Document:

EXHIBIT 4.5

             CERTIFICATE OF DESIGNATIONS, PREFERENCES AND RIGHTS OF
                    SERIES A CONVERTIBLE PREFERRED STOCK OF
                              TRIMFAST GROUP, INC.

TrimFast Group, Inc. (the "Company"), a corporation organized and existing under
the General Corporation Law of the State of Nevada, does hereby certify that,
pursuant to authority conferred upon the Board of Directors of the Company by
the Articles of Incorporation, as amended, of the Company, and pursuant to
Sections 78.195, 78.1955 and 78.196 of the General Corporation Law of the State
of Nevada, the Board of Directors of the Company at a meeting duly held, adopted
resolutions (i) authorizing a series of the Company's previously authorized
preferred stock, par value $100 per share, and (ii) providing for the
designations, preferences and relative, participating, optional or other rights,
and the qualifications, limitations or restrictions thereof, of fifteen thousand
(15,000) shares of Series A Preferred Stock of the Company, as follows:

RESOLVED, that the Company is authorized to issue 15,000 shares of Series A
Preferred Stock (the "Preferred Shares"), par value $.01 per share, which shall
have the following powers, designations, preferences and other special rights:

(1) Dividends.

(a) Regular Dividends. Each holder (a "Holder" and, collectively, the "Holders")
of the Preferred Shares shall be entitled to receive on each July 1 and January
1, or if such date is not a Business Day, the immediately subsequent Business
Day, commencing January 1, 2000 (each, a Dividend Payment Date), dividends at a
rate of eight percent (8%) per annum, computed on the basis of $100.00 per
Preferred Share. Such dividends shall be cumulative from (and including) such
Preferred Share's Issuance Date (as defined below) and shall accrue daily,
whether or not earned or declared, thereafter until paid and be calculated on
the basis of a 360 day year. Dividends shall be payable in cash; provided,
however that in lieu of paying such dividends in cash, the Company may, at its
option, pay any or all of such dividends by delivery of a number of shares of
Company common stock equal to the quotient of (x) the dollar amount of the
Regular Dividends to be paid on such Dividend Payment Date, divided by (y) the
Conversion Price determined on the day which is the third (3rd) Business Day
prior to the Dividend Payment Date. In the event the Company pays Regular
Dividends in shares of Company common stock, such common shares shall also have
the registration rights set forth in the Registration Rights Agreement (defined
below) and shall be considered Registrable Securities for purposes of the
Registration Rights Agreement.

(a) Participating Dividends. In the event any dividend or other distribution
payable in cash or other property is declared on the Common Stock (defined
below), each Holder on the record date for such dividend or distribution shall
be entitled to receive per Preferred Share on the date of payment or
distribution of such dividend or other distribution the amount of cash or
property equal to the cash or property which would be received by the Holders of
the number of shares of Common Stock into which such Preferred Share would be
converted pursuant to Section 2 hereof immediately prior to such record date.

(1) Conversion of Preferred Shares. Preferred Shares shall be convertible into
shares of the Company's common stock, par value $.001 per share (the "Common
Stock"), on the terms and conditions set forth in this Section 2.

(a) Certain Defined Terms. For purposes of this Certificate of Designations, the
following terms shall have the following meanings:

(i) "Business Day" means any day in which the Principal Market is open for
business.

(i) "Closing Date" has the same meaning as the term is defined in the Securities
Purchase Agreement, entered into by and between the Company and certain
investors, dated July 16, 1999.

(i) "Conversion Price" means, as of any Conversion Date (as defined below) or
other date of determination, the lower of (A) the Fixed Conversion Price and (B)
the Floating Conversion Price, each in effect as of such date and subject to
adjustment as provided herein.

(i) "Fixed Conversion Price" means $8.5938 subject to adjustment as provided
herein.

(i) "Floating Conversion Price" means, as of any date of determination, the
amount obtained by multiplying (A) the Conversion Percentage in effect as of
such date by (B) the Market Price for the Common Stock, subject to adjustment as
provided herein.

(i) "Conversion Percentage" means eighty percent (80%), subject to adjustment as
provided herein.

(i) "Market Price" means, with respect to any security for any period, that
price which shall be computed as the equally-weighted arithmetic average of the
three (3) lowest Closing Bid Prices (as defined below) for such security during
the period of the thirty (30) consecutive trading days immediately preceding
such date of determination. (All such determinations to be appropriately
adjusted for any stock dividend, stock split or other similar transaction during
such period).

(i) "Closing Bid Price" means, for any security as of any date, the last closing
bid price for such security on the Principal Market (as defined below) as
reported by Bloomberg Financial Markets ("Bloomberg"), or, if the Principal
Market is not the principal securities exchange or trading market for such
security, the last closing bid price of such security on the principal
securities exchange or trading market where such security is listed or traded as
reported by Bloomberg, or if the foregoing do not apply, the last closing bid
price of such security in the over-the-counter market on the electronic bulletin
board for such security as reported by Bloomberg, or, if no closing bid price is
reported for such security by Bloomberg, the last closing trade price of such
security as reported by Bloomberg, or, if no last closing trade price is
reported for such security by Bloomberg, the average of the bid prices of any
market makers for such security as reported in the "pink sheets" by the National
Quotation Bureau, Inc. If the Closing Bid Price cannot be calculated for such
security on such date on any of the foregoing bases, the Closing Bid Price of
such security on such date shall be the fair market value as mutually determined
by the Company and the Holders of Preferred Shares. If the Company and the
Holders of Preferred Shares are unable to agree upon the fair market value of
the Common Stock, then such dispute shall be resolved pursuant to Section
2(e)(iii) below with the term "Closing Bid Price" being substituted for the term
"Market Price." (All such determinations to be appropriately adjusted for any
stock dividend, stock split or other similar transaction during such period).

(i) "Closing Sale Price" means, for any security as of any date, the last
closing trade price for such security on the Principal Market (as defined below)
as reported by Bloomberg, or, if the Principal Market is not the principal
securities exchange or trading market for such security, the last closing trade
price of such security on the principal securities exchange or trading market
where such security is listed or traded as reported by Bloomberg, or if the
foregoing do not apply, the last closing trade price of such security in the
over-the-counter market on the electronic bulletin board for such security as
reported by Bloomberg, or, if no last closing trade price is reported for such
security by Bloomberg, the last closing ask price of such security as reported
by Bloomberg, or, if no last closing ask price is reported for such security by
Bloomberg, the average of the ask prices of any market makers for such security
as reported in the "pink sheets" by the National Quotation Bureau, Inc. If the
Closing Sale Price cannot be calculated for such security on such date on any of
the foregoing bases, the Closing Sale Price of such security on such date shall
be the fair market value as mutually determined by the Company and the Holders
of Preferred Shares. If the Company and the Holders of Preferred Shares are
unable to agree upon the fair market value of the Common Stock, then such
dispute shall be resolved pursuant to Section 2(e)(iii) below with the term
"Closing Sale Price" being substituted for the term "Market Price." (All such
determinations to be appropriately adjusted for any stock dividend, stock split
or other similar transaction during such period).

(i) "Issuance Date" means, with respect to each Preferred Share, the date of
issuance of the applicable Preferred Share.

(i) "Person" means an individual, a limited liability company, a partnership, a
joint venture, a corporation, a trust, an unincorporated organization and a
government or any department or agency thereof.

(i) "Principal Market" means the Nasdaq National Market [or the Nasdaq Small Cap
Market].

(i) "Registration Rights Agreement" means that certain Registration Rights
Agreement entered into by and between the Company and certain investors, dated
as of July 16, 1999.

(i) "Stated Value" means $100.00.

(a) Holder's Conversion Right. Subject to the provisions of Section 2(d) below,
at any time or times on or after the Issuance Date (as defined below), any
Holder of Preferred Shares shall be entitled to convert any whole number of
Preferred Shares into fully paid and nonassessable shares of Common Stock in
accordance with Section 2(e), at the Conversion Rate (as defined below). The
Company shall not issue any fraction of a share of Common Stock upon any
conversion. All shares of Common Stock (including fractions thereof) issuable
upon conversion of more than one Preferred Share by a Holder thereof shall be
aggregated for purposes of determining whether the conversion would result in
the issuance of a fraction of a share of Common Stock. If, after the
aforementioned aggregation, the issuance would result in the issuance of a
fraction of a share of Common Stock, the Company shall round such fraction of a
share of Common Stock up to the nearest whole share.

(a) Conversion Rate. The number of shares of Common Stock issuable upon
conversion of each Preferred Share pursuant to Section 2(b) shall be determined
according to the following formula (the "Conversion Rate"):

Stated Value
Conversion Price

(a) Limitations on Conversion. Without the prior consent of the Company, a
Holder shall not be entitled to convert any Preferred Shares during the period
beginning on and including the Issuance Date and ending on and including the
date that is 120 days after the Issuance Date. Without the prior consent of the
Company, a Holder shall not be entitled to convert an aggregate number of
Preferred Shares during the period beginning on and including the date which is
121 days after the Issuance Date and ending on and including the date which is
150 days after the Issuance Date in excess of thirty-four percent (34%) of the
number of Preferred Shares purchased by such Holder on such Issuance Date.
Without the prior consent of the Company, a Holder shall not be entitled to
convert an aggregate number of Preferred Shares during the period beginning on
and including the date which is 151 days after the Issuance Date and ending on
and including the date which is 180 days after the Issuance Date in excess of
sixty-seven percent (67%) of the number of Preferred Shares purchased by such
Holder on such Issuance Date. Beginning on and including the date which is 181
days after the Issuance Date, a Holder shall be entitled to convert an aggregate
number of Preferred Shares which is one hundred percent (100%) of the number of
Preferred Shares purchased by such Holder on the Issuance Date.

Notwithstanding the foregoing, the conversion restriction set forth in this
Section 2(d) shall not apply (A) at any time on and after the occurrence of a
Material Adverse Change (as defined below) or (B) at any time on and after the
date of the issuance by the Company of any Convertible Securities (as defined in
Section 2(g)(i)(F) other than the Preferred Shares. For purposes of this
Section 2(d), "Material Adverse Change" means any change, event, result or
happening involving, directly or indirectly, the Company or any of its
subsidiaries resulting in a material adverse effect on the business, prospects,
financial condition or results or operations of the Company and its
subsidiaries, taken as a whole, including, without limitation, an event
constituting a Triggering Event or Major Transaction.

(a) Mechanics of Conversion. The conversion of Preferred Shares shall be
conducted in the following manner:

(i) Holder's Delivery Requirements. To convert Preferred Shares into shares of
Common Stock on any date (the "Conversion Date"), the Holder shall (A) transmit
by facsimile (or otherwise deliver), for receipt on or prior to 11:59 p.m.,
Central Time on such date, a copy of a fully executed notice of conversion in
the form attached hereto as Exhibit I (the "Conversion Notice") to the Company's
designated transfer agent (the "Transfer Agent") with a copy thereof to the
Company and (B) surrender to a common carrier for delivery to the Transfer Agent
as soon as practicable following such date the original certificates
representing the Preferred Shares being converted (or an indemnification
undertaking with respect to such shares in the case of their loss, theft or
destruction) (the "Preferred Stock Certificates").

(i) Company's Response. Upon receipt by the Company of a copy of a Conversion
Notice, the Company shall immediately send, via facsimile, a confirmation of
receipt of such Conversion Notice to such Holder and the Transfer Agent, which
confirmation shall constitute an instruction to the Transfer Agent to process
such Conversion Notice in accordance with the terms herein. Upon receipt by the
Transfer Agent of the Preferred Stock Certificates to be converted pursuant to a
Conversion Notice, the Transfer Agent shall, on the next business day following
the date of receipt (or the second business day following the date of receipt if
received after 11:00 a.m. local time of the Transfer Agent), (A) issue and
surrender to a common carrier for overnight delivery to the address as specified
in the Conversion Notice, a certificate, registered in the name of the Holder or
its designee, for the number of shares of Common Stock to which the Holder shall
be entitled, or (B) provided the Transfer Agent is participating in The
Depository Trust Company ("DTC") Fast Automated Securities Transfer Program,
upon the request of the Holder, credit such aggregate number of shares of Common
Stock to which the Holder shall be entitled to the Holder's or its designee's
balance account with DTC through its Deposit Withdrawal Agent Commission system.
If the number of Preferred Shares represented by the Preferred Stock
Certificate(s) submitted for conversion is greater than the number of Preferred
Shares being converted, then the Transfer Agent shall, as soon as practicable
and in no event later than three (3) Business Days after receipt of the
Preferred Stock Certificate(s) and at its own expense, issue and deliver to the
Holder a new Preferred Stock Certificate representing the number of Preferred
Shares not converted.

(i) Dispute Resolution. In the case of a dispute as to the determination of the
Market Price or the arithmetic calculation of the Conversion Rate, the Company
shall instruct the Transfer Agent to issue to the Holder the number of shares of
Common Stock that is not disputed and shall submit the disputed determinations
or arithmetic calculations to the Holder via facsimile within one (1) Business
Day of receipt of such Holder's Conversion Notice. If such Holder and the
Company are unable to agree upon the determination of the Market Price or
arithmetic calculation of the Conversion Rate within one (1) Business Day of
such disputed determination or arithmetic calculation being submitted to the
Holder, then the Company shall within one (1) Business Day submit via facsimile
(A) the disputed determination of the Market Price to an independent, reputable
investment bank selected by the affected Holders and approved by the Company or
(B) the disputed arithmetic calculation of the Conversion Rate to the Company's
independent, outside accountant. The Company shall cause the investment bank or
the accountant, as the case may be, to perform the determinations or
calculations and notify the Company and the Holder of the results no later than
forty-eight (48) hours from the time it receives the disputed determinations or
calculations. Such investment bank's or accountant's determination or
calculation, as the case may be, shal l be binding upon all parties absent
manifest error.

(i) Record Holder. The person or persons entitled to receive the shares of
Common Stock issuable upon a conversion of Preferred Shares shall be treated for
all purposes as the record holder or holders of such shares of Common Stock on
the Conversion Date.

(i) Company's Failure to Timely Convert.

(A) Cash Damages. If within five (5) Business Days after the Transfer Agent's
receipt of the Preferred Stock Certificates to be converted and a copy of the
Conversion Notice (the "Share Delivery Period") the Transfer Agent shall fail to
issue a certificate to a Holder or credit such Holder's balance account with The
Depository Trust Company for the number of shares of Common Stock to which such
Holder is entitled upon such Holder's conversion of Preferred Shares or to issue
a new Preferred Stock Certificate representing the number of Preferred Shares to
which such Holder is entitled pursuant to Section 2(e)(ii) (a "Conversion
Failure"), in addition to all other available remedies which such Holder may
pursue hereunder and under the Securities Purchase Agreement between the Company
and the initial Holders of the Preferred Shares (the "Securities Purchase
Agreement") (including indemnification pursuant to the provisions thereof), the
Company shall pay additional damages to such Holder on each date after such
fifth (5th) Business Day such conversion is not timely effected and/or such
Preferred Stock Certificate is not delivered in an amount equal to 1.0% of the
product of (I) the sum of the number of shares of Common Stock not issued to the
Holder on a timely basis pursuant to Section 2(e)(ii) and to which such Holder
is entitled and, in the event the Company has failed to deliver a Preferred
Stock Certificate to the Holder on a timely basis pursuant to Section 2(e)(ii),
the number of shares of Common Stock issuable upon conversion of the Preferred
Shares represented by such Preferred Stock Certificate, as of the last possible
date which the Company could have issued such Preferred Stock Certificate to
such Holder without violating Section 2(e)(ii) and (II) the Closing Sale Price
of the Common Stock on the last possible date which the Company could have
issued such Common Stock or such Preferred Stock Certificate, as the case may
be, to such Holder without violating Section 2(e)(ii). If the Company fails to
pay the additional damages set forth in this Section 2(e)(v) within five (5)
Business Days of the date incurred, then the Holder entitled to such payments
shall have the right at any time, so long as the Company continues to fail to
make such payments, to require the Company, upon written notice, to immediately
issue, in lieu of such cash damages, the number of shares of Common Stock equal
to the quotient of (X) the aggregate amount of the damages payments described
herein divided by (Y) the Conversion Price in effect on such Conversion Date as
specified by the Holder in the Conversion Notice and such shares of Common Stock
shall be considered Registrable Securities pursuant to the Registration Rights
Agreements and shall have the respective registration rights thereunder.

(B) Void Conversion Notice; Adjustment to Conversion Price. If for any reason a
Holder has not received all of the shares of Common Stock prior to the tenth
(10th) Business Day after the expiration of the Share Delivery Period with
respect to a conversion of Preferred Shares, then the Holder, upon written
notice to the Transfer Agent, with a copy to the Company, may void its
Conversion Notice with respect to, and retain or have returned, as the case may
be, any Preferred Shares that have not been converted pursuant to such Holder's
Conversion Notice; provided that the voiding of a Holder's Conversion Notice
shall not effect the Company's obligations to make any payments which have
accrued prior to the date of such notice pursuant to Section 2(e)(v)(A) or
otherwise. Thereafter, the Fixed Conversion Price of any Preferred Shares
returned or retained by the Holder for failure to timely convert shall be
adjusted to the lesser of (I) the Fixed Conversion Price in effect as on the
date on which the Holder voided the Conversion Notice and (II) the lowest
Closing Bid Price during the period beginning on the Conversion Date and ending
on the date such Holder voided the Conversion Notice.

(i) Pro Rata Conversion and Redemption. In the event the Company receives a
Conversion Notice from more than one Holder of Preferred Shares for the same
Conversion Date and the Company can convert some, but not all, of such Preferred
Shares, the Company shall convert from each Holder of Preferred Shares electing
to have Preferred Shares converted at such time a pro rata amount of such
Holder's Preferred Shares submitted for conversion based on the number of
Preferred Shares submitted for conversion on such date by such Holder relative
to the number of Preferred Shares submitted for conversion on such date.

(i) [Reserved.]

(a) Taxes. The Company shall pay any and all taxes that may be payable with
respect to the issuance and delivery of Common Stock upon the conversion of
Preferred Shares.

(a) Adjustments to Conversion Price. The Conversion Price will be subject to
adjustment from time to time as provided in this Section 2(g).

(i) Adjustment of Fixed Conversion Price upon Issuance of Common Stock. If and
whenever on or after the date of issuance of the Preferred Shares, the Company
issues or sells, or in accordance with this Section 2(g) is deemed to have
issued or sold, any shares of Common Stock (including the issuance or sale of
shares of Common Stock owned or held by or for the account of the Company, but
excluding shares of Common Stock deemed to have been issued by the Company in
connection with an Approved Stock Plan (as defined below) or upon conversion of
the Preferred Shares) for a consideration per share less than the lesser of (A)
the Market Price of the Common Stock on the date of such issuance or sale and
(B) the Fixed Conversion Price in effect immediately prior to such time (the
"Applicable Price"), then immediately after such issue or sale, the Fixed
Conversion Price then in effect shall be reduced to an amount equal to the
product of (x) the Fixed Conversion Price in effect immediately prior to such
issue or sale and (y) the quotient of (1) the sum of (I) the product of the
Applicable Price and the number of shares of Common Stock Deemed Outstanding (as
defined below) immediately prior to such issue or sale and (II) the
consideration, if any, received by the Company upon such issue or sale, divided
by (2) the product of (I) the Applicable Price multiplied by (II) the number of
shares of Common Stock Deemed Outstanding immediately after such issue or sale.
For purposes of determining the adjusted Fixed Conversion Price under this
Section 2(g)(i), the following shall be applicable:

(A) Issuance of Options. If the Company in any manner grants or sells any
Options and the lowest price per share for which one share of Common Stock is
issuable upon the exercise of any such Option or upon conversion or exchange of
any Convertible Securities issuable upon exercise of such Option is less than
the Applicable Price, then such share of Common Stock shall be deemed to be
outstanding and to have been issued and sold by the Company at the time of the
granting or sale of such Option for such price per share. For purposes of this
Section 2(g)(i)(A), the "lowest price per share for which one share of Common
Stock is issuable upon the exercise of any such Option or upon conversion or
exchange of any Convertible Securities issuable upon exercise of such Option"
shall be equal to the sum of the lowest amounts of consideration (if any)
received or receivable by the Company with respect to any one share of Common
Stock upon granting or sale of the Option, upon exercise of the Option and upon
conversion or exchange of any Convertible Security issuable upon exercise of
such Option. No further adjustment of the Fixed Conversion Price shall be made
upon the actual issuance of such Common Stock or of such Convertible Securities
upon the exercise of such Options or upon the actual issuance of such Common
Stock upon conversion or exchange of such Convertible Securities.
Notwithstanding the foregoing, no adjustment shall be made pursuant to this
Section 2(g)(i)(A) to the extent that such adjustment is based solely on the
fact that the Convertible Securities issuable upon exercise of such Option are
convertible into or exchangeable for Common Stock at a price which varies with
the market price of the Common Stock.

(B) Issuance of Convertible Securities. If the Company in any manner issues or
sells any Convertible Securities and the lowest price per share for which one
share of Common Stock is issuable upon such conversion or exchange thereof is
less than the Applicable Price, then such share of Common Stock shall be deemed
to be outstanding and to have been issued and sold by the Company at the time of
the issuance of sale of such Convertible Securities for such price per share.
For the purposes of this Section 2(g)(i)(B), the "price per share for which one
share of Common Stock is issuable upon such conversion or exchange" shall be
equal to the sum of the lowest amounts of consideration (if any) received or
receivable by the Company with respect to any one share of Common Stock upon the
issuance or sale of the Convertible Security and upon the conversion or exchange
of such Convertible Security. No further adjustment of the Fixed Conversion
Price shall be made upon the actual issuance of such Common Stock upon
conversion or exchange of such Convertible Securities, and if any such issue or
sale of such Convertible Securities is made upon exercise of any Options for
which adjustment of the Fixed Conversion Price had been or are to be made
pursuant to other provisions of this Section 2(g)(i), no further adjustment of
the Fixed Conversion Price shall be made by reason of such issue or sale.
Notwithstanding the foregoing, no adjustment shall be made pursuant to this
Section 2(g)(i)(B) to the extent that such adjustment is based solely on the
fact that such Convertible Securities are convertible into or exchangeable for
Common Stock at a price which varies with the market price of the Common Stock.

(C) Change in Option Price or Rate of Conversion. If the purchase price provided
for in any Options, the additional consideration, if any, payable upon the
issue, conversion or exchange of any Convertible Securities, or the rate at
which any Convertible Securities are convertible into or exchangeable for Common
Stock changes at any time, the Fixed Conversion Price in effect at the time of
such change shall be adjusted to the Fixed Conversion Price which would have
been in effect at such time had such Options or Convertible Securities provided
for such changed purchase price, additional consideration or changed conversion
rate, as the case may be, at the time initially granted, issued or sold. For
purposes of this Section 2(g)(i)(C), if the terms of any Option or Convertible
Security that was outstanding as of the date of issuance of the Preferred Shares
are changed in the manner described in the immediately preceding sentence, then
such Option or Convertible Security and the Common Stock deemed issuable upon
exercise, conversion or exchange thereof shall be deemed to have been issued as
of the date of such change. No adjustment shall be made if such adjustment would
result in an increase of the Fixed Conversion Price then in effect.

(i) Treatment of Expired Options and Unexercised Convertible Securities. If, in
any case, the total number of shares of Common Stock issuable upon the exercise
of any Option or upon exercise, conversion or exchange of any Convertible
Security is not, in fact, issued and the rights to exercise or terminated, the
Fixed Conversion Price then in effect will be readjusted to the Fixed Conversion
Price which would have been in effect at the time of such expiration or
termination had such Option or Convertible Securities, to the extent outstanding
immediately prior to such expiration or termination (other than in respect of
the actual number of shares of Common Stock issued upon exercise or conversion
thereof) never been issued.

(D) Calculation of Consideration Received. In case any Option is issued in
connection with the issue or sale of other securities of the Company, together
comprising one integrated transaction in which no specific consideration is
allocated to such Options by the parties thereto, the Options will be deemed to
have been issued for a consideration of $.01. If any Common Stock, Options or
Convertible Securities are issued or sold or deemed to have been issued or sold
for cash, the consideration received therefor will be deemed to be the net
amount received by the Company therefor. If any Common Stock, Options or
Convertible Securities are issued or sold for a consideration other than cash,
the amount of the consideration other than cash received by the Company will be
the fair value of such consideration, except where such consideration consists
of securities, in which case the amount of consideration received by the Company
will be the fair market value of such securities on the date of receipt. If any
Common Stock, Options or Convertible Securities are issued to the owners of the
non-surviving entity in connection with any merger in which the Company is the
surviving entity, the amount of consideration therefor will be deemed to be the
fair value of such portion of the net assets and business of the non-surviving
entity as is attributable to such Common Stock, Options or Convertible
Securities, as the case may be. The fair value of any consideration other than
cash or securities will be determined jointly by the Company and the Holders of
a majority of the Preferred Shares then outstanding. If such parties are unable
to reach agreement within 10 days after the occurrence of an event requiring
valuation (the "Valuation Event"), the fair value of such consideration will be
determined within five business days after the tenth (10th) day following the
Valuation Event by an independent, reputable appraiser jointly selected by the
Company and the Holders of a majority of the Preferred Shares then outstanding.
The determination of such appraiser shall be deemed binding upon all parties
absent manifest error and the fees and expenses of such appraiser shall be borne
by the Company.

(E) Record Date. If the Company takes a record of the holders of Common Stock
for the purpose of entitling them (1) to receive a dividend or other
distribution payable in Common Stock, Options or in Convertible Securities or
(2) to subscribe for or purchase Common Stock, Options or Convertible
Securities, then such record date will be deemed to be the date of the issue or
sale of the shares of Common Stock deemed to have been issued or sold upon the
declaration of such dividend or the making of such other distribution or the
date of the granting of such right of subscription or purchase, as the case may
be.

(F) Certain Definitions. For purposes of this Section 2(g)(i), the following
terms have the respective meanings set forth below:

(I) "Approved Stock Plan" shall mean any employee benefit plan which has been
approved by the Board of Directors of the Company, pursuant to which the
Company's securities may be issued to any employee, officer, director,
consultant or other service provider for services provided to the Company.

(II) "Common Stock Deemed Outstanding" means, at any given time, the number of
shares of Common Stock actually outstanding at such time, plus the number of
shares of Common Stock deemed to be outstanding pursuant to Sections 2(g)(i)(A)
and 2(g)(i)(B) hereof regardless of whether the Options or Convertible
Securities are actually exercisable at such time, but excluding any shares of
Common Stock owned or held by or for the account of the Company or issuable upon
conversion of the Preferred Shares.

(III) "Options" means any rights, warrants or options to subscribe for or
purchase Common Stock or Convertible Securities.

(IV) "Convertible Securities" means any stock or securities (other than Options)
directly or indirectly convertible into or exchangeable for Common Stock.

(ii) Adjustment of Fixed Conversion Price upon Subdivision or Combination of
Common Stock. If the Company at any time subdivides (by any stock split, stock
dividend, recapitalization or otherwise) one or more classes of its outstanding
shares of Common Stock into a greater number of shares, the Fixed Conversion
Price in effect immediately prior to such subdivision will be proportionately
reduced. If the Company at any time combines (by combination, reverse stock
split or otherwise) one or more classes of its outstanding shares of Common
Stock into a smaller number of shares, the Fixed Conversion Price in effect
immediately prior to such combination will be proportionately increased.

(iii) [Reserved].

(iv) Holder's Right of Alternative Floating Conversion Price Following Issuance
of Convertible Securities. If after the Closing Date the Company in any manner
issues or sells Convertible Securities that are convertible into or exchangeable
for Common Stock at a price which varies with the market price of the Common
Stock (the formulation for such variable price being herein referred to as, the
"Variable Price") and such Variable Price is not calculated using the same
formula used to calculate the Floating Conversion Price in effect immediately
prior to the time of such issue or sale, the Company shall provide written
notice thereof via facsimile and overnight courier to each Holder of the
Preferred Shares ("Variable Notice") on the date of issuance of such Convertible
Securities. From and after the date the Company issues any such Convertible
Securities with a Variable Price, a Holder of Preferred Shares shall have the
right, but not the obligation, in its sole discretion to substitute the Variable
Price for the Floating Conversion Price upon conversion of any Preferred Shares
by designating in the Conversion Notice delivered upon conversion of such
Preferred Shares that solely for purposes of such conversion the Holder is
relying on the Variable Price rather than the Floating Conversion Price then in
effect. A Holder's election to rely on a Variable Price for a particular
conversion of Preferred Shares shall not obligate the Holder to rely on a
Variable Price for any future conversions of Preferred Shares.

(v) Other Events. If any event occurs of the type contemplated by the provisions
of this Section 2(e) but not expressly provided for by such provisions
(including, without limitation, the granting of stock appreciation rights,
phantom stock rights or other rights with equity features), then the Company's
Board of Directors will make an appropriate adjustment in the Conversion Price
so as to protect the rights of the Holders of the Preferred Shares; provided
that no such adjustment will increase the Conversion Price as otherwise
determined pursuant to this Section 2(e).

(vi) Notices.

(A) Immediately upon any adjustment of the Conversion Price, the Company will
give written notice thereof to each Holder of Preferred Shares, setting forth in
reasonable detail, and certifying, the calculation of such adjustment.

(B) The Company will give written notice to each Holder of Preferred Shares at
least twenty (20) days prior to the date on which the Company closes its books
or takes a record (I) with respect to any dividend or distribution upon the
Common Stock, (II) with respect to any pro rata subscription offer to holders of
Common Stock or (III) for determining rights to vote with respect to any Organic
Change (as defined below), dissolution or liquidation, provided that such
information shall be made known to the public prior to or in conjunction with
such notice being provided to such Holder.

(C) The Company will also give written notice to each Holder of Preferred Shares
at least twenty (20) days prior to the date on which any Organic Change,
dissolution or liquidation will take place, provided that such information shall
be made known to the public prior to or in conjunction with such notice being
provided to such Holder.

(1) Redemption at Option of Holders.

(a) Redemption Option Upon Major Transaction. In addition to all other rights of
the Holders of Preferred Shares contained herein, upon the consummation of a
Major Transaction (as defined below), each Holder of Preferred Shares shall have
the right, at such Holder's option, to require the Company to redeem all or a
portion of such Holder's Preferred Shares at a price per Preferred Share equal
to the greater of (i) 125% of the Stated Value of such Preferred Share and (ii)
the product of (A) the Conversion Rate in effect at such time as such Holder
delivers a Notice of Redemption at Option of Buyer Upon Major Transaction (as
defined below) and (B) the Closing Sale Price of the Common Stock on the date
immediately preceding such Major Transaction on which the Principal Market, or
the market or exchange where the Common Stock is then traded, is open for
trading ("Major Transaction Redemption Price").

(a) Redemption Option Upon Triggering Event. In addition to all other rights of
the Holders of Preferred Shares contained herein, after a Triggering Event (as
defined below), each Holder of Preferred Shares shall have the right, at such
Holder's option, to require the Company to redeem all or a portion of such
Holder's Preferred Shares at a price per Preferred Share equal to the greater of
(i) 125% of the Stated Value and (ii) the product of (A) the Conversion Rate in
effect at such time as such Holder delivers a Notice of Redemption at Option of
Buyer Upon a Triggering Event (as defined below) and (B) the Closing Sale Price
of the Common Stock on the date immediately preceding such Triggering Event on
which the Principal Market, or the market or exchange where the Common Stock is
then traded, is open for trading ("Triggering Event Redemption Price" and,
collectively with "Major Transaction Redemption Price," the "Redemption Price").

(a) "Major Transaction". A "Major Transaction" shall be deemed to have occurred
at such time as any of the following events:

(i) the consolidation, merger or other business combination of the Company with
or into another Person (other than pursuant to a migratory merger effected
solely for the purpose of changing the jurisdiction of incorporation of the
Company) involving the issuance, exchange or sale of more than 30% of the shares
of Common Stock then outstanding;

(i) the sale or transfer of all or substantially all of the Company's assets; or

(i) a purchase, tender or exchange offer made to the holders of more than 30% of
the outstanding shares of Common Stock.

(a) "Triggering Event". A "Triggering Event" shall be deemed to have occurred at
such time as any of the following events:

(i) the failure of the Registration Statement to be declared effective by the
SEC on or prior to the date that is 120 days after the Issuance Date;

(i) while the Registration Statement is required to be maintained effective
pursuant to the terms of the Registration Rights Agreement, the effectiveness of
the Registration Statement lapses for any reason (including, without limitation,
the issuance of a stop order) or is unavailable to the Holder of the Preferred
Shares for sale of all of the Registrable Securities (as defined in the
Registration Rights Agreement) in accordance with the terms of the Registration
Rights Agreement, and such lapse or unavailability continues for a period of
five (5) consecutive trading days, provided that the cause of such lapse or
unavailability is not due to factors solely within the control of such Holder of
Preferred Shares;

(i) the suspension from trading or failure of the Common Stock to be listed on
the Nasdaq National Market, The New York Stock Exchange, Inc. or The American
Stock Exchange, Inc. for a period of five (5) consecutive trading days or for
more than an aggregate of ten (10) trading days in any 365-day period (provided
that such failure shall not constitute a Triggering Event if caused by Holders
of Preferred Shares pursuant to Section 4(c) below);

(i) the Company's or the Transfer Agent's notice to any Holder of Preferred
Shares, including by way of public announcement, at any time, of its intention
not to comply with a request for conversion of any Preferred Shares into shares
of Common Stock that is tendered in accordance with the provisions of this
Certificate of Designations, or the failure of the Transfer Agent to comply with
a Conversion Notice tendered in accordance with the provisions of this
Certificate of Designations within ten (10) Business Days after the receipt by
the Transfer Agent of the Conversion Notice;

(i) upon the Company's receipt of a Conversion Notice, the Company shall not be
obligated to issue the Conversion Shares due to the provisions of Section 12; or

(i) the Company breaches any representation, warranty, covenant or other term or
condition of the Securities Purchase Agreement, the Registration Rights
Agreement, this Certificate of Designations or any other agreement, document,
certificate or other instrument delivered in connection with the transactions
contemplated thereby and hereby, except to the extent that such breach would not
have a Material Adverse Effect (as defined in Section 3(a) of the Securities
Purchase Agreement) and except, in the case of a breach of a covenant which is
curable, only if such breach continues for a period of at least ten (10) days.

(a) Mechanics of Redemption at Option of Buyer Upon Major Transaction. No sooner
than 15 days nor later than 10 days prior to the consummation of a Major
Transaction, the Company shall deliver written notice thereof via facsimile and
overnight courier ("Notice of Major Transaction") to each Holder of Preferred
Shares, which notice shall include the date by which a Holder receiving a Notice
of Major Transaction must provide the Company with notice of its intent to
exercise its redemption rights hereunder (which date shall not be sooner than
five business days after the date of the Notice of Major Transaction (the "Major
Transaction Response Date")). The Company shall publicly disclose the material
facts of such Major Transaction prior to or concurrently with providing the
Notice of Major Transaction, such public disclosure to be made not later than 10
days prior to the consummation of such Major Transaction. At any time after
receipt of a Notice of Major Transaction and prior to the Major Transaction
Response Date (or, in the event a Notice of Major Transaction is not delivered
at least 10 days prior to a Major Transaction, at any time prior to the
consummation of a Major Transaction) any Holder of Preferred Shares then
outstanding may require the Company to redeem all of the Holder's Preferred
Shares then outstanding by delivering written notice thereof via facsimile and
overnight courier ("Notice of Redemption at Option of Buyer Upon Major
Transaction") to the Company, which Notice of Redemption at Option of Buyer Upon
Major Transaction shall indicate (i) the number of Preferred Shares that such
Holder is electing to redeem and (ii) the applicable Major Transaction
Redemption Price, as calculated pursuant to Section 3(a).

(a) Mechanics of Redemption at Option of Buyer Upon Triggering Event. Within one
(1) day after the occurrence of a Triggering Event, the Company shall deliver
written notice thereof via facsimile and overnight courier ("Notice of
Triggering Event") to each Holder of Preferred Shares. At any time after the
earlier of a Holder's receipt of a Notice of Triggering Event and such Holder
becoming aware of a Triggering Event, any Holder of Preferred Shares then
outstanding may require the Company to redeem all of the Preferred Shares by
delivering written notice thereof via facsimile and overnight courier ("Notice
of Redemption at Option of Buyer Upon Triggering Event") to the Company, which
Notice of Redemption at Option of Buyer Upon Triggering Event shall indicate (i)
the number of Preferred Shares that such Holder is electing to redeem and (ii)
the applicable Triggering Event Redemption Price, as calculated pursuant to
Section 3(b) above.

(a) Payment of Redemption Price. Upon the Company's receipt of a Notice(s) of
Redemption at Option of Buyer Upon Major Transaction or a Notice(s) of
Redemption at Option of Buyer Upon Triggering Event, as the case may be, from
any Holder of Preferred Shares, the Company shall immediately notify each Holder
of Preferred Shares by facsimile of the Company's receipt of such notices and
each Holder which has sent such a notice shall promptly submit to the Transfer
Agent such Holder's Preferred Stock Certificates which such Holder has elected
to have redeemed. The Company shall deliver the applicable Redemption Price to
such Holder within five (5) Business Days after the Company's receipt of a
Notice of Redemption at Option of Buyer Upon Triggering Event or Notice of
Redemption at Option of Buyer Upon Major Transaction; provided that a Holder's
Preferred Stock Certificates shall have been so delivered to the Transfer Agent.
If the Company is unable to redeem all of the Preferred Shares submitted for
redemption, the Company shall (i) redeem a pro rata amount from each Holder of
Preferred Shares based on the number of Preferred Shares submitted for
redemption by such Holder relative to the total number of Preferred Shares
submitted for redemption by all Holders of Preferred Shares and (ii) in addition
to any remedy such Holder of Preferred Shares may have under this Certificate of
Designations and the Securities Purchase Agreement, pay to each Holder interest
at the rate of 2.0% per month (prorated for partial months) in respect of each
unredeemed Preferred Share until paid in full.

(a) Void Redemption. In the event that the Company does not pay the Redemption
Price within the time period set forth in Section 3(g), at any time thereafter
and until the Company pays such unpaid applicable Redemption Price in full, a
Holder of Preferred Shares shall have the option (the "Void Optional Redemption
Option") to, in lieu of redemption, require the Company to promptly return to
such Holder any or all of the Preferred Shares that were submitted for
redemption by such Holder under this Section 3 and for which the applicable
Redemption Price (together with any interest thereon) has not been paid, by
sending written notice thereof to the Company via facsimile (the "Void Optional
Redemption Notice"). Upon the Company's receipt of such Void Optional Redemption
Notice, (i) the Notice of Redemption at Option of Buyer Upon Triggering Event or
the Notice of Redemption at Option of Buyer Upon Major Transaction, as the case
may be, shall be null and void with respect to those Preferred Shares subject to
the Void Optional Redemption Notice, (ii) the Company shall immediately return
any Preferred Shares subject to the Void Optional Redemption Notice, (iii) the
Fixed Conversion Price of such returned Preferred Shares shall be adjusted to
the lesser of (A) the Fixed Conversion Price as in effect on the date on which
the Void Optional Redemption Notice is delivered to the Company and (B) the
lowest Closing Bid Price during the period beginning on the date on which the
Notice of Redemption at Option of Buyer Upon Major Transaction or the Notice of
Redemption at Option of Buyer Upon Triggering event, as the case may be, is
delivered to the Company and ending on the date on which the Void Optional
Redemption Notice is delivered to the Company, and (iv) the Conversion
Percentage in effect at such time shall be reduced by a number of percentage
points equal to the product of (A) .25 and (B) the number of days in the period
beginning on the date which is five business days after the date on which the
Notice of Redemption at Option of Buyer Upon Major Transaction or the Notice of
Redemption at Option of Buyer Upon Triggering Event, as the case may be, is
delivered to the Company and ending on the date on which the Void Optional
Redemption Notice is delivered to the Company.

(a) Disputes; Miscellaneous. In the event of a dispute as to the determination
of the Closing Bid Price, the Closing Sale Price or the arithmetic calculation
of the Redemption Price, such dispute shall be resolved pursuant to Section
2(e)(iii) above with the term "Closing Bid Price" and/or "Closing Sale Price",
as the case may be, being substituted for the term "Market Price" and the term
"Redemption Price" being substituted for the term "Conversion Rate". A Holder's
delivery of a Void Optional Redemption Notice and exercise of its rights
following such notice shall not effect the Company's obligations to make any
payments which have accrued prior to the date of such notice. Payments provided
for in this Section 3 shall have priority to payments to other stockholders in
connection with a Major Transaction. In the event of a redemption pursuant to
this Section 3 of less than all of the Preferred Shares represented by a
particular Preferred Stock Certificate, the Company shall promptly cause to be
issued and delivered to the Holder of such Preferred Shares a preferred stock
certificate representing the remaining Preferred Shares which have not been
redeemed.

(1) Other Rights of Holders.

(a) Reorganization, Reclassification, Consolidation, Merger or Sale. Any
recapitalization, reorganization, reclassification, consolidation, merger, sale
of all or substantially all of the Company's assets to another Person or other
transaction which is effected in such a way that holders of Common Stock are
entitled to receive (either directly or upon subsequent liquidation) stock,
securities or assets with respect to or in exchange for Common Stock is referred
to herein as "Organic Change". Prior to the consummation of any (i) sale of all
or substantially all of the Company's assets to an acquiring Person or (ii)
other Organic Change following which the Company is not a surviving entity, the
Company will secure from the Person purchasing such assets or the successor
resulting from such Organic Change (in each case, the "Acquiring Entity") a
written agreement (in form and substance satisfactory to the Holders of a
majority of the Preferred Shares then outstanding) to deliver to each Holder of
Preferred Shares in exchange for such shares, a security of the Acquiring Entity
evidenced by a written instrument substantially similar in form and substance to
the Preferred Shares, including, without limitation, having a stated value and
liquidation preference equal to the Stated Value and the Liquidation Preference
of the Preferred Shares held by such Holder, and satisfactory to the Holders of
a majority of the Preferred Shares then outstanding. Prior to the consummation
of any other Organic Change, the Company shall make appropriate provision (in
form and substance satisfactory to the Holders of a majority of the Preferred
Shares then outstanding) to insure that each of the Holders of the Preferred
Shares will thereafter have the right to acquire and receive in lieu of or in
addition to (as the case may be) the shares of Common Stock immediately
theretofore acquirable and receivable upon the conversion of such Holder's
Preferred Shares such shares of stock, securities or assets that would have been
issued or payable in such Organic Change with respect to or in exchange for the
number of shares of Common Stock which would have been acquirable and receivable
upon the conversion of such Holder's Preferred Shares as of the date of such
Organic Change (without taking into account any limitations or restrictions on
the convertibility of the Preferred Shares).

(b) Purchase Rights. If at any time the Company grants, issues or sells any
Options, Convertible Securities or rights to purchase stock, warrants,
securities or other property pro rata to the record holders of any class of
Common Stock (the "Purchase Rights"), then the Holders of Preferred Shares will
be entitled to acquire, upon the terms applicable to such Purchase Rights, the
aggregate Purchase Rights which such Holder could have acquired if such Holder
had held the number of shares of Common Stock acquirable upon complete
conversion of the Preferred Shares (without taking into account any limitations
or restrictions on the convertibility of the Preferred Shares) immediately
before the date on which a record is taken for the grant, issuance or sale of
such Purchase Rights, or, if no such record is taken, the date as of which the
record Holders of Common Stock are to be determined for the grant, issue or sale
of such Purchase Rights.

(c) Forced Delisting. If a redemption voided pursuant to Section 3(h) was caused
by a Triggering Event involving the Company's inability to issue Conversion
Shares because of the Primary Exchange Cap (as defined in Section 12), and if so
directed by the Holders of at least two-thirds (2/3) of the Preferred Shares
then outstanding, including shares of Preferred Shares submitted for redemption
pursuant to Section 3 with respect to which the applicable Redemption Price has
not been paid, in a Void Mandatory Redemption Notice, the Company shall
immediately delist the Common Stock from exchange or automated quotation system
on which the Common Stock is traded and have the Common Stock, at such Holders'
option, traded on the electronic bulletin board or the "pink sheets".

(1) [Reserved.]

(1) Reservation of Shares.

(a) Authorized and Reserved Amount. The Company shall, at all times so long as
any of the Preferred Shares are outstanding, reserve and keep available out of
its authorized and unissued Common Stock, solely for the purpose of effecting
the conversion of the Preferred Shares, such number of shares (the Reserved
Amount) of Common Stock as shall from time to time be sufficient to effect the
conversion of all of the Preferred Shares then outstanding; provided that the
number of shares of Common Stock so reserved shall at no time be less than two
hundred percent (200%) of the number of shares of Common Stock for which the
Preferred Shares are at any time convertible (including but not limited to any
accrued but unpaid Regular Dividends, assuming any such accrued but unpaid
Regular Dividends are paid on such date by delivery of shares of Common Stock if
the Company elected to pay such Regular Dividends in Common Stock) (the Minimum
Amount). The initial number of shares of Common Stock reserved for conversions
of the Preferred Shares and each increase in the number of shares so reserved
shall be allocated pro rata among the Holders of the Preferred Shares based on
the number of Preferred Shares held by each Holder at the time of issuance of
the Preferred Shares or increase in the number of reserved shares, as the case
may be. In the event a Holder shall sell or otherwise transfer any of such
Holder's Preferred Shares, each transferee shall be allocated a pro rata portion
of the number of reserved shares of Common Stock reserved for such transferor.
Any shares of Common Stock reserved and allocated to any Person which ceases to
hold any Preferred Shares shall be allocated to the remaining Holders of
Preferred Shares, pro rata based on the number of Preferred Shares then held by
such Holders.

(b) Increases to Reserved Amount. Without limiting any other provision of this
Section 6, if the Reserved Amount for any three (3) consecutive trading days
(the last of such three (3) trading days being the Reservation Trigger Date)
shall be less than two hundred percent (200%) of the number of shares of Common
Stock issuable upon conversion of the Preferred Shares on such trading days (a
Share Authorization Failure), the Company shall immediately notify all Holders
of such occurrence and shall take action as soon as possible, but in any event
within thirty (30) days after a Reservation Trigger Date (including, if
necessary, seeking shareholder approval to authorize the issuance of additional
shares of Common Stock) to increase the Reserved Amount to two hundred fifty
percent (250%) of the number of shares of Common Stock then issuable upon
conversion of the Preferred Shares.

(1) Voting Rights. Holders of Preferred Shares shall have no voting rights,
except as required by law, including but not limited to the General Corporation
Law of the State of Nevada, and as expressly provided in this Certificate of
Designations.

(1) Liquidation, Dissolution, Winding-Up. In the event of any voluntary or
involuntary liquidation, dissolution or winding up of the Company, the Holders
of the Preferred Shares shall be entitled to receive in cash out of the assets
of the Company, whether from capital or from earnings available for distribution
to its stockholders (the "Liquidation Funds"), before any amount shall be paid
to the holders of any of the capital stock of the Company of any class junior in
rank to the Preferred Shares in respect of the preferences as to the
distributions and payments on the liquidation, dissolution and winding up of the
Company, an amount per Preferred Share equal to $100 and any accrued but unpaid
Regular Dividends and Participating Dividends (such sum being referred to as the
"Liquidation Preference"); provided that, if the Liquidation Funds are
insufficient to pay the full amount due to the Holders of Preferred Shares and
holders of shares of other classes or series of preferred stock of the Company
that are of equal rank with the Preferred Shares as to payments of Liquidation
Funds (the "Pari Passu Shares"), then each Holder of Preferred Shares and Pari
Passu Shares shall receive a percentage of the Liquidation Funds equal to the
full amount of Liquidation Funds payable to such Holder as a liquidation
preference, in accordance with their respective Certificate of Designations,
Preferences and Rights, as a percentage of the full amount of Liquidation Funds
payable to all Holders of Preferred Shares and holders of Pari Passu Shares. In
addition to the receipt of the Liquidation Preference, in the event of any
voluntary or involuntary liquidation, dissolution or winding up of the Company,
the Holders of the Preferred Shares shall be entitled to receive Liquidation
Funds distributed to holders of Common Stock, after the Liquidation Preference
has been paid, to the same extent as if such Holders of Preferred Shares had
converted the Preferred Shares into Common Stock (without regard to any
limitations on conversions herein or elsewhere) and had held such shares of
Common Stock on the record date for such distribution of the remaining
Liquidation Funds. The purchase or redemption by the Company of stock of any
class, in any manner permitted by law, shall not, for the purposes hereof, be
regarded as a liquidation, dissolution or winding up of the Company. Neither the
consolidation or merger of the Company with or into any other Person, nor the
sale or transfer by the Company of less than substantially all of its assets,
shall, for the purposes hereof, be deemed to be a liquidation, dissolution or
winding up of the Company. No Holder of Preferred Shares shall be entitled to
receive any amounts with respect thereto upon any liquidation, dissolution or
winding up of the Company other than the amounts provided for herein; provided
that a Holder of Preferred Shares shall be entitled to all amounts previously
accrued with respect to amounts owed hereunder.

(1) Preferred Rank. All shares of Common Stock shall be of junior rank to all
Preferred Shares in respect to the preferences as to distributions and payments
upon the liquidation, dissolution and winding up of the Company. The rights of
the shares of Common Stock shall be subject to the preferences and relative
rights of the Preferred Shares. Without the prior express written consent of the
Holders of not less than two-thirds (2/3) of the then outstanding Preferred
Shares, the Company shall not hereafter authorize or issue additional or other
capital stock that is of senior or equal rank to the Preferred Shares in respect
of the preferences as to distributions and payments upon the liquidation,
dissolution and winding up of the Company. Without the prior express written
consent of the Holders of not less than two-thirds (2/3) of the then outstanding
Preferred Shares, the Company shall not hereafter authorize or make any
amendment to the Company's Articles of Incorporation or bylaws, or file any
resolution of the board of directors of the Company with the Nevada Secretary of
State or enter into any agreement containing any provisions, which would
adversely affect or otherwise impair the rights or relative priority of the
Holders of the Preferred Shares relative to the holders of the Common Stock or
the holders of any other class of capital stock. In the event of the merger or
consolidation of the Company with or into another corporation, the Preferred
Shares shall maintain their relative powers, designations and preferences
provided for herein and no merger shall result inconsistent therewith.

(1) Participation. Subject to the rights of the Holders, if any, of the Pari
Passu Shares, the Holders of the Preferred Shares shall, as Holders of Preferred
Stock, be entitled to such dividends paid and distributions made to the holders
of Common Stock to the same extent as if such Holders of Preferred Shares had
converted the Preferred Shares into Common Stock (without regard to any
limitations on conversion herein or elsewhere) and had held such shares of
Common Stock on the record date for such dividends and distributions. Payments
under the preceding sentence shall be made concurrently with the dividend or
distribution to the holders of Common Stock.

(1) Restriction on Redemption and Cash Dividends. Until all of the Preferred
Shares have been converted or redeemed as provided herein, the Company shall
not, directly or indirectly, redeem, or declare or pay any cash dividend or
distribution on, its Common Stock without the prior express written consent of
the Holders of not less than two-thirds (2/3) of the then outstanding Preferred
Shares.

(1) Limitation on Number of Conversion Shares. The Company shall not be
obligated to issue any shares of Common Stock upon conversion of the Preferred
Shares if the issuance of such shares of Common Stock would exceed that number
of shares of Common Stock which the Company may issue upon Conversion of the
Preferred Shares (the "Exchange Cap") without breaching the Company's
obligations under the rules or regulations of the Principal Market, or the
market or exchange where the Common Stock is then traded, except that such
limitation shall not apply in the event that the Company (a) obtains the
approval of its stockholders as required by the applicable rules of the
Principal Market, or the market or exchange where the Common Stock is then
traded, (or any successor rule or regulation) for issuances of Common Stock in
excess of such amount or (b) obtains a written opinion from outside counsel to
the Company that such approval is not required, which opinion shall be
reasonably satisfactory to the Holders of a majority of the Preferred Shares
then outstanding. Until such approval or written opinion is obtained, no
purchaser of Preferred Shares pursuant to the Securities Purchase Agreement (the
"Purchasers") shall be issued, upon conversion of Preferred Shares, shares of
Common Stock in an amount greater than the product of (i) the Exchange Cap
amount multiplied by (ii) a fraction, the numerator of which is the number of
Preferred Shares issued to such Purchaser pursuant to the Securities Purchase
Agreement and the denominator of which is the aggregate amount of all the
Preferred Shares issued to the Purchasers pursuant to the Securities Purchase
Agreement (the "Cap Allocation Amount"). In the event that any Purchaser shall
sell or otherwise transfer any of such Purchaser's Preferred Shares, the
transferee shall be allocated a pro rata portion of such Purchaser's Cap
Allocation Amount. In the event that any Holder of Preferred Shares shall
convert all of such Holder's Preferred Shares into a number of shares of Common
Stock which, in the aggregate, is less than such Holder's Cap Allocation Amount,
then the difference between such Holder's Cap Allocation Amount and the number
of shares of Common Stock actually issued to such Holder shall be allocated to
the respective Cap Allocation Amounts of the remaining Holders of Preferred
Shares on a pro rata basis in proportion to the number of Preferred Shares then
held by each such Holder.

(1) Vote to Change the Terms of Preferred Shares. The affirmative vote at a
meeting duly called for such purpose or the written consent without a meeting,
of the Holders of not less than two-thirds (2/3) of the then outstanding
Preferred Shares, shall be required for any change to this Certificate of
Designations or the Company's Articles of Incorporation which would amend,
alter, change or repeal any of the powers, designations, preferences and rights
of the Preferred Shares.

(1) Lost or Stolen Certificates. Upon receipt by the Company of evidence
reasonably satisfactory to the Company of the loss, theft, destruction or
mutilation of any Preferred Stock Certificates representing the Preferred
Shares, and, in the case of loss, theft or destruction, of any indemnification
undertaking by the Holder to the Company in customary form and, in the case of
mutilation, upon surrender and cancellation of the Preferred Stock
Certificate(s), the Company shall execute and deliver new preferred stock
certificate(s) of like tenor and date; provided, however, the Company shall not
be obligated to re-issue preferred stock certificates if the Holder
contemporaneously requests the Company to convert such Preferred Shares into
Common Stock.

(1) Remedies, Characterizations, Other Obligations, Breaches and Injunctive
Relief. The remedies provided in this Certificate of Designations shall be
cumulative and in addition to all other remedies available under this
Certificate of Designations, at law or in equity (including a decree of specific
performance and/or other injunctive relief), no remedy contained herein shall be
deemed a waiver of compliance with the provisions giving rise to such remedy and
nothing herein shall limit a Holder's right to pursue actual damages for any
failure by the Company to comply with the terms of this Certificate of
Designations. The Company covenants to each Holder of Preferred Shares that
there shall be no characterization concerning this instrument other than as
expressly provided herein. Amounts set forth or provided for herein with respect
to payments, conversion and the like (and the computation thereof) shall be the
amounts to be received by the Holder thereof and shall not, except as expressly
provided herein, be subject to any other obligation of the Company (or the
performance thereof). The Company acknowledges that a breach by it of its
obligations hereunder will cause irreparable harm to the Holders of the
Preferred Shares and that the remedy at law for any such breach may be
inadequate. The Company therefore agrees that, in the event of any such breach
or threatened breach, the Holders of the Preferred Shares shall be entitled, in
addition to all other available remedies, to an injunction restraining any
breach, without the necessity of showing economic loss and without any bond or
other security being required.

(1) Specific Shall Not Limit General; Construction. No specific provision
contained in this Certificate of Designations shall limit or modify any more
general provision contained herein. This Certificate of Designations shall be
deemed to be jointly drafted by the Company and all Buyers and shall not be
construed against any person as the drafter hereof.

(1) Failure or Indulgence Not Waiver. No failure or delay on the part of a
Holder of Preferred Shares in the exercise of any power, right or privilege
hereunder shall operate as a waiver thereof, nor shall any single or partial
exercise of any such power, right or privilege preclude other or further
exercise thereof or of any other right, power or privilege.

[Signature Page Follows]
<PAGE>

IN WITNESS WHEREOF, the Company has caused this Certificate of Designations to
be signed by Michael Muzio, its President, and Gregg Vosler, its Secretary, as
of the 16th day of July, 1999.

TRIMFAST GROUP, INC.

By:  /s/ Michael Muzio
Name: Michael Muzio
Title:  President

By:  /s/ Greg Vosler
Name: Greg Vosler
Title:  Secretary

State of ______________ )
                        ) ss
County of ____________  )

I, ___________________________________, a Notary Public, do hereby affirm that
the signatures of ____________________, and ___________________ are true and
correct. I hereto affix my notary seal this _____ day of ____________, 199__.

___________________________________
[Name]

My Commission Expires:

___________________________________
<PAGE>

EXHIBIT I

CONVERSION NOTICE

Reference is made to the Certificate of Designations, Preferences and Rights of
TrimFast Group, Inc. (the "Certificate of Designations"). In accordance with and
pursuant to the Certificate of Designations, the undersigned hereby elects to
convert the number of shares of Series [A] Preferred Stock, par value $100 per
share (the "Preferred Shares"), of TrimFast Group, Inc., a Nevada corporation
(the "Company"), indicated below into shares of Common Stock, par value $____
per share (the "Common Stock"), of the Company, by tendering the stock
certificate(s) representing the share(s) of Preferred Shares specified below as
of the date specified below.

Date of Conversion:

Number of Preferred Shares to be converted:

Stock certificate no(s). of Preferred Shares to be converted:

Please confirm the following information:

Conversion Price:

Number of shares of Common Stock to be issued:

Is the alternative Floating Conversion Price being relied on pursuant to Section
2(g)(iv) of the Certificate of Designations? (check one) YES ____ No ____

Please issue the Common Stock into which the Preferred Shares are being
converted and, if applicable, any check drawn on an account of the Company in
the following name and to the following address:

Issue to:

Facsimile Number:

Authorization:
By:
Title:

Dated:

Account Number:
(if electronic book entry transfer):

Transaction Code Number
(if electronic book entry transfer):MERCHANDISING LICENSE AGREEMENT

                            Date: as of June 2, 1999

Property:   World Championship Wrestling
License No.: D993287

WCW                                        LICENSEE

WORLD CHAMPIONSHIP WRESTLING, INC.         TRIMFAST GROUP, INC.
One CNN Center                             777 South Harbour Island Blvd., #260
l2th Floor, South Tower                    Tampa, FL 33602
Atlanta, Georgia 30348-5366
                                           Contact: Michael J. Muzio
                                           Tel: 8l3-275-0050
                                           Fax: 813-275-0051

      This Agreement is made as of the date specified above between WCW on
behalf of itself and its parent, subsidiaries and affiliates (the foregoing
collectively, "Related Entities") and Licensee, whereby WCW grants Licensee a
license to utilize certain names, likenesses, characters, trademarks and/or
copyrights in connection with the manufacture, distribution, advertising,
promotion and sale of certain articles of merchandise on the following terms and
conditions:

1.    Licensed Elements: See Schedule "1" attached below.

2.    Authorized Articles: Trimfast Energy Bars (WCW Bars) in 3 flavors:
                  chocolate, chocolate chip; chocolate peanut butter;
                  and Passion fruit

                  Licensee is limited to the foregoing Authorized Articles as
                  currently manufactured by Licensee with the ingredients set
                  out in Exhibit A*. Licensee has provided WCW with a complete
                  list of its entire current product line. Licensee shall from
                  time to time provide WCW with an updated list of its current
                  product line. In the event WCW objects to any products being
                  produced or sold by Licensee, Licensee shall discontinue
                  production and sale of such products within sixty (60) days of
                  notice by WCW or WCW may terminate this Licensee agreement
                  immediately without recourse.

      *(Exhibit A)

                  Ingredients: High fructose, corn syrup, chocolate coating
                  (contains turbinado sugar, fractionated vegetable oils,
                  non-fat dry mild, cocoa, soy lecithin, and salt), cocoa
                  powder, chocolate chips, calcium, etc.

3.    Licensed Territory: U.S., its territories and possessions & U.S. Military
                  Installations

      The Authorized Articles may only be distributed in the Licensed Territory.
      Licensee shall impose the obligation on its customers to sell the
      Authorized Articles only within the Licensed Territory and shall not
      knowingly sell Authorized Articles to persons or entities whom Licensee
      knows, or reasonably should know, intend to resell or
<PAGE>

7.    Advance/Guarantee:       Advance:              $50,000 (already received)
                               Balance of
                               Guarantee:            $500,000
                               Total of Guarantee:   $550,000 (includes advance)

      The non-refundable Advance of $50,000 is payable in full concurrently with
      WCW's receipt of copies of this Agreement (without amendments or
      modifications) signed by Licensee, which in any event will be not later
      than the date fourteen (14) days after Licensee receives copies of this
      Agreement for signature.

      The balance of the Guarantee is payable in installments as follows:

                  $100,000 due no later than 12/31/99
                  $100,000 due no later than 6/30/00
                  $100,000 due no later than 9/30/00
                  $100,000 due no later than 12/31/00
                  $100,000 due no later than 6/30/01

      (All references to "Dollar(s)" and/or "$" anywhere in this Agreement will
      refer to United States Dollars.)

8.    Marketing Date: Marketing of each of the Authorized Articles will begin no
      later than October 1, 1999.

9.    Shipping Date: Shipment to retailers of each of the Authorized Articles
      will begin no later than November 1, 1999.

10.   Authorized Channels of Distribution: Mass Markets, Chain Stores, Specialty
      Stores

      The Authorized Articles may only be distributed through the Authorized
      Channels of Distribution within the Licensed Territory. Licensee shall
      impose the obligation on its customers to sell the Authorized Articles
      only through the Authorized Channels of Distribution and shall not
      knowingly sell Authorized Articles to persons or entities whom Licensee
      knows, or reasonably should know, intend to resell or are likely to resell
      the Authorized Articles outside of the Authorized Channels of
      Distribution. Authorized Articles may not be sold within 500 feet of any
      WCW event.

      The Authorized Articles may only be distributed through the Authorized
      Channels of Distribution within the Licensed Territory. In the event the
      Authorized Articles are permitted for distribution to retail outlets
      located at or within 500 feet of a WCW event venue, Licensee shall impose
      the obligation on the retail outlets not to sell any of the Authorized
      Articles on the day of any WCW sponsored events at such venue. Licensee
      shall impose the obligation on its customers to sell the Authorized
      Articles only through the Authorized Channels of Distribution and shall
      not knowingly sell Authorized Articles to persons or entities whom
      Licensee knows, or reasonably should know, intend to resell or are likely
      to resell the Authorized Articles outside of the Authorized Channels of
      Distribution.

11.   Sell-off Period: 90 days

12.   Form of Copyright and Trademark Notice: Each Authorized Article shall bear
      copyright and trademark notices in the following form (or in such other
      form as WCW may hereafter designate, for prospective implementation, by
      notice to Licensee):
                                        19XX & WCW,Inc.

            The packaging containing the Authorized Articles described in
            Paragraph 2 hereir shall bear trhe following copyright and trademark
            notices.

           Copyright:  19XX World Championship Wrestling,Inc.  A Time Warner
                             Company. All Rights Reserved.
<PAGE>

      Trademark:  WCW(tm) and NWO(c) are trademarks of World Championship
                  Wrestling, Inc.

                  All characters depicted, are trademarks of or used under
                  License to World Championship Wrestling Inc.

13.   Notices: Payments and statements to WCW shall be made or given to agent,
      Leisure Concepts Inc. (WCW's Agent) at 1414 Avenue of the Americas, New
      York, NY 10014 attn: Accounting Department. All other notices to WCW shall
      be sent to WCW at the Atlanta address specified on the first page of this
      Agreement, with a copy to the same address, Attention: Legal Department.

14.   Standard Terms: The attached "Exhibit `A' (Standard Terms and Conditions)
      are incorporated by this reference into the terms of this Merchandising
      License Agreement (collectively referred to herein as "Agreement"). If any
      provision set forth above in this Agreement conflicts (or is construed to
      conflict) with any provision of the Standard Terms and Conditions, the
      provisions hereinabove set forth will control.

15.   Credit Terms: Execution of this Agreement by WCW is contingent upon WCW's
      satisfaction with Licensee's financial ability to fulfill the Guarantee
      stated herein. To this end, Licensee agrees to furnish any financial
      information requested by WCW to confirm Licensee's credit status. If
      deemed necessary by WCW, Licensee shall furnish a first priority lien and
      security interest, a letter of credit, or any other such acceptable form
      of security to cover the Guarantee. Licensee agrees to comply with WCW's
      request(s) pursuant to this Paragraph before and during the entire term of
      this Agreement.

16.   Special Terms: If Authorized Articles are not marketed within 90 days of
      the Shipping Date, WCW may remove the rights of those items.

      If the forgoing proposal meets with the approval of Licensee, please sign
      and return this proposal to WCW. Upon execution by WCW, this document will
      be a binding agreement between Licensee and WCW as of the date first above
      written.

     WORLD CHAMPIONSHIP WRESTLING, INC.       TRIMFAST GROUP, INC.
     ("WCW" )                                 ("Licensee")

     By:  /s/ [ILLEGIBLE]                     By: /s/ [ILLEGIBLE]
        -------------------------                --------------------
     Title: Director of Licensing             Title: C.E.O.
           ----------------------                  ------------------
<PAGE>

                                  SCHEDULE "1"

1.    "Licensed Elements" means only the names and static visual likenesses of
      the following specific fictional characters, only as depicted in the
      entertainment properties defined below as the "Program(s)" (excluding
      dialogue, storylines and plot elements from the Pictures, except as
      specifically agreed in writing and in advance by WCW). It is specifically
      understood and agreed that the character names, likenesses and other
      elements referred to above (including, if applicable, the names of actors,
      voice-over artists, and/or other elements listed in this Schedule "1") are
      included within the definition of "Licensed Elements" (i) only to the
      extent of WCW's ownership or control thereof, and (ii) only as
      specifically depicted in and as part of the Program(s). Licensee
      understands and acknowledges that nothing herein grants Licensee the right
      to use sound bites, voices, music, or other audio effects from the
      Program(s). If Licensee wishes to use any such elements, Licensee must
      separately' procure the necessary rights, and any rights, clearance or
      related fees arising from same shall be at Licensee's sole expense. WCW
      reserves the right to amend the list of Licensed Elements from time to
      time to keep the list current with WCW licensing rights.

PROGRAM(S)                                      LICENSED ELEMENTS

WORLD CHAMPIONSHIP WRESTLING

                                                All WCW & NWO Logos
                                                All WCW & NWO Slogans
                                                Adams, Brian
                                                Adams, Chris
                                                Anderson, Arn
                                                Armstrong, Brad
                                                Armstrong, Scott
                                                Armstrong, Steve
                                                Asya
                                                Bagwell, Marcus
                                                Barbarian
                                                Benoit, Chris
                                                Bam Bam Bigelow
                                                Bischoff, Eric
                                                Blaze, Bobby
                                                Blitzkrieg
                                                Burke, Leo
                                                Chastity
                                                Ciclope
                                                Damien
                                                Darsow, Barry
                                                Dillon, JJ
                                                Disciple
                                                Disco Inferno
                                                Disorderly Conduct (Tom)
                                                Disorderly Conduct (Mike)
                                                DJ Ran (DJ)
                                                Duncum, Jr., Bobby
                                                Eaton, Bobby
                                                El Dandy
                                                Elizabeth, Miss
                                                El Vampiro
                                                Enos, Mike
                                                Finlay, Fit
                                                Flair, David
                                                FLair, Ric
                                                Flores, Art
                                                Flynn, Jerry
<PAGE>

                                                Fortune, Chad
                                                Fuller, Rick
                                                Gambler
                                                Garza, Hector
                                                Goldberg, Bill
                                                Gorgeous George
                                                Guerrera, Juventud
                                                Guerrero, Chavo Jr.
                                                Guerrero, Eddie
                                                Hacksaw Jim Duggan
                                                Hale, Emory
                                                Hak
                                                Hall, Scott
                                                Hanmer, Bret
                                                Hankton, Kirt
                                                Harlem Heat - Booker T
                                                Harlem Heat - Stevie Ray
                                                Hart, Bret "The Hitman"
                                                Hart, Jimmy
                                                Helms, Shane
                                                Heenan, Bobby (Announcer)
                                                Hennie, Curt
                                                High Voltage -Rage
                                                High Voltage - Kaos
                                                Hogan, Hollywood
                                                Horace
                                                Horowitz, Barry
                                                Hudson, Scott (Announcer)
                                                Ice Train
                                                Jakes
                                                Johnson, Mark (NWO Referee)
                                                Kanyon
                                                Kaz
                                                Kellum, Rob
                                                Kidman, Billy
                                                Knobs
                                                Konnan
                                                Karagias, Evan
                                                Lane, Lenny
                                                La Parka
                                                LaRue, Lash
                                                Lex Luger
                                                Lizmark, Jr.
                                                Lodi
                                                Madusa
                                                Malenko, Dean
                                                Master P
                                                Meng
                                                Miller, Ernest
                                                Mitchell, James
                                                Moore, Shannon
                                                Morris, Hugh
                                                Mysterio Jr.,Rey
                                                Nash,Kevin
                                                Nitro Girls-Kimberly
                                                Nitro Girls-Chae
                                                Nitro Girls-Spice
                                                Nitro Gilrs-Tygress
<PAGE>

                                                Nitro Girls -- Fyre
                                                Nitro Girls -- AC Jazz
                                                Nitro Girls -- Storm
                                                Norris, Harrison - Trainee
                                                Norton, Scott
                                                NWO Sting
                                                Okerlund, Mean Gene (Announcer)
                                                Onoo, Sonny
                                                Page, Diamond Dallas
                                                Patrick, Nick (Referee)
                                                Piper, Roddy
                                                Poffo, Lanny
                                                Prince Iaukea
                                                Psychosis
                                                Public Enemy (Rocco Rock)
                                                Public Enemy (Johnny Grunge)
                                                Putski, Scott
                                                Rachtman, Riki (Announcer)
                                                Raven
                                                Regal, Steven
                                                Reese, Ron
                                                Riggs, Scotty
                                                Saturn
                                                Savage, Randy
                                                Schiavone, Tony (Announcer)
                                                Sick Boy
                                                Silver King
                                                Smiley, Norman
                                                Steiner, Rick
                                                Steiner, Scott
                                                Sting
                                                Sullivan, Kevin
                                                Swinger, Johnny
                                                Swoll
                                                Tatum, Chase
                                                Tenay, Mike (Announcer)
                                                Torborg, Dale
                                                Ultimo Dragon
                                                Van Hammer
                                                Vicious, Sid
                                                Villano IV
                                                Villano V
                                                Vincent
                                                Walker, Bobby
                                                Wallstreet, Michael
                                                Watts, Erik
                                                Wilson, Luther
                                                Windham, Kendall
                                                Windham. Barry
                                                Wrath
                                                Wright, Alex
                                                Whipwreck, Mikey
                                                Zbyszko,Larry (Announcer)
<PAGE>

                                   EXHIBIT "A"

                         MERCHANDISING LICENSE AGREEMENT

                          STANDARD TERMS AND CONDITIONS

      These Standard Terms and Conditions shall be deemed fully incorporated in
the License Agreement ("Underlying Agreement") to which this Exhibit "A" is
attached, and these Standard Terms and Conditions and the Underlying Agreement
shall hereinafter be collectively referred to as the "Agreement." All terms
shall, unless expressly provided to the contrary herein, have the same
respective meanings as set forth in the Underlying Agreement. Unless expressly
provided to the contrary herein, to the extent that any provision of these
Standard Terms and Conditions conflicts with any provision of the Underlying
Agreement, the Underlying Agreement shall control.

A-l LICENSE

      WCW hereby grants to Licensee, and Licensee hereby accepts, a license to
utilize the Licensed Elements upon or in connection with the Authorized
Articles, for the purpose of the manufacture, distribution, advertising,
promotion and sale of the Authorized Articles in the Licensed Territory during
the License Period, upon and subject to all of the terms and conditions of this
Agreement. Any and all rights not expressly granted to Licensee hereunder are
expressly reserved by WCW and may be exercised and exploited freely by WCW at
any time, and Licensee covenants and agrees that it shall not exercise, or
authorize or permit others to exercise, any rights with respect to the Licensed
Elements other than the limited and specific rights licensed hereunder. It is
understood that the license granted hereunder relates to the sale of Authorized
Articles and does not grant Licensee any rights with respect to the use of the
Licensed Elements in connection with premium promotions or other giveaways.

A-2 PAYMENT AND ACCOUNTINGS

      (a) Royalty. Licensee shall pay to WCW's Agent a royalty as specified in
the Underlying Agreement with respect to all Net Sales of Authorized Articles.
"Net Sales" shall mean gross sales by Licensee or any of its affiliated,
associated or subsidiary companies, without any deductions whatsoever
(including, without limitation, freight, taxes, uncollectible accounts,
manufacturing, distribution, advertising, marketing or promotion costs with the
exception of trade quantity discounts only), except for actual returns. Credit
against sales shall be allowed only for actual returns and shall not be allowed
on the basis of an accrual or reserve system. Net Sales for each Authorized
Article shall be computed on no less than Licensee's regular, full,
"top-of-the-line" gross wholesale invoice price calculated at source in the
Licensed Territory, based upon the usual billing price for items sold in the
normal course of business ("Royalty Base Price"). The foregoing royalty shall be
payable on all Authorized Articles distributed by Licensee, including Authorized
Articles not billed, except for a reasonable number of samples which may be
given away to the trade in the normal course of business.

      (b) Advance and Guarantee. Licensee shall pay to WCW's Agent the Advance
and Guarantee in accordance with the payment schedule specified in the
Underlying Agreement. The Advance and installments of the balance of the
Guarantee constitute a non-refundable advance against royalties to be earned as
provided above. The total Guarantee shall be deemed accrued to WCW's account as
of the date of this Agreement.

      (c) Monthly Statements. Not later than thirty (30) days after the initial
shipment of the Authorized Articles and promptly on the 15th day of every month
thereafter during the License Period, Licensee shall furnish to WCW's Agent
complete and accurate statements (certified to be accurate by Licensee) showing
the product and style number, description, unit sales, Royalty Base Price, gross
sales and Net Sales of each and every Authorized Article covered by this
Agreement. All statements shall be prepared by Licensee utilizing the form
attached as Exhibit "B" hereto and incorporated by reference, as said form may
be revised from time to time by WCW. Royalty reports shall be prepared
separately for each country within the Licensed Territory, and shall include a
product sales breakdown by style number, which indicates clearly which of the
Licensed Elements were utilized in connection with each Authorized Article,
including a breakdown for each Licensed Element, by character. Reporting will be
completed in such a manner, and in sufficient detail, to enable WCW to separate
royalties by the respective elements used; including, without limitation, the
contract number present in the upper left-hand corner of the first page of this
contract.

      (d) Royalty Payments. Royalty payments due hereunder shall be paid not
later than thirty (30) days after the end of each calendar month and such
payments shall accompany the statements required above. Licensee shall also
include the contract number, present in the upper left-hand corner of the first
page of this contract, on the face of the royalty check. If the License Period
is extended beyond the term specified in Paragraph 4 of the Underlying
Agreement, royalty payments which exceed the total Guarantee shall not be
credited toward any similar guarantee which is payable with respect to the
extension period. All payments shall be in U.S. funds. Licensee shall pay, and
hold WCW forever harmless from, all taxes, customs, duties, levies, imposts or
any other charges now or hereafter imposed or based upon the manufacture,
delivery, license, sale, possession or use hereunder to or by Licensee of the
Authorized Articles or the Licensed Elements (including but not limited to
sales, use, inventory, income and value added taxes on sales of Authorized
Articles), which charges shall not be deducted from WCW's royalties. All monies
payable to or received by Licensee from the exploitation of the rights granted
herein shall be held by Licensee in trust for WCW`s account to the extent of
WCW`s entidement to such monies as set forth in this Agreement.

      (e) Timeliness. All payments hereunder shall be made to WCW`s Agent at the
address set forth in the Underlying Agreement within the time and in the manner
specified herein, it being intended and agreed that the time within which
Licensee is required to make payment in accordance with the terms hereof is of
the essence of this Agreement and any failure so to do on the part of Licensee
shall constitute an event of default hereunder in accordance with Paragraph A-13
below. In addition to any other rights WCW may have in the event of such a
default,Lincensee agrees to pay interest to WCW on any sums which have not beem
by WCW`s Agent within thirty (30) days following the due date. Such interest
shall accrue from said date and shall be payable at the rate of two (2%) over
the prime rate as published in the Wall Street Journal on the dare the payment
is due or the maximum rate allowed by law.
<PAGE>

A-3 BOOKS AND RECORDS

      Licensee shall keep accurate books of account and records in a form
meeting the generally accepted standards of the profession of certified public
accountants covering all transactions relating to the license hereby granted,
and WCW and its authorized representatives shall have the right at all
reasonable business hours, and upon reasonable notice, to examine and audit said
books of account and records and all other documents and materials in the
possession or under the control of Licensee with respect to the subject matter
and terms of this Agreement, and shall have free and full access thereto for
said purposes and for the purpose of taking extracts therefrom. Upon demand of
WCW, but not more than twice per calendar year. Licensee shall at its own
expense furnish to WCW a detailed statement prepared by an independent certified
public accountant, or certified to be accurate by a duly authorized official of
Licensee, showing the product and style number, description, Net Sales, itemized
deductions from Net Sales and Royalty Base Price of the Authorized Articles
distributed and/or sold by Licensee to the date of WCW's demand. If an audit
reveals that Licensee has misrepresented or underreported any item bearing upon
the royalties or other compensation due or payable to WCW, then, in addition to
recomputing and making immediate payment of the sums due based on the true items
together with interest thereon at the rate at which WCW is entitled to borrow
from its principal lending institution (after giving effect to compensating
balance requirements and any commitment fees), Licensee shall pay costs and
expenses incurred by WCW for the audit and checking and attorney's fees incurred
by WCW in connection therewith or in connection with enforcing the collection
thereof if the difference between the actual sums due hereunder is in excess of
three percent (3%) of the sums previously paid. All books of account and records
shall be kept available for at least three (3) years after the termination of
this license in Licensee's principle place of business.

A-4 EXCLUSIVITY

      (a)(i) If, and only if, the Underlying Agreement specifies that Licensee's
license hereunder is exclusive, WCW shall not, except as otherwise provided
herein, grant any other licenses effective during the License Period for the use
of the Licensed Elements in connection with the manufacture, distribution and
sale, in the Licensed Territory, of the Authorized Articles as expressly
described in the Underlying Agreement. Notwithstanding the foregoing, nothing in
this Agreement shall be construed to prevent WCW from granting any licenses for
the use of the Licensed Elements other than as provided herein, or from
utilizing the Licensed Elements in any manner whatsoever other than as provided
herein, regardless of the extent to which such use or utilization may be
competitive with the license granted hereunder.

      (ii) Licensee shall not during the License Period enter into or renew any
license agreements for the manufacture, distribution and/or sale of any of the
Authorized Articles and or manufacture, distribute or sell any of the Authorized
Articles for or in conjunction with or containing the elements of any other
professional wrestlers or professional wrestling organizations, and will not in
any event during the License Period directly or indirectly manufacture,
distribute or sell any Authorized Articles for or in conjunction with the World
Wrestlinig Federation (WWF).

      (iii) If the Underlying Agreement specifies that Licensee's license
hereunder is non-exclusive, then WCW shall be free to utilize, or to grant any
licenses to third parties to utilize, the Licensed Elements in any manner for
any purposes whatsoever.

      (b) In all cases, WCW expressly reserves all rights whatsoever relating to
the promotion, sale and other exploitation of Authorized Articles at (i) the MGM
Grand Hotel/Casino complex in Las Vegas, Nevada, and (ii) concert halls, arena
shows, circuses, stadiums, theaters, theme parks and all other public
performance venues at which television programs or motion pictures containing
elements included in the Licensed Elements or derivative works (e.g.. concerts,
musicals and other stage plays, motion picture sequels, audio-visual
performances, etc.) based thereon are exhibited or performed, and (iii) retail
outlets or any other facilities owned, operated or controlled by WCW (or its
parent, subsidiaries or affiliates), and (iv) catalogs or similar direct mail
sales publications featuring WCW products published by WCW (or its parent,
subsidiaries, or affiliates). The foregoing venues, retail outlets, other
facilities, and catalogs are collectively referred to herein as "WCW Venues".
Licensee acknowledges that WCW Venues are expressly excluded from the Licensed
Territory and that Licensee has not been granted any rights with respect to the
exploitation of Authorized Articles at WCW Venues, it being understood that WCW
may itself exercise such rights or grant others licenses for the manufacture and
distribution of Authorized Articles for sale or other exploitation at WCW
Venues.

      (c) WCW reserves the right to permit distribution of stock on hand or in
process as of termination or expiration of prior licenses, even if the exercise
of said rights may conflict with those rights granted Licensee hereunder.

A-5 QUALITY OF MERCHANDISE

      (a) The Authorized Articles shall be of high standard and of such style,
appearance and quality as to be adequate and suited to their exploitation to the
best advantage and to the protection and enhancement of the Licensed Elements
and the good will pertaining thereto. The Authorized Articles shall be
manufactured, sold, distributed, promoted and advertised in accordance with all
applicable governmental, regulatory, professional and industry-wide codes,
statutes, rules and regulations.

      (b) Licensee shall submit to WCW and WCW shall have absolute approval of
the Authorized Articles, and the cartons, containers, and advertising,
promotional, packaging and wrapping materials bearing any Licensed Elements
("Collateral Materials") at all stages of the development and application
thereof. Licensee may not manufacture, use, sell, advertise, promote, or
distribute any Authorized Articles or Collateral Materials until and unless
Licensee has received WCW's prior written approval. Any and all items submitted
by Licensee to WCW pursuant to this Paragraph A-5 shall be at Licensee`s expense
and shall clearly indicate the contract number associated with each
suchsubmission. After each Authorized Article of Collateral Material has been
finally approved pursuant to this Paragraph, Licensee shall not depart therefrom
in any material respect without first submotting to WCW a prototype, layout or
sample of the modified article or material and obtaining WCW`s prior written
consent to such modification. Any such approval by WCW shall not constitute
waiver of WCW`s rights or Licensee`s duties under any provision of this
Agreement.

      (c) Any item submitted to WCW shall not be deemed approved unless and
until WCW has approved it in writting.
<PAGE>

      (d) At the time of first distribution of each Authorized Article, Licensee
shall submit to WCW twelve (12) samples of each such item to WCW and a royalty
shall not be payable on such samples. Upon WCW's annual written request
thereafter, Licensee shall furnish without cost to WCW twelve (12) additional
random samples of each Authorized Article being distributed by Licensee
hereunder, together with any cartons, containers and packing and wrapping
material used in connection with such distribution for quality control by WCW.
It being agreed that WCW shall have the right, if quality problems are
encountered as a result of the examination of samples, to take such additional
samples as frequently as WCW in its sole discretion deems desirable in an effort
to assure that proper quality control has been established. Moreover, WCW shall
have the right to have its representatives visit the plant or plants where the
Authorized Articles are produced and where the Collateral Materials and the like
are printed or produced in order to determine whether or not proper quality
controls are being exercised.

      (e) In the event Licensee is not the manufacturer of the Authorized
Articles, Licensee shall, subject to WCW's prior written consent, be entitled to
engage a third party manufacturer to make and produce the Authorized Articles
exclusively for Licensee, provided that Licensee will obtain from such
manufacturer and deliver to WCW a duly executed letter in the form contained in
Exhibit "C" hereto. The use by Licensee of any such manufacturer shall not
affect Licensee's obligations hereunder and Licensee shall be responsible for
ensuring that such manufacturer complies with the provisions of this Agreement.

A-6 LABELING

      (a) As a condition to WCW's authorization of the public distribution of
items bearing reproductions of the Licensed Elements, including, without
limitation, Authorized Articles sold under this license and advertising,
promotional and display material therefor, all such items shall bear copyright
and trademark notices as set forth in Paragraph 11 of the Underlying Agreement
as well as any other legal notices which WCW may from time to time reasonably
direct.

      (b) In the event that any Authorized Article is marketed in a carton,
container and/or packing or wrapping material employing the Licensed Elements,
such notice shall also appear upon the said carton, container and or packing or
wrapping material. Each and every tag, label, imprint or other device containing
any such notice and all advertising, promotional or display material bearing the
Licensed Elements shall be submitted by Licensee to WCW for its written approval
prior to use by Licensee in accordance with Paragraph A-5 above. Any such
approval by WCW shall not constitute waiver of WCW's rights or Licensee's duties
under any provision of this Agreement.

A-7 TECHNICAL AND PROMOTIONAL MATERIAL

      WCW reserves the right to require Licensee to pay for film footage or
other technical materials which Licensee may requests for which WCW from time to
time might charge. All technical materials involving the Licensed Elements or
any reproduction thereof, notwithstanding their invention, creation or use by
Licensee, shall be and remain the property of WCW, and WCW shall be entitled to
use same and to license the use of same by others provided such use does not
conflict with the terms of this Agreement. "Technical materials" shall mean all
artwork and designs, pictures. separations, textual material, screens, films,
proofs and any and all materials used in the creation, production and/or
reproduction of the Authorized Articles.

A-8 DISTRIBUTION

      (a) Commencing not later than the Marketing Date specified in the
Underlying Agreement, and thereafter during the License Period (including any
extensions thereof), Licensee shall diligently and continuously manufacture,
sell, distribute and promote Authorized Articles in interstate commerce
throughout the Licensed Territory and Licensee shall make and maintain adequate
arrangements for the distribution of the Authorized Articles. Licensee's failure
(except as otherwise provided herein) to commence in good faith to manufacture
and distribute in substantial commercial quantities any of the Authorized
Articles on or before the Marketing Date and to continue during the License
Period diligently and continuously to manufacture, sell, distribute and promote
each such Authorized Article throughout the Licensed Territory will result in
immediate damage to WCW. In such a case, in addition to all other remedies
available to it hereunder, WCW may remove from this Agreement any Licensed
Elements listed in the Underlying Agreement or any article or class or category
of articles included within the definition of Authorized Articles which is not
so diligently and continuously used by Licensee for a period of three (3)
consecutive months, by giving thirty (30) days' written notice to Licensee.

      (b) Unless expressly provided herein otherwise, Licensee shall not,
without the express prior written consent of WCW, permit the distribution or
other marketing of any Authorized Articles on an F.O.B. or L.C. basis (as those
terms are commonly understood in the international merchandising business). All
Authorized Articles distributed or marketed (as subject to WCW's prior written
approval) on an F.O.B. or L.C. basis will be subject to a Royalty Rate in the
amount of one and one-half (1 1/2%) percent over the Royalty Rate indicated in
the Underlying Agreement.

      (c) Licensee shall sell to WCW such quantities of the Authorized Articles
as WCW shall request at as low rate and on as favorable terms as Licensee sells
similar quantities of the Authorized Articles to the general trade.
<PAGE>

A-9 GOODWILL AND PUBLICITY

      (a) Licensee acknowledges that particular and substantial good will values
are associated with the Licensed Elements and that said Licensed Elements and
names and all rights therein and good will pertaining thereto belong exclusively
to WCW. Licensee further acknowledges that said Licensed Elements and names have
secondary meanings in the mind of the public and that the value therof cannot
readily be fixed in amounts or sums of money. Licensee shall not be any act or
omission jeopardize such good will, and any good will develped hereunder shall
accrue to the benefit of WCW. Licensee acknowledges the neccessity of protecting
WCW`s name, copyrights and trademarks generally and specifically to conserve the
good will and good name of WCW and the Licensed Elements, and the right of WCW
to wupevise or intervene in the activities of Licensee in sonnection therewith.

      (b) WCW shall have the right, but shall not be under any obligation, to
use the Licensed Elements and/or the name of Licensee so as to give the Licensed
Elements, Licensee, WCW and/or WCW's television programs and/or motion pictures
full and favorable prominence and publicity. WCW shall not be under any
obligation whatsoever to broadcast or exhibit, or to continue broadcasting or
exhibiting, any television program or motion picture or use the Licensed
Elements or any person, character, symbol, design or likeness or visual
representation thereof in any medium, nor shall WCW be restricted in any way
whatsoever from producing and distributing derivative works which contain or are
derived from the Licensed Elements or any element or component part thereof.

A-10 WARRANTIES AND REPRESENTATIONS

      (a) By WCW. WCW has the right and power to enter into and perform this
Agreement, and has taken all steps necessary and appropriate to authorize the
execution and performance hereof. WCW owns or controls all rights necessary to
grant Licensee the rights granted to it hereunder.

      (b) By Licensee. Licensee has the right and power to enter into and
perform this Agreement, and has taken all steps necessary and appropriate to
authorize the execution and performance hereof. Licensee will not act in any
manner that is inconsistent with the provisions hereof.

A-11 INDEMNIFICATION AND INSURANCE

      Subject to the full performance by Licensee of all of its obligations
hereunder, WCW hereby indemnifies Licensee and undertakes to defend Licensee
against and hold Licensee harmless from all claims, suits, liabilities, losses,
damages, penalties, costs and expenses (including reasonable attorneys fees,
which may be suffered by or obtained against Licensee arising solely out of the
use by Licensee of the Licensed Elements in strict accordance with this
Agreement. Licensee hereby indemnifies WCW and undertakes to defend WCW against
and hold WCW harmless from any and all claims, suits, liabilities, losses,
damages, penalties, costs and expenses (including reasonable attorneys fees,
which may include, without limitation, an allocation for in-house counsel) of
any nature which may be suffered by or obtained against WCW arising from (i) any
allegedly unauthorized use of any patent, design, mark, process, idea, method or
device by Licensee (none of the same being included in the Licensed Elements) in
connection with the Authorized Articles or any other alleged action or omission
by Licensee constituting a breach by Licensee of any term or provision of, or
representation, warranty, covenant or agreement made by Licensee under, this
Agreement, and (ii) alleged defects in the Authorized Articles, any alleged
inadequacy or failure to perform any agreement or render any service, or
personal damages or injury resulting from the use of the Authorized Articles.
Licensee shall obtain, at its own expense, a comprehensive general liability
insurance policy for the entire License Period (including any extensions
thereof) including coverage for contractual liability (applying to the terms and
conditions of this Agreement), product liability, personal injury liability and
advertiser's liability, and including a vendor's liability endorsement in favor
of WCW. Said policy shall be written by a recognized insurance company which has
qualified to do business in the State of California, the State of New York and
the State of Georgia, or which has an A. M. Best Company rating of "B" or better
in the latest edition of Best's Insurance Guide and Key Ratings, and shall
provide for minimum combined single limit of liability coverage of not less than
$1,000,000 for each occurrence. As proof of such insurance, fully paid
certificates of insurance naming WCW as an insured party, will be submitted by
Licensee for WCW's prior approval before any Authorized Articles are
distributed, advertised or sold, and at the latest within thirty (30) days after
the commencement of the License Period: World Championship Wrestling, Inc., One
CNN Center, Box 105366, Atlanta, GA 30345-5366, Attn: Director of Risk
Management. Any proposed change in such certificates of insurance shall be
submitted to WCW for its prior approval, and Licensee shall furnish WCW with a
copy of the then prevailing certificate of insurance. For purposes of Licensee's
indemnity and insurance policy coverage under this Paragraph, WCW shall also
include the officers, directors, shareholders, agents and employees of WCW and
its Related Entities, as well as any person(s) the use of whose name or likeness
may be licensed hereunder.

A-12 PROTECTION OF WCW'S RIGHTS

      (a) Licensee acknowledges that WCW owns or controls the copyrighted works
which underlie this license and Licensee shall not during the term hereof or
thereafter attack the rights of WCW in the Licensed Elements or any trademarks
based thereon, regardless of the basis of such attack and regardless of whether
the same relates to title or validity. Licensee shall at no time use or
authorize the use of any trademark, trade name or other designation identical
with or confusingly or colorably similar to the Licensed Elements.

      (b) Licensee shall cooperate fully and in good faith with WCW for the
purpose of securing and preserving rights of WCW (or any grantor of WCW) in and
to the Licensed Elements. WCW may commence or prosecute any claims or suits in
its own name or in the name of Licensee or join Licensee as a party thereto.
Licensee shall immediately notify WCW in writing of any infringements or
imitations by others of the Licensed Elements on articles similar to those
covered by this Agreement, and WCW shall have the sole right to determine
whether or not any action shall be taken on account of any such infringements or
imitations. Licensee shall not institute any suit or take any actions on account
of any such infringements or imitations without first obtaining the written
consent of WCW so to do.

      (c) Licensee shall utilize all necessary and adequate security measures to
prevent the loss, theft, destruction or unauthorized exploitation of the
technical materials and/or Licensed Elements delivered to Licensee, and Licensee
shall immediately report to WCW any such loss, theft,
<PAGE>

Agreement. If any materials bearing the Licensed Elements (or any element or
component part thereof) utilized by Licensee hereunder on or in connection with
the Authorized Articles were not created or owned by WCW, it is an essential
condition of this Agreement that Licensee shall do all that is necessary to
ensure that such materials achieve copyright protection and that valid title to
such copyright is, at the earliest possible moment, transferred to WCW. To this
end, Licensee shall, among other things, enter into a contract with anyone not
directly in its employ who creates such materials bearing the Licensed Elements,
or any element or component part thereof, which states that such materials are
created as works made for hire, as such term is defined in the U.S. Copyright
Act, 17 U.S.C. ss. 101 et seq. or otherwise contractually bind such person to
execute all such documents as may be necessary to transfer valid title in the
copyright in such materials to WCW and shall arrange for the execution of such
documents and their transmittal to WCW at the earliest possible moment.

      (e) No later than thirty (30) days following the date of the first
interstate shipment by Licensee of each Authorized Article, Licensee shall
provide WCW, free of cost, with sufficient evidence of the date of first
shipment of the Authorized Article in interstate commerce and a description of
the use of the Licensed Elements in relation to the Authorized Article along
with identical samples of each such Authorized Article including packaging. Such
evidence and sample shall be sent to WCW at its address at World Championship
Wrestling. Inc., c/o Legal Department - Domestic Trademarks, One CNN Center,
Atlanta, Georgia 30303.

      (f) Licensee shall fully cooperate with WCW in undertaking the
registration of any copyright, trademark, service mark or other intellectual
property registration or filing with respect to the Licensed Elements and/or
Authorized Articles as requested by WCW in writing, and all such registrations
shall be in WCW's name (or such other name as WCW designates). Such registration
shall be handled by attorneys selected or approved by WCW. In the event of any
registration relating to the Licensed Elements by Licensee in its own name or
that of any third party, such registration shall be (i) deemed to be for WCW's
benefit and (ii) held in trust for WCW by Licensee, and (iii) Licensee shall
bear all costs, expenses, damages and loss occasioned by such unauthorized
registration and/or WCW's correction of same.

      (g) Licensee shall execute and deliver to WCW, in such form as WCW shall
reasonably request, any and all documents which may be necessary or desirable to
assist WCW in recording Licensee as a registered user of the Licensed Elements
(as trademark and/or servicemark) in the Licensed Territory, if appropriate.
Upon or after the expiration or termination of this Agreement. Licensee shall
execute and deliver to WCW, in such form as WCW shall reasonably request, any
and all documents which may be necessary or desirable to cancel the recordation
of Licensee as a registered user of the Licensed Elements in the Licensed
Territory provided, however, that if WCW elects first to complete the
recordation of Licensee as a registered user, Licensee shall also provide any
and all documents which may be necessary or desirable to achieve this purpose.

      (h) Licensee shall not commingle on Authorized Articles manufactured
hereunder (or in the advertising and promotion thereof) names, characters and/or
likenesses from any individual motion picture or other television program which
are included in the Licensed Elements with those associated with any other
motion picture or television program (whether or not containing elements
included in the Licensed Elements) without WCW's prior written consent.

      (i) WCW may, in its absolute discretion, withdraw any element of the
Licensed Elements, or any component part thereof, from the terms of this
Agreement if WCW determines that the exploitation thereof hereunder would or
might violate or infringe or reasonably tend to violate or infringe the
copyright, trademark or other rights of third parties, or subject WCW to any
liability, or violate any law, court order, government regulation or other
ruling of any governmental agency, or if, on account of the expiration or sooner
termination of an agreement between WCW and a third party from whom WCW has
obtained certain underlying rights relating to the exploitation of the Licensed
Elements hereunder or otherwise, WCW shall no longer have the right to act in
the capacity herein contemplated on behalf of any third party or parties, or if
WCW determines that it cannot adequately protect its rights in the Licensed
Elements under the copyright, trademark or other laws of the Licensed Territory;
provided, however, that in the event of any such withdrawal, WCW shall reimburse
Licensee its actual, out-of-pocket cost of any Authorized Articles (bearing such
withdrawn Licensed Element) which were produced, but not sold, prior to
Licensee's receipt of notice of such withdrawal. Any such withdrawal shall not
constitute grounds for termination of this Agreement unless all elements and
component parts of the Licensed Elements are simultaneously withdrawn by WCW.

A-13 DEFAULT

      The following shall be events of default hereunder: if Licensee (i)
becomes the subject of any bankruptcy proceeding, becomes insolvent, makes an
assignment for the benefit of its creditors, or a receiver, liquidator or
trustee is appointed for its affairs, (ii) breaches any other agreement with
WCW, (iii) fails to make payment of royalties, Guarantee(s) and or any other
sums payable to WCW pursuant to this Agreement when due or fails to perform any
of its other material obligations hereunder or otherwise breaches any
representation, warranty, covenant or agreement referred to or contained in this
Agreement, and does not fully cure such failure or breach within ten (10)
business days after receipt of written notice thereof from WCW, in the case of
failure to make payments, or within fifteen (15) business days in the case of
other failure or breach, (iv) discontinues its business or loses any license or
authorization required to permit Licensee to perform fully its obligations
hereunder pursuant to an action of any duly constituted governmental, judicial
or legislative authority. Upon any default, WCW may, in addition and without
prejudice to any other rights it may have, terminate this Agreement, in which
event the entire unpaid balance of all royalties and Guarantees accrued to WCW's
account hereunder shall immediately become due and payable. In the event this
Agreement is so terminated, Licensee, its receivers, representatives, trustees,
agents, administrators, successors, and or assigns shall not have the right to
sell, exploit or in any way deal with or in any Authorized Articles or any
carton, container, packing or wrapping material, advertising, promotional or
display materials pertaining thereto, except with and under the special consent
and instructions of WCW in writing, which they shall be obligated to
<PAGE>

A-14 FORCE MATEURE

      This license shall terminate in the event that any act of God, fire,
flood, public disaster, or any action, rule, regulation, requirement or order of
any governmental authority or any other cause or reason beyond the control of
the parties renders performance impossible and one party so informs the other in
writing of such causes and its desire to be so releasedd. In such event, all
royalties on sales theretofore made shell become immediatley due and payable and
neither the Guarantee nor portion thereof shall be repayable.

A-15 EFFECT OF TERMINATION OR EXPIRATION

Upon and after the expiration or sooner termination of this license, (a) all
rights licensed to Licensee hereunder shall forthwith revert to WCW, (b) if the
Underlying Agreement specifies that the license granted hereunder is an
exclusive license, WCW shall be free to license others to use the Licensed
Elements in connection with the manufacture, sale, distribution and promotion of
the Authorized Articles in the Licensed Territory (it being acknowledged that
WCW has the full and complete right so to do during the License Period if the
license granted hereunder is a non-exclusive license), and (c) Licensee shall
refrain from further use of the Licensed Elements or any further reference,
direct or indirect, thereto or to anything deemed by WCW to be similar to the
Licensed Elements, in connection with the manufacture, sale, distribution or
promotion of Licensee's products, except as permitted in Paragraph A-17 below.
It shall not be a violation of any right of Licensee if WCW should at any time
during the License Period enter into negotiations with another to license use of
the Licensed Elements in respect of the Authorized Articles within the Licensed
Territory provided that, in the event that the license granted to Licensee
hereunder is an exclusive license, it is contemplated that such prospective
license shall commence after termination of this Agreement. In the event of any
termination hereunder, no monies or other consideration which WCW may receive in
respect of any licenses of the Licensed Elements within or outside the Licensed
Territory shall be deemed in mitigation of, or be otherwise offset, credited or
applied against, any sums payable to WCW pursuant to this Agreement.

A-16 FINAL STATEMENT

Ninety (90) days before the expiration of the License Period, and, in the event
of its sooner termination, ten (10) business days after receipt of notice of
termination, a statement showing the number and description of Authorized
Articles which are or will be fully manufactured, packaged and ready for
distribution as of the expiration or termination of the Agreement shall be
furnished by Licensee to WCW. WCW shall have the right to take a physical
inventory to ascertain or verify such inventory and statement. Refusal by
Licensee to submit to such physical inventory by WCW and/or failure by Licensee
to render the final statement as and when required by this provision, shall
result in a forfeiture by Licensee of Licensee's right to dispose of its
inventory (as provided by the next paragraph hereof), WCW retaining all other
legal and equitable rights may have in the circumstances.

A-17 DISPOSAL OF INVENTORY

(a) Licensee shall not at any time manufacture Authorized Articles in excess of
those reasonably anticipated to meet normal customer requirements. Provided that
Licensee is in compliance with the foregoing, after termination or expiration of
the license under the provisions hereof, Licensee, except as otherwise provided
in this Agreement, may distribute and sell Authorized Articles which are fully
manufactured, packaged and ready for immediate distribution at the time notice
of termination is received or upon the expiration date, whatever the case may
be, during the sell off period indicated in the Underlying Agreement, on a non
exclusive basis, provided Guarantee and royalty payments are up-to-date for the
current period and payments and statements are made and furnished for that
period in accordance with Paragraph A-2 above. As of the commencement of such
sell-off period, Licensee may no longer manufacture or promote any Authorized
Articles. Licensee shall not be authorized to sell and distribute such excess
inventory to the extent that it exceeds ten percent (10%) of the total number of
Authorized Articles sold during the License Period, without WCW's prior written
consent. Upon the conclusion of the sell-off period, Licensee shall cease all
sale and distribution of Authorized Articles, and any Authorized Articles which
have not been sold as of the expiration of the sell-off period shall, at WCW's
election, be delivered to WCW or destroyed. Notwithstanding anything to the
contrary herein, Licensee shall not manufacture, sell or dispose of any
Authorized Articles after any expiration or termination of this license based on
the failure of Licensee to affix notice of copyright, trademark or servicemark
registration or any other notice to the Authorized Articles, canons, containers
or packing or wrapping material or advertising, promotional or display material
or because of the departure by Licensee from the quality and style approved by
WCW pursuant to Paragraph A-5 above. All applicable royalties shall be paid on
Authorized Articles sold during the sell-off period within fifteen (15) days
following the expiration of said sell-off period.

(b) Licensee acknowledges that its failure to cease the manufacture, sale,
distribution or promotion of the Authorized Articles or any class or category
thereof after the termination or expiration of this Agreement (or any applicable
sell-off period) will result in immediate and irremediable damage to WCW and to
the rights of any subsequent licensee. Licensee acknowledges and admits that
there is no adequate remedy at law for such failure to cease manufacture, sale,
distribution or promotion, and Licensee agrees that in the event of such
failure, WCW shall be entitled to equitable relief by way of temporary and
permanent injunctions and such other and further relief as any court with
jurisdiction may deem just and proper, other provisions to the contrary
elsewhere herein notwithstanding.

A-18 ASSIGNMENT

WCW reserves the right to assign this Agreement to any third party and to
hypothecate or pledge this Agreement as collateral for any purpose. In the event
of any such assignment, Licensee shall pay the royalties and Guarantees due
hereunder as directed by WCW. This Agreement shall be binding upon and shall
inure to the benefit of the successors and assigns of WCW. The license herein
granted is personal to Licensee and this Agreement may not be assigned,
transferred, sublicensed, pledged, mortgaged or otherwise encumbered, in whole
or in part, by Licensee either voluntarily or by operation of law or as part of
a merger, consolidation or otherwise without WCW's prior written consent, which
shall not be unreasonably withheld
<PAGE>

have been sent by facsimile transmission or personally delivered to the
recipient. The date of said facsimile transmission or personal delivery, or the
date which is three (3) business days following the date of said mailing, shall
be deemed to be the date of the giving of such notice, except statements and
payments to WCW hereunder and notice of change of address, which shall be deemed
effective only upon actual receipt thereof.

A-19 NOTICES

      All notices, statements, accountings and other documents required to be
given or delivered hereunder shall be given in writing either by personal
delivery (including Federal Express & Airborne Express), by certified mail which
delivery is evidenced by a signed receipt, or by facsimile transmission unless
otherwise specified. Licensee`s and WCW`s respective addresses for notice
purposes shall be as set forth in the Underlying Agreement unless either party
notifies the other as provided herein that notices to such party should be sent
to a different address. All such notices shall be sufficiently given when the
same shall be deposited, so addressed, postage prepaid in the mail, or when the
same shall have been sent by facsimile transmission or personally delivered to
the recipient. The date of said facsimile transmission or personal delivery, or
the date which is three (3) business days following the date of said mailing,
shall be deemed to be the date of the giving of such notice, except statements
and payments to WCW hereunder and notice of change of address, which shall be
deemed effective only upon actual receipt therof.

A-20 FURTHER DOCUMENTS

      Licensee shall execute, verify, acknowledge, deliver and file any formal
assignments, recordations and any and all other documents which WCW may prepare
and reasonably call for to give effect to any of the provisions of this
Agreement. If Licensee fails so to do within ten (10) days after WCW requests
such execution, verification. acknowledgment, delivery or filing, Licensee
hereby irrevocably appoints WCW its attorney-in-fact (which appointment shall be
deemed a power coupled with an interest), with full powers of substitution and
delegation, to execute, verify, acknowledge and deliver any such assignments,
recordations and/or such other documents.

A-21 MISCELLANEOUS PROVISIONS

      In the event any provision of this Agreement shall be found to be contrary
to any law or regulation of any federal, state or municipal administrative
agency or body, the other provisions of this Agreement shall not be affected
thereby but shall notwithstanding continue in full force and effect. If any
legal action or other proceeding is brought for the enforcement of this
Agreement or as a result of a breach, default or misrepresentation in connection
with any of the provisions of this Agreement, the successful or prevailing party
shall be entitled to recover reasonable attorneys' fees and other costs incurred
in such action or proceeding, in addition to any other relief to which such
party may be entitled. No waiver by either party hereto of any breach or default
by the other party shall be construed to be a waiver of any other breach or
default by such other party. Resort to any remedies referred to herein shall not
be construed as a waiver of any other rights and remedies to which either party
is entitled under this Agreement or otherwise, nor shall an election to
terminate be deemed an election of remedies or a waiver of any claim for damages
or otherwise. This Agreement may not be altered or modified except in writing
signed by the party to be charged with such alteration or modification. This
Agreement constitutes the entire understanding between the parties with respect
to the subject matter hereof and all prior understandings, whether oral or
written, have been merged herein. Irrespective of the place of execution or
performance, this Agreement shall be governed, construed and enforced in
accordance with the laws of the State of Georgia applicable to agreements
entered into and to be wholly performed therein, and Licensee hereby consents to
the exclusive jurisdiction of the courts of the State of Georgia and United
States courts located in the State of Georgia in connection with any suit,
action or proceeding brought by Licensee arising out of or related in any manner
to this Agreement. Licensee agrees that the service of process by mail shall be
effective service of same and that such service shall have the same effect as
personal service within the State of Georgia and result in jurisdiction over
Licensee in the appropriate forum in the State of Georgia. Nothing herein
contained shall constitute a partnership between, or joint venture by, the
parties hereto or constitute either party the employee or agent of the other,
and Licensee shall have no right or power to obligate or bind WCW in any manner
whatsoever. This Agreement is not for the benefit of any third party and shall
not be deemed to give any right or remedy to any third party whether referred to
herein or not. Paragraph headings as used in this Agreement are for convenience
only and are not a part hereof, and shall not be used in any manner to interpret
or otherwise modify any provision of this Agreement. As used herein, the word
"person" means any individual, firm, partnership, association, corporation or
other entity.

                      END OF STANDARD TERMS AND CONDITIONS
<PAGE>

                                   EXHIBIT "C"

Attn: Licensing Manager
World Championship Wrestling. Inc.
One CNN Center, Box 105366
Atlanta, GA 30348

Re: Trimfast Group, Inc.

Dear Sirs,

This letter will serve as notice to you that pursuant to Paragraph A-5(a) of the
Merchandising Licensee Agreement (the "Agreement") dated May 6, 1999 between
World Championship Wrestling, Inc. ("WCW") and the Licensee (as defined
therein), we have been engaged as the manufacturer for the manufacture of the
Articles as defined in the Agreement. We hereby acknowledge that we have
received and read copy of Exhibit "A" to that License Agreement containing the
Standard Terms and Conditions and understand the terms and conditions set forth
in the said Agreement and hereby agree to be bound by those provisions of the
said Agreement which are applicable to us as manufactures of the Articles,
including but not limited to your right, pursuant to Paragraphs A-3 and A-5 of
the Agreement, to examine our books of account and records and manufacturing
facility with respect to the manufacture of the Articles.

We further agree that we will abide by all relevant instructions from WCW and/or
Licensee with respect to the inclusion of markings and notices on the Authorized
Articles and the packaging and wrapping materials or cartons or containers
therefor.

We understand that our engagement as the manufacture for the Authorized Articles
is subject to your written approval. We request, therefore, that you sign the
space below, thereby showing your acceptance of our engagement as aforesaid.

For and on behalf of:

/s/ [ILLEGIBLE]
-------------------

Agreed and accepted

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