Document:

Exhibit
4.9

THIS WARRANT AND THE
SHARES OF COMMON STOCK ISSUABLE UPON EXERCISE OF THIS WARRANT HAVE BEEN
ACQUIRED FOR INVESTMENT PURPOSES ONLY AND MAY NOT BE TRANSFERRED UNTIL
(i) A REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933, AS AMENDED
(THE “SECURITIES ACT”) SHALL HAVE BECOME EFFECTIVE WITH RESPECT THERETO
OR (ii) RECEIPT BY THE COMPANY OF AN OPINION OF COUNSEL REASONABLY
SATISFACTORY TO THE COMPANY TO THE EFFECT THAT REGISTRATION UNDER THE
SECURITIES ACT IS NOT REQUIRED IN CONNECTION WITH SUCH PROPOSED TRANSFER NOR IS
SUCH TRANSFER IN VIOLATION OF ANY APPLICABLE STATE SECURITIES LAWS.  THIS LEGEND SHALL BE ENDORSED UPON ANY
WARRANT ISSUED IN EXCHANGE FOR THIS WARRANT OR ANY SHARES OF COMMON STOCK
ISSUABLE UPON EXERCISE OF THIS WARRANT.

WARRANT TO PURCHASE
COMMON STOCK

OF

AVERION INTERNATIONAL
CORP.

PAW-1

This is to Certify That, FOR VALUE RECEIVED,                                             
or assigns (“Holder”), is entitled to purchase, subject to the
provisions of this Warrant, from Averion International Corp., a Delaware
corporation (the “Company”),                           
(               )
[5% of the number of shares issued at the relevant closing] fully paid, validly
issued and nonassessable shares of the common stock of the Company, par value
$0.001 per share (the “Common Stock”) at a price per share equal to
$0.15 at any time or from time to time during the period commencing on the date
hereof through                  ,
2011 [the five year anniversary of the initial closing date] (the “Exercise
Period”). The shares of Common Stock delivered upon the exercise of this
Warrant and the price to be paid for each share of Common Stock may be adjusted
from time to time as hereinafter set forth. 
The shares of Common Stock deliverable upon such exercise, and as
adjusted from time to time, are hereinafter sometimes referred to as “Warrant
Shares” and the exercise price of a share of Common Stock in effect at any
time and as adjusted from time to time is hereinafter sometimes referred to as
the “Exercise Price.”. This Warrant, together with warrants of like
tenor issued in the private placement (the “Placement”) pursuant to a
placement agency agreement dated as of October 16, 2006 between the Company and
Commonwealth Associates, L.P., are referred to herein collectively as the “Warrants.”

(a)           EXERCISE
OF WARRANT.

(1)           This
Warrant may be exercised in whole or in part at any time or from time to time
during the Exercise Period; provided, however, that (i) if such day is a
day on which banking institutions in the State of New York are authorized by
law to close, then on the next succeeding day which shall not be such a day,
and (ii) in the event of any merger, consolidation or sale of
substantially all the assets of the Company as an entirety, resulting in any
distribution to the Company’s stockholders, prior to termination of the
Exercise Period, the Holder shall have the right to exercise this Warrant
commencing at such time through the termination of the Exercise Period into

 1
 

the kind and amount of
shares of stock and other securities and property (including cash) receivable
by a holder of the number of shares of Common Stock into which this Warrant
might have been exercisable immediately prior thereto.  This Warrant may be exercised by presentation
and surrender hereof to the Company at its principal office with the Purchase
Form annexed hereto duly executed and accompanied by payment of the Exercise
Price for the number of Warrant Shares specified in such form.  As soon as practicable after each such
exercise of this Warrant following the receipt of good and available funds, the
Company shall issue and deliver to the Holder a certificate or certificate for
the Warrant Shares issuable upon such exercise, registered in the name of the
Holder or its designee and bearing a restrictive legend substantially similar
to the one set forth on the front page of this Warrant.  If this Warrant should be exercised in part
only, the Company shall, upon surrender of this Warrant for cancellation,
execute and deliver a new Warrant evidencing the rights of the Holder thereof
to purchase the balance of the Warrant Shares purchasable thereunder.  As of the end of business on the date of
receipt by the Company of this Warrant at its office in proper form for
exercise, the Holder shall be deemed to be the holder of record of the shares
of Common Stock issuable upon such exercise, notwithstanding that the stock
transfer books of the Company shall then be closed or that certificates
representing such shares shall not then be physically delivered to the Holder.

(2)           At
any time during the Exercise Period, the Holder may, at its option, exercise
this Warrant on a cashless basis by exchanging this Warrant, in whole or in
part (a “Warrant Exchange”), into the number of Warrant Shares
determined in accordance with this Section (a)(2), by surrendering this
Warrant at the principal office of the Company or at the office of its stock
transfer agent, accompanied by a notice stating such Holder’s intent to effect
such exchange, the number of Warrant Shares to be exchanged and the date on
which the Holder requests that such Warrant Exchange occur (the “Notice of
Exchange”).  The Warrant Exchange
shall take place on the date specified in the Notice of Exchange or, if later,
the date the Notice of Exchange and originally executed Warrant is received by
the Company (the “Exchange Date”). 
Certificates for the shares issuable upon such Warrant Exchange and, if
applicable, a new warrant of like tenor evidencing the balance of the shares
remaining subject to this Warrant, shall be issued as of the Exchange Date and
delivered to the Holder as soon as practicable following the Exchange Date and,
if deemed appropriate by the Company, bearing a restrictive legend substantially
similar to the one set forth on the front page of this Warrant.  In connection with any Warrant Exchange, this
Warrant shall represent the right to subscribe for and acquire the number of
Warrant Shares equal to (i) the number of Warrant Shares specified by the
Holder in its Notice of Exchange (the “Total Number”) less (ii) the
number of Warrant Shares equal to the quotient obtained by dividing
(A) the product of the Total Number and the existing Exercise Price by
(B) the current market value of a share of Common Stock.  Current market value shall have the meaning
set forth in Section (c) below, except that for purposes hereof, it shall
mean the highest price for the five days immediately preceding the date of the
Notice of Exchange.

(3)           Notwithstanding
anything to the contrary set forth herein, until                     ,
2007 [first anniversary of the initial closing], the Company shall have the
right, upon not less than sixty (60) days’ prior written notice to the Holder,
to force a

 2
 

Warrant Exchange
based on a current market value equal to the product of 1.75 multiplied by the
Exercise Price then in effect. The notice shall set forth the date the forced
Warrant Exchange is to take place (the “Forced Exchange Date”). Any right to
exercise this Warrant shall terminate at 5:00 P.M. (New York time) on the
business day immediately preceding the Forced Exchange Date, after which time
this Warrant shall expire and become void and all rights hereunder, except the
right to receive the Warrant Shares, shall cease. The Company shall not be
obligated to deliver the Warrant Shares issuable upon a forced Warrant Exchange
under this Section a(3) until the Holder has surrendered this Warrant to the
Company for cancellation.

(b)           RESERVATION OF
SHARES.  The Company shall at all times
reserve for issuance and/or delivery upon exercise of this Warrant such number
of shares of Common Stock as shall be required for issuance and delivery upon
exercise of the Warrants.

(c)           FRACTIONAL
SHARES.  No fractional shares or script
representing fractional shares shall be issued upon the exercise of this
Warrant.  With respect to any fraction of
a share called for upon any exercise hereof, the Company shall pay to the
Holder an amount in cash equal to such fraction multiplied by the current market
value of a share, determined as follows:

(1)           If the Common Stock is listed on a national securities exchange or
admitted to unlisted trading privileges on such exchange or listed for trading
on the Nasdaq Stock Market, the current market value shall be the last reported
sale price of the Common Stock on such exchange or market on such trading day
or if no such sale is made on such day, the average closing bid and asked
prices for such day on such exchange or market; or

(2)           If the Common Stock is not so listed or admitted to unlisted trading
privileges, but is traded on the over-the-counter market, the current market
value shall be the mean of the average of the last reported bid and asked
prices reported by the National Quotation Bureau, Inc. for such trading day; or

(3)           If the Common Stock is not so listed or admitted to unlisted trading
privileges and bid and asked prices are not so reported, the current market
value shall be an amount, not less than book value thereof as at the end of the
most recent fiscal year of the Company ending prior to such business day,
determined in such reasonable manner as may be prescribed by the Board of
Directors of the Company.

(d)           EXCHANGE, TRANSFER,
ASSIGNMENT OR LOSS OF WARRANT.  This
Warrant is exchangeable, without expense, at the option of the Holder, upon
presentation and surrender hereof to the Company or at the office of its stock
transfer agent, if any, for other warrants of different denominations entitling
the holder thereof to purchase in the aggregate the same number of shares of
Common Stock purchasable hereunder.  
Upon surrender of this Warrant to the Company at its principal office or
at the office of its stock transfer agent, if any, with the Assignment Form
annexed hereto duly executed by the Holder and funds sufficient to pay any
transfer tax delivered by the Holder, the Company shall, without charge,
subject to the Holder’s compliance with the

 3
 

restrictive legend set
forth on the front page of this Warrant, execute and deliver a new Warrant in
the name of the assignee named in such instrument of assignment and this
Warrant shall promptly be cancelled. 
This Warrant may be divided or combined with other warrants that carry
the same rights upon presentation hereof at the principal office of the Company
or at the office of its stock transfer agent, if any, together with a written
notice specifying the names and denominations in which new warrants are to be
issued to the Holder and signed by the Holder hereof.  The term “Warrants” as used herein
includes any warrants into which this Warrant may be divided or exchanged.  Upon receipt by the Company of evidence
satisfactory to it of the loss, theft, destruction or mutilation of this
Warrant, and (in the case of loss, theft or destruction) of reasonably satisfactory
indemnification, and upon surrender and cancellation of this Warrant, if
mutilated, the Company will execute and deliver a new Warrant of like tenor and
date.  Any such new Warrant executed and
delivered shall constitute an additional contractual obligation on the part of
the Company, whether or not this Warrant so lost, stolen, destroyed, or
mutilated shall be at any time enforceable by anyone.

(e)           RIGHTS OF THE
HOLDER.  The Holder shall not, by virtue
hereof, be entitled to any rights of a shareholder in the Company, either at
law or equity, and the rights of the Holder are limited to those expressed in
this Warrant and are not enforceable against the Company except to the extent
set forth herein.

(f)            ADJUSTMENT
PROVISIONS.  The Exercise Price in effect
at any time and the number and kind of securities purchasable upon the exercise
of the Warrants shall be subject to adjustment from time to time upon the
happening of certain events as follows:

(1)           In case the Company shall hereafter (i) declare a dividend or make a
distribution on its outstanding Common Stock in shares of Common Stock, (ii)
subdivide or reclassify its outstanding Common Stock into a greater number of
shares, or (iii) combine or reclassify its outstanding Common Stock into a
smaller number of shares, the Exercise Price in effect at the time of the
record date for such dividend or distribution or of the effective date of such
subdivision, combination or reclassification shall be adjusted so that it shall
equal the price determined by multiplying the Exercise Price by a fraction, the
denominator of which shall be the number of shares of Common Stock outstanding
after giving effect to such action, and the numerator of which shall be the
number of shares of Common Stock outstanding immediately prior to such
action.  Such adjustment shall be made
successively whenever any event listed above shall occur.

(2)           Whenever the Exercise Price payable upon exercise of each Warrant is
adjusted pursuant to Subsection (1), the number of Warrant Shares purchasable
upon exercise of this Warrant shall simultaneously be adjusted to the number of
Warrant Shares resulting from multiplying the number of Warrant Shares
initially issuable upon exercise of this Warrant by the Exercise Price in
effect immediately prior to such adjustment and dividing the product so
obtained by the Exercise Price, as adjusted.

 4
 

(3)           In the event that at any time, as a result of an adjustment similar to
any adjustment made pursuant to Subsection (1) above, the Holder of this
Warrant thereafter shall become entitled to receive any shares of the Company,
other than Common Stock, thereafter the number of such other shares so
receivable upon exercise of this Warrant shall be subject to adjustment from
time to time in a manner and on terms as nearly equivalent as practicable to
the provisions with respect to the Common Stock contained in
Subsection (1) above.

(4)           Irrespective of any adjustments in the Exercise Price or the number or
kind of shares purchasable upon exercise of this Warrant, Warrants theretofore
or thereafter issued may continue to express the same price and number and kind
of shares as are stated in the similar Warrants initially issuable pursuant to
this Warrant.

(g)           NOTICES TO WARRANT
HOLDERS.  So long as this Warrant shall
be outstanding, (i) if the Company shall pay any dividend or make any
distribution upon the Common Stock or (ii) if the Company shall offer to
all of the holders of Common Stock for subscription or purchase by them any
share of any class or any other rights or (iii) if any capital
reorganization of the Company, reclassification of the capital stock of the
Company, consolidation or merger of the Company with or into another
corporation, sale, lease or transfer of all or substantially all of the
property and assets of the Company to another corporation, or voluntary or
involuntary dissolution, liquidation or winding up of the Company shall be
effected, then in any such case, the Company shall cause to be mailed by
certified mail to the Holder, at least fifteen (15) business days prior the
date specified in (x) or (y) below, as the case may be, a notice
containing a brief description of the proposed action and stating the date on
which (x) a record is to be taken for the purpose of such dividend, distribution
or rights, or (y) such reclassification, reorganization, consolidation,
merger, conveyance, lease, dissolution, liquidation or winding up is to take
place and the date, if any is to be fixed, as of which the holders of Common
Stock or other securities shall receive cash or other property deliverable upon
such reclassification, reorganization, consolidation, merger, conveyance,
dissolution, liquidation or winding up.

(h)           RECLASSIFICATION,
REORGANIZATION OR MERGER.  In case of any
reclassification, capital reorganization or other change of outstanding Common
Stock, or in case of any consolidation or merger of the Company with or into
another corporation (other than a merger with a subsidiary in which merger the
Company is the continuing corporation and which does not result in any
reclassification, capital reorganization or other change of outstanding Common
Stock of the class issuable upon exercise of this Warrant) or in case of any
sale, lease or conveyance to another corporation of the property of the Company
as an entirety, the Company shall, as a condition precedent to such transaction
and to the extent reasonably deemed necessary, cause effective provisions to be
made so that the Holder shall have the right thereafter by exercising this
Warrant at any time prior to the expiration of the Warrant, to purchase the
kind and amount of shares of stock and other securities and property receivable
upon such reclassification, capital reorganization and other change,
consolidation, merger, sale or conveyance by a holder of the number of shares
of Common Stock that might have been purchased upon exercise of this Warrant
immediately prior to such reclassification, change, consolidation, merger, sale
or 

 5
 

conveyance.  Any
such provision shall include provision for adjustments which shall be as nearly
equivalent as may be practicable to the adjustments provided for in this
Warrant.  The foregoing provisions of
this Section (h) shall similarly apply to successive reclassifications, capital
reorganizations and changes of Common Stock and to successive consolidations,
mergers, sales or conveyances.  In the
event that in connection with any such capital reorganization or
reclassification, consolidation, merger, sale or conveyance, additional shares
of Common Stock shall be issued in exchange, conversion, substitution or
payment, in whole or in part, for a security of the Company other than Common
Stock, any such issue shall be treated as an issue of Common Stock covered by
the provisions of Subsection (1) of Section (f) hereof.

(i)            REGISTRATION UNDER THE
SECURITIES ACT OF 1933.  The holders of
this Warrant and the Warrant Shares or their transferees (other than a
transferee who acquires shares pursuant to Rule 144 or an effective
registration statement) shall be entitled to the registration rights set forth
in Article IV of the subscription agreement between the Company and each of the
investors in the Placement, the provisions of which are incorporated by
reference herein in their entirety.

(j)            MODIFICATION OF
AGREEMENT.  The provisions of this
Warrant may from time to time be amended, modified or waived, if such
amendment, modification or waiver is applicable to all of the Warrants and is
in writing and consented to by the Company and the Holders of at least a
majority of the outstanding Warrants and Warrant Shares and such amendment,
modification or waiver shall be binding upon the Holder of this Warrant (and
any assignee thereof) regardless of whether the Holder consented to such
amendment, modification or waiver; provided that nothing shall prevent the
Company and a Holder from consenting to modifications to this Warrant which
affect or are applicable to such Holder only.

IN WITNESS WHEREOF, the
Company has caused this Warrant to be signed in its name by its duly authorized
officer.

	
  

  	
  AVERION
  INTERNATIONAL CORP.

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Dr. Philip T.
  Lavin, Chief Executive Officer

  

 

Dated:                           ,
2006

 6
 

PURCHASE FORM

Dated                                 

(1)  The
undersigned hereby irrevocably elects to exercise the within Warrant to the
extent of purchasing                
shares of Common Stock of Averion International Corp. (or such number of shares
of Common Stock or other securities or property to which the undersigned is entitled
in lieu thereof or in addition thereto under the provisions of the Warrant).

(2)  The
undersigned elects to exercise the within Warrant on a cashless basis pursuant
to the provisions of Section (a)(2) of the Warrant by checking below:

                
check if cashless exercise; or

(3)  The
undersigned encloses herewith a bank draft, certified check or money order
payable to the Company in payment of the exercise price determined under, and
on the terms specified in, the Warrant.

(4)  The
undersigned hereby irrevocably directs that the said shares be issued and
delivered as follows:

	
  Name(s) in Full

  	
   

  	
  Address(es)

  	
   

  	
  Number of Shares

  	
   

  	
  S.S. or IRS #

  
	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  
	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  
	
      

  	
   

  	
      

  	
   

  	
      

  	
   

  	
      

  

 

 

	
  

  	
   

  
	
  Signature of Subscriber

  
	
   

  
	
   

  	
   

  
	
  Print Name

  

 7
 

ASSIGNMENT FORM

FOR
VALUE RECEIVED,                                          hereby
sells, assigns and transfers unto

	
  Name

  	
   

  	
   

  
	
  (Please
  typewrite or print in block letters)

  
	
   

  
	
   

  
	
  Address

  	
   

  	
   

  
					

 

the right to purchase Common Stock represented by this
Warrant to the extent of           
shares as to which such right is exercisable and does hereby irrevocably
constitute and appoint                             
Attorney, to transfer the same on the books of the Company with full power of
substitution in the premises.

	
  Date

  	
   

  	
   

  
	
   

  
	
  Signature 

  	
   

  	
   

  	
   

  
						

 

 8Exhibit 10.33

AVERION INTERNATIONAL CORP.

PLACEMENT AGENCY AGREEMENT

Commonwealth Associates, L.P.

830 Third Avenue

New York, New York 10022

October 17, 2006

Gentlemen:

This Placement Agency Agreement (this “Agreement”)
confirms the retention by Averion International Corp., a Delaware corporation
(the “Company”), of Commonwealth Associates, L.P., a New York limited
partnership (“Commonwealth”), to act as the placement agent, on a best
efforts basis, in connection with a private placement for the Company, on the
terms set forth below. Commonwealth may engage one or more co-placement agents
acceptable to the Company (each, a “Co-Placement Agent” and together
with Commonwealth, the “Placement Agents”).

The Company proposes to offer for sale solely to “accredited
investors,” in a private placement (the “Placement”), shares of its
common stock (the “Shares”) at a purchase price (the “Purchase Price”)
to be negotiated by the Company and the investors in the Placement based on [a
discount to] the average trading price at the time of the initial closing of
the Placement (the “Initial Closing”). A minimum of $5,000,000 (the “Minimum
Offering”) and a maximum of $10,000,000 (the “Maximum Offering”) of
Shares will be sold in the Placement. 
The Maximum Offering may be increased by $5,000,000 by mutual agreement
of the Company and Commonwealth to cover over-subscriptions.

The Shares will be offered pursuant to a Confidential
Private Placement Memorandum prepared by the Company with the cooperation of
Commonwealth in form and substance reasonably satisfactory to Commonwealth and
its counsel (together with the exhibits thereto, the “Memorandum”) on
those terms and conditions mutually acceptable to Commonwealth, the Company and
the investors. The Shares are being offered in accordance with
Section 4(2) of the Securities Act of 1933, as amended (the “1933 Act”)
and Regulation D promulgated thereunder. The Minimum Offering will be made on a
“best efforts – all or none” basis and the balance of the Placement will be
offered on a best efforts basis.

The Memorandum, as it may be amended or supplemented
from time to time, and the form of proposed subscription agreement between the
Company and each subscriber for the Placement (the “Subscription Agreement”),
together with the SEC Documents (as defined in Section 2(c) hereof), and all
exhibits that are part of the Memorandum and/or Subscription Agreement are
collectively referred to herein as the “Offering Documents.” The Company
will prepare and deliver to the Placement Agents a reasonable number of copies
of the Offering Documents. The Offering Documents, together with (i) this
Agreement, (ii) the Fund Escrow Agreement (as defined in Section 4(b)(ix)
hereof), (iii) the Agent’s Warrants (as defined in 

Section 4(d)(i)
hereof), and (iv) exhibits, schedules and appendices hereto and thereto are
collectively referred to herein as the “Transaction Documents.”

Each prospective investor subscribing to purchase
Shares in the Placement (each a “Subscriber”) will be required to
deliver, among other things, the Subscription Agreement and a confidential
purchaser questionnaire in the form to be provided to prospective
investors.  Capitalized terms used
herein, unless otherwise defined or unless the context otherwise indicates,
shall have the same meanings provided in the Offering Documents.

1.             Appointment of
Commonwealth.

(a)           Commonwealth is hereby appointed exclusive
placement agent of the Company (subject to Commonwealth’s right to have
additional Placement Agents and selected dealers (“Selected Dealers”)
which are registered broker-dealers in good standing with the National
Association of Securities Dealers (“NASD”) participate in the Placement)
for the purposes of assisting the Company in finding qualified Subscribers for
the Placement. The offering period (the “Offering Period”) shall
continue until the earlier to occur of: (i) the sale of the Maximum Offering;
(ii) 60 days following delivery to Commonwealth of the Offering Documents; or
(iii) December 31, 2006, which date may be extended at Commonwealth’s option
for up to 30 days provided the Minimum Offering has been completed by December
31, 2006. The day that the Offering Period terminates is hereinafter referred
to as the “Termination Date.”

(b)           Subject to the performance by the Company of
all of its obligations to be performed under this Agreement and to the
completeness and accuracy of all representations and warranties of the Company
contained in this Agreement, in each case, in all material respects,
Commonwealth hereby accepts such agency and agrees to use its best efforts to
assist the Company in finding qualified Subscribers for the Placement.  Except for the foregoing, it is understood
that the Placement Agents have no commitment to sell the Shares.

(c)           Subject to Section 5(c) Commonwealth’s
agency hereunder is not terminable by the Company prior to the Termination
Date.

(d)           Subscriptions for Shares shall be evidenced
by the execution by Subscribers of the Subscription Agreement.  No Subscription Agreement shall be effective
unless and until it is accepted by the Company. The Placement Agents shall not
have any obligation to independently verify the accuracy or completeness of any
information contained in any Subscription Agreement or the authenticity,
sufficiency, or validity of any check delivered by any prospective investor in
payment for Shares.

(e)           The Placement Agents and/or their respective
affiliates may be investors in the Placement, any of such investments to be
made on the same basis as all other investors in the Offering.

2.             Representations
and Warranties of the Company.  The
Company represents and warrants to the Placement Agents and each Selected
Dealer, if any, as follows, except as set forth in the Memorandum, the SEC
Documents (as defined herein) or the disclosure schedules attached hereto:

 2
 

(a)           Securities Law Compliance.  The offer, offer for sale, and sale of the
Shares have not been registered under the 1933 Act. The Shares are to be
offered, offered for sale and sold in reliance upon the exemptions from the
registration requirements of Section 5 of the 1933 Act.  The Company will use its best efforts to
conduct the Placement in compliance with the requirements of Regulation D of
the General Rules and Regulations under the 1933 Act, and the Company will file
all appropriate notices of offering with the United States Securities and
Exchange Commission (the “SEC”). 
The Company has prepared the Offering Documents.  The Offering Documents will not, as of the
date of the Memorandum (including the date of any supplement or amendment
thereto) or as of any Closing Date, or as of any Closing Date, contain any
untrue statement of a material fact or omit to state any material fact
necessary in order to make the statements therein, in light of the
circumstances in which they were made, not misleading, however, that no
representation is made with respect to information contained in the Memorandum
which relates solely to the Placement Agents and is provided in writing by the
Placement Agents to the Company specifically for inclusion in the Offering
Documents.  If at any time prior to the
completion of the Placement or other termination of this Agreement any event
shall occur as a result of which it might become necessary to amend or
supplement the Offering Documents so that they do not include any untrue
statement of any material fact or omit to state any material fact necessary in
order to make the statements therein, in the light of the circumstances then
existing, not misleading, the Company will promptly notify the Placement Agents
and will supply the Placement Agents with amendments or supplements correcting
such statement or omission.  The Company
will also provide to the Placement Agents for delivery to all offerees and
purchasers and their representatives, if any, any information, documents and
instruments which the Placement Agents reasonably deem necessary to comply with
applicable state and federal law.

(b)           Organization.  The Company is duly organized and validly
existing in good standing under the laws of the jurisdiction in which it was
organized, and has the requisite power and authorization to own its properties
and to carry on its business as now being conducted.  The Company is duly qualified as a foreign
corporation to do business and is in good standing in every jurisdiction in
which its ownership of property or the nature of the business conducted by it
makes such qualification necessary, except to the extent that the failure to be
so qualified or be in good standing would not have a Material Adverse Effect.  As used in this Agreement, “Material
Adverse Effect” means any event or change in circumstance, whether or not
directly or indirectly caused by management or arising independently of
management’s control, that has or is reasonably expected to have in the future,
a material adverse effect on the business, properties, assets, operations,
results of operations, or financial condition of the Company or on the
transactions contemplated hereby, or on the other Transaction Documents or the
agreements and instruments to be entered into in connection herewith or
therewith, or on the authority or ability of the Company to perform its
obligations under the Transaction Documents. 
Other than as set forth in Schedule 2(d), the Company does not
have any operating subsidiaries and all of the non-operating subsidiaries are
wholly-owned by the Company.

(c)           Capitalization.  The authorized, issued and outstanding capital
stock of the Company prior to the consummation of the transactions contemplated
hereby is set forth in Schedule 2(c). 
All of such outstanding shares have been and are, and any shares
issuable pursuant to outstanding derivative securities have been duly
authorized and upon issuance will be, validly issued, fully paid and
non-assessable. Except as disclosed in Schedule 2(c), (i) or the

 3
 

Transaction Documents, no
shares of the Company’s capital stock are subject to preemptive rights under
the laws of the jurisdiction under which the Company is organized or any other
similar rights or any liens or encumbrances suffered or permitted by the
Company; (ii) there are no outstanding debt securities issued by the Company;
(iii) there are no outstanding options, warrants, scrip, rights to subscribe
to, calls or commitments of any character whatsoever relating to, or securities
or rights convertible into or exchangeable for, any shares of capital stock of
the Company, or contracts, commitments, understandings or arrangements by which
the Company is or may become bound to issue additional shares of capital stock
of the Company or options, warrants, scrip, rights to subscribe to, calls or
commitments of any character whatsoever relating to, or securities or rights
convertible into or exchangeable for, any shares of capital stock of the
Company; (iv) there are no agreements or arrangements under which the Company
is obligated to register the sale of any of their securities under the 1933
Act; (v) there are no outstanding securities of the Company that contain any
redemption or similar provisions, and there are no contracts, commitments,
understandings or arrangements by which the Company is or may become bound to
redeem a security of the Company; (vi) there are no securities or instruments
containing anti-dilution, preemptive rights or similar provisions that will be
triggered by the issuance of the Shares or the Agent’s Warrants as described in
the Transaction Documents that shall not have been waived prior to the Initial
Closing; and (vii) the Company does not have any stock appreciation rights or “phantom
stock” plans or agreements or any similar plan or agreement.  To the knowledge of the Company, prior sales
of securities of the Company were either registered under the 1933 Act and
applicable state securities laws or exempt from such registration, and, to the
knowledge of the Company, no security holder has any rescission rights with
respect thereto.

(d)           Subsidiaries and Investments.  Other than as set forth in Schedule 2(d),
the Company has no subsidiaries, and the Company does not own, directly or
indirectly, any capital stock or other equity ownership or proprietary
interests in any other corporation, association, trust, partnership, joint
venture or other entity.

(e)           SEC Documents; Financial Statements.  Since January 1, 2003, the Company has filed
all reports, schedules, forms, statements and other documents required to be
filed by it with the SEC pursuant to the reporting requirements of the
Securities Exchange Act of 1934, as amended (the “1934 Act”) (all of the
foregoing filed prior to the date hereof and all exhibits included therein and
financial statements and schedules thereto and documents incorporated by
reference therein being hereinafter referred to as the “SEC Documents”).  The Company has made available to the
Subscriber or its representatives copies of the SEC Documents.  Except as set forth on Schedule 2(e),
as of their respective dates, the SEC Documents complied in all material
respects with the requirements of the 1934 Act and the rules and regulations of
the SEC promulgated thereunder applicable to the SEC Documents, and none of the
SEC Documents, at the time they were filed with the SEC, contained any untrue
statement of a material fact or omitted to state a material fact required to be
stated therein or necessary in order to make the statements therein, in light
of the circumstances under which they were made, not misleading.  Except as set forth on Schedule 2(e),
as of their respective dates, the financial statements of the Company included
in the SEC Documents complied as to form in all material respects with
applicable accounting requirements and the published rules and regulations of
the SEC with respect thereto.  Except as
set forth on Schedule 2(e), such financial statements have been prepared
in accordance with generally accepted accounting principles, consistently
applied,

 4
 

during the periods
involved (except (i) as may be otherwise indicated in such financial statements
or the notes thereto, or (ii) in the case of unaudited interim statements, to
the extent they may exclude footnotes or may be condensed or summary statements)
and fairly present in all material respects the financial position of the
Company as of the dates thereof and the results of its operations and cash
flows for the periods then ended (subject, in the case of unaudited statements,
to normal year-end audit adjustments that will not be material).

(f)            Absence of Changes.  Since the date of the financial statements
included in the Company’s Current Report on Form 8-K filed with the SEC on
October      , 2006 (the “Financial Statements”),
except with respect to matters of which the Company has notified the Placement
Agents in writing and other than as set forth in Schedule 2(f), the
Company has not (i) incurred any debts, obligations or liabilities, absolute,
accrued, contingent or otherwise, whether due or to become due, except current
liabilities incurred in the usual and ordinary course of business and
consistent with past practices, having individually or in the aggregate a
Material Adverse Effect, (ii) made or suffered any changes in its contingent
obligations by way of guaranty, endorsement (other than the endorsement of
checks for deposit in the usual and ordinary course of business), indemnity,
warranty or otherwise, having individually or in the aggregate a Material
Adverse Effect, (iii) discharged or satisfied any material liens or paid any
material obligation or material liability other than current liabilities shown
in the Financial Statements, and current liabilities incurred since the date of
the Financial Statements, in each case in the usual and ordinary course of
business and consistent with past practices, (iv) mortgaged, pledged or
subjected to lien any of its assets, tangible or intangible, (v) sold,
transferred or leased any of its material assets except in the usual and
ordinary course of business and consistent with past practices, (vi) cancelled
or compromised any material debt or material claim, or waived or released any right,
of material value, (vii) suffered any physical damage, destruction or loss
(whether or not covered by insurance) adversely affecting the properties,
business or prospects of the Company, (viii) entered into any transaction other
than in the usual and ordinary course of business except for this Agency
Agreement, the other Transaction Documents and the related agreements referred
to herein and therein, (ix) encountered any labor difficulties, or (x) made or
granted any material wage or salary increase or entered into any employment
agreement, (xi) issued or sold any shares of capital stock or other securities
or granted any options with respect thereto, or modified any equity security of
the Company, (xii) declared or paid any dividends on or made any other
distributions with respect to, or purchased or redeemed, any of its outstanding
equity securities, (xiii) suffered or experienced any change in, or condition
affecting, its condition (financial or otherwise), properties, assets,
liabilities, business operations, results of operations or prospects other than
changes, events or conditions in the usual and ordinary course of its business
and consistent with past practices, having (either by itself or in conjunction
with all such other changes, events and conditions) a Material Adverse Effect,
(xiv) made any change in the accounting principles, methods or practices
followed by it or depreciation or amortization policies or rates theretofore
adopted, or (xv) entered into any agreement, or otherwise obligated itself, to
do any of the foregoing.

(g)           Title.  Except as set forth in or contemplated by Schedule
2(g), the Company has good and marketable title to all properties and
assets owned by it, free and clear of all liens, charges, encumbrances or
restrictions, except such as are not significant or important in relation to
the Company’s business; all of the material leases and subleases under which
the Company is the lessor or sublessor of properties or assets or under which
the Company holds

 5
 

properties or assets as
lessee or sublessee are in full force and effect, and the Company is not in
default in any material respect with respect to any of the terms or provisions
of any of such leases or subleases, and no material claim has been asserted by
anyone adverse to rights of the Company as lessor, sublessor, lessee or
sublessee under any of the leases or subleases mentioned above, or affecting or
questioning the right of the Company to continued possession of the leased or
subleased premises or assets under any such lease or sublease. The Company owns
or leases all such properties as are currently necessary to its operations as described
in the Offering Documents.

(h)           Proprietary Rights.  Except as set forth on Schedule 2(h),
the Company owns, or is duly licensed to use or possess, or possesses
enforceable rights to use all patents, patent applications, trademarks, service
marks, copyrights, trade secrets, processes, formulations, technology or
know-how necessary to the conduct of its business (the “Proprietary Rights”).  Except as set forth on Schedule 2(h),
the Company has not received any notice of any claims, nor does it have any
knowledge of any threatened claims, and knows of no facts which would form the
basis of any claim, asserted by any person to the effect that the sale or use
of any product or process now used or offered by the Company or proposed to be
used or offered by the Company infringes on any patents or infringes upon the
use of any such Proprietary Rights of another person and, to the best of the
Company’s knowledge, no others have infringed the Company’s Proprietary Rights.

(i)            Litigation.  Except as set forth in or contemplated by Schedule
2(i), there is no material action, suit, investigation, customer complaint,
claim or proceeding at law or in equity by or before any arbitrator, court,
governmental instrumentality or agency, self-regulatory organization or body or
public board now pending or, to the knowledge of the Company, threatened
against the Company of any of the Company’s officers or directors in their
capacities as such (or basis therefor known to the Company), the adverse
outcome of which would have a Material Adverse Effect.  Except as set forth on Schedule 2(i),
the Company is not subject to any judgment, order, writ, injunction or decree
of any Federal, state, municipal or other governmental department, commission,
board, bureau, agency or instrumentality, domestic or foreign that has a
Material Adverse Effect.

(j)            Non-Defaults; Non-Contravention.  Assuming that all consents, approvals,
authorizations and other actions contemplated by this Agreement have been
obtained and all filings and notifications contemplated by this Agreement have
been made, except as set forth in or contemplated by Schedule 2(j), the
Company is not in violation of or default under, nor will the execution and
delivery of this Agreement or any of the Transaction Documents or consummation
of the transactions contemplated herein or therein result in a violation of or
constitute a default in the performance or observance of any obligation under:
(i) its Certificate of Incorporation, or its By-laws; or (ii) any indenture,
mortgage, contract, material purchase order or other agreement or instrument to
which the Company is a party or by which it or its property is bound, where
such violation or default would have a Material Adverse Effect; or (iii) any
material order, writ, injunction or decree of any court of any Federal, state,
municipal or other governmental department, commission, board, bureau, agency
or instrumentality, domestic or foreign (including, to the Company’s knowledge,
federal and state securities laws and regulations), where such violation or
default would have a Material Adverse Effect, and there exists no condition,
event or act that constitutes, nor which after notice, the lapse of time or
both,

 6
 

could constitute a
default under any of the foregoing, which in either case would have a Material
Adverse Effect.

(k)           Taxes.  The Company has filed all tax returns that
are required to be filed by it or otherwise met its disclosure obligations to
the relevant agencies and all such returns are true and correct.  The Company has paid or adequately provided
for all tax liabilities of the Company as reflected on such returns or which
are due and payable pursuant to any assessments received by it or that it is
obligated to withhold from amounts owing to any employee, creditor or third party.  The Company has properly accrued all taxes
required to be accrued by GAAP consistently applied.  The tax returns of the Company have not been
audited by any government or regulatory authorities within the last five
years.  The Company has not waived any
statute of limitations with respect to taxes or agreed to any extension of time
with respect to any tax assessment or deficiency.

(l)            Compliance With Laws; Licenses, Etc.  Except as set forth on Schedule 2(l),
the Company has not received notice of any violation of or noncompliance with
any laws, ordinances, regulations and orders applicable to its business that
would have a Material Adverse Effect and that has not been cured.  The Company has all material licenses and
permits and other governmental certificates, authorizations and permits and
approvals (collectively, “Licenses”) required by every government or
regulatory body for the operation of its business as currently conducted and
the use of its properties as currently used except where the failure to have
such Licenses would not have a Material Adverse Effect.  The Licenses are in full force and effect and
to the Company’s knowledge no violations currently exist in respect of any
License and no proceeding is pending or to the knowledge of the Company
threatened to revoke or limit any thereof.

(m)          Authorization of Agreement, Etc.  The Company has the requisite corporate power
and authority to enter into and perform its obligations under this Agreement
and the other Transaction Documents. The execution and delivery of the
Transaction Documents by the Company and the consummation by the Company of the
transactions contemplated by the Transaction Documents have been duly
authorized by the Company’s board of directors (the “Board”) and no
further consent or authorization is required by the Company, the Board or the
Company’s stockholders.  The Transaction
Documents, upon due execution and delivery by the Company, shall constitute
valid and binding obligations of the Company enforceable against the Company in
accordance with their terms, except as such enforceability may be limited by
general principles of equity or applicable bankruptcy, insolvency,
reorganization, moratorium, liquidation or similar laws relating to, or
affecting generally, the enforcement of creditors’ rights and remedies.

(n)           Authorization of Securities.  The issuance, sale and delivery of the Shares
and the Agent’s Warrants shall, prior to the Initial Closing,  have been duly authorized by all requisite
corporate action of the Company.  When so
issued, sold and delivered in accordance with the Transaction Documents for the
consideration set forth therein, the Shares and the Agent’s Warrants will be
duly executed, issued and delivered and will constitute valid and legal
obligations of the Company enforceable in accordance with their respective
terms and, in each case, will not be subject to preemptive or any other similar
rights of the stockholders of the Company or others which rights shall not have
been waived prior to the Initial Closing.

 7
 

(o)           Authorization of Reserved Shares.  The issuance, sale and delivery by the
Company of the common shares issuable upon exercise of the Agent’s Warrants
(the “Reserved Shares”) shall, prior to the Initial Closing, have been
duly authorized by all requisite corporate action of the Company, and the
Reserved Shares shall, prior to the Initial Closing, have been duly reserved
for issuance upon exercise of the Agent’s Warrants and when so issued, sold,
paid for and delivered for the consideration set forth in the Transaction
Documents, the Reserved Shares will be validly issued and outstanding, fully
paid and nonassessable, and not subject to preemptive or any other similar
rights of the stockholders of the Company or others which rights shall not have
been waived prior to the Initial Closing.

(p)           Exemption from Registration.  Assuming (i) the accuracy of the information
provided by the respective Subscribers in the Subscription Documents and (ii)
the accuracy of the representations and warranties of the Placement Agents
contained herein, the offer and sale of the Shares pursuant to the terms of
this Agreement are exempt from the registration requirements of the 1933 Act
and the rules and regulations promulgated thereunder.  To the Company’s knowledge, the Company is
not disqualified from the exemption under Regulation D by virtue of the disqualifications
contained in Rule 505(b)(2)(iii) or Rule 507 promulgated thereunder.

(q)           Registration Rights.  Except as set forth in or contemplated by Schedule
2(c), no person has any right to cause the Company to effect registration
under the 1933 Act of any securities of the Company.

(r)            Brokers.  Neither the Company nor any of its officers,
directors, employees or stockholders has employed any broker or finder in
connection with the transactions contemplated by this Agreement other than the
Placement Agents.

(s)           Application of Takeover Protections;
Rights Agreement.  The Company and
the Board have taken all necessary action, if any, in order to render
inapplicable any control share acquisition, business combination, poison pill
(including any distribution under a rights agreement) or other similar
anti-takeover provision under the Certificate of Incorporation or the laws of
the state of its incorporation which is or could become applicable to the
Subscriber as a result of the transactions contemplated by this Agency
Agreement, including without limitation, the Company’s issuance of the Shares
and the Subscriber’s ownership of the Shares.  The Company has not adopted a shareholder
rights plan or similar arrangement relating to accumulations of beneficial
ownership of Common Stock or a change in control of the Company.  Notwithstanding the forgoing, the Company’s
Certificate of Incorporation allows for the issuance of blank check preferred
stock without the vote of its shareholders.

(t)            Right of First Refusal.  No person, firm or other business entity is a
party to any agreement, contract or understanding, written or oral entitling
such party to a right of first refusal with respect to offerings by the Company
that shall not have been waived prior to the Initial Closing.

(u)           Consents.  Except as contemplated by this Agreement, the
Company is not required to obtain any consent, authorization or order of, or
make any filing or registration with, any court or governmental agency or any
regulatory or self-regulatory agency in order for it to

 8
 

execute, deliver or
perform any of its obligations under or contemplated by the Transaction
Documents.  Except as otherwise provided
in the Transaction Documents, all consents, authorizations, orders, filings and
registrations that the Company is required to obtain pursuant to the preceding
sentence have been obtained or effected on or prior to the date hereof or shall
be made prior to the first offering of securities in the applicable
jurisdiction or the applicable Closing Date as required by applicable law or
governmental regulation.  The Company is
unaware of any facts or circumstances that might prevent the Company from
obtaining or effecting any of the foregoing.

(v)           No General Solicitation.  None of the Company, any of its affiliates,
and any person acting on its behalf, has engaged in any form of general
solicitation or general advertising (within the meaning of Regulation D under
the 1933 Act) in connection with the offer or sale of the Shares.

(w)          No Integrated Offering.  None of the Company, any of its affiliates,
and any person acting on its behalf has, directly or indirectly, made any
offers or sales of any security or solicited any offers to buy any security,
under circumstances that would require registration of the Shares under the
1933 Act or cause the Placement to be integrated with prior offerings by the
Company for purposes of the 1933 Act or any applicable stockholder approval provisions,
including without limitation, under the rules and regulations of any exchange
or automated quotation system on which any of the securities of the Company are
listed or designated, if such integration would adversely impact the Company’s
ability to complete the Placement or any subsequent registration of the Shares,
provided that no representation is made with respect to any action or conduct
of any of the Placement Agents or their affiliates.  None of the Company, its affiliates and any
person acting on its behalf have taken any action or steps referred to in the
preceding sentence that would require registration of any of the Shares under
the 1933 Act or cause the Placement to be integrated with other offerings,
provided that no representation is made with respect to any action or conduct
of any of the Placements Agents or their affiliates.

(x)            Foreign Corrupt Practices.  Neither the Company nor any director,
officer, agent, employee or other person acting on behalf of the Company has,
in the course of its actions for, or on behalf of, the Company, (i) used any
corporate funds for any unlawful contribution, gift, entertainment or other
unlawful expenses relating to political activity; made any direct or indirect
unlawful payment to any foreign or domestic government official or employee
from corporate funds, (ii) violated or is in violation of any provision of the
U.S. Foreign Corrupt Practices Act of 1977, as amended, or (iii) made any
unlawful bribe, rebate, payoff, influence payment, kickback or other unlawful
payment to any foreign or domestic government official or employee.

3.             Representations
and Warranties of Placement Agents. 
Each Placement Agent represents and warrants as follows:

(a)           The Placement Agent is duly organized,
validly existing and in good standing as a limited partnership or other legal
entity under the laws of the state of its formation with full and adequate
power and authority to enter into and perform this Agreement.

 9
 

(b)           In offering the Shares, the Placement Agent
shall deliver on behalf of the Company (or direct the Company to deliver) to
each prospective purchaser, prior to the Company’s acceptance of any
subscription from such prospective purchaser, the Memorandum, a Subscription
Agreement and the other Offering Documents. 
The Placement Agent will not provide any written materials to the
prospective purchasers other than those materials approved by the Company and
will not engage in a general solicitation or employ general advertising in
connection with the Offering.

(c)           The Placement Agent shall use its reasonable
efforts to assist the Company in conducting the Offering in material compliance
with applicable federal and state securities laws so as to preserve the
exemption provided in Section 4(2) of the 1933 Act and any applicable rules or
regulations promulgated thereunder or under such state securities laws.  The Placement Agent shall solicit
subscriptions only from persons who the Placement Agent has reasonable grounds
to believe are “accredited investors” (as defined in Regulation D under the
1933 Act).  The final acceptance of any
subscription shall be made only after the Company has reviewed the Subscription
Agreement and determined that the prospective investor is an “accredited
investor.”  The determination of whether a
prospective investor is “accredited” shall be made by the Company promptly
after the Company is presented with a Subscription Agreement with respect to
any such prospective investor.  The
determination of whether investors are “accredited investors” shall remain, at
all times, solely the responsibility of the Company.

(d)           The Placement Agent is, and at the Closing
will be, (i) a securities broker-dealer registered with the SEC and any
jurisdiction where broker-dealer registration is required in order for the
Company to sell the Securities in such jurisdiction and (ii) a member in good
standing of the NASD.

(e)           There is no action, claim, proceeding, or
investigation by or before the SEC or NASD pending against the Placement Agent.

4.             Closing; Placement
and Fees.

(a)           Closing of the Placement.  Provided the Minimum Offering shall have been
subscribed for and funds representing the sale thereof shall have cleared, the
Initial Closing of the Placement shall take place at the offices of
Commonwealth, 830 Third Avenue, New York, New York no later than the
Termination Date, which closing date may be accelerated or adjourned by
agreement between the Company and Commonwealth (the “Closing Date”).  In addition, subsequent closings of the
Placement (if applicable) may be scheduled at the discretion of the Company and
Commonwealth at any time until three (3) business days following the
Termination Date, each of which shall be deemed a “Closing” hereunder.
At each Closing, payment for the Shares issued and sold by the Company shall be
made against delivery of the Shares.  At
each Closing, the Placement Agents shall deliver to the Company an amount (the “Net
Closing Proceeds”) equal to (x) the aggregate dollar amount of
subscriptions for Shares which are the subject of the Closing (which, in the
case of the Initial Closing, shall not be less than the amount of the Minimum
Offering) less (y) the sum of (i) the Cash Commission (as defined in Section
4(d), below), and (ii) fees and expenses of the Placement Agents then payable by
the Company pursuant to the terms of Section 4(d) below (with respect to each
Closing, such

 10
 

sum being the “Placement
Agent Payment”).  The Placement Agent
shall deliver the Net Closing Proceeds to the Company either by (i) certified
check of the Escrow Agent drawn on the Escrow Account and payable to the
Company; or (ii) by wire transfer from the Escrow Account to the account of the
Company designated herein.  Prior to any
Closing, the Company shall execute and deliver to counsel for the Placement
Agents a receipt (the “Receipt”) in the form of Exhibit A
hereto.  The Receipt shall be held in
escrow by counsel for the Placement Agents until either (i) the Placement
Agents deliver to the Company a certified check of the Escrow Agent as provided
for above, or (ii) the Company receives telephonic confirmation by the Escrow
Agent that the Net Closing Proceeds have been wired to the Company by the
Escrow Agent, at which time the Receipt shall be released.  Concurrent with the release of the Receipt to
the Placement Agent, the Escrow Agent shall transfer the relevant Placement
Agent Payment from the Escrow Account to the Placement Agents as directed by
Commonwealth.

(b)           Conditions to Placement Agents’
Obligations.  The obligations of the
Placement Agents hereunder with respect to the Placement will be subject to the
accuracy of the representations and warranties of the Company herein contained
as of the date hereof and as of each Closing, to the performance by the Company
of its obligations hereunder and to the following additional conditions:

(i)            Due Qualification or Exemption.  (A) The Placement will become qualified or be
exempt from qualification under the securities laws of the several states
pursuant to Section 3(c) below not later than the Closing Date, subject to any
filings to be made thereafter and (B) at the Closing Date no stop order
suspending the sale of  the Shares shall
have been issued, and no proceeding for that purpose shall have been initiated
or threatened;

(ii)           No Material Misstatements.  Neither the Blue Sky qualification materials
nor the Offering Documents, nor any supplement thereto, will contain any untrue
statement of a material fact or omit to state a fact which is material and is
required to be stated therein, or is necessary to make the statements therein,
in light of the circumstances under which they were made, not misleading;

(iii)          Compliance with Agreements.  The Company will have complied with all
agreements and satisfied all conditions on its part to be performed or
satisfied hereunder at or prior to each Closing;

(iv)          Corporate Action.  The Company will have taken all necessary
corporate action, including, without limitation, obtaining the approval of the
Board, for the execution and delivery of this Agreement and the other Transaction
Documents required to be entered into at or prior to such Closing, the
performance by the Company of its obligations hereunder and thereunder and the
Placement;

(v)           Opinion of Counsel.  The Placement Agents shall receive the
opinion of Foley & Lardner, LLP, counsel to the Company, dated the
Closing(s), substantially in the form set forth as Exhibit B.

(vi)          Officers’ Certificate.  The Placement Agents shall receive a
certificate of the Company, signed by the Chief Executive Officer and Chief
Financial Officer

 11
 

thereof, that (a) the
representations and warranties contained in Section 2 hereof are true and
accurate in all material respects as of the Closing, (b) the Company has no
more than 470,000,000 shares of  Common
Stock outstanding on a fully-diluted basis and options and warrants to purchase
an additional                              
shares of Common Stock outstanding, and (c) except as set forth in the
Financial Statements, the Company has no outstanding indebtedness other than
accounts payable and capital lease obligations incurred in the ordinary course
of business.

(vii)         Due Diligence.  The Placement Agents shall have completed and
been satisfied with the results of its due diligence investigation of the
Company, including, without limitation, the Company’s financial statements,
expense budgets, business prospects, capital structure and contractual
arrangements.

(viii)        Recapitalization.  All outstanding convertible securities of the
Company, including its Series D Convertible Preferred Stock (the “Series D
Preferred”) and Series E Convertible Preferred Stock (the “Series E
Preferred”), shall have been converted into Common Stock in accordance with
their respective terms and all outstanding warrants issued in connection with
the Series D Preferred financing, shall have been exercised into shares of
Common Stock in accordance with their respective terms (including any cashless
exercise provisions).

(ix)           Fund Escrow Agreement.  Commonwealth shall have received a duly
executed copy of an escrow agreement in the form previously delivered to the
Company regarding the deposit of funds pending the closing(s) of the Placement
with a bank or trust company  acceptable
to the Placement Agents (the “Fund Escrow Agreement”).

(x)            Lock-Up Agreements.  Commonwealth shall have received duly executed
copies of agreements from each of the Company’s officers, Board members and
controlling shareholders restricting the transfer of any Company securities
held by such persons until the Shares and Agent’s Warrants have been registered
for resale under the 1933 Act.

(c)           Blue Sky.  Counsel to the Placement Agents will prepare
and file the necessary documents so that offers and sales of the securities to
be offered in the Placement may be made in certain jurisdictions.  It is understood that such filings may be
based on or rely upon: (i) the representations of each Subscriber set forth in
the Subscription Agreement delivered by such Subscriber; (ii) the
representations, warranties and agreements of the Company set forth in Section
2 of this Agreement; and (iii) the representations of the Company set forth in
the certificate to be delivered at each closing pursuant to paragraph (vi) of
Section 4(b). Counsel to the Placement Agents shall advise the Company as to
which jurisdictions offers and sales of the Shares have been made.

(d)           Placement Fee and Expenses.

(i)            Placement.  Simultaneously with payment for and delivery
of the Shares at each Closing, the Company shall (A) pay to the Placement
Agents a cash fee equal to 7.5% of the gross proceeds of the Shares sold (the “Cash
Commission”) and (B) issue to the Placement Agents and their respective
designees five-year warrants (the “Agent’s Warrants”) to

 12
 

purchase that
number of shares of Common Stock as equals 5% of the Shares sold in the Placement
at an exercise price equal to the Purchase Price. The Company shall also, upon
presentation of appropriate receipts and invoices, reimburse the Placement
Agents for its accountable expenses, including legal fees as provided in
Section 5(b). The Company shall also pay all expenses in connection with the
qualification of the Shares under the securities or Blue Sky laws of the states
which the Placement Agent shall designate, including reasonable legal fees,
filing fees and disbursements of Placement Agent’s counsel in connection with
such Blue Sky matters as provided in Section 5(e).

(ii)           Interest.   In the event that for any reason the Company
shall fail to pay to the Placement Agents all or any portion of the fees
payable hereunder when due, interest shall accrue and be payable on the unpaid
cash balance due hereunder from the date when first due through and including
the date when actually collected by the Placement Agent, at a rate equal to the
prime rate of Citibank, N.A., in New York, New York, computed on a daily basis
and adjusted as announced from time to time.

(e)           Bring-Down Opinions
and Certificates.  If there is more
than one Closing, then at each such Closing there shall be delivered to the
Placement Agents updated opinions and certificates as described in (v) and (vi)
of Section 4(b) above, respectively.

(f)            No Adverse Changes.  There shall not have occurred, at any time
prior to the applicable Closing (i) any domestic or international event, act or
occurrence that has materially disrupted, or in the Placement Agents’
reasonable good faith opinion will in the immediate future materially disrupt,
the securities markets; (ii) a general suspension of, or a general limitation
on prices for, trading in securities on the New York Stock Exchange, the Nasdaq
Stock Market or the American Stock Exchange; (iii) any outbreak of major
hostilities or other national or international calamity; (iv) any banking
moratorium declared by a state or federal authority of the United States; (v) any
moratorium declared in foreign exchange trading by major international banks or
other persons; (vi) any material interruption in the mail service or other
means of communication within the United States; (vii) any material adverse
change in the business, properties, assets, results of operations, or financial
condition of the Company; or (viii) any change in the market for securities in
general or in political, financial, or economic conditions which, in the
Placement Agents’ reasonable judgment, makes it inadvisable to proceed with the
Placement.

5.             Covenants
of the Company.

(a)           Use of Proceeds.
 The net proceeds of the Placement will
be used by the Company substantially as set forth in the Memorandum. The
Company shall not use any of the proceeds from the Placement to repay any
indebtedness of the Company (other than trade payables in the ordinary course).

(b)           Expenses of Offering.  The Company shall be responsible for, and
shall bear all expenses directly incurred in connection with, the Placement,
including, but not limited to, (A) legal fees of the Company’s counsel relating
to the costs of preparing the Offering Documents and all amendments,
supplements and exhibits thereto and preparing and delivering all Placement
Agent and selling documents, the Share certificates and the Agent’s Warrants;
and

 13
 

(B) blue sky fees,
filing fees and the reasonable fees and disbursements of Placement Agents’
counsel in connection with blue sky matters (the “Company Expenses”).
The Company shall also be responsible for its own expenses incurred in
connection with the Placement, including, without limitation, legal and
accounting fees and travel and lodging expenses in connection with the roadshow
or other investor presentations, and shall also be responsible for all printing
expenses for the Memorandum and other supporting documents. In addition, the
Company shall reimburse the Placement Agents, upon presentation of appropriate
receipts or invoices, for their reasonable out-of-pocket expenses incurred in
connection with the Placement, including, without limitation, the Placement
Agents’ mailing, printing, copying, telephone, travel, background searches, due
diligence investigations, legal and consulting fees or other similar expenses
(the “Placement Agent Expenses”).

(c)           Break-Up Fee.  If the Placement is not completed prior to the
Termination Date because the Company decides not to proceed with the Placement
for any reason, and the Placement Agents then provide written evidence that
they have commitments from Subscribers for the Minimum Offering at a Purchase
Price of not less than $0.15 per share, the Company shall pay to Commonwealth
as liquidated damages and the Placement Agents’ exclusive remedy: (i) the
Placement Agent Expenses (in addition to the Company Expenses for which the
Company shall in all events remain liable), plus (ii) a final advisory and
structuring fee of $250,000.

(d)           Notification.  The Company shall notify Commonwealth
immediately, and in writing, (i) when any event shall have occurred during
the period commencing on the date hereof and ending on the later of the last
Closing or the Termination Date as a result of which the Offering Documents
would include any untrue statement of a material fact or omit to state any
material fact required to be stated therein or necessary to make the statements
therein not misleading, and (ii) of the receipt by the Company of any
notification with respect to the modification, rescission, withdrawal or
suspension of the qualification or registration of the Shares, or of any
exemption from such registration or qualification, in any jurisdiction, as
applicable.  The Company will use its
best efforts to prevent the issuance of any such modification, rescission,
withdrawal or suspension and, if any such modification, rescission, withdrawal
or suspension is issued and Commonwealth so requests, to obtain the lifting
thereof as promptly as possible.

(e)           Blue Sky.  The Company will use its best efforts to
assist the Placement Agents to qualify or register the Shares for offering and
sale under, or establish an exemption from such qualification or registration
under, the securities or “blue sky” laws of such jurisdictions as the Company
may reasonably request; provided however, that the Company will not be
obligated to qualify as a dealer in securities in any jurisdiction in which it
is not so qualified.  The Company will
not consummate any sale of the Shares in any jurisdiction in which it is not so
qualified or in any manner in which such sale may not be lawfully made.

(f)            Form D Filing.  The Company shall file five copies of a
Notice of Sales of Securities on Form D with the SEC no later than 15 days
after the first issuance of the Shares. 
The Company shall file promptly such amendments to such Notices on Form D
as shall become necessary and shall also comply with any filing requirement
imposed by the laws of any state or jurisdiction in which offers and sales are
made.  The Company shall furnish the
Placement Agent with copies of all such filings.

 14
 

(g)           Press Releases, Etc.  Except as required by applicable law or the Rules
or Regulations of the SEC, the Company shall not, during the period commencing
on the date hereof and ending on the later of the last Closing or Termination
Date, issue any press release or other communication, or hold any press conference
with respect to the Company, its financial condition, results of operations,
business, properties, assets, or liabilities, without the prior consent of
Commonwealth, which consent shall not be unreasonably withheld, conditioned or
delayed.  Furthermore, except as required
by applicable law or the Rules or Regulations of the SEC, the Company shall not
at any time include information with respect to the Placement or use the
Placement Agents’ names in any press release, advertisement or on any website
maintained by the Company without the prior written consent of such Placement
Agent, which consent, with respect to information regarding the Placement only,
shall not be unreasonably withheld.

(h)           Resale Registration.
 The Company shall file a registration statement
with the SEC covering the resale of the Shares and the shares underlying the
Agent’s Warrants within three months after the final Closing and shall use its
best efforts to cause such registration statement to become effective within six
months after the final Closing.  The
penalty provisions for failure by the Company to effect the registration within
such timeframe, as well as the Subscribers’ “piggy-back” registration rights,
are more particularly set forth in the Subscription Agreement, all of which
registration provisions are incorporated by reference herein.

(i)            Transmittal Letters.
 Within five (5) business days after each
Closing, the Placement Agent shall receive copies of all letters from the
Company to the Subscribers transmitting the Shares sold in the Placement and
shall receive a letter from the Company confirming transmittal of such
securities to the Subscribers.

6.             Indemnification.

(a)           The Company agrees to
indemnify and hold harmless the Placement Agent and each Selected Dealer, if
any, and their respective shareholders, directors, officers, agents and
controlling persons (a “Placement Agent Indemnified Party”) against any
and all loss, liability, claim, damage and expense whatsoever (and all actions
in respect thereof), and to reimburse the Placement Agent for reasonable legal
fees and related expenses as incurred (including, but not limited to the costs
of investigating, preparing or defending any such action or claim whether or
not in connection with litigation in which the Placement Agent is a party and
the costs of giving testimony or furnishing documents in response to a subpoena
or otherwise), arising out of (i) any untrue statement or alleged untrue
statement of a material fact contained in the Transaction Documents or the
omission or alleged omission therefrom of a material fact necessary in order to
make the statements therein, in light of the circumstances under which they
were made, not misleading (provided, however, that the Company shall not be
liable in any such case to the extent that any such loss, liability, claim,
damage or expense arises out of or is based upon any untrue statement of a
material fact or alleged untrue statement or a material fact provided by the
Placement Agent in writing to the Company specifically for use in the
Transaction Documents), (ii) any violation by the Company of the federal
securities laws or the securities laws of any states, or otherwise arising out
of the Placement Agent’s engagement hereunder, except to the extent arising out
of the provision clause (i) or bad faith, gross negligence or willful
misconduct of the Placement Agent or any Indemnified Party, or (iii) any breach
by the Company of  any of

 15
 

its representations,
warranties or covenants contained in this Agency Agreement subject to the
limitations of Section 5(c).

(b)           The Placement Agent
agrees to indemnify and hold harmless the Company, the Company’s directors,
officers, employees, counsel, advisors, representatives and agents and
controlling persons within the meaning of the 1933 Act (a “Company
Indemnified Party”) and each and all of them, to the same extent as set
forth in Section 5(a) of the foregoing indemnity from the Company to the
Placement Agent, but only with reference to (i) any breach by the Placement
Agent of any representations and warranties set forth in Section 4, and (ii)
information, relating solely to the Placement Agent, furnished in writing to
the Company by the Placement Agent specifically for inclusion in the Offering
Documents and only to the extent that any losses, claims, damages, and
liabilities in respect of which indemnification is claimed are financially
judicially determined to have resulted primarily and directly from the bad
faith or willful misconduct of the Placement Agent.

(c)           Promptly after receipt
by a person entitled to indemnification pursuant to subsection (a) or (b) (and “Indemnified
Party”) of this Section of notice of the commencement of any action, the
Indemnified Party will, if a claim in respect thereof is to be made against a
person granting indemnification (an “Indemnifying Party”) under this
Section, notify in writing the Indemnifying Party of the commencement thereof,
but the omission so to notify the Indemnifying Party will not relieve it from
any liability (i) except to the extent the Indemnifying Party has been
prejudiced by the failure to receive such notice or (ii) which it may have to
the Indemnified Party otherwise in this Section.  In case any such action is brought against an
Indemnified Party, and it notifies the Indemnifying Party of the commencement
thereof, the Indemnifying Party will be entitled to participate in, and, to the
extent that it may wish, jointly with any other Indemnifying Party similarly
notified, to assume the defense thereof, subject to the provisions herein stated,
with counsel reasonably satisfactory to the Indemnified Party, and after notice
from the Indemnifying Party to the Indemnified Party of it election so to assume
the defense thereof, the Indemnifying Party will not be liable to the
Indemnified Party for any legal or other expenses subsequently incurred by the
Indemnified Party in connection with the defense thereof other than reasonable
costs of investigation.  The Indemnified
Party shall have the right to employ separate counsel in any such action and to
participate in the defense thereof, but the fees and expenses of such counsel
shall not be at the expense of the Indemnifying Party if the Indemnifying Party
has assumed the defense of the action with counsel reasonably satisfactory to
the Indemnified Party; provided that the fees and expenses of such counsel shall
be at the expense of the Indemnifying Party if (i) the employment of such
counsel has been specifically authorized in writing by the Indemnifying Party
or (ii) the named parties to any such action (including any impleaded parties)
include both the Indemnified Party or Parties and the Indemnifying Party and,
in the reasonable judgment of counsel to the Indemnified Party, there would be
a conflict of interest in the joint representation of the Indemnifying Party
and the Indemnified Party in which case the Indemnifying Party shall not have
the right to assume the defense of such action on behalf of the Indemnified
Party or Parties, it being understood, however, that the Indemnifying Party
shall not, in connection with any one such action or separate but substantially
similar or related actions in the same jurisdiction arising out of the general
obligations or circumstances, be liable for the reasonable fees and expenses of
more than one separate firm of attorneys for the Indemnified Party or Parties
(plus local counsel).  No settlement,
compromise, consent to entry of judgment or other termination of any action

 16
 

(collectively, “Terminations”)
in respect of which an Indemnified Party may seek indemnification hereunder
(whether or not any such Indemnified Party is a party thereto) shall be made
without the prior written consent of the Indemnified Party so affected unless
the terms of such Termination includes a full release of such Indemnified
Party.

7.             Contribution.

To provide for just and
equitable contribution, if (i) an Indemnified Party makes a claim for indemnification
pursuant to Section 6 of this Agreement but it is found in a final judicial
determination, not subject to further appeal, that such indemnification may not
be enforced in such case, even though this Agreement expressly provides for
indemnification in such case, or (ii) any Indemnified or Indemnifying party
seeks contribution under the 1933 Act, the 1934 Act, or otherwise, then the Company
(including for this purpose any contribution made by or on behalf of any
Company Indemnified Party), on the one hand, and the Placement Agent and any
Selected Dealers (including for this purpose any contribution by or on behalf
of a Placement Agent Indemnified Party), on the other hand, shall contribute to
the losses, liabilities, claims, damages, and expenses whatsoever to which any
of them may be subject, in such proportions as are appropriate to reflect the
relative benefits received by the Company, on the one hand, and the Placement
Agent and the Selected Dealers, on the other hand; provided, however, that if
applicable law does not permit such allocation, then other relevant equitable
considerations such as the relative fault of the Company and the Placement
Agent and the Selected Dealers in connection with the facts which resulted in
such losses, liabilities, claims, damages, and expenses shall also be
considered.  In no case shall the
Placement Agent or a Selected Dealer be responsible for a portion of the
contribution obligation in excess of the compensation received by it pursuant
to Section 4 hereof or the Selected Dealer Agreement, as the case may
be.  No person guilty of a fraudulent
misrepresentation shall be entitled to contribution from any person who is not
guilty of such fraudulent misrepresentation. 
For purposes of this Section 7, each person, if any, who controls
the Placement Agent or a Selected Dealer within the meaning of Section 15 of
the 1933 Act or Section 20(a) of the 1934 Act and each officer, director,
stockholder, employee and agent of the Placement Agent or a Selected Dealer,
shall have the same rights to contribution as the Placement Agent or the
Selected Dealer, and each person, if any who controls the Company within the meaning
of Section 15 of the 1933 Act or Section 20(a) of the 1934 Act and
each officer, director, employee and agent of the Company, shall have the same
rights to contribution as the Company, subject in each case to the provisions
of this Section 7.  Anything in this
Section 7 to the contrary notwithstanding, no party shall be liable for
contribution with respect to the settlement of any claim or action effected
without its written consent.  This
Section 7 is intended to supersede any right to contribution under the
1933 Act, the 1934 Act, or otherwise.

8.             Miscellaneous.

(a)           Survival.  Any termination of the Placement in
accordance with the terms of this Agreement without consummation thereof shall
be without obligation on the part of any party except that the indemnification
provided in Section 6 hereof and the contribution provided in
Section 7 hereof shall survive any termination and shall survive the later
of the final Closing of the Placement or the Termination Date for a period of
two years.

 17
 

(b)           Representations,
Warranties and Covenants to Survive Delivery.  The respective representations, warranties,
indemnities, agreements, covenants and other statements as of the date hereof
shall survive execution of this Agreement and delivery of the Shares and the termination
of this Agreement for a period of two years after such respective event.

(c)           No Other
Beneficiaries.  Except as expressly
contemplated herein, this Agreement is intended for the sole and exclusive
benefit of the parties hereto and their respective successors and controlling
persons, and no other person, firm or corporation shall have any third-party
beneficiary or other rights hereunder.

(d)           Governing Law;
Resolution of Disputes.  This
Agreement shall be governed by and construed in accordance with the law of the
State of New York without regard to conflict of law provisions.  The Placement Agent and the Company will
attempt to settle any claim or controversy arising out of this Agreement
through consultation and negotiation in good faith and a spirit of mutual
cooperation.  Should such attempts fail,
then the dispute will be mediated by a mutually acceptable mediator to be
chosen by the Placement Agent and the Company within 15 days after written
notice from either party demanding mediation. 
Neither party may unreasonably withhold consent to the selection of a
mediator, and the parties will share the costs of the mediation equally.  Any dispute which the parties cannot resolve
through negotiation or mediation within six months of the date of the initial
demand for it by one of the parties may then be submitted to the courts for
resolution, in which event each of the parties hereto hereby irrevocably
submits to the non-exclusive jurisdiction of the state and federal courts
sitting in the Southern District of New York, for the adjudication of any
dispute hereunder or in connection herewith or with any transaction
contemplated hereby or discussed herein, and hereby irrevocably waives, and
agrees not to assert in any suit, action or proceeding, any claim that it is
not personally subject to the jurisdiction of any such court, that such suit,
action or proceeding is brought in an inconvenient forum or that the venue of
such suit, action or proceeding is improper. The use of mediation will not be
construed under the doctrine of laches, waiver or estoppel to affect adversely
the rights of either party.  Nothing in
this paragraph will prevent either party from resorting to judicial proceedings
if (a) good faith efforts to resolve the dispute under these procedures have
been unsuccessful or (b) interim relief from a court is necessary to prevent
serious and irreparable injury.

(e)           Counterparts.  This Agreement may be executed in two or more
identical counterparts, all of which shall be considered one and the same
agreement and shall become effective when counterparts have been signed by each
party and delivered to the other party; provided that a signature delivered by
facsimile transmission or by electronic mail in the form of a PDF file shall be
considered due execution and shall be binding upon the signatory thereto with
the same force and effect as if the signature were an original manually
executed signature.

(f)            Notices.  Any communications specifically required
hereunder to be in writing, if sent to the Placement Agent, will be sent by
overnight courier providing a receipt of delivery or by certified or registered
mail to it at Commonwealth Associates, 830 Third Avenue, New York,
New York  10022, Att: Carl Kleidman,
with a copy to Loeb & Loeb LLP, 345 Park Avenue, New York, New York 10154,
Att: Fran Stoller and if sent to the Company, will be  sent by overnight courier providing a receipt
of delivery or by certified or registered mail to it at Averion International
Corp., 4 California Avenue, Framingham, Massachusetts 01701, Att:

 18
 

Philip Lavin, with a copy
to Foley & Lardner, LLP, 402 West Broadway, Suite 2300, San Diego,
California 92101, Att: Kenneth Polin.

(g)           Entire Agreement.  This Agreement constitutes the entire
agreement of the parties with respect to the matters herein referred and
supersedes all prior agreements and understandings, written and oral, between
the parties with respect to the subject matter hereof. Neither this Agreement
nor any term hereof may be changed, waived or terminated orally, except by an
instrument in writing signed by the party against which enforcement of the
change, waiver or termination is sought.

[Remainder of page intentionally
left blank]

 19
 

If you find the foregoing
is in accordance with our understanding, kindly sign and return to us a
counterpart hereof, whereupon this instrument along with all counterparts will
become a binding agreement between us.

	
  

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
  AVERION
  INTERNATIONAL CORP.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Dr. Philip
  T. Lavin

  	
   

  
	
   

  	
   

  	
  Name: Dr. Philip
  T. Lavin

  
	
   

  	
   

  	
  Title: Chief
  Executive Officer

  

 

Agreed:  COMMONWEALTH
ASSOCIATES, L.P.

	
  By:

  	
  Commonwealth Associates Management Company, Inc.

  
	
   

  	
   

  
	
  By:

  	
  /s/ Robert
  O’Sullivan

  	
   

  
	
   

  	
  Name: Robert O’Sullivan

  
	
   

  	
  Title: President

  

 

 20

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00120-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00120-of-00352.parquet"}]]