Document:

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                                                                   EXHIBIT 10.25

                              EMPLOYMENT AGREEMENT

        THIS EMPLOYMENT AGREEMENT (this "AGREEMENT") is entered into effective
as of December 10, 1999 (the "EFFECTIVE DATE") by and between First Financial
Resources Holding Co., Inc., a Delaware corporation (the "COMPANY") and wholly
owned subsidiary of EPS Solutions Corporation, a Delaware corporation ("EPS"),
and Michael G. Goldstein ("EMPLOYEE").

        Employee is employed by the Company pursuant to an employment agreement
dated March 18, 1999 (the "ORIGINAL EMPLOYMENT AGREEMENT"), and the Company and
Employee desire to continue Employee's employment, but on the terms set forth
herein rather than pursuant to the Original Employment Agreement.

        NOW THEREFORE, in consideration of the mutual covenants set forth
herein, the parties hereto agree as follows:

        1. EMPLOYMENT. Employee's employment with the Company will be at-will,
which means that either Employee or the Company may terminate Employee's
employment at any time for any reason or no reason without payment, penalty or
further obligation except as set forth in Section 8 or in the Restricted Stock
Purchase Agreement described below or another written agreement between Employee
and the Company or EPS, provided, however, that Employee's employment with the
Company shall not be terminated without Cause (as defined in Schedule 1) without
majority approval of an executive management committee of EPS, which committee
shall consist of four (4) members of the senior management of EPS and one (1)
representative of the President's Council of EPS.

        2. DUTIES. Employee shall serve as President of the Company, Senior Vice
President - Financial Solutions of EPS, and President - Financial Solutions of
Enterprise Profit Solutions Corporation, the wholly owned operating subsidiary
of EPS ("ENTERPRISE"). In those capacities, Employee shall report directly to
the Chief Executive Officer of EPS and be responsible for the duties and
functions listed on Schedule 2 and shall perform such related duties and
services as the board of directors and/or Chief Executive Officer of EPS may
from time to time assign, either directly or by delegated authority, provided
however, that Employee's responsibility and authority within the Company will
not be materially diminished without Employee's consent as long as shares of
restricted stock purchased by Employee pursuant to that certain Restricted Stock
Purchase Agreement of even date herewith between Employee and EPS the form of
which is attached hereto as Exhibit A (the "RESTRICTED STOCK PURCHASE
AGREEMENT") are subject to Restrictions (as defined in the Restricted Stock
Purchase Agreement) based upon the performance of the Company and its
subsidiaries (the "RESTRICTED PERIOD"). Except as set forth herein, Employee's
position and duties may be changed at any time and from time to time by the
board of directors or Chief Executive Officer of EPS. Such duties shall be
rendered at such place or places as the Company shall require based upon the
interest, need, business and/or opportunities of the Company, Enterprise, and
EPS, provided however, that the place at which Employee renders such duties
shall not be relocated more than twenty-five (25) miles from the location of
such place on the date hereof without Employee's consent.

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        3. TIME AND EFFORTS. While employed by the Company (the "EMPLOYMENT
PERIOD"), Employee shall use his best efforts and devote his or her time and
attention to the business of the Company, Enterprise and EPS on a full-time
basis and shall at all times faithfully and industriously and to the best of his
ability, experience and talent, perform all of the duties that may be required
of him pursuant to the terms hereof. During the Employment Period, Employee
shall not engage in any other paid employment or consulting activities without
the express written consent of EPS, but the foregoing shall not preclude
Employee from engaging in civic, charitable and/or religious activities,
personal legal related speaking engagements, receiving honorariums, publishing
legal related personal manuscripts, directing his own passive investments,
setting up, owning interests in and/or managing investment entities with assets
of Employee or third-parties, providing legal advice to personal friends and
family, and/or serving on boards of directors of other entities so long as such
activities do not interfere or conflict with Employee's duties hereunder as
reasonably determined by the Chief Executive Officer of EPS.

        4. COMPENSATION.

        (a) Salary, Bonus. During the Employment Period, the Company shall pay
Employee at the annual rate of Two Hundred Fifty Thousand Dollars ($250,000) (as
such pay may be increased by the Company from time to time in its discretion,
the "ANNUAL SALARY") for all services rendered to the Company, Enterprise and
EPS by Employee, payable in accordance with the Company's regular payroll
policies, subject, however, to withholding deductions, including without
limitation social security taxes and applicable federal, state and local income
and other employment taxes. Upon the consummation of an initial underwritten
public offering of the equity securities of EPS, Employee will receive an
increase in Employee's Annual Salary to a rate of Three Hundred Thousand Dollars
($300,000), provided that Employee is still employed with the Company at such
time. Bonuses will be payable in the Company's discretion, but (i) Employee will
be entitled to participate in any bonus program on terms at least as favorable
as those made available to other executive employees of the Company, Enterprise
or EPS, and (ii) Employee's bonus (after tax) for any year shall be not less
than the annual interest that Employee is required to pay in cash to EPS in that
year on any notes issued by Employee to EPS for the purchase by Employee of
stock of EPS.

        (b) Equity. In connection with employment by the Company and services
performed by Employee under this Agreement, Employee is acquiring concurrently
herewith 180,000 shares of restricted stock of EPS pursuant to the Restricted
Stock Purchase Agreement and 20,000 shares of vested common stock of EPS
pursuant to a subscription agreement of even date herewith. These shares are in
addition to 100,000 shares of stock of EPS previously acquired by Employee
pursuant to a Restricted Stock Purchase Agreement dated March 18, 1999 (the
"FIRST RSPA"), which will remain outstanding according to the terms of the First
RSPA, as amended by the Amendment Agreement entered into by Employee and EPS
concurrently with this Agreement.

        (c) Notes and Liquidity. During and after the Employment Period, and
regardless of the reason for or circumstances of any termination of Employee's
employment, Employee will be entitled to receive (i) the most favorable
treatment of interest on promissory notes incurred to purchase stock of EPS that
is received at any time by any other officer of former officer of the

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Company or EPS as a purchaser of EPS Stock, and (ii) the most favorable
registration rights or other access to liquidity, on a ratable basis based upon
relative holdings, that is received at any time by any other officer or former
office of the Company or EPS.

        5. PERSONAL TIME OFF POLICY. Employee shall be entitled to such number
of days of paid personal time off ("PTO") each year as is consistent with the
number of days set forth on Exhibit B and the Company's Personal Time Off
Policy, as such policy may be amended from time to time at the discretion of the
Company. Employee may not accrue more PTO days than the number of days set forth
on Exhibit B under the item "Maximum Accrued PTO." If Employee at any time has
more than such number of days, no further PTO days shall accrue until Employee
again has fewer than such number of days of unused PTO. PTO days may be used,
subject to approval by EPS consistent with business needs, as they are earned.
The Company shall pay Employee for accrued unused PTO days only in connection
with termination of employment. Such payment shall be made on the basis of
Employee's Annual Salary at the time of payment, pro-rated for the number of
accrued unused PTO days at the time of termination.

        6. BENEFITS. In addition to the compensation described in Section 4, the
Company shall provide Employee with benefits consistent with the Company's
employment policies as in effect from time to time, but in any case Employee's
benefits will be not less favorable than benefits provided to other executive
officers of EPS.

        7. CERTAIN DEFINITIONS.

               (a) Cause. For purposes hereof, the term "CAUSE" has the meaning
set forth in Schedule 1 hereto. Any termination by the EPS, Enterprise or the
Company of Employee's employment in compliance with Section 1 and within 90 days
after EPS becoming aware of the occurrence of an event or circumstance
constituting "Cause" will constitute termination for Cause.

               (b) Good Reason. If the Company breaches this Agreement or any
other agreement with Employee in any material respect and does not cure such
breach within 15 days of receipt from Employee of notice of such breach and
demand for cure, or a Change in Control (as defined in Schedule 1) occurs, and
Employee terminates Employee's employment with the Company (or its successor)
for any reason within 90 days of such breach or Change in Control, such
termination by Employee will be termination with "GOOD REASON."

        8. CERTAIN PAYMENTS.

               (a) Notice of Termination. Any termination of Employee's
employment shall be communicated by a Notice of Termination. For purposes of
this Agreement, a "NOTICE OF TERMINATION" shall mean a written notice of
termination of Employee's employment setting forth the effective date of such
termination and, if the termination is for cause, the specific termination
provisions in this Agreement relied upon and, in reasonable detail, the facts
and circumstances claimed to provide a basis for termination of Employee's
employment under the provision so indicated.

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               (b) Termination by Employee with Good Reason or the Company,
Enterprise or EPS Without Cause. If Employee's employment under this Agreement
is terminated by Employee with Good Reason or by the Company, Enterprise or EPS
without Cause, then contingent upon execution and delivery by Employee of an
unconditional release, in form consistent with the form of release attached as
an exhibit to the Restricted Stock Purchase Agreement, of all claims against the
Company, Enterprise, EPS or any of their officers, directors or affiliates
arising from or in connection with this Agreement or Employee's employment with
the Company or the termination of that employment, Employee shall be entitled to
receive within five days of termination of employment a lump sum payment equal
to his Annual Salary and his share, if any, of the Company bonus calculated to
the date of termination (the "SEVERANCE PAYMENT"). However, if the Company bonus
for the year in which termination of employment occurs has not been determined
at the time of termination, payment of the Company bonus portion of the
Severance Payment will be delayed until the Company bonus, if any, for that year
is determined.

               (c) No Other Benefits. Except as set forth in Sections 5 or 8(b),
or as may be required by applicable law or separate written agreement between
the Company, Enterprise or EPS and Employee, the Company, Enterprise and EPS
shall have no obligations to pay any salary, bonus, accrued vacation or other
amounts in connection with any termination of Employee's employment or
attributable to the period after termination of Employee's employment. Without
limiting the foregoing, and subject to any separate written agreement to the
contrary, Employee will not be entitled to any severance payment or benefit if
Employee's employment under this Agreement is terminated as a result of death or
Disability, or by Employee without Good Reason, or by the Company, Enterprise or
EPS for Cause.

        9. CONFIDENTIALITY. The Confidential Information and Employee Invention
Agreement (the "CONFIDENTIALITY AGREEMENT") executed and delivered by Employee
in connection with the Original Employment Agreement will remain in full force
and effect and will survive termination or expiration of this Agreement.

        10. REPRESENTATIONS AND WARRANTIES. Employee represents and warrants
that (a) he is under no contractual restriction or other restrictions or
obligations that are inconsistent with the execution of this Agreement, the
performance of his duties and the covenants hereunder, and (b) he is under no
physical or mental disability that would interfere with his keeping and
performing all of the agreements, covenants and conditions to be kept or
performed hereunder.

        11. MISCELLANEOUS.

               (a) Governing Law. This Agreement shall be interpreted under and
governed by the laws of the State of California, excluding its rules on
conflicts of law.

               (b) Arbitration. Any dispute regarding the application,
interpretation or breach of this Agreement shall be resolved by final and
binding arbitration before the American Arbitration Association ("AAA") in
accordance with AAA's National Rules for the Resolution of Employment Disputes.
Attorney's fees, costs and damages (where appropriate) shall be awarded to the
prevailing party in any dispute, and any resolution, opinion or order of AAA may
be entered as a judgment in a court of competent jurisdiction.

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               (c) Modification and Waiver. No waiver or modification of this
Agreement or any term hereof shall be binding unless it is in writing signed by
the parties hereto. No failure to insist upon compliance with any term,
provision or condition to this Agreement, whether by conduct or otherwise, in
any one or more instances, shall be deemed to be or construed as a waiver of any
such term, provision or condition or as a waiver of any other term, provision or
condition of this Agreement.

               (d) Entire Agreement. This Agreement and the Confidentiality
Agreement constitute the entire agreement between the parties with respect to
the subject matter hereof and supersede and replace all prior employment
agreements, including without limitation Employee's Employment Agreement dated
March 18, 1999, each of which agreements is hereby terminated. No oral
statements or prior written agreements with respect to the subject matter hereof
which are not specifically incorporated herein or in the Confidentiality
Agreement shall be of any force or effect.

               (e) Severability. If any provisions hereof shall be held or
construed to be illegal or invalid for any reason, such illegality or invalidity
shall not affect the remaining provisions of this Agreement, but the same shall
be construed and enforced just as though the illegal or invalid provisions had
not been included herein.

               (f) Notices. Any notice, demand or other communication required,
permitted or desired to be given hereunder shall be in writing and shall be
deemed effectively given upon personal delivery, facsimile transmission (with
confirmation of receipt), delivery by reputable overnight delivery service or
five (5) days following deposit in the United States mail (if sent by certified
or registered mail, postage prepaid, return receipt requested), in each case
duly addressed to the Company, Enterprise or EPS at the headquarters of EPS or
to Employee at his or her address of record listed with EPS.

               (g) Assignment. Employee's rights, duties and obligations under
this Agreement may not be assigned by Employee. The Company, Enterprise and EPS
may assign rights, duties and obligations under this Agreement to any affiliate
of EPS. This Agreement shall be binding upon the successors and assignees of the
Company, Enterprise and EPS.

               (h) Headings. The section headings herein are intended for
reference and shall not affect in any way the construction or interpretation of
this Agreement.

               (i) Counterparts. This Agreement may be executed in counterparts,
each of which shall be an original but all of which shall constitute one and the
same instrument.

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        IN WITNESS WHEREOF, the parties hereto have executed and delivered this
Agreement as of the date set forth above.

/s/ MICHAEL G. GOLDSTEIN
----------------------------------------
Michael G. Goldstein

Enterprise Profit Solutions Corporation
EPS Solutions Corporation

By: /s/ DAVID H. HOFFMANN
   -------------------------------------
Name: David H. Hoffmann
     -----------------------------------
Title: CEO
      ----------------------------------

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                                  SCHEDULE 1 TO
                              EMPLOYMENT AGREEMENT

        "CAUSE" means the occurrence at any time of any one or more of the
following events or circumstances, provided however, that if any such event or
circumstance is susceptible to cure by Employee without damage to the Company,
Enterprise or EPS, such event or circumstance will not constitute Cause unless
Employee has failed to cure such event or circumstance within 15 days after
receipt by Employee of written notice thereof: (i) Employee engages in any
wrongful conduct or knowingly violates any reasonable rule or regulation of the
Board, or the Chief Executive Officer of EPS that results in material damage or
risk of legal liability to the Company, Enterprise or EPS, any subsidiary
corporation of the Company, Enterprise or EPS or any entity controlling,
controlled by, or under common control with the Company, Enterprise or EPS (each
an "AFFILIATE"); (ii) any willful misconduct or gross negligence by Employee in
the responsibilities assigned to Employee; (iii) any willful and material
failure to perform Employee's job as required to meet the lawful objectives of
the Company or any Affiliate or any repeated failure to achieve reasonable
performance standards that have been described by the Company, Enterprise or EPS
in writing and communicated to Employee in reasonable detail; (iv) Employee
fails to comply with all material applicable laws and regulations in performing
Employee's duties and responsibilities to the Company or any Affiliate; (v) any
criminal conduct (other than misdemeanors that do not meet the criteria set
forth in subsection (vi)); (vi) any actions involving moral turpitude or
injurious to the business or reputation of the Company or any Affiliate; (vii)
any legal action against Employee or the Company or any Affiliate occurs as a
result of Employee's service to the Company or any Affiliate and results in a
judgment or arbitral award that is based upon gross negligence or intentional
misconduct by Employee and that requires the Company or any Affiliate to pay
substantial damages; (viii) any legal action by Employee or Employee's
representatives or successors against the Company or any Affiliate or any person
or entity that the Company or any Affiliate would be obligated to indemnify or
defend in connection with such action; or (ix) Employee does any of the things
described in (A)-(C) below.

        (A) Employee renders services for any organization or engages directly
or indirectly in any business that, in the reasonable judgment of the Chief
Executive Officer of EPS or other senior officer designated by the Chief
Executive Officer, is or becomes competitive with the Company or any Affiliate,
or which organization or business, or the rendering of services to such
organization or business, is or becomes otherwise prejudicial to or in conflict
with the business or interests of the Company or any Affiliate.

        (B) Employee fails to comply with the Confidentiality Agreement or with
the lawful policies of the Company or any Affiliate regarding nondisclosure of
confidential information, or without prior written authorization from the
Company or any Affiliate discloses to anyone outside the Company or any
Affiliate or uses for any purpose or in any context other than in performance of
Employee's duties to the Company or any Affiliate any confidential or trade
secret information of the Company or any Affiliate. (C)Employee breaches in any
material respect any agreement with or legal duty to the Company or any
Affiliate.

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        "CHANGE IN CONTROL" means the completion of:

        (i) any acquisition or series of related acquisitions resulting in any
person, entity or "group," within the meaning of Section 13(d)(3) or 14(d)(2) of
the Securities Exchange Act of 1934, as amended (the "Exchange Act")
beneficially owning (within the meaning of Rule 13d-3 promulgated under the
Exchange Act) more than thirty percent (30%) of either the then outstanding
shares of Common Stock or the combined voting power of then outstanding voting
securities entitled to vote generally in the election of directors of EPS or
Enterprise, provided that a Change in Control shall not be deemed to have
occurred if the "person" described in the preceding provisions is an underwriter
or underwriting syndicate that has acquired the ownership voting securities of
EPS or Enterprise solely in connection with a public offering of those
securities; or

        (ii) any reorganization, merger or consolidation of EPS or Enterprise
with any other person, entity or corporation, other than a transaction which
would result in the owners of voting securities of EPS outstanding immediately
prior thereto continuing to own directly or indirectly more than fifty percent
(50%) of the combined voting power of the voting securities of the entity or
entities surviving such reorganization, merger or consolidation that own and
conduct the business owned and conducted by EPS and Enterprise prior thereto; or

        (iii) the sale or other disposition by EPS or Enterprise, in one
transaction or a series of related transactions, of all or substantially all of
the assets of EPS or Enterprise; or

        (iv) Individuals who, as of the Effective Date, constitute the board of
directors of EPS or Enterprise (in each case, the "INCUMBENT BOARD OF
DIRECTORS") cease for any reason to constitute at least a majority of the board
of directors of EPS or Enterprise, respectively, provided that any individual
who becomes a director after the Effective Date whose election, or nomination
for election by stockholders, is approved by a vote of at least a majority of
the directors then comprising the relevant Incumbent Board of Directors shall be
considered to be a member of the relevant Incumbent Board of Directors unless
that individual was nominated or elected by any person, entity or group (as
defined above) having the power to exercise, through beneficial ownership,
voting agreement and/or proxy, thirty percent (30%) or more of either the
outstanding shares of common stock of EPS or Enterprise or the combined voting
power of the outstanding securities of EPS or Enterprise entitled to vote
generally in the election of directors, in which case that individual shall not
be considered to be a member of the Incumbent Board of Directors unless such
individual's election or nomination for election by EPS' shareholders is
approved by a vote of at least two-thirds of the directors then comprising the
Incumbent Board of Directors; or

        For purposes of this definition, references to EPS and Enterprise shall
also refer to their successors and assigns such that reorganizations or other
corporate transactions do not impair the substantive intent of these provisions.

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        "DISABILITY" means Employee suffers an ongoing physical or psychological
impairment that has rendered Employee unable, as determined in good faith by the
Chief Executive Officer of EPS, to perform Employee's duties to the Company,
Enterprise and EPS, notwithstanding reasonable accommodation by the Company,
Enterprise and EPS (the Company, Enterprise and EPS, at their option and
expense, being entitled to retain a physician to confirm the existence of such
disability), for a period of three (3) consecutive months or six (6) months in
any 12-month period.

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                                   SCHEDULE 2

Employee shall (i) manage the operations of the Company consistent with the
Company's business plan, (ii) manage the other financial services companies of
EPS consistent with their business plans, and (iii) shall perform such related
duties and services as the EPS board of directors and/or its Chief Executive
Officer may from time to time assign.

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                                    EXHIBIT B

                                PERSONAL TIME OFF

 Aggregate Amount of time off:                 28 days (in addition to holidays
                                                   observed by the Company)

      Maximum Accrued PTO:                                 28 days<PAGE>   1
                                                                   EXHIBIT 10.26

                      RESTRICTED STOCK PURCHASE AGREEMENT

               THIS RESTRICTED STOCK PURCHASE AGREEMENT (this "AGREEMENT") is
made and entered into as of March 18, 1999 (the "EFFECTIVE DATE") by and between
EPS Solutions Corporation, a Delaware corporation (the "COMPANY") and Michael G.
Goldstein (the "PURCHASER").

               A. The Company has been formed for the purpose of providing cost
reduction, cost recovery and profit enhancement services and effective as of
December 14, 1998, the Company acquired approximately 38 companies engaged in
such business by means of acquisitions by the Company of all or substantially
all of the assets or stock or other equity interests of such companies
(collectively, the "INITIAL CONSOLIDATION TRANSACTIONS").

               B. The Company intends to acquire various other companies (the
"ADDITIONAL CONSOLIDATION TRANSACTIONS," and with the Initial Consolidation
Transactions, the "CONSOLIDATION TRANSACTIONS").

               C. The Purchaser is employed by the Company's wholly owned
subsidiary Enterprise Profit Solutions Corporation, a Delaware corporation
("EPS") or any of its affiliates (the "EMPLOYER") and has entered into that
certain Employment Agreement with the Employer (the "EMPLOYMENT AGREEMENT").

               D. The Purchaser and certain other persons are being offered an
opportunity to purchase shares of the common stock of the Company, par value
$0.001 per share (the "COMMON STOCK").

               E. The Shares (as hereinafter defined) shall be subject to
repurchase by the Company, in the Company's discretion, if certain performance
related milestones described herein are not met.

               F. The Shares shall be subject to certain additional restrictions
as set forth herein.

               G. The Purchaser desires to purchase and the Company desires to
sell the Shares as set forth in this Agreement.

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

1. SALE AND PURCHASE OF THE SHARES.

        1.1 SALE AND PURCHASE. Subject to the terms and conditions set forth
herein, the Company hereby sells and issues to the Purchaser, and the Purchaser
hereby purchases from the Company the number of shares of Series A Common Stock
set forth on Schedule 1.1 (the "SHARES") for the consideration of $1.20 per
Share, resulting in an aggregate purchase price as set forth on Schedule 1.1
(the "PURCHASE PRICE"). Concurrently herewith the Purchaser is paying to

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the Company in cash $0.001 per Share, resulting in an aggregate payment of the
amount set forth on Schedule 1.1 under the item "Cash Payment" (the "CASH
PAYMENT"). The obligation of the Purchaser to pay the remainder of the Purchase
Price in the amount set forth on Schedule 1.1 under the item "Note" is evidenced
by the Purchaser's delivery to the Company concurrently herewith of a secured
promissory note of the Purchaser in the form attached hereto as Exhibit A (the
"NOTE"). The Note is secured by a pledge of the Shares made pursuant to Section
5 of the Note. The Shares are sold pursuant to and governed by this Agreement
and not any other contract or plan of the Company.

        1.2 DELIVERIES. In exchange for the Cash Payment and the Note, the
Company is issuing the Shares in the Purchaser's name on the Company's stock
transfer ledger, and valid stock certificates representing the Shares (the
"CERTIFICATES") shall be held by the Company or its agent pending release
pursuant to Section 4.1(h).

2. REPRESENTATIONS AND WARRANTIES OF THE PURCHASER. The Purchaser represents and
warrants to the Company and its officers, directors and agents as follows:

        2.1 SECURITIES MATTERS.

               (a) The Purchaser understands that (i) neither the Shares nor the
offer and sale thereof are registered or qualified under the Securities Act of
1933, as amended (the "SECURITIES ACT") or any state securities or "Blue Sky"
laws, on the ground that the sale provided for in this Agreement and the
issuance of securities hereunder is exempt from registration and qualification
under Sections 4(2) and 18 of the Securities Act, and (ii) the Company's
reliance on such exemptions is predicated on the Purchaser's representations set
forth herein.

               (b) The Purchaser acknowledges that an investment in the Company
involves an extremely high degree of risk, lack of liquidity and substantial
restrictions on transferability and that the Purchaser may lose the Purchaser's
entire investment in the Shares.

               (c) The Company has made available to the Purchaser or the
Purchaser's advisors the opportunity to obtain information to evaluate the
merits and risks of the purchase of the Shares, and the Purchaser has received
all information requested from the Company. The Purchaser has had an opportunity
to ask questions and receive answers from the Company regarding the terms and
conditions of the offering of the Shares and the business, properties, plans,
prospects, and financial condition of the Company and to obtain such additional
information as the Purchaser has deemed appropriate for purposes of investing in
the Shares pursuant to this Agreement.

               (d) The Shares to be acquired by the Purchaser hereunder will be
acquired for the Purchaser's own account, for investment purposes, not as a
nominee or agent, and not with a view to or for sale in connection with any
distribution of the Shares in violation of applicable securities laws.

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               (e) The Purchaser understands that no federal or state agency has
passed upon the Shares or made any finding or determination as to the fairness
of the investment in the Shares.

               (f) The Purchaser, personally or through advisors, has expertise
in evaluating and investing in private placement transactions of securities of
companies in a similar stage of development to the Company and has sufficient
knowledge and experience in financial and business matters to assess the
relative merits and risks of an investment in the Shares. In connection with the
purchase of the Shares, the Purchaser has relied solely upon independent
investigations made by the Purchaser, and has consulted the Purchaser's own
investment advisors, counsel and accountants. The Purchaser has adequate means
of providing for current needs and personal contingencies, and has no need for
liquidity and can sustain a complete loss of the investment in the Shares.

               (g) The Purchaser is an "Accredited Investor" as defined in Rule
501(a) under the Securities Act and has documented his or her accredited status
by delivery to the Company of a completed questionnaire in the form of Exhibit B
hereto attesting thereto (the "ACCREDITED INVESTOR QUESTIONNAIRE").

               (h) The Purchaser has not received any general solicitation or
general advertising concerning the Shares, nor is the Purchaser aware of any
such solicitation or advertising.

        2.2 REVOCATION, CANCELLATION. The Purchaser acknowledges that the
Purchaser shall not have any right to cancel, terminate or revoke this
Agreement, or rescind purchase of the Shares, or return the Shares for a refund.

        2.3 THE COMPANY AND THE CONSOLIDATION TRANSACTIONS.

        (a) The Purchaser is aware that:

               (i) The Company has recently been organized and has limited
financial and operating history.

               (ii) There can be no assurance that any particular Additional
Consolidation Transactions will occur, that the Company will be successful in
accomplishing the purpose for which it was formed or that it will ever be
profitable. No assurance can be given regarding (A) whether the companies
acquired by the Company in the Consolidation Transactions can be successfully
integrated and operated, or (B) what companies will ultimately be acquired by
the Company. No company is obligated to participate in the Additional
Consolidation Transactions unless a written agreement to such effect is entered
into by the Company and such Additional Consolidation Transaction company.

               (iii) No assurances can be given that an initial public offering
("IPO") of the Company's securities will occur. If an IPO does occur, no
assurances can be given as to timing

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of the IPO, whether the Purchaser will be able to participate, or the price at
which any shares of Common Stock would be sold.

               (iv) No assurances can be given as to the ultimate value of the
Common Stock or the Shares or the liquidity thereof.

               (v) All decisions regarding the Consolidation Transactions, any
IPO, and the Company's management and operations will be made by the Company's
management, and certain individuals involved in planning the Consolidation
Transactions and managing the business of the Company will have the right to
vote the Shares pursuant to the voting agreement referenced in Section 4.1(i).

        (b) The Purchaser acknowledges that no assurances have been made to the
Purchaser with respect to any of the foregoing and no representations, oral or
written, have been made to the Purchaser by the Company or any of its employees,
representatives or agents concerning the Shares, their potential value or the
prospects of the Company, except as set forth herein.

        (c) The proceeds from the sale of the Common Stock to the Sponsors and
the Founders are intended to be used by the Company for general and
administrative expenses and working capital. The proceeds from such sales may be
exhausted notwithstanding failure of the Company to achieve its objectives.

        2.4 ENFORCEABILITY OF TRANSACTION DOCUMENTS. This Agreement and all
other documents to be delivered in connection herewith (collectively, the
"TRANSACTION DOCUMENTS") have been (or upon execution and delivery will have
been) duly executed and delivered by the Purchaser, and (assuming due execution
and delivery by the other parties thereto) constitute (or upon execution by the
Purchaser will constitute) legal, valid and binding obligations of the
Purchaser, except as such enforceability may be limited by general principles of
equity and bankruptcy, insolvency, reorganization and moratorium and other
similar laws relating to creditors' rights (the "BANKRUPTCY EXCEPTION").

        2.5 BROKERS. No broker, finder, investment banker, or other person is
entitled to any brokerage, finder's or other fee or commission in connection
with the transactions contemplated by this Agreement based upon arrangements
made by or on behalf of the Purchaser.

        2.6 TAX MATTERS. The Purchaser has received tax advice from the
Purchaser's own advisors and has not received, and is not relying upon, any tax
representations or advice from the Company or any representative of the Company.

        2.7 SUMMARY OF CERTAIN CONSIDERATIONS. The Purchaser acknowledges
receipt and understanding of the Summary of Certain Considerations attached
hereto as Exhibit C.

        2.8 ACCURACY OF INFORMATION. No representation or warranty made by the
Purchaser contained in this Agreement or in any other Transaction Document
contains or will contain an untrue statement of a material fact or omits or will
omit to state a material fact required to be

                                       4
<PAGE>   5

stated herein or therein or necessary to make the statements and facts contained
herein or therein not materially false or misleading.

3. REPRESENTATIONS AND WARRANTIES OF THE COMPANY. The Company represents and
warrants to the Purchaser that:

        3.1 ORGANIZATION AND CORPORATE AUTHORITY. The Company is a corporation
duly organized, validly existing and in good standing under the laws of the
State of Delaware and has all requisite corporate power and authority to enter
into this Agreement and to consummate the transactions contemplated hereby. This
Agreement and the other Transaction Documents to be executed and delivered by
the Company have been (or upon execution and delivery by the Company will have
been) duly executed and delivered by the Company, have been effectively
authorized by all necessary action of the Company, corporate or otherwise, and
(assuming due execution and delivery by the other parties thereto) constitute
(or upon execution and delivery by the Company will constitute) legal, valid and
binding obligations of the Company, except as such enforceability may be limited
by the Bankruptcy Exception.

        3.2 NO CONFLICT OR VIOLATION. The execution, delivery and performance by
the Company of the Transaction Documents to be executed and delivered by the
Company and the consummation of the transactions contemplated thereby do not and
will not: (i) violate or conflict with any provision of the charter documents or
bylaws of the Company; or (ii) violate any provision or requirement of any
domestic or foreign, federal, state or local law, statute, judgment, order,
writ, injunction, decree, award, rule, or regulation of any court, arbitrator,
federal, state, local or foreign government agency, regulatory body, or other
governmental authority or any department, agency, board, commission, bureau or
instrumentality of any of the foregoing (each a "GOVERNMENTAL ENTITY," and
collectively "GOVERNMENTAL ENTITIES") applicable to the Company.

        3.3 CAPITALIZATION. The authorized capital stock of the Company consists
of 240,000,000 shares of Common Stock, of which 200,000,000 are Series A Common
Stock and 40,000,000 are Series B Common Stock; and 10,000,000 shares of
undesignated preferred stock. All capital stock of the Company has a par value
of $0.001 per share. Holders of Series B Common Stock are entitled to elect all
the directors in one of the Company's three classes of directors, with the
holders of the Series A Common Stock entitled to elect the remaining directors.
In all other respects, the Series A Common Stock and the Series B Common Stock
is identical. The Shares, when issued, sold, and delivered in accordance with
the terms of this Agreement for the consideration expressed herein will be duly
and validly issued, fully paid, and nonassessable, except that the Purchaser may
be required to pay amounts owed under the Note.

        3.4 ENFORCEABILITY OF TRANSACTION DOCUMENTS. This Agreement and the
other Transaction Documents have been (or upon execution and delivery will have
been) duly executed and delivered by the Company, and (assuming due execution
and delivery by the other parties thereto) constitute (or upon execution by the
Company will constitute) legal, valid and binding obligations of the Company,
except as such enforceability may be limited by the Bankruptcy Exception.

                                       5
<PAGE>   6

        3.5 ACCURACY OF INFORMATION. No representation or warranty made by the
Company contained in this Agreement or in any other Transaction Document
delivered by the Company contains or will contain any untrue statement of a
material fact or omits or will omit to state any material fact necessary in
order to make the statements and facts contained herein or therein not
materially false or misleading.

4. CERTAIN UNDERSTANDINGS AND AGREEMENTS OF THE PARTIES.

        4.1 PERFORMANCE RESTRICTIONS, STOCKHOLDER AND VOTING AGREEMENTS.

        (a) The Shares are subject to "RESTRICTIONS" and may not be sold,
assigned, transferred, pledged, hypothecated or otherwise disposed of, alienated
or encumbered until the Shares "vest" by the lapse of the Restrictions as set
forth in Section 4.1(b) and any additional requirements or restrictions
contained herein have been satisfied, terminated or expressly waived by the
Company in writing. Any attempted transfer in violation of such Restrictions
will be void.

        (b) The Restrictions will lapse and the Shares will vest in accordance
with the provisions in Schedule 4 (the "VESTING SCHEDULE"), provided, however,
that the Company, in its discretion, may from time to time accelerate the
vesting of any Shares at any time or forgive Restrictions and allow Shares or
restricted shares owned by any other party to vest notwithstanding that the
conditions to vesting thereof may not have been satisfied.

        (c) In addition to any repurchase rights of the Company set forth in
Schedule 4, the Company, or its assignee, may, in the Company's discretion, at
any time and from time to time for a period of one (1) year following the end of
each Measurement Period (as described in Schedule 4), repurchase from the
Purchaser at the price per Share that the Purchaser paid to the Company, and the
Purchaser will sell to the Company, any or all of the Shares that were eligible
to vest but did not vest in accordance with the Vesting Schedule for such
Measurement Period. Shares originally corresponding to any Measurement Period
that cannot vest because of failure prior to the end of that Measurement Period
of conditions to vesting thereof may be repurchased at any time and from time to
time from the failure of such conditions to the end of the applicable repurchase
period specified herein. Any Shares that do not vest in accordance with the
Vesting Schedule shall be subject to repurchase by the Company regardless of the
services performed, or other consideration given, by the Purchaser to the
Company. Shares not vested in accordance with the Vesting Schedule but not
repurchased by the Company during the applicable repurchase periods described
herein (including in Schedule 4) shall vest.

        (d) (i) Termination of the Purchaser's employment by the Employer under
the circumstances described in Schedule 4 under the heading "Vesting Upon
Certain Termination of Employment" will cause vesting as described therein,
provided that the vesting of any Shares upon termination of the Purchaser's
employment with the Employer, or subsequent to such termination shall be
contingent upon execution and delivery by the Purchaser to the Company of an
unconditional release in form satisfactory to the Company of all claims against
the Company or any of its officers, directors or affiliates arising from or in
connection with this Agreement or the Purchaser's employment with the Employer
or the termination of that employment. Upon

                                       6
<PAGE>   7

such a termination of employment, any Shares that do not vest as described
therein will be subject to repurchase in the manner described in Section
4(d)(ii).

               (ii) In case of termination of the Purchaser's employment by the
Employer for any reason other than a reason that causes vesting as described in
Schedule 4, the Company or its assignee may, in the Company's discretion, at any
time and from time to time for a period of one (1) year following the
termination of employment, repurchase from the Purchaser at the price per Share
that the Purchaser paid to the Company, and the Purchaser will sell to the
Company, any or all of the Shares designated by the Company that have not vested
as of the date of termination of employment.

               (iii) In addition to the Company's repurchase rights set forth
above, if any of the events or circumstances constituting "Cause" listed in
Schedule 1 of the Purchaser's Employment Agreement occurs at any time before the
end of the final Measurement Period, then notwithstanding any vesting provided
for herein the Company or its assignee may, in the Company's discretion, at any
time and from time to time for a period of one (1) year following such
occurrence, repurchase from the Purchaser at the price per Share that the
Purchaser paid to the Company, and the Purchaser will sell to the Company, any
or all Shares designated by the Company that had not vested at the time of such
occurrence, or that vested effective as of a date within 365 days before such
occurrence.

        (e) (i) The purchase price for any repurchase pursuant to this Section
4.1 shall be paid, (A) by deducting the purchase price from any amount
outstanding on the Note and canceling the Note upon deduction of the full amount
outstanding on the Note, if applicable; and (B) if the purchase price exceeds
the amount outstanding on the Note, in the Company's discretion, in cash or by a
promissory note bearing interest at 7% and payable in up to 12 equal monthly
amortizing installments of principal and accrued interest, or any combination of
cash and such a promissory note.

               (ii) If the Company wishes to exercise its right to repurchase
any Shares under this Agreement but the Purchaser cannot deliver such Shares to
the Company because such Shares have previously been sold by the Purchaser, the
Company may, in its discretion, upon payment to the Purchaser of the price per
Share that the Purchaser paid to the Company, recover from the Purchaser, and
the Purchaser shall deliver to the Company, all proceeds to the Purchaser of the
sale of such Shares (or the cash value thereof), such that the Purchaser retains
no benefit from having owned the Shares.

        (f) The exercise of the Company's right to repurchase Shares or to
accelerate vesting or forgive Restrictions pursuant to this Section 4.1, and its
right to repurchase Common Stock purchased by third parties that are subject to
restrictions, or to accelerate vesting or forgive Restrictions applicable to
such Common Stock, shall be within the discretion of the Company. The Company
may (but will not be required to) exercise its right to repurchase, accelerate,
or forgive Restrictions with respect to any or all shares of restricted Common
Stock owned by the Purchaser or other third party without incurring any
obligation to repurchase, accelerate, or

                                       7
<PAGE>   8

forgive Restrictions with respect to any other Common Stock owned by the
Purchaser or any other third party.

        (g) The Shares shall be subject to a Stockholder Agreement in the form
attached hereto as Exhibit D (the "STOCKHOLDER AGREEMENT") restricting transfers
and imposing certain obligations upon the Purchaser, which must be executed and
delivered by the Purchaser as described in Section 5.2(b). Shares that have
vested shall nevertheless be governed by the Stockholder Agreement. The
Company's repurchase rights hereunder will supersede the purchase provisions of
the Stockholder Agreement.

        (h) The Company will release the Certificates representing Shares as
such Shares become free of both the Restrictions and the Stockholder Agreement,
provided that (a) the Purchaser has paid to the Company the full Purchase Price
for such Shares, and an amount sufficient to satisfy any taxes or other amounts
required by any Governmental Entity to be withheld and paid over to such
Governmental Entity for the Purchaser's account, or otherwise made arrangements
satisfactory to the Company for payment of such amounts through withholding or
otherwise, and (b) the Purchaser has, if requested by the Company, made
appropriate representations in a form satisfactory to the Company that such
Shares will not be transferred other than (i) pursuant to an effective
registration statement under the Securities Act, or an applicable exemption from
the registration requirements of the Securities Act; (ii) in compliance with all
applicable state securities laws and regulations; and (iii) in compliance with
all terms and conditions of the Stockholder Agreement.

        (i) The Shares shall be subject to a Voting Agreement in the form
attached hereto as Exhibit E (the "VOTING AGREEMENT"), which must be executed
and delivered by the Purchaser as described in Section 5.2(b).

        4.2 SECURITIES RESTRICTIONS.

        (a) In addition to the contractual restrictions on transfer set forth in
this Agreement and the Stockholder Agreement, the Shares (or interests therein)
cannot be offered, sold or transferred unless the Shares are registered and
qualified under the Securities Act and applicable state securities laws or
exemptions from such registration and qualification requirements are available,
or such registration and qualification requirements are inapplicable, as
reflected in an opinion of counsel to the Purchaser in form and substance
reasonably satisfactory to the Company. In the absence of an effective
registration statement covering the Shares or an available exemption from
registration under the Securities Act and applicable state securities laws, the
Shares must be held indefinitely and may not be sold pursuant to Rule 144
promulgated under the Securities Act unless all of the conditions of that rule
are met.

        (b) In addition to any legends required by the Stockholder Agreement and
the Voting Agreement, the Certificates will bear a legend to the effect set
forth below, and appropriate stop transfer instructions against the Shares will
be placed with any transfer agent of the Company to ensure compliance with the
restrictions set forth herein.

                                       8
<PAGE>   9

                    "THE SHARES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED
        UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES
        LAW AND MAY NOT BE SOLD, OFFERED FOR SALE, TRANSFERRED, ASSIGNED,
        PLEDGED, OR HYPOTHECATED UNLESS AND UNTIL REGISTERED UNDER SUCH ACT AND
        ANY APPLICABLE STATE SECURITIES LAWS, OR UNLESS THE COMPANY HAS RECEIVED
        AN OPINION OF COUNSEL TO THE HOLDER OF THE SHARES OR OTHER EVIDENCE,
        SATISFACTORY TO THE COMPANY AND ITS COUNSEL, THAT SUCH REGISTRATION IS
        NOT REQUIRED."

        (c) Each recipient of Shares or interests therein shall, as a condition
to transfer of any Shares or interest therein, cause the transferee to enter
into the Stockholder Agreement and the Voting Agreement, provided that, with
respect to each such agreement, this requirement will not apply to transfers
made after the agreement has terminated.

        (d) In connection with any underwritten public offering of securities of
the Company or any of its affiliates within three (3) years of the date hereof,
if the managing underwriter believes that it is appropriate in connection with
the offering to limit public sales of such securities by Company's stockholders,
the Purchaser will agree to the managing underwriter's standard form of "lock
up" agreement prohibiting transfers of any Common Stock owned by the Purchaser,
including without limitation shares acquired other than pursuant hereto (other
than shares included in the offering) for such period as may be required by the
managing underwriter not to exceed twenty (20) days prior to, and one hundred
and eighty (180) days after, the effective date of the registration statement
for such offering, provided however, that (i) such lock up provision may not be
invoked more than once in any 365 day period, (ii) such lock up provision will
be contingent upon the officers and directors of the registrant entering into
similar lock up agreements, and (iii) the Purchaser will not be required to
comply with this lock up provision if any other stockholder owning more shares
of Common Stock than the Purchaser and who is subject to a contractual lock up
provision similar to this one has been released from such lock up obligation.

        4.3 STOCKHOLDER RIGHTS. During the period prior to the lapse and removal
of the Restrictions, except as otherwise provided herein, and subject to the
Voting Agreement, the Purchaser will have all of the rights of a stockholder of
the Company with respect to all of the Shares, including without limitation the
right to receive all dividends or other distributions with respect to such
Shares. In connection with the payment of such dividends or other distributions,
the Company will be entitled to deduct any taxes or other amounts required by
any Governmental Entity to be withheld and paid over to such Governmental Entity
for the Purchaser's account.

        4.4 MERGER, CONSOLIDATION OR REORGANIZATION. In the event of a merger,
consolidation or reorganization of the Company in which the Common Stock of the
Company is exchanged for cash, securities or other property (the "EXCHANGE
CONSIDERATION"), the Purchaser will be entitled to receive a proportionate share
of the Exchange Consideration in exchange for the Shares the Purchaser owns at
the time of such merger, consolidation or reorganization;

                                       9
<PAGE>   10

provided, however, that the Purchaser's share of the Exchange Consideration
shall be subject to the Restrictions not yet satisfied, unless the Board of
Directors of the Company, in its discretion, accelerates the vesting and
forgives the Restrictions.

        4.5 SECTION 83(b) ELECTION. The Purchaser may make an election pursuant
to Section 83(b) of the Internal Revenue Code, or comparable provisions of any
state tax law, to include in the Purchaser's gross income the amount by which
the fair market value of the Shares the Purchaser acquires exceeds the price
paid therefor only if, prior to making any such election, the Purchaser (a)
notifies the Company of the Purchaser's intention to make such election, by
delivering to the Company a copy of the fully-executed Section 83(b) Election
Form attached hereto as Exhibit F, and (b) pays to the Company an amount
sufficient to satisfy any taxes or other amounts required by any Governmental
Entity to be withheld or paid over to such Governmental Entity for the
Purchaser's account, or otherwise makes arrangements satisfactory to the Company
for the payment of such amounts through withholding or otherwise.

        4.6 NO RIGHT TO CONTINUED EMPLOYMENT. Neither this Agreement nor the
ownership of the Shares confers upon the Purchaser any right to continue as an
employee of the Employer, or limits in any way the right of the Employer to
terminate the Purchaser's services to the Employer at any time, with or without
cause. Such matters are addressed, if at all, only pursuant to the Employment
Agreement.

        4.7 REGISTRATION.

        (a) The Purchaser will have no rights to demand registration of any of
the Shares, or to participate in any registration undertaken by the Company
except as set forth in this Section 4.7. If the Company files a registration
statement with the Securities and Exchange Commission for an underwritten IPO of
its equity securities or any subsequent underwritten public offering within
twenty-four (24) months of the closing of the IPO (not including a registration
statement filed in connection with an acquisition or employee benefit plan), and
if the managing underwriter of such offering believes that the market will
accommodate selling stockholders in the offering, then the Purchaser shall have
the right, subject to the limitations set forth in this Section 4.7(a), to
include in such registration statement or statements and offering or offerings
Shares and other Common Stock owned by the Purchaser. Other stockholders
(including but not limited to stockholders who acquired Common Stock in the
Consolidation Transactions and stockholders who acquired Common Stock in the
formation, or work on behalf of, the Company) will have rights to include shares
of Common Stock in such offering, and if the aggregate amount of shares that all
stockholders with such rights (collectively, the "SELLING STOCKHOLDERS") desire
to include exceeds the number of shares of Common Stock that can be sold by all
Selling Stockholders, then all Selling Stockholders desiring to sell in any such
offering will participate pro-rata on the basis of the relative numbers of
shares of Common Stock eligible for inclusion that they originally sought to
include. However, notwithstanding the foregoing no Selling Stockholder will be
permitted to include in any such registration and offering (i) any Shares
subject to performance-related restrictions at the time of filing of the
registration statement for such offering, or (ii) more than, in the aggregate
for all such registrations and offerings, half of the Shares and other Common
Stock owned by the Purchaser

                                       10
<PAGE>   11

as of the date hereof. Furthermore, in no case will the Purchaser be permitted
to include in the IPO registration and offering more than the number of Shares
listed on Schedule 1.1 under the item "Maximum IPO Shares."

        (b) If the Purchaser acting pursuant to this Section 4.7 includes any
securities in any registration of the Company, the Company will agree to
indemnify the Purchaser from and against any claims, costs and liabilities
incurred by the Purchaser as a result of any untrue, or alleged untrue,
statement of a material fact contained in any registration statement,
preliminary prospectus or prospectus (as amended or supplemented if the Company
shall have furnished any amendments or supplements thereto) or caused by 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,
except insofar as such claims, costs or liabilities are caused by any untrue
statement or alleged untrue statement or omission or alleged omission so made in
conformity with information furnished in writing to the Company by the Purchaser
expressly for use therein, for which the Purchaser will be responsible.

        (c) Shares may only be included in a registration and offering pursuant
to this Section 4.7, pursuant to the underwriting agreement negotiated between
the Company and the underwriters, and the Purchaser must enter into the
underwriting agreement with respect to any Shares to be included in the
registration and offering. The Purchaser shall pay (i) all underwriting
discounts and commissions applicable to any such sale of shares, (ii) the
Purchaser's ratable share (based on the relative number of shares of Common
Stock included in the offering) of any fees and disbursements of a single
counsel for all Selling Stockholders, which counsel shall be selected by the two
(2) stockholders (or affiliated stockholder groups) selling the most shares in
the offering, and (iii) the fees and costs of any separate counsel retained by
the Purchaser alone.

        (d) At all times that equity securities of the Company are registered
pursuant to the Securities Exchange Act of 1934, as amended, the Company shall
use its best efforts to fulfill all conditions applicable to a registrant as are
necessary to enable selling security holders of the Company to make sales
pursuant to Rule 144 under the Securities Act.

        4.8 INDEMNIFICATION. The Purchaser shall indemnify, defend and hold
harmless the Company, its affiliates, their successors and assigns, and the
officers, directors, employees and agents of any of them, from and against any
and all losses, liabilities, claims, damages, obligations, assessments,
penalties, interests, demands, actions and expenses (including, without
limitation, settlement costs and any and all expenses reasonably incurred in
investigating, preparing or defending against any litigation, commenced or
threatened, or any claim) arising out of or in connection with or based upon (i)
any false acknowledgment, representation or warranty, or breach or failure by
the Purchaser to comply with any covenant or agreement, made by the Purchaser
herein or in any other Transaction Document or (ii) any actions of Purchaser
outside the Purchaser's scope of employment with EPS.

                                       11
<PAGE>   12

        4.9 ENFORCEMENT OF THE AGREEMENT.

        (a) The Company and the Purchaser acknowledge that irreparable damage
would occur if any of the obligations of the parties under this Agreement were
not performed in accordance with their specific terms or were otherwise
breached. Either party shall be entitled to an injunction or injunctions to
prevent breaches of this Agreement by the other and to enforce specifically the
terms and provisions hereto, this being in addition to any other remedy to which
such party is entitled at law or in equity.

        (b) Concurrent herewith, the Purchaser shall deliver a stock power
executed by the Purchaser and the Purchaser's spouse, if applicable (the "STOCK
POWER"), in blank to the Secretary of the Company, to hold in escrow to
facilitate the enforcement of restrictions on transfer of the Shares set forth
herein or in the Stockholder Agreement. The Company shall have the right, in its
discretion, to exercise the Stock Power if the Company becomes entitled to
repurchase any or all of the Shares pursuant to the provisions of this Agreement
or the Stockholder Agreement.

        4.10 SUPPLEMENTAL DISCLOSURE. Until the second anniversary of the
Effective Date, the Purchaser shall promptly provide written notice to the
Company with particularity of any breach or inaccuracy of any representation,
warranty, agreement or covenant contained herein or in any other Transaction
Document.

5. CONCURRENT DELIVERIES.

        5.1 DELIVERIES BY THE COMPANY. Concurrent herewith, the Company shall
deliver to the Purchaser a photocopy of the Certificates issued in the
Purchaser's name.

        5.2 DELIVERIES BY THE PURCHASER.

        (a) The Cash Payment. Concurrent herewith, the Purchaser shall deliver
to the Company the Cash Payment.

        (b) Documents of the Purchaser. In addition to the Note and the
Accredited Investor Questionnaire, concurrent herewith and as a condition to
receipt of any Shares, the Purchaser shall execute and deliver to the Company,
each dated the Effective Date:

               (i) The Stockholder Agreement described in Section 4.1(g);

               (ii) The Voting Agreement described in Section 4.1(i); and

               (iii) The Stock Power described in Section 4.9(b).

        (c) Other Closing Documents. The Company shall receive such other duly
executed certificates, instruments and documents in furtherance of the
transactions contemplated by this Agreement and the other Transaction Documents
as the Company may reasonably request.

                                       12
<PAGE>   13

6. MISCELLANEOUS.

        6.1 SURVIVAL OF REPRESENTATIONS AND WARRANTIES. Regardless of any
party's investigations prior to the date hereof, the representations and
warranties contained herein and in the other Transaction Documents shall survive
the execution and delivery hereof and the purchase and sale of the Shares.

        6.2 NOTICES. All notices, requests, demands and other communications
hereunder shall be in writing and shall be deemed given upon personal delivery
or three (3) business days after being mailed by certified or registered mail,
postage prepaid, return receipt requested, or one (1) business day after being
sent via a nationally recognized overnight courier service if overnight courier
service is requested from such service or upon receipt of electronic or other
confirmation of transmission if sent via facsimile, to the parties, their
successors in interest or their assignees at the addresses and telephone numbers
set forth on the signature page hereof or at such other addresses or telephone
numbers as the parties may designate by written notice in accordance with this
Section 6.2.

        6.3 ASSIGNABILITY AND PARTIES IN INTEREST. This Agreement and any of the
rights, interests or obligations hereunder may not be assigned by any of the
parties hereto except that the Company may assign this Agreement or any of its
rights hereunder to its affiliates or to successors to all or substantially all
of its business. Nothing in this Agreement will confer upon any person or entity
not a party to this Agreement, or the legal representatives of such person or
entity, any rights or remedies of any nature or kind whatsoever under or by
reason of this Agreement.

        6.4 GOVERNING LAW. This Agreement shall be governed by, and construed
and enforced in accordance with, the laws of the State of California, without
regard to its conflicts-of-law principles.

        6.5 COUNTERPARTS. This Agreement and the other Transaction Documents may
be executed in counterparts, each of which shall be deemed an original, but all
of which shall constitute but one and the same instrument.

        6.6 COMPLETE AGREEMENT. This Agreement, the exhibits and schedules
hereto, and the other Transaction Documents contain the entire agreement between
the parties hereto with respect to the subject matter contemplated herein and
therein and supersede all previous oral and written and all contemporaneous oral
negotiations, commitments, and understandings with respect thereto. The parties
acknowledge that their agreements hereunder were not procured through
representations or agreements not set forth herein or therein.

        6.7 AMENDMENTS. This Agreement and the other Transaction Documents may
be amended only by written instrument duly executed and delivered by the parties
hereto or thereto, as the case may be.

        6.8 CONSTRUCTION. The headings contained in this Agreement and the other
Transaction Documents are for reference purposes only and shall not affect in
any way the

                                       13
<PAGE>   14

meaning or interpretation hereof or thereof. References herein or therein to
Articles, Sections, Schedules and Exhibits refer to the referenced Articles,
Sections, Schedules or Exhibits hereof or thereof as the case may be, unless
otherwise specified. This Agreement and the other Transaction Documents shall be
deemed the joint work product of the parties hereto or thereto without regard to
the identity of the draftsperson, and any rule of construction that a document
shall be interpreted or construed against the drafting party shall not be
applicable.

        6.9 SEVERABILITY. Any provision of this Agreement or any other
Transaction Document which is invalid, illegal, or unenforceable in any
jurisdiction shall, as to that jurisdiction, be ineffective to the extent of
such invalidity, illegality, or unenforceability, without affecting in any way
the remaining provisions hereof in such jurisdiction or rendering that or any
other provision of this Agreement or any other Transaction Document invalid,
illegal, or unenforceable in any other jurisdiction.

        6.10 EXPENSES OF TRANSACTIONS. All fees, costs and expenses incurred by
the Company or the Purchaser in connection with the transactions contemplated by
this Agreement and the other Transaction Documents shall be borne by the party
incurring the same.

        6.11 ARBITRATION.

        (a) (i) Any controversy or claim arising out of or relating to this
Agreement shall be solely and finally settled by arbitration administered by the
American Arbitration Association (the "AAA") in accordance with its Commercial
Arbitration Rules as then in effect (the "RULES"), except to the extent such
Rules vary from the following provisions. Notwithstanding the previous sentence,
the parties hereto may seek provisional remedies in courts of appropriate
jurisdiction and such request shall not be deemed a waiver of the right to
compel arbitration of a dispute hereunder.

               (ii) If any controversy or claim arising out of or relating to
this Agreement also arises out of or relates to the employment of the Purchaser
by the Employer, the provisions of this Agreement governing dispute resolution
shall govern resolution of such controversy or claim. The provisions of this
Agreement governing dispute resolution supersede any provisions relating to such
matters in any employment agreement between the Purchaser and the Employer.

               (iii) The arbitration shall be conducted by one independent and
impartial arbitrator, appointed by the AAA; provided however, if the claim and
any counterclaim, in the aggregate, together with other arbitrations that are
consolidated pursuant to Section 6.11(f), exceed Five Hundred Thousand Dollars
($500,000) (the "THRESHOLD"), exclusive of interest and attorneys' fees, the
dispute shall be heard and determined by three (3) arbitrators as provided
herein (such arbitrator or arbitrators are hereinafter referred to as the
"ARBITRATOR"). The judgment of the award rendered by the Arbitrator may be
entered in any court having jurisdiction thereof. The arbitration proceedings
shall be held in Orange County, California unless the parties agree to another
location.

        (b) If a party hereto determines to submit a dispute for arbitration
pursuant to this Section 6.11, such party shall furnish the other party with
whom it has the dispute with a notice

                                       14
<PAGE>   15

of arbitration as provided in the Rules (an "ARBITRATION NOTICE") which, in
addition to the items required by the Rules, shall include a statement of the
nature, with reasonable detail, of the dispute. A copy of the Arbitration Notice
shall be concurrently provided to the AAA, along with a copy of this Agreement,
and if pursuant to Section 6.11(a) one (1) Arbitrator is to be appointed, a
request to appoint the Arbitrator. If a party has a counterclaim against the
other party, such party shall furnish the party with whom it has the dispute a
notice of such claim as provided in the Rules (a "NOTICE OF COUNTERCLAIM")
within ten (10) days of receipt of the AAA's acknowledgement of its receipt of
the Arbitration Notice, which, in addition to the items required by the Rules,
shall include a statement of the nature, with reasonable detail, of the dispute.
A copy of the Notice of Counterclaim shall be concurrently provided to the AAA.
If the claim set forth in the Notice of Counterclaim causes the aggregate amount
in dispute to exceed the Threshold, the Notice of Counterclaim shall so state.
If pursuant to Section 6.11(a) three (3) Arbitrators are to be appointed, within
fifteen (15) days after receipt of the Arbitration Notice or the Notice of
Counterclaim as applicable, each party shall select one person to act as
Arbitrator and the two (2) selected shall select a third arbitrator within ten
(10) days of their appointment. If the Arbitrators selected by the parties are
unable or fail to agree upon the third arbitrator within such time, the third
arbitrator shall be selected by the AAA. Each arbitrator shall be a practicing
attorney or a retired or former judge with at least twenty (20) years experience
with and knowledge of securities laws, complex business transactions, and
mergers and acquisitions.

        (c) Once the Arbitrator is selected, the Arbitrator shall schedule a
pre-hearing conference to reach agreement on procedural and scheduling matters,
arrange for the exchange of information, obtain stipulations and attempt to
narrow the issues.

        (d) At the pre-hearing conference, the Arbitrator shall have the
discretion to order, to the extent the Arbitrator deems relevant and
appropriate, that each party may (i) serve a maximum of one set of no more than
twenty (20) requests for production of documents and one set of ten (10)
interrogatories (without subparts) upon the other parties; and (ii) depose a
maximum of three (3) witnesses. All objections to discovery are reserved for the
arbitration hearing except for objections based on privilege and proprietary or
confidential information. The responses to the document demand, the documents to
be produced thereunder, and the responses to the interrogatories shall be
delivered to the propounding party thirty (30) days after receipt by the
responding party of such document demand or interrogatory. Each deposition shall
be taken on reasonable notice to the deponent, and must be concluded within four
(4) hours and all depositions must be taken within forty-five (45) days
following the pre-hearing conference. Any party deposing an opponent's expert
must pay the expert's fee for attending the deposition. All discovery disputes
shall be decided by the Arbitrator.

        (e) The parties must file briefs with the Arbitrator at least three (3)
days before the arbitration hearing, specifying the facts each intends to prove
and analyzing the applicable law. The parties have the right to representation
by legal counsel throughout the arbitration proceedings. The presentation of
evidence at the arbitration hearing shall be governed by the Federal Rules of
Evidence. Oral evidence given at the arbitration hearing shall be given under
oath. Any party desiring a stenographic record may secure a court reporter to
attend the

                                       15
<PAGE>   16

arbitration proceedings. The party requesting the court reporter must notify the
other parties and the Arbitrator of the arrangement in advance of the hearing,
and must pay for the cost incurred.

        (f) Any arbitration can be consolidated with one or more arbitrations
involving other parties, which arise under agreement(s) between the Company and
such other parties, if more than one such arbitration is commenced and any party
thereto contends that two or more arbitrations are substantially related and
that the issues should be heard in one proceeding. The Arbitrator selected in
the first-filed of such proceedings shall determine whether, in the interests of
justice and efficiency, the proceedings should be consolidated before that
Arbitrator.

        (g) The Arbitrator's award shall be in writing, signed by the Arbitrator
and shall contain a concise statement regarding the reasons for the disposition
of any claim.

        (h) To the extent permissible under applicable law, the award of the
Arbitrator shall be final. It is the intent of the parties that the arbitration
provisions hereof be enforced to the fullest extent permitted by applicable law.

        6.12 SUBMISSION TO JURISDICTION. All actions or proceedings arising in
connection with this Agreement or any other Transaction Document for preliminary
or injunctive relief or matters not subject to arbitration, if any, shall be
tried and litigated exclusively in the state or federal courts located in the
County of Orange, State of California. The aforementioned choice of venue is
intended by the parties to be mandatory and not permissive in nature, thereby
precluding the possibility of litigation between the parties with respect to or
arising out of this Agreement or any other Transaction Document in any
jurisdiction other than that specified in this paragraph. Each party hereby
waives any right it may have to assert the doctrine of forum non conveniens or
similar doctrine or to object to venue with respect to any proceeding brought in
accordance with this paragraph, and stipulates and acknowledges that it has had
sufficient minimum contacts with California such that the State and Federal
courts located in the County of Orange, State of California shall have in
personam jurisdiction over each of them for the purpose of litigating any such
dispute, controversy, or proceeding. Each party hereby authorizes and accepts
service of process sufficient for personal jurisdiction in any action against it
as contemplated by this Section by registered or certified mail, return receipt
requested, postage prepaid, to its address for the giving of notices as set
forth in Section 6.2. Nothing herein shall affect the right of any party to
serve process in any other manner permitted by law.

        6.13 ATTORNEYS' FEES. If the Purchaser brings any action, suit,
counterclaim, cross-claim, appeal, arbitration, or mediation for any relief
against the Company, or if the Company brings any action, suit, counterclaim,
cross-claim, appeal, arbitration, or mediation for any relief against the
Purchaser, declaratory or otherwise, to enforce the terms of or to declare
rights under this Agreement or any other Transaction Document (collectively, an
"ACTION"), in addition to any damages and costs which the Prevailing Party
otherwise would be entitled, the non-Prevailing Party shall pay to the
Prevailing Party a reasonable sum for attorneys' fees and costs (at the
Prevailing Party's attorneys' then-prevailing rates) incurred in bringing and
prosecuting or defending such Action and/or enforcing any judgment, order,
ruling, or award (collectively, a "DECISION") granted therein, all of which
shall be deemed to have accrued on the commencement

                                       16
<PAGE>   17

of such Action and shall be paid whether or not such action is prosecuted to a
Decision. Any Decision entered in such Action shall contain a specific provision
providing for the recovery of attorneys' fees and costs incurred in enforcing
such Decision.

        For the purposes of this Section, attorneys' fees shall include, but not
be limited to, fees incurred in the following: (1) post-judgment motions and
collection actions; (2) contempt proceedings; (3) garnishment, levy and debtor
and third party examinations; (4) discovery; and (5) bankruptcy litigation.

        "PREVAILING PARTY" within the meaning of this Section includes, without
limitation, a party who agrees to dismiss an action on the other party's payment
of the sum allegedly due or performance of the covenants allegedly breached, or
who obtains substantially the relief sought by it. If there are multiple claims,
the Prevailing Party shall be determined with respect to each claim separately.
The Prevailing Party shall be the party who has obtained the greater relief in
connection with any particular claim, although, with respect to any claim, it
may be determined that there is no Prevailing Party.

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

EPS SOLUTIONS CORPORATION                   PURCHASER

By: /s/ DAVID H. HOFFMAN                    By: /s/ MICHAEL G. GOLDSTEIN
   ------------------------------              ---------------------------------
Name: David H. Hoffman                          Michael G. Goldstein
     ----------------------------
Title: CEO
      ---------------------------
Address:                                    Address:

695 Town Center Drive, Suite 400            ------------------------------------
Costa Mesa, California 92626                ------------------------------------

Telephone No.: (714) 429-5500               Telephone No.:______________________
Facsimile No.:  (714) 429-5559              Facsimile No.:______________________

                                       17
<PAGE>   18

SCHEDULES

1.1     Shares and Purchase Price
4       Vesting Schedule

EXHIBITS

A.      Form of the Note
B.      Form of the Accredited Investor Questionnaire
C.      Summary of Certain Considerations
D.      Form of the Stockholder Agreement
E.      Form of the Voting Agreement
F.      Section 83(b) Election Form

<PAGE>   19

                                  SCHEDULE 1.1

                            SHARES AND PURCHASE PRICE

        Aggregate Number of Shares:                               100,000

        Aggregate Purchase Price:                                $120,000

               Cash Payment:    $100.00

               Note:            $119,900

        Maximum IPO Shares:                                        20,000

        Type of Shares:

               Five-Year Time Vesting Shares

<PAGE>   20

                                   SCHEDULE 4

                                VESTING SCHEDULE

BASIC TERMS.

        VESTING. The shares consist of the Types of Shares identified on
Schedule 1.1. Subject to the terms and conditions set forth in this Agreement,
the Restrictions applicable to each Type of Shares will lapse, and Shares of
that Type will vest, if and when the conditions to vesting of that Type of
Shares, as set forth in this Schedule 4, are met. However, except as set forth
in this Schedule 4, in order for any Shares eligible for vesting for any
Measurement Period to vest, the Purchaser must have remained an employee of the
Company, or an affiliate of the Company, from the date hereof through the last
day of that Measurement Period. In addition, as a condition to each and every
vesting of Shares, the Purchaser must execute and deliver to the Company a
release, in form and substance satisfactory to the Company, releasing the
Company and all of its affiliates from any claims or liabilities arising from or
in connection with the employment of the Purchaser by the Company or any of its
Affiliates.

        Any vesting for a Measurement Period will be effective as of the close
of business on the last day of that Measurement Period, but vesting for any
Measurement Period will not be finally determined until it is finally determined
through year-end closing of the books, audits and any other necessary
procedures, whether any performance requirements associated with particular
Shares for that Measurement Period have been met. In no case will the total
number of any particular Type of Shares that the Purchaser has the right to have
vested for any Measurement Period exceed the product of the total number of that
Type of Shares and the applicable Vesting Percentage corresponding to that
Measurement Period. Fractional vested Shares will be carried forward and
combined to constitute whole vested Shares that can be issued, or cashed out by
the Company at fair market value following determination of whether any
performance requirements associated with the last Measurement Period have been
met.

        VESTING WITHIN FIRST YEAR:

        VESTING UPON CERTAIN TERMINATION OF EMPLOYMENT:

        If employment of the Purchaser with the Company or an affiliate of the
Company is terminated by death or by the Company without "Cause" or by
"Disability" (as defined below), and if the performance requirements, if any,
associated with any particular Shares for the applicable Measurement Period in
which the employment of the Purchaser is terminated are met, the Restrictions
will lapse with respect to such portion of those Shares as is equal to the
product of the number of those Shares times a fraction, the numerator of which
is the number of days in such Measurement Period with which those Shares are
associated through the date of termination of the employment of the Purchaser,
and the denominator of which is 365. There shall be no

<PAGE>   21

proportional partial vesting for such Measurement Period in respect of partial
satisfaction of performance requirements.

DEFINITIONS.

        For purposes hereof:

        "CAUSE" means the occurrence of any one or more of the following events
or circumstances, provided however, that if any such event or circumstance is
susceptible to cure by the Purchaser without damage to the Company, such event
or circumstance will not constitute Cause unless the Purchaser has failed to
cure such event or circumstance within 15 days after receipt by the Purchaser of
written notice thereof: the Purchaser engages in (i) any wrongful conduct or
knowingly violates any reasonable rule or regulation of the Employer's Board of
Directors, the Employer's President or Chief Executive Officer or the
Purchaser's superiors that results in material damage or risk of legal liability
to the Employer or any parent corporation of the Employer, any subsidiary
corporation of the Employer or any entity controlling, controlled by, or under
common control with the Employer (an "AFFILIATED ENTITY"); (ii) any willful
misconduct or gross negligence by the Purchaser in the responsibilities assigned
to the Purchaser; (iii) any willful and material failure to perform the
Purchaser's job as required to meet the lawful objectives of the Employer or any
Affiliated Entity; (iv) the Purchaser fails to comply with all material
applicable laws and regulations in performing the Purchaser's duties and
responsibilities to the Employer; (v) any criminal conduct (other than
misdemeanors that do not meet the criteria set forth in subsection (vi)); (vi)
any actions involving moral turpitude or injurious to the business or reputation
of the Company or its Affiliated Entities; (vii) any legal action against
Purchaser or the Company or any of its Affiliated Entities occurs as a result of
the Purchaser's employment by the Company; or (viii) any of the things described
in (A)-(C) below.

        (A) The Purchaser renders services for any organization or engages
directly or indirectly in any business that, in the reasonable judgment of the
Chief Executive Officer of the Employer or other senior officer designated by
the Chief Executive Officer, is or becomes competitive with the Employer or any
Affiliated Entity, or which organization or business, or the rendering of
services to such organization or business, is or becomes otherwise prejudicial
to or in conflict with the business or interests of the Employer or any
Affiliated Entity, provided, however, that any personal legal related speaking
engagements, receipt of honorariums and publishing of legal related personal
manuscripts shall not be a violation of this Paragraph A.

        (B) The Purchaser fails to comply with any confidentiality agreement
with the Employer or with the lawful policies of the Employer or any Affiliated
Entity regarding nondisclosure of confidential information, or without prior
written authorization from the Employer or any Affiliated Entity discloses to
anyone outside the Employer or any Affiliated Entity or uses for any purpose or
in any context other than in performance of the Purchaser's duties to the
Employer or any Affiliated Entity any confidential or trade secret information
of the Employer or any Affiliated Entity.

        (C) The Purchaser breaches in any material respect any agreement with or
legal duty to the Employer or any Affiliated Entity.

                                       2
<PAGE>   22

        If "Cause" is defined in an employment agreement of Purchaser, such
definition therein shall control for purposes of this Agreement.

        "DISABILITY" means the Purchaser suffers an ongoing physical or
psychological impairment that has rendered Purchaser unable, as determined in
good faith by the Chief Executive Officer of the Employer, to perform the
Purchaser's duties to the Employer, notwithstanding reasonable accommodation by
the Employer (the Employer, at its option and expense, being entitled to retain
a physician to confirm the existence of such disability), for a period of three
(3) consecutive months or six (6) months in any 12-month period.

                                       3
<PAGE>   23

                              SCHEDULE 4, CONTINUED

FIVE-YEAR TIME VESTING SHARES

        If the Purchaser has remained an employee of the Employer from the date
hereof through the last day of a Measurement Period, the Restrictions will lapse
with respect to such number of Five Year Time Vesting Shares (as set forth in
Schedule 1.1) as is equal to the product of the Vesting Percentage corresponding
to that Measurement Period and the total number of Five Year Time Vesting
Shares.

<TABLE>
<CAPTION>
                                                           VESTING
MEASUREMENT PERIOD                                        PERCENTAGE
<S>                                                       <C>
January 1, 1999 - December 31, 1999                           20%
January 1, 2000 - December 31, 2000                           20%
January 1, 2001 - December 31, 2001                           20%
January 1, 2002 - December 31, 2002                           20%
January 1, 2003 - December 31, 2003                           20%
</TABLE>

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