Document:

<PAGE>

                         AGREEMENT OF PURCHASE AND SALE

                                 BY AND BETWEEN

                          LEITCH TECHNOLOGY CORPORATION

                                       AND

                        PATH 1 NETWORK TECHNOLOGIES INC.

                           DATED AS OF APRIL 10, 2000

<PAGE>

                                TABLE OF CONTENTS
<TABLE>
<CAPTION>
                                                                                                               Page
                                                                                                               ----

<S>                                                                                                            <C>
ARTICLE I. PURCHASE AND SALE OF THE PATH 1 SHARES.................................................................1
           1.1      Purchase and Sale of the Path 1 Shares........................................................1
           1.2      Purchase Price................................................................................1

ARTICLE II. REPRESENTATIONS AND WARRANTIES OF THE COMPANY.........................................................1
           2.1      Organization and Qualification; Company Subsidiaries..........................................2
           2.2      Conflicts.....................................................................................2
           2.3      Capitalization................................................................................2
           2.4      Reports; Financial Statements; Undisclosed Liabilities........................................3
           2.5      Issuance of Path 1 Shares.....................................................................3
           2.6      Absence of Certain Changes....................................................................3
           2.7      Taxes.........................................................................................4
           2.8      Real Property Owned or Leased.................................................................4
           2.9      Title to Assets...............................................................................4
           2.10     Contractual and Other Obligations.............................................................5
           2.11     Employee Benefit Plans........................................................................5
           2.12     Labor Relations...............................................................................5
           2.13     Insurance.....................................................................................5
           2.14     Litigation....................................................................................5
           2.15     Permits; Compliance with Applicable Law.......................................................5
           2.16     Intellectual Property.........................................................................6
           2.17     Consents......................................................................................6
           2.18     Foreign Person................................................................................6
           2.19     Authority.....................................................................................6
           2.20     Brokers and Finders...........................................................................7
           2.21     Compensation..................................................................................7
           2.22     Full Disclosure...............................................................................7
           2.23     Investment....................................................................................7
           2.24     Legend........................................................................................8

ARTICLE III. REPRESENTATIONS AND WARRANTIES OF PURCHASER.........................................................10
           3.1      Organization and Qualification; Purchaser Subsidiaries.......................................10
           3.2      Conflicts....................................................................................10
           3.3      Capitalization...............................................................................10
           3.4      Financial Statements; Undisclosed Liabilities................................................10
           3.5      Issuance of Leitch Shares....................................................................11
           3.6      Consents.....................................................................................11
           3.7      Authority....................................................................................11
           3.8      Reports......................................................................................11
           3.9      Full Disclosure..............................................................................12
           3.10     Investment...................................................................................12
           3.11     Legend.......................................................................................13
           3.12     Brokers and Finders..........................................................................13

<PAGE>

                               TABLE OF CONTENTS
                                  (CONTINUED)

           3.13     Leitch Shares................................................................................13

ARTICLE IV. ADDITIONAL COVENANTS AND AGREEMENTS..................................................................14
           4.1      Interim Operations of the Company............................................................14
           4.2      Alternative Proposals........................................................................16
           4.3      Reasonable Best Efforts......................................................................17
           4.4      Purchaser Access to Information..............................................................18
           4.5      Publicity....................................................................................18
           4.6      Notification of Certain Matters..............................................................18
           4.7      Stock Exchange Listings and Form 10..........................................................19
           4.8      Company Disclosure Schedule..................................................................19
           4.9      Registration Rights..........................................................................19

ARTICLE V. CLOSING...............................................................................................20
           5.1      Time and Place of Closing....................................................................20
           5.2      Closing Deliveries...........................................................................20
           5.3      Delivery of Path 1 Shares....................................................................21
           5.4      Tax Matters..................................................................................22

ARTICLE VI. CONDITIONS TO THE PURCHASE AND SALE OF THE PATH 1 SHARES.............................................22
           6.1      Conditions to Each Party's Obligations to Close..............................................22
           6.2      Conditions to the Obligations of Purchaser...................................................22
           6.3      Conditions to the Obligations of the Company.................................................23

ARTICLE VII. TERMINATION.........................................................................................24
           7.1      Termination..................................................................................24
           7.2      Effect of Termination........................................................................25

ARTICLE VIII. INDEMNIFICATION....................................................................................25
           8.1      Indemnity....................................................................................25
           8.2      Limitation on Indemnity......................................................................25
           8.3      Procedure....................................................................................25
           8.4      Remedies.....................................................................................26
           8.5      Time Limit...................................................................................26

ARTICLE IX. MISCELLANEOUS AND GENERAL............................................................................26
           9.1      Payment of Expenses and Other Payments.......................................................26
           9.2      Survival of Representations and Warranties...................................................26
           9.3      Modification or Amendment....................................................................26
           9.4      Waiver of Conditions.........................................................................26
           9.5      Counterparts.................................................................................27
           9.6      Governing Law................................................................................27
           9.7      Jurisdiction; Waiver of Trial by Jury........................................................27
           9.8      Notices......................................................................................27
           9.9      Entire Agreement; Assignment.................................................................28

                                       ii
<PAGE>

           9.10     Parties in Interest..........................................................................28
           9.11     Validity.....................................................................................28
           9.12     Captions.....................................................................................29
           9.13     Specific Performance.........................................................................29
           9.14     "Knowledge"of the Company or Purchaser.......................................................29

ARTICLE X. DEFINITIONS...........................................................................................29
           10.1     Certain Definitions..........................................................................29
</TABLE>

                                       iii
<PAGE>

                         AGREEMENT OF PURCHASE AND SALE

                  AGREEMENT OF PURCHASE AND SALE (this "Agreement") dated as of
April 10, 2000, by and between Leitch Technology Corporation, a corporation
organized under the laws of the Province of Ontario ("Purchaser"), and Path 1
Network Technologies Inc., a Delaware corporation (the "Company"). Capitalized
terms used herein and not defined in the specific Section in which they are used
shall have the meanings assigned to such terms in Article X hereof.

                                    RECITALS

                  WHEREAS, the Company is engaged in the business of developing
software and hardware technologies which enable the merging of disparate digital
information over the same network infrastructure and related activities from its
headquarters in San Diego, California;

                  WHEREAS, Purchaser desires to acquire from the Company
1,250,000 newly issued shares of Class A common stock, $.001 par value (the
"Path 1 Class A Common Stock"), of the Company (all such 1,250,000 shares of
Path 1 Class A Common Stock being hereinafter referred to as the "Path 1
Shares") and the Company desires to sell all of the Path 1 Shares to Purchaser,
on the terms and subject to the conditions hereinafter set forth.

                  NOW, THEREFORE, in consideration of the foregoing and the
respective representations, warranties, covenants and agreements set forth
herein, the parties hereto agree as follows:

                                   ARTICLE I
                     PURCHASE AND SALE OF THE PATH 1 SHARES

                  1.1      PURCHASE AND SALE OF THE PATH 1 SHARES. Subject to
the terms and conditions of this Agreement and on the basis of the
representations, warranties, covenants and agreements herein contained, at the
Closing (as hereinafter defined), the Company agrees to sell, assign and convey
to Purchaser, and Purchaser agrees to purchase, acquire and accept from the
Company, the Path 1 Shares.

                  1.2      PURCHASE PRICE. The purchase price (the "Purchase
Price") for the Path 1 Shares is Ten Million U.S. Dollars ($10,000,000) and
200,000 common shares, no par value (the "Leitch Common Shares"), of Purchaser
(such 200,000 Leitch Common Shares being hereinafter referred to as the "Leitch
Shares"). The Purchase Price for the Path 1 Shares is payable at the Closing by
delivery to the Company of a wire transfer in immediately available funds to an
account designated by the Company in the amount of U.S. $10,000,000 and a
certificate representing the Leitch Shares registered in the name of the
Company.

                                  ARTICLE II.
                  REPRESENTATIONS AND WARRANTIES OF THE COMPANY

                  The Company hereby represents and warrants to Purchaser as
follows:

<PAGE>

                  2.1      ORGANIZATION AND QUALIFICATION; COMPANY SUBSIDIARIES.
The Company is a corporation validly existing and in good standing under the
laws of the State of Delaware, and has all requisite corporate power and
authority to own, operate and lease its assets and properties and to conduct the
businesses in which it is now engaged. The Company is duly qualified to transact
business as a foreign corporation in all jurisdictions wherein it is required to
be so qualified, except where the failure to be so qualified would not have a
Company Material Adverse Effect. The Company does not have any subsidiaries
other than as set forth in Section 2.1 of the disclosure schedule delivered to
Purchaser by the Company concurrently with the execution hereof (the "Company
Disclosure Schedule"). The Company does not own any capital stock or other
proprietary interest, directly or indirectly, in any corporation, association,
trust, partnership, joint venture, limited liability company or other Person nor
is the Company bound by any agreement to acquire any such capital stock or other
proprietary interest.

                  2.2      CONFLICTS. Neither the execution and delivery of this
Agreement by the Company, nor the consummation of the transactions contemplated
hereby (the "Transactions") to be consummated by the Company, (a) violates any
provision of the Certificate of Incorporation or By-laws of the Company or (b)
constitutes a violation of any Applicable Law. Except as set forth in Section
2.2 of the Company Disclosure Schedule, neither the execution and delivery of
this Agreement by the Company, nor the consummation of the Transactions
contemplated hereby to be consummated by the Company, violates, conflicts with,
results in any breach of any of the terms of, or results in the termination of
or the creation of any Lien pursuant to the terms of any material agreement,
instrument, or contract to which the Company is a party or by which it is bound,
except where such violation, conflict, breach, termination or Lien would not
have a Company Material Adverse Effect.

                  2.3      CAPITALIZATION. The authorized capital stock of the
Company consists of: (i) 20,000,000 shares of Path 1 Class A Common Stock, of
which, as of the date hereof, 6,462,651 shares were issued and outstanding, (ii)
10,000,000 shares of Path 1 Class B Common Stock, of which, as of the date
hereof, no shares of Path 1 Class B Common Stock were issued and outstanding and
(iii) 10 shares of Series A preferred stock, of which, as of the date hereof, no
shares were issued and outstanding. Except for (i) 897,336 options to purchase
the same number of shares of Path 1 Class A Common Stock, (ii) 642,996 options
to purchase the same number of shares of Path 1 Class B Common Stock and (iii)
up to a maximum of 650,000 options to purchase the same number of shares of Path
1 Class B Common Stock which may be granted to current or future officers,
employees or consultants of the Company, there are no outstanding options,
warrants, rights, convertible or exchangeable securities, proxy or stockholders'
agreements or agreements of any kind for the purchase or acquisition from, or
issuance by, the Company of any of its securities. Except for the Stockholders'
Agreement, there are no outstanding agreements or other arrangements to which
the Company is a party concerning the voting of any shares of capital stock of
the Company or which obligate the Company to redeem or otherwise acquire from
any Person any shares of capital stock of the Company. All outstanding shares of
capital stock of the Company are duly authorized, validly issued, fully paid and
nonassessable.

                                       2
<PAGE>

                  2.4      REPORTS; FINANCIAL STATEMENTS; UNDISCLOSED
LIABILITIES.

                           (a)      On March 23, 2000, the Company re-filed a
General Form for Registration of Securities on Form 10 (the "Form 10") with the
Securities and Exchange Commission (the "SEC") pursuant to the Securities
Exchange Act of 1934, as amended (the "Exchange Act"). On the re-filing date,
the Form 10 complied in all material respects with the applicable requirements
of the Exchange Act, and the published rules and regulations of the SEC
thereunder. The Form 10 will not, on the effective date thereof, contain any
untrue statement of a material fact or omit 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.

                           (b)      On the filing date, the financial statements
(including the related notes thereto) of the Company included in the Form 10
complied in all material respects with applicable accounting requirements and
the published rules and regulations of the SEC with respect thereto, were
prepared in conformity with generally accepted accounting principles ("GAAP")
applied on a consistent basis during the periods involved (except as otherwise
noted therein) and presented fairly in all material respects the financial
position of the Company as of their respective dates, and the results of its
operations and cash flows for the periods presented therein (subject, in the
case of the unaudited interim financial statements, to normal year-end
adjustments). As of the date of the Company's most recent regularly prepared
consolidated balance sheet, the Company had less than $10,000,000 of
consolidated total assets.

                           (c)      Except (i) as set forth in Section 2.4(c) of
the Company Disclosure Schedule, (ii) as set forth in the balance sheet of the
Company as of December 31, 1999 set forth in the Form 10 (the "Balance Sheet")
and (iii) for current liabilities and obligations incurred in the ordinary
course of business consistent with past practice since December 31, 1999 (and
not materially different in type or amount), the Company does not have any
material liabilities or obligations of any nature (whether accrued, absolute,
contingent or otherwise) required by GAAP to be recognized or disclosed on a
balance sheet of the Company or in the notes thereto.

                  2.5      ISSUANCE OF PATH 1 SHARES. When issued, sold and
delivered to Purchaser in accordance with the terms of this Agreement for the
consideration expressed herein, the Path 1 Shares shall be duly and validly
authorized, fully paid and non-assessable shares of Path 1 Class A Common Stock
free and clear of any restrictions on transfer, other than restrictions on
transfer under the Stockholders' Agreement or applicable state, foreign and
federal securities laws, and free and clear of any preemptive or similar rights.

                  2.6      ABSENCE OF CERTAIN CHANGES. Since the date of the
Balance Sheet, (i) the Company has conducted its business in the ordinary and
usual course consistent with past practice, and (ii) there has not occurred any
events or changes having, or reasonably likely to have, individually or in the
aggregate, a Company Material Adverse Effect.

                                       3
<PAGE>

                  2.7      TAXES. Except as set forth in Section 2.7 of the
Company Disclosure Schedule:

                           (a)      The Company has filed or caused to be filed
on a timely basis all returns, reports or other declarations relating to Taxes
required to be filed by it (the "Tax Returns"), except for any such Tax Returns
the failure to file which would not have a Company Material Adverse Effect, and
the Company has timely paid or caused to be paid all federal, state, local,
provincial and foreign taxes (including, but not limited to, income, franchise,
property (real, tangible and intangible), sales, use, unemployment, withholding,
gross receipts, business license, transfer, capital, net worth, gains, excise,
social security and workers' compensation taxes and estimated income and
franchise tax payments, and penalties, interest and fines with respect to any
thereof) (collectively, "Taxes") payable by it with respect to the periods
covered by such Tax Returns.

                           (b)      The Company has not received written notice
from any taxing authority of any deficiency, claim or other dispute relating to
the payment or assessment of any Taxes for any period which remains unsettled at
the date hereof.

                           (c)      The Company has not executed any waiver of
any statute of limitations on the assessment or collection of Taxes.

                           (d)      There are no Liens for Taxes (other than
Permitted Liens) upon or, to the Company's Knowledge threatened against any
assets of the Company, other than Liens which would not have a Company Material
Adverse Effect.

                           (e)      The Company is not a party to any pending
or, to the Company's Knowledge, threatened action, proceeding or assessment by
any taxing authority, foreign or domestic, relating to the Company.

                           (f)      No election under Section 341(f) of the Code
has been made to treat the Company as a "consenting corporation" as defined in
such Section 341(f).

                           (g)      The Company is not and never has been a
United States real property holding corporation within the meaning of Section
897(c)(2) of the Code.

                  2.8      REAL PROPERTY OWNED OR LEASED. The Company does not
own any real property. Except as set forth in Section 2.8 of the Company
Disclosure Schedule, the Company enjoys peaceful and undisturbed possession
under all leases under which it is the lessee, and all said leases are valid and
subsisting and in full force and effect, except with respect to Permitted Liens,
or as could not reasonably be expected to have a Company Material Adverse
Effect.

                  2.9      TITLE TO ASSETS. Except as set forth in Section 2.9
of the Company Disclosure Schedule, the Company has good and merchantable title
to all of the properties and assets (tangible and intangible) which it owns and
valid and existing leaseholds, licenses or other rights to use all of the other
properties and assets which it leases, licenses or uses in the operation of its
business as currently conducted, in any case, free and clear of all Liens,
except for Permitted Liens, or as could not reasonably be expected to have a
Company Material Adverse Effect.

                                       4
<PAGE>

                  2.10     CONTRACTUAL AND OTHER OBLIGATIONS. The Company does
not have and is not bound by any material contract, agreement, lease,
commitment, or proposed transaction, judgment, order, writ or decree, written or
oral, absolute or contingent, other than those that have been entered into in
the ordinary course of business or as set forth on Section 2.10 of the Company
Disclosure Schedule. The Company is not, and to the Company's Knowledge no other
Person party thereto is, in violation or default in any material respect of any
provision of any material agreement, instrument, or contract to which the
Company is a party or by which the Company is bound.

                  2.11     EMPLOYEE BENEFIT PLANS. Except as set forth in
Section 2.11 of the Company Disclosure Schedule, the Company does not maintain
or sponsor, nor is it required to make contributions to, any pension,
profit-sharing, bonus, incentive, welfare or other employee benefit plan within
the meaning of Section 3(3) of the Employee Retirement Income Security Act of
1974, as amended ("ERISA") (such plans and related trusts, insurance and annuity
contracts, funding media and related agreements and arrangements, being
hereinafter referred to as the "Benefit Plans").

                  2.12     LABOR RELATIONS. Except as set forth in Section 2.12
of the Company Disclosure Schedule, there are no labor strikes, stoppages or
lockouts between the Company and its employees and the Company is not a party to
any contract or agreement with any labor organization or collective bargaining
unit.

                  2.13     INSURANCE. The Company carries insurance covering its
properties and business adequate and customary for the type and scope of the
properties and business.

                  2.14     LITIGATION. Except or as set forth in Section 2.14 of
the Company Disclosure Schedule, there is no litigation, arbitration, claim or
other legal proceeding (collectively, "Actions") pending or, to the Company's
Knowledge, threatened against the Company, or any of its properties or assets
(tangible or intangible), except Actions which, individually or in the
aggregate, could not reasonably be expected to result in a Company Material
Adverse Effect.

                  2.15     PERMITS; COMPLIANCE WITH APPLICABLE LAW.

                           (a)      PERMITS. The Company has all permits,
licenses, approvals, franchises and authorizations (collectively, the "Permits")
required for the conduct of the business in which it is presently engaged,
except for such Permits which the failure to have, individually or in the
aggregate, would not have a Company Material Adverse Effect. All of the Permits
are in full force and effect, except where the failure to be in effect,
individually or in the aggregate, would not have a Company Material Adverse
Effect.

                           (b)      APPLICABLE LAW. Except as set forth in
Section 2.15(b) of the Company Disclosure Schedule, the Company is not in
violation of any Applicable Law applicable to it, except where the failure to be
in compliance, individually or in the aggregate, could not, individually or in
the aggregate, reasonably be expected to have a Company Material Adverse Effect.

                                       5

<PAGE>

                  2.16     INTELLECTUAL PROPERTY. As of the date hereof, the
Company does not have any issued patents or trademarks. Section 2.16 of the
Company Disclosure Schedule sets forth a list as of the date hereof of all the
Company's pending applications for patents, all of the Company's pending
applications for trademarks, tradenames and service marks, all registrations of
copyrights and all pending applications therefor, and all licenses and
agreements in respect thereof (collectively, the "Registered Intellectual
Property"). To the Company's Knowledge, all of the patents, trademarks,
tradenames, service marks, copyrights and licenses or other agreements listed in
Section 2.16 of the Company Disclosure Schedule are valid and in full force and
effect, except as otherwise noted in Section 2.16 of the Company Disclosure
Schedule. Except as set forth in Section 2.16 of the Company Disclosure Schedule
and except as could not, individually or in the aggregate, reasonably be
expected to have a Company Material Adverse Effect, (i) to the Company's
Knowledge, the rights of the Company to the Registered Intellectual Property and
to all other intellectual property used or held for use in the business of the
Company, except commercially available over-the-counter shrink-wrapped software,
(the "Other Intellectual Property") do not conflict with or infringe on the
rights of any Person and the Company has not received any written notice
alleging that the Company has violated or, by conducting its business as
proposed, would violate the intellectual property rights of such Person, and
(ii) to the Company's Knowledge, no other Person is infringing on the rights of
the Company to its Registered Intellectual Property or the Other Intellectual
Property.

                  2.17     CONSENTS. Except for such filings as are required to
be made by the Company and exemptions, rulings or orders as are required under
any federal, state or foreign securities laws (all of which will be made or
obtained on or prior to the Closing) and except as set forth in Section 2.17 of
the Company Disclosure Schedule, no consents, approvals or authorizations of, or
filings with, any Governmental Authority or any other Person are required on the
part of the Company in connection with the execution and delivery of this
Agreement by the Company and the consummation of the Transactions contemplated
hereby to be consummated by the Company, except where the failure to obtain such
consents, approvals, or authorizations, or make such filings, could not,
individually or in the aggregate, have a Company Material Adverse Effect. No
security of the Company is, as of the date hereof, (i) listed on any national
securities exchange, (ii) authorized for quotation on The Nasdaq Stock Market or
(iii) held of record by more than 2,000 stockholders.

                  2.18     FOREIGN PERSON. The Company is not a foreign person
within the meaning of Section 1445(f)(3) of the Code.

                  2.19     AUTHORITY. The Company has the requisite corporate
power and authority to execute and deliver this Agreement and to consummate the
Transactions. The execution, delivery and performance of this Agreement has been
duly and validly authorized by the Company's Board of Directors and no other
corporate action on the part of the Company is necessary to authorize this
Agreement or to consummate the transactions contemplated by this Agreement. This
Agreement has been duly and validly executed and delivered by the Company and,
assuming this Agreement constitutes the valid and binding agreement of
Purchaser, constitutes the valid and binding agreement of the Company,
enforceable against the Company in accordance with its terms, except that the
enforcement hereof may be limited (i) by bankruptcy, insolvency, reorganization,
moratorium or other similar laws now or hereafter in effect relating to
creditors' rights generally, (ii) by general principles of equity (regardless of
whether

                                       6
<PAGE>

enforceability is considered in a proceeding in equity or at law) and (iii) as
to rights to indemnity that are contrary to applicable securities laws.

                  2.20     BROKERS AND FINDERS. Other than First Security Van
Kasper, the Company has not entered into a written agreement with any investment
banker, broker, finder, advisor, consultant or intermediary in connection with
the Transactions which would be entitled to any investment banking, brokerage,
finders, advisory or similar fee or commission in connection with this Agreement
or the Transactions.

                  2.21     COMPENSATION. Except as set forth in Section 2.22 of
the Company Disclosure Schedule, the Company is not bound by any bonus plan,
incentive plan, stock option plan, stock purchase plan, severance plan or other
benefits plans or arrangements.

                  2.22     FULL DISCLOSURE. No representation or warranty by the
Company in this Agreement and no statement by the Company contained in any
exhibit, disclosure schedule, or certificate contemplated by this Agreement
contains or will contain any untrue statement of material fact or omits or will
omit to state any material fact necessary, in light of the circumstances under
which it was made, in order to make the statements herein or therein not
misleading.

                  2.23     INVESTMENT. Without limiting the effect of Article
VIII hereof:

                           (a)      The Company understands that Purchaser
proposes to issue and deliver to the Company the Leitch Shares pursuant to this
Agreement without registration under the Securities Act of 1933, as amended (the
"Securities Act") or under any other Applicable Law; that for such purpose
Purchaser will rely upon the Company's representations and warranties contained
herein; and that registration under the Securities Act may be required if such
representations and warranties are not correct.

                           (b)      The Company has received such information
relating to the business and affairs of Purchaser which could reasonably be
deemed necessary or appropriate by the Company, and all additional information
which is necessary to verify the accuracy of the information so received. The
Company has had the opportunity to ask questions of and receive answers from
Purchaser concerning the business and affairs of Purchaser and concerning terms
and conditions of the Transactions. On the basis of the foregoing, the Company
is familiar with the operations, business plans and financial condition of
Purchaser.

                           (c)      The Company understands that, under the
existing rules of the SEC, the Company may be unable to sell the Leitch Shares
issued to the Company pursuant to this Agreement, except to the extent that such
shares may be sold (i) pursuant to an effective registration statement covering
such sale pursuant to the Securities Act and applicable state securities laws or
an applicable exemption therefrom or (ii) in a bona fide private placement to a
purchaser who shall be subject to the same restrictions on any resale or (iii)
subject to the restrictions contained in Rule 144 under the Securities Act
("Rule 144") or (iv) outside the United States in compliance with the
requirements of Rule 904 of Regulation S under the Securities Act ("Rule 904").

                                       7
<PAGE>

                           (d)      The Company is not relying on Purchaser
respecting the financial, tax and other economic considerations of an investment
in the Leitch Shares issued to the Company pursuant to this Agreement, and the
Company has relied on the advice of, or has consulted with, its own advisors.

                           (e)      The Company is familiar with the provisions
of Rule 144 and Rule 904 and the limitations upon the availability and
applicability of such rules.

                           (f)      The Company is an "accredited investor"
within the meaning of Regulation D under the Securities Act and is a
sophisticated investor familiar with the type of risks inherent in the
acquisition of restricted securities such as the Leitch Shares issued to the
Company pursuant to this Agreement, and its financial position is such that it
can afford to retain such shares for an indefinite period of time without
realizing any direct or indirect cash return on its investment.

                           (g)      The Company has such knowledge and
experience in financial, tax and business matters so as to enable it to utilize
the information made available to it in connection with the issuance of the
Leitch Shares issued to the Company pursuant to this Agreement to evaluate the
merits and risks of an investment in such shares and to make an informed
investment decision with respect thereto.

                           (h)      The Company is acquiring the Leitch Shares
issued to the Company pursuant to this Agreement as an investment for its
account, and without any present view towards the resale or other distribution
thereof.

                           (i)      The Company has been independently advised
as to or is aware of the restrictions with respect to trading in the Leitch
Shares imposed by applicable securities legislation in the jurisdiction in which
it resides and confirms that no representation has been made respecting such
restrictions with respect to trading in the Leitch Shares.

                           (j)      The Company acknowledges that the Leitch
Shares are not qualified for distribution to the public in Canada. The Company
certifies that (a) the Company is not a Canadian resident nor acting for the
account or benefit of a Canadian resident; (b) the Leitch Shares were not
offered to the Company in Canada, and the Company was, at the time of agreeing
to sell the Path 1 Shares, and is outside Canada; and (c) for a period ending 40
days after the date of issuance of the Leitch Shares to the Company, the Company
will not resell the Leitch Shares to any Canadian resident or in Canada and,
thereafter, any resale by the Company to a Canadian resident or in Canada will
be made in accordance with applicable securities laws of the provinces and
territories of Canada.

                  2.24     LEGEND. Each certificate representing Leitch Shares
issued to the Company pursuant to this Agreement, shall contain upon its face or
upon the reverse side thereof a legend to the following effect:

                  "These securities have not been registered under the
                  Securities Act of 1933, as amended (the "Securities Act"), or
                  qualified for distribution to the public in Canada or
                  qualified under state securities laws and may not be sold,
                  pledged, or otherwise

                                       8
<PAGE>

                  transferred unless (a) covered by an effective registration
                  statement under the Securities Act, and qualified under
                  applicable state securities laws; (b) sold outside the United
                  States in accordance with Rule 904 of Regulation S under the
                  Securities Act; (c) pursuant to an exemption from registration
                  under the Securities Act provided by Rule 144 thereunder, if
                  available; or (d) in compliance with certain other procedures
                  satisfactory to Leitch Technology Corporation upon the
                  furnishing to Leitch Technology Corporation of an opinion from
                  counsel of recognized national standing in form and substance
                  satisfactory to Leitch Technology Corporation to the effect
                  that no registration or qualification is legally required for
                  such transfer. The holder hereof, by acquiring such
                  securities, agrees for the benefit of Leitch Technology
                  Corporation that for a period ending 40 days after the date of
                  the issuance of those securities by Leitch Technology
                  Corporation, the holder will not resell those securities to
                  any Canadian resident or in Canada. Delivery of this
                  certificate may not constitute "good delivery" in settlement
                  of transactions on the Toronto Stock Exchange. A new
                  certificate, bearing no legend, delivery of which will
                  constitute "good delivery", may be obtained from Leitch
                  Technology Corporation's Transfer Agent in connection with a
                  sale made pursuant to Rule 904 of Regulation S at a time
                  Leitch Technology Corporation is a "foreign private issuer" as
                  defined in Rule 405 under the Securities Act upon delivery of
                  this certificate after 40 days after the issuance of the
                  securities by Leitch Technology Corporation and a duly
                  executed declaration, in a form satisfactory to such Transfer
                  Agent and Leitch Technology Corporation, to the effect that
                  (A) the sale of the securities represented hereby is being
                  made in compliance with Rule 904 of Regulation S under the
                  Securities Act; and (B) certifying that (1) the buyer is not
                  an "Affiliate" (as defined in Rule 405 under the Securities
                  Act) of Leitch Technology Corporation; (2) the offer of such
                  securities was not made to a person in the United States and
                  either (x) at the time the buy order was originated, the buyer
                  was outside the United States, or Path 1 Network Technologies,
                  Inc. and any person acting on its behalf reasonably believe
                  that the buyer was outside the United States, or (y) the
                  transaction was executed on or through the facilities of the
                  Toronto Stock Exchange and neither Path 1 Network
                  Technologies, Inc. nor any person acting its behalf knows that
                  the transaction has been prearranged with a buyer in the
                  United States; (3) neither Path 1 Network Technologies, Inc.
                  nor any person acting on its behalf engaged in any directed
                  selling efforts in connection with the offer and sale of such
                  securities; (4) the sale is bona fide and not for the purpose
                  of "washing off" resale restrictions imposed because the
                  securities are "restricted securities"; and (5) the sale is
                  not a

                                       9
<PAGE>

                  transaction or part of a series of transactions which,
                  although in technical compliance with Regulation S, is part of
                  a plan or scheme to evade the registration requirements of the
                  Securities Act. Terms used herein have the meanings given to
                  them by Regulation S."

                                  ARTICLE III.
                   REPRESENTATIONS AND WARRANTIES OF PURCHASER

                  Purchaser represents and warrants to the Company that:

                  3.1      ORGANIZATION AND QUALIFICATION; PURCHASER
SUBSIDIARIES. Purchaser is validly existing, under the laws of the jurisdiction
of its organization, and has all requisite corporate power, authority and legal
right to own, operate and lease its assets and properties and to conduct the
businesses in which it is now engaged. Purchaser is duly qualified to transact
business as a foreign corporation in all jurisdictions wherein it is required to
be so qualified, except where the failure to be so qualified would not have a
Purchaser Material Adverse Effect. Copies of the Articles of Incorporation and
By-laws or other organizational documents of Purchaser have been heretofore made
available to the Company, which copies are complete and correct and include all
amendments, modifications or supplements thereto.

                  3.2      CONFLICTS. Neither the execution and delivery of this
Agreement by Purchaser, nor the consummation of the Transactions to be
consummated by Purchaser, (a) violates any provision of the Articles of
Incorporation or By-laws of Purchaser or (b) subject to receipt of regulatory
approvals and required filings under federal, state and provincial securities
laws and the Ontario Business Corporations Act, constitutes a violation of any
Applicable Law. Neither the execution and delivery of this Agreement by
Purchaser nor the consummation of the Transactions contemplated hereby to be
consummated by Purchaser, violates, conflicts with, results in any breach of any
of the terms of, or results in the termination of or the creation of any
material Lien pursuant to the terms of any material contract or other obligation
to which Purchaser is subject, except where such violation, conflict, breach,
termination or Lien would not have a Purchaser Material Adverse Effect.

                  3.3      CAPITALIZATION. The authorized capital stock of
Purchaser consists of: (i) an unlimited number of shares of Leitch Common
Shares, of which, as of the date hereof, 25,071,573 shares of Leitch Common
Shares were issued and outstanding and (ii) an unlimited number of preference
shares, of which, as of the date hereof, no preference shares were issued and
outstanding. All outstanding shares of capital stock of Purchaser are, and all
shares of Leitch Common Shares to be issued as part of the Purchase Price will
be, when so issued, duly authorized, validly issued, fully paid and
nonassessable and not subject to preemptive rights.

                  3.4      FINANCIAL STATEMENTS; UNDISCLOSED LIABILITIES.
Purchaser has made available to the Company its audited consolidated financial
statements dated April 30, 1999 and its unaudited consolidated financial
statements (including the related notes thereto) of Purchaser for the nine
months ended January 31, 2000 which have been prepared in conformity with GAAP
in Canada applied on a consistent basis during the periods involved (except as
otherwise noted therein), and presented fairly in all material respects the
consolidated financial position of Purchaser as of their respective dates, and
the consolidated results of their operations and cash

                                       10
<PAGE>

flows for the periods presented therein (subject, in the case of the unaudited
interim financial statements, to normal year-end adjustments).

                  3.5      ISSUANCE OF LEITCH SHARES. When issued, sold and
delivered in accordance with the terms of this Agreement for the consideration
expressed herein to the Company, the Leitch Shares shall be duly and validly
authorized, fully paid and non-assessable Leitch Common Shares free and clear of
any restrictions on transfer, other that the restrictions on transfer under this
Agreement, or applicable state, federal, provincial and foreign securities laws.
Prior to the date hereof, Purchaser has filed an application with The Nasdaq
Stock Market to list the Leitch Common Shares thereon.

                  3.6      CONSENTS. Except for (i) such filings as may be
required by the By-laws, rules, regulations or policies of The Toronto Stock
Exchange in respect of Leitch Common Shares to be issued as part of the Purchase
Price and the listing of such Leitch Common Shares on The Toronto Stock Exchange
and (ii) such filings as are required to be made and exemption rulings or orders
as are required under the Ontario Business Corporations Act and Canadian
securities laws, no consents, approvals or authorizations of, or filings with,
any Governmental Authority or any other person or entity are required in
connection with the execution and delivery of this Agreement by Purchaser and
the consummation of the Transactions contemplated hereby to be consummated by
Purchaser, except where the failure to obtain such consents, approvals, or
authorizations, or make such filings, would not have a Purchaser Material
Adverse Effect.

                  3.7      AUTHORITY. Purchaser has the requisite corporate
power and authority to execute and deliver this Agreement and to consummate the
Transactions. The execution, delivery and performance of this Agreement and the
consummation by Purchaser of the Transactions have been duly and validly
authorized by the Board of Directors of Purchaser, and no other corporate action
on the part of Purchaser is necessary to authorize this Agreement or to
consummate the Transactions. This Agreement has been duly and validly executed
and delivered by Purchaser and, assuming this Agreement constitutes the valid
and binding agreement of the Company, constitutes the valid and binding
agreement of Purchaser, enforceable against it in accordance with its terms,
except that the enforcement hereof may be limited (i) by bankruptcy, insolvency,
reorganization, moratorium or other similar laws now or hereafter in effect
relating to creditors' rights generally, (ii) by general principles of equity
(regardless of whether enforceability is considered in a proceeding in equity or
at law) and (iii) as to rights to indemnity under securities laws, by Applicable
Laws.

                  3.8      REPORTS. Purchaser is a reporting issuer under the
Securities Act (Ontario) (the "Ontario Securities Act"), is not on the list of
defaulting reporting issuers maintained under the Ontario Securities Act, and
has made available to the Company a true and complete copy of each quarterly,
annual or other form, report, filing or document filed by Purchaser with the
Governmental Authorities under the Ontario Securities Act, or under the rules,
policies, listing agreements or other requirements of The Toronto Stock Exchange
("Exchange Filing Requirements"), since July 9, 1999 which are all the forms,
reports, filing or documents (other than preliminary material) that Purchaser
was required to file with the Governmental Authorities under the Ontario
Securities Act, or pursuant to Exchange Filing Requirements, since July 9,

                                       11
<PAGE>

1999. All of such forms, reports, filing or documents filed prior to the date of
this Agreement are hereinafter referred to as the "Purchaser Disclosure
Documents."

                           (b)      As of their respective filing dates, the
Purchaser Disclosure Documents complied in all material respects with the
requirements of the Ontario Securities Act, the rules and regulations of
Governmental Authorities under the Ontario Securities Act, other Applicable Law,
and the Exchange Filing Requirements. As of their filing dates or effective
dates (whichever is later), none of the Purchaser Disclosure Documents contained
any untrue statement of a material fact or omitted to state a material fact
required to be stated therein or necessary to make the statements therein, in
light of the circumstances under which they were made, not misleading.

                  3.9      FULL DISCLOSURE. No representation or warranty by
Purchaser in this Agreement and no statement by Purchaser contained in any
exhibit, disclosure schedule, or certificate contemplated by this Agreement
contains or will contain any untrue statement of material fact or omits or will
omit to state any material fact necessary, in light of the circumstances under
which it was made, in order to make the statements herein or therein not
misleading.

                  3.10     INVESTMENT. Without limiting the effect of Article
VIII hereof:

                           (a)      Purchaser understands that the Company
proposes to issue and deliver to Purchaser Path 1 Shares pursuant to this
Agreement without registration under the Securities Act; that for such purpose
the Company will rely upon Purchaser's representations and warranties contained
herein; and that registration under the Securities Act may be required if such
representations and warranties are not correct.

                           (b)      Purchaser has received such information
relating to the business and affairs of the Company which Purchaser has
requested, and all additional information which Purchaser has considered
necessary to verify the accuracy of the information so received. Purchaser has
had the opportunity to ask questions of and receive answers from the Company
concerning the business and affairs of the Company and concerning terms and
conditions of the Transactions. On the basis of the foregoing, Purchaser is
familiar with the operations, business plans and financial condition of the
Company.

                           (c)      Purchaser understands that, under the
existing rules of the SEC, Purchaser may be unable to sell the Path 1 Shares
issued to Purchaser pursuant to this Agreement, except to the extent that such
shares may be sold (i) pursuant to an effective registration statement covering
such sale pursuant to the Securities Act and applicable state securities laws or
an applicable exemption therefrom, (ii) in a bona fide private placement to a
purchaser who shall be subject to the same restrictions on any resale or (iii)
subject to the restrictions contained in Rule 144.

                           (d)      Purchaser is not relying on the Company
respecting the financial, tax and other economic considerations of an investment
in the Path 1 Shares issued to Purchaser pursuant to this Agreement, and
Purchaser has relied on the advice of, or has consulted with, its own advisors.

                                       12
<PAGE>

                           (e)      Purchaser is familiar with the provisions of
Rule 144 and the limitations upon the availability and applicability of such
rules.

                           (f)      Purchaser is an "accredited investor" within
the meaning of Regulation D under the Securities Act and is a sophisticated
investor familiar with the type of risks inherent in the acquisition of
restricted securities such as the Path 1 Shares issued to Purchaser pursuant to
this Agreement, and its financial position is such that it can afford to retain
such shares for an indefinite period of time without realizing any direct or
indirect cash return on its investment.

                           (g)      Purchaser has such knowledge and experience
in financial, tax and business matters so as to enable it to utilize the
information made available to it in connection with the issuance of the Path 1
Shares issued to Purchaser pursuant to this Agreement to evaluate the merits and
risks of an investment in such shares and to make an informed investment
decision with respect thereto.

                           (h)      Purchaser is acquiring the Path 1 Shares
issued to Purchaser pursuant to this Agreement as an investment for its account,
and without any present view towards the resale or other distribution thereof.

                           (i)      Purchaser has been independently advised as
to or is aware of the restrictions with respect to trading in the Path 1 Shares
imposed by applicable securities legislation in the jurisdiction in which it
resides and confirms that no representation has been made respecting such
restrictions with respect to trading in the Path 1 Shares.

                  3.11     LEGEND. Each certificate representing Path 1 Shares
issued to Purchaser pursuant to this Agreement, shall contain upon its face or
upon the reverse side thereof a legend as required by the Stockholders'
Agreement.

                  3.12     BROKERS AND FINDERS. Other than Yorkton Securities
Inc., Purchaser has not employed any investment banker, broker, finder, advisor,
consultant or intermediary in connection with the Transactions which would be
entitled to any investment banking, brokerage, finder's, advisory or similar fee
or commission in connection with this Agreement or the Transactions and the
Company does not, nor will it, have any obligation to pay Yorkton Securities
Inc. any fee or commission in connection with this Agreement or the consummation
of the Transactions.

                  3.13     LEITCH SHARES. Assuming (i) the accuracy of the
Company's representations and warranties as set forth in Section 2.23 hereof,
(ii) the Company's compliance with the requirements contained in the legend as
set forth in Section 2.24 hereof and (iii) that the Company does not hold, alone
or in combination with others, more than 20% of the outstanding voting
securities of Purchaser and does not otherwise hold a sufficient number of any
securities of Purchaser which would affect materially the control of Purchaser,
then the Leitch Shares will be freely tradeable through an appropriately
registered dealer in Canada.

                                       13
<PAGE>

                                   ARTICLE IV.
                       ADDITIONAL COVENANTS AND AGREEMENTS

                  4.1      INTERIM OPERATIONS OF THE COMPANY. Except with
respect to (i) the investment in the Company of up to $5 million by certain
investors currently contemplated by the Company, (ii) all contracts, options,
bonuses, stock purchase agreements or other compensation and other
arrangements made with respect to Michael T. Elliott and Richard Slansky and
(iii) bonuses not to exceed $50,000 and option grants not to exceed 50,000
shares of capital stock of the Company made to certain employees or
consultants, other than Michael T. Elliott and Richard Slansky, and except as
set forth in Section 4.1 of the Company Disclosure Schedule, during the
period from the date of this Agreement to the date of Closing or termination
of this Agreement pursuant to Article VII hereof (unless Purchaser shall
otherwise agree in writing and except as otherwise contemplated by this
Agreement), the Company shall conduct its operations according to its
ordinary and usual course of business in substantially the same manner as
heretofore conducted and use its reasonable best efforts to preserve intact
its current business organization, keep available the services of its current
officers and subject to the prudent management of workforce needs, its
employees and preserve its relationships with customers, suppliers and others
having business dealings with it. Without limiting the generality of the
foregoing, and except as otherwise contemplated by this Agreement or as set
forth in Section 4.1 of the Company Disclosure Schedule, the Company shall
not without the prior written consent of Purchaser:

                           (i)      directly or indirectly, amend its
Certificate of Incorporation or By-laws or similar organizational documents;

                           (ii)     (A) declare, set aside or pay any dividend
or other distribution payable in cash, stock or property with respect to the
Company's capital stock, (B) redeem, purchase or otherwise acquire directly or
indirectly any shares of any class or series of the Company's capital stock or
any instrument or security which consists of or includes a right to acquire such
shares; (C) issue, sell, transfer, pledge, dispose of or encumber any shares of
any class or series of the Company's capital stock or voting debt, or securities
convertible into or exchangeable for, or options, warrants, calls, commitments
or rights of any kind to acquire, any shares of any class or series of the
Company's capital stock or voting debt, other than (x) shares of Path 1 Class A
Common Stock and/or Path 1 Class B Common Stock issued upon the exercise of
options or other rights outstanding on the date hereof and (y) the issuance of
options to employees or consultants to the Company in the ordinary course of
business; or (D) split, combine or reclassify the outstanding capital stock of
the Company;

                           (iii)    acquire or agree to acquire by merging or
consolidating with, or by purchasing an equity interest in a substantial portion
of the assets of, or by any other manner, any business or any Person or other
business organization or division thereof;

                           (iv)     alter (through merger, liquidation,
reorganization, restructuring or in any other fashion), the corporate structure
or ownership of the Company;

                           (v)      make any new capital expenditures outside
the ordinary course of business;

                                       14

<PAGE>

                           (vi)     amend or terminate any material contract or
enter into any agreement which would constitute a material contract, except, in
any case, in the ordinary course of business consistent with past practice;
PROVIDED that any such amendment or termination does not have a Company Material
Adverse Effect, or waive, release or assign any material rights or claims;

                           (vii)    transfer, lease, license, sell or dispose of
any of their respective assets other than dispositions in the ordinary course of
business and consistent with past practice; PROVIDED that the fair market value
of assets sold does not exceed $100,000 in any single transaction or $500,000 in
the aggregate;

                           (viii)   mortgage, pledge or encumber any of their
respective assets, except, in any case, in the ordinary course of business
consistent with past practice; PROVIDED that any such actions would not have a
Company Material Adverse Effect.

                           (ix)     except the employment agreement to be
entered into between the Company and Michael T. Elliott, enter into any
employment or severance agreement with or grant any severance or termination pay
to any officer or director of the Company;

                           (x)      except in the ordinary and usual course of
business, as required to comply with Applicable Law or expressly provided in
this Agreement, (A) adopt, enter into, amend or increase the amount or
accelerate the payment or vesting of any benefit or award or amount payable
under, any Benefit Plan or other contract, agreement, commitment, arrangement,
plan, trust, fund or policy maintained by, contributed to or entered into by the
Company for the current or future benefit or welfare of any director, officer or
current or former employee, except to the extent necessary to coordinate any
such Benefit Plans with the terms of this Agreement, (B) increase in any manner
the compensation or fringe benefits of, or pay any bonus to, any director,
officer or employee or consultant of the Company (other than normal recurring
increases in wages to employees who are not officers or directors or Affiliates
in the ordinary course of business consistent with past practice), (C) pay any
benefit not provided for under any Benefit Plan, (D) grant any awards under any
bonus, incentive, performance or other compensation plan or arrangement or
Benefit Plan (including the grant of stock options, stock appreciation rights,
stock based or stock related awards, performance units or restricted stock, or
the removal of existing restrictions in any Benefit Plans or agreements or
awards made thereunder, except, in the case of stock grants or option grants to
employees of or consultants to the Company made in the ordinary course of
business) or (E) take any action to fund or in any other way secure the payment
of compensation or benefits under any employee plan, agreement, contract or
arrangement or Benefit Plan;

                           (xi)     (A) incur or assume any long term
indebtedness, or except in the ordinary course of business, incur or assume any
short term indebtedness in amounts inconsistent with past practice (provided,
that such short-term indebtedness outstanding does not exceed $25,000 at any
given time), (B) modify the terms of any indebtedness or other liability, except
as set forth in Section 4.1 of the Company Disclosure Schedule, (C) assume,
guarantee, endorse or otherwise become liable or responsible (whether directly,
contingently or otherwise) for the obligations of any other person (except for
checks endorsed for collection in the ordinary course of business) or (D) make
any loans, advances or capital contributions to, or investments

                                       15
<PAGE>

in, any other Person other than (x) travel and other expense advances to
employees in the ordinary course of business and (y) investments in publicly
traded securities constituting less than 1.0% of the outstanding equity of the
issuing entity);

                           (xii)    change any of the accounting methods used by
it unless required by GAAP;

                           (xiii)   make any material election relating to
Taxes, change any material election relating to Taxes already made, adopt any
material accounting method relating to Taxes, change any material accounting
method relating to Taxes unless required by GAAP, enter into any closing
agreement relating to Taxes, settle any claim or assessment relating to Taxes or
consent to any claim or assessment relating to Taxes or any waiver of the
statute of limitations for any such claim or assessment;

                           (xiv)    pay, settle, release, discharge or satisfy
any claims, liabilities or obligations (absolute, accrued, asserted or
unasserted, contingent or otherwise, including without limitation, the
Litigation), other than the payment or satisfaction of any such claims,
liabilities or obligations, in the ordinary course of business and consistent
with past practice, and of claims, liabilities or obligations reflected or
reserved against in, or contemplated by, the consolidated financial statements
(or the notes thereto) of the Company;

                           (xv)     amend in any material respect, renew,
terminate or cause to be extended any material lease, agreement or arrangement
relating to any of its leased properties or enter into any material lease,
agreement or arrangement with respect to any real property;

                           (xvi)    permit any insurance policy having the
Company as a beneficiary or a loss payable payee to be cancelled or terminated
unless comparable replacement coverage is obtained; and

                           (xvii)   take, or agree or commit to take, any action
that would or is reasonably likely to result in any of the conditions to the
consummation of the Transactions set forth in Article VI hereof not being
satisfied, or would make any representation or warranty of the Company contained
herein inaccurate in any respect at, or as of any time prior to, the Closing, or
that would materially impair the ability of the Company or Purchaser to
consummate the Transactions in accordance with the terms hereof or delay such
consummation.

                  4.2      ALTERNATIVE PROPOSALS.

                           (a)      Neither the Company nor any Affiliate shall
(and the Company shall use its reasonable best efforts to cause the officers,
directors, employees, representatives and agents of the Company, and each of its
Affiliates, including, but not limited to, investment bankers, attorneys and
accountants, not to), directly or indirectly, solicit, participate in,
encourage, or initiate discussions or negotiations with, or provide any
information to, any Person (other than Purchaser, any of its Affiliates or
representatives) concerning or which would reasonably facilitate or be expected
to lead to any Takeover Proposal, except that nothing contained in this Section
4.2 or any other provision hereof shall prohibit the Company or the Company's
Board of Directors from making such disclosure to the Company's stockholders as,
in the good faith judgment of the Company's Board of Directors, after receiving
advice from

                                       16
<PAGE>

outside counsel, is required under Applicable Law, provided that the Company may
not, approve or recommend, or propose to approve or recommend, any Takeover
Proposal, or enter into any letter of interest, agreement or other arrangement
with respect to any Takeover Proposal. Upon execution of this Agreement, the
Company will immediately cease any existing activities, discussions or
negotiations with any Persons conducted heretofore with respect to any of the
foregoing. Notwithstanding the foregoing, prior to the Closing, the Company may
furnish information concerning its business, properties or assets to any Person
or group and may negotiate and participate in discussions and negotiations with
such Person or group concerning a Takeover Proposal if: the Company's Board of
Directors determines in good faith, after consultation with outside legal
counsel that such action is necessary for it to comply with its fiduciary duty
under Applicable Law.

                  The Company will promptly notify Purchaser of the existence of
any proposal, discussion, negotiation or inquiry received by the Company
regarding any Takeover Proposal, and the Company will promptly communicate to
Purchaser the terms of any proposal, discussion, negotiation or inquiry which it
may receive (and will promptly provide to Purchaser copies of any written
materials received by the Company in connection with such proposal, discussion,
negotiation or inquiry) regarding any Takeover Proposal and the identity of the
party making such proposal or inquiry or engaging in such discussion or
negotiation. The Company will promptly provide to Purchaser any non-public
information concerning the Company provided to any other Person which was not
previously provided to Purchaser. The Company will keep Purchaser informed of
the status and details of any such Takeover Proposal and of any amendments or
proposed amendments to any Takeover Proposal and will promptly (but in no case
later than 24 hours) notify Purchaser of any determination by the Company's
Board of Directors that it is considering accepting a Takeover Proposal.

                  4.3      REASONABLE BEST EFFORTS.

                           (i)      Prior to the Closing, upon the terms and
subject to the conditions of this Agreement, Purchaser and the Company agree to
use their respective reasonable best efforts (x) to take, or cause to be taken,
all actions, and (y) to do, or cause to be done, all things necessary, proper or
advisable (subject to any Applicable Law) to consummate the Transactions as
promptly as practicable including, but not limited to (i) the preparation and
filing of all forms, registrations and notices required to be filed to
consummate the Transactions and the taking of such actions as are necessary to
obtain any requisite approvals, consents, orders, exemptions or waivers by any
third party or Governmental Entity and (ii) the satisfaction of the other
parties' conditions to effect the Transactions. In addition, no party hereto
shall take any action after the date hereof that would reasonably be expected to
delay the obtaining of, or result in not obtaining, any permission, approval or
consent from any Governmental Entity necessary to be obtained prior to the
Closing.

                           (b)      Prior to the Closing, subject to Applicable
Law, each party shall promptly consult with the other parties hereto with
respect to, provide any necessary information with respect to, and provide the
other parties (or their respective counsel) with copies of, all filings made by
such party with any Governmental Entity or any other information supplied by
such party to a Governmental Entity in connection with this Agreement, and the
Transactions. Each party hereto shall promptly inform the other parties of any
communication from any

                                       17
<PAGE>

Governmental Entity regarding any of the Transactions. If any party hereto or
Affiliate thereof receives a request for additional information or documentary
material from any such Governmental Entity with respect to any of the
Transactions, then such party shall endeavor in good faith to make, or cause to
be made, as soon as reasonably practicable and after consultation with the other
parties, an appropriate response in compliance with such request.

                           (c)      Notwithstanding the foregoing, nothing
contained in this Agreement shall be deemed to require the Company or Purchaser
to commence any litigation against any Person in order to facilitate the
consummation of any of the Transactions or, except for the Company, to defend
against any litigation brought by any Governmental Entity seeking to prevent the
consummation of any of the Transactions.

                  4.4      PURCHASER ACCESS TO INFORMATION. Upon reasonable
notice, the Company shall, afford to the officers, employees, accountants,
counsel, financing sources and other representatives of Purchaser, access,
during normal business hours during the period prior to the Closing, to all its
properties, books, contracts, commitments, records and employees and, during
such period, the Company shall (and shall cause its employees to), (1) furnish
promptly to Purchaser (a) a copy of each report, schedule, registration
statement and other document filed or received by it during such period pursuant
to the requirements of the federal securities laws and (b) all other information
concerning its business, properties and personnel as Purchaser may reasonably
request. Until the Closing, unless otherwise required by Applicable Law or in
order to comply with disclosure requirements applicable to any filings or
communications with Governmental Entities and stock exchanges, Purchaser will
hold any such information which is nonpublic in confidence.

                  4.5      PUBLICITY. The initial press release with respect to
the execution of this Agreement shall be a joint press release acceptable to
Purchaser and the Company. Thereafter, until the Closing or the date the
Transactions are terminated or abandoned, neither the Company, Purchaser nor any
of their respective Affiliates shall issue or cause the publication of any press
release or other announcement with respect to this Agreement or the other
Transactions without prior consultation with the other parties, except in order
to comply with fiduciary obligations or as may be required by Applicable law,
the rules and regulations of any national or other securities exchange or
over-the-counter market or by any listing agreement with a national or other
securities exchange or over-the-counter market.

                  4.6      NOTIFICATION OF CERTAIN MATTERS.The Company shall
give prompt notice to Purchaser of (i) the occurrence or non-occurrence of any
event known to the Company which would cause any representation or warranty of
the Company contained in this Agreement to be untrue or inaccurate in any
material respect at or prior to the Closing and (ii) any material failure of the
Company to comply with or satisfy any covenant, condition or agreement to be
complied with or satisfied by such Person hereunder; PROVIDED, HOWEVER, that the
delivery of any notice pursuant to this Section 4.6 shall not limit or otherwise
affect the remedies available hereunder to the party receiving such notice.

                           (b)      Purchaser shall give prompt notice to the
Company of (i) the occurrence or non-occurrence of any event known to Purchaser
which would cause any representation or warranty of Purchaser contained in this
Agreement to be untrue or inaccurate in

                                       18
<PAGE>

any material respect at or prior to the Closing and (ii) any material failure of
Purchaser to comply with or satisfy any covenant, condition or agreement to be
complied with or satisfied by it hereunder; PROVIDED, HOWEVER, that the delivery
of any notice pursuant to this Section 4.6 shall not limit or otherwise affect
the remedies available hereunder to the party receiving such notice.

                  4.7      STOCK EXCHANGE LISTINGS AND FORM 10. Purchaser shall
use its reasonable best efforts to promptly cause the Leitch Shares to be issued
pursuant to this Agreement to be approved for listing on The Toronto Stock
Exchange, subject to official notice of issuance, prior to the Closing, and, if
such listing shall not have occurred prior to the Closing, Purchaser shall use
its reasonable best efforts to cause such shares to be listed on The Toronto
Stock Exchange within 90 days after the Closing.

                           (b)      Purchaser shall use its reasonable best
efforts to cause the Leitch Shares to be issued pursuant to this Agreement to be
approved for listing on The Nasdaq Stock Market as soon as reasonably
practicable after the Closing.

                           (c)      The Company shall use its reasonable best
efforts to cause the Form 10 to be declared effective by the SEC as soon as
reasonably practicable after the Closing.

                  4.8      COMPANY DISCLOSURE SCHEDULE. The Company shall
deliver to Purchaser the Company Disclosure Schedule no later than 5:00 P.M.
(San Diego time) on April 14, 2000. Purchaser shall notify the Company of (a)
its acceptance of the Company Disclosure Schedule or (b) its rejection of the
Company Disclosure Schedule, in any case, within three (3) Business Days after
receipt thereof, provided, however, that Purchaser may reject the Company
Disclosure Schedule only in accordance with Section 6.2(viii) hereof.

                  4.9      REGISTRATION RIGHTS. In the event that the Leitch
Shares are not freely tradeable after 40 days after the date of issuance of the
Leitch Shares to the Company and the Company has used its best efforts to ensure
that the assumptions described above in Section 2.23 at the time of resale are
correct and the Company has used its best efforts to comply with the
requirements as set out in the legend in section 2.24, the Company, upon written
notice to Purchaser, may require Purchaser to use its reasonable best efforts to
qualify all, but not less than all, of the Leitch Shares for distribution in
Ontario (the "Distribution"), subject to the following terms and conditions:

                           (a)      Purchaser will so qualify the Leitch Shares
for Distribution by way of a secondary offering only, or if Purchaser shall
determine in its sole discretion, by way of a primary offering and secondary
offering.

                           (b)      The Company agrees that it will comply with
all regulatory requirements in connection with the Distribution and agrees to
furnish to Purchaser and any underwriters all necessary, normal and customary
documents and information required in connection with the Distribution.

                           (c)      The rights of the Company to qualification
pursuant to this Section shall be conditioned upon the Company's participation
in any underwriting relating to the Distribution. The Company shall (together
with Purchaser) enter into an underwriting agreement in normal and customary
form with the underwriter or underwriters selected by Purchaser.

                                       19
<PAGE>

Notwithstanding any provision of this Section, if the underwriter, in its sole
discretion, determines that marketing factors require a limitation of the number
of securities to be underwritten, the underwriter may exclude some or all of the
Leitch Shares for which the Company seeks qualification from inclusion in the
Distribution. The Company may not request Purchaser qualify some or all of the
Leitch Shares excluded from the Distribution under this Section 4.9(c) more than
once in any 12 month period.

                           (d)      If Purchaser shall furnish to the Company, a
certificate signed by the Chief Executive Officer of Purchaser stating that, in
the good faith judgement of the board of directors of Purchaser, it would be
seriously detrimental to Purchaser and its shareholders for the Leitch Shares to
be qualified for Distribution and it its therefore in the best interests of
Purchaser to defer the qualification of the Leitch Shares, then Purchaser may
delay the qualification of the Leitch Shares, once but not more than once, for a
period not in excess of one hundred twenty (120) days.

                           (e)      Purchaser shall have no obligation under
this Section 4.9 to qualify for distribution any Leitch Shares if Purchaser
shall deliver to the Company an opinion of its Canadian counsel to the effect
that the proposed sale or disposition for which qualification was requested does
not require qualification under applicable Ontario laws.

                           (f)      The costs and expenses (other than
underwriting discounts or commissions and fees and disbursements of counsel of
the Company) relating to the Distribution, and of all other actions that
Purchaser is required to take or effect pursuant to this Section 4.9, shall be
paid by Purchaser.

                                   ARTICLE V.
                                    CLOSING

                  5.1      TIME AND PLACE OF CLOSING. The closing of the
purchase and sale of the Path 1 Shares as set forth herein (the "Closing") shall
be held at the offices of Brobeck, Phleger & Harrison LLP, 12390 El Camino Real,
San Diego, California, 92130 at 10:00 A.M., local time, on the date specified in
writing by Purchaser to the Company on which all conditions precedent set forth
in Article VI have been satisfied, or at such other time and place as agreed to
in writing by Purchaser and the Company.

                  5.2      CLOSING DELIVERIES. On or prior to the Closing,

                           (a)      Purchaser shall have delivered, or cause to
be delivered to the Company, the following:

                                    (i)      the cash portion of the Purchase
Price, by wire transfer in immediately available funds to an account designated
by the Company;

                                    (ii)     a certificate representing the
Leitch Shares registered in the name of the Company;

                                       20
<PAGE>

                                    (iii)    a certificate of an officer of
Purchaser, in form and substance reasonably satisfactory to the Company and its
counsel, to evidence compliance with Section 6.3(i);

                                    (iv)     resolutions of the Board of
Directors of Purchaser and complete and correct copies of Purchaser's
certificate of incorporation and by-laws, or other charter documents, as
applicable, including all amendments, modifications or supplements thereto, to
evidence compliance with Section 6.3(ii), together with a certificate of an
officer of Purchaser; and

                                    (v)      the Stockholders' Agreement duly
executed by Purchaser on or before the Closing; and

                                    (vi)     such other documents as the Company
may reasonably request for the purpose of facilitating the consummation of the
Transactions.

                           (b)      the Company shall have delivered, or cause
to be delivered to Purchaser, the following:

                                    (i)      a certificate representing the Path
1 Shares registered in the name of Purchaser;

                                    (ii)     a certificate of an officer of the
Company, in form and substance reasonably satisfactory to Purchaser and its
counsel, to evidence compliance with Section 6.2(i);

                                    (iii)    the License Agreement duly executed
by the Company on or before the Closing;

                                    (iv)     resolutions of the Company's Board
of Directors and complete and correct copies of the Company's certificate of
incorporation and by-laws, including all amendments, modifications or
supplements thereto, to evidence compliance with Section 6.2(iii), together with
a certificate of an officer of the Company; and

                                    (v)      the Stockholders' Agreement duly
executed by the Company on or before the Closing;

                                    (vi)     the Company Disclosure Schedule in
form and substance reasonably satisfactory to Purchaser; and

                                    (vii)    such other documents as Purchaser
may reasonably request for the purpose of facilitating the consummation of the
Transactions.

                  5.3      DELIVERY OF PATH 1 SHARES. Delivery of the Path 1
Shares shall be made by the Company to Purchaser at the Closing by delivering
one or more certificates in negotiable form representing the Path 1 Shares, each
such certificate to be accompanied by any requisite documentary or stock
transfer taxes.

                                       21
<PAGE>

                  5.4      TAX MATTERS. All transfer, documentary, sales, use,
stamp, registration, value added and other such taxes and fees (including any
penalties and interest) incurred in connection with this Agreement shall be
borne and paid by the Company when due, and the Company will, at its own
expense, file all necessary tax returns and other documentation with respect to
all such taxes and fees, and, if required by applicable law, Purchaser will join
in the execution of any such tax returns and other documentation.

                                   ARTICLE VI.
            CONDITIONS TO THE PURCHASE AND SALE OF THE PATH 1 SHARES

                  6.1      CONDITIONS TO EACH PARTY'S OBLIGATIONS TO CLOSE. The
respective obligations of each party to consummate the Transactions are subject
to the satisfaction at or prior to the Closing of each of the following
conditions, any and all of which may be waived in whole or in part by the
Company or Purchaser, as the case may be, to the extent permitted by Applicable
Law:

                                    (i)      all regulatory approvals
required to consummate the Transactions shall have been obtained and are in
full force and effect; and

                                    (ii)     there shall not be in effect any
Applicable Law, executive order, decree, ruling or injunction or other order
of any Governmental Entity directing that the Transactions contemplated
herein not be consummated.

                  6.2      CONDITIONS TO THE OBLIGATIONS OF PURCHASER. The
obligations of Purchaser to consummate the Transactions are subject to the
satisfaction (or waiver by Purchaser in its sole discretion) of the following
further conditions:

                                    (i)      the Company shall have performed
in all material respects all of their obligations hereunder required to be
performed by it at or prior to the Effective Time, the representations and
warranties of the Company contained in this Agreement shall be true in all
material respects at and as of the Closing as if made at and as of such time,
and Purchaser shall have received a certificate signed by an executive
officer of the Company to the foregoing effect;

                                    (ii)     Purchaser shall have consummated
the transactions contemplated by the Berns Agreement;

                                    (iii)    Purchaser shall have received a
copy of the resolutions of the Company's Board of Directors authorizing the
Transactions, the Stockholders' Agreement (including the election of
Purchaser's nominees to the Company's Board of Directors and the amendment of
the Company's By-laws as required thereby) and the Licensing Agreement, and
complete and correct copies of the Company's certificate of incorporation and
by-laws, including all amendments, modifications or supplements thereto
(including the amendments to the By-laws contemplated by the Stockholders'
Agreement) which copies shall be certified by an executive officer of the
Company;

                                    (iv)     All litigation claims or
disputes set forth in, related to or arising out of the complaint filed by
the Company against James Berns and Rona Berns and other

                                       22
<PAGE>

defendants in San Diego County Superior Court on September 20, 1999 (Case No.
GIC 735665) including any cross-complaints filed by James Berns and Rona Berns
or others against the Company and the proceedings commenced by any of the
defendants in the Delaware Chancery Court on November 9, 1999, shall have been
settled or otherwise resolved and dismissed with prejudice in a manner and on
terms satisfactory to Purchaser in its sole discretion;

                                    (v)      the Company shall have entered
into the License Agreement on or before the Closing;

                                    (vi)     the Company shall have entered
into the Stockholders' Agreement (and shall have amended the By-laws in the
form attached as an exhibit thereto concurrently with the Closing) on or
before the Closing;

                                    (vii)    on or prior to the Closing,
Purchasers' two designees to be appointed to the Company's Board of Directors
in accordance with the provisions of the Stockholders' Agreement shall have
been so appointed;

                                    (viii)   Purchaser shall have received
the Company Disclosure Schedule in accordance with Section 4.8 hereof, in
which event such Company Disclosure Schedule shall be deemed accepted by
Purchaser and this condition to Closing shall be deemed satisfied; provided,
however, that the Company Disclosure Schedule shall not be deemed accepted
and this condition to Closing shall not be deemed satisfied to the extent it
contains, and only with respect to, disclosures (x) regarding the Company's
Registered Intellectual Property which would, individually or in the
aggregate, reasonably be expected to have a Company Material Adverse Effect
or (y) which would materially limit Purchaser from enjoying the benefits of
the License Agreement; and

                                    (ix)     Purchaser shall have completed
to its satisfaction its financial and legal due diligence of the Company.

                  6.3      CONDITIONS TO THE OBLIGATIONS OF THE COMPANY. The
obligations of the Company to consummate the Transactions are subject to the
satisfaction (or waiver by the Company in its sole discretion) of the following
further conditions:

                           (i)      Purchaser shall have performed in all
material respects all of its obligations hereunder required to be performed by
it at or prior to the Closing, the representations and warranties of Purchaser
contained in this Agreement shall be true in all material respects at and as of
the Closing as if made at and as of such time, and the Company shall have
received a certificate signed by an executive officer of Purchaser to the
foregoing effect;

                           (ii)     the Company shall have received a copy of
the resolutions of the Board of Directors of Purchaser authorizing the
Transactions, and complete and correct copies of Purchaser's certificate of
incorporation and by-laws, or other charter documents, as applicable, including
all amendments, modifications or supplements thereto which copies shall be
certified by an executive officer of Purchaser;

                                       23

<PAGE>

                           (iii)    Purchaser shall have entered into the
Stockholders' Agreement and the License Agreement, on or before the Closing; and

                           (iv)     all litigation claims or disputes set
forth in, related to or arising out of the complaint filed by the Company
against James Berns and Rona Berns in San Diego County Superior Court on
September 20, 1999 (Case No. GIC 735665) including any cross-complaints filed
by James Berns and Rona Berns against the Company and the proceedings
commenced by any of the defendants in the Delaware Chancery Court on November
9, 1999, shall have been settled or otherwise resolved and dismissed with
prejudice in a manner and on terms satisfactory to the Company.

                                  ARTICLE VII.
                                   TERMINATION

                  7.1      TERMINATION. This Agreement may be terminated and
the Transactions contemplated hereby may be abandoned at any time prior to
the Closing:

                           (i)      by mutual written consent of Purchaser
and the Company;

                           (ii)     by either the Company or Purchaser, if
the Closing has not occurred by June 30, 2000 (provided that the right to
terminate this Agreement under this clause shall not be available to any
party whose failure to fulfill any of its obligations under this Agreement
has been the cause of or resulted in the failure to consummate the
Transactions by such date);

                           (iii)    by either the Company or Purchaser, if
there shall be any Applicable Law that makes consummation of the Transactions
illegal or otherwise prohibited or if any judgment, injunction, order or
decree of a court of competent jurisdiction shall restrain or prohibit the
consummation of the Transactions, and such judgment, injunction, order or
decree shall become final and nonappealable;

                           (iv)     by either the Company or Purchaser, if
there has been a breach by the other party of any representation or warranty
contained in this Agreement which would have or would be reasonably likely to
have a Purchaser Material Adverse Effect or Company Material Adverse Effect,
as the case may be; or

                           (v)      by Purchaser if:

                                    (A)      there shall have been a material
breach of any provision of Section 4.2;

                                    (B)      any Person or "group" (within
the meaning of Section 13(d)(3) of the Exchange Act), other than Purchaser,
or its Affiliates or any group of which any of them is a member, shall have
acquired or announced its intention to acquire beneficial ownership (as
determined pursuant to Rule 13d-3 promulgated under the Exchange Act) of 25%
or more of the shares of Path 1 Class A Common Stock or of any other class of
voting capital stock of the Company; or

                                       24
<PAGE>

                               (C)      if the Company receives a Takeover
Proposal from any Person (other than Purchaser) and the Company's Board of
Directors shall have recommended or approved such Takeover Proposal or takes
a neutral position or makes no recommendation with respect to such Takeover
Proposal after a reasonable amount of time (and in no event more than ten
Business Days following such receipt) has elapsed for the Company's Board of
Directors to review and make a recommendation with respect to such Takeover
Proposal or the Company has entered into an agreement with respect to a
Takeover Proposal.

                  7.2      EFFECT OF TERMINATION. In the event of the
termination of this Agreement as provided in Section 7.1 hereof, written
notice thereof shall forthwith be given to the other party or parties
specifying the provision hereof pursuant to which such termination is made,
and this Agreement shall forthwith become null and void, and there shall be
no liability on the part of Purchaser, the Company or their respective
directors, officers, employees, representatives, agents, advisors or
stockholders other than the obligations pursuant to this Section 7.2, except
that the agreements contained in Article IX hereof shall survive the
termination hereof. Nothing contained in this Section 7.2 or in Article VIII
shall relieve any party from liability for fraud or for willful breach of
this Agreement.

                                  ARTICLE VIII.
                                 INDEMNIFICATION

                  8.1      INDEMNITY. Subject to the terms and conditions of
this Article VIII, from and after the Closing, the Company shall indemnify
and hold harmless Purchaser from and against any and all Damages resulting
from or arising out of any misrepresentation, breach or failure of any
representation or warranty made by the Company in this Agreement; and (b)
subject to the terms and conditions of this Article VIII, from and after the
Closing, Purchaser shall indemnify and hold harmless the Company from and
against any and all Damages resulting from or arising out of any
misrepresentation, breach or failure of any representation or warranty made
by Purchaser in this Agreement.

                  8.2      LIMITATION ON INDEMNITY

                           (a)      Neither the Company nor Purchaser shall
have liability for amounts payable pursuant to their respective
indemnification obligations in this Article VIII until the total of all
Damages incurred by Purchaser or the Company, respectively, exceeds Two
Hundred and Fifty Thousand Dollars (U.S. $250,000) in the aggregate (the
"Threshold Amount"), after which the indemnification obligations of the
Company or Purchaser, as the case may be, shall, subject to subsection (b)
below, only include all such Damages in excess of the Threshold Amount.

                           (b)      Neither the Company nor Purchaser shall
have liability pursuant to its indemnification obligations in this Article
VIII to the extent that the total of all Damages suffered by Purchaser or the
Company, respectively, exceeds an aggregate of Ten Million Dollars
($10,000,000).

                  8.3      PROCEDURE. With respect to any Damages, whether a
claim, the commencement of any proceeding, any written demand, or the
occurrence of any other

                                       25
<PAGE>

similar event, any of which may constitute a separate matter or series of
matters ("Indemnification Matter") against which Purchaser or the Company (such
applicable party referred to as the "Indemnitee") is indemnified under this
Article VIII:

                           (a)      Within 30 days after the Indemnitee
receives written notice pertaining to the demand or proceeding underlying
such Indemnification Matter, or, if such Indemnification Matter does not
involve a third party demand or claim, within 30 days after the Indemnitee
first has actual knowledge of such Indemnification Matter, the Indemnitee
shall give notice to the Company or Purchaser, as the case may be, of the
nature of such Indemnification Matter and the amount demanded or claimed in
connection therewith. Such notice shall be a condition precedent to any
indemnification liability under this Article VIII, but the Indemnitee shall
not lose its right to indemnification other than under this Article VIII as a
result of the failure to give such notice in a timely manner.

                  8.4      REMEDIES. Notwithstanding anything in this
Agreement to the contrary, following the Closing, the rights of
indemnification under this Article VIII are the sole and exclusive remedy of
Purchaser or the Company, as the case may be, with respect to any and all
matters covered in Section 8.1 above, except that, notwithstanding the
foregoing and Section 8.5 below, Purchaser or the Company, as the case may
be, shall be entitled to all remedies which are available under Applicable
Law for fraudulent conduct and under Section 10(b) of the Exchange Act and
the rules and regulations of the SEC thereunder.

                  8.5      TIME LIMIT. Damages to be indemnified under this
Article VIII must be claimed within one year after the Closing, except for
Damages resulting from or arising out of Indemnification Matters for which
proper notice under Section 8.3 above shall have been given prior to the
expiration of such one-year period.

                                  ARTICLE IX.
                            MISCELLANEOUS AND GENERAL

                  9.1      PAYMENT OF EXPENSES AND OTHER PAYMENTS.. All fees
and expenses incurred in connection with this Agreement and the Transactions
shall be paid by the party incurring such fees or expenses, whether or not
the Transactions are consummated.

                  9.2      SURVIVAL OF REPRESENTATIONS AND WARRANTIES. The
representations and warranties made herein shall not survive beyond the
earlier of termination of this Agreement, subject to Section 8.5 above, or
one year from the date of Closing. This Section 9.2 shall not limit any
covenant or agreement of the parties hereto which by its terms contemplates
performance after the Closing.

                  9.3      MODIFICATION OR AMENDMENT. Subject to the
compliance with Applicable Law, at any time prior to the Closing, the parties
hereto may modify or amend this Agreement, by written agreement executed and
delivered by duly authorized officers of the respective parties.

                  9.4      WAIVER OF CONDITIONS. Except as otherwise provided
in this Agreement, any failure of any of the parties to comply with any
obligation, covenant, agreement or condition herein may be waived by the
party or parties entitled to the benefits thereof only by a written

                                       26
<PAGE>

instrument signed by the party granting such waiver, but such waiver or
failure to insist upon strict compliance with such obligation, covenant,
agreement or condition shall not operate as a waiver of, or estoppel with
respect to, any subsequent or other failure.

                  9.5      COUNTERPARTS. This Agreement may be executed in
two or more counterparts, all of which shall be considered one and the same
agreement and shall become effective when two or more counterparts have been
signed by each of the parties (including by telecopy) and delivered to the
other parties, it being understood that all parties need not sign the same
counterpart.

                  9.6      GOVERNING LAW. This Agreement shall be governed
by, and construed in accordance with, the laws of the State of Delaware
without giving effect to the principles of conflicts of law thereof.

                  9.7      JURISDICTION; WAIVER OF TRIAL BY JURY. THE PARTIES
HERETO HEREBY IRREVOCABLY SUBMIT TO THE JURISDICTION OF ANY NEW YORK STATE OR
UNITED STATES FEDERAL COURT SITTING IN THE CITY OF NEW YORK OVER ANY ACTION
OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, AND HEREBY
IRREVOCABLY AGREE THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING MAY
BE HEARD AND DETERMINED IN SUCH NEW YORK STATE OR FEDERAL COURT. THE PARTIES
AGREE THAT A FINAL JUDGMENT IN ANY SUCH ACTION OR PROCEEDING SHALL BE
CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON THE JUDGMENT
OR IN ANY OTHER MANNER PROVIDED BY LAW. THE PARTIES FURTHER WAIVE TRIAL BY
JURY, ANY OBJECTION TO VENUE IN SUCH STATE AND ANY OBJECTION TO ANY ACTION OR
PROCEEDING IN SUCH STATE ON THE BASIS OF FORUM NON CONVENIENS. THE PARTIES
FURTHER AGREE THAT ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO
THIS AGREEMENT SHALL BE BROUGHT ONLY IN A NEW YORK STATE OR UNITED STATES
FEDERAL COURT SITTING IN NEW YORK COUNTY.

                  9.8      NOTICES. Any notice, request, instruction or other
document to be given hereunder by any party to the other parties shall be in
writing and delivered personally or sent by registered or certified mail,
postage prepaid, or by nationally recognized overnight courier, or by
telecopy, as follows:

                  If to the Company, to

                              3636 Nobel Drive
                              Suite 275
                              San Diego, California  92122
                              Attention:  Ronald D. Fellman
                              Telecopy:   (858) 450-4203

                                       27
<PAGE>

                  with a copy to:

                              Brobeck, Phleger & Harrison LLP
                              12390 El Camino Real
                              San Diego, California 92130
                              Attention:  Hayden Trubitt, Esq.
                              Telecopy:   (858) 720-2555

                  If to Purchaser, to

                              25 Dyas Road
                              North York, Ontario
                              Canada M3B 1V7
                              Attention:  Reg J. Tiessen
                              Telecopy:   (416) 445-4308

                  with a copy to:

                              Torys
                              237 Park Avenue
                              New York, New York  10017
                              Attention:  Bradley P. Cost, Esq.
                              Telecopy:   (212) 682-0200

                  All such notices and communications shall be deemed to have
been duly given at the time delivered by hand, if personally delivered, upon
receipt, if sent by telecopy, on the next Business Day, if sent by a
nationally recognized courier, or three (3) Business Days after being
deposited in the mail, if sent by registered or certified mail. Any party
may, upon written notice to the other parties hereto, change the address to
which notices or other communications to such party are to be delivered or
mailed.

                  9.9      ENTIRE AGREEMENT; ASSIGNMENT This Agreement (a)
constitutes the entire agreement among the parties with respect to the
subject matter hereof and supersedes all other prior agreements and
understandings, both written and oral, among the parties or any of them with
respect to the subject matter hereof and (b) shall not be assigned by
operation of law or otherwise without the prior written consent of the other
parties. This Agreement will be binding upon, inure to the benefit of and be
enforceable by the parties and their respective permitted successors and
assigns.

                  9.10     PARTIES IN INTEREST Nothing in this Agreement,
express or implied, is intended to or shall confer upon any other Person any
rights, benefits or remedies of any nature whatsoever under or by reason of
this Agreement.

                  9.11     VALIDITY If any term, provision, covenant or
restriction of this Agreement is held by a court of competent jurisdiction or
other authority to be invalid, void, unenforceable or against its regulatory
policy, the remainder of the terms, provisions, covenants and restrictions of
this Agreement shall remain in full force and effect and shall in no way be
affected, impaired

                                       28
<PAGE>

or invalidated so long as the economic or legal substance of the Transactions
is not affected in any manner materially adverse to any party.

                  9.12     CAPTIONS. The Article, Section and paragraph
captions herein are for convenience of reference only, do not constitute part
of this Agreement and shall not be deemed to limit or otherwise affect any of
the provisions hereof.

                  9.13     SPECIFIC PERFORMANCE. Each of the parties hereto
acknowledges and agrees that in the event of any breach of this Agreement,
each non-breaching party would be irreparably and immediately harmed and
could not be made whole by monetary damages. It is accordingly agreed that
the parties hereto (a) will waive, in any action for specific performance,
the defense of adequacy of a remedy at law and (b) shall be entitled, in
addition to any other remedy to which they may be entitled at law or in
equity, to compel specific performance of this Agreement in any action
instituted in a court of competent jurisdiction.

                  9.14     "KNOWLEDGE" OF THE COMPANY OR PURCHASER. For
purposes of this Agreement, unless otherwise expressly provided where the
term is used, "knowledge" of the Company, or Purchaser, as the case may be,
will be deemed to mean the actual knowledge of any director or executive
officer of the Company or Purchaser, as the case may be, after reasonable
inquiry.

                                   ARTICLE X.
                                   DEFINITIONS

                  10.1     CERTAIN DEFINITIONS. The following terms when used
herein shall have the meanings assigned to them below (certain other terms
are defined elsewhere herein):

                  "Actions" shall have the meaning set forth in Section 2.14
hereof.

                  "Affiliate" means a Person who directly, or indirectly
through one or more intermediaries, controls, or is controlled by, or is
under common control with, another person.

                  "Agreement" shall have the meaning set forth in the
recitals hereof.

                  "Applicable Law" shall mean the collective reference to any
federal, state, local, provincial or foreign law, rule, regulation,
ordinance, writ, judgment, injunction, decree, determination, award or other
order of any Governmental Authority or stock exchange, in each case excluding
any and all Environmental Laws.

                  "Balance Sheet" shall have the meaning set forth in Section
2.4(c) hereof.

                  "Benefit Plan" shall have the meaning set forth in Section
2.11 hereof.

                  "Berns Agreement" shall mean the Stock Purchase Agreement,
dated as of March 10, 2000, by and among Purchaser, James Berns and Rona
Berns, together with any amendment or supplement thereto.

                                       29
<PAGE>

                  "Business Day" shall mean a day other than a Saturday or
Sunday or other day on which commercial banks in New York, New York are
authorized or required to close."

                  "Code" shall mean the Internal Revenue Code of 1986, as
amended.

                  "Company Board" shall have the meaning set forth in Section
2.20 hereof.

                  "Company Disclosure Schedule" shall have the meaning set
forth in Section 2.1 hereof.

                  "Company Material Adverse Effect" shall mean any change,
circumstance or fact that (i) is reasonably likely to be materially adverse
to the business, condition (financial or otherwise) or results of operations
of the Company provided that the term "Company Material Adverse Effect" as
used herein shall not include any effect attributable to (a) changes in the
economy generally or (b) changes or circumstances affecting the industries in
which the Company engages, which change, circumstance or effect (in the case
of clause (b)) does not affect the Company, disproportionately relative to
other entities operating in such industries, or (ii) would materially impair
the ability of the Company to perform its obligations under this Agreement.

                  "Damages" shall mean all losses, liabilities, damages,
costs and expenses (including, without limitation, reasonable attorneys' fees
(including those incurred in connection with a dispute among the parties (or
any of them) hereto), investigation expenses, court costs, interest and
penalties) actually incurred in connection with any matter for which
indemnification is provided under Article VIII hereof.

                  "ERISA"  shall have the meaning set forth in Section
2.11(a) hereof.

                  "Exchange Act" shall have the meaning set forth in Section
2.4(a) hereof.

                  "Form    10" shall have the meaning set forth in Section
2.4(a) hereof.

                  "GAAP"   shall have the meaning set forth in Section 2.4(b)
hereof.

                  "Governmental Authority" or "Governmental Entity" shall
mean the collective reference to any court, administrative agency, tribunal,
authority, commission or other foreign or domestic, whether federal, state,
provincial or local governmental authority or instrumentality.

                  "Indemnification Matter" shall have the meaning set forth
in Section 8.3 hereof.

                  "Indemnitee" shall have the meaning set forth in Section
8.3 hereof.

                  "License Agreement" shall mean that certain Joint Product
Development and License Agreement between Purchaser and the Company to be
executed on or before the Closing in form and substance mutually agreed upon
by Purchaser and the Company.

                  "Lien" shall mean any mortgage, pledge, encumbrance, charge
or other security interest of any kind or nature whatsoever.

                                       30
<PAGE>

                  "Other Intellectual Property" shall have the meaning set
forth in Section 2.17 hereof.

                  "Path 1 Class A Common Stock" shall have the meaning set
forth in the recitals hereof.

                  "Path 1 Class B Common Stock" shall have the meaning set
forth in Section 2.3 hereof.

                  "Permits" shall have the meaning set forth in Section
2.15(b) hereof.

                  "Permitted Liens" shall mean:

                  (a)      Liens for Taxes not yet due or which are being
contested in good faith by appropriate proceedings, provided that adequate
reserves with respect to contested Taxes are maintained on the books of the
Company or Purchaser, as applicable;

                  (b)      pledges or deposits made in the ordinary course of
business in connection with workers' compensation, unemployment insurance and
other social security legislation;

                  (c)      easements, rights-of-way, restrictions and other
similar encumbrances previously incurred in the ordinary course of business
which, in respect of properties or assets of the Company or Purchaser or any
Purchaser Subsidiary, as applicable, are not material, and which, in the case
of such encumbrances on the assets or properties of the Company or Purchaser
or any Purchaser Subsidiary, as applicable, do not materially detract from
the value of any such properties or assets or materially interfere with any
present use of such properties or assets;

                  (d)      carriers', warehousemen's, mechanics',
materialmen's, repairmen's or other like Liens arising in the ordinary course
of business which are not overdue for a period of more than 90 days or which
are being contested in good faith by appropriate proceedings;

                  (e)      deposits to secure the performance of bids,
contracts (other than for borrowed money), leases, statutory obligations,
surety and appeal bonds, performance bonds and other obligations of a like
nature incurred in the ordinary course of business;

                  (f)      statutory and contractual Liens on the property of
the Company or Purchaser or any Purchaser Subsidiary, as applicable, in favor
of landlords securing leases; and

                  (g)      Liens in existence at the Effective Time listed in
Section 2.9 to the Company Disclosure Schedule.

                  "Person" means an individual, a corporation, a partnership,
an association, a trust or any other entity or organization, including a
government or political subdivision or any agency or instrumentality thereof.

                  "Purchaser" shall have the meaning set forth in the
recitals hereof.

                                       31
<PAGE>

                  "Purchaser Material Adverse Effect" shall mean any change,
circumstance or fact that (i)is reasonably likely to be materially adverse to
the business, condition (financial or otherwise) or results of operations of
Purchaser and its subsidiaries, taken as a whole, provided that the term
"Purchaser Material Adverse Effect" as used herein shall not include any
effect attributable to (a) changes in the economy generally or (b) changes or
circumstances affecting the industries in which Purchaser and its
subsidiaries engage, which change, circumstance or effect (in the case of
clause (b)) does not affect Purchaser disproportionately relative to other
entities operating in such industries, or (ii) would materially impair the
ability of Purchaser to perform its obligations under this Agreement.

                  "Registered Intellectual Property" shall have the meaning
set forth in Section 2.17 hereof.

                  "SEC" shall have the meaning set forth in the Section
2.4(a) hereof.

                  "Stockholders' Agreement" shall mean that certain
Stockholders' Agreement by and among the Company, Purchaser, Ronald D.
Fellman, Douglas A. Palmer and Michael T. Elliott to be executed on or before
the Closing in the form of Exhibit A hereto.

                  "Takeover Proposal" means any bona fide proposal or offer,
whether in writing or otherwise, from any Person (other than Purchaser or any
Affiliates thereof) (a "Third Party") to acquire beneficial ownership (as
determined pursuant to Rule 13d-3 promulgated under the Exchange Act) of all
or a material portion of the assets of the Company or 25% or more of any
class of equity securities of the Company pursuant to a merger, consolidation
or other business combination, sale of shares of capital stock, sale of
assets, tender offer, exchange offer or similar transaction with respect to
the Company, including any single or multi-step transaction or series of
related transactions, which is structured to permit such Third Party to
acquire beneficial ownership of any material portion of the assets of or 25%
or more of the equity interest in the Company.

                  "Taxes" shall have the meaning set forth in Section 2.7
hereof.

                  "Tax Returns" shall have the meaning set forth in
Section 2.7 hereof.

                  "Transactions" shall have the meaning set forth in Section
2.2 hereof.

                                     * * *

                                       32
<PAGE>

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

                                       PATH 1 NETWORK TECHNOLOGIES INC.

                                       By: /s/ Vera Moldt
                                           ----------------------------
                                           Name:
                                           Title:

                                       LEITCH TECHNOLOGY CORPORATION

                                       By: /s/ John A. MacDonald
                                           ----------------------------
                                           Name:
                                           Title:

                                       By: /s/ Reginald J. Tiessen
                                           ----------------------------
                                           Name:
                                           Title:

                                       33

<PAGE>

                          COMPANY DISCLOSURE SCHEDULE

         Inclusion of information on this Company Disclosure Schedule does not
constitute an admission by the Company that the information is material. The
Company's approach has been to try to err on the side of over-inclusiveness and
over-disclosure.

SECTION 2.1

The Company is not qualified to do business as a foreign corporation in
California. The Company intends to become qualified forthwith and does not
believe that any past or future non-qualification would cause a Company Material
Adverse Effect.

On March 16, 1998, the Company entered into an agreement with Jyra Research,
Inc. ("Jyra") providing for the Company to make a strategic investment in Jyra
and for Jyra to make a strategic investment in the Company. Under this
agreement, the Company exchanged ten shares of its Series A Preferred Stock for
16,000 restricted common shares of Jyra, which the Company still holds.

SECTION 2.3

On April 10, 2000, the Board approved Michael Elliott as its Chief Executive
Officer. In connection with that, Mr. Elliott will receive options to purchase
up to 400,000 shares of the Company's Class B Common Stock.

The Company is contemplating hiring Richard Slansky to become its Chief
Financial Officer. In connection with that, the Company may grant Mr. Slansky
options to purchase up to 250,000 shares of Class B Common Stock.

The Company has made informal commitments to grant options to purchase up to
approximately 50,000 shares of Class B Common Stock to certain current or future
employees, consultants, and/or advisors of the Company.

The Company may sell up to another $5 million of its Class A Common Stock to
certain investors before its ongoing stock offering is completed.

SECTION 2.4

The Company may have a material liability or obligation with respect to the
pending and threatened litigation involving Mr. Felber (including for
indemnification of individuals sued or threatened by him).

Note also Michael and James Berns'claim for indemnification and advancement of
expenses.

<PAGE>

SECTION 2.6

The Company's Form 10 (general form for registration of securities under the
Securities Exchange Act of 1934) has not been declared effective. As a result,
as of March 2000, the Company's securities have been removed from the OTC
Bulletin Board.

The Company has received $3.8 million pursuant to subscription agreements for
its Class A Common Stock.

The Company has also received a subscription agreement for 125,000 shares of its
Class A Common Stock at $8 per share.

The Company may sell up to another $5 million of its Class A Common Stock to
certain investors before its ongoing stock offering is completed.

See the Section 2.4 disclosure.

SECTION 2.7

The Company failed to timely pay its annual Delaware state franchise tax for
fiscal year 1999. The Company has directed its outside tax advisor to file, with
payment, the necessary documentation as promptly as possible.

SECTION 2.10

Lease Agreement between the Company and Spieker Properties, L.P. dated April 10,
1999.

Agreement with Doctor Design, Inc. dated June 4, 1999.

The Company is negotiating a proposed agreement with [****].

Berns Settlement Agreement dated April 2000.

The Company has also received a subscription agreement for 125,000 shares of its
Class A Common Stock at $8 per share.

SECTION 2.11

The Company maintains a medical and dental plan.

The Company has a stock option plan.

SECTION 2.14

***CONFIDENTIAL TREATMENT REQUESTED

<PAGE>

The Company and its indemnifiable officials are being sued and threatened by Mr.
Felber. Note also Michael and James Berns' claim in Delaware for indemnification
and advancement of expenses.

SECTION 2.15

The Company does not have any permits, certificates or other authorization from
the Federal Communications Commission, Underwriters Laboratories or any European
Union agency which may be required in order to sell certain products.

As of March 2000, the Company's securities have been removed from the OTC
Bulletin Board, which does not relate directly to the conduct of the Company's
business

SECTION 2.16

--------------------------------------------------------------------------------
                         PENDING TRADEMARKS AND PATENTS
--------------------------------------------------------------------------------

<TABLE>
<CAPTION>

------------------- ---------------------------------- -------------- ----------------------- ---------------
      MATTER                                              FILING
       TYPE                       TITLE                    DATE          APPLICATION NO.          STATUS
------------------- ---------------------------------- -------------- ----------------------- ---------------
<S>                 <C>                                <C>            <C>                     <C>
Trademark           TRUECIRCUIT                          12/11/98     75/605,234              Pending
------------------- ---------------------------------- -------------- ----------------------- ---------------
Trademark           DOTCAM                               11/29/99     75/859,744              Pending
------------------- ---------------------------------- -------------- ----------------------- ---------------
Patent (U.S.)       Time-Synchronized Multi-Layer        12/29/98     09/222,183              Pending
                    Network Switch for Providing
                    Quality of Service Guarantees in
                    Computer Networks
------------------- ---------------------------------- -------------- ----------------------- ---------------
Patent (PCT)        Time-Synchronized Multi-Layer        11/3/99      PCT/US99/25882          Pending
                    Network Switch for Providing
                    Quality of Service Guarantees in
                    Computer Networks
------------------- ---------------------------------- -------------- ----------------------- ---------------
Patent (U.S.)       Methods and Apparatus for             8/19/98     09/136,706              Pending
                    Providing Quality of Service
                    Guarantees in Computer Networks
------------------- ---------------------------------- -------------- ----------------------- ---------------
Patent (PCT)        Methods and Apparatus for             8/18/99     PCT/US99/18984          Pending
                    Providing Quality of Service
                    Guarantees in Computer Networks
------------------- ---------------------------------- -------------- ----------------------- ---------------
Patent (U.S.)       Methods and Apparatus for            12/31/98     [****]                  Pending
                    [****]
------------------- ---------------------------------- -------------- ----------------------- ---------------

</TABLE>

None of the above are "valid and in full force and effect," because they are
merely applications. They are valid and legitimate applications.

***CONFIDENTIAL TREATMENT REQUESTED

<PAGE>

SECTION 2.22 (RELATING TO SECTION 2.21)

Michael Elliott, as Chief Executive Officer, will receive an employment
agreement and options to purchase up to 400,000 shares of the Company's Class B
Common Stock.

The Company may hire Richard Slansky to become its Chief Financial Officer.
In connection with that, the Company may grant Mr. Slansky options to
purchase up to 250,000 shares of Class B Common Stock.

The Company has made informal commitments to grant options to purchase up to
approximately 50,000 shares of Class B Common Stock to certain current or future
employees, consultants, and/or advisors of the Company.

The Company has a stock option plan.<PAGE>

                          LEITCH TECHNOLOGY CORPORATION

                                     - AND -

                        PATH 1 NETWORK TECHNOLOGIES INC.

--------------------------------------------------------------------------------

                          TECHNOLOGY LICENSE AGREEMENT

--------------------------------------------------------------------------------

                            MADE AS OF APRIL 10, 2000

<PAGE>

                          TECHNOLOGY LICENSE AGREEMENT

         THIS AGREEMENT is made on this 10th day of April, 2000.

B E T W E E N:

                  LEITCH TECHNOLOGY CORPORATION, a corporation incorporated
                  under the laws of Ontario

                  (hereinafter referred to as "Leitch")

                                     - and -

                  PATH 1 NETWORK TECHNOLOGIES INC., a corporation incorporated
                  under the laws of Delaware

                  (hereinafter referred to as "Path 1")

RECITALS:

         WHEREAS Leitch is engaged in the business of designing, manufacturing
and selling analog and digital electronic equipment that is used to receive,
distribute, process and switch high-quality video and audio signals through
broadcast networks;

         AND WHEREAS Path 1 is engaged in the business of designing,
constructing and licensing systems which facilitate the delivery of video and
audio signals over an Internet Protocol network with negligible latency and
jitter;

         AND WHEREAS Leitch wishes to license from Path 1 the Path 1
Intellectual Property (as defined below) and the Network Operating System (as
defined below) in accordance with the terms and conditions set out herein;

         AND WHEREAS Leitch and Path 1 wish to set out their respective rights
to exploit the Path 1 Intellectual Property and the Network Operating System and
their agreement with respect to the payment of royalties and other terms and
conditions relating to the licensing of intellectual property contemplated
hereunder;

         NOW THEREFORE in consideration of the mutual covenants and agreements
contained in this Agreement and other good and valuable consideration (the
receipt and sufficiency of which are hereby acknowledged) the Parties agree as
follows:

                                   ARTICLE 1
                                 INTERPRETATION

         1.1      DEFINITIONS

         In this Agreement, the following terms shall have the following
meanings:

<PAGE>

                  1.1.1    "AFFILIATE" means, in respect of a Person, another
                           Person that Controls the first Person, is Controlled
                           by the first Person or is Controlled by the same
                           Person that Controls the first Person;

                  1.1.2    "AGGREGATE ANNUAL FEES" means the sum of all monies
                           or other consideration paid by Leitch or any of its
                           Affiliates to Path 1 or any of its Affiliates in the
                           applicable Exclusive Year, whether paid in accordance
                           with this Agreement or otherwise, including, without
                           limitation, all payments made by Leitch to Path 1
                           pursuant to Section 3.1, all payments made by Leitch
                           or any of its Affiliates to Path 1 or any of its
                           Affiliates relating directly or indirectly to the
                           Network Operating System, and any other consideration
                           paid by Leitch or any of its Affiliates to Path 1 or
                           any of its Affiliates in respect of products,
                           services or other benefits provided by Path 1 to
                           Leitch or any of its Affiliates or customers.
                           Notwithstanding the foregoing, however, Aggregate
                           Annual Fees shall not include any consideration paid
                           by Leitch and/or any of its Affiliates in exchange
                           for equity of Path 1 or any of its Affiliates;

                  1.1.3    "AGREEMENT" means this agreement, and all schedules
                           attached to this agreement, in each case as they may
                           be amended or supplemented from time to time, and the
                           expressions "HEREOF", "HEREIN", "HERETO",
                           "HEREUNDER", "HEREBY" and similar expressions refer
                           to this Agreement. Unless otherwise indicated,
                           references to "ARTICLES" and "SECTIONS" are to
                           articles and sections in this Agreement;

                  1.1.4    "ARM'S LENGTH LICENSEE" means any Person in which
                           neither Path 1 nor any Path 1 Affiliate directly or
                           indirectly owns any equity interest;

                  1.1.5    "BUSINESS DAY" means any day, other than Saturday,
                           Sunday or any statutory holiday in the Province of
                           Ontario or the State of California;

                  1.1.6    "CALENDAR DAY" means any day, including weekdays,
                           Saturdays, Sundays and statutory holidays in the
                           Province of Ontario or the State of California;

                  1.1.7    "CONFIDENTIAL INFORMATION" of a Party means any and
                           all information of a Party or any of its Affiliates
                           (in this definition called the "DISCLOSING PARTY")
                           which has or shall come into the possession or
                           knowledge of the other Party or any of its Affiliates
                           (in this definition called the "Recipient Party") in
                           connection with or as a result of entering into this
                           Agreement including information concerning the
                           Disclosing Party's past, present and future
                           customers, suppliers, Technology, and business,
                           provided that such information and material that a
                           Party discloses in a tangible form shall be labelled
                           as confidential or proprietary or, if disclosed
                           orally or in another intangible form, shall be
                           identified as confidential or proprietary prior to
                           disclosure, and shall be reduced to a writing
                           designated as confidential or proprietary and sent to
                           the Recipient Party within thirty (30) Calendar Days
                           after its initial disclosure. For the purposes of
                           this definition,

                                      3
<PAGE>

                           "information" includes Know-How, data, patents,
                           copyrights, trade secrets, processes, techniques,
                           programs, designs, formulae, marketing,
                           advertising, financial, commercial, sales or
                           programming materials, written materials,
                           compositions, drawings, diagrams, computer
                           programs, studies, work in progress, visual
                           demonstrations, ideas, concepts, and other data,
                           in oral, written, graphic, electronic, or any
                           other form or medium whatsoever. Notwithstanding
                           the foregoing, "Confidential Information" does not
                           include the following information:

                           1.1.7.1  information disclosed in a tangible form
                                    that is not labelled as confidential or
                                    proprietary;

                           1.1.7.2  information disclosed orally or in another
                                    intangible form that is not thereafter
                                    reduced to writing, designated as
                                    confidential or proprietary, and provided to
                                    the Recipient Party within thirty (30)
                                    Calendar Days after its initial disclosure;

                           1.1.7.3  information which is in the public domain
                                    when it is received by or becomes known to
                                    the Recipient Party or which subsequently
                                    enters the public domain through no fault of
                                    the Recipient Party (but only after it
                                    enters the public domain);

                           1.1.7.4  information which is already known to the
                                    Recipient Party at the time of its
                                    disclosure to the Recipient Party by the
                                    Disclosing Party and is not known by the
                                    Recipient Party to be the subject of an
                                    obligation of confidence of any kind;

                           1.1.7.5  information which is independently developed
                                    by the Recipient Party without any use of or
                                    reference to the Confidential Information of
                                    the Disclosing Party and which such
                                    independent development can be established
                                    by evidence that would be acceptable to a
                                    Court of competent jurisdiction; and

                           1.1.7.6  information which is received by the
                                    Recipient Party in good faith without an
                                    obligation of confidence of any kind from a
                                    third party who the Recipient Party had no
                                    reason to believe was not lawfully in
                                    possession of such information free of any
                                    obligation of confidence of any kind, but
                                    only until the Recipient Party subsequently
                                    comes to have reason to believe that such
                                    information was subject to an obligation of
                                    confidence of any kind when originally
                                    received;

                                      4
<PAGE>

                  1.1.8    "CONTROL" means the deemed control by one Person of
                           another in accordance with the following rules. A
                           Person (a "First Person") controls:

                           1.1.8.1  a body corporate if securities of the body
                                    corporate to which are attached fifty
                                    percent (50%) or more of the votes that may
                                    be cast to elect directors of the body
                                    corporate are beneficially owned by the
                                    First Person;

                           1.1.8.2  an unincorporated Person, other than a
                                    limited partnership, if fifty percent (50%)
                                    or more of the ownership interests, however
                                    designated, into which the unincorporated
                                    Person is divided are beneficially owned by
                                    the First Person and the First Person is
                                    able to direct the business and affairs of
                                    the unincorporated Person;

                           1.1.8.3  a limited partnership if that First Person
                                    is the general partner of the limited
                                    partnership;

                           1.1.8.4  any Person that is controlled, or deemed to
                                    be controlled, by any of the Persons
                                    specified in Sections 1.1.8.1, 1.1.8.2, or
                                    1.1.8.3 above other than the First Person;
                                    or

                           1.1.8.5  a Person (a "Second Person") where the
                                    aggregate of:

                                    1.1.8.5.1 any securities of the Second
                                              Person that are beneficially owned
                                              by the First Person; and

                                    1.1.8.5.2 any securities of the Second
                                              Person that are beneficially owned
                                              by any Person controlled by the
                                              First Person;

                              is such that, if the First Person and all of the
                              Persons, other than the First Person, referred to
                              in Sections 1.1.8.1, 1.1.8.2, or 1.1.8.3 above
                              that beneficially own securities of the Second
                              Person were one owner, that owner would control
                              the Second Person;

                  1.1.9    "CORE USE" means the general transport or switching
                           of data within a network (including, without
                           limitation, a consumer network, local area network,
                           metropolitan area network or wide area network), such
                           as that performed by network operating systems,
                           switches, routers, hubs, firewalls, gateways,
                           repeaters, bridges, general purpose NIC cards,
                           backbones and trunks;

                  1.1.10   "EFFECTIVE DATE" means April 10, 2000;

                  1.1.11   "ENHANCEMENTS" means repairs, corrections,
                           improvements, modifications, refinements, upgrades,
                           updates, enhancements, new

                                      5
<PAGE>

                           features, new functions, new versions, and new
                           applications, in any form or medium whatsoever,
                           and all Intellectual Property Rights therein;

                  1.1.12   "EXCLUSIVE MARKET USE" means: the conversion of
                           Professional Material from video, audio and/or
                           associated data to packet data and the conversion of
                           Professional Material from packet data to video,
                           audio and/or associated data. Without limiting the
                           generality of the foregoing, "EXCLUSIVE MARKET USE"
                           includes, without limitation, the conversion of
                           Professional Material from Internet Protocol data
                           packets to video, audio and/or associated data, and
                           the conversion of Professional Material from video,
                           audio and/or associated data to Internet Protocol
                           data packets. For greater certainty, use in
                           connection with: consumer applications; corporate,
                           industrial, medical and scientific video; industrial
                           automation and control; still imaging;
                           teleconferencing; audio or video telephony;
                           videoconferencing; transaction processing; or any
                           Core Use shall not constitute "EXCLUSIVE MARKET USE";

                  1.1.13   "EXCLUSIVE TERM" means the Initial Exclusive Term and
                           any period during which the Initial Exclusive Term or
                           any renewal thereof is extended pursuant to Section
                           6.2;

                  1.1.14   "EXCLUSIVE YEAR" means:

                           1.1.14.1 the period commencing on the [****]
                                    [****] and ending one (1) year
                                    thereafter; and

                           1.1.14.2 each subsequent contiguous one (1) year
                                    period during the Exclusive Term following
                                    the previous Exclusive Year;

                  1.1.15   "FORCE MAJEURE" means: acts of God and the public
                           enemy; the elements; fire; accidents; vandalism;
                           sabotage; power failure; failure, delay or disruption
                           of transportation or telecommunications facilities;
                           civil or public disturbances; any laws, orders,
                           rules, regulations, acts or restraints of any
                           government or governmental body or authority, civil
                           or military, including the orders and judgments of
                           courts; third party non-performance caused by an
                           event of Force Majeure; and any other similar cause;

                  1.1.16   "INITIAL EXCLUSIVE TERM" shall have the meaning
                           ascribed to that term in Section 6.2;

                  1.1.17   "INITIAL TERM" shall have the meaning ascribed to
                           that term in Section 6.1;

                  1.1.18   "INTELLECTUAL PROPERTY RIGHTS" means:

                           1.1.18.1 any and all proprietary rights provided
                                    under:

                                    1.1.18.1.1 patent law;

***CONFIDENTIAL TREATMENT REQUESTED

                                      6
<PAGE>

                                    1.1.18.1.2 copyright law (including moral
                                               rights);

                                    1.1.18.1.3 trade-mark law;

                                    1.1.18.1.4 design patent or industrial
                                               design law;

                                    1.1.18.1.5 semi-conductor chip, integrated
                                               circuit topography or mask work
                                               law; or

                                    1.1.18.1.6 any other statutory provision or
                                               common law principle applicable
                                               to this Agreement, including
                                               trade secret law,

                                    which may provide a right in either ideas,
                                    formulae, algorithms, concepts, inventions
                                    or know-how generally, or the expression or
                                    use of such ideas, formulae, algorithms,
                                    concepts, inventions or know-how generally,
                                    or the expression or use of such ideas,
                                    formulae, algorithms, concepts, inventions
                                    or know-how generally, or the expression or
                                    use of such ideas, formulae, algorithms,
                                    concepts, inventions or know-how; and

                           1.1.18.2 any and all applications, registrations,
                                    licenses, sub-licenses, franchises,
                                    agreements or any other evidence of a right
                                    in any of the foregoing; and

                           1.1.18.3 all licenses and waivers and benefits of
                                    waivers of the intellectual property rights
                                    set out in Sections 1.1.18.1 and 1.1.18.2
                                    above, all future income and proceeds from
                                    the intellectual property rights set out in
                                    Sections 1.1.18.1 and 1.1.18.2 above, and
                                    all rights to damages and profits by reason
                                    of the infringement of any of the
                                    intellectual property rights set out in
                                    Sections 1.1.18.1 and 1.1.18.2 above;

                  1.1.19   "INTERNET PROTOCOL" means the network layer protocol
                           used by computers to transmit, receive and process
                           data over the Internet;

                  1.1.20   "KNOW-HOW" means experience, skills and expertise in
                           non-tangible form relating to Technology and
                           consulting and advisory services relating to such
                           experience, skills and expertise;

                  1.1.21   [****]

***CONFIDENTIAL TREATMENT REQUESTED

                                      7
<PAGE>

                           [****]

                  1.1.22   "NET TRUECIRCUIT PRODUCT REVENUE" means, in respect
                           of each TrueCircuit Product sold by Leitch or any
                           Leitch sublicensee, all monies or other consideration
                           collected by Leitch or such Leitch sublicensee, as
                           applicable, in connection with the sale of such
                           TrueCircuit Product, net of all: (i) taxes collected
                           by Leitch or such Leitch sublicensee, as applicable,
                           on such revenue (including, without limitation,
                           sales, use, goods and services, and other similar
                           taxes imposed by any federal, provincial, municipal
                           or other governmental body), credits (including
                           shipping and restocking costs, if applicable) and bad
                           debts; (ii) agency commissions; and (iii) shipping
                           costs, credit card transaction fees paid to or
                           deducted by third parties, and duties or brokerage
                           costs incurred by Leitch or such Leitch sublicensee,
                           as applicable, in each case calculated in accordance
                           with Canadian GAAP;

                  1.1.23   "NETWORK OPERATING SYSTEM" means a software kernel
                           including TrueCircuit Technology which, like a
                           computer operating system, allocates, manages and
                           controls the network resources including, without
                           limitation, [****], bandwidth, [****] and [****],
                           and collects statistics relating to these resources
                           and to the users thereof;

                  1.1.24   "NON-EXCLUSIVE MARKET USE" means any and all uses
                           other than Exclusive Market Uses;

                  1.1.25   "OFFER" shall have the meaning ascribed to that term
                           in Section 2.4;

                  1.1.26   "PARTIES" means Leitch and Path 1 and "PARTY" means
                           any one of them (as the context indicates);

                  1.1.27   "PATH 1 INTELLECTUAL PROPERTY" means:

                           1.1.27.1 all Technology, Technology Documentation,
                                    Know-How and other Confidential Information
                                    relating to the TrueCircuit Technology owned
                                    or licensed by Path 1 as of the Effective
                                    Date;

                           1.1.27.2 Enhancements to any of the Technology,
                                    Technology Documentation, Know-How or other
                                    Confidential Information identified in
                                    Section 1.1.27.1;

                           1.1.27.3 any new Technology, Technology
                                    Documentation, Know-How or other
                                    Confidential Information relating to the
                                    TrueCircuit Technology;

                           1.1.27.4 the Network Operating System; and

***CONFIDENTIAL TREATMENT REQUESTED

                                      8
<PAGE>

                           1.1.27.5 any trade-marks, trade names, service marks,
                                    logos or other distinguishing features of
                                    Path 1 which Leitch is required to display
                                    pursuant to Section 4.1 hereof;

                  1.1.28   "PERSON" means any individual, partnership, limited
                           partnership, joint venture, syndicate, sole
                           proprietorship, company or corporation with or
                           without share capital, unincorporated association,
                           trust, trustee, executor, administrator or other
                           legal personal representative, regulatory body or
                           agency, government or governmental agency, authority
                           or entity however designated or constituted;

                  1.1.29   "PROFESSIONAL MATERIAL" means:

                           1.1.29.1 audio or video signals created or
                                    distributed by commercial Persons
                                    (including, without limitation, producers
                                    and broadcasters) for ultimate receipt or
                                    use by non-commercial Persons; and

                           1.1.29.2 data relating to, describing or otherwise
                                    used in connection with the signals
                                    described in Section 1.1.29.1, including,
                                    without limitation: specification, control
                                    and monitoring data; closed captioning
                                    information; teletext; and teleprompting
                                    information.

                           Without limiting the generality of the foregoing,
                           "PROFESSIONAL MATERIAL" includes, without limitation,
                           audio or video signals created or distributed by
                           motion picture studios, television and cable networks
                           (including, without limitation, networks such as ABC,
                           NBC, CBS and FOX), radio stations and networks, and
                           entities licensed by the U.S. Federal Communications
                           Commission or any equivalent foreign regulatory
                           authority;

                  1.1.30   "PROPOSED LICENSEE" shall have the meaning ascribed
                           to that term in Section 2.2(ii)(A);

                  1.1.31   "ROYALTY-FREE PERIOD" means the period beginning on
                           the Effective Date and continuing for a period of
                           sixty (60) months from the [****];

                  1.1.32   "SUBLICENSE" means granting end-user licenses to
                           executable code to use, but not to modify, executable
                           versions of software provided in connection with
                           TrueCircuit Products;

                  1.1.33   "TECHNOLOGY" means computer programs, applications,
                           application programming and other interfaces,
                           integrations, applets, software, firmware, hardware,
                           mainframes, personal computers, servers,
                           client/server stations, network equipment,
                           semi-conductor chips, embedded software, routers,
                           communication lines and other equipment

***CONFIDENTIAL TREATMENT REQUESTED

                                      9
<PAGE>

                           technology products, trade secrets, processes,
                           other intellectual property and technology, and
                           any services related to any of the foregoing
                           (including all Intellectual Property Rights
                           therein);

                  1.1.34   "TECHNOLOGY DOCUMENTATION" means all information,
                           instructions, manuals, designs, drawings, models,
                           samples, schematics, experimental or test data,
                           notes, charts, reports, specifications, prototypes
                           and other information:

                           1.1.34.1 relating to the development, use,
                                    installation, implementation, integration,
                                    set-up, configuration, operation, updating,
                                    enhancement, modification, maintenance or
                                    support of Technology; or

                           1.1.34.2 used in connection with the instruction and
                                    training of individuals in the development,
                                    use, installation, implementation,
                                    integration, set-up, configuration,
                                    operation, updating, enhancement,
                                    modification, maintenance or support of
                                    Technology,

                           in any form or medium whatsoever and whether or not
                           copyrightable, and all Intellectual Property Rights
                           therein;

                  1.1.35   "TERM" means the Initial Term and any period during
                           which the Initial Term or any extension thereof is
                           extended pursuant to Section 6.1;

                  1.1.36   "TRUECIRCUIT TECHNOLOGY" means Technology which is
                           designed to facilitate the real-time transport of
                           data over Internet Protocol networking
                           infrastructures and includes, without limitation, all
                           Enhancements to such Technology developed by Path 1
                           during the Term hereof; and

                  1.1.37   "TRUECIRCUIT PRODUCTS" shall have the meaning
                           ascribed to that term in Section 2.1.

         1.2      HEADINGS AND TABLE OF CONTENTS

         The inclusion of headings and a table of contents in this Agreement are
         for convenience of reference only and shall not affect the construction
         or interpretation hereof.

         1.3      TECHNICAL TERMS

         Each word and abbreviation which has a technical or trade meaning is
         used in this Agreement in accordance with such recognized meaning.

         1.4      CURRENCY

         Except where otherwise expressly provided, all amounts in this
         Agreement are stated and shall be paid in the lawful currency of the
         United States.

                                      10
<PAGE>

         1.5      EXTENDED MEANINGS

         Unless the context requires otherwise, words importing the singular
         include the plural and vice versa and words importing gender include
         all genders. The terms "including" and "include" shall mean "including
         without limitation" and "include without limitation", respectively.

         1.6      LEGAL COUNSEL

         The Parties acknowledge that their respective legal counsel have
         reviewed and participated in settling the terms of this Agreement, and
         that any rule of construction to the effect that any ambiguity is to be
         resolved against the drafting Party shall not be applicable in the
         interpretation of this Agreement.

         1.7      AGREEMENT AND SCHEDULES AMENDMENTS AND SUPPLEMENTS

         This Agreement, including each Schedule to this Agreement, may not be
         amended or supplemented except by mutual written agreement of
         authorized representatives of the Parties. Any such agreement shall
         expressly state that it is intended to amend or supplement, as the case
         may be, this Agreement.

                                   ARTICLE 2
                                 RIGHTS GRANTED

         2.1      LICENSE OF PATH 1 INTELLECTUAL PROPERTY

         During the Term, and subject to the following sentence, Path 1 grants
         to Leitch a non-exclusive, worldwide license to use, copy, modify,
         enhance, sell, distribute, support, maintain, and create derivative
         works from the Path 1 Intellectual Property in connection with the
         development, use and exploitation by Leitch of commercial products
         which incorporate or exploit Path 1 Intellectual Property (each, a
         "TRUECIRCUIT PRODUCT"). The license granted in this Section 2.1 shall
         not include any rights to the source code of the Network Operating
         System.

         2.2      EXPLOITATION RIGHTS IN TRUECIRCUIT PRODUCTS

                  (i)      During the Exclusive Term, Leitch shall have the
                           exclusive, worldwide right to make, have made, sell,
                           offer for sale, Sublicense, support, maintain and
                           otherwise exploit the TrueCircuit Products in
                           connection with commercial activities directed to the
                           Exclusive Market Use.

                  (ii)     During the Exclusive Term, Leitch shall have the
                           exclusive, worldwide right to grant to any Person the
                           non-exclusive right to make, have made, sell, offer
                           for sale, Sublicense, support, maintain and otherwise
                           exploit the TrueCircuit Products in connection with
                           commercial activities directed to the Exclusive
                           Market Use, subject to the following:

                                       11

<PAGE>

                           (A)      prior to granting any rights to any Person
                                    pursuant to this Section 2.2(ii), Leitch
                                    shall provide written notice to Path 1
                                    identifying the Person to whom Leitch
                                    proposes to grant such rights (the "PROPOSED
                                    LICENSEE");

                           (B)      Path 1 may, within thirty (30) Calendar Days
                                    following the receipt of such notice, notify
                                    Leitch in writing that Leitch may not grant
                                    any rights to the Proposed Licensee,
                                    provided that Path 1 may only provide such
                                    notice to Leitch if, in Path 1's reasonable
                                    determination, there is a material and
                                    foreseeable likelihood that the Proposed
                                    Licensee's exercise of such rights shall
                                    have a material adverse effect on Path 1's
                                    commercial activities relating to the
                                    Non-Exclusive Market Use;

                           (C)      if Path 1 provides the notice referred to in
                                    Section 2.2(ii)(B) within thirty (30)
                                    Calendar Days following the receipt by Path
                                    1 of the notice provided by Leitch pursuant
                                    to Section 2.2(ii)(A), Leitch shall not be
                                    entitled to grant the rights to such Person
                                    pursuant to this Section 2.2(ii); and

                           (D)      if Path 1 does not provide the notice
                                    referred to in Section 2.2(ii)(B) within
                                    thirty (30) Calendar Days following the
                                    receipt by Path 1 of the notice provided by
                                    Leitch pursuant to Section 2.2(ii)(A),
                                    Leitch shall be entitled to grant the rights
                                    to such Person pursuant to this Section
                                    2.2(ii).

                  (iii)    During the period commencing on the first Calendar
                           Day following the expiry of the Exclusive Term and
                           continuing for the duration of the Term, Leitch shall
                           have the non-exclusive, worldwide right to make, have
                           made, sell, offer for sale, Sublicense, support,
                           maintain and otherwise exploit the TrueCircuit
                           Products in connection with commercial activities
                           directed to the Exclusive Market Use.

                  (iv)     During the Term, subject to any exclusive rights
                           granted by Path 1 in accordance with Section 2.4 and
                           the limitations thereon set forth in Section 2.4,
                           Leitch shall have the non-exclusive, worldwide right
                           to make, have made, sell, offer for sale, Sublicense,
                           support, maintain and otherwise exploit the
                           TrueCircuit Products in connection with commercial
                           activities relating to the Non-Exclusive Market Use.
                           The terms and conditions of this Agreement shall
                           apply to the exercise by Leitch of this right;
                           provided, however, the Parties agree to negotiate in
                           good faith such different or additional terms and
                           conditions governing the exercise by Leitch of this
                           right as may be commercially reasonable and
                           consistent with industry standard and which shall be
                           at least as favourable in all respects as the terms
                           and conditions extended to any other customer or
                           licensee of Path 1.

                                       12

<PAGE>

                  (v)      Leitch shall have no right to grant sublicenses under
                           this Agreement other than the rights specifically set
                           forth in Section 2.2 (ii) and the right to grant
                           Sublicenses specifically set forth in this Section
                           2.2.

         2.3      QUALITY AND PERFORMANCE

         Leitch shall design and manufacture TrueCircuit Products in accordance
         with any reasonable quality and performance criteria provided by Path 1
         to Leitch in writing. Leitch shall, upon request, provide on a loan
         basis to Path 1 a reasonable number of samples of TrueCircuit Products
         for testing, together with instruction and service manuals. In the
         event that Path 1 shall provide Leitch with written notice that any
         TrueCircuit Product offered for sale by Leitch does not comply with
         such reasonable quality and performance criteria, Leitch shall, within
         one hundred twenty (120) days of receipt of such notice from Path 1,
         either a) remedy the noncompliance or b) suspend the sale of the same.
         In addition, Leitch shall include in its agreements with its Proposed
         Licensees requirements comparable to those contained in this Section
         2.3.

         2.4      RIGHT OF FIRST OFFER IN RESPECT OF PATH 1 INTELLECTUAL
                  PROPERTY

         Path 1 shall have the right to grant to an Arm's Length Licensee the
         exclusive right to use the Path 1 Intellectual Property to manufacture
         products and to sell such products in connection with commercial
         activities relating to any Non-Exclusive Market Use, provided that Path
         1 shall not grant any such exclusive right without first providing
         Leitch with the option to acquire that exclusive right in accordance
         with the following procedure:

                  (i)      Path 1 shall provide written notice to Leitch
                           specifying the major terms and conditions pursuant to
                           which Path 1 proposes to grant to Leitch the
                           exclusive right to use the Path 1 Intellectual
                           Property to manufacture products and to sell such
                           products in connection with commercial activities
                           relating to a Non-Exclusive Market Use (the "OFFER").
                           The terms and conditions proposed by Path 1 in the
                           Offer shall be reasonable, consistent with this
                           Agreement and consistent with industry standards;

                  (ii)     Leitch shall provide written notice to Path 1
                           indicating whether it rejects the Offer or whether it
                           wishes to negotiate the terms of the Offer with Path
                           1 within fourteen (14) Calendar Days of the date
                           Leitch receives such notice. If Leitch does not
                           respond to Path 1 within such fourteen (14) Calendar
                           Day period, Leitch shall be deemed to have rejected
                           the Offer and Path 1 shall be governed by the
                           provisions of Section 2.4(vi);

                  (iii)    if Leitch provides written notice to Path 1 that it
                           wishes to negotiate the terms of the Offer with Path
                           1 in accordance with Section 2.4(ii), then, for a
                           period of up to thirty (30) Calendar Days following
                           the date upon which Leitch received the Offer from
                           Path 1, Leitch and Path 1 shall negotiate exclusively
                           the terms upon which Leitch shall be exclusively
                           entitled to use the Path 1 Intellectual Property to
                           manufacture products and to sell

                                       13

<PAGE>

                           such products in connection with commercial
                           activities relating to such Non-Exclusive Market
                           Use based upon the terms and conditions set out in
                           the Offer. The Parties may extend this thirty (30)
                           Calendar Day exclusive negotiating period upon
                           mutual written agreement;

                  (iv)     if Leitch and Path 1 agree in writing to the terms
                           and conditions pursuant to which Leitch shall be
                           exclusively entitled to use the Path 1 Intellectual
                           Property to manufacture products and to sell such
                           products in connection with commercial activities
                           relating to such Non-Exclusive Market Use, then Path
                           1 shall grant such exclusive rights to Leitch;

                  (v)      if Leitch and Path 1 fail to agree in writing to the
                           terms and conditions pursuant to which Leitch shall
                           be exclusively entitled to use the Path 1
                           Intellectual Property to manufacture products and to
                           sell such products in connection with commercial
                           activities relating to such Non-Exclusive Market Use
                           or if Leitch notifies Path 1 in writing that it
                           rejects the Offer, then Leitch shall be deemed to
                           have rejected the Offer;

                  (vi)     if Leitch is deemed to have rejected the Offer
                           pursuant to Section 2.4(ii) or Section 2.4(v), then
                           Path 1 may grant the exclusive right to use the Path
                           1 Intellectual Property to manufacture products and
                           to sell such products in connection with commercial
                           activities relating to such Non-Exclusive Market Use
                           to any Arm's Length Licensee upon terms and
                           conditions which, taken as a whole, are not
                           materially more favourable than those offered to
                           Leitch, provided that Path 1 may not grant such
                           rights to any such Arm's Length Licensee later than
                           one hundred and eighty (180) Calendar Days after the
                           date that Leitch is deemed to have rejected the Offer
                           without Leitch's prior written consent. If Path 1
                           wishes to grant to any Arm's Length Licensee the
                           exclusive right to use the Path 1 Intellectual
                           Property to manufacture products and to sell such
                           products in connection with commercial activities
                           relating to a Non-Exclusive Market Use on terms and
                           conditions which, taken as a whole, are materially
                           more favourable than those offered to Leitch, Path 1
                           must first offer such more favourable terms to Leitch
                           on an exclusive basis, and the Parties shall attempt
                           to negotiate the exclusive right to use the Path 1
                           Intellectual Property to manufacture products and to
                           sell such products in connection with commercial
                           activities relating to such Non-Exclusive Market Use
                           in accordance with the provisions of this Section
                           2.4;

                  (vii)    if Path 1 enters into an agreement with an Arm's
                           Length Licensee pursuant to which it grants to such
                           Arm's Length Licensee the exclusive right to use the
                           Path 1 Intellectual Property to manufacture products
                           and to sell such products in connection with
                           commercial activities relating to a Non-Exclusive
                           Market Use after complying with the requirements of
                           this Section 2.4, then Path 1 shall provide a copy of
                           such agreement to Leitch, and Leitch shall agree
                           that, subject to Section 2.4(viii), it shall not
                           knowingly sell any TrueCircuit Products within the
                           exclusive market

                                       14

<PAGE>

                           segment granted by Path 1 to such Arm's Length
                           Licensee for so long as the Arm's Length Licensee
                           is granted exclusive rights in such market
                           segment. Notwithstanding anything else in this
                           Agreement, Leitch shall have no liability to Path
                           1, any Arm's Length Licensee, or any other Person
                           in the event that any TrueCircuit Products sold by
                           Leitch to Persons who are not within the exclusive
                           market segment granted by Path 1 to an Arm's
                           Length Licensee are sold within the exclusive
                           market segment granted to such Arm's Length
                           Licensee without Leitch's knowledge;

                  (viii)   Notwithstanding Section 2.4(vii), Leitch shall have
                           the following rights with respect to any exclusive
                           market segment granted by Path 1 to an Arm's Length
                           Licensee:

                           (A)      during the period commencing on the date
                                    that Path 1 provides to Leitch a copy of the
                                    agreement between Path 1 and the applicable
                                    Arm's Length Licensee relating to such
                                    exclusive market segment and continuing
                                    until the earlier of: (a) [****]; or
                                    (b) until inventory of TrueCircuit Products
                                    and parts existing or ordered as of the
                                    commencement of such period have been
                                    exhausted, Leitch shall have the right to
                                    sell and offer for sale TrueCircuit Products
                                    to, and support and maintain TrueCircuit
                                    Products sold by Leitch for, any Person in
                                    the exclusive market segment granted to such
                                    Arm's Length Licensee;

                           (B)      during the period commencing on the date
                                    that Path 1 provides to Leitch a copy of the
                                    agreement between Path 1 and the applicable
                                    Arm's Length Licensee relating to such
                                    exclusive market segment and continuing for
                                    a period of [****], Leitch shall
                                    have the right to sell and offer for sale
                                    TrueCircuit Products to, and support and
                                    maintain TrueCircuit Products sold by Leitch
                                    for, any Person in the exclusive market
                                    segment granted to such Arm's Length
                                    Licensee who purchased any TrueCircuit
                                    Product from Leitch prior to the effective
                                    date of the exclusivity granted by Path 1 to
                                    such Arm's Length Licensee; and

                           (C)      during the period commencing on the date
                                    that Path 1 provides to Leitch a copy of the
                                    agreement between Path 1 and the applicable
                                    Arm's Length Licensee relating to such
                                    exclusive market segment and continuing for
                                    a period of [****], Leitch shall
                                    have the right to provide support and
                                    maintenance services relating to the
                                    TrueCircuit Products sold by Leitch for any
                                    Person in the exclusive market segment
                                    granted to such Arm's Length Licensee who
                                    purchased any TrueCircuit Product from
                                    Leitch.

                  (ix)     Path 1 shall not enter into an agreement with an
                           Arm's Length Licensee pursuant to which Path 1 grants
                           to such Arm's Length Licensee the

***CONFIDENTIAL TREATMENT REQUESTED

                                       15

<PAGE>

                           exclusive right to use the Path 1 Intellectual
                           Property to manufacture products and to sell such
                           products in connection with commercial activities
                           relating to any Core Use unless such agreement
                           contains a provision requiring such Arm's Length
                           Licensee to sell such products to Leitch under
                           terms and conditions at least as favourable in all
                           respects as those extended to any other customer
                           or licensee of the Arm's Length Licensee.

         2.5      NETWORK OPERATING SYSTEM

         Path 1 shall develop a Network Operating System and shall enter into a
         license agreement with Leitch pursuant to which Path 1 grants to Leitch
         a license to use, and sell and distribute sublicenses to use, the
         Network Operating System in connection with the development, use and
         exploitation by Leitch of TrueCircuit Products in accordance with the
         terms of this Agreement. The Network Operating System shall be supplied
         in object code format only; however, Path 1 shall enter into a separate
         source code escrow agreement with Leitch and an escrow agent acceptable
         to both Leitch and Path 1. Such license agreement shall provide that
         Leitch shall pay to Path 1 a license fee in respect of the Network
         Operating System to be mutually agreed to by the Parties, which such
         license fee shall:

                  (i)      be consistent with similar license fees charged for
                           the right to use and exploit similar Technology in
                           the market segment in respect of which Leitch has the
                           right to use and exploit the Network Operating System
                           and be commercially reasonable based upon the value
                           of the market segment in respect of which Leitch has
                           the right to use and exploit the Network Operating
                           System, taking into account the market's size,
                           potential, competitive pressures and other
                           characteristics which affect its value;

                  (ii)     be at least as favourable to Leitch as the most
                           favourable license fee paid by any Person to Path 1
                           for similar license rights to use and exploit similar
                           Technology in a market segment similar to the market
                           segment in respect of which Leitch has the right to
                           use and exploit the Network Operating System; and

                  (iii)    subject to applicable competition or anti-trust laws,
                           be in an amount which, based on the characteristics
                           of the market in respect of which Leitch has the
                           right to use and exploit the Network Operating
                           System, enables Leitch to charge a price to its
                           customers for the Network Operating System which
                           includes a margin of no less than [****].

                                   ARTICLE 3
                       ROYALTIES, FEES AND RELATED MATTERS

         3.1      ROYALTY FOR PATH 1 INTELLECTUAL PROPERTY

***CONFIDENTIAL TREATMENT REQUESTED

                                       16

<PAGE>

         In consideration of the rights granted by Path 1 to Leitch pursuant to
         Article 2, commencing on the first Business Day following the expiry of
         the Royalty-Free Period and continuing in respect of each consecutive
         three (3) month period thereafter, Leitch shall pay Path 1 a royalty in
         respect of each individual TrueCircuit Product sold by Leitch or any
         Leitch sublicensee for which Leitch or such Leitch sublicensee has
         received full payment during such three-month period which is equal to
         the lesser of:

                  3.1.1    [****]; and

                  3.1.2    [****] of the Net TrueCircuit Product
                           Revenue for such TrueCircuit Product.

         3.2      PAYMENT PROCESS AND REPORTING

         Within thirty (30) Calendar Days after the end of each three-month
         period in respect of which a royalty payment is due, Leitch shall
         provide to Path 1 a written report containing all relevant information
         upon which Leitch's calculation of the royalty due and payable is
         based. Within ten (10) Business Days after delivery of the report, Path
         1 shall render to Leitch an invoice indicating the amount of the
         royalty due for such period. All such royalty payments shall be due and
         payable by Leitch within thirty (30) Calendar Days following the
         receipt by Leitch of such invoice.

         3.3      TAXES

         Each Party shall be responsible for the payment of those taxes, duties,
         and levies levied on that Party from time to time in relation to such
         Party's performance pursuant to this Agreement. Where one Party is
         required to collect and remit taxes payable by the other Party, that
         Party shall so collect and remit such taxes. Without limiting the
         generality of the foregoing, Leitch shall be entitled to withhold from
         all fees payable to Path 1 hereunder all applicable withholding taxes
         and to remit same to all applicable taxing authorities as required by
         law.

         3.4      AUDIT

         Leitch will keep complete and accurate books and records containing
         information reasonably necessary for the purpose of determining the
         amount of royalties payable to Path 1 hereunder. At the request of Path
         1, such books and supporting data will be made available, upon
         reasonable notice during the Term of this Agreement and for a period of
         two (2) years after its termination or expiration, for inspection by an
         independent third party auditor selected by the Party requesting the
         audit and reasonably acceptable to Leitch. In the event any such audit
         reveals an error in the books and records relating to the royalties
         payable to Path 1, the overpayment or deficiency will be paid by the
         appropriate Party within thirty (30) calendar days after completion of
         the audit. The cost of such audit will be paid by the Party requesting
         the audit, provided that if such audit reveals an error adverse to the
         auditing Party in excess of ten percent (10%), Leitch will pay, in
         addition to the deficiency, the reasonable, documented fees and
         expenses of such auditor.

***CONFIDENTIAL TREATMENT REQUESTED

                                       17

<PAGE>

                                   ARTICLE 4
               TRADE-MARKS; STANDARDIZATION; PUBLIC ANNOUNCEMENTS

         4.1      USE OF PATH 1 TRADE-MARK

         Leitch agrees that it shall include, in all user manuals provided to
         its customers in relation to any products or services which include
         Path 1 Intellectual Property, an acknowledgement specifying that such
         product or service includes Path 1 Intellectual Property, which
         acknowledgement shall include a reference to the applicable trade-mark
         of Path 1. The form of such acknowledgement shall be mutually agreed to
         by the Parties. In addition, Leitch shall include in its agreements
         with its Proposed Licensees a requirement that the Proposed Licensee
         shall comply with provisions substantially similar to this Section 4.1.

         4.2      STANDARDIZATION

         Leitch and Path 1 each agree to market and promote the products and
         services sold by the Parties hereunder in a manner designed to
         encourage the widespread and universal adoption of such products and
         services as the industry standard.

         4.3      PUBLIC ANNOUNCEMENTS

         Neither Party shall disclose or permit the disclosure to any other
         person of the existence of this Agreement or any of the transactions
         contemplated hereby unless such disclosure is approved in writing in
         advance by the other Party or is required by any applicable law,
         regulation (including, but not limited to, stock exchange regulations)
         or legal process. Any public announcement or similar publicity with
         respect to this Agreement or the transactions contemplated hereby shall
         be issued, if at all, at such time and in such manner as is agreed by
         the Parties.

                                   ARTICLE 5
                    CONFIDENTIALITY, OWNERSHIP AND PROTECTION

         5.1      CONFIDENTIALITY COVENANT

                  5.1.1    Each Party shall at all times, both during the term
                           of this Agreement and thereafter, keep and hold all
                           Confidential Information of the other Party in the
                           strictest confidence, and shall not use such
                           Confidential Information for any purpose, other than
                           as may be reasonably necessary for the performance of
                           its duties pursuant to this Agreement or as otherwise
                           expressly permitted by this Agreement, without the
                           other Party's prior written consent.

                  5.1.2    Each Party agrees:

                           (A)      that it shall not disclose to any third
                                    party or use any Confidential Information
                                    disclosed to it by the other except as
                                    expressly permitted in this Agreement; and

                                       18

<PAGE>

                           (B)      that it shall take all reasonable measures
                                    to maintain the confidentiality of all
                                    Confidential Information of the other Party
                                    in its possession or control, which shall in
                                    no event be less than the measures it uses
                                    to maintain the confidentiality of its own
                                    information of similar importance.

                  5.1.3    Notwithstanding any other provision of this Section
                           5.1, each Party may disclose Confidential
                           Information:

                           (A)      to the extent required by a court of
                                    competent jurisdiction or other governmental
                                    authority or otherwise as required by law;
                                    or

                           (B)      on a "need-to-know" basis under an
                                    obligation of confidentiality to its
                                    Affiliates and to its and its Affiliates'
                                    authorized agents, contractors, legal
                                    counsel, accountants, banks and other
                                    financing sources and their advisors.

                  5.1.4    The terms and conditions of this Agreement constitute
                           Confidential Information of each Party and shall not
                           be disclosed without the written consent of the other
                           Party which consent shall not be unreasonably
                           withheld or delayed.

                  5.1.5    Each Party acknowledges that its failure to comply
                           with the provisions of this Section 5.1 shall cause
                           irreparable harm to the other Party which cannot be
                           adequately compensated for in damages, and
                           accordingly acknowledges that the other Party shall
                           be entitled to obtain, in addition to any other
                           remedies available to it, interlocutory and permanent
                           injunctive relief to restrain any anticipated,
                           present or continuing breach of this Section 5.1.

         5.2      RETURN OF CONFIDENTIAL INFORMATION

         Upon the termination of this Agreement, each Party shall return to the
         other Party or destroy, upon the other Party's request to that effect,
         all Confidential Information of the other which is then in its
         possession or control, and shall remove all digital representations
         thereof in any form from all electronic storage media in its possession
         or under its control.

         5.3      PATH 1 INTELLECTUAL PROPERTY

         Leitch acknowledges and agrees that, except as expressly provided
         hereunder, Path 1 shall own all Intellectual Property Rights in all
         Path 1 Intellectual Property including, without limitation, the Network
         Operating System. Without limiting the generality of the foregoing,
         Path 1 shall have the exclusive, worldwide right, at its own expense,
         to pursue the registration of Intellectual Property Rights in the Path
         1 Intellectual Property and to enforce its Intellectual Property Rights
         therein. Leitch shall co-operate with Path 1, at Path 1's expense, in
         the pursuit of registration of Intellectual Property Rights in the Path
         1 Intellectual Property. Leitch further agrees that it shall promptly
         notify Path 1 in

                                       19

<PAGE>

         writing of any infringement of any Intellectual Property Rights in any
         Path 1 Intellectual Property of which it becomes aware and that it
         shall co-operate with Path 1, at Path 1's expense, in enforcing Path
         1's Intellectual Property Rights against third parties.

                                   ARTICLE 6
                 AGREEMENT TERM, EXCLUSIVE TERM AND TERMINATION

         6.1      DURATION OF AGREEMENT TERM

         This Agreement shall begin on the Effective Date and shall continue for
         a period of five (5) years (the "INITIAL TERM") unless terminated
         earlier in accordance with Section 6.3. This Agreement shall
         automatically renew for consecutive additional periods of five (5)
         years unless:

                  6.1.1    terminated earlier in accordance with Section 6.3; or

                  6.1.2    either Party provides written notice to the other
                           Party on or prior to the Calendar Day which is ninety
                           (90) Calendar Days prior to the end of the
                           then-current Initial Term or renewal thereof
                           indicating that it wishes to terminate the Agreement
                           at the end of the then-current Initial Term or
                           renewal thereof; provided that Path 1 may only
                           provide such a notice of termination if the Exclusive
                           Term has expired as of the Calendar Day that Path 1
                           wishes to provide such notice of termination.

         6.2      DURATION OF EXCLUSIVE TERM

                  6.2.1    The initial duration of the Exclusive Term shall be
                           the period beginning on the Effective Date and
                           continuing until the end of the first Exclusive Year
                           as described in Section 1.1.14.1 (the "INITIAL
                           EXCLUSIVE TERM"). The Exclusive Term shall thereafter
                           automatically renew for consecutive additional
                           periods of one (1) year (each of which, for greater
                           certainty, shall constitute an Exclusive Year) if, in
                           respect of the then-current Exclusive Year, Path 1
                           has received Aggregate Annual Fees equal to or
                           greater than the minimum Aggregate Annual Fees
                           requirement applicable to each such Exclusive Year.
                           The minimum Aggregate Annual Fees requirements
                           applicable to each of the first five (5) Exclusive
                           Year Periods are set out in Section 6.2.2 below. The
                           minimum Aggregate Annual Fees requirement applicable
                           to each Exclusive Year after the fifth (5th)
                           Exclusive Year shall be determined in accordance with
                           Section 6.2.3.

                  6.2.2    The Parties agree that the minimum Aggregate Annual
                           Fees requirement applicable to each of the first five
                           (5) Exclusive Years shall be as indicated in the
                           table below:

<TABLE>
<CAPTION>

                 -------------------------------------------------- -------------------------------------------------
                                  EXCLUSIVE YEAR                                 AGGREGATE ANNUAL FEES
                 -------------------------------------------------- -------------------------------------------------
<S>                                                                 <C>
                 First                                              $        0
                 -------------------------------------------------- -------------------------------------------------
                 Second                                             $2,000,000
                 -------------------------------------------------- -------------------------------------------------

***CONFIDENTIAL TREATMENT REQUESTED

                                       20

<PAGE>

                 -------------------------------------------------- -------------------------------------------------
                 Third                                              $ 5,000,000
                 -------------------------------------------------- -------------------------------------------------
                 Fourth                                             $10,000,000
                 -------------------------------------------------- -------------------------------------------------
                 Fifth                                              $15,000,000
                 -------------------------------------------------- -------------------------------------------------
</TABLE>

                  6.2.3    The Parties agree to follow the process set out in
                           this Section 6.2.3 in order to determine the minimum
                           Aggregate Annual Fees requirement applicable to the
                           sixth (6th) and each subsequent Exclusive Year. No
                           later than ninety (90) Calendar Days prior to the end
                           of the then-current Exclusive Year, the Parties shall
                           meet and negotiate in good faith the Aggregate Annual
                           Fees requirement applicable to the following
                           Exclusive Year. The Parties agree that each such
                           Aggregate Annual Fees requirement shall be no less
                           than the Aggregate Annual Fees requirement applicable
                           to the preceding Exclusive Year and no greater than
                           one and one half (1.5) times the Aggregate Annual
                           Fees requirement applicable to the preceding
                           Exclusive Year.

                  6.2.4    Path 1 may reduce the Aggregate Annual Fees
                           requirement in any Exclusive Year or extend the
                           period of time in respect of which Leitch must
                           achieve such Aggregate Annual Fees requirement beyond
                           the Exclusive Year in the event that the actual
                           market conditions during such Exclusive Year are less
                           favourable than the forecasted market conditions for
                           such Exclusive Year.

         6.3      TERMINATION

                  6.3.1    Either Party may terminate this Agreement by
                           providing written notice to the other Party if the
                           other Party commits a material breach of a material
                           term of this Agreement and fails to cure such breach
                           within thirty (30) Calendar Days of receipt of
                           written notice of such breach from the non-breaching
                           Party.

                  6.3.2    Either Party may terminate this Agreement if the
                           other Party: (i) becomes the subject of a voluntary
                           or involuntary petition in bankruptcy or any
                           proceeding relating to insolvency, receivership,
                           liquidation, or composition for the benefit of
                           creditors, if that petition or proceeding is not
                           dismissed within sixty (60) Calendar Days after
                           filing; (ii) suspends the operation of its present
                           business or liquidates its business assets; or (iii)
                           generally fails to pay its debts as such debts become
                           due or admits in writing its inability to pay its
                           debts.

         6.4      EFFECTS OF TERMINATION OR EXPIRATION

         Upon the termination or expiration of this Agreement, Leitch shall have
         the following rights:

                  6.4.1    during the period commencing on the effective date of
                           such termination or expiration and continuing for the
                           earlier of: (a) [****]; or (b) until

***CONFIDENTIAL TREATMENT REQUESTED

                                       21

<PAGE>

                           inventory of TrueCircuit Products and parts existing
                           or ordered as of the date of termination or
                           expiration have been exhausted;or expiration. Leitch
                           shall have the non-exclusive, worldwide right to sell
                           and offer for sale TrueCircuit Product to, and
                           support and maintain the TrueCircuit Products sold by
                           Leitch for, any Person in connection with commercial
                           activities relating to the Exclusive Market Use and
                           the Non-Exclusive Market Use;

                  6.4.2    during the period commencing on the effective date of
                           such termination or expiration and continuing for a
                           period of [****], Leitch shall have the
                           non-exclusive, worldwide right to sell and offer for
                           sale TrueCircuit Products to, and support and
                           maintain TrueCircuit Products sold by Leitch for, any
                           Person who purchased any TrueCircuit Product from
                           Leitch prior to the effective date of termination or
                           expiration of this Agreement;

                  6.4.3    during the period commencing on the effective date of
                           such termination or expiration and continuing for a
                           period of [****], Leitch shall have the right
                           to provide support and maintenance services relating
                           to the TrueCircuit Products sold by Leitch for any
                           Person who purchased any TrueCircuit Product from
                           Leitch; and

                  6.4.4    during the periods referred to in Sections 6.4.1 to
                           6.4.3, Leitch shall have a non-exclusive, worldwide
                           license to use, copy, modify, enhance, sell,
                           distribute, support, maintain, and create derivative
                           works from the Path 1 Intellectual Property as
                           required in order to exercise the rights set out in
                           each of Sections 6.4.1, 6.4.2, and 6.4.3,
                           respectively.

         6.5      SURVIVAL

         The  provisions of Articles 5 and 7 and Sections 6.4,  6.5, 9.5 and
         9.7 shall survive any  termination  or expiration of this Agreement.

                                   ARTICLE 7
                 WARRANTY, INDEMNITY AND LIMITATION OF LIABILITY

         7.1      LEITCH REPRESENTATIONS, WARRANTIES AND COVENANTS

         Leitch represents, warrants and covenants to Path 1 as follows and
         acknowledges that Path 1 has relied upon the completeness and accuracy
         of such representations, warranties and covenants in entering into this
         Agreement:

                  7.1.1    it has the corporate capacity to enter into this
                           Agreement and to perform each of its obligations
                           hereunder;

                  7.1.2    it has duly authorized, executed and delivered this
                           Agreement and this Agreement constitutes a legally
                           valid and binding obligation of it enforceable
                           against it in accordance with its terms except as
                           such enforcement may be limited by applicable
                           bankruptcy, insolvency and

***CONFIDENTIAL TREATMENT REQUESTED

                                       22

<PAGE>

                           other laws of general application affecting the
                           enforcement of creditors' rights and subject to
                           general equitable principles; and

                  7.1.3    Leitch's performance of the obligations in this
                           Agreement shall comply with and shall neither
                           contravene, breach nor infringe any laws or
                           regulations applicable in Canada.

         7.2      PATH 1 REPRESENTATIONS, WARRANTIES AND COVENANTS

         Path 1 represents, warrants and covenants to Leitch as follows and
         acknowledges that Leitch has relied upon the completeness and accuracy
         of such representations, warranties and covenants in entering into this
         Agreement:

                  7.2.1    it has the corporate capacity to enter into this
                           Agreement and to perform each of its obligations
                           hereunder;

                  7.2.2    it has duly authorized, executed and delivered this
                           Agreement and this Agreement constitutes a legally
                           valid and binding obligation of it enforceable
                           against it in accordance with its terms except as
                           such enforcement may be limited by applicable
                           bankruptcy, insolvency and other laws of general
                           application affecting the enforcement of creditors'
                           rights and subject to general equitable principles;

                  7.2.3    it is and shall be the legal and beneficial owner or
                           authorized licensor of all Intellectual Property
                           Rights in the Path 1 Intellectual Property free and
                           clear of all liens, charges and encumbrances to the
                           extent that the same may restrict or limit the
                           ability of Path 1 to perform its obligations or of
                           Leitch to exercise its rights under this Agreement
                           and Path 1 has the full power and authority to grant
                           the rights in the Path 1 Intellectual Property herein
                           contemplated without the consent of any other person;

                  7.2.4    Path 1 has not and shall not grant any rights or
                           licenses to the whole or any part of the Path 1
                           Intellectual Property or enter into any agreement or
                           understanding that would conflict with Path 1's
                           obligations or Leitch's rights under this Agreement;

                  7.2.5    no portion of the Path 1 Intellectual Property
                           contains or shall contain any disabling mechanism or
                           protection feature designed to prevent its use
                           including any clock, timer, counter, computer virus,
                           worm, software lock, drop dead device, Trojan horse
                           routine, trap door, time bomb or any other codes,
                           designs, routines or instructions that may be used to
                           access, modify, replicate, distort, delete, damage or
                           disable the Path 1 Intellectual Property or any
                           Technology on which the Path 1 Intellectual Property
                           is used or displayed except as specifically designed
                           into the Path 1 Intellectual Property of which Leitch
                           has actual knowledge; and

                                       23

<PAGE>

                  7.2.6    Path 1's performance of the obligations in this
                           Agreement shall comply with and shall neither
                           contravene, breach nor infringe any laws or
                           regulations applicable in the United States of
                           America.

         7.3      LIMITATION OF WARRANTY

         THE WARRANTIES SET FORTH IN THIS ARTICLE 7 ARE THE ONLY WARRANTIES
         PROVIDED BY EITHER PARTY HERETO. EXCEPT AS EXPRESSLY PROVIDED HEREIN,
         EACH PARTY HEREBY DISCLAIMS ALL IMPLIED WARRANTIES, INCLUDING WITHOUT
         LIMITATION, ALL WARRANTIES OF MERCHANTABLE QUALITY, NON-INFRINGEMENT OF
         THIRD PARTY RIGHTS AND FITNESS FOR A PARTICULAR PURPOSE.

         7.4      INDEMNITIES

                  7.4.1    Notwithstanding any other provision hereof, Leitch
                           agrees to defend, indemnify and hold Path 1 and its
                           Affiliates and their respective directors, officers
                           and employees harmless from and against all losses,
                           costs, damages, expenses and liabilities (including
                           reasonable legal fees) which they may suffer or incur
                           arising out of or as a result of or relating in any
                           manner whatsoever to any breach by Leitch of Section
                           7.1 or Section 5.1 of this Agreement.

                  7.4.2    Notwithstanding any other provision hereof, Path 1
                           agrees to defend, indemnify and hold Leitch and its
                           Affiliates and their respective directors, officers
                           and employees harmless from and against all losses,
                           costs, damages, expenses and liabilities (including
                           reasonable legal fees) which they may suffer or incur
                           arising out of or as a result of or relating in any
                           manner whatsoever to any breach by Path 1 of Section
                           7.2 or Section 5.1 of this Agreement.

         7.5      INFRINGEMENT CLAIMS

                  7.5.1    If all or any portion of the Path 1 Intellectual
                           Property is, in Path 1's opinion, likely to or
                           otherwise does become the subject of a claim for
                           infringement of any Intellectual Property Rights,
                           Path 1 shall, at its option and its sole cost and
                           expense, either:

                           7.5.1.1  procure in favour of Leitch the right to use
                                    the same as contemplated herein;

                           7.5.1.2  modify the same to become non infringing
                                    provided that any such modification does not
                                    impair the ability of such Path 1
                                    Intellectual Property to conform to and
                                    perform in accordance with the
                                    specifications therefor or the intended use
                                    of such Path 1 Intellectual Property; or

                                       24

<PAGE>

                           7.5.1.3  replace the infringing portion of such Path
                                    1 Intellectual Property with compatible,
                                    equivalent and non-infringing Technology,
                                    Technology Documentation, Know-How or
                                    Confidential Information, as applicable.

         7.6      LIMITATIONS ON LIABILITY

         EXCEPT FOR EACH PARTY'S LIABILITY FOR BREACHES OF SECTIONS 5.1 AND 7.4
         AND PATH 1'S OBLIGATIONS PURSUANT TO SECTION 7.5, WHICH SHALL INCLUDE,
         WITHOUT LIMITATION, LIABILITY FOR SPECIAL, CONSEQUENTIAL, INDIRECT,
         INCIDENTAL, EXEMPLARY OR PUNITIVE DAMAGES AND LOSS OF PROFIT, THE
         LIABILITY OF EACH PARTY TO THE OTHER PARTY IN RELATION TO THIS
         AGREEMENT SHALL IN ALL CIRCUMSTANCES BE LIMITED TO DIRECT DAMAGES AND
         NEITHER PARTY SHALL BE LIABLE FOR ANY SPECIAL, CONSEQUENTIAL, INDIRECT,
         INCIDENTAL, EXEMPLARY OR PUNITIVE DAMAGES OR LOSS OF PROFIT, WHETHER IN
         CONTRACT, TORT OR OTHERWISE RESULTING FROM ANY CAUSE OF ACTION
         WHATSOEVER, INCLUDING NEGLIGENCE, GROSS NEGLIGENCE, NEGLIGENT
         MISREPRESENTATION AND/OR FUNDAMENTAL BREACH OR OTHER THEORY OF LAW.

                                   ARTICLE 8
                   CONTRACT MANAGEMENT AND DISPUTE RESOLUTION

         8.1      CONTRACT GOVERNANCE

         The Parties agree to utilize the process set out in this Article 8 to
         consult and render decisions relating to the interpretation and
         implementation of this Agreement.

         8.2      CONTACTS AND CONTACT MEETINGS

         The Parties agree that each shall designate no more than two (2)
         principal contacts for day-to-day liaison and management of their
         relationship under this Agreement during the Term (the "Contacts").
         Unless otherwise mutually agreed, the Contacts shall meet on a regular
         basis in person or by telephone, but in any event no less than once a
         month, in order to review the Parties' respective performance under
         this Agreement, discuss relevant issues, and resolve or, upon mutual
         agreement, escalate issues as necessary. The Contacts shall not have
         any authority or right to either amend or revise this Agreement, nor to
         waive any obligations, duties or responsibilities of either Party under
         this Agreement. Each Party shall pay its own costs associated with its
         respective Contacts.

         8.3      JOINT MANAGEMENT COMMITTEE

         Leitch and Path 1 shall form a management committee (the "Committee")
         composed of two or more senior representatives of Leitch and two or
         more senior representatives of Path 1 who shall, from time to time,
         meet to review and discuss matters related to this Agreement. The
         number of representatives of Leitch and Path 1 on the Committee shall
         at all times be equal. The Committee in its discretion may invite the
         participation of the

                                       25

<PAGE>

         Contacts or others in its deliberations. The Committee shall have
         the right to implement the Agreement and make decisions of an
         interpretive nature (including without limitation decisions
         regarding issues to be put before the Committee as set forth
         herein), but the Committee shall not have the authority or right to
         either amend or revise this Agreement, or to waive any obligations,
         duties or responsibilities of either Party under this Agreement.
         Each Party shall pay its own costs associated with its respective
         Committee representatives.

         8.4      DISPUTE RESOLUTION AND APPLICABLE LAW

         Leitch and Path 1 expressly agree to the following exclusive internal
         dispute escalation provisions governing all performance and disputes
         under this Agreement:

                  8.4.1    In the event that Leitch and Path 1 cannot resolve a
                           dispute under the Agreement in the normal course of
                           performance (including through recourse to the
                           Contacts), then each Party's designated Committee
                           members shall confer immediately and use reasonable
                           efforts to resolve the dispute within fifteen (15)
                           Calendar Days of their initial conference. No dispute
                           shall be considered resolved until both Parties have
                           agreed to the resolution in writing. The designated
                           Committee members shall mutually agree on the methods
                           by which they attempt to resolve any dispute such as,
                           for example, telephone and/or video conferences,
                           e-mail and fax communications, and/or face to face
                           meetings. The costs under this Subsection 8.4.1 shall
                           be shared equally by the Parties.

                  8.4.2    In the event that each Party's designated Committee
                           members cannot resolve a dispute under the Agreement
                           as specified in Section 8.4.1 above, then each
                           Party's respective Presidents (or an equivalent or
                           higher position) having responsibility for this
                           Agreement shall confer immediately and use reasonable
                           efforts to resolve the dispute within fifteen (15)
                           Calendar Days of their initial conference. No dispute
                           shall be considered resolved until both Parties have
                           agreed to the resolution in writing. The respective
                           Presidents (or equivalents) shall mutually agree on
                           the methods by which they attempt to resolve any
                           dispute such as, for example, telephone and/or video
                           conferences, e-mail and fax communications, and/or
                           face to face meetings. The costs under this
                           Subsection 8.4.2 shall be shared equally by the
                           Parties.

                  8.4.3    In the event that each Party's respective Presidents
                           (or equivalents) cannot resolve a dispute under the
                           Agreement as specified in Subsection 8.4.2 above,
                           then the Parties shall resolve such dispute by
                           arbitration administered by the American Arbitration
                           Association under its Commercial Arbitration Rules,
                           and judgment on the award rendered by the
                           arbitrator(s) may be entered in any court of
                           competent jurisdiction.

                                   ARTICLE 9
                                     GENERAL

                                       26

<PAGE>

         9.1      EXPENSES

         Each of Leitch and Path 1 shall be responsible for the expenses
         (including fees and expenses of legal advisers, accountants and other
         professional advisers) incurred by it, respectively, in connection with
         the negotiation and settlement of this Agreement and the completion of
         the transactions contemplated hereby.

         9.2      NOTICES

         Any notice or other communication required or permitted to be given
         hereunder shall be in writing and shall be given by prepaid first-class
         mail, by facsimile or other means of electronic communication or by
         delivery as hereafter provided. Any such notice or other communication,
         if mailed by prepaid first-class mail at any time other than during a
         general discontinuance of postal service due to strike, lockout or
         otherwise, shall be deemed to have been received on the fourth Business
         Day after the post-marked date thereof, or if sent by facsimile or
         other means of electronic communication, shall be deemed to have been
         received on the Business Day following the sending, or if delivered by
         hand shall be deemed to have been received at the time it is delivered
         to the applicable address noted below either to the individual
         designated below or to an individual at such address having apparent
         authority to accept deliveries on behalf of the addressee. Notice of
         change of address shall also be governed by this Section. In the event
         of a general discontinuance of postal service due to strike, lock-out
         or otherwise, notices or other communications shall be delivered by
         hand or sent by facsimile or other means of electronic communication
         and shall be deemed to have been received in accordance with this
         Section. Notices and other communications shall be addressed as
         follows:

                  9.2.1    if to Path 1:

                           Path 1 Network Technologies Inc.
                           3636 Nobel Drive, Suite 275
                           San Diego, California
                           USA 92122
                           Attention:       Douglas A. Palmer
                           Telecopier No.: (858) 450-4203

                  9.2.2    if to Leitch:

                           Leitch Technology Corporation
                           25 Dyas Road
                           North York, Ontario
                           Canada M3B 1V7
                           Attention:       Reg Tiessen
                           Telecopier No.: (416) 445-4308

                           Copy to:

                           Attention:       James J. Sterling
                           Telecopier No.: (416) 445-0125

                                       27

<PAGE>

         Notwithstanding the foregoing, any notice or other communication
         required or permitted to be given by any Party pursuant to or in
         connection with any arbitration procedures contained in any Schedule
         hereto may only be delivered by hand or by facsimile or other means of
         electronic communication.

         9.3      TIME IS OF THE ESSENCE

         Time is of the essence of this Agreement.

         9.4      RELATIONSHIP OF PARTIES

         This Agreement is not intended to, and none of the provisions of this
         Agreement shall:

                  9.4.1    create a partnership between Leitch and Path 1;

                  9.4.2    create a fiduciary relationship between Leitch and
                           Path 1;

                  9.4.3    create a relationship of principal and agent between
                           Leitch and Path 1;

                  9.4.4    grant either Leitch or Path 1 any authority to bind
                           the other to perform any obligations to any third
                           party, or to hold itself out as having such authority
                           to third parties; or

                  9.4.5    create any joint or several liability between Leitch
                           and Path 1.

         9.5      FURTHER ASSURANCES

         Each of the Parties hereto shall promptly do, make, execute or deliver,
         or cause to be done, made, executed or delivered, all such further
         acts, documents and things as the other Party hereto may reasonably
         require from time to time for the purpose of giving effect to this
         Agreement and shall use commercially reasonable efforts and take all
         such steps as may be reasonably within its power to implement to their
         full extent the provisions of this Agreement.

         9.6      SEVERABILITY

         Any provision of this Agreement which is invalid or unenforceable in
         any jurisdiction shall, as to that jurisdiction, be ineffective to the
         extent of such invalidity or unenforceability and shall be severed from
         the balance of this Agreement, all without affecting the remaining
         provisions of this Agreement or affecting the validity or
         enforceability of such provision in any other jurisdiction and
         appropriate amendments shall be made to this Agreement to put the Party
         who is disadvantaged by such invalidity or unenforceability in the same
         financial position as if no provision hereof were invalid or
         unenforceable. In the event that any portion of this Agreement shall
         have been so determined to be or become invalid or unenforceable (the
         "Offending Portion"), the Parties shall negotiate in good faith such
         changes to this Agreement as shall best preserve for the Parties the
         benefits and obligations of such Offending Portion.

                                       28

<PAGE>

         9.7      GOVERNING LAW

         This Agreement shall be exclusively governed by, and construed in
         accordance with, the laws applicable in the State of New York, United
         States of America. Any state or Federal courts situated within the
         State of New York shall have the exclusive jurisdiction to adjudicate
         any dispute arising out of this Agreement. Each Party hereby:

                  9.7.1    submits and attorns to the exclusive jurisdiction of
                           the federal or state courts located in New York;

                  9.7.2    consents to service of process being effected upon
                           the other Party by registered mail sent to the
                           address set forth in Section 9.2 hereof;

                  9.7.3    waives the right to a trial by jury in any dispute
                           arising out of this Agreement.

         9.8      REMEDIES CUMULATIVE

         Unless otherwise expressly stated herein, all rights and remedies of
         each Party under this Agreement are in addition to that Party's other
         rights and remedies and are cumulative, not alternative.

         9.9      FORCE MAJEURE

         Any delay in or failure of performance by either Party under this
         Agreement shall not be considered a breach of this Agreement and shall
         be excused to the extent caused by an event of Force Majeure.

         9.10     SUCCESSORS AND ASSIGNS

         This Agreement shall be binding upon and shall inure to the benefit of
         and be enforceable by each of the Parties, their respective successors
         and permitted assigns. Neither Party shall assign or subcontract all or
         any portion of this Agreement without the other Party's prior written
         consent. Notwithstanding the foregoing, either Party may assign this
         Agreement or any of its rights or obligations hereunder to an Affiliate
         or to a purchaser of all or substantially all of that Party's assets
         without the other Party's prior consent. For the purposes of this
         Section 9.10 a change in Control of a Party shall not constitute an
         assignment.

         9.11     ENTIRE AGREEMENT

         This Agreement constitutes the entire agreement between the Parties
         pertaining to the subject matter of this Agreement. There are no
         warranties, conditions, or representations (including any that may be
         implied by statute) and there are no agreements in connection with such
         subject matter except as specifically set forth or referred to in this
         Agreement. No reliance is placed on any warranty, representation,
         opinion, advice or assertion of fact made either prior to,
         contemporaneous with, or after entering into this Agreement, or any
         amendment or supplement thereto, by any Party to this Agreement or its
         directors,

                                       29

<PAGE>

         officers, employees or agents, to any other Party to this Agreement
         or its directors, officers, employees or agents, except to the
         extent that the same has been reduced to writing and included as a
         term of this Agreement, and none of the Parties to this Agreement
         has been induced to enter into this Agreement or any amendment or
         supplement by reason of any such warranty, representation, opinion,
         advice or assertion of fact. Accordingly, there shall be no
         liability, either in tort or in contract, assessed in relation to
         any such warranty, representation, opinion, advice or assertion of
         fact, except to the extent contemplated above.

         9.12     WAIVER

         A waiver of any default, breach or non-compliance under this Agreement
         is not effective unless in writing and signed by the Party to be bound
         by the waiver. No waiver shall be inferred from or implied by any
         failure to act or delay in acting by a Party in respect of any default,
         breach, non-observance or by anything done or omitted to be done by
         another Party. The waiver by a Party of any default, breach or
         non-compliance under this Agreement shall not operate as a waiver of
         that Party's rights under this Agreement in respect of any continuing
         or subsequent default, breach or non-compliance (whether of the same or
         any other nature).

         9.13     AGREEMENT DRAWN IN ENGLISH

         The Parties confirm that it is their wish that this Agreement, as well
         as all other documents relating hereto, including all notices, have
         been and shall be drawn up in the English language only. Les parties
         aux presentes confirment leur volonte que cette convention, de meme que
         tous les documents, y compris tout avis, qui s'y rattachent, soient
         rediges en langue anglaise.

         9.14     COUNTERPARTS

         This Agreement may be signed in counterparts (including counterparts
         signed by facsimile transmission) and each of such counterparts shall
         constitute an original document and such counterparts, taken together,
         shall constitute one and the same instrument.

                                       30

<PAGE>

         IN WITNESS WHEREOF the Parties have executed this Agreement.

                                                LEITCH TECHNOLOGY CORPORATION

                                                By: /s/ J. A. MacDonald
                                                   -----------------------------
                                                       Name:
                                                       Title:

                                                By: /s/ Reg J. Tiessen
                                                   -----------------------------
                                                       Name:
                                                       Title:

                                                PATH 1 NETWORK TECHNOLOGIES INC.

                                                By: /s/ Vera Moldt
                                                   -----------------------------
                                                       Name:
                                                       Title:

                                                By: /s/ Michael Elliott
                                                   -----------------------------
                                                       Name:
                                                       Title:

                                       31

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00010-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00010-of-00352.parquet"}]]