
this Agreement and all other assets of Seller which are not owned or used by
Seller primarily in the conduct of the Business, including those listed on
Schedule 2.2(j).

               2.3. Assumed Liabilities. Subject to the terms and conditions set
                    -------------------
forth in this Agreement and except as provided in Section 2.4, if the Option is
properly exercised Buyer agrees that, on the Closing Date, Buyer shall assume
and thereafter pay, perform and discharge when due the following obligations and
liabilities of Seller with respect to the Business as and to the extent existing
on the Closing Date (the "Assumed Liabilities"):

               (a) Real Property Lease Obligations. All obligations of Seller
                   -------------------------------
arising during and relating to the period after the Closing under the Leases;

               (b) Obligations Under Contracts. All obligations of Seller
                   ---------------------------
arising during and relating to the period after the Closing under the Contracts;
and

                                       3
<PAGE>

               (c) Other Matters. All liabilities expressly set forth as being
                   -------------
assumed or payable by Buyer pursuant to Section 10.4.

               2.4. Liabilities Not Assumed. Anything contained in this
                    -----------------------
Agreement to the contrary notwithstanding, Buyer shall not assume and there
shall be excluded from the Assumed Liabilities all obligations of Seller or the
Business to any other business unit of Seller, any Affiliate of Seller or any
director or officer (other than those officers who are Transferred Employees) of
Seller or of any Affiliate of Seller. Except for the Assumed Liabilities, Buyer
shall not assume or be liable or obligated for any obligations or liabilities of
Seller of any kind or nature, whether accrued or unaccrued, fixed, absolute or
contingent, determined or determinable, matured or unmatured, due or to become
due, asserted or unasserted, or known or unknown, and regardless of whether
required by generally accepted accounting principles to be reflected on a
balance sheet or disclosed in the related notes (the "Excluded Liabilities").
Seller shall pay, perform and discharge in a timely manner or shall make
adequate provision for all of the Excluded Liabilities; provided, however, that
Seller may contest, in good faith, any claim of liability asserted by a third
party in respect thereof.

            3. Option Payments and Purchase Price.
               ----------------------------------

               3.1. Option Payments. As of the date hereof, in consideration for
                    ---------------
the grant of the Option, Buyer shall pay, in the manner provided in Section 4.2,
to Seller or to a Person designated in writing by Seller, an amount equal to
Twenty Million Dollars ($20,000,000) (the "Initial Option Payment"). Provided
that the Closing has not occurred, on or before each of the dates which are the
first and second anniversaries of the date hereof, Buyer shall pay, in the
manner provided in Section 4.2, to Seller or to a Person designated in writing
by Seller, an amount equal to Five Million Dollars ($5,000,000) (each a "Future
Option Payment," and together with the Initial Option Payment, the "Option
Payments"). Anything contained in this Agreement to the contrary
notwithstanding, unless this Agreement is terminated by Buyer pursuant to
Section 12.1(c) or by Buyer or Seller pursuant to Section 12.1(d), the Option
Payments and the Creditable Interest (as defined below) shall not be refundable
and Seller shall be entitled to retain the Option Payments and the Creditable
Interest regardless of whether the Closing shall occur or this Agreement or the
TBA shall be terminated. Seller shall deposit the Option Payments in an interest
bearing account. If this Agreement is terminated by Buyer pursuant to Section
12.1(c) or by Buyer or Seller pursuant to Section 12.1(d), the Option Payments
and the Creditable Interest shall be refunded to Buyer within two (2) Business
Days of any such termination. For purposes of this Agreement, "Creditable
Interest" shall be an amount equal to (a) 50% of any actual interest earned by
Seller or Seller's designee on the Option Payments made by Buyer to Seller
pursuant to this Agreement during the period beginning on the date the Initial
Option Payment is paid and ending on the date which is the one year anniversary
of such date, and (b) 100% of any actual interest earned by Seller or Seller's
designee on the Option Payments made by Buyer pursuant to this Agreement to
Seller during the period beginning on the date which is the day after the one
year anniversary of the date the Initial Option Payment is paid and ending on
the date which is the earlier to occur of the Closing Date or the date which is
the day preceding the date on which the Creditable Interest shall be refunded to
Buyer.

               3.2. Amount. The purchase price (the "Purchase Price") for the
                    ------
Assets shall be (i) an amount equal to One Hundred Sixty Million Dollars
($160,000,000) reduced by the Option Payments made in accordance with the
provisions set forth in Section 3.1 and the Creditable Interest as calculated
pursuant to Section 3.1 (the "Cash Payment"), payable at the Closing in the
manner provided in Section 4.2, and (ii) the assumption by Buyer of the Assumed
Liabilities. The Purchase Price shall be subject to adjustment after the date
hereof as provided in Section 4.3.

               3.3. Allocation. The Purchase Price shall be allocated among the
                    ----------
Assets on a schedule to be attached hereto as Schedule 3.3 and agreed to by the
parties hereto on or prior to the

                                       4
<PAGE>

Closing Date. Such purchase price allocation shall be made consistent with
Section 1060 of the Code. Each of the parties hereto shall not, and shall not
permit any of its Affiliates to, take a position (except as required pursuant to
any Order) on any Tax Return, before any governmental agency charged with the
collection of any Tax, or in any judicial proceeding, that is in any way
inconsistent with the Purchase Price allocation determined in accordance with
this Section 3.3.

            4. Closing Date; Cash Payment; Purchase Price Adjustment;
               ------------------------------------------------------
Collection of Accounts Receivable.
----------------------------------

               4.1. Closing. The closing hereunder (the "Closing") shall take
                    -------
place at 10:00 a.m., New York time, at the offices of Clifford Chance Rogers &
Wells LLP, 200 Park Avenue, New York, New York 10166, on the date that is the
five (5) Business Days after the satisfaction or waiver of the conditions
precedent contained in Section 9, or at such other date or at such other place
or time as the parties may mutually agree upon in writing (such date of the
Closing is hereinafter referred to as the "Closing Date").

               4.2. Cash Payment. Buyer shall make the Option Payments by bank
                    ------------
wire transfer in immediately available funds to a bank account designated in
writing to Buyer by Seller not less than two Business Days before the date such
Option Payments are required to be made pursuant to Section 3.1. At the Closing,
Buyer shall pay the Cash Payment by bank wire transfer in immediately available
funds to a bank account designated in writing to Buyer by Seller not less than
two Business Days before the Closing Date.

               4.3. Purchase Price Adjustment. The Purchase Price shall be
                    -------------------------
adjusted as follows:

               (a) Seller shall receive a credit for the unapplied portion, as
of the Closing Date, of the security deposits made by Seller under those Leases
and Contracts which Buyer has agreed to assume after the Closing pursuant to
Section 2.3 of this Agreement.

               (b) Buyer shall be given a credit in the amount equal to the
financial value (determined in accordance with generally accepted accounting
principles consistently applied) of all time required to be broadcast on the
Stations on or after the Closing Date under the trade agreements included as
part of the Contracts for which Seller has received goods and services prior to
the Closing Date ("Buyer's Trade Credit"), and Seller shall be given a credit
for the financial value (determined in accordance with generally accepted
accounting principles consistently applied) of the goods and services to be
received on or after the Closing Date under the trade agreements included as
part of the Contracts for which Seller has broadcast time on the Stations prior
to the Closing Date ("Seller's Trade Credit"), provided, that, Seller's Trade
Credit shall not exceed Buyer's Trade Credit by more than Twenty-Five Thousand
Dollars ($25,000).

               (c) If consents to the assignment to Seller of the Real Estate
Leases listed on Schedule 4.3(c), have not been obtained as of the Closing Date,
Buyer shall be given a credit, as of the Closing Date, of One Million Five
Hundred Thousand Dollars ($1,500,000.00).

               (d) Anything in this Agreement to the contrary notwithstanding,
all operating income and expenses of the Stations shall be further adjusted and
allocated between Seller and Buyer to the extent necessary to effect the
principle that all such income and expenses attributable to the operation of the
Stations on and after the Closing Date shall be for the account of Buyer and all
such income and expenses attributable to the operation of the Stations on or
before the Closing Date shall be for the account of Seller. The net amount of
any Adjustments to the Purchase Price pursuant to this Section 4.3 shall be
hereinafter referred to as the "Acquisition Adjustment Amount." Anything in this
Agreement to the

                                       5
<PAGE>

contrary notwithstanding, the operating income to which Buyer is entitled under
the TBA, and the operating expenses required to be paid by Buyer under the TBA,
shall not be taken into account in determining the Acquisition Adjustment
Amount.

               (e) Three (3) business days prior to the Closing Date, Seller
shall provide Buyer with a statement setting forth a detailed computation of
Seller's reasonable and good faith estimate of the Acquisition Adjustment Amount
as of the Closing Date (the "Preliminary Acquisition Adjustment Report").
Thereafter, Seller and Buyer shall have thirty (30) calendar days after the
Closing Date to review the Preliminary Acquisition Adjustment Report and the
related books and records of Seller, and Buyer and Seller will in good faith
seek to reach agreement on the final Acquisition Adjustment Amount as of the
Closing Date. If an agreement is reached within thirty (30) calendar days after
the Closing Date, then if the Acquisition Adjustment Amount reflected on the
Preliminary Acquisition Adjustment Report is a credit to Buyer, Seller shall pay
to Buyer by wire transfer of immediately available funds, within five (5)
calendar days after such agreement is reached, the amount of the preliminary
Acquisition Adjustment Amount, and if the Acquisition Adjustment Amount
reflected on the Preliminary Acquisition Adjustment Report is a charge to Buyer,
then Buyer shall pay to Seller by wire transfer of immediately available funds,
within five (5) calendar days after such agreement is reached, the amount of the
preliminary Acquisition Adjustment Amount. If agreement is not reached within
such 30-day period, then the dispute resolutions of Section 4.3(f) shall apply.

               (f) If Seller and Buyer do not, within the 30-day period
specified in Section 4.3(e), reach an agreement on the Acquisition Adjustment
Amount reflected on the Preliminary Acquisition Adjustment Report, then
PriceWaterhouseCoopers, or such other accounting firm as mutually agreed to by
Seller and Buyer (the "Acquisition Arbitrating Firm") shall resolve the disputed
items. Buyer and Seller shall each inform the Acquisition Arbitrating Firm in
writing as to their disagreement concerning the Acquisition Adjustment Amount
reflected on the Preliminary Acquisition Adjustment Report, and each shall make
readily available to the Acquisition Arbitrating Firm any books and records and
work papers relevant to the preparation of such firm's computation of the
Acquisition Adjustment Amount. The Acquisition Arbitrating Firm shall be
instructed to complete its analysis within thirty (30) calendar days from the
date of its engagement and upon completion to inform the parties in writing of
its own determination of the Acquisition Adjustment Amount. Any determination by
the Acquisition Arbitrating Firm in accordance with this Section 4.3(f) shall be
final and binding on the parties for purposes of this Section 4.3(f). Within
five (5) calendar days after the Acquisition Arbitrating Firm delivers to the
parties its written determination of the Acquisition Adjustment Amount, the
Acquisition Adjustment Amount shall be paid in accordance with the provisions of
Section 4.3(e). The costs and fees of the Acquisition Arbitrating Firm shall be
borne one-half by Seller and one-half by Buyer.

               4.4. Collection of Accounts Receivable. As soon as practicable
                    ---------------------------------
after the Closing Date, Seller shall deliver to Buyer a complete and detailed
list of all Seller's accounts receivable arising from the broadcast of
advertising time on the Stations prior to the Closing Date. For a period of one
hundred fifty (150) days following the Closing Date (the "Acquisition Collection
Period"), Buyer will use its reasonable efforts, as Seller's agent, to collect
such accounts receivable in the usual and ordinary course of business. Buyer
shall not be required to institute any legal proceedings to enforce the
collection of such accounts receivable or to refer any of such accounts
receivable to a collection agency. Buyer shall not adjust any such accounts
receivable or grant credit without Seller's prior written consent, and any such
accounts receivable amounts collected on behalf of Seller shall be paid to
Seller within five (5) calendar days after the end of each month during such 150
day period. Within five (5) calendar days after the one hundred fiftieth (150th)
day after the Closing Date, Buyer shall deliver to Seller a statement listing
all uncollected accounts receivable, together with all files concerning the
collection or attempts to collect such accounts receivable. Other than
cooperating with any subsequent reasonable requests for information by Seller,
Buyer's responsibility for such accounts shall thereafter cease. Buyer shall
incur no

                                       6
<PAGE>

liability to Seller for any uncollected account. All sums collected by Buyer
during the Acquisition Collection Period from any person obligated with respect
to any such account receivable shall be applied first to such account
receivable, provided, however, if such person so obligated with respect to any
such account receivable shall (a) identify in writing that such account is in
dispute, and (b) request in writing that a particular payment be applied to a
specific account receivable of Buyer, Buyer may apply the sums collected as so
designated. After full satisfaction of Seller's account, the balance, if any,
shall be applied to Buyer's accounts.

            5. Nonassignable Contracts or Licenses. To the extent that
               -----------------------------------
assignment hereunder by Seller to Buyer of any Lease, Contract or License is not
permitted or is not permitted without the consent of any third party, this
Agreement shall not be deemed to constitute an undertaking to assign the same if
such consent is not given or if such an undertaking otherwise would constitute a
breach of or cause a loss of benefits thereunder. Seller will use commercially
reasonable efforts to obtain any and all such third party consents; provided,
however, that Seller shall not be required to pay or incur any cost or expense
to obtain any third party consent which Seller is not otherwise required to pay
or incur in accordance with the terms of the applicable Lease, Contract or
License. Buyer shall cooperate with Seller in obtaining such third party
consents, provided that Buyer shall not be required to agree to any adverse
change in the terms or conditions of any such Lease, Contract or License or to
pay or provide any fee or other consideration to a third party in order to
obtain such third party's consent. If any such third party consent is not
obtained before the Closing, Seller will cooperate with Buyer but at Buyer's
sole expense in any reasonable arrangement designed to provide to Buyer after
the Closing the benefits under the applicable Lease, Contract or License.

            6. Representations and Warranties of Seller. Seller represents
               ----------------------------------------
and warrants to Buyer as follows:

               6.1. Organization, Power, Standing and Qualification. Seller is a
                    -----------------------------------------------
corporation duly incorporated, validly existing and in good standing under the
laws of the State of Delaware, and Seller is duly authorized, qualified and
licensed to do business as a foreign corporation and is in good standing under
the laws of Arizona. Seller has all requisite corporate power and authority to
enter into and perform the Transaction Agreements.

               6.2. Due Authorization. The execution and delivery by Seller of
                    -----------------
the Transaction Agreements, the performance by it of its obligations under the
Transaction Agreements, and the transactions contemplated by the Transaction
Agreements, have been duly and validly authorized by all necessary corporate
action on the part of Seller. This Agreement has been duly executed and
delivered by Seller and is, and upon execution and delivery of the TBA the TBA
will be, a valid and binding obligation of Seller enforceable in accordance with
its terms.

               6.3. Freedom to Contract. Except as set forth on Schedule 6.3
                    -------------------
hereto, the execution and delivery of the Transaction Agreements do not, and the
consummation of the transactions contemplated by the Transaction Agreements will
not, (i) violate or conflict with the provisions of the certificate of
incorporation or by-laws of Seller, (ii) result in the imposition of any
material lien under, cause the acceleration of any material obligation under, or
violate or conflict with the material terms, conditions or provisions of, or
require any material consent under, any material note, indenture, mortgage,
lease, guaranty or other material agreement or instrument to which Seller is a
party or by which it is bound, (iii) result in a material breach or violation by
Seller of any of the material terms, conditions or provisions of any Law or
Order the breach or violation of which would be material to the Assets, the
Business or the transactions contemplated pursuant to this Agreement, or (iv)
except for filings under the HSR Act as described in Section 8.2 and the
expiration of the applicable waiting period under the HSR Act, and the filings
with the FCC as described in Section 8.3 and the consent and the approval of the

                                       7
<PAGE>

FCC, require any material consent or approval of, filing with or notice to any
Governmental or Regulatory Body where the failure to obtain or make such
consent, approval, filing or notice would be material to the Assets, Business or
the transactions contemplated pursuant to this Agreement.

               6.4. Assets.
                    -------

               (a) Tangible Property. Schedule 6.4(a) hereto sets forth a true,
                   -----------------
correct and complete list, as of the date of this Agreement, of each material
item of Tangible Property owned by Seller primarily with respect to the conduct
of the Business.

               (b) Intangible Property. Schedule 6.4(b) hereto sets forth a
                   -------------------
true, correct and complete list, as of the date of this Agreement, of all
material Intangible Property (to the extent reducible to written form) owned or
used by Seller primarily with respect to the conduct of the Business, and
indicates whether each item of such Intangible Property is owned or licensed by
Seller, and if licensed, identifies the license. Except as set forth on Schedule
6.4(b), to the knowledge of Seller, none of the Intangible Property set forth on
Schedule 6.4(b) infringes upon the material rights of any other Person, nor, to
the knowledge of Seller, is such Intangible Property materially infringed upon
by any other Person.

               (c) Real Property and Real Property Leases. Schedule 6.4(c)
                   --------------------------------------
hereto sets forth a true, correct and complete list, as of the date of this
Agreement, of all Real Property and Improvements owned by Seller and all Leases
to which Seller is a party and which relate primarily to the conduct of the
Business. Seller has heretofore delivered or made available to Buyer a true,
correct and complete description of the Real Property and Improvements and true,
correct and complete copies of the Leases. Seller holds good title to each
parcel of the Real Property and good title to the Improvements, free and clear
of any liens or encumbrances other than Permitted Liens.

               (d) Material Contracts. Schedule 6.4(d) hereto sets forth a true,
                   ------------------
correct and complete list, as of the date of this Agreement, of each of the
following contracts and other agreements to which Seller is a party and which
relate primarily to the conduct of the Business (other than contracts and other
agreements which are not included in the Assumed Liabilities or in the Assets)
(collectively, the "Material Contracts"):

                              (A) contracts and other agreements for the future
               acquisition or sale of any assets involving $20,000 individually
               (or in the aggregate, in the case of any related series of
               contracts and other agreements), other than for acquisitions of
               programming or sales of advertising in the ordinary course of
               business consistent with past practice;

                              (B) contracts and other agreements relating to
               joint ventures or partnerships;

                              (C) contracts and other agreements calling for
               future aggregate purchase prices, payments or other consideration
               to or from Seller in any one year having a value of more than
               $20,000 in any one case (or in the aggregate, in the case of any
               related series of contracts and other agreements) other than for
               acquisitions of programming or sales of advertising in the
               ordinary course of business consistent with past practice;

                              (D) contracts and other agreements containing
               covenants of Seller prohibiting or materially limiting the right
               to compete in any line of business,

                                       8
<PAGE>

               prohibiting or restricting its ability to conduct business with
               any Person or in any geographical area, or requiring the
               acquisition of goods or services exclusively from a single
               supplier or provider;

                              (E) contracts and other agreements relating to the
               acquisition by Seller of any operating business, the capital
               stock of any other Person or, except for Tangible Property or
               programming acquired in the ordinary course of business
               consistent with past practices, or any other assets or property
               (real or personal) for a purchase price of more than $20,000
               individually (or in the aggregate, in the case of any related
               series of contracts and other agreements);

                              (F) contracts and other agreements requiring the
               payment by or to Seller of a royalty, override or similar
               commission or fee of more than $20,000 in any one year;

                              (G) all collective bargaining agreements;

                              (H) contracts and other agreements relating to the
               creation of liens or the guarantee of the payment of liabilities
               or performance of obligations of any other Person by Seller;

                              (I) all network affiliation contracts;

                              (J) all sales agency or advertising representation
               contracts;

                              (K) all employment contracts;

                              (L) all contracts with independent contractors
               other than those not requiring expenditures of more than $20,000
               in any calendar year and having a term of not more than one (1)
               year; and

                              (M) all contracts and other agreements for the
               sale of broadcast time on any Station for other than monetary
               consideration having a value of more than $20,000, including the
               parties thereto, the financial value of the time required to be
               provided from and after the date indicated on Schedule 6.4(d) and
               the estimated financial value of the goods or services to be
               received by Seller from and after such date.

True, correct and complete copies of all of the Material Contracts have been
delivered by Seller to Buyer.

               (e) Validity of Real Property Leases and Material Contracts.
                   --------------------------------------------------------
Except as disclosed on Schedule 6.4(e)(1) hereto, (i) each of the Leases and
Material Contracts is a valid, binding agreement, enforceable in accordance with
its terms, of Seller and, to the knowledge of Seller, of each other party
thereto, subject to the qualifications that enforcement of the rights and
remedies created thereby is subject to: (A) bankruptcy, insolvency,
reorganization, moratorium and other laws of general application affecting the
rights and remedies of creditors; and (B) general principles of equity
(regardless of whether such enforcement is considered in a proceeding in equity
or at law), (ii) Seller is not in default in any material respect under any of
such Leases or Material Contracts, nor does any condition exist that with notice
or lapse of time or both would constitute such a default, (iii) to the knowledge
of Seller, no other party to any such Lease or Material Contract is in default
in any material respect thereunder, nor does any condition exist that with
notice or lapse of time or both would constitute such a default, and (iv) no
consent or approval by any party to any of the Leases or Material Contracts is
required for the

                                       9
<PAGE>

consummation of the transactions contemplated hereby. Seller has obtained
consent to the assignment to Buyer of the Lease and Contracts set forth on
Schedule 6.4(e)(2).

               (f) Licenses. Schedule 6.4(f) sets forth a list of all FCC
                   --------
Licenses and all other material Licenses held by Seller relating to the
operation of the Stations or required for the lawful conduct of the Business as
now conducted. Seller is the valid and legal holder of each of the FCC Licenses.
The expiration date of the term of each FCC License is shown on Schedule 6.4(f).
The FCC Licenses (i) are valid and in full force and effect and (ii) constitute
all of the material licenses, permits and authorizations used in or required for
the current operation of the Stations under the Communications Act of 1934, as
amended, and the rules, regulations and policies of the FCC (collectively, the
"Communications Act"). None of the FCC Licenses is subject to any restriction or
condition which would in any respect limit the full operation of the Stations as
they are currently operated by Seller. Seller knows of no fact or circumstance
which would, under the Communications Act, disqualify or preclude Seller from
assigning the FCC Licenses to Buyer. There are no proceedings, complaints,
notices of forfeiture, claims, or investigations pending or, to Seller's
knowledge, threatened, against Seller, or any officer, director, or stockholder
of Seller that would materially impair the ability of Seller to assign the FCC
Licenses to Buyer or which would materially impede Seller's ability to prosecute
the FCC Applications or seek the grant of the FCC Consents (as defined herein).
Except as noted in Schedule 6.4(f), each of the Stations is licensed by the FCC
to operate, and is operating, with the facilities authorized by its respective
FCC License. There is not, as of the date hereof, pending, or to the knowledge
of Seller threatened, any action or proceeding by or before the FCC to revoke,
cancel, rescind or modify (including a reduction in coverage area) any of the
FCC Licenses (other than proceedings to amend FCC rules of general
applicability) or refuse to renew the FCC Licenses, and there is not now issued
or outstanding, or to the knowledge of Seller pending or threatened, by or
before the FCC, any order to show cause, notice of violation, notice of apparent
liability, or notice of forfeiture or complaint against Seller with respect to
any Station, other than regularly scheduled license renewal proceedings. Each
Station respectively is operating, and the Assets are operated, in compliance in
all material respects with the FCC Licenses and the Communications Act. There
are no unsatisfied or otherwise outstanding citations issued by the FCC with
respect to any Station. To the best of Seller's knowledge, there exist no facts,
conditions or events relating to Seller or the Stations that would cause the
denial of an application for consent from the FCC with respect to the assignment
of the FCC Licenses as provided in this Agreement or the imposition of any
material adverse condition in connection with the granting of such consent.
True, complete and accurate copies of all FCC Licenses have been delivered by
Seller to Buyer.

               6.5. Financial Information.
                    ----------------------

               (a) Financial Statements. Seller has delivered to or made
                   --------------------
available to Buyer true and complete copies of the unaudited balance sheets of
the Stations as of March 31, 2000 and December 31, 1999 and the related
unaudited statements of operating income for the periods March 19, 1999 through
December 31, 1999, and January 1, 2000 through March 31, 2000 (such financial
statements are hereinafter collectively referred to as the "Financial
Statements"). Except as disclosed on Schedule 6.5(a) hereto, the Financial
Statements (i) were compiled from books and records regularly maintained by
management of Seller and used to prepare the financial statements of Seller,
(ii) were prepared in accordance with Seller's accounting policies and
principles, which are in accordance with generally accepted accounting
principles, applied on a basis consistent with prior periods, and (iii) present
fairly, in all material respects, the financial position of the Stations as of
their respective dates and the results of operations of the Stations for the
periods then ended, excluding information which would have been contained in the
Statement of Cash Flows and footnotes to the financial statements.

                                       10
<PAGE>

               (b) Absence of Changes. Except for the execution and delivery of
                   ------------------
this Agreement, the TBA and the transactions to take place pursuant hereto and
except as set forth on Schedule 6.5(b) hereto or arising from Buyer's action or
failure to perform under the TBA, since March 31, 2000:

                        (i) there has not been any adverse change or any event
            or development (including any damage, destruction or loss, whether
            or not covered by insurance) which, individually or together with
            other such events, would reasonably be expected to result in a
            Material Adverse Effect;

                        (ii) the Stations have not incurred any liabilities of a
            kind required by generally accepted accounting practices to be set
            forth on a balance sheet other than (A) liabilities incurred in the
            ordinary course of business since March 31, 2000 consistent with
            past practice, (B) liabilities which in the aggregate are not
            material to the Business, (C) liabilities which are not Assumed
            Liabilities or (D) liabilities set forth on the Financial
            Statements; and

                        (iii) Seller has not with respect to the operation of
            the Stations:

                              (A) amended or terminated any Lease or Material
               Contract except in the ordinary course of business consistent
               with past practice;

                              (B) mortgaged, pledged or subjected to any lien or
               encumbrance, any of the Assets, except for Permitted Liens;

                              (C) acquired or disposed of any Assets or entered
               into any agreement or other arrangement for such acquisition or
               disposition, except in the ordinary course of business consistent
               with past practice;

                              (D) entered into any agreement, commitment or
               other transaction other than in the ordinary course of business
               consistent with past practice;

                              (E) paid any bonus to any employee of the Stations
               or granted to any employee of the Stations any other increase in
               compensation in any form, except in the ordinary course of
               business consistent with past practice; or

                              (F) operated the business of each Station other
               than in the ordinary course consistent with past practice.

               6.6. Title to Property. Seller has, and at the Closing, Seller
                    -----------------
will convey to Buyer, good title to, or a valid lessee's or licensee's interest
(pursuant to one or more contracts or other agreements included in the Assets)
in, all of the Assets free and clear of all liens, claims and encumbrances
except for Permitted Liens.

               6.7. Condition of Property. All material items of Tangible
                    ---------------------
Property owned or used by Seller and included in the Assets are in good
operating condition, normal wear and tear excepted.

               6.8. Labor Matters.
                    --------------

               (a) Except as listed on Schedule 6.8(a), as of the date of this
Agreement, there is not pending or, to the knowledge of Seller, threatened
against Seller any labor dispute, strike or work stoppage that affects or
interferes with the operation of any Station, and Seller has no knowledge of any
organizational effort currently being made or threatened by or on behalf of any
labor union with respect to

                                       11
<PAGE>

employees of any Station. None of the Stations have experienced any strike, work
stoppage or other similar significant labor difficulties within the twelve (12)
months preceding the date of this Agreement.

               (b) Except as set forth on Schedule 6.8(b), (i) Seller is not a
signatory or a party to, or otherwise bound by, a collective bargaining
agreement which covers employees or former employees of any Station, (ii) Seller
has not agreed to recognize any union or other collective bargaining unit with
respect to any employees of any Station, and (iii) no union or other collective
bargaining unit has been certified as representing any employees of any Station.

               (c) Schedule 6.8(c) sets forth a true and complete list, as of
the date of this Agreement, of all persons employed by Seller in connection with
the operation of a Station who earn more than $15,000 per year, and states for
each such employee the title or position, the current level of compensation
(including bonuses) and whether such employee is employed under a written
contract.

               6.9. Transactions with Affiliates; Entire Business. Except as set
                    ---------------------------------------------
forth on Schedule 6.9 hereto, (i) none of Seller or any of its Affiliates
provides or causes to be provided any assets, services or facilities to the
Stations which are material to the conduct of the Business, and (ii) the
Stations do not provide or cause to be provided any assets, services or
facilities to Seller or any of its Affiliates which are material to the conduct
of the Business. Except as set forth on Schedule 6.9 hereto, the conveyance of
the Assets will convey to Buyer the entire Business of the Stations, and all
tangible and intangible property used by the Stations in connection with the
conduct of the Business as heretofore conducted by Seller, except for the
Excluded Assets and the Excluded Liabilities and assets and properties disposed
of since the date hereof in the ordinary course of business consistent with past
practice without violation of this Agreement.

               6.10. Litigation. Except as described in Schedule 6.10 hereto or
                     ----------
caused by or arising from Buyer's action or failure to perform under the TBA:
(a) there is no material Action or Proceeding pending or, to the knowledge of
Seller, threatened against Seller which relates primarily to any of the
Stations, the Assets or the Assumed Liabilities; and (b) there is no Order to
which Seller is subject which relates to any of the Stations, the Assets or the
Assumed Liabilities and which has or would reasonably be expected to have a
Material Adverse Effect.

               6.11. Compliance with Law. Except as set forth on Schedule 6.11
                     -------------------
hereto, (i) Seller is not in material violation of any Law or Order with respect
to the Business or the Assets or the Assumed Liabilities the violation of which
would be material to the Business or the Assets; and (ii) Seller has all
material licenses, permits or other governmental authorizations necessary for
the conduct of the Business or the ownership or use of the Assets.

               6.12. Employee Benefit Plans. Schedule 6.12 hereto identifies
                     ----------------------
each Plan. Seller has furnished or made available to Buyer copies of the Plans
(and, if applicable, related trust agreements) and all amendments thereto and
each Plan's summary plan description and any summaries of material modifications
thereto. Schedule 6.12 hereto identifies each Plan which is (i) a "multiemployer
plan" as defined for purposes of and subject to Subtitle E of Title IV of ERISA
(a "Multiemployer Plan"), or (ii) a Plan otherwise subject to Title IV of ERISA.

                                       12
<PAGE>

               6.13. Tax Matters. Except as disclosed in Schedule 6.13 (with
                     -----------
paragraph references corresponding to those set forth below):

               (a) Seller has timely filed (taking into account all available
extensions) all Tax Returns concerning material Taxes applicable to the Business
or required to be filed by applicable Law prior to the date hereof and has paid
all amounts shown as due on those Tax Returns.

               (b) There are no liens with respect to any Taxes, upon any of the
Assets, other than (i) Taxes, the payment of which is not yet due, or (ii) Taxes
or charges being contested, which are not in the aggregate material to the
Stations.

               6.14. Environmental Matters. Prior to March 19, 1999, to the
                     ---------------------
knowledge of Seller, and since March 19, 1999: (i) no material Order has been
issued, no material Environmental Claim has been filed, no material penalty has
been assessed and no material investigation or review is pending or, to Seller's
knowledge, threatened by any Governmental or Regulatory Body with respect to any
alleged failure by Seller to have any material license required under applicable
Environmental Laws, the violation of which would reasonably be expected to be
material to the Assets or the Business; (ii) no Hazardous Materials are or have
been present on any of the real properties operated or leased by Seller in
connection with the conduct of the Business where such presence or release would
result in any material liability of Buyer after the Closing; and (iii) Seller
was not or is not, as the case may be, in violation of, and has not received any
claim or notice that it is in violation of, any Environmental Law, the violation
of which would reasonably be expected to be material to the Assets or the
Business.

               6.15. Brokers. Except for Deutsche Bank Alex Brown, whose fees,
                     -------
commissions and expenses are the sole responsibility of Seller, all negotiations
relative to this Agreement and the transactions contemplated hereby have been
carried out by Seller directly with Buyer without the intervention of any Person
on behalf of Seller in such manner as to give rise to any valid claim by any
Person against Buyer for a finder's fee, brokerage commission or similar
payment.

               6.16. Disclaimer of Seller. Except as otherwise provided in this
                     --------------------
Section 6, the Assets to be sold hereunder to Buyer are to be sold AS IS WITHOUT
ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR INTENDED USE OR OTHER
EXPRESSED OR IMPLIED WARRANTY.

               6.17. Full Disclosure. To Seller's knowledge, this Agreement
                     ---------------
(including any Schedule hereto) does not contain and the closing certificate to
be delivered by Seller pursuant to Section 9.1(e) will not contain any untrue
statement of a material fact and this Agreement (including any Schedule hereto)
does not omit (and such certificate will not omit) to state any material fact
necessary to make any statement herein or therein not misleading.

            7. Representation and Warranties of Buyer. Buyer represents and
               --------------------------------------
warrants to Seller that:

               7.1. Organization, Power and Standing. Buyer is a corporation
                    --------------------------------
duly organized, validly existing and in good standing under the laws of its
jurisdiction of incorporation. Buyer has all requisite corporate power and
authority and all necessary licenses and permits to carry on its business as it
has been and is currently being conducted, and to own, lease and operate the
properties and assets used in connection therewith and to be acquired pursuant
hereto.

               7.2. Authorization. The execution and delivery of the Transaction
                    -------------
Agreements by Buyer and the performance by it of its obligations under the
Transaction Documents and the transactions contemplated by the Transaction
Agreements, have been duly and validly authorized by all necessary

                                       13
<PAGE>

corporate action on the part of Buyer. This Agreement has been duly executed and
delivered by Buyer and, is a, and upon execution and delivery of the TBA, the
TBA will be, a valid and binding obligation of Buyer enforceable in accordance
with their terms.

               7.3. Freedom to Contract. The execution and delivery of the
                    -------------------
Transaction Agreements do not, and the consummation of the transactions
contemplated by the Transaction Agreements will not, (i) violate or conflict
with the provisions of the articles of incorporation or by-laws of Buyer, (ii)
result in the imposition of any lien under, cause the acceleration of any
obligation under, or violate or conflict with the terms, conditions or
provisions of, or require any consent under, any note, indenture, mortgage,
lease, guaranty or other agreement or instrument to which Buyer is a party or by
which it is bound, (iii) result in a breach by Buyer of any of the terms,
conditions or provisions of, or require any consent under, any Law or Order or
(iv) except for filings under the HSR Act as described in Section 8.2 and the
expiration of the applicable waiting period under the HSR Act, and for filings
with the FCC as described in Section 7.3 and the consent and approval of the
FCC, require any consent or approval of, filing with or notice to any
Governmental or Regulatory Body.

               7.4. Litigation. Buyer is not a party to any Action or Proceeding
                    ----------
pending or threatened, which, if adversely determined, would reasonably be
expected to adversely affect or restrict the ability of Buyer to consummate the
transactions contemplated by this Agreement. There is no Order to which Buyer is
subject which would reasonably be expected to adversely affect or restrict the
ability of Buyer to consummate the transactions contemplated by this Agreement.

               7.5. Brokers. All negotiations relative to this Agreement and the
                    -------
transactions contemplated hereby have been carried out by Buyer directly with
Seller without the intervention of any Person on behalf of Buyer in such manner
as to give rise to any valid claim by any Person against Seller for a finder's
fee, brokerage commission or similar payment.

               7.6. Qualifications as FCC Licensee. Buyer knows of no fact or
                    ------------------------------
circumstance which would, under the federal antitrust laws or the Communications
Act, disqualify or preclude Buyer from being approved as an assignee of the FCC
Licenses. There are no proceedings, complaints, notices of forfeiture, claims,
or investigations pending or threatened against Buyer or any principal, officer,
director, or owner of Buyer that would materially impair the qualification of
Buyer to assume the FCC Licenses or which would materially impede Buyer's
ability to prosecute the applications filed with the FCC to assign the FCC
Licenses to Buyer or to seek the grant of consents from the FCC to the
assignment of the FCC Licenses to Buyer. Buyer is legally and financially
qualified to serve as licensee of the Stations.

               7.7. Adequacy of Financing. Buyer has adequate funds on hand to
                    ---------------------
pay the Initial Option Payment, the Future Option Payments and the Purchase
Price.

               7.8. Breaches. Buyer is not aware of any breaches by Seller of
                    --------
its representations and warranties contained in this Agreement or the
certificate to be delivered by Seller pursuant to Section 9.1(e).

            8. Pre-Closing Covenants.
               ----------------------

               8.1. Transactions and Conduct of Business Pending the Closing.
                    ---------------------------------------------------------

               (a) Examinations and Investigations. At any time prior to the
                   -------------------------------
Closing Date, Buyer shall be entitled, through its employees and representatives
to enter upon and make such investigation of the assets, properties, business
and operations of the Stations, and such examination of the books and records,
financial condition and operations of the

                                       14
<PAGE>

Stations, and shall have access to the employees of the Stations, as Buyer may
reasonably request. Any such investigation and examination shall be conducted
and access to employees shall be available at reasonable times and under
reasonable circumstances; provided, however, that such investigation and access
shall not unreasonably interfere with the business operations of Seller. All
information provided to Buyer pursuant to this Section 8.1(a) shall be subject
to the provisions of the Confidentiality Agreement.

               (b) Conduct of Business. From the date hereof through the Closing
                   -------------------
Date, Seller shall use commercially reasonable efforts to conduct the Business
in the ordinary course consistent with past practice in all material respects.

               (c) Third Party Consents. Seller and Buyer agree to use
                   --------------------
commercially reasonable efforts to take, or cause to be taken, all actions and
to do, or cause to be done, all things necessary, proper or advisable to
consummate and make effective as promptly as practicable the transactions
contemplated by this Agreement, including, without limitation, the obtaining of
all necessary waivers, consents and approvals and the continuance in full force
and effect of Licenses, Leases and Contracts and the fulfillment of each
condition to the other party's obligations set forth in Section 9.

               8.2. Regulatory and Other Approvals. Seller and Buyer will (a)
                    ------------------------------
take all commercially reasonable steps necessary or desirable, and proceed
diligently and in good faith and use all commercially reasonable efforts, as
promptly as practicable to obtain all consents, approvals or actions of, to make
all filings with and to give all notices to Governmental or Regulatory Bodies
(except for the FCC Applications (as defined below)) required of such parties or
their Affiliates to consummate the transactions contemplated hereby, (b) provide
such other information and communications to such Governmental or Regulatory
Bodies as such parties or such Governmental or Regulatory Bodies may reasonably
request in connection therewith and (c) cooperate with each other as promptly as
practicable in connection with the foregoing. Each party hereto will provide
prompt notification to the other party hereto or its Affiliates when any such
consent, approval, action, filing or notice referred to in clause (a) above is
obtained, taken, made or given, as applicable, and will advise each other party
hereto of any communications (and, unless precluded by Law, provide copies to
each other party hereto of any such communications that are in writing, other
than the filings under the HSR Act described below) with any Governmental or
Regulatory Body regarding any of the transactions contemplated by this
Agreement. In addition to and not in limitation of the foregoing, Seller and
Buyer will within ten (10) calendar days of the exercise of the Option (a) take
promptly all actions necessary to make the filings required of each of them or
their Affiliates under the HSR Act, (b) comply at the earliest practicable date
with any request for additional information received by each of them or their
Affiliates from the Federal Trade Commission or the Antitrust Division of the
Department of Justice pursuant to the HSR Act and (c) cooperate with each other
in connection with any filing under the HSR Act and in connection with resolving
any investigation or other inquiry concerning the transactions contemplated by
this Agreement commenced by either the Federal Trade Commission, the Antitrust
Division of the Department of Justice or state attorneys general.

               8.3. FCC Application. Not later than ten (10) calendar days after
                    ---------------
the date of the exercise of the Option, Seller and Buyer shall file with the FCC
substantially complete applications (the "FCC Applications") seeking the FCC's
consent to the assignment of the FCC Licenses from Seller to Buyer and Buyer's
assumption thereof (the "FCC Consent"). Seller and Buyer shall diligently and
promptly take all actions necessary, or desirable and proper, to prosecute the
FCC Applications expeditiously. Seller shall timely publish and/or broadcast the
notices required by the rules and regulations of the FCC pertaining to the FCC
Applications. Seller and Buyer shall cooperate with each other in the
preparation and prosecution of the FCC Applications. Seller and Buyer shall
provide to each other copies of any and all petitions and pleadings filed by any
third party, and copies of any and all correspondence and orders received from
the FCC, with respect to any of the FCC Applications. In the event that the FCC
imposes any condition upon Buyer or Seller with respect to any FCC Applications,
the

                                       15
<PAGE>

party subject to such condition shall use its best efforts to comply therewith;
provided, however, that the party subject to such condition shall not be
required to take any action which would have a Material Adverse Effect on such
party or any Affiliate of such party. Buyer shall not enter into any agreement
or transactions to acquire any other broadcast properties or stations in the
Phoenix, Arizona market, nor shall Buyer take any other action, including but
not limited to, entering into a time brokerage agreement, local marketing
agreement, or joint sales agreement, which could have the effect of delaying
action by the FCC upon the FCC Applications or the consummation of the
transactions contemplated hereby. Buyer and Seller shall oppose any petitions to
deny or other objections filed with respect to any applications for the FCC
Consent and any requests for reconsideration or judicial review of the FCC
Consent and otherwise use their commercially reasonable efforts to cause the FCC
Order to become a Final Action as soon as practicable. If the Closing shall not
have occurred for any reason within the original effective period of the FCC
Consent, and neither party shall have terminated this Agreement under Section
10, the parties shall jointly request an extension of the effective period of
the FCC Consent. No extension of the FCC Consent shall limit the right of any
party to exercise its rights under Section 12.

            9. Conditions Precedent to Closing.
               --------------------------------

               9.1. Conditions Precedent to the Obligations of Buyer to Complete
                    ------------------------------------------------------------
the Closing. The obligations of Buyer to enter into and complete the Closing are
-----------
subject to the fulfillment on or prior to the Closing Date of the following
conditions, any one or more of which may be waived by Buyer in writing:

               (a) Representations, Warranties and Covenants. The
                   -----------------------------------------
representations and warranties of Seller contained in this Agreement shall be
true, correct and complete on and as of the Closing Date with the same force and
effect as though made on and as of the Closing Date, except as expressly stated
herein to be made as of a specified date and except for changes permitted
hereunder or caused by Buyer's action or failure to perform under the TBA and
except where the failure of any such representations or warranties to be true,
correct and complete would not reasonably be expected, individually or in the
aggregate, to have a Material Adverse Effect. Seller shall have performed and
complied in all material respects with all covenants and agreements required by
this Agreement to be performed or complied with by it on or prior to the Closing
Date.

               (b) Consents, Waivers, Licenses, Filings, etc. All consents,
                   -----------------------------------------
approvals, authorizations, licenses, registrations, declarations or filings
listed on Schedule 9.1(b) to this Agreement shall have been obtained or made, as
the case may be, except where the failure to obtain or make any of the foregoing
(or in lieu thereof waivers) would not reasonably be expected, individually or
in the aggregate with other such failures, to materially adversely affect Buyer
or to have a Material Adverse Effect. The applicable waiting period under the
HSR Act in respect of the transactions contemplated hereby shall have expired.

               (c) Injunction, etc. At the Closing, there shall not be any Order
                   ---------------
outstanding against any party hereto or Law promulgated that prevents the
consummation of, and no Action or Proceeding shall be pending or threatened
against a party hereto which questions the legality of, seeks to restructure or
to restrain or prevent the consummation of, the transactions contemplated by
this Agreement or any of the conditions to the consummation of the transactions
contemplated by this Agreement.

               (d) Opinions of Counsel to Seller. Buyer shall have received an
                   -----------------------------
opinion of Clifford Chance Rogers & Wells LLP, counsel to Seller, covering legal
matters with respect to the transactions contemplated by this Agreement, in form
and substance reasonably satisfactory to Buyer.

               (e) Resolutions and Closing Certificate of Seller. Seller shall
                   ---------------------------------------------
have delivered to Buyer (i) a certificate dated as of the Closing Date and
executed by Seller's Secretary certifying that the

                                       16
<PAGE>

resolutions, as attached to such certificate, were duly adopted by Seller's
Board of Directors (and if required by applicable Law, by Seller's stockholders)
authorizing and approving the execution and delivery of this Agreement and the
consummation of the transactions contemplated hereby and that such resolutions
remain in full force and effect and (ii) a certificate signed by an authorized
officer of Seller, dated the Closing Date, as to the matters set forth in
Section 9.1(a) and in form and substance reasonably satisfactory to Buyer.

               (f) Conveyancing Documents. Seller shall have executed and
                   ----------------------
delivered to Buyer an Assignment and Assumption Agreement, a Bill of Sale, an
Assignment of Trademarks, and a Deed or Deeds, each in a form reasonably
satisfactory to Buyer.

               (g) FCC Consents. The parties shall have obtained the FCC Consent
                   ------------
with respect to each Station within the time period set forth herein without any
Material Adverse Effect, and any conditions which the FCC Consent or any FCC
Order requires to be satisfied prior to the transfer of the FCC License to Buyer
shall have been satisfied. Each of the FCC Licenses shall be in full force and
effect.

               9.2. Conditions Precedent to the Obligations of Seller to
                    ----------------------------------------------------
Complete the Closing. The obligations of Seller to enter into and complete the
--------------------
Closing are subject to the fulfillment on or prior to the Closing Date, of the
following conditions, any one or more of which may be waived by Seller:

               (a) Representations, Warranties and Covenants. The
                   -----------------------------------------
representations and warranties of Buyer contained in this Agreement shall be
true, correct and complete in all material respects on and as of the Closing
Date with the same force and effect as though made on and as of the Closing Date
except as expressly stated herein to be made as of a specified date. Buyer shall
have performed and complied in all material respects with all covenants and
agreements required by this Agreement to be performed or complied with by it on
or prior to the Closing Date.

               (b) Consents, Waivers, Licenses, Filings, etc. All consents,
                   -----------------------------------------
approvals, authorizations, licenses, registrations, declarations or filings
listed on Schedule 9.1(b) to this Agreement shall have been obtained or made, as
the case may be, except where the failure to obtain or make any of the foregoing
(or in lieu thereof waivers) would not reasonably be expected, individually or
in the aggregate with other such failures, to materially adversely affect
Seller. The applicable waiting period under the HSR Act in respect of the
transactions contemplated hereby shall have expired.

               (c) Injunction, etc. At the Closing, there shall not be any Order
                   ---------------
outstanding against any party hereto or Law promulgated that prevents the
consummation, and no Action or Proceeding shall be pending or threatened against
a party hereto which questions the legality of, seeks to restructure or to
restrain or prevent the consummation of, the transactions contemplated by this
Agreement or any of the conditions to the consummation of the transaction
contemplated by this Agreement which, in the case of any such Order, Law or
Action or Proceeding, would reasonably be expected to materially adversely
affect Seller.

               (d) Opinion of Counsel to Buyer. Seller shall have received an
                   ---------------------------
opinion of Bose McKinney & Evans LLP, counsel to Buyer, covering legal matters
with respect to the transactions contemplated by this Agreement, in form and
substance reasonably satisfactory to Seller.

               (e) Resolutions and Closing Certificate of Buyer. Buyer shall
                   --------------------------------------------
have delivered to Seller (i) a certificate dated as of the Closing Date and
executed by Buyer's Secretary certifying that the resolutions, as attached to
such certificate, were duly adopted by Buyer's Board of Directors (and if
required by applicable Law, by Buyer's stockholders) authorizing and approving
the execution and

                                       17
<PAGE>

delivery of this Agreement and the consummation of the transactions contemplated
hereby and that such resolutions remain in full force and effect and (ii) a
certificate signed by an authorized officer of Buyer, dated the Closing Date, as
to the matters set forth in Section 9.2(a) and in form and substance reasonably
satisfactory to Seller.

               (f) Delivery of Funds. Buyer shall have delivered to Seller the
                   -----------------
Option Payments and the Cash Payment in accordance with Sections 3 and 4.2.

               (g) Conveyancing Documents. Buyer shall have executed and
                   ----------------------
delivered to Seller an Assignment and Assumption Agreement, a Bill of Sale, an
Assignment of Trademarks and a Deed or Deeds, each in a form reasonably
satisfactory to Seller.

               (h) FCC Consents. The parties shall have obtained an FCC Consent
                   ------------
with respect to each Station within the time period set forth herein.

            10. Additional Agreements.
                ---------------------

               10.1. Further Information. Following the Closing, each party will
                     -------------------
afford to the other party, its counsel and its accountants, during normal
business hours, reasonable access to the books and records relating to the
Assets or the Assumed Liabilities in its possession with respect to periods
prior to the Closing and the right to make copies and extracts therefrom, to the
extent that such access may be reasonably required by the requesting party (i)
to facilitate the investigation, litigation and final disposition of any claims
which may have been or may be made against any party or its Affiliates and (ii)
for any other reasonable business purpose. Each party hereto and its agents
shall keep confidential and not disclose any information learned as a result of
any examination conducted pursuant to this Section 10.1 to any other Person
without the prior consent of the other party unless (i) the disclosure is in
response to legal order or subpoena or (ii) the terms are readily ascertainable
from public or published information, or trade sources (without violation of the
foregoing provisions of this sentence).

               10.2. Record Retention. Each party agrees that for a period of
                     ----------------
not less than seven (7) years following the Closing Date, it shall not destroy
or otherwise dispose of any of the books and records relating to the Assets or
the Assumed Liabilities in its possession with respect to periods prior to the
Closing. Each party shall have the right to destroy all or part of such books
and records after the seventh (7th) anniversary of the Closing Date or, at an
earlier time by giving each other party hereto thirty (30) days' prior written
notice of such intended disposition and by offering to deliver to the other
party, at the other party's expense, custody of such books and records as such
first party may intend to destroy.

               10.3. Tax-Free Exchange. Buyer acknowledges that Seller desires
                     -----------------
to make a qualified, tax-deferred exchange of its interest in certain property
of like-kind with the Assets pursuant to and in accordance with Section 1031 of
the Code. Buyer shall cooperate, in good faith, as reasonably requested by
Seller, in enabling Seller to effectuate the sale of the Assets pursuant to this
Agreement as part of a like-kind exchange pursuant to Section 1031 of the Code,
including, without limitation, the assignment of the rights of Seller pursuant
to this Agreement to a qualified intermediary as defined in Treas. Reg. Sec.
1.1031(k)-1(g)(4). Buyer's obligation to cooperate with Seller in order to
enable Seller to effectuate a qualified, tax-deferred exchange is specifically
conditioned upon each of the following:

               (a) All of Buyer's rights and all of Seller's obligations to
Buyer respecting all other provisions of this Agreement, shall not be adversely
affected by any such exchange, whether or not such exchange is consummated by
Buyer; and

                                       18
<PAGE>

               (b) Buyer shall not in any way be liable to Seller or any other
party whatsoever for any failure of Seller's proposed transaction to qualify as
a tax-free exchange of like-kind property under the Code;

               10.4. Employee and Employee Benefit Matters.
                     -------------------------------------

               (a) Buyer shall offer employment as of the Closing Date to all of
the employees actively employed by Seller at the Stations, with the same
positions and compensation as so employed by Seller. As of the Closing Date,
Buyer shall employ each such employee who accepts Buyer's offer of employment
(collectively, the "Transferred Employees"). As of the Closing Date, Buyer shall
cause all Transferred Employees who are not covered by a collective bargaining
agreement (collectively, the "Transferred Non-Union Employees") to be eligible
to participate in "employee welfare benefit plans" and "employee pension benefit
plans" (as defined in Sections 3(1) and 3(2) of ERISA) of Buyer in which
similarly situated employees of Buyer are generally eligible to participate from
time to time ("Buyer's Plans"), and all Transferred Non-Union Employees shall be
eligible for coverage immediately after the Closing Date (and shall not be
excluded from coverage on account of any pre-existing condition) under Buyer's
Plans constituting employee welfare benefit plans to the extent permitted under
such plans with respect to the Transferred Non-Union Employees. Following the
Closing Date, Buyer shall cause Buyer's Plans to recognize any prior accrued
service credit, credit towards satisfying deductible expense requirements and
out-of-pocket expense limits of Transferred Non-Union Employees for purposes of
Buyer's Plans to the extent such prior credits and limits are recognized by
Buyer or Buyer's Plans for similarly situated employees of Buyer (including, but
not limited to, eligibility to participate and vesting, but excluding benefit
accruals). As soon as practicable following the Closing Date, Buyer shall make
available to the Transferred Non-Union Employees, Buyer's 401(k) Plan in
accordance with the terms and provisions of such plan. Seller shall cause to be
transferred to Buyer's 401(k) Plan, in cash, all of the individual account
balances of the Transferred Non-Union Employees under the 401(k) plan in which
the employees of the Stations now participate, upon receipt from Buyer of
evidence satisfactory to Seller that Buyer's 401(k) Plan is tax-qualified. Buyer
shall provide employees of the Stations who become employed by Buyer and are
covered by a collective bargaining agreement listed on Schedule 6.4(d) (the
"Transferred Union Employees") benefits in accordance with the terms of such
agreement to the extent such benefits constitute a part of the Assumed
Liabilities. Except for the employment contracts listed in Schedule 6.4(d)
hereto, nothing in this Agreement is intended to nor shall guaranty employment
for any Transferred Employee for any length of time after the Closing Date.

               (b) Seller shall pay, discharge and be solely responsible for all
liabilities and obligations which arise or are to be paid or performed under any
Plan, including but not limited to such liabilities and obligations arising as a
result of or in connection with the termination of any employee of any Station
before, or upon Closing, including all severance or termination pay and all
accrued vacation, salary, wages and other compensation payments or benefits, if
any, which arise or become payable under any Plan as a result of or in
connection with such termination. Buyer shall pay, discharge and be solely
responsible for all liabilities which arise or become payable as a result of or
in connection with Buyer's employment of any Transferred Employees upon Closing
or Buyer's termination of any Transferred Employees after Closing, including,
without limitation, all severance or termination pay and all accrued vacation,
salary, wages and other compensation payments or benefits under or pursuant to
any employee benefit plan of Buyer. Buyer shall not, however, assume or be
obligated to pay or perform any liabilities under any Plans (including, but not
limited to, any stay bonus or severance policy, plan, arrangement or benefit),
except that (i) Buyer shall provide accrued vacation days to Transferred
Employees, and (ii) Buyer shall assume and agree to perform the employer's
obligations under the employment contracts listed on Schedule 6.4(d) hereto to
the extent such obligations constitute Assumed Liabilities.

                                       19
<PAGE>

               (c) Anything contained in this Section 10.4 to the contrary
notwithstanding, upon consummation of the Closing, Buyer shall (i) recognize
each union which is a party to a collective bargaining agreement set forth in
Schedule 6.4(d) hereto, and (ii) assume and be responsible for the obligations
of Seller under each such collective bargaining agreement to the extent such
obligations constitute Assumed Liabilities.

               10.5. Tax Matters. Seller and Buyer, as required under applicable
                     -----------
law, shall file all necessary documentation and returns with respect to sales,
use, transfer, real property transfer, recording, gains, stock transfer and
other similar taxes and fees (such taxes and fees, including any interest or
penalties thereon, are herein sometimes called "Transfer Taxes"). Buyer agrees
to indemnify, defend and hold harmless Seller for any Transfer Taxes arising out
of or in connection with the transactions effected pursuant to this Agreement.
Buyer further agrees to indemnify, defend, and hold harmless Seller with respect
to any additional Transfer Taxes imposed by reason of any indemnity payment
under this Section 10.5.

               10.6. Use of Names. Anything herein to the contrary
                     ------------
notwithstanding, no interest in or right to use the names "Hearst" or
"Hearst-Argyle" or any derivation thereof or any logo, trademarks or trade name,
other than the trademarks and trade names set forth in Schedule 2.1(f) hereto,
in which Seller has any interest (collectively, the "Retained Names and Marks")
is being transferred to Buyer pursuant to the transactions contemplated hereby.
Buyer will, within 30 days following the Closing Date, remove or obliterate all
the Retained Names and Marks from its signs, purchase orders, invoices, sales
orders, labels, letterheads, shipping documents, business cards and other
materials, and Buyer shall not put into use after the Closing Date any such
materials not in existence on the Closing Date that bear any Retained Name or
Mark, provided, Buyer shall be entitled for a period of 10 days following the
Closing Date to use any signs, purchase orders, invoices, sales orders, labels,
letterheads or shipping documents existing on the Closing Date that bear any
Retained Name or Mark, in each case where the removal of any such Retained Name
or Mark would be impractical; provided, however, that Buyer shall place a stamp,
mark or other notation on any such item that identifies the Business as a
business of Buyer (and not Seller) and if applicable, that such Retained Name or
Mark is a registered trademark or tradename. Buyer agrees that Seller shall have
no responsibility for claims by third parties arising out of, or relating to,
the use by Buyer of any Retained Name or Mark after the Closing Date

               10.7. Audited Financial Statements. Seller recognizes that Buyer
                     ----------------------------
is a publicly reporting company and agrees that, anything contained in this
Agreement or the Confidentiality Agreement to the contrary notwithstanding,
Buyer shall be entitled at Buyer's expense to cause audited and unaudited
financial statements of the Stations to be prepared for such periods and filed
with the Securities and Exchange Commission, and included in a prospectus
distributed to prospective investors, as required by Law applicable to Buyer as
a publicly reporting company or registrant. Seller agrees to cooperate with
Buyer and the auditing accountants as reasonably requested by Buyer in
connection with the preparation and filing of such financial statements,
including providing a customary management representation letter consistent with
Seller's representations and warranties hereunder in the form prescribed by
generally accepted auditing standards and using Seller's commercially reasonable
efforts to obtain the consent of Seller's independent accounting firm to permit
Buyer and Buyer's auditors to have access to such firm's workpapers.

               10.8. No Solicitation. From the date of this Agreement until the
                     ---------------
earlier of Closing or termination of this Agreement, neither Seller nor any
Affiliate of Seller shall directly or indirectly (i) knowingly solicit or
encourage any proposal or offer from any Person relating to the acquisition or
purchase, directly or indirectly, of any interest in any material assets of any
Station (each, an "Acquisition Proposal"), or (ii) otherwise knowingly assist or
negotiate with any Person with respect to an Acquisition

                                       20
<PAGE>

Proposal. Seller shall promptly notify Buyer in writing if an Acquisition
Proposal is made after the date of this Agreement.

            11. Survival; Indemnification.
                -------------------------

               11.1. Survival of Representations and Warranties. The
                     ------------------------------------------
representations, warranties, covenants and agreements of each of Seller and
Buyer contained in this Agreement shall survive the execution and delivery of
this Agreement and the completion of the transactions contemplated hereby (a)
with respect to representations and warranties or any covenants or agreements to
be performed on or before the Closing Date, until the date which is twelve (12)
months after the Closing Date, and (b) with respect to each other covenant or
agreement contained in this Agreement, until ninety (90) days following the last
date on which such covenant or agreement is to be performed or, if no such date
is specified, indefinitely; provided, however, that any representation,
warranty, covenant or agreement that would otherwise terminate in accordance
with clause (a) or (b) above shall continue to survive if a notice of a claim
shall have been given under Sections 11.2 or 11.3 on or prior to such
termination date, until the related claim for indemnification has been satisfied
or otherwise resolved as provided in Sections 11.2 or 11.3. No claim may be made
against any party hereto and no party hereto shall have any liability to any
other party hereto after the applicable survival period for a representation or
warranty specified above shall have expired, except that, if a claim shall be
made by a party hereto against another party hereto prior to the expiration of
such survival period, then such survival period shall be extended as it relates
to such claim until such claim has been satisfied or otherwise resolved as
provided in this Section 11.

               11.2. Indemnification of Buyer.
                     ------------------------

               (a) Subject to the limitations contained in this Section 11,
Seller agrees to indemnify, defend and hold harmless Buyer and its Affiliates
(each, a "Buyer Indemnified Party") from and against any and all losses,
liabilities, and damages, costs and expenses (including reasonable fees and
disbursements of counsel) (hereinafter individually, a "Loss" and collectively,
"Losses") which arise out of, or result from, (i) any inaccuracy in or any
breach of any representation or warranty of Seller contained in this Agreement
or in the officer's certificate delivered by Seller pursuant to Section 9.1(e),
(ii) any breach of any covenant or agreement of Seller contained in this
Agreement, or (iii) any Excluded Liability.

               (b) No claim may be made against Seller for indemnification
pursuant to clause (i) of Section 11.2(a) with respect to any individual item of
Loss, unless the aggregate of all Losses of the Buyer Indemnified Parties with
respect to clause (i) of Section 11.2(a) shall exceed Two Million Five Hundred
Thousand Dollars ($2,500,000), and Seller shall not be required to pay or be
liable for the first Two Million Five Hundred Thousand Dollars ($2,500,000) in
aggregate amount of any such Losses. The Buyer Indemnified Parties shall not be
indemnified pursuant to clause (i) of Section 11.2(a) with respect to any
individual item of Loss if the aggregate of all Losses for which the Buyer
Indemnified Parties have received indemnification pursuant to clause (i) of
Section 11.2(a) shall have exceeded Thirty Million Dollars ($30,000,000).

               (c) Each Buyer Indemnified Party shall give Seller prompt written
notice of any claim, assertion, event or proceeding (collectively, a "Buyer
Claim") by or in respect of a third party of which such Buyer Indemnified Party
has knowledge concerning any Loss as to which such Buyer Indemnified Party may
request indemnification hereunder or any Loss as to which the Two Million Five
Hundred Thousand Dollar ($2,500,000) amount referred to in subsection (b) of
this Section 11.2 may be applied. Seller shall have the right to direct, through
counsel of its own choosing, the defense or settlement of any such Buyer Claim
at its own expense. If Seller elects to assume the defense of any such Buyer
Claim, such Buyer Indemnified Party may participate in such defense, but in such
case the

                                       21
<PAGE>

expenses of such Buyer Indemnified Party shall be paid by such Buyer Indemnified
Party. Such Buyer Indemnified Party shall provide Seller with access to its
records and personnel relating to any such Buyer Claim during normal business
hours and shall otherwise cooperate with Seller in the defense or settlement
thereof, and Seller shall reimburse such Buyer Indemnified Party for all its
reasonable out-of-pocket expenses in connection therewith. If Seller elects to
direct the defense of any such Buyer Claim, such Buyer Indemnified Party shall
not pay, or permit to be paid, any part of any Loss arising from such Buyer
Claim, unless Seller consents in writing to such payment or unless Seller,
subject to the last sentence of this subsection (c), withdraws from the defense
of such asserted liability, or unless a final judgment from which no appeal may
be taken by or on behalf of Seller is entered against the Buyer Indemnified
Party for such Loss. If Seller shall fail to defend any Buyer Claim, or if,
after commencing or undertaking any such defense, fails to prosecute or
withdraws from such defense, such Buyer Indemnified Party shall have the right
to undertake the defense or settlement thereof, at Seller's expense. If such
Buyer Indemnified Party assumes the defense of such Buyer Claim pursuant to this
subsection (c) and proposes to settle such Buyer Claim prior to a final judgment
thereof or to forego appeal with respect thereto, then such Buyer Indemnified
Party shall give Seller prompt written notice thereof and Seller shall have the
right to participate in the settlement or assume or reassume the defense of such
Buyer Claim.

               11.3. Indemnification of Seller.
                     -------------------------

               (a) Subject to the limitations contained in this Section 11,
Buyer agrees to indemnify, defend and hold harmless Seller and its Affiliates,
(each, a "Seller Indemnified Party") from and against any and all Losses which
arise out of, or result from, (i) any inaccuracy in or any material breach of
any representation or warranty of Buyer contained in this Agreement or in the
officer's certificate delivered by Buyer pursuant to Section 9.2(e), (ii) any
breach of any covenant or agreement of Buyer contained in this Agreement, (iii)
any Assumed Liability, (iv) Buyer's use of any Retained Names and Marks pursuant
to Section 10.5, or (v) liabilities incurred by Buyer resulting from the
operation of the Business on and after the Closing Date.

               (b) Each Seller Indemnified Party shall give Buyer prompt written
notice of any claim, assertion, event or proceeding (collectively, a "Seller
Claim") by or in respect of a third party of which such Seller Indemnified Party
has knowledge concerning any Loss as to which such Seller Indemnified Party may
request indemnification hereunder. Buyer shall have the right to direct, through
counsel of its own choosing, the defense or settlement of any such Seller Claim
at its own expense. If Buyer elects to assume the defense of any such Seller
Claim, such Seller Indemnified Party may participate in such defense, but in
such case the expenses of such Seller Indemnified Party shall be paid by such
Seller Indemnified Party. Such Seller Indemnified Party shall provide Buyer with
access to its records and personnel relating to any such Seller Claim during
normal business hours and shall otherwise cooperate with Buyer in the defense or
settlement thereof, and Buyer shall reimburse such Seller Indemnified Party for
all its reasonable out-of-pocket expenses in connection therewith. If Buyer
elects to direct the defense of any such Seller Claim, Buyer shall not pay, or
permit to be paid, any part of any Loss arising from such Seller Claim, unless
Buyer consents in writing to such payment or unless Buyer, subject to the last
sentence of this subsection (b), withdraws from the defense of such asserted
liability, or unless a final judgment from which no appeal may be taken by or on
behalf of Buyer is entered against such Seller Indemnified Party for such Loss.
If Buyer shall fail to defend any Seller Claim, or if, after commencing or
undertaking any such defense, fails to prosecute or withdraws from such defense,
such Seller Indemnified Party shall have the right to undertake the defense or
settlement thereof, at Buyer's expense. If such Seller Indemnified Party assumes
the defense of any such Seller Claim pursuant to this subsection and proposes to
settle such Seller Claim prior to a final judgment thereon or to forego appeal
with respect thereto, then such Seller Indemnified Party shall give Buyer prompt
written notice thereof and Buyer shall have the right to participate in the
settlement or assume or reassume the defense of such Seller Claim.

                                       22
<PAGE>

               11.4. Exclusive Provisions; No Rescission. Except as set forth in
                     -----------------------------------
this Agreement, neither Buyer nor Seller is making any representation, warranty,
covenant or agreement with respect to the matters contained herein. Anything
herein to the contrary notwithstanding, no breach of any representation,
warranty, covenant or agreement contained herein shall give rise to any right on
the part of Buyer or Seller, after the consummation of the purchase and sale of
the Business contemplated hereby, to rescind this Agreement or any of the
transactions contemplated hereby.

            12. Termination of Agreement.
                ------------------------

               12.1. Termination. This Agreement may be terminated prior to the
                     -----------
Closing as follows:

               (a) By the mutual written consent of Seller and Buyer;

               (b) By Seller, if after the expiration of either the Early
Exercise Period or the Exercise Period, Buyer has not exercised the Option;

               (c) By either Seller or Buyer, if a material breach of this
Agreement continues for thirty (30) days after written notice is provided by the
non-breaching party; provided, however, that the right to terminate this
Agreement under this Section 12.1(c) shall not be available to any party who has
caused such material breach; or

               (d) By either Seller or Buyer, if the Closing shall not have
occurred on or before the date which is the first anniversary of the date on
which Buyer exercises the Option; provided, however, that the right to terminate
this Agreement under this Section 12.1(d) shall not be available to any party
whose failure to fulfill any obligation under this Agreement shall have been the
cause of, or resulted in, the failure of the Closing to occur prior to such
date.

               12.2. Survival. In the event this Agreement is terminated
                     --------
pursuant to Section 12.1, (i) this Agreement shall become null and void and of
no further force and effect, except for the provisions of Sections 13.2 and 13.4
and the Confidentiality Agreement and (ii) there shall be no liability on the
part of Seller or Buyer or their respective officers, directors or Affiliates;
provided, however, that if such termination shall result from the willful breach
by a party of the provisions contained in this Agreement such party shall be
fully liable for any and all damages, costs and expenses sustained or incurred
by the other party hereto as a result of such breach.

            13. Miscellaneous.
                -------------

               13.1. Certain Definitions. As used in this Agreement, the
                     -------------------
following terms have the following meanings unless the context otherwise
requires:

               "Action or Proceeding" means any action, suit, proceeding or
                --------------------
arbitration by any Person, or any investigation or audit by any Governmental or
Regulatory Body.

               "Affiliate," means with respect to any Person, any other Person
                ----------
controlling, controlled by or under common control with such first Person.

               "Applicable Portion" shall mean a fraction, the numerator of
                ------------------
which shall be the actual number of days in the period beginning on the date of
this Agreement and ending on the Closing Date and the denominator of which shall
be the number of days in the period beginning on the date of this Agreement and
ending on the anniversary of the date of this Agreement immediately following
the Closing Date.

                                       23
<PAGE>

               "Business Day" means any day on which commercial banks are not
                ------------
authorized or required by law to close in New York, New York.

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

               "Confidentiality Agreement" means that certain Confidentiality
                -------------------------
Agreement dated April 25, 2000 between Seller and Buyer.

               "contracts and other agreements" means all executory contracts,
                ------------------------------
agreements, understandings, indentures, notes, bonds, loans, instruments,
leases, mortgages, franchises, licenses or commitments which are legally
binding, including collective bargaining agreements.

               "Environmental Claim" means, with respect to any Person, any
                -------------------
written notice or claim by any other Person alleging or asserting such Person's
liability for investigatory costs, cleanup costs, Governmental or Regulatory
Body response costs, damages to natural resources or other property, personal
injuries, fines or penalties arising out of, based on or resulting from (a) the
presence or release into the environment, of any Hazardous Material or (b)
circumstances forming the basis of any violation, or alleged violation, of any
Environmental Law.

               "Environmental Law" means any Law or Order relating to the
                -----------------
regulation or protection of human health, safety or the environment or to
emissions, discharges, releases or threatened releases of pollutants,
contaminants or toxic or hazardous wastes into the environment.

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

               "Governmental or Regulatory Body" means any court, tribunal,
                -------------------------------
arbitrator or any government or political subdivision thereof, whether federal,
state, county, local or foreign, or any agency, authority, official or
instrumentality of any such government or political subdivision.

               "Hazardous Material" means petroleum products, asbestos and any
                ------------------
other chemicals or other materials or substances which are defined as or
included in the definition of "hazardous substances," "hazardous wastes,"
"hazardous materials," "extremely hazardous wastes," "restricted hazardous
wastes," "toxic substances," "toxic pollutants" or words of similar import under
any Environmental Law.

               "HSR Act" means the Hart-Scott-Rodino Antitrust Improvements Act
                -------
of 1976, as amended, and the rules and regulations promulgated thereunder.

               "Intangible Property" means all patents and applications
                -------------------
therefor, copyrights and applications therefor (including rights to renew),
trademarks and applications therefor, names, logos, trade names and applications
therefor and service marks and applications therefor and the Stations' call
signs and call letters, jingles and slogans, websites and internet domain names,
and other intellectual property used primarily by the Stations.

               "Inventory" means all raw materials, work-in-process, finished
                ---------
goods and merchandise, packaging materials and other supplies related thereto.

               "Law" means any law, statute, rule, regulation, ordinance, code
                ---
and other pronouncement having the effect of law of the United States of
America, any foreign country or any domestic or foreign state, county, city or
other political subdivision or of any Governmental or Regulatory Body.

               "Material Adverse Effect" means a material adverse effect on the
                -----------------------
assets, properties, operations, business, results of operations or financial
condition of the Stations, taken as a whole.

               "Order" means any writ, judgment, decree, injunction or similar
                -----
order of any Governmental or Regulatory Body, in each case whether preliminary
or final.

                                       24
<PAGE>

               "Permitted Lien" means (i) any lien for Taxes not yet due or
                --------------
delinquent or being contested in good faith by appropriate proceedings, (ii) any
statutory lien arising in the ordinary course of business by operation of Law
with respect to an obligation or liability that is not yet due or delinquent,
(iii) any minor imperfection of title or similar lien or encumbrance which
individually or in the aggregate with other such imperfections of title, liens
or encumbrances is not material to the Assets or the Business, and (iv) in the
case of the Real Property, the matters set forth on Schedule 6.4(c).

               "Person" means any individual, corporation, partnership, firm,
                ------
joint venture, association, joint-stock company, trust, unincorporated
organization, Governmental or Regulatory Body or other entity.

               "Plan" means an "employee benefit plan" for purposes of Section
                ----
3(3) of ERISA maintained by Seller or its Affiliates with respect to the
Stations and each other employee benefit plan, contract and other arrangement
maintained with respect to the Stations, whether or not subject to ERISA,
including, but not limited to, all retention, change of control, severance,
stock option or other equity based, bonus, incentive compensation, retirement,
fringe benefit and welfare plans, and arrangements and agreements, maintained
with respect to any Station and the current or former employees of the Station
or their dependents.

               "Real Property Leases" means any leases or subleases of real
                --------------------
property as to which Seller is the lessor/sublessor or lessee/sublessee,
together with any options to purchase the underlying property and leasehold
improvements thereon.

               "Tangible Property" means all furniture, fixtures, equipment,
                -----------------
machinery and spare parts and all other tangible personal property, including,
without limitation, transmitters, antenna, tools, motor vehicles, office
equipment and supplies.

               "Tax" and "Taxes" means all taxes or other assessments imposed by
                ---
any federal, state or local taxing authority, including income, excise,
property, sales, use, ad valorem, and franchise taxes other than Transfer Taxes.

               "Tax Return" means any return, report, information return, or
                ----------
other document (including any related or supporting information) filed or
required to be filed with any federal, state or local governmental entity or
other authority in connection with the determination, assessment or collection
of any Tax or the administration of any laws, regulations or administrative
requirements relating to any Tax.

               "Transaction Agreements" means this Agreement and the TBA.
                ----------------------

               "TBA Effective Date" means the effective date of the TBA as
                ------------------
defined in Section 2.2 of the TBA.

               13.2. Expenses. Except as otherwise expressly provided herein,
                     --------
whether or not the transactions contemplated by this Agreement shall be
consummated, each of the parties hereto shall pay its own expenses (including,
without limitation, attorney's and accountants' fees and out-of-pocket expenses)
incident to this Agreement and the transactions contemplated hereby, except that
all filing fees (including all FCC filing fees and all fees required in
connection with filings under the HSR Act), transfer taxes, recordation taxes,
sales taxes, document stamps, or other charges levied by any Governmental or
Regulatory Body in connection with the transactions contemplated by this
Agreement shall be paid by Buyer.

               13.3. Notices. All notices, requests, demands and other
                     -------
communications required or permitted to be given hereunder shall be in writing
and shall be given personally, telegraphed, telexed, sent by facsimile
transmission or sent by prepaid air courier or certified registered mail,
postage prepaid. Any such notice shall be deemed to have been given (a) when
received, if delivered in person,

                                       25
<PAGE>

telegraphed, telexed, sent by facsimile transmission and, in the case of
facsimile, confirmed in writing within three (3) Business Days thereafter, or
sent by prepaid air courier or (b) three (3) Business Days following the mailing
thereof, if mailed by registered or certified first class mail, postage prepaid,
return receipt requested, in any such case as follows (or to such other address
or addresses as a party may have advised the other in the manner provided in
this Section 13.3):

          If to Seller:
          ------------

          Hearst-Argyle Properties, Inc.
          888 Seventh Avenue
          New York, New York  10106

          Attention:  Bob Marbut, Chairman and Co-Chief Executive Officer and
          David J. Barrett, President and Co-Chief Executive Officer
          Facsimile: (212) 887-6855

          With a copy (which shall not constitute notice) to:

          Clifford Chance Rogers & Wells LLP
          200 Park Avenue
          New York, New York  10166

          Attention:  Steven A. Hobbs, Esq.
          Facsimile:  (212) 878-8375

          If to Buyer:
          -----------

          Emmis Communications Corporation
          One Emmis Plaza
          40 Monument Circle, Suite 700
          Indianapolis, Indiana  46204

          Attention:  Jeffrey H. Smulyan, Chairman
          Attention:  J. Scott Enright, Esq.
          Facsimile:  (317) 631-3750

          With a copy (which shall not constitute notice) to:

          Emmis Communications Corporation
          15821 Ventura Boulevard, Suite 685
          Encino, California 91436

          Attention:  Gary Kaseff, Esq.
          Facsimile:  (818) 784-4059

          and

          Bose McKinney & Evans LLP
          135 N. Pennsylvania Street, Suite 2700
          Indianapolis, Indiana  46204

          Attention:  David L. Wills
          Facsimile:  (317) 684-5173

                                       26
<PAGE>

               13.4. Publicity; Confidentiality. No publicity release or public
                     --------------------------
announcement concerning this Agreement or the transactions contemplated hereby
shall be made by Buyer or Seller without advance approval thereof by each other
party hereto. While this Agreement is in effect and after this Agreement
terminates, each party hereto and its Affiliates shall keep confidential, and
shall not disclose, the terms of this Agreement to any other Person without the
prior consent of each other party hereto unless (i) the disclosure is required
by applicable law or the rules of any stock exchange or which such party's
securities are traded, (ii) the terms are readily ascertainable from public or
published information, or trade sources (without violation of the foregoing
provisions of this sentence), (iii) the disclosure is (A) in connection with any
Action or Proceeding in respect of this Agreement or (B) to a Governmental or
Regulatory Body the filing with or consent of which is required in connection
with the transactions contemplated by this Agreement or (iv) the disclosure is
to any officer, director, employee or agent of any party hereto or of any of its
Affiliates and such Person needs to know such information for purposes of
consummating the transactions contemplated by or the performance of this
Agreement.

               13.5. Entire Agreement. The Confidentiality Agreement, TBA and
                     ----------------
this Agreement (including the Exhibits and Schedules hereto) and the agreements,
certificates and other documents delivered pursuant to this Agreement contain
the entire agreement among the parties with respect to the transactions
described herein, and supersede all prior agreements, written or oral, with
respect thereto.

               13.6. Waivers and Amendments. This Agreement may be amended,
                     ----------------------
superseded, cancelled, renewed or extended, and the terms hereof may be waived,
only by a written instrument signed by the parties or, in the case of a waiver,
by the party waiving compliance. No delay on the part of any party in exercising
any right, power or privilege hereunder shall operate as a waiver thereof.

               13.7. Governing Law. This Agreement shall be governed by and
                     -------------
construed in accordance with the laws of the State of New York without regard to
principles of conflicts of law. Any judicial proceeding brought against any of
the parties to this Agreement on any dispute arising out of this Agreement or
any matter related hereto may be brought in the courts of the State of New York,
and, by execution and delivery of this Agreement, each of the parties hereto
accepts the non-exclusive jurisdiction of the aforesaid courts, and irrevocably
agrees to be bound by any judgment rendered thereby in connection with this
Agreement.

               13.8. Binding Effect; No Assignment. This Agreement shall be
                     -----------------------------
binding upon and inure to the benefit of the parties and their respective
successors and legal representatives. This Agreement is not assignable by any
party hereto without the prior written consent of the other parties hereto and
any other purported assignment in violation hereof shall be null and void.
Notwithstanding the foregoing, Seller may assign all or part of its rights under
this Agreement prior to the Closing to an Affiliate of Seller or to a "qualified
intermediary" with the meaning of Treas. Reg. Sec. 1.1031(k)-1(g)(4)(iii)
without the prior written consent of Buyer; provided, however, that Seller shall
remain primarily liable for all of its obligations under this Agreement.
Notwithstanding the foregoing, Buyer may assign all of its rights under this
Agreement to a direct or indirect wholly-owned subsidiary of Buyer, provided
that (A) the representations and warranties of Buyer hereunder shall be true and
correct in all respects as applied to the assignee, (B) both Buyer and the
assignee shall execute and deliver to Seller a written instrument in form and
substance satisfactory to Seller within its reasonable judgment in which both
Buyer and the assignee agree to be jointly and severally liable for performance
of all of Buyer's obligations under this Agreement, (C) such assignment shall
not materially delay issuance of the FCC Order or expiration or termination of
the waiting period under the HSR Act, and (D) Buyer and the assignee shall
deliver such other documents and instruments as reasonably requested by Seller,
including appropriate certified resolutions of the boards of directors of Buyer
and the assignee.

                                       27
<PAGE>

               13.9. Seller Not Responsible for Buyer's Actions Under TBA.
                     -----------------------------------------------------
Anything contained herein to the contrary notwithstanding, Seller shall not be
deemed to have breached any representation, warranty, covenant or agreement of
Seller contained herein or to have failed to satisfy any condition precedent to
Buyer's obligations to purchase the Assets hereunder (nor shall Seller have any
liability or responsibility to Buyer in respect of any such representation,
warranty, covenant, agreement or condition precedent), in each case to the
extent that the inaccuracy of any such representation, the breach of any such
warranty, covenant or agreement or the inability to satisfy any such condition
precedent arises out of or otherwise relates to (i) any actions taken by or
under the authorization of Buyer or its Affiliates (or any of their respective
officers, directors, employees, agents or representatives) in connection with
Buyer's performance of its obligations under the TBA or otherwise, or (ii) the
failure of Buyer to perform any of its obligations under the TBA. Buyer
acknowledges and agrees that Seller shall not be deemed to be responsible for or
have authorized or consented to any action or failure to act on the part of
Buyer or its Affiliates (or any of their respective officers, directors,
employees, agents or representatives) in connection with the TBA by reason of
the fact that prior to Closing, Seller shall have the legal right to control,
manage or supervise the operation of the Stations or the conduct of their
business.

               13.10. Variations in Pronouns. All pronouns and any variations
                      ----------------------
thereof refer to the masculine, feminine or neuter, singular or plural, as the
context may require.

               13.11. Counterparts. This Agreement may be executed by the
                      ------------
parties hereto in separate counterparts, each of which when so executed and
delivered shall be an original, but all such counterparts shall together
constitute one and the same instrument. Each counterpart may consist of a number
of copies hereof each signed by less than all, but together signed by all of the
parties hereto.

               13.12. Exhibits and Schedules. The Exhibits and Schedules are a
                      ----------------------
part of this Agreement as if fully set forth herein. All references herein to
Sections, subsections, clauses, Exhibits and Schedules shall be deemed
references to such parts of this Agreement, unless the context shall otherwise
require.

               13.13. Headings. The headings in this Agreement are for reference
                      --------
only, and shall not affect the interpretation of this Agreement.

               13.14. Severability of Provisions. If any provision or any
                      --------------------------
portion of any provision of this Agreement or the application of such provision
or any portion thereof to any Person or circumstance, shall be held invalid or
unenforceable, the remaining portion of such provision and the remaining
provisions of this Agreement, or the application of such provision or portion of
such provision as is held invalid or unenforceable to persons or circumstances
other than those as to which it is held invalid or unenforceable, shall not be
affected thereby.

               13.15. No Third Party Beneficiary. The terms and provisions of
                      --------------------------
this Agreement are intended solely for the benefit of each party hereto and
their respective successors or permitted assigns, and it is not the intention of
the parties to confer third-party beneficiary rights upon any other Person other
than any Person entitled to indemnity under Section 11.

               13.16. Specific Performance. Seller acknowledges that the
                      --------------------
Stations are of a special, unique and extraordinary character, and that damages
alone are an inadequate remedy for a breach of this Agreement by Seller.
Accordingly, as an alternative to termination of this Agreement under Section
12.1, Buyer shall be entitled, in the event of Seller's material breach, to
enforcement of this Agreement (subject to obtaining any required approval of the
FCC or clearance under the HSR Act) by a decree of specific performance or
injunctive relief requiring Seller to fulfill its obligations under this
Agreement. Such right of specific performance or injunctive relief shall be in
addition to, and not in lieu of, Buyer's right to recover damages and to pursue
any other remedies available to Buyer for Seller's breach. In any action to

                                       28
<PAGE>

specifically enforce Seller's obligation to close the transactions contemplated
by this Agreement, Seller shall waive the defense that there is an adequate
remedy at law or in equity and agrees that Buyer shall be entitled to obtain
specific performance of Seller's obligation to close without being required to
prove actual damages.

                                       29
<PAGE>

               IN WITNESS WHEREOF, the parties hereto, intending to be legally
bound hereby, have duly executed this Agreement on the date first above written.

                          HEARST-ARGYLE PROPERTIES, INC.

                          By: /s/ David J. Barrett
                              ------------------------------
                              Name:
                              Title:

                          EMMIS COMMUNICATIONS CORPORATION

                          By: /s/ Jeffrey H. Smulyan
                              ------------------------------
                              Name:
                              Title:

                                       30

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}]]