Document:

REGISTRATION RIGHTS AGREEMENT

         THIS REGISTRATION RIGHTS AGREEMENT (this "Agreement"), dated January
31, 2000, is made and entered into by and between Research Engineers, Inc., a
Delaware corporation ("Company"), and Jayent Bhindi ("Holder").

                                    RECITALS

         A. Holder has been issued 5,001 shares (the "Shares") of the Company's
common stock, $.01 par value (the "Common Stock"), pursuant to the terms and
conditions of that certain Stock Purchase Agreement dated of even date herein
between the Company, Holder and other shareholders of e-Destinations, Inc. (the
"Stock Purchase Agreement").

         B. Holder has been issued options (the "Options") to purchase up to
8,335 shares (the "Option Shares") of Common Stock pursuant to the terms and
conditions of the Stock Purchase Agreement.

         C. In accordance with the requirements of the Stock Purchase Agreement,
the Company desires to provide Holder with registration rights with respect to
the Shares and the Option Shares issuable to Holder upon the exercise of the
Options upon the terms and conditions hereinafter set forth.

                                    AGREEMENT

         NOW, THEREFORE, in consideration of the foregoing premises and the
mutual covenants and conditions hereinafter set forth, the parties hereto hereby
agree as follows:

1. DEFINITIONS.

         1.1 "COMMON STOCK" shall mean the Common Stock, $.01 par value per
share, of the Company.

         1.2 "EXCHANGE ACT" shall mean the Securities Exchange Act of 1934, as
amended.

         1.3 "OPTION SHARES" shall have the meaning set forth in the Recitals to
this Agreement.

         1.4 "REGISTRABLE SECURITIES" shall mean (i) the Shares, (ii) the Option
Shares and (iii) any securities issued or issuable with respect to such Shares
or Option Shares by way of a stock dividend or stock split or in connection with
a combination of shares, recapitalization, merger, consideration or other
reorganization. As to any particular Registrable Securities, once issued, such
shares shall cease to be Registrable Securities when (a) such shares shall have
been registered under the Securities Act, the registration statement with
respect to the sale of such shares shall have become effective under the
Securities Act and such shares shall have been disposed of pursuant to such

<PAGE>

effective registration statement, (b) such shares shall have been distributed
pursuant to Rule 144 (or any similar provision relating to the disposition of
securities then in force) under the Securities Act, (c) such shares shall have
been otherwise transferred, new certificates or other evidences of ownership for
them not bearing a legend restricting further transfer and not subject to any
stop-transfer order or other restrictions on transfer shall have been delivered
by the Company and subsequent disposition of such shares shall not require
registration or qualification of such shares under the Securities Act or any
state securities laws then in force, or (d) such shares shall cease to be
outstanding.

         1.5 "REGISTRATION EXPENSES" shall have the meaning set forth in Section
3.3.

         1.6 "SEC" shall mean the Securities and Exchange Commission.

         1.7 "SECURITIES ACT" shall mean the Securities Act of 1933, as amended.

         1.8 "SHARES" shall have the meaning set forth in the recitals to this
Agreement.

2. REGISTRATION UPON OCCURRENCE OF CERTAIN EVENT.

         2.1 REGISTRATION OBLIGATION. The Company shall file with the SEC on or
before March 1, 2000 a registration statement with respect to the Registrable
Securities in the manner described in Section 4 hereof and use its best efforts
to cause such registration statement to become effective as soon as possible
thereafter.

         2.2 REGISTRATION EXPENSES. The Company will pay all Registration
Expenses (as defined in Section 3.3) in connection with a registration effected
pursuant to this Section 2, whether or not such registration becomes effective
under the Securities Act; PROVIDED, HOWEVER, that if any registration statement
filed pursuant to this Section 2 or Section 3 contains only the Registrable
Securities held by the Holder and the other former shareholders of
e-Destinations, Inc., the Holder (along with all other former shareholders of
e-Destinations, Inc. in proportion to their prior ownership interest in
e-Destinations, Inc.) shall pay, in the aggregate, up to the first $15,000 of
the Registration Expenses incurred by the Company.

         2.3 EFFECTIVE REGISTRATION STATEMENT. A registration pursuant to this
Section 2 will not be deemed to have been effected unless the registration
statement relating thereto has become effective under the Securities Act;
PROVIDED, HOWEVER, that if, after such registration statement has become
effective, the offering of Registrable Securities pursuant to such registration
is interfered with by any stop order, injunction or other order or requirement
of the SEC or other governmental agency or court, such registration will be
deemed not to have been effected.

         2.4 PRIORITY IN DEMAND REGISTRATION. If a registration pursuant to this
Agreement involves an underwritten offering and the managing underwriter advises
the Company in writing that, in its opinion, the number of securities which the
Company, Holder and any other persons intend to include in such registration
exceeds the number which would have an adverse effect on such offering,
including the price at which such securities can be sold, the Company will
include in such registration (i) first, all the securities the Company proposes
to sell for its own account, (ii) second, a number of such securities equal to
the number, in the opinion of such underwriters, which can be sold without
having the adverse effect referred to above, such amount to be allocated pro
rata among Holder and other persons having similar registration rights on the
basis of the relative number of securities Holder and other persons have
requested or are required to be included in such registration.

                                       2
<PAGE>

3. INCIDENTAL REGISTRATION.

         3.1 REGISTRATION RIGHTS. If the Company at any time proposes to
register any of its securities under the Securities Act (other than a
registration on Form S-4 or registration on Form S-8 in connection with the
Company's stock option plan that would require qualification in California of
the shares of common stock covered by such registration, or any successor or
similar forms or a registration in connection with any merger of the Company
with and into a company subject to the reporting requirements of the Exchange
Act), whether or not for sale for its own account, in a manner which would
permit registration of the Registrable Securities for sale to the public under
the Securities Act, the Company shall offer Holder the opportunity to include in
such registration statement any or all of its Registrable Securities. The
Company will use its best efforts to effect the registration under the
Securities Act of the Registrable Securities which the Company has been so
requested to register by Holder, to the extent requisite to permit the
disposition (in accordance with such intended methods thereof) of the
Registrable Securities so to be registered; PROVIDED, that if such registration
involves an underwritten offering, Holder (and any other non-Company participant
in such registration) must offer and sell the Registrable Securities in a manner
as contemplated in the registration statement and as reasonably determined by
the Company and the underwriters selected by the Company. Except as set forth in
Section 2.2, the Company will pay all Registration Expenses (as hereinafter
defined) in connection with each registration of Registrable Securities effected
pursuant to this Section 3.

         3.2 PRIORITY IN INCIDENTAL REGISTRATION. If a registration pursuant to
this Agreement involves an underwritten offering and the managing underwriter
advises the Company in writing that, in its opinion, the number of securities
which the Company, Holder and any other persons intend to include in such
registration exceeds the number which would have an adverse effect on such
offering, including the price at which such securities can be sold, the Company
will include in such registration (i) first, all the securities the Company
proposes to sell for its own account, (ii) second, a number of such securities
equal to the number, in the opinion of such underwriters, which can be sold
without having the adverse effect referred to above, such amount to be allocated
pro rata among Holder and other persons having similar registration rights on
the basis of the relative number of securities Holder and other persons have
requested or are required to be included in such registration.

         3.3 REGISTRATION EXPENSES. As used in this Agreement, "Registration
Expenses" shall mean all expenses incident to the Company's performance of or
compliance with this Agreement, including, without limitation, all SEC, stock
exchange, National Association of Securities Dealers, Inc. or Nasdaq
registration and filing fees and expenses, fees and expenses of compliance with
securities or blue sky laws (including, without limitation, reasonable fees and
disbursements of counsel for the Company in connection with blue sky
qualification of the Registrable Securities), rating agency fees, printing
expenses, messenger and delivery expenses, fees and disbursements of counsel for
the Company and all independent certified public accountants (including the
expenses of any annual audit, special audit or "cold comfort" letters required
by or incident to such performance and compliance), securities acts liability
insurance (if the Company so desires), the reasonable fees and expenses of any
special experts retained by the Company in connection with such registration,
and fees and expenses of other persons retained by the Company.

                                       3
<PAGE>

4. REGISTRATION PROCEDURE. In effecting the registration of the Registrable
Securities as provided in this Agreement, the Company shall, at its sole
expense:

                  (a) Prepare and file with the SEC a registration statement
         with respect to the Registrable Securities and use its best efforts to
         cause such registration statement to become effective; provided,
         however, that before filing with the SEC a registration statement or
         prospectus or any amendments or supplements thereto, the Company will
         (i) furnish to counsel selected by Holder copies of all such documents
         proposed to be filed, which documents will be subject to the review of
         such counsel, and (ii) notify Holder of any stop order issued or
         threatened by the SEC and take all reasonable actions required to
         prevent the entry of such stop order or to remove it if entered;

                  (b) Prepare and file with the SEC such amendments and
         supplements to such registration statement and the prospectus used in
         connection with such registration statement as may be necessary to keep
         such registration statement effective until the date when all
         Registrable Securities covered by such registration statement have been
         sold, and comply with the provisions of the Act with respect to the
         disposition of all the Registrable Securities covered by such
         registration statement during such period;

                  (c) Furnish to Holder copies of the registration statement,
         each amendment and supplement thereto (in each case including all
         exhibits thereto), the prospectus included in such registration
         statement (including each preliminary prospectus and including a
         sufficient number of copies of the final prospectus) in conformity with
         the requirements of the Securities Act and such other documents as
         Holder may reasonably request in order to facilitate the disposition of
         the Registrable Securities owned by Holder;

                  (d) Use its best efforts to register or qualify the
         Registrable Securities under such other securities or blue sky laws of
         such jurisdictions as shall be reasonably requested by Holder and do
         any and all other acts and things which may be reasonably necessary or
         advisable to enable Holder to consummate the disposition in such
         jurisdictions of the Registrable Securities owned by Holder; provided,
         that the Company shall not be required in connection therewith or as a
         condition thereto to (i) qualify generally to do business in any
         jurisdiction where it would not otherwise be required to qualify but
         for this paragraph (d), (ii) subject itself to taxation in any such
         jurisdiction, or (iii) file a general consent to service of process in
         any such jurisdiction;

                  (e) Use its best efforts to cause the Registrable Securities
         covered by such registration statement to be registered with or
         approved by such other governmental agencies or authorities as may be
         necessary by virtue of the business and operations of the Company to
         enable Holder to consummate the disposition of such Registrable
         Securities;

                                       4
<PAGE>

                  (f) Immediately notify Holder at any time when a prospectus
         relating thereto is required to be delivered under the Securities Act,
         of the happening of any event as a result of which the prospectus
         included in such registration statement contains an untrue statement of
         a material fact or omits to state any material fact required to be
         stated therein or necessary to make the statements therein not
         misleading and the Company will promptly prepare and furnish to Holder
         a supplement or amendment to such prospectus so that, as thereafter
         delivered to the purchasers of such Registrable Securities, such
         prospectus will not contain an untrue statement of a material fact or
         omit to state any material fact required to be stated therein or
         necessary to make the statements therein not misleading;

                  (g) Enter into such customary agreements and take all such
         other actions as Holder reasonably requests in order to expedite or
         facilitate the disposition of such Registrable Securities, including
         customary indemnification;

                  (h) Make available for inspection by Holder and any attorney,
         accountant or other agent retained by Holder (collectively, the
         "Inspectors"), all financial and other records, pertinent corporate
         documents and properties of the Company as shall be reasonably
         necessary to enable them to exercise their due diligence
         responsibility, and cause the Company's officers, directors and
         employees to supply all information reasonably requested by any such
         Inspector in connection with such registration statement; and

                  (i) Otherwise use its best efforts to comply with all
         applicable rules and regulations of the SEC and all applicable laws and
         regulations including, but not limited to, the Securities Act and the
         Exchange Act.

         The Company may require Holder to furnish to the Company such
information regarding the distribution of such Registrable Securities as the
Company may from time to time reasonably request in writing.

         Holder agrees that, upon receipt of any notice from the Company of the
happening of any event of the kind described in paragraph 4(f), Holder will
forthwith discontinue disposition of Registrable Securities, pursuant to the
registration statement covering such Registrable Securities until Holder's
receipt of the copies of the supplemented or amended prospectus contemplated by
paragraph 4(f), and, if so directed by the Company, Holder will deliver to the
Company (at the Company's expense) all copies, other than permanent file copies
then in Holder's possession, of the prospectus covering such Registrable
Securities current at the time of receipt of such notice. In the event the
Company shall give any such notice, the period mentioned in paragraph 4(b) shall
be extended by the greater of (i) three months or (ii) the number of days during
the period from and including the date of the giving of such notice pursuant to
paragraph 4(f) to and including the date when Holder shall have received the
copies of the supplemented or amended prospectus contemplated by paragraph 4(f).

         Any statements or documents required to be provided to Holder by
Company or Company's counsel shall be provided promptly and in any event no
later than seven (7) days from the date thereof. Company or its counsel shall
keep the Holder informed from time to time on the progress of the registration
statement relating to the Registrable Securities, and in any event shall notify
Holder promptly in writing that a registration statement affecting the
Registrable Securities or any portion thereof has become effective, and in any
event no later than 72 hours of such filing becoming effective.

                                       5
<PAGE>

5. INDEMNIFICATION.

         5.1 INDEMNIFICATION BY THE COMPANY. In connection with the registration
of the Registrable Securities under the Securities Act pursuant to this
Agreement, the Company will, and it hereby does, indemnify and hold harmless, to
the full extent permitted by law, Holder, each other person who participates as
an underwriter in the offering or sale of such securities and each other person,
if any, who controls Holder or any such underwriter within the meaning of the
Securities Act, against any and all losses, claims, damages or liabilities,
joint or several, and expenses (including any amounts paid in any settlement
effected with the Company's prior written consent) to which Holder or any such
underwriter or controlling person may become subject under the Securities Act,
common law or otherwise, insofar as such losses, claims, damages or liabilities
(or actions or proceedings in respect thereof) or expenses arising out of or are
based upon (i) any untrue statement or alleged untrue statement of any material
fact contained in any registration statement under which such securities were
registered under the Securities Act, any preliminary, final or summary
prospectus contained therein, or any amendment or supplement thereto, or (ii)
any omission or alleged omission to state therein a material fact required to be
stated therein or necessary to make the statements therein not misleading, and
the Company will reimburse Holder and each such underwriter and controlling
person for any legal or any other expenses reasonably incurred by them in
connection with investigating or defending such loss, claim, liability, action
or proceedings; provided, that the Company shall not be liable in any such case
to the extent that any such loss, claim, damage, liability (or action or
proceeding in respect thereof) or expenses arises out of or is based upon any
untrue statement or alleged untrue statement or omission or alleged omission
made in such registration statement or amendment or supplement thereto or in any
such preliminary, final or summary prospectus in reliance upon and in conformity
with written information furnished to the Company through an instrument duly
executed by Holder or underwriter or controlling person specifically stating
that it is for use in the preparation thereof; and provided, further, that the
Company will not be liable to Holder or any person who participates as an
underwriter in the offering or sale of Registrable Securities or any other
person, if any, who controls such underwriter within the meaning of the
Securities Act, under the indemnity agreement in this Section 5.1 with respect
to any preliminary prospectus as then amended or supplemented as the case may
be, to the extent that any such loss, claim, damage or liability of Holder,
underwriter or controlling person results from the fact that Holder or
underwriter or controlling person sold Registrable Securities to a person to
whom there was not sent or given, at or prior to the written confirmation of
such sale, a copy of the final prospectus (including any documents incorporated
by reference therein), whichever is most recent, if the Company has previously
furnished copies thereof to Holder or underwriter or controlling person and such
final prospectus, as then amended or supplemented, has corrected any such
misstatement or omission. Such indemnity shall remain in full force and effect
regardless of any investigation made by or on behalf of Holder or any
underwriter or controlling person and shall survive the transfer of such
securities by Holder.

         5.2 INDEMNIFICATION BY HOLDER. The Company may require, as a condition
to including the Registrable Securities in any registration statement filed in
accordance with this Agreement, that the Company shall have received an
undertaking reasonably satisfactory to it from Holder or any underwriter, to
indemnify and hold harmless (in the same manner and to the same extent as set
forth in Section 5.1) the Company and its controlling persons and all other
prospective sellers and their respective controlling persons with respect to any
statement or alleged statement in or omission or alleged omission from such

                                       6
<PAGE>

registration statement, any preliminary, final or summary prospectus contained
therein, or any amendment or supplement, if such statement or alleged statement
or omission or alleged omission was made in reliance upon and in conformity with
written information furnished to the Company through an instrument duly executed
by Holder or underwriter specifically stating that it is for use in the
preparation of such registration statement, preliminary, final or summary
prospectus or amendment or supplement, or a document incorporated by reference
into any of the foregoing. Such indemnity shall remain in full force and effect
regardless of any investigation made by or on behalf of the Company or Holder
and shall survive the transfer of such securities by Holder; provided, however,
that Holder shall not be liable to the Company under this Section 5.2 for any
amounts exceeding the product of the purchase price per Registrable Security and
the number of Registrable Securities being sold pursuant to such registration
statement or prospectus by Holder.

         5.3 NOTICES OF CLAIMS, ETC. Promptly after receipt by an indemnified
party hereunder of written notice of the commencement of any action or
proceeding with respect to which a claim for indemnification may be made
pursuant to this Section 5, such indemnified party will, if a claim in respect
thereof is to be made against an indemnifying party, promptly give written
notice to the latter of the commencement of such action; provided, that the
failure of any indemnified party to give notice as provided herein shall not
relieve the indemnifying party of its obligations under the preceding
subsections of this Section 5, except to the extent that the indemnifying party
is actually materially prejudiced by such failure to give notice. In case any
such action is brought against an indemnified party, unless in such indemnified
party's reasonable judgment a conflict of interest between such indemnified and
indemnifying parties may exist in respect of such claim, the indemnifying party
will be entitled to participate in and to assume the defense thereof, jointly
with any other indemnifying party similarly notified to the extent that it may
wish, with counsel reasonably satisfactory to such indemnified party, and after
notice from the indemnifying party to such indemnified party of its election so
to assume the defense thereof, the indemnifying party will not be liable to such
indemnified party for any legal or other expenses subsequently incurred by the
latter in connection with the defense thereof, unless in such indemnified
party's reasonable judgment a conflict of interest between such indemnified and
indemnifying parties arises in respect of such claim after the assumption of the
defense thereof, and the indemnifying party will not be subject to any liability
for any settlement made without its consent (which consent shall not be
unreasonably withheld). No indemnifying party will consent to entry of any
judgment or enter into any settlement which does not include as an unconditional
term thereof the giving by the claimant or plaintiff to such indemnified party
of a release from all liability in respect to such claim or litigation. An
indemnifying party who is not entitled to, or elects not to, assume the defense
of a claim will not be obligated to pay the fees and expenses of more than one
counsel for all parties indemnified by such indemnifying party with respect to
such claim, unless in the reasonable judgment of any indemnified party a
conflict of interest may exist between such indemnified party and any other of
such indemnified parties with respect to such claim, in which event the
indemnifying party shall be obligated to pay the fees and expenses of such
additional counsel or counsels.

                                       7
<PAGE>

         5.4 OTHER INDEMNIFICATION. Indemnification similar to that specified in
the preceding Sections 5.1, 5.2 and 5.3 (with appropriate modifications) shall
be given by the Company and Holder with respect to any required registration or
other qualification of securities under any federal or state law or regulation
of governmental authority other than the Securities Act.

6. RULE 144. The Company hereby covenants that the Company shall file in a
timely manner all reports required to be filed by it under the Securities Act
and the Exchange Act (to the extent the Company is subject to the Exchange Act)
and the rules and regulations adopted by the SEC thereunder, and it will take
such further action as Holder may reasonably request, all to the extent required
from time to time to enable Holder to sell Registrable Securities without
registration under the Securities Act within the limitation of the exemptions
provided by (i) Rule 144 under the Securities Act, as such rule may be amended
from time to time, or (ii) any similar rule or regulation hereafter adopted by
the SEC relating to the disposition of securities. Upon the request of Holder,
the Company will deliver to Holder a written statement as to whether it has
complied with such requirements, in addition, the Company hereby agrees that for
a period of nine months following the date on which a registration statement
filed pursuant to this Agreement shall have become effective, the Company shall
not deregister such securities under Section 12 of the Exchange Act (even if
then permitted to do so pursuant to the Exchange Act and the rules and
regulations promulgated thereunder).

7. NO INCONSISTENT AGREEMENTS. The Company will not hereafter enter into any
agreement with respect to any of its securities which is inconsistent with the
rights granted to Holder in this Agreement.

8. REMEDIES. The Company acknowledges and agrees that in the event of any breach
of this Agreement by it, Holder would be irreparably harmed and could not be
made whole by monetary damages. The Company accordingly agrees to waive the
defense in any action for specific performance that a remedy at law would be
adequate and that Holder, in addition to any other remedy to which they may be
entitled at law or in equity, shall be entitled to compel specific performance
of this Agreement in any action instituted in any court of the United States or
any state thereof having subject matter jurisdiction for such action.

9. SALE WITHOUT REGISTRATION. At the time of any transfer of any Registrable
Securities which shall not be registered under the Securities Act, the Company
may require, as a condition of allowing such transfer, that Holder or the
transferee furnish to the Company: (a) such information as is reasonably
necessary in order to establish that such transfer may be made without
registration under the Securities Act; and (b) at the expense of Holder or the
transferee, an opinion of counsel, satisfactory in form and substance to the
Company, to the effect that such transfer may be made without registration under
the Securities Act; provided, that nothing contained in this Section 9 shall
relieve the Company from complying with any request for registration,
qualification or compliance made pursuant to these registration rights
provisions.

10. GENERAL PROVISIONS.

         10.1 WAIVERS. No action taken pursuant to this Agreement, including any
investigation by or on behalf of any party hereto, shall be deemed to constitute
a waiver by the party taking such action or compliance with any representation,
warranty, covenant, or agreement contained herein or in any ancillary document.
The waiver by any party hereto of a breach of any provision of this Agreement
shall not operate or be construed as a waiver of any other or subsequent breach.
The waiver by any party of any of the conditions precedent to its respective
obligations under this Agreement shall not preclude it from seeking redress for
breach of this Agreement.

                                       8
<PAGE>

         10.2 NOTICES. All notices and other communications which are required
or may be given under this Agreement shall be in writing and shall be deemed to
have been duly given if delivered personally, by courier service, telecopied, or
mailed by registered or certified mail, postage prepaid, return receipt
requested, to the party to whom the same is so delivered or mailed:

         (a) if to the Company:

                           Research Engineers, Inc.
                           22700 Savi Ranch Road
                           Yorba Linda, California  92887
                           Attn: Jyoti Chatterjee

                           With a copy to:

                           Rutan & Tucker, L.L.P.
                           611 Anton Boulevard, Suite 1400
                           Costa Mesa, California  92626
                           Attn: Larry A. Cerutti, Esq.

         (b) if to Holder:

                           ____________________
                           ____________________
                           ____________________

                           With a copy to:

                           Niranjan D. Patel, Esq.
                           17127 Pioneer Blvd., Suite H
                           Artesia, California  90701

or to such other address as any of the above shall have specified by notice
hereunder. Notices delivered personally, by mail or telecopied shall be deemed
communicated as of actual receipt.

         10.3 ENTIRE AGREEMENT; AMENDMENTS. This Agreement, together with the
Stock Purchase Agreement of even date herewith among the Company, Holder,
e-Destinations, Inc. and the other shareholders of e-Destinations, Inc.,
constitute the entire agreement among the parties hereto with respect to the
subject matter hereof, and supersedes any and all prior agreements and
undertakings, oral or written, concerning the subject matter hereof. This
Agreement may not be changed or terminated orally, and may only be changed or
terminated by a writing signed by the party against whom such change or
termination is sought.

                                       9
<PAGE>

         10.4 BINDING EFFECT; BENEFITS. This Agreement shall inure to the
benefit of and shall be binding upon and enforceable by the parties hereto and
their respective heirs, legal representatives, successors, and assigns. Except
as set forth in the prior sentence, nothing in this Agreement, expressed or
implied, is intended to or shall confer on any person other than the parties
hereto any rights, remedies, obligations, or liabilities under or by reason of
this Agreement.

         10.5 HEADINGS. The section and other headings contained in this
Agreement are for reference purposes only and shall not affect the meaning or
interpretation of this Agreement.

         10.6 COUNTERPARTS. This Agreement may be executed in any number of
counterparts, each of which, when executed, shall be deemed to be an original
and all of which together shall be deemed to be one and the same instrument.

         10.7 RULES OF CONSTRUCTION. In this Agreement, unless the context
otherwise requires, words in the singular include the plural, and in the plural
include the singular, and words of the masculine gender include the feminine and
the neuter, and, when the sense so indicates, words of the neuter gender may
refer to any gender.

         10.8 ASSIGNMENT. For purposes of this Agreement, the term "Holder"
shall include any heir, successor or assign who obtains any Registrable
Securities from the Holder listed on the signature page hereof.

         10.9 GOVERNING LAW; VENUE. The validity, performance, and enforcement
of this Agreement shall be governed by the laws of the State of California. Any
action commenced hereunder shall be conducted before a court of appropriate
jurisdiction in Orange County, California.

         10.10 COOPERATION. The parties agree to execute such further documents
and take such further actions as necessary to carry out the provisions of this
Agreement and to fully accomplish its purpose and intent.

         10.11 ATTORNEYS' FEES. The prevailing party in any proceedings arising
in connection with this Agreement shall be entitled to reimbursement for his or
its reasonable costs incurred in connection therewith, including attorneys'
fees.

         10.12 SET-OFF. Each party hereto shall be entitled to set-off against
any amount it may owe to any other party under this Agreement or any other
agreement executed in connection herewith any and all amounts that are due to
that party by such other party under or in connection with the terms of this
Agreement.

         10.13 TIME OF ESSENCE. Time is of essence in connection with the
performance of this Agreement.

                                       10
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have duly executed this
Agreement on the day and date first above written.

                                         RESEARCH ENGINEERS, INC.

                                         By: /s/ Jyoti Chatterjee
                                             -----------------------------------
                                             Jyoti Chatterjee, President

                                         HOLDER:

                                             /s/ Jayent Bhindi
                                             -----------------------------------
                                             Jayent Bhindi, an individual

                                       11REGISTRATION RIGHTS AGREEMENT

         This Registration Rights Agreement ("Agreement") is entered into as of
June 22, 2000, between netGuru, Inc., a Delaware corporation f/k/a Research
Engineers, Inc., with offices at 22700 Savi Ranch Parkway, Yorba Linda,
California 92887 (the "Company"), and Elliott Associates, L.P., a Delaware
limited partnership, and Westgate International, L.P., a Cayman Islands limited
partnership (individually and collectively, the "Investor").

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

         Whereas, pursuant to that certain Securities Purchase Agreement, dated
on or about the date hereof, by and between the Company and the Investor (the
"Purchase Agreement"), the Company has agreed to sell and issue to the Investor,
and the Investor has agreed to purchase from the Company, an aggregate of
200,000 shares ("Common Shares") of the Company's Common Stock, par value $0.01
per share (the "Common Stock"), and 60,000 Warrants (the "Warrants") to purchase
shares of Common Stock ("Warrant Shares"), subject to the terms and conditions
set forth therein;

         Now, Therefore, in consideration of the mutual promises,
representations, warranties, covenants and conditions set forth in the Purchase
Agreement and this Agreement, the Company and the Investors agree as follows:

              1. CERTAIN DEFINITIONS. Capitalized terms used herein and not
otherwise defined shall have the meaning ascribed thereto in the Purchase
Agreement. As used in this Agreement, the following terms shall have the
following respective meanings:

         "Closing" and "Closing Date" shall have the meanings ascribed to such
terms in the Purchase Agreement.

         "Commission" or "SEC" shall mean the Securities and Exchange Commission
or any other federal agency at the time administering the Securities Act.

         "Holder" and "Holders" shall include the Investor and any transferee or
transferees of the Warrants, Common Shares, Warrant Shares or Registrable
Securities which have not been sold to the public to whom the registration
rights conferred by this Agreement have been transferred in compliance with this
Agreement and the Purchase Agreement.

         The terms "register", "registered" and "registration" shall refer to a
registration effected by preparing and filing a registration statement in
compliance with the Securities Act and applicable rules and regulations
thereunder, and the declaration or ordering of the effectiveness of such
registration statement.

         "Registrable Securities" shall mean: (i) the Common Shares, Warrant
Shares or other securities (other than the Warrants) issued or issuable to each

                                       1
<PAGE>

Holder or its permitted transferee or designee upon Closing pursuant to the
Purchase Agreement or exercise of the Warrants; (ii) securities issued or
issuable upon any stock split, stock dividend, recapitalization or similar event
with respect to such Common Shares or Warrant Shares; and (iii) any other
security issued as a dividend or other distribution with respect to, in exchange
for or in replacement of the securities referred to in the preceding clauses.

         "Registration Expenses" shall mean all expenses to be incurred by the
Company in connection with each Holder's registration rights under this
Agreement, including, without limitation, all registration and filing fees,
printing expenses, fees and disbursements of counsel for the Company, blue sky
fees and expenses, reasonable fees and disbursements of counsel to Holders
(using a single counsel selected by a majority in interest of the Holders) for a
"due diligence" examination of the Company and review of the Registration
Statement and related documents, and the expense of any special audits incident
to or required by any such registration (but excluding the compensation of
regular employees of the Company, which shall be paid in any event by the
Company).

         "Registration Statement" shall have the meaning set forth in Section
2(a) herein.

         "Regulation D" shall mean Regulation D as promulgated pursuant to the
Securities Act, and as subsequently amended.

         "Securities Act" or "Act" shall mean the Securities Act of 1933, as
amended.

         "Selling Expenses" shall mean all underwriting discounts and selling
commissions applicable to the sale of Registrable Securities and all fees and
disbursements of counsel for Holders not included within "Registration
Expenses".

              2. REGISTRATION REQUIREMENTS. The Company shall use its best
efforts to effect the registration of the Registrable Securities (including,
without limitation, the execution of an undertaking to file post-effective
amendments, appropriate qualification under applicable blue sky or other state
securities laws and appropriate compliance with applicable regulations issued
under the Securities Act) as would permit or facilitate the sale or distribution
of all the Registrable Securities in the manner (including manner of sale) and
in all states reasonably requested by the Holder. Such best efforts by the
Company shall include, without limitation, the following:

              (a) The Company shall, as expeditiously as possible after the
Closing Date:

                   i) But in any event within 10 days of the Closing, prepare
              and file a registration statement with the Commission pursuant to
              Rule 415 under the Securities Act on Form S-3 under the Securities
              Act (or in the event that the Company is ineligible to use such
              form, such other form as the Company is eligible to use under the
              Securities Act) covering resales by the Holders of the Registrable
              Securities and no other securities (except (1) shares of Common

                                       2
<PAGE>

              Stock issuable upon exercise of Warrants issued to Shoreline
              Pacific Institutional Finance, the Institutional Division of
              Financial West Group or its designees, (2) securities to be
              registered pursuant to the registration rights agreement included
              in the Preferred Stock Agreements ("March Registration Rights
              Agreement"), and (3) those shares listed on Schedule A attached
              hereto ("Registration Statement"), which Registration Statement,
              to the extent allowable under the Securities Act and the rules
              promulgated thereunder (including Rule 416), shall state that such
              Registration Statement also covers such indeterminate number of
              additional shares of Common Stock as may become issuable upon
              exercise of the Warrants. The number of shares of Common Stock
              initially included in such Registration Statement shall be no less
              than 260,000 shares of Common Stock plus the other shares
              registrable from the Preferred Stock Agreements or as set forth on
              Schedule A hereto. Nothing in the preceding sentence will limit
              the Company's obligations to reserve shares of Common Stock
              pursuant to Section 3.7 of the Purchase Agreement. Thereafter the
              Company shall use its best efforts to cause such Registration
              Statement and other filings to be declared effective as soon as
              possible, and in any event prior to 45 days following the Closing
              Date. Without limiting the foregoing, the Company will promptly
              respond to all SEC comments, inquiries and requests, and shall
              request acceleration of effectiveness at the earliest possible
              date. The Company shall provide the Holders reasonable opportunity
              to review any such Registration Statement or amendment or
              supplement thereto prior to filing. In the event any additional
              Warrant Shares are issuable upon exercise of the Warrants in
              excess of the number of Warrant Shares subject to an effective
              Registration Statement, pursuant to adjustments under Section 12
              of the Warrants or otherwise, the Company shall promptly prepare
              and file with the SEC such amendments, supplements or additional
              Registration Statements covering the resale of such additional
              Warrant Shares (with all terms herein applying to such additional
              Registration Statements).

                   ii) Prepare and file with the SEC such amendments and
              supplements to such Registration Statement and the prospectus used
              in connection with such Registration Statement as may be necessary
              to comply with the provisions of the Act with respect to the
              disposition of all securities covered by such Registration
              Statement and notify the Holders of the filing and effectiveness
              of such Registration Statement and any amendments or supplements.

                   iii) Furnish to each Holder such numbers of copies of a
              current prospectus conforming with the requirements of the Act,
              copies of the Registration Statement, any amendment or supplement
              thereto and any documents incorporated by reference therein and

                                       3
<PAGE>

              such other documents as such Holder may reasonably require in
              order to facilitate the disposition of Registrable Securities
              owned by such Holder.

                   iv) Register and qualify the securities covered by such
              Registration Statement under the securities or "Blue Sky" laws of
              all domestic jurisdictions; provided that the Company shall not be
              required in connection therewith or as a condition thereto to
              qualify to do business or to file a general consent to service of
              process in any such states or jurisdictions.

                   v) Notify each Holder immediately of the happening of any
              event (but not the substance or details of any such events unless
              specifically requested by a Holder) as a result of which the
              prospectus (including any supplements thereto or thereof) included
              in such Registration Statement, as then in effect, includes an
              untrue statement of material fact or omits to state a material
              fact required to be stated therein or necessary to make the
              statements therein not misleading in light of the circumstances
              then existing, and use its best efforts to promptly update and/or
              correct such prospectus.

                   vi) Notify each Holder immediately of the issuance by the
              Commission or any state securities commission or agency of any
              stop order suspending the effectiveness of the Registration
              Statement or the threat or initiation of any proceedings for that
              purpose. The Company shall use its best efforts to prevent the
              issuance of any stop order and, if any stop order is issued, to
              obtain the lifting thereof at the earliest possible time.

                   vii) Permit counsel to the Holders to review the Registration
              Statement and all amendments and supplements thereto within a
              reasonable period of time (but not less than 3 full Trading Days
              (as defined in the Certificate)) prior to each filing, and shall
              not file any document in a form to which such counsel reasonably
              objects and will not request acceleration of the Registration
              Statement without prior notice to such counsel.

                   viii) List the Registrable Securities covered by such
              Registration Statement with all securities exchange(s) and/or
              markets on which the Common Stock is then listed and prepare and
              file any required filings with the Nasdaq National Market or any
              exchange or market where the Common Shares are traded.

                   ix) Take all steps necessary to enable Holders to avail
              themselves of the prospectus delivery mechanism set forth in Rule
              153 (or successor thereto) under the Act.

                                       4
<PAGE>

              (b) Set forth below in this Section 2(b) are (I) events that may
arise that the Investors consider will interfere with the full enjoyment of
their rights under this Agreement, the Purchase Agreement and the Warrants (the
"Interfering Events"), and (II) certain remedies applicable in each of these
events.

              Paragraphs (i) through (iv) of this Section 2(b) describe the
Interfering Events, provide a remedy to the Investors if an Interfering Event
occurs and provide that the Investors may require that the Company repurchase
outstanding Common Shares, Warrants and Warrant Shares at a specified price if
certain Interfering Events are not timely cured.

              Paragraph (v) provides, inter alia, that if default adjustments
required as the remedy in the case of certain of the Interfering Events are not
provided when due, the Company may be required by the Investors to redeem
outstanding Common Shares, Warrants and Warrant Shares at a specified price.

              Paragraph (vi) provides, inter alia, that the Investors have the
right to specific performance.

              The preceding paragraphs in this Section 2(b) are meant to serve
only as an introduction to this Section 2(b), are for convenience only, and are
not to be considered in applying, construing or interpreting this Section 2(b).

        (i)   DELAY IN EFFECTIVENESS OF REGISTRATION STATEMENT.

                   (A) In the event that such Registration Statement has not
              been declared effective within 45 days from the Closing Date, or
              the Company at any time fails to issue unlegended Registrable
              Securities as required by Article VI of the Purchase Agreement,
              then the Company shall pay each Holder a Monthly Delay Payment (as
              defined below) for each 30 day period (or portion thereof) that
              effectiveness of the Registration Statement is delayed or failure
              to issue such unlegended Registrable Securities persists. In
              addition to the foregoing, if the Registration Statement has not
              been declared effective within 90 days after the Closing Date,
              then each Holder shall have the right to sell, at any time after
              the 90th day after the Closing Date, any or all of its Common
              Shares, Warrants and Warrant Shares to the Company for
              consideration (the "Mandatory Repurchase Price") equal to (I) for
              the Common Shares, the greater of (x) 120% of the Liquidation
              Value (as defined below) of all such Common Shares being sold to
              the Company, or (y) the product of (a) the Liquidation Value for
              the Common Shares being sold to the Company divided by $16.50 (as
              appropriately and equitably adjusted for stock splits,
              combinations, dividends, etc.) multiplied by (b) the greater of
              the last closing price of the Common Stock on (i) the date a

                                       5
<PAGE>

              Holder exercises its option pursuant to this Section 2(b) to
              require repurchase of such securities or (ii) the date on which
              the event triggering Holder's remedies under this Section 2(b)
              first occurred, in each case payable in cash, (II) for the
              Warrants 120% of the product of (a) the difference between the
              greater of clauses (i) or (ii) above and the exercise price of the
              Warrants, multiplied by (b) the number of Warrants being sold to
              the Company, payable in cash, and (III) for the Warrant Shares,
              120% of the product of (a) the greater of clauses (i) or (ii)
              above, multiplied by (b) the number of Warrant Shares being sold
              to the Company, payable in cash. "Liquidation Value" shall mean
              $16.50 per Common Share (as appropriately and equitably adjusted
              for stock splits, combinations, dividends, etc.), including any
              stock dividends received, plus (i) all accrued but unpaid
              dividends and (ii) all "Monthly Delay Payments" payable under this
              Agreement.

                   (B) As used in this Agreement, a "Monthly Delay Payment"
              shall be a cash payment equal to 1% of the Liquidation Value of
              the Common Shares held by a Holder for the first 30 day period (or
              portion thereof) that the specified condition in this Section 2(b)
              has not been fulfilled or the specified deficiency has not been
              remedied, 2% of such Liquidation Value for the next 30 day period
              (or portion thereof) that the specified condition in this Section
              2(b) has not been fulfilled or the specified deficiency has not
              been remedied, and 3% of such Liquidation Value thereafter for
              each subsequent 30 day period (or portion thereof) that the
              specified condition in this Section 2(b) has not been fulfilled or
              the specified deficiency has not been remedied. Payment of the
              Monthly Delay Payments and Mandatory Repurchase Price shall be due
              and payable from the Company to such Holder within 5 business days
              of demand therefor. Without limiting the foregoing, if cash
              payment of the Mandatory Repurchase Price is not made within such
              5 business day period, the Holder may revoke and withdraw its
              election to cause the Company to make such mandatory purchase at
              any time prior to its receipt of such cash. At the option of the
              Holder, Monthly Delay Payments may be added to the Liquidation
              Value of the Common Shares held by it.

                   (C) Notwithstanding the foregoing, there shall be excluded
              from the calculation of the number of days that the Registration
              Statement has not been declared effective the delays which are
              solely attributable to delays in the Investors providing
              information required for the Registration Statement.

        (ii)  NO LISTING; PREMIUM PRICE REDEMPTION FOR DELISTING OF CLASS OF
              SHARES.

                                       6
<PAGE>

                   (A) In the event that the Company fails, refuses or for any
              other reason is unable to cause the Registrable Securities covered
              by the Registration Statement to be listed with Nasdaq National
              Market or one of the other Approved Markets (as defined in the
              Purchase Agreement) at all times during the period ("Listing
              Period") from the earlier of the effectiveness of the Registration
              Statement and the 45th day following the Closing Date until such
              time as the registration period specified in Section 5 terminates,
              then the Company shall provide to each Holder a Monthly Delay
              Payment, for each 30 day period or portion thereof during which
              such listing is not in effect. In addition to the foregoing,
              following the 10th day that such listing is not in effect, each
              Holder shall have the right to sell to the Company any or all of
              its Common Shares, Warrants and Warrant Shares at the Mandatory
              Repurchase Price. The provisions of Section 2(b)(i)(B) shall apply
              to this Section 2(b)(ii)(A).

                   (B) In the event that shares of Common Stock of the Company
              are not listed on any of the Approved Markets at all times
              following the Closing Date, or are otherwise suspended from
              trading and remain unlisted or suspended for 3 consecutive days,
              then the Company shall provide to each Holder a Monthly Delay
              Payment for each 30 day period or portion thereof during which
              such listing is not in effect. In addition to the foregoing,
              following the 5th day that the shares are not so listed or are
              otherwise suspended, at the option of each Holder and to the
              extent such Holder so elects, each Holder shall have the right to
              sell to the Company the Common Shares, Warrants and Warrant Shares
              held by such Holder, in whole or in part, for the Mandatory
              Repurchase Price on the terms set forth in Section 2(b)(i)(B)
              above.

        (iii) BLACKOUT PERIODS. In the event any Holder's ability to sell
              Registrable Securities under the Registration Statement is
              suspended for more than (i) five (5) consecutive days or (ii)
              twenty (20) days in any calendar year ("Suspension Grace Period"),
              including without limitation by reason of any suspension or stop
              order with respect to the Registration Statement or the fact that
              an event has occurred as a result of which the prospectus
              (including any supplements thereto) included in such Registration
              Statement then in effect includes an untrue statement of material
              fact or omits to state a material fact required to be stated
              therein or necessary to make the statements therein not misleading
              in light of the circumstances then existing (a "Blackout"), then
              the Company shall provide to each Holder a Monthly Delay Payment
              for each 30 day period or portion thereof from and after the
              expiration of the Suspension Grace Period, on the terms set forth
              in Section 2(b)(i)(B) above. In addition, at any time following

                                       7
<PAGE>

              the expiration of the Suspension Grace Period if the Blackout
              continues for more than five (5) additional consecutive days, a
              Holder shall have the right to sell to the Company its Common
              Shares, Warrants and/or Warrant Shares in whole or in part for the
              Mandatory Repurchase Price on the terms set forth in Section
              2(b)(i)(B) above.

        (iv)  REDEMPTION FOR CONVERSION DEFICIENCY. In the event that the
              Company does not have a sufficient number of Warrant Shares
              available to satisfy the Company's obligations to any Holder upon
              exercise of the Warrants or the Company is otherwise unable or
              unwilling for any reason to issue such Warrant Shares (each an
              "Exercise Deficiency") in accordance with the terms of the
              Warrants for any reason after receipt of an exercise notice from
              any Holder, then:

                   (A) The Company shall provide to each Holder a Monthly Delay
              Payment for each 30 day period or portion thereof following the
              Exercise Deficiency on all outstanding Common Shares, Warrant
              Shares and Warrants, on the terms set forth in Section 2(b)(i)(B)
              above.

                   (B) At any time five days after the commencement of the
              running of the first 30-day period described above in clause (A)
              of this paragraph (iv), at the request of any Holder, the Company
              promptly shall purchase from such Holder, for the Mandatory
              Repurchase Price and on the terms set forth in Section 2(b)(i)(B)
              above, any and all outstanding Common Shares, Warrant Shares
              and/or Warrants, if the failure to issue Warrant Shares results
              from the lack of a sufficient number thereof and shall purchase
              all of such Holder's Common Shares, Warrant Shares and/or Warrants
              (or such portion requested by such Holder) for such consideration
              and on such terms if the failure to issue Warrant Shares results
              from any other cause, or is without cause.

        (v)   MANDATORY PURCHASE PRICE FOR DEFAULTS.

                   (A) The Company acknowledges that any failure, refusal or
              inability by the Company to perform the obligations described in
              the foregoing paragraphs (i) through (iv) will cause the Holders
              to suffer damages in an amount that will be difficult to
              ascertain, including without limitation damages resulting from the
              loss of liquidity in the Registrable Securities and the additional
              investment risk in holding the Common Shares, Warrant Shares,
              Warrants and Registrable Securities. Accordingly, the parties
              agree, after consulting with counsel, that it is appropriate to

                                       8
<PAGE>

              include in this Agreement the foregoing provisions for Monthly
              Delay Payments and mandatory redemptions in order to compensate
              the Holders for such damages. The parties acknowledge and agree
              that the Monthly Delay Payments and mandatory redemptions set
              forth above represent the parties' good faith effort to quantify
              such damages and, as such, agree that the form and amount of such
              payments and mandatory redemptions are reasonable and will not
              constitute a penalty.

                   (B) In the event that the Company fails to pay any Monthly
              Delay Payment within 5 business days of demand therefor, each
              Holder shall have the right to sell to the Company any or all of
              its Common Shares, Warrant Shares and/or Warrants at the Mandatory
              Repurchase Price on the terms set forth in Section 2(b)(i)(B)
              above.

                   (C) The Holder shall have the right to withdraw any request
              for redemption hereunder at any time prior to its receipt of the
              Mandatory Repurchase Price.

        (vi)  CUMULATIVE REMEDIES. The Monthly Delay Payments and mandatory
              purchases provided for above are in addition to and not in lieu or
              limitation of any other rights the Holders may have at law, in
              equity or under the terms of the Purchase Agreement, the Warrants,
              this Agreement and the Preferred Stock Agreements, including
              without limitation the right to monetary contract damages and
              specific performance, and consequently this Agreement shall in no
              way affect, modify or limit the liquidated damages accrued or
              payable or to be accrued or payable pursuant to the March
              Registration Rights Agreement. Each Holder shall be entitled to
              specific performance of any and all obligations of the Company in
              connection with the registration rights of the Holders hereunder.
              Each Monthly Delay Payment provided for herein in the foregoing
              clauses shall be in addition to each other Monthly Delay Payment
              (including without limitation those under the March Registration
              Rights Agreement); PROVIDED, HOWEVER, that in no event shall the
              Company be obligated to pay to any holder an aggregate amount
              greater than three percent (3%) of the Liquidation Value for the
              Common Shares held by such holder for any 30-day period, provided,
              that this sentence shall not in any way affect the Company's
              mandatory purchase obligations hereunder.

        (vii) REMEDIES FOR REGISTRABLE SECURITIES. In any case in which a Holder
              of Common Shares, Warrant Shares and/or Warrants has the right to
              cause the purchase of its securities under this Section 2(b), it
              shall also have the right to cause the Company to purchase any
              other Registrable Securities that such Holder owns, in whole or in
              part at the Holder's option, at a purchase price equal to 120% of
              the product of (a) the greater of the last closing price of the
              Common Stock on (i) the date a Holder exercises its option

                                       9
<PAGE>

              pursuant to this Section 2(b) or (ii) the date on which the event
              triggering Holder's remedies under this Section 2(b) first
              occurred, multiplied by (b) the number of Registrable Securities
              being sold to the Company, payable in cash.

         (c) If the Holder(s) intend to distribute the Registrable Securities by
means of an underwriting, the Holder(s) shall so advise the Company. Any such
underwriting may only be administered by nationally or regionally recognized
investment bankers reasonably satisfactory to the Company.

         (d) The Company shall enter into such customary agreements for
secondary offerings (including a customary underwriting agreement with the
underwriter or underwriters, if any) and take all such other reasonable actions
reasonably requested by the Holders in connection therewith in order to expedite
or facilitate the disposition of such Registrable Securities. Whether or not an
underwriting agreement is entered into and whether or not the Registrable
Securities are to be sold in an underwritten offering, the Company shall:

                   i) make such representations and warranties to the Holders
              and the underwriter or underwriters, if any, in form, substance
              and scope as are customarily made by issuers to underwriters in
              secondary offerings;

                   ii) cause to be delivered to the sellers of Registrable
              Securities and the underwriter or underwriters, if any, opinions
              of independent counsel to the Company, on and dated as of each
              effective day (or in the case of an underwritten offering, dated
              the date of delivery of any Registrable Securities sold pursuant
              thereto) of the Registration Statement, and within ninety (90)
              days following the end of each fiscal year thereafter, which
              counsel and opinions (in form, scope and substance) shall be
              reasonably satisfactory to the Holders and the underwriter(s), if
              any, and their counsel and covering, without limitation, such
              matters as the due authorization and issuance of the securities
              being registered and compliance with securities laws by the
              Company in connection with the authorization, issuance and
              registration thereof and other matters that are customarily given
              to underwriters in underwritten offerings, addressed to the
              Holders and each underwriter, if any;

                   iii) cause to be delivered, immediately prior to the
              effectiveness of the Registration Statement (and, in the case of
              an underwritten offering, at the time of delivery of any
              Registrable Securities sold pursuant thereto), and at the
              beginning of each fiscal year following a year during which the
              Company's independent certified public accountants shall have
              reviewed any of the Company's books or records, a "comfort" letter
              from the Company's independent certified public accountants
              addressed to the Holders and each underwriter, if any, stating
              that such accountants are independent public accountants within

                                       10
<PAGE>

              the meaning of the Securities Act and the applicable published
              rules and regulations thereunder, and otherwise in customary form
              and covering such financial and accounting matters as are
              customarily covered by letters of the independent certified public
              accountants delivered in connection with secondary offerings; such
              accountants shall have undertaken in each such letter to update
              the same during each such fiscal year in which such books or
              records are being reviewed so that each such letter shall remain
              current, correct and complete throughout such fiscal year; and
              each such letter and update thereof, if any, shall be reasonably
              satisfactory to the Holders;

                   iv) if an underwriting agreement is entered into, the same
              shall include customary indemnification and contribution
              provisions to and from the underwriters and procedures for
              secondary underwritten offerings; and

                   v) deliver such documents and certificates as may be
              reasonably requested by the Holders of the Registrable Securities
              being sold or the managing underwriter or underwriters, if any, to
              evidence compliance with clause (i) above and with any customary
              conditions contained in the underwriting agreement, if any.

         (e) The Company shall make available for inspection by the Holders,
representative(s) of all the Holders together, any underwriter participating in
any disposition pursuant to a Registration Statement, and any attorney or
accountant retained by any Holder or underwriter, all financial and other
records customary for purposes of the Holders' due diligence examination of the
Company and review of any Registration Statement, all SEC Documents (as defined
in the Purchase Agreement) filed subsequent to the Closing, pertinent corporate
documents and properties of the Company, and cause the Company's officers,
directors and employees to supply all information reasonably requested by any
such representative, underwriter, attorney or accountant in connection with such
Registration Statement, provided that such parties agree to keep such
information confidential.

         (f) Subject to Section 2(b) above, the Company may suspend the use of
any prospectus used in connection with the Registration Statement only in the
event, and for such period of time as, such a suspension is required by the
rules and regulations of the Commission. The Company will use its best efforts
to cause such suspension to terminate at the earliest possible date.

         (g) The Company shall file a Registration Statement with respect to any
newly authorized and/or reserved Registrable Securities consisting of Common
Shares described in clause (i) of the definition of Registrable Securities
within five (5) business days of any stockholders meeting authorizing same and
shall use its best efforts to cause such Registration Statement to become
effective within sixty (60) days of such stockholders meeting. If the Holders
become entitled, pursuant to an event described in clause (ii) or (iii) of the

                                       11
<PAGE>

definition of Registrable Securities, to receive any securities in respect of
Registrable Securities that were already included in a Registration Statement,
subsequent to the date such Registration Statement is declared effective, and
the Company is unable under the securities laws to add such securities to the
then effective Registration Statement, the Company shall promptly file, in
accordance with the procedures set forth herein, an additional Registration
Statement with respect to such newly Registrable Securities. The Company shall
use its best efforts to (i) cause any such additional Registration Statement,
when filed, to become effective under the Securities Act, and (ii) keep such
additional Registration Statement effective during the period described in
Section 5 below and cause such Registration Statement to become effective within
45 days of that date that the need to file the Registration Statement arose. All
of the registration rights and remedies under this Agreement shall apply to the
registration of such newly reserved shares and such new Registrable Securities,
including without limitation the provisions providing for default payments and
mandatory redemptions contained herein.

              3. EXPENSES OF REGISTRATION. All Registration Expenses in
connection with any registration, qualification or compliance with registration
pursuant to this Agreement shall be borne by the Company, and all Selling
Expenses of a Holder shall be borne by such Holder.

              4. REGISTRATION ON FORM S-3. The Company shall use its best
efforts to remain qualified for registration on Form S-3 or any comparable or
successor form or forms, or in the event that the Company is ineligible to use
such form, such form as the Company is eligible to use under the Securities Act.

              5. REGISTRATION PERIOD. In the case of the registration effected
by the Company pursuant to this Agreement, the Company shall keep such
registration effective until the later of (a) the date on which all the Holders
have completed the sales or distribution described in the Registration Statement
relating thereto or, if earlier, until such Registrable Securities may be sold
by the Holders under Rule 144(k) (provided that the Company's transfer agent has
accepted an instruction from the Company to such effect), and (b) the fifth
(5th) anniversary of the Closing Date.

              6. INDEMNIFICATION.

                   (a) COMPANY INDEMNITY. The Company will indemnify each
Holder, each of its officers, directors, agents and partners, and each person
controlling each of the foregoing, within the meaning of Section 15 of the
Securities Act and the rules and regulations thereunder with respect to which
registration, qualification or compliance has been effected pursuant to this
Agreement, and each underwriter, if any, and each person who controls, within
the meaning of Section 15 of the Securities Act and the rules and regulations
thereunder, any underwriter, against all claims, losses, damages and liabilities
(or actions in respect thereof) arising out of or based on any untrue statement
(or alleged untrue statement) of a material fact contained in any prospectus,
offering circular or other document (including any related registration
statement, notification or the like) incident to any such registration,
qualification or compliance, or based on any omission (or alleged omission) to

                                       12
<PAGE>

state therein a material fact required to be stated therein or necessary to make
the statements therein not misleading in light of the circumstances under which
they were made, or any violation by the Company of the Securities Act or any
state securities law or in either case, any rule or regulation thereunder
applicable to the Company and relating to action or inaction required of the
Company in connection with any such registration, qualification or compliance,
and will reimburse each Holder, each of its officers, directors, agents and
partners, and each person controlling each of the foregoing, each such
underwriter and each person who controls any such underwriter, for any legal and
any other expenses reasonably incurred in connection with investigating and
defending any such claim, loss, damage, liability or action, provided that the
Company will not be liable in any such case to a Holder to the extent that any
such claim, loss, damage, liability or expense arises out of or is based on any
untrue statement or omission based upon written information furnished to the
Company by such Holder or the underwriter (if any) therefor and stated to be
specifically for use therein. The indemnity agreement contained in this Section
6(a) shall not apply to amounts paid in settlement of any such loss, claim,
damage, liability or action if such settlement is effected without the consent
of the Company (which consent will not be unreasonably withheld).

                   (b) HOLDER INDEMNITY. Each Holder will, severally and not
jointly, if Registrable Securities held by it are included in the securities as
to which such registration, qualification or compliance is being effected,
indemnify the Company, each of its directors, officers, agents and partners, and
each underwriter, if any, of the Company's securities covered by such a
registration statement, each person who controls the Company or such underwriter
within the meaning of Section 15 of the Securities Act and the rules and
regulations thereunder, each other Holder (if any), and each of their officers,
directors and partners, and each person controlling such other Holder(s) against
all claims, losses, damages and liabilities (or actions in respect thereof)
arising out of or based on any untrue statement (or alleged untrue statement) of
a material fact contained in any such registration statement, prospectus,
offering circular or other document, or any omission (or alleged omission) to
state therein a material fact required to be stated therein or necessary to make
the statement therein not misleading in light of the circumstances under which
they were made, and will reimburse the Company and such other Holder(s) and
their directors, officers and partners, underwriters or control persons for any
legal or any other expenses reasonably incurred in connection with investigating
and defending any such claim, loss, damage, liability or action, in each case to
the extent, but only to the extent, that such untrue statement (or alleged
untrue statement) or omission (or alleged omission) is made in such registration
statement, prospectus, offering circular or other document in reliance upon and
in conformity with written information furnished to the Company by such Holder
and stated to be specifically for use therein, and provided that the maximum
amount for which such Holder shall be liable under this indemnity shall not
exceed the net proceeds received by such Holder from the sale of the Registrable
Securities pursuant to the registration statement in question. The indemnity
agreement contained in this Section 6(b) shall not apply to amounts paid in
settlement of any such claims, losses, damages or liabilities if such settlement
is effected without the consent of such Holder (which consent shall not be
unreasonably withheld).

                                       13
<PAGE>

                   (c) PROCEDURE. Each party entitled to indemnification under
this Section 6 (the "Indemnified Party") shall give notice to the party required
to provide indemnification (the "Indemnifying Party") promptly after such
Indemnified Party has actual knowledge of any claim as to which indemnity may be
sought, and shall permit the Indemnifying Party to assume the defense of any
such claim in any litigation resulting therefrom, provided that counsel for the
Indemnifying Party, who shall conduct the defense of such claim or any
litigation resulting therefrom, shall be approved by the Indemnified Party
(whose approval shall not be unreasonably withheld), and the Indemnified Party
may participate in such defense at its own expense, and provided further that
the failure of any Indemnified Party to give notice as provided herein shall not
relieve the Indemnifying Party of its obligations under this Section 6 except to
the extent that the Indemnifying Party is materially and adversely affected by
such failure to provide notice. No Indemnifying Party, in the defense of any
such claim or litigation, shall, except with the consent of each Indemnified
Party, consent to entry of any judgment or enter into any settlement which does
not include as an unconditional term thereof the giving by the claimant or
plaintiff to such Indemnified Party of a release from all liability in respect
to such claim or litigation. Each Indemnified Party shall furnish such
non-privileged information regarding itself or the claim in question as an
Indemnifying Party may reasonably request in writing and as shall be reasonably
required in connection with the defense of such claim and litigation resulting
therefrom.

                   7. CONTRIBUTION. If the indemnification provided for in
Section 6 herein is unavailable to the Indemnified Parties in respect of any
losses, claims, damages or liabilities referred to herein (other than by reason
of the exceptions provided therein), then each such Indemnifying Party, in lieu
of indemnifying such Indemnified Party, shall contribute to the amount paid or
payable by such Indemnified Party as a result of such losses, claims, damages or
liabilities as between the Company on the one hand and any Holder on the other,
in such proportion as is appropriate to reflect the relative fault of the
Company and of such Holder in connection with the statements or omissions which
resulted in such losses, claims, damages or liabilities, as well as any other
relevant equitable considerations. The relative fault of the Company on the one
hand and of any Holder on the other shall be determined by reference to, among
other things, whether the untrue or alleged untrue statement of a material fact
or omission or alleged omission to state a material fact relates to information
supplied by the Company or by such Holder.

                   In no event shall the obligation of any Indemnifying Party to
contribute under this Section 7 exceed the amount that such Indemnifying Party
would have been obligated to pay by way of indemnification if the
indemnification provided for under Section 6(a) or 6(b) hereof had been
available under the circumstances.

                   The Company and the Holders agree that it would not be just
and equitable if contribution pursuant to this Section 7 were determined by pro
rata allocation (even if the Holders or the underwriters were treated as one
entity for such purpose) or by any other method of allocation which does not
take account of the equitable considerations referred to in the immediately
preceding paragraphs. The amount paid or payable by an Indemnified Party as a
result of the losses, claims, damages and liabilities referred to in the

                                       14
<PAGE>

immediately preceding paragraphs shall be deemed to include, subject to the
limitations set forth above, any legal or other expenses reasonably incurred by
such Indemnified Party in connection with investigating or defending any such
action or claim. Notwithstanding the provisions of this section, no Holder or
underwriter shall be required to contribute any amount in excess of the amount
by which (i) in the case of any Holder, the net proceeds received by such Holder
from the sale of Registrable Securities pursuant to the registration statement
in question or (ii) in the case of an underwriter, the total price at which the
Registrable Securities purchased by it and distributed to the public were
offered to the public exceeds, in any such case, the amount of any damages that
such Holder or underwriter has otherwise been required to pay by reason of such
untrue or alleged untrue statement or omission or alleged omission. No person
guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of
the Securities Act) shall be entitled to contribution from any person who was
not guilty of such fraudulent misrepresentation.

              8. SURVIVAL. The indemnity and contribution agreements contained
in Sections 6 and 7 and the representations and warranties of the Company
referred to in Section 2(d)(i) shall remain operative and in full force and
effect regardless of (i) any termination of this Agreement or the Purchase
Agreement or any underwriting agreement, (ii) any investigation made by or on
behalf of any Indemnified Party or by or on behalf of the Company, and (iii) the
consummation of the sale or successive resales of the Registrable Securities.

              9. INFORMATION BY HOLDERS. Each Holder shall furnish to the
Company such information regarding such Holder and the distribution and/or sale
proposed by such Holder as the Company may reasonably request in writing and as
shall be reasonably required in connection with any registration, qualification
or compliance referred to in this Agreement. The intended method or methods of
disposition and/or sale (Plan of Distribution) of such securities as so provided
by such Investor shall be included without alteration in the Registration
Statement covering the Registrable Securities and shall not be changed without
written consent of such Holder.

              10. REPLACEMENT CERTIFICATES. The certificate(s) representing the
Common Shares held by any Investor (or then Holder) may be exchanged by such
Investor (or such Holder) at any time and from time to time for certificates
with different denominations representing an equal aggregate number of Common
Shares, as reasonably requested by such Investor (or such Holder) upon
surrendering the same. No service charge will be made for such registration or
transfer or exchange. Upon receipt by the Corporation of evidence reasonably
satisfactory to it of the loss, theft, destruction or mutilation of any
certificate representing the Common Shares, Warrant Shares or the Warrants, and,
in the case of loss, theft or destruction, of indemnity reasonably satisfactory
to it, or upon surrender and cancellation of such certificate if mutilated, the
Corporation will make and deliver a new certificate of like tenor and dated as
of such cancellation at no charge to the holder.

              11. TRANSFER OR ASSIGNMENT. Except as otherwise provided herein,

                                       15
<PAGE>

this Agreement shall be binding upon and inure to the benefit of the parties and
their successors and permitted assigns. The rights granted to the Investors by
the Company under this Agreement to cause the Company to register Registrable
Securities may be transferred or assigned (in whole or in part) to a transferee
or assignee (not sold through a public sale) of Common Shares, Warrant Shares,
Warrants or Registrable Securities, and all other rights granted to the
Investors by the Company hereunder may be transferred or assigned to any such
transferee or assignee of any Common Shares, Warrant Shares, Warrants or
Registrable Securities; provided in each case that the Company must be given
written notice by the such Investor at the time of or within a reasonable time
after said transfer or assignment, stating the name and address of said
transferee or assignee and identifying the securities with respect to which such
registration rights are being transferred or assigned; and provided further that
the transferee or assignee of such rights agrees in writing to be bound by the
registration provisions of this Agreement.

              12. MISCELLANEOUS.

                   (a) REMEDIES. The Company and the Investor acknowledge and
agree that irreparable damage would occur in the event that any of the
provisions of this Agreement were not performed in accordance with their
specific terms or were otherwise breached. It is accordingly agreed that the
parties shall be entitled to an injunction or injunctions to prevent or cure
breaches of the provisions of this Agreement and to enforce specifically the
terms and provisions hereof, this being in addition to any other remedy to which
any of them may be entitled by law or equity.

                   (b) JURISDICTION. Each of the Company and the Investor (i)
hereby irrevocably submits to the exclusive jurisdiction of the United States
District Court, the New York State courts and other courts of the United States
sitting in New York County, New York for the purposes of any suit, action or
proceeding arising out of or relating to this Agreement and (ii) hereby waives,
and agrees not to assert in any such suit action or proceeding, any claim that
it is not personally subject to the jurisdiction of such court, that the suit,
action or proceeding is brought in an inconvenient forum or that the venue of
the suit, action or proceeding is improper. The Company and the Investor consent
to process being served in any such suit, action or proceeding by mailing a copy
thereof to such party at the address in effect for notices to it under this
Agreement and agrees that such service shall constitute good and sufficient
service of process and notice thereof. Nothing in this paragraph shall affect or
limit any right to serve process in any other manner permitted by law.

                   (c) NOTICES. Any notice or other communication required or
permitted to be given hereunder shall be in writing by facsimile, mail or
personal delivery and shall be effective upon actual receipt of such notice. The
addresses for such communications shall be:

                                       16
<PAGE>

                  to the Company:

                           netGuru, Inc.
                           22700 Savi Ranch Parkway
                           Yorba Linda, CA  92887
                           Telephone:       (714) 974-2500
                           Facsimile:       (714) 974-4771
                           Attention:       Jyoti Chatterjee

                  with a copy to:

                           Rutan & Tucker, LLP
                           611 Anton Boulevard, Fourteenth Floor
                           P.O. Box 1950
                           Costa Mesa, CA  92626
                           Telephone:       (714) 641-5100
                           Facsimile:       (714) 546-9035
                           Attention:       Larry A. Cerutti, Esq.

                  to the Investor:

                           c/o Elliott Management Corporation
                           712 Fifth Avenue, 36th Floor
                           New York, New York  10019
                           Telephone:       (212) 586-2999
                           Facsimile:       (212) 586-9467
                           Attention:       Mr. Brett Cohen

                  with copies to:

                           Kleinberg, Kaplan, Wolff & Cohen, P.C.
                           551 Fifth Avenue
                           New York, New York 10176
                           Facsimile:       (212) 986-8866
                           Attention:       Stephen M. Schultz, Esq.

Any party hereto may from time to time change its address for notices by giving
at least five days' written notice of such changed address to the other parties
hereto.

                   (d) INDEMNITY. Each party shall indemnify each other party
against any loss, cost or damages (including reasonable attorney's fees)
incurred as a result of such parties' breach of any representation, warranty,
covenant or agreement in this Agreement, including, without limitation, any
enforcement of this indemnity.

                   (e) WAIVERS. No waiver by any party of any default with
respect to any provision, condition or requirement of this Agreement shall be
deemed to be a continuing waiver in the future or a waiver of any other
provision, condition or requirement hereof, nor shall any delay or omission of
any party to exercise any right hereunder in any manner impair the exercise of
any such right accruing to it thereafter. The representations and warranties and

                                       17
<PAGE>

the agreements and covenants of the Company and each Investor contained herein
shall survive the Closing.

                   (f) EXECUTION IN COUNTERPART. This Agreement may be executed
in two or more counterparts, all of which shall be considered one and the same
agreement, it being understood that all parties need not sign the same
counterpart.

                   (g) SIGNATURES. Facsimile signatures shall be valid and
binding on each party submitting the same.

                   (h) ENTIRE AGREEMENT; AMENDMENT. This Agreement, together
with the Purchase Agreement, the Certificate, the Warrants and the agreements
and documents contemplated hereby and thereby, contains the entire understanding
and agreement of the parties, and may not be amended, modified or terminated
except by a written agreement signed by the Company plus the Holders of 75% of
the Preferred Shares issued under the Purchase Agreement to that date; provided
that for the purposes of this Section 12(h)) the Holders of Common Shares still
entitled to registration rights under this Agreement will be deemed to still be
Holders of that number of Preferred Shares which were converted into such number
of Common Shares issued upon conversion which are still held by them.

                   (i) GOVERNING LAW. This Agreement and the validity and
performance of the terms hereof shall be governed by and construed in accordance
with the laws of the State of New York applicable to contracts executed and to
be performed entirely within such state, except to the extent that the law of
the State of Delaware regulates the Company's issuance of securities.

                   (j) JURY TRIAL. EACH PARTY HERETO WAIVES THE RIGHT TO A TRIAL
BY JURY.

                   (k) TITLES. The titles used in this Agreement are used for
convenience only and are not to be considered in construing or interpreting this
Agreement.

                   (l) NO STRICT CONSTRUCTION. The language used in this
Agreement will be deemed to be the language chosen by the parties to express
their mutual intent, and no rule of strict construction will be applied against
any party.

                            [SIGNATURE PAGE FOLLOWS]

                                       18
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed as of the date first above written.

                                    NETGURU, INC.

                                    By: /s/ Jyoti Chatterjee
                                        ----------------------------------------
                                    Name:   Jyoti Chatterjee
                                    Title:  President

                                    WESTGATE INTERNATIONAL, L.P.
                                    By:     ELLIOTT INTERNATIONAL CAPITAL
                                            ADVISORS INC., as attorney-in-fact

                                            By: /s/ Paul E. Singer
                                                --------------------------------
                                            Name:    Paul E. Singer
                                            Title:   President

                                    ELLIOTT ASSOCIATES, L.P.

                                    By: /s/ Paul E. Singer
                                        ----------------------------------------
                                    Name:   Paul E. Singer
                                    Title:  General Partner

                                       19

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00011-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00011-of-00352.parquet"}]]