Document:

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                    SEPARATION AGREEMENT AND GENERAL RELEASE

         This Separation Agreement and General Release (the "Agreement") is
entered into as of March 20, 2002, by and between WestPoint Stevens Inc., a
Delaware corporation (the "Company"), and Lanny Bledsoe, an individual resident
of Alabama (the "Executive").

                     I. STATEMENT OF BACKGROUND INFORMATION

         A.       Executive has been employed as Senior Vice President of
Manufacturing of the Company.

         B.       Executive has resigned his position as Senior Vice President
of Manufacturing effective as of March 21, 2002 (the "Effective Date"), and has
accepted a position as Special Assistant to the President for the balance of
calendar year 2002 (the "Interim Period"), at the conclusion of which period
Executive shall retire from the Company.

         C.       Executive and the Company desire to enter into this Agreement
to establish the terms and conditions of Executive's employment during the
Interim Period, to establish certain post-employment nondisclosure and
noncompetition arrangements with Executive, and to settle fully and finally any
differences between the parties that might arise from Executive's employment
and termination of employment with the Company.

                           II. STATEMENT OF AGREEMENT

         In consideration of the mutual covenants and obligations hereinafter
set forth, the receipt and adequacy of which are expressly acknowledged, the
parties hereto, intending to be legally bound, do hereby agree as follows:

         1.       Termination of Employment. On the Effective Date, Executive's
new position with the Company shall be Special Assistant to the President.
Executive's employment with the Company shall terminate effective on the 1st
day of January, 2003 (the "Termination Date").

         2.       Compensation to Executive. In consideration for the general
release and for the covenants contained herein, the Company agrees to pay to
Executive the following amounts, subject to the terms hereof. Except as set
forth in this Agreement, Executive acknowledges that there is no other
compensation, wages, salary, or other amounts due and owing to him from the
Company:
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         A.       Interim Period Compensation. For the Interim Period, the
Company shall pay Executive the following amounts and provide the following
benefits:

                  i.       base salary at a rate equal to Executive's base
salary in effect as of the Effective Date, payable in accordance with the
Company's usual and customary payroll practices;

                  ii.      bonus pay under the Company's Management Incentive
Plan in respect of the Company's 2002 fiscal year if and to the extent that
performance objectives under such plan are attained, such payment, if any, to
occur in February 2003; and

                  iii.     continued participation in each pension, welfare
benefit, and executive compensation program (other than equity-based
compensation programs), in which Executive participated immediately before the
Effective Date on such terms as are available to Company Senior Vice Presidents
generally; and

Choose Alternative A or B:

[X][ALTERNATIVE A] iv.     subject to approval by the Compensation Committee of
the Board, an award of 50,000 Deferred Shares to Executive under the Company's
Omnibus Stock Incentive Plan, with the Shares to be delivered on December 31,
2004, subject to the conditions that Executive shall not have voluntarily
terminated employment with the Company prior to the Termination Date and shall
have complied fully with the terms of this Agreement (including the
nondisclosure and noncompetition provisions of Section 6 hereof), and further
subject to such other terms and conditions as the Compensation Committee of the
Company's Board of Directors may specify in a separate Deferred Share Award
Agreement; or

[ ][ALTERNATIVE B] iv.     subject to approval by the Compensation Committee of
the Board, an award of 50,000 Restricted Shares to Executive under the
Company's Omnibus Stock Incentive Plan, to be issued within ten (10) business
days following the date that this Agreement becomes effective (as provided in
Section 12 hereof), subject to the conditions that the entirety of such Award
shall be forfeited if Executive shall voluntarily terminate employment with the
Company prior to the Termination Date or shall have failed to comply fully with
the terms of this Agreement (including the nondisclosure and noncompetition
provisions of Section 6 hereof), and further subject to such other terms and
conditions as the Compensation Committee of the Company's Board of Directors
may specify in a separate Restricted Share Award Agreement.

[NOTE: GRANT UNDER IV. MUST BE APPROVED BY COMPENSATION COMMITTEE OF BOARD.]

         B.       Termination and Post-Termination Compensation. For the period
commencing with the Termination Date, the Company shall pay Executive the
following amounts and provide the following benefits:

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                  i.       upon the Termination Date, Executive shall become
fully vested in all outstanding Company stock options previously awarded to
Executive and shall become fully vested in all previously earned awards under
the Company Key Employee Stock Bonus Plan, and Executive's right to all
unearned shares awarded under such Plan shall expire on the Termination Date;

                  ii.      health plan continuation coverage for Executive's
current spouse consisting of: first, standard coverage under the Consolidated
Omnibus Budget Reconciliation Act of 1985 ("COBRA"), with Executive paying the
monthly premium cost applicable to active employees under the Company's group
health plan and the Company paying or imputing taxable income to Executive (or,
in the event of Executive's death, the Executive's spouse) for the difference
between (x) the cost of such coverage charged to COBRA participants under the
Company's group health plan and (y) the cost of such coverage charged to active
employees participating in such plan; and thereafter, standard coverage for a
spouse under the Company's retiree group health plan, for so long as the
Company maintains the retiree group health plan, with Executive paying the
monthly premium cost applicable to active employees under the Company's group
health plan and the Company paying or imputing taxable income to Executive (or,
in the event of Executive's death, the Executive's spouse) for the difference
between (x) the cost of coverage charged to retirees participating in the
Company's retiree group health plan and (y) the cost of coverage charged to
active employees under the Company's group health plan, until the spouse
attains age 65;

                  iii.     subject to Executive's full compliance with the
provisions of Section 6 of this Agreement, annual cash compensation of $100,718
for calendar years 2003 and 2004, payable to Executive (or, in the event of
Executive's death, to his estate) in accordance with the Company's usual and
customary payroll practices; and

                  iv.      benefits under any Company-sponsored pension plans
in which Executive participates in accordance with the terms of such plans.

         3.       Deductions and Withholding; Expenses. Executive agrees that
the Company may withhold from any and all compensation paid to and required to
be paid to Executive pursuant to this Agreement, all federal, state, local
and/or other taxes which the Company determines are required to be withheld in
accordance with applicable statutes and/or regulations then in effect. For
purposes of this Agreement and calculations hereunder, all such deductions and
withholdings shall be deemed to have been paid to and received by Executive.

         4.       Release of Company. Except for the obligations of Company
under this Agreement, Executive, for himself, his successors, assigns,
attorneys, and all those entitled to assert his rights, now and forever hereby
releases and discharges Company and its respective officers, directors,
stockholders, trustees, employees, agents, parent corporations, subsidiaries,
affiliates, estates, successors, assigns and attorneys, (the "Released
Parties") from any and all claims, actions, causes of action, sums of money

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due, suits, debts, liens, covenants, contracts, obligations, costs, expenses,
damages, judgments, agreements, promises, demands, claims for attorney's fees
and costs, or liabilities whatsoever, in law or in equity ("Claims"), which
Executive ever had or now has against the Released Parties, including any
Claims arising by reason of or in any way connected with any employment
relationship or Employment Agreement which existed between Company, or any of
its parents, subsidiaries, affiliates, or predecessors, and Executive. It is
understood and agreed that this Agreement is intended to cover all Claims which
may be traced either directly or indirectly to the aforesaid employment
relationship, or the termination of that relationship, that Executive has, had,
or purports to have, from the beginning of time to the present, whether known
or unknown, that now exists, no matter how remotely they may be related to the
aforesaid employment relationship, including, but not limited to, Claims for
employment discrimination under federal or state law; Claims arising under
Title VII of the Civil Rights Act, 42 U.S.C. ss. 2000(e), et seq., the
Americans With Disabilities Act, 42 U.S.C. ss. 12101 et seq. or the Age
Discrimination in Employment Act, 29 U.S.C. ss. 621, et seq.; Claims for
statutory or common law wrongful discharge; Claims for attorney's fees,
expenses and costs; Claims for defamation; Claims for intentional infliction of
emotional distress; Claims for wages or vacation pay; Claims for benefits,
including any Claims arising under the Employee Retirement Income Security Act,
29 U.S.C. ss. 1001, et seq.

         Without limiting the generality of the foregoing, Executive agrees
that by executing this Agreement, he has released and waived any and all Claims
he has or may have as of the date of this Agreement under the Age
Discrimination in Employment Act, 29 U.S.C. ss. 621, et seq. It is understood
that Executive is advised to consult with an attorney prior to executing this
Agreement; that he may, before executing this Agreement, consider this
Agreement for a period of twenty-one (21) calendar days; and that he is
receiving consideration for this Agreement to which he was previously not
entitled. It is further understood that this Agreement is not effective until
seven (7) calendar days after the execution of this Agreement and that
Executive may revoke this Agreement within seven (7) calendar days from the
date of execution of this Agreement.

         In the event Executive shall breach or attempt to rescind this
Agreement or shall institute an action that would otherwise be subject to this
release after the Effective Date, Executive agrees that he will first return to
the Company all consideration received hereunder and the Company shall be
entitled to all attorneys' fees and costs incurred in defending any Claim that
Executive purports to release in this Agreement.

         5.       Return of Company Property. As soon as practicable, but in no
event later than five (5) days after the Termination Date, Executive will
return to the Company all property of the Company then in his possession,
including, but not limited to, any automobiles, cellular phones, computers,
printers, Palm Pilots, files, records, customer information, Confidential
Information, Trade Secrets, and any written or electronic information that
might constitute non-public insider information under the Securities and
Exchange Act of 1934. Upon return of all property, Executive shall represent to
the Company that he has no other Company property in his possession.

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         6.       Restrictions on Conduct of the Executive.

                  A.       General. The Executive and the Company understand
and agree that the purpose of the provisions of this Section 6 is to protect
the legitimate business interests of the Company, including the protection of
Confidential Information and Trade Secrets, and is not intended to impair or
infringe upon the Executive's right to work, earn a living, or acquire and
possess property from the fruits of his labor. The Executive hereby
acknowledges that the post-employment restrictions set forth in this Section 6
are reasonable and that they do not, and will not, unduly impair his ability to
earn a living. Therefore, subject to the limitations of reasonableness imposed
by law, the Executive shall be subject to the restrictions set forth in this
Section 6.

                  B.       Restrictive Covenants.

                           i.       Restriction on Disclosure and Use of
Confidential Information and Trade Secrets. Executive hereby agrees that the
Executive shall not, directly or indirectly, reveal, divulge, or disclose to
any entity any Confidential Information, and the Executive shall not, directly
or indirectly, at any time for a period of two (2) years from the Termination
Date use or make use of any Confidential Information in connection with any
business activity. The Executive shall not directly or indirectly transmit or
disclose any Trade Secret of the Company to any Person, and shall not make use
of any such Trade Secret, directly or indirectly, for himself or for others.
This Agreement is not intended to, and does not alter either the Company's
rights or the Executive's obligations under any state or federal statutory or
common law regarding trade secrets and unfair trade practices.

                  For purposes of this Agreement, "Confidential Information"
means all information regarding the Company, its activities, business or
clients that is the subject of reasonable efforts by the Company to maintain
its confidentiality and that is not generally disclosed by practice or
authority to persons not employed by the Company, but that does not rise to the
level of a Trade Secret. Confidential Information shall include, but is not
limited to, financial plans and data concerning the Company; management
planning information; business plans; operational methods; market studies;
marketing plans or strategies; product development techniques or plans;
customer lists; details of customer contracts; current and anticipated customer
requirements; past, current and planned research and development; business
acquisition plans; and new personnel acquisition plans. Confidential
Information shall not include information that has become generally available
to the public by the act of one who has the right to disclose such information
without violating any right or privilege of the Company. This definition shall
not limit any definition of "confidential information" or any equivalent term
under state or federal law.

                  "Trade Secrets" means all information, with regard to form,
including, but not limited to, technical or nontechnical data, a formula, a
pattern, a compilation, a program, a device, a method, a technique, a drawing,
a process, financial data, financial plans, product plans, distribution lists
or a list of actual or potential customers, advertisers or suppliers which is
not commonly known by or available to the public and which

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information: (A) derives economic value, actual or potential, from not being
generally known to, and not being readily ascertainable by proper means by,
other persons who can obtain economic value from its disclosure or use; and (B)
is the subject of efforts that are reasonable under the circumstances to
maintain its secrecy. Without limiting the foregoing, Trade Secret means any
item of Confidential Information that constitutes a "trade secret(s)" under the
common law or statutory law of the State of Georgia.

                  ii.      Noncompetition with the Company. In consideration of
the compensation and benefits being paid and to be paid by the Company to the
Executive hereunder, and in consideration of Executive's former employment with
the Company, Executive hereby agrees that, for a period of two (2) years from
the Termination Date, the Executive will not, without prior written consent of
the Company, directly or indirectly seek or obtain a Competitive Position in
the Restricted Territory with a Competitor. "Competitive Position" means any
employment with a Competitor in which the Executive will use or is likely to
use any Confidential Information or Trade Secrets, or in which the Executive
has duties for such Competitor that are the same or similar to those services
performed by Executive for the Company. "Restricted Territory" means the United
States of America. "Competitor" means any corporation, partnership, joint
venture, limited liability company, association or other entity or enterprise
engaged in the direct sale and marketing to retailers of textile home fashion
products within the same distribution channels and market as the Company.

                  C.       Enforcement of Restrictive Covenants.

                           i.       Rights and Remedies Upon Breach. In the
event the Executive breaches, or threatens to commit a breach of, any of the
provisions of the Restrictive Covenants, the Company shall have (a) the right
and remedy to enjoin the Executive from violating or threatening to violate the
Restrictive Covenants it being agreed that any breach or threatened breach of
the Restrictive Covenants would cause irreparable injury to the Company and
that money damages would not provide an adequate remedy to the Company; and (b)
the right and the remedy to cease payment of any continuing compensation that
would otherwise be due to Executive under this Agreement and require repayment
of all cash compensation paid to Executive pursuant to Section 2(B)(iii) of
this Agreement.

                           ii.      Severability of Covenants. The Executive
acknowledges and agrees that the restrictive covenants herein are reasonable
and valid in time and scope and in all other respects. The covenants set forth
in this Agreement shall be considered and construed as separate and independent
covenants. Should any part or provision of any covenant be held invalid, void
or unenforceable in any court of competent jurisdiction, such invalidity,
voidness or unenforceability shall not render invalid, void or unenforceable
any other part or provision of this Agreement. If any portion of the foregoing
provisions is found to be invalid or unenforceable by a court of competent
jurisdiction because its duration, the territory, the definition of activities
or the definition of information covered is considered to be invalid or
unreasonable in scope, the invalid or unreasonable term shall be redefined, or
a new enforceable term provided, such that the

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intent of the Company and the Executive in agreeing to the provisions of this
Agreement will not be impaired and the provision in question shall be
enforceable to the fullest extent of the applicable laws.

         7.       Confidentiality and Non-Disparagement. Executive and the
Company covenant and warrant that they have not and will not disclose or
publish, verbally, in writing or otherwise, to any person or entity the amount
of consideration passing pursuant to this Agreement, or any other term or
consideration passing pursuant to this Agreement. The parties specifically
except from this limitation the following: as to Executive, his tax advisor(s),
his immediate family, and the Internal Revenue Service; as to the Company, its
attorneys, accountants, directors, and only those employees determined to have
a bona fide need to know the information, in the Company's good faith
determination, as well as any disclosures required by state or Federal law,
including, but not limited to the Securities and Exchange Act of 1934.
Executive and the Company further covenant and warrant that neither will make
any statements or comments of a defamatory or disparaging nature to third
parties, including the Company's customers or potential employers of Executive,
regarding Executive, the Company or its directors, officers, personnel, or
products. Executive further agrees that, should he breach the obligations set
forth in this Paragraph 7, the Company will be entitled to cease payment of all
continuing consideration for the remainder of the term of this Agreement.
Executive further agrees that any breach of this paragraph shall cause
irreparable harm to the Company, and nothing herein shall prohibit the Company
from seeking equitable relief, including an injunction, in the case of a breach
of the terms of this paragraph.

         8.       Entire Agreement. This Agreement embodies the entire
agreement of the parties and supercedes any prior written or oral Agreement,
including, without limitation, the Employment Agreement between the parties.
This Agreement may not be changed or terminated orally but only by an agreement
in writing signed by the parties hereto.

         9.       Waiver. The waiver by the Company of a breach of any
provision of this Agreement by the Executive shall not operate or be construed
as a waiver of any subsequent breach by him. The waiver by the Executive of a
breach of any provision of this Agreement by the Company shall not operate or
be construed as a waiver of any subsequent breach by the Company.

         10.      Governing Law. This Agreement shall be subject to, and
governed by, the internal laws of the State of Georgia, without regard to
choice of law principles.

         11.      Assignability; Successors. The obligations of Executive may
not be delegated and, Executive may not, without the Company's written consent
thereto, assign, transfer, convey, pledge, encumber, hypothecate or otherwise
dispose of this Agreement or any interest herein. Any such attempted delegation
or disposition shall be null and void and without effect.

         12.      Effective Date. This Agreement shall take effect seven (7)
days after it is fully executed by the parties, and Executive shall have the
right to revoke the Agreement

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during that period (the "Revocation Period"); provided, however, that Executive
shall be bound by all restrictive covenants dating from the Termination Date
during the Revocation Period, and any breach of this Agreement by Executive
during that Revocation Period shall be construed as a revocation of this
Agreement.

         13.      Paragraph Headings. The paragraph headings contained in this
Agreement are for reference purposes only and shall not affect in any way the
meaning or interpretation of this Agreement.

         14.      Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall be deemed to be an original, but all of which
taken together shall constitute one and the same instrument.

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

                                                     WESTPOINT STEVENS INC.

Dated:   3/21/02                            By: /s/ M. L. Fontenot
      ---------------------                    --------------------------------
                                                M.L. Fontenot
                                                President

Dated: March 20, 2002                       /s/ Lanny L. Bledsoe
      ---------------------                 -----------------------------------
                                            Lanny Bledsoe

                                      -8-<PAGE>
                  MODIFICATION OF NOTE AND OTHER LOAN DOCUMENTS

         THIS MODIFICATION OF NOTE AND OTHER LOAN DOCUMENTS ("Agreement") is
made this 7th day of August, 2002 by and between OCEAN BANK, a Florida chartered
bank ("Bank"), NAP OF THE AMERICAS, INC., a Florida corporation ("NAP") and
TERREMARK WORLDWIDE, INC., a Delaware corporation ("Terremark") (NAP and
Terremark each a "Borrower" and collectively "Borrowers") with the joinder of
TECOTA SERVICES CORP., a Delaware corporation, TERREMARK DEVELOPMENT, INC., a
dissolved Florida corporation, TERREMARK FINANCIAL SERVICES, INC., a Florida
corporation, TERREMARK FORTUNE HOUSE #1, INC., a Florida corporation, TERREMARK
FORTUNE HOUSE #1, LTD., a Florida limited partnership, TERREMARK LATIN AMERICA,
INC., a Florida corporation, TERREMARK MANAGEMENT SERVICES, INC., a Florida
corporation, TERREMARK NORTHEAST, INC., a New York corporation, TERREMARK
REALTY, INC., a Florida corporation, TERREMARK TECHNOLOGY CONTRACTORS, INC., a
Florida corporation, TERREMARK TRADEMARK HOLDINGS, INC., a Nevada corporation,
TERRENAP DATA CENTERS, INC., a Florida corporation, TERRENAP SERVICES, INC., a
Florida corporation, and MANUEL D. MEDINA (each a "Guarantor" and collectively
"Guarantors").

                                   BACKGROUND

         A. The Bank has made credit extensions to either or both of NAP OF THE
AMERICAS, INC., a Florida corporation ("NAP") and TERREMARK WORLDWIDE, INC., a
Delaware corporation ("Terremark") (NAP and Terremark each a "Borrower" and
collectively "Borrowers"), pursuant to and as evidenced by that certain Amended
and Restated Credit Agreement dated as of September 5, 2001 between the
Borrowers and the Bank (as amended and restated from time to time, the "Credit
Agreement") and a promissory note from Borrowers in favor of Bank, dated as of
September 5, 2001, in the principal amount of $48,000,000 (together with any
renewals and modifications thereof and substitutions therefore, the "Note"). The
Note and Credit Agreement are secured by, among other things: (i) that certain
Leasehold Mortgage, Security Agreement, Assignment of Leases and Rents and
Fixture Filing dated as of September 5, 2001 from NAP in favor of Bank recorded
in Official Records Book 19890, at Page 0695, Public Records of Miami-Dade
County, Florida (as amended and restated from time to time, together with any
renewals and modifications thereof and substitutions therefore, the "Mortgage")
and (ii) that certain Assignment of Leases and Rents and Security Deposits dated
as of September 5, 2001 from NAP in favor of Bank recorded in Official Records
Book 19890, Page 743, Public Records of Miami-Dade County, Florida (as amended
and restated from time to time, together with any renewals and modifications
thereof and substitutions therefrom (the "Assignment").

         B. Each Borrower and each Guarantor executed and delivered to Bank one
or more security agreements in favor of Bank, each dated as of September 5,
2001, pursuant to which Borrower and such Guarantors granted to Bank a valid,
perfected first lien on and security interest in the collateral more
particularly described in such security agreements to secure the payment and
performance of the obligations and liabilities of Borrower to Bank under the
Loan Documents (defined below), and in the case of such Guarantors, the
obligations and liabilities of such Guarantors to Bank under their respective
Guaranties (defined below) (each such security agreement being a "Security
Agreement" and collectively the "Security Agreements" and each Guarantor, acting
in its capacity as a grantor of one or more security interests in favor of Bank
pursuant to the Security Agreements being a "Pledgor" and collectively
"Pledgors").

         C. The Note, the Credit Agreement, the Security Agreements, the
Mortgage and the Assignment, together with all other documents, instruments and
agreements evidencing, securing or otherwise relating to the loan evidenced by
the Note (the "Loan"), as such other documents, instruments and agreements may
be amended, modified, restated, renewed or substituted for from time to time are
referred to herein collectively as the "Loan Documents".

         D. Each Guarantor executed and delivered to Bank a Guaranty Agreement
dated as of September 5, 2001 (individually a "Guaranty" and collectively the
"Guaranties") pursuant to which each Guarantor jointly and severally,

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<PAGE>

irrevocably, absolutely and unconditionally guarantees to Bank the payment and
performance of all Obligations (as defined in the Guaranties) with respect to
the Loan and the Loan Documents.

         E. Borrowers have requested that Bank modify certain terms and
conditions of the Note and Credit Agreement, and the Bank is willing to do so,
on the terms and conditions hereinafter set forth.

         NOW, THEREFORE, in consideration of the foregoing premises and other
good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Bank and Borrowers hereby agree as follows:

         1. RECITALS; DEFINITIONS. The foregoing recitals are true and correct
and are incorporated herein by this reference. Capitalized terms used herein
shall be as defined in the foregoing recitals or as defined elsewhere in this
Agreement.

         2. PRINCIPAL BALANCE OF LOAN. Bank and Borrowers acknowledge and agree
that as of the date hereof the outstanding principal balance under the Note is
$43,974,552.64 and interest has been paid to and including May 4, 2002.
Simultaneously with the execution of this Agreement, Borrower shall pay the
monthly installment of interest due under the Note on June 5, 2002 in the amount
of $274,840.95, the monthly installment of interest due under the Note on July
5, 2002, in the amount of $274,840.95, and the monthly installment of interest
due under the Note on August 5, 2002 in the amount of $274,840.95 (which June 5,
2002, July 5, 2002 and August 5, 2002 payment amounts reflect the reduction in
interest rate specified in paragraph 3 below) which payments, when received by
Bank in good funds, shall pay interest owing under the Note to and including
August 4, 2002.

         3. REDUCTION OF INTEREST RATE. In Section 4.1 of the Note, the phrase
"Nine and One-Quarter Percent (9 1/4%)" is hereby deleted and the phrase "Seven
and One-Half Percent (7 1/2%)" is inserted therefore, such modification of
Section 4.1 to be effective as of and from and after May 5, 2002.

         4. PRINCIPAL AND INTEREST PAYMENTS.

                  (a) In Section 5.2 of the Note, in clause (i) thereof, the
phrase "March 5, 2003" is hereby deleted and the phrase "September 5, 2003" is
substituted therefore, and in clause (ii) thereof, the phrase "April 5, 2003" is
hereby deleted and the phrase "October 5, 2003" is substituted therefore.

                  (b) In Section 5.3 of the Note, in the second line thereof,
the phrase "December 5, 2004" is hereby deleted and the phrase "March 5, 2004"
is substituted therefore.

         5. MATURITY DATE. In Section 6.1 of the Note, the phrase "March 5,
2003" is hereby deleted and the phrase "September 5, 2003" is substituted
therefore.

         6. FIRST EXTENSION RIGHT. In Section 6.2 of the Note, in the second
line thereof, the phrase "nine (9) months" is hereby deleted and the phrase "six
(6) months" is hereby substituted therefore. In Section 6.2 of the Note, in the
second line thereof, the phrase "December 5, 2003" is hereby deleted and the
phrase "March 5, 2004" is substituted therefore.

         7. SECOND EXTENSION RIGHT. In Section 6.3 of the Note, in the third
line thereof, the phrase "nine (9) months" is hereby deleted and the phrase "six
(6) months" is hereby substituted therefore.

         8. INTEREST RESERVE. Borrowers acknowledge and agree that as of June 5,
2002, Borrowers failed to achieve annualized revenues of not less than
$33,000,000 as shown on audited financial statements satisfactory to Bank and,
accordingly, as of that date Borrowers have no right to request, and Bank has no
further obligation to make, advances from the "Interest Reserve" (as defined in
Section 8(b) of the Credit Agreement) for payment of interest owing under the
Note, including, without limitation, advances for payment of the monthly
installments of interest due on June 5, 2002 and July 5, 2002. Borrowers further

                                       2
<PAGE>

acknowledge and agree that from and after June 5, 2002, the Interest Reserve is
eliminated from the Loan and accordingly, from and after June 5, 2002 Lender
shall have absolutely no obligation to make any further advances from the
Interest Reserve to pay interest owing under the Note.

         9. TIME DEPOSIT ACCOUNT. Bank and Borrowers acknowledge and agree that
the original of Letter of Credit No. SB516002 (described in clause (x) of
Section 8(a)(ii) of the Credit Agreement) has been surrendered to and cancelled
by Bank, that the pledge of the time deposit account in the amount of $741,225
contemplated by Section 8(a)(ii) of the Credit Agreement created with respect to
such Letter of Credit has been released by Bank and that the funds in such time
deposit account have been withdrawn by Borrowers.

         10. MODIFICATIONS TO CREDIT AGREEMENT. The Credit Agreement is hereby
modified as follows:

                  (a) In Section 3 of the Credit Agreement, the first line
thereof, the phrase "eighteen (18) months" is hereby deleted and the phrase
"twenty-four (24) months" is substituted therefor. In the second sentence of
Section 3, the phrase "nine (9) months", appearing in two instances in such
sentence, is hereby deleted in both instances, and the phrase "six (6) months"
is substituted therefor.

                  (b) Borrowers represent and warrant to Lender that attached
hereto as EXHIBIT "A" is a true, correct and complete list of accounts payable
owing by NAP and by Terremark Technology Contractors, Inc. pertaining to
improvements to the Leased Premises (as defined in the Credit Agreement) as of
June 30, 2002.

                  (c) Borrowers represent and warrant to Lender that attached
hereto as EXHIBIT "B" is a true, correct and complete list of all existing
material software license agreements pertaining to or affecting the Leased
Premises as of the date hereof.

                  (d) Borrowers represent and warrant to Lender that attached
hereto as EXHIBIT "C" is a true, correct and complete list of all Colocation
Agreements pertaining to the Leased Premises as of the date hereof.

                  (e) Section 13(q) of the Credit Agreement is hereby deleted in
its entirety.

                  (f) Section 20(a)(xiv) of the Credit Agreement is hereby
amended by adding the following phrase thereto: "and an Enforcement Action is
initiated by Cupertino with respect thereto."

                  (g) Section 20(a)(xv) of the Credit Agreement is hereby
amended by adding the following phrase thereto: "and an Enforcement Action is
initiated by Kinetics with respect thereto."

                  (h) For purposes of Sections 20(a)(xiv) and 20(a)(xv), as
amended above, "Enforcement Action" shall mean any of the following actions
taken by either Cupertino or Kinetics with respect to the Cupertino Mortgage
Documents or the Kinetics Agreement, as applicable: the acceleration of the due
date of any indebtedness owing by either Borrower, the filing of an action to
foreclose the Cupertino mortgage or a claim of lien, the filing of an action for
the appointment of a receiver, the filing of an action to collect amounts owing
by either Borrower, or the initiation of any other legal proceeding to enforce
any obligation of either Borrower with respect to the Cupertino Mortgage
Documents or the Kinetics Agreement.

         11. REPRESENTATIONS AND WARRANTIES. Each Borrower represents, warrants,
ratifies and confirms to Bank as follows:

                  (a) The Loan Documents, as modified by this Agreement, are in
full force and effect, have been duly executed and delivered to Bank and
constitute the legal, valid and binding agreements and obligations of Borrowers,
enforceable against Borrowers in accordance with their respective terms.

                                       3
<PAGE>

                  (b) There are no actions, suits or proceedings at law or in
equity now pending, or to the best knowledge of each Borrower, threatened
against or affecting any Borrower that would have a material adverse affect on
Borrower's ability to perform its obligations under the Loan Documents, as
modified by this Agreement, and there are no facts now in existence known to
either Borrower which, with the giving of notice or lapse of time, or both,
would form the basis for any such action suit or proceeding. To the best of each
Borrower's knowledge, each Borrower is not in default with respect to any order,
writ, injunction, decree or demand of any court or other governmental agency.

                  (c) Each Borrower is not now insolvent and has not been
insolvent during the one (1) year period prior to the execution of this
Agreement.

                  (d) Neither this Agreement nor any other document, financial
statement, credit information certificate or statement furnished to Bank by a
Borrower, whether pursuant to this Agreement or otherwise, contains any material
untrue statement or admits a statement of fact material to the truth and
completeness of any statement made.

                  (e) NEITHER BORROWER HAS THE RIGHT OF OFFSET OR ANY CLAIM OR
DEFENSE IN RESPECT OF ITS OBLIGATIONS UNDER THE LOAN DOCUMENTS, AS MODIFIED BY
THIS AGREEMENT, AND HEREBY IRREVOCABLY WAIVES ANY OF THE FOREGOING IT MAY HAVE.

                  (f) All the terms, covenants, conditions, representations,
warranties and agreements contained in the Loan Documents, as modified by this
Agreement, are hereby ratified, confirmed and reaffirmed in all respects and
each Borrower hereby covenants and agrees to perform, comply with and abide by,
as applicable, all of such terms, covenants, conditions and agreements, and such
representations and warranties are true and correct as of the date hereof.

         12. CAPTIONS. The captions and headings contained in this Agreement are
for the convenience or reference only and shall not be construed as limiting or
defining in any way the provisions of this Agreement.

         13. COUNTERPARTS. This Agreement, and the Joinder and Consent attached
hereto and made a part hereof, may be executed in two or more counterparts,
which may be delivered by facsimile transmission, each of which counterparts
when so executed (and so delivered or otherwise delivered) shall be deemed to be
an original and all of which counterparts taken together shall constitute but
one and the same instrument.

         14. GOVERNING LAW. This Agreement shall be construed, interpreted and
enforced and governed by and in accordance with the laws of the State of Florida
without regard to any conflict of law, rule or principle that would give effect
to the laws of another jurisdiction.

         15. BINDING EFFECT. This Agreement shall be binding upon Bank and each
Guarantor and their respective heirs, personal representatives, executives,
successors and assigns and shall inure to the benefit of Bank and each Guarantor
and their respective heirs, personal representatives, executives, successors and
assigns.

         16. TAXES. In the event the State of Florida requires documentary stamp
or intangible taxes to be paid on or as a result of this Agreement, Borrower
shall pay same, including any interest or penalties imposed in connection
therewith, and shall indemnify and hold Bank harmless from and against any
liability (including interest and penalties) Bank may incur in connection
therewith.

         17. COSTS AND EXPENSES. Simultaneously with the execution of this
Agreement, Borrowers shall pay all reasonable costs and expenses, including
attorneys' fees, title search charges and title insurance premiums to insure the
Mortgage Modification (defined below), incurred by Bank in connection with the
preparation and negotiation of this Agreement and the transactions contemplated
by it and Borrowers hereby authorizes Bank to deduct the amount thereof from any
account of Borrowers with Bank to pay such costs and expenses.

                                       4
<PAGE>

         18. "NOTE" AND "CREDIT AGREEMENT" REDEFINED. The term "Note" as defined
or described in the Loan Documents shall mean the Note, as modified by this
Agreement. The terms "Credit Agreement" or "Loan Agreement" as defined or
described in the Loan Documents shall mean the Credit Agreement, as modified by
this Agreement.

         19. FURTHER ASSURANCES. Upon Bank's request, Borrowers shall execute,
acknowledge and deliver, and shall cause Guarantors to execute, acknowledge and
deliver such further instruments as may, in the opinion of Lender, be necessary,
desirable or proper to carry out more effectively the purpose of this Agreement,
including, without limitation, a modification of the Mortgage and the Assignment
which reflects the execution and delivery of this Agreement and provides that
the Mortgage shall secure the Note and Credit Agreement, as modified by this
Agreement (the "Mortgage Modification").

         20. NO WAIVER. Nothing contained in this Agreement shall be deemed a
waiver of any existing default or Event of Default (as defined or described in
the Loan Documents) or any event occurring or continuing to exist after the date
hereof which would constitute a default or an Event of Default under the Loan
Documents, except that receipt by Bank in good funds of payment in full of the
monthly installments of interest due on June 5, 2002, July 5, 2002 and August 5,
2002 (described in paragraph 2 above) shall cure the existing Events of Default
under the Loan Documents with respect to Borrower's failure to make such
payments when due. Nothing contained in this Agreement shall be deemed to be or
construed to be as an agreement on the part of Bank to further modify the Loan
Documents or to forbear from bringing an action to enforce the Loan Documents by
means of the remedies contained therein, or as a waiver or limitation upon the
right to exercise any other right, power, privilege or remedy provided at law or
in equity.

         IN WITNESS WHEREOF, this Agreement has been executed as of the date set
forth above.

                                                              OCEAN BANK

/s/ C. RICHARD MORGAN                       By: /s/ JORGE HERNANDEZ
------------------------------                 ---------------------------------
Print Name:  C. Richard Morgan              Name:  Jorge Hernandez
            ------------------                    ------------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
------------------------------              ------------------------------------
Print Name:  Aviva D. Budd
            ------------------

                                                   (Corporate Seal)

                                            NAP OF THE AMERICAS, INC., a
                                            Florida corporation

/s/ C. RICHARD MORGAN                       By: /s/ MANUAL D. MEDINA
------------------------------                 ---------------------------------
Print Name:  C. Richard Morgan              Name:  Manuel D. Medina
            ------------------                     -----------------------------
 /s/ AVIVA D. BUDD                          Title: Vice President
------------------------------                     -----------------------------
Print Name:  Aviva D. Budd
            ------------------

                                                   (Corporate Seal)

                                            TERREMARK WORLDWIDE, INC., a
                                            Delaware corporation

/s/ C. RICHARD MORGAN                       By: /s/ MANUEL D. MEDINA
------------------------------                 ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            ------------------                     -----------------------------
/s/ AVIVA D. BUDD                           Title: President
------------------------------                     -----------------------------
Print Name: Aviva D. Budd
            ------------------
                                                   (Corporate Seal)

                                       5
<PAGE>

                               JOINDER AND CONSENT

         The undersigned, being the Guarantors (as defined in the foregoing
Agreement) and being the Pledgors (as defined in the foregoing Agreement),
hereby join in and consent to the foregoing Agreement and in so joining and
consenting hereby acknowledge and agree as follows:

                  (a) The Loan Documents are modified as set forth in the
foregoing Agreement;

                  (b) The Guaranties shall remain in full force and effect (and
each Guarantor hereby ratifies and affirms the same), notwithstanding the
modification of the Loan Documents as set forth in the foregoing Agreement, and
each Guarantor`s obligations and liabilities with respect to the Obligations (as
defined in the Guaranties) include all Obligations pertaining to the Loan
Documents, as modified by the Agreement.

                  (c) The Security Agreements shall remain in full force and
effect (and each Pledgor hereby reaffirms and affirms the same), notwithstanding
the modification of the Loan Documents as set forth in the foregoing Agreement.

                  (d) Each Guarantor's obligations and liabilities under its
respective Guarantee and each Pledgor's obligations and liabilities under its
respective Security Agreement shall not be waived, impaired or released in any
manner whatsoever by the modification of the Loan Documents as set forth in the
foregoing Agreement.

                  (e) No Guarantor and no Pledgor has the right of offset or any
claim or defense in respect of its obligations under its respective Guarantee
and its respective Security Agreement and hereby irrevocably waives any of the
foregoing it may have.

         IN WITNESS WHEREOF, each Guarantor and Pledgor has executed this
Joinder and Consent as of the date set forth in the preamble of the foregoing
Agreement.

                                          TECOTA SERVICES CORP., a
                                          Delaware corporation

/s/ C. RICHARD MORGAN                     By: /s/ mANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name: Aviva D. Budd
            -----------------

                                          TERREMARK DEVELOPMENT, INC., a
                                          Florida corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                       6
<PAGE>

                                          TERREMARK FINANCIAL SERVICES, INC., a
                                          Florida corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                          TERREMARK FORTUNE HOUSE #1, INC., a
                                          Florida corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                          TERREMARK FORTUNE HOUSE #1, LTD., a
                                          Florida limited partnership, by its
                                          general partner TERREMARK FORTUNE
                                          HOUSE #1, INC., a Florida corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                          TERREMARK LATIN AMERICA, INC., a
                                          Florida corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                          TERREMARK MANAGEMENT SERVICES, INC., a
                                          Florida corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                       7
<PAGE>

                                          TERREMARK NORTHEAST, INC., a New York
                                          corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                          TERREMARK REALTY, INC., a Florida
                                          corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                          TERREMARK TECHNOLOGY CONTRACTORS,
                                          INC., a Florida corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                          TERREMARK TRADEMARK HOLDINGS, INC., a
                                          Nevada corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                          TERRENAP DATA CENTERS, INC., a Florida
                                          corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                       8
<PAGE>

                                          TERRENAP SERVICES, INC., a Florida
                                          corporation

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD                           Title: Vice President
-----------------------------                      -----------------------------
Print Name:  Aviva D. Budd
            -----------------

/s/ C. RICHARD MORGAN                     By: /s/ MANUEL D. MEDINA
-----------------------------                ---------------------------------
Print Name: C. Richard Morgan               Name:  Manuel D. Medina
            -----------------                      -----------------------------
/s/ AVIVA D. BUDD
-----------------------------
Print Name:  Aviva D. Budd
            -----------------

                                       9

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