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                                                                    Exhibit 10.2

                               TSANN KUEN USA INC.
                            2001 STOCK INCENTIVE PLAN

1.       ESTABLISHMENT, PURPOSE AND TYPES OF AWARDS
         TSANN KUEN USA INC.. a Nevada corporation (the "Company"), hereby
establishes the 2001 STOCK INCENTIVE PLAN (the "Plan"). The purpose of the Plan
is to promote the long-term growth and profitability of the Company by (i)
providing key people with incentives to improve stockholder value and to
contribute to the growth and financial success of the Company, and (ii) enabling
the Company to attract, retain and reward the best-available persons.

         The Plan permits the granting of stock options (including incentive
stock options qualifying under Code Section 422 and nonqualified stock options),
stock appreciation rights, restricted or unrestricted stock awards, phantom
stock, performance awards, other stock-based awards, or any combination of the
foregoing.

2.       DEFINITIONS
         Under this Plan, except where the context otherwise indicates, the
following definitions apply:

         (a)      "AFFILIATE" shall mean any entity, whether now or hereafter
existing, which controls, is controlled by, or is under common control with, the
Company (including, but not limited to, joint ventures, limited liability
companies, and partnerships). For this purpose, "control" shall mean ownership
of 50% or more of the total combined voting power or value of all classes of
stock or interests of the entity.

         (b)      "AWARD" shall mean any stock option, stock appreciation right,
stock award, phantom stock award, performance award, or other stock-based award.

         (c)      "BOARD" shall mean the Board of Directors of the Company.

         (d)      "CHANGE IN CONTROL" means:

                  (i) an acquisition (other than from the Company) in a
         transaction, or a series of related transactions, by any person, entity
         or "group," within the meaning of Section 13(d)(3) or 14(d)(2) of the
         Securities Exchange Act of 1934 (the "EXCHANGE ACT"), (excluding for
         this purpose, (A) the Company or its subsidiaries, (B) any employee
         benefit plan of the Company or its subsidiaries which acquires
         beneficial ownership of voting securities of the Company, (C) an
         underwriter temporarily holding securities pursuant to an offering of
         such securities, or (D) any corporation owned, directly or indirectly,
         by the stockholders of the Company in substantially the same
         proportions as their ownership of the then outstanding voting
         securities of the Company entitled to vote generally in the election of
         directors) of beneficial ownership, within the meaning of

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         Rule 13d-3 promulgated under the Exchange Act, of 50% or more of either
         the then outstanding shares of common stock or the combined voting
         power of the Company's then outstanding voting securities entitled to
         vote generally in the election of directors (the "COMPANY VOTING
         STOCK");

                  (ii) the effective time of any merger, share exchange,
         consolidation or other reorganization or business combination of the
         Company if immediately after such transaction persons who hold a
         majority of the outstanding voting securities entitled to vote
         generally in the election of directors of the surviving entity (or the
         entity owning 100% of such surviving entity) are not persons who held
         the Company Voting Stock immediately prior to such transaction;

                  (iii) the closing of a sale or conveyance of all or
         substantially all of the assets of the Company;

                  (iv) individuals who were the Board's nominees for election as
         directors immediately prior to a meeting of the stockholders of the
         Company involving an actual or threatened election contest relating to
         the election of the directors of the Company, as such terms are used in
         Rule 14a-11 of Regulation 14A promulgated under the Exchange Act, cease
         to constitute a majority of the Board following the election; or

                  (v) the dissolution or liquidation of the Company;

         provided, however, that the term "Change in Control" does not include a
public offering of capital stock of the Company that is effected pursuant to a
registration statement filed with, and declared effective by, the Securities and
Exchange Commission under the Securities Act of 1933.

         (e)      "CODE" shall mean the Internal Revenue Code of 1986, as
amended, and any regulations promulgated thereunder.

         (f)      "COMMON STOCK" shall mean shares of common stock of the
Company, par value $0.001 per share.

         (g)      "FAIR MARKET VALUE" shall mean, with respect to a share of the
Company's Common Stock for any purpose on a particular date, the value
determined by the Administrator in good faith. However, if the Common Stock is
registered under Section 12(b) or 12(g) of the Securities Exchange Act of 1934,
as amended, and listed for trading on a national exchange or market, "Fair
Market Value" shall mean, as applicable, (i) either the closing price or the
average of the high and low sale price on the relevant date, as determined in
the Administrator's discretion, quoted on the New York Stock Exchange, the
American Stock Exchange, or the Nasdaq National Market; (ii) the last sale price
on the relevant date quoted on the Nasdaq SmallCap Market; (iii) the average of
the high bid and low asked prices on the relevant date quoted on the Nasdaq OTC
Bulletin Board Service or by the National Quotation Bureau, Inc. or a comparable
service as determined in the Administrator's discretion; or (iv) if the Common
Stock is not quoted by any of the above, the average of the closing bid and
asked prices on the

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relevant date furnished by a professional market maker for the Common Stock, or
by such other source, selected by the Administrator. If no public trading of the
Common Stock occurs on the relevant date, then Fair Market Value shall be
determined as of the next preceding date on which trading of the Common Stock
does occur. For all purposes under this Plan, the term "relevant date" as used
in this Section 2.1(g) shall mean either the date as of which Fair Market Value
is to be determined or the next preceding date on which public trading of the
Common Stock occurs, as determined in the Administrator's discretion.

         (h)      "STOCK OPTION AGREEMENT" shall mean a written document
memorializing the terms and conditions of an Award granted pursuant to the Plan
and shall incorporate the terms of the Plan.

3.       ADMINISTRATION
         (a)      ADMINISTRATION OF THE PLAN. The Plan shall be administered by
the Board or by such committee or committees as may be appointed by the Board
from time to time (the Board, committee or committees hereinafter referred to as
the "ADMINISTRATOR").

         (b)      POWERS OF THE ADMINISTRATOR. The Administrator shall have all
the powers vested in it by the terms of the Plan, such powers to include
authority, in its sole and absolute discretion, to grant Awards under the Plan,
prescribe Stock Option Agreements evidencing such Awards and establish programs
for granting Awards.

         The Administrator shall have full power and authority to take all other
actions necessary to carry out the purpose and intent of the Plan, including,
but not limited to, the authority to: (i) determine the eligible persons to
whom, and the time or times at which Awards shall be granted; (ii) determine the
types of Awards to be granted; (iii) determine the number of shares to be
covered by or used for reference purposes for each Award; (iv) impose such
terms, limitations, restrictions and conditions upon any such Award as the
Administrator shall deem appropriate; (v) modify, amend, extend or renew
outstanding Awards, or accept the surrender of outstanding Awards and substitute
new Awards (provided however, that, except as provided in Section 7(d) of the
Plan, any modification that would materially adversely affect any outstanding
Award shall not be made without the consent of the holder); (vi) accelerate or
otherwise change the time in which an Award may be exercised or becomes payable
and to waive or accelerate the lapse, in whole or in part, of any restriction or
condition with respect to such Award, including, but not limited to, any
restriction or condition with respect to the vesting or exercisability of an
Award following termination of any grantee's employment or other relationship
with the Company; and (vii) establish objectives and conditions, if any, for
earning Awards and determining whether Awards will be paid after the end of a
performance period.

         The Administrator shall have full power and authority, in its sole and
absolute discretion, to administer and interpret the Plan and to adopt and
interpret such rules, regulations, agreements, guidelines and instruments for
the administration of the Plan and for the conduct of its business as the
Administrator deems necessary or advisable.

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         (c)      NON-UNIFORM DETERMINATIONS. The Administrator's determinations
under the Plan (including without limitation, determinations of the persons to
receive Awards, the form, amount and timing of such Awards, the terms and
provisions of such Awards and the Stock Option Agreements evidencing such
Awards) need not be uniform and may be made by the Administrator selectively
among persons who receive, or are eligible to receive, Awards under the Plan,
whether or not such persons are similarly situated.

         (d)      LIMITED LIABILITY. To the maximum extent permitted by law, no
member of the Administrator shall be liable for any action taken or decision
made in good faith relating to the Plan or any Award thereunder.

         (e)      INDEMNIFICATION. To the maximum extent permitted by law and by
the Company's charter and by-laws, the members of the Administrator shall be
indemnified by the Company in respect of all their activities under the Plan.

         (f)      EFFECT OF ADMINISTRATOR'S DECISION. All actions taken and
decisions and determinations made by the Administrator on all matters relating
to the Plan pursuant to the powers vested in it hereunder shall be in the
Administrator's sole and absolute discretion and shall be conclusive and binding
on all parties concerned, including the Company, its stockholders, any
participants in the Plan and any other employee, consultant, or director of the
Company, and their respective successors in interest.

4.       SHARES AVAILABLE FOR THE PLAN
         Subject to adjustments as provided in Section 7(d) of the Plan, the
shares of Common Stock that may be issued with respect to Awards granted under
the Plan shall not exceed an aggregate of 1,000,000 shares of Common Stock. The
Company shall reserve such number of shares for Awards under the Plan, subject
to adjustments as provided in Section 7(d) of the Plan. If any Award, or portion
of an Award, under the Plan expires or terminates unexercised, becomes
unexercisable or is forfeited or otherwise terminated, surrendered or canceled
as to any shares, or if any shares of Common Stock are surrendered to the
Company in connection with any Award (whether or not such surrendered shares
were acquired pursuant to any Award), or if any shares are withheld by the
Company, the shares subject to such Award and the surrendered and withheld
shares shall thereafter be available for further Awards under the Plan;
provided, however, that any such shares that are surrendered to or withheld by
the Company in connection with any Award or that are otherwise forfeited after
issuance shall not be available for purchase pursuant to incentive stock options
intended to qualify under Code section 422.

5.       PARTICIPATION
         Participation in the Plan shall be open to all employees, officers, and
directors of, and other individuals providing bona fide services to or for, the
Company, or of any Affiliate of the Company, as may be selected by the
Administrator from time to time. The Administrator may also grant Awards to
individuals in connection with hiring, retention or otherwise, prior to the date
the individual first performs services for the Company or an Affiliate provided
that such Awards shall not become vested prior to the date the individual first
performs such services.

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6.       AWARDS
         The Administrator, in its sole discretion, establishes the terms of all
Awards granted under the Plan. Awards may be granted individually or in tandem
with other types of Awards. All Awards are subject to the terms and conditions
provided in the Stock Option Agreement. The Administrator may permit or require
a recipient of an Award to defer such individual's receipt of the payment of
cash or the delivery of Common Stock that would otherwise be due to such
individual by virtue of the exercise of, payment of, or lapse or waiver of
restrictions respecting, any Award. If any such payment deferral is required or
permitted, the Administrator shall, in its sole discretion, establish rules and
procedures for such payment deferrals.

         (a)      STOCK OPTIONS. The Administrator may from time to time grant
to eligible participants Awards of incentive stock options as that term is
defined in Code section 422 or nonqualified stock options; provided, however,
that Awards of incentive stock options shall be limited to employees of the
Company or of any current or hereafter existing "parent corporation" or
"subsidiary corporation," as defined in Code sections 424(e) and (f),
respectively, of the Company. Options intended to qualify as incentive stock
options under Code section 422 must have an exercise price at least equal to
Fair Market Value as of the date of grant, but nonqualified stock options may be
granted with an exercise price less than Fair Market Value. No stock option
shall be an incentive stock option unless so designated by the Administrator at
the time of grant or in the Stock Option Agreement evidencing such stock option.

         (b)      STOCK APPRECIATION RIGHTS. The Administrator may from time to
time grant to eligible participants Awards of Stock Appreciation Rights ("SAR").
An SAR entitles the grantee to receive, subject to the provisions of the Plan
and the Stock Option Agreement, a payment having an aggregate value equal to the
product of (i) the excess of (A) the Fair Market Value on the exercise date of
one share of Common Stock over (B) the base price per share specified in the
Stock Option Agreement, times (ii) the number of shares specified by the SAR, or
portion thereof, which is exercised. Payment by the Company of the amount
receivable upon any exercise of an SAR may be made by the delivery of Common
Stock or cash, or any combination of Common Stock and cash, as determined in the
sole discretion of the Administrator. If upon settlement of the exercise of an
SAR a grantee is to receive a portion of such payment in shares of Common Stock,
the number of shares shall be determined by dividing such portion by the Fair
Market Value of a share of Common Stock on the exercise date. No fractional
shares shall be used for such payment and the Administrator shall determine
whether cash shall be given in lieu of such fractional shares or whether such
fractional shares shall be eliminated.

         (c)      STOCK AWARDS. The Administrator may from time to time grant
restricted or unrestricted stock Awards to eligible participants in such
amounts, on such terms and conditions, and for such consideration, including no
consideration or such minimum consideration as may be required by law, as it
shall determine. A stock Award may be paid in Common Stock, in cash, or in a
combination of Common Stock and cash, as determined in the sole discretion of
the Administrator.

         (d)      PHANTOM STOCK. The Administrator may from time to time grant
Awards to eligible participants denominated in stock-equivalent units ("phantom
stock") in such amounts

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and on such terms and conditions as it shall determine. Phantom stock units
granted to a participant shall be credited to a bookkeeping reserve account
solely for accounting purposes and shall not require a segregation of any of the
Company's assets. An Award of phantom stock may be settled in Common Stock, in
cash, or in a combination of Common Stock and cash, as determined in the sole
discretion of the Administrator. Except as otherwise provided in the applicable
Stock Option Agreement, the grantee shall not have the rights of a stockholder
with respect to any shares of Common Stock represented by a phantom stock unit
solely as a result of the grant of a phantom stock unit to the grantee.

         (e)      PERFORMANCE AWARDS. The Administrator may, in its discretion,
grant performance awards which become payable on account of attainment of one or
more performance goals established by the Administrator. Performance awards may
be paid by the delivery of Common Stock or cash, or any combination of Common
Stock and cash, as determined in the sole discretion of the Administrator.
Performance goals established by the Administrator may be based on the Company's
or an Affiliate's operating income or one or more other business criteria
selected by the Administrator that apply to an individual or group of
individuals, a business unit, or the Company or an Affiliate as a whole, over
such performance period as the Administrator may designate.

         (f)      OTHER STOCK-BASED AWARDS. The Administrator may from time to
time grant other stock-based awards to eligible participants in such amounts, on
such terms and conditions, and for such consideration, including no
consideration or such minimum consideration as may be required by law, as it
shall determine. Other stock-based awards may be denominated in cash, in Common
Stock or other securities, in stock-equivalent units, in stock appreciation
units, in securities or debentures convertible into Common Stock, or in any
combination of the foregoing and may be paid in Common Stock or other
securities, in cash, or in a combination of Common Stock or other securities and
cash, all as determined in the sole discretion of the Administrator.

7.       MISCELLANEOUS
         (a)      WITHHOLDING OF TAXES. Grantees and holders of Awards shall pay
to the Company or its Affiliate, or make provision satisfactory to the
Administrator for payment of, any taxes required to be withheld in respect of
Awards under the Plan no later than the date of the event creating the tax
liability. The Company or its Affiliate may, to the extent permitted by law,
deduct any such tax obligations from any payment of any kind otherwise due to
the grantee or holder of an Award. In the event that payment to the Company or
its Affiliate of such tax obligations is made in shares of Common Stock, such
shares shall be valued at Fair Market Value on the applicable date for such
purposes.

         (b)      LOANS. The Company or its Affiliate may make or guarantee
loans to grantees to assist grantees in exercising Awards and satisfying any
withholding tax obligations.

         (c)      TRANSFERABILITY. Except as otherwise determined by the
Administrator, and in any event in the case of an incentive stock option or a
stock appreciation right granted with respect to an incentive stock option, no
Award granted under the Plan shall be transferable by a grantee otherwise than
by will or the laws of descent and distribution. Unless otherwise determined by

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the Administrator in accord with the provisions of the immediately preceding
sentence, an Award may be exercised during the lifetime of the grantee, only by
the grantee or, during the period the grantee is under a legal disability, by
the grantee's guardian or legal representative.

         (d)      ADJUSTMENTS FOR CORPORATE TRANSACTIONS AND OTHER EVENTS.

         (i)      STOCK DIVIDEND, STOCK SPLIT AND REVERSE STOCK SPLIT.
In the event of a stock dividend of, or stock split or reverse stock split
affecting, the Common Stock, (A) the maximum number of shares of such Common
Stock as to which Awards may be granted under this Plan, as provided in Section
4 of the Plan, and (B) the number of shares covered by and the exercise price
and other terms of outstanding Awards, shall, without further action of the
Board, be adjusted to reflect such event unless the Board determines, at the
time it approves such stock dividend, stock split or reverse stock split, that
no such adjustment shall be made. The Administrator may make adjustments, in its
discretion, to address the treatment of fractional shares and fractional cents
that arise with respect to outstanding Awards as a result of the stock dividend,
stock split or reverse stock split.

         (ii)     NON-CHANGE IN CONTROL TRANSACTIONS. Except with respect to the
transactions set forth in Section 7(d)(i), in the event of any change affecting
the Common Stock, the Company or its capitalization, by reason of a spin-off,
split-up, dividend, recapitalization, merger, consolidation or share exchange,
other than any such change that is part of a transaction resulting in a Change
in Control, the Administrator, in its discretion and without the consent of the
holders of the Awards, shall make (A) appropriate adjustments to the maximum
number and kind of shares reserved for issuance or with respect to which Awards
may be granted under the Plan, as provided in Section 4 of the Plan; and (B) any
adjustments in outstanding Awards, including but not limited to reducing the
number, kind and price of securities subject to Awards.

         (iii)    CHANGE IN CONTROL TRANSACTIONS. In the event of any
transaction resulting in a Change in Control, outstanding stock options and
SAR's under this Plan will terminate upon the effective time of such Change in
Control unless provision is made in connection with the transaction for the
continuation or assumption of such Awards by, or for the substitution of the
equivalent awards of, the surviving or successor entity or a parent thereof. In
the event of such termination, the holders of stock options and SAR's under the
Plan will be permitted, for a period of at least twenty (20) days prior to the
effective time of the Change in Control, to exercise all portions of such Awards
that are then exercisable or which become exercisable upon or prior to the
effective time of the Change in Control; provided, however, that any such
exercise of any portion of such an Award which becomes exercisable as a result
of such Change in Control shall be deemed to occur immediately prior to the
effective time of such Change in Control.

         (iv)     POOLING OF INTERESTS TRANSACTIONS. In connection with any
business combination authorized by the Board, the Administrator, in its sole
discretion and without the consent of the holders of the Awards, may make any
modifications to any Awards, including but not limited to cancellation,
forfeiture, surrender or other termination of the Awards, in whole or in part,
regardless of the vested status of the Award, but solely to the extent necessary
to facilitate the

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compliance of such transaction with requirements for treatment as a pooling of
interests transaction for accounting purposes under generally accepted
accounting principles.

         (v)      UNUSUAL OR NONRECURRING EVENTS. The Administrator is
authorized to make, in its discretion and without the consent of holders of
Awards, adjustments in the terms and conditions of, and the criteria included
in, Awards in recognition of unusual or nonrecurring events affecting the
Company, or the financial statements of the Company or any Affiliate, or of
changes in applicable laws, regulations, or accounting principles, whenever the
Administrator determines that such adjustments are appropriate in order to
prevent dilution or enlargement of the benefits or potential benefits intended
to be made available under the Plan.

         (e)      SUBSTITUTION OF AWARDS IN MERGERS AND ACQUISITIONS. Awards may
be granted under the Plan from time to time in substitution for Awards held by
employees, officers, consultants or directors of entities who become or are
about to become employees, officers, consultants or directors of the Company or
an Affiliate as the result of a merger or consolidation of the employing entity
with the Company or an Affiliate, or the acquisition by the Company or an
Affiliate of the assets or stock of the employing entity. The terms and
conditions of any substitute Awards so granted may vary from the terms and
conditions set forth herein to the extent that the Administrator deems
appropriate at the time of grant to conform the substitute Awards to the
provisions of the awards for which they are substituted.

         (f)      TERMINATION, AMENDMENT AND MODIFICATION OF THE PLAN. The Board
may terminate, amend or modify the Plan or any portion thereof at any time.

         (g)      NON-GUARANTEE OF EMPLOYMENT OR SERVICE. Nothing in the Plan
or in any Stock Option Agreement thereunder shall confer any right on an
individual to continue in the service of the Company or shall interfere in any
way with the right of the Company to terminate such service at any time with or
without cause or notice and whether or not such termination results in (i) the
failure of any Award to vest; (ii) the forfeiture of any unvested or vested
portion of any Award; and/or (iii) any other adverse effect on the individual's
interests under the Plan.

         (h)      COMPLIANCE WITH SECURITIES LAWS; LISTING AND REGISTRATION. If
at any time the Administrator determines that the delivery of Common Stock under
the Plan is or may be unlawful under the laws of any applicable jurisdiction, or
federal or state securities laws, the right to exercise an Award or receive
shares of Common Stock pursuant to an Award shall be suspended until the
Administrator determines that such delivery is lawful. The Company shall have no
obligation to effect any registration or qualification of the Common Stock under
federal or state laws.

         The Company may require that a grantee, as a condition to exercise of
an Award, and as a condition to the delivery of any share certificate, make such
written representations (including representations to the effect that such
person will not dispose of the Common Stock so acquired in violation of federal
or state securities laws) and furnish such information as may, in the opinion of
counsel for the Company, be appropriate to permit the Company to issue the
Common Stock in compliance with applicable federal and state securities laws.
The stock certificates for any shares of Common Stock issued pursuant to this
Plan may bear a legend restricting

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transferability of the shares of Common Stock unless such shares are registered
or an exemption from registration is available under the Securities Act of 1933,
as amended, and applicable state securities laws.

         (i)      NO TRUST OR FUND CREATED. Neither the Plan nor any Award shall
create or be construed to create a trust or separate fund of any kind or a
fiduciary relationship between the Company and a grantee or any other person. To
the extent that any grantee or other person acquires a right to receive payments
from the Company pursuant to an Award, such right shall be no greater than the
right of any unsecured general creditor of the Company.

         (j)      GOVERNING LAW. The validity, construction and effect of the
Plan, of Grant Agreements entered into pursuant to the Plan, and of any rules,
regulations, determinations or decisions made by the Administrator relating to
the Plan or such Stock Option Agreements, and the rights of any and all persons
having or claiming to have any interest therein or thereunder, shall be
determined exclusively in accordance with applicable federal laws and the laws
of the State of Nevada, without regard to its conflict of laws principles.

         (k)      EFFECTIVE DATE; TERMINATION DATE. The Plan is effective as of
the date on which the Plan is adopted by the Board, subject to approval of the
stockholders within twelve (12) months before or after such date. No Award shall
be granted under the Plan after the close of business on the day immediately
preceding the tenth anniversary of the effective date of the Plan, or if
earlier, the tenth anniversary of the date this Plan is approved by the
stockholders. Subject to other applicable provisions of the Plan, all Awards
made under the Plan prior to such termination of the Plan shall remain in effect
until such Awards have been satisfied or terminated in accordance with the Plan
and the terms of such Awards.

Date Approved by the Board:  October 11, 2001

Date Approved by the Stockholders:  ______________

                                        9<PAGE>

                                                                   Exhibit 10.3

                             STOCK OPTION AGREEMENT

                  AGREEMENT made as of this 27th day of December, 2001 by and
between EUPA INTERNATIONAL CORPORATION, a corporation organized under the laws
of the State of Nevada (the "Company"), and TSANN PAO CO. (the "Optionee").

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

                  WHEREAS, Optionee has provided and will provide services to
the Company; and

                  WHEREAS, the Company desires to compensate the Optionee for
his efforts.

                  NOW, THEREFORE, in consideration of the covenants and
agreements herein contained, the parties hereto hereby agree as follows:

                  1. GRANT OF OPTION. Upon the terms and subject to the
conditions set forth herein, the Company hereby grants to the Optionee, during
the period commencing on the date of this Agreement, the right and option (the
"Option") to purchase 1,000,000 shares of the Company's common stock (the
"Common Stock") at $.01 per share.

                  2. VESTING AND EXERCISE OF OPTION. The Option shall vest as of
the date hereof and shall expire on the fifth anniversay of the date hereof (the
"Termination Date"). Subject to the terms and conditions set forth herein, the
Optionee may exercise all or part of the Option any time prior to the
Termination Date.

                  3. METHOD OF EXERCISING OPTION. The Optionee may exercise the
Option by delivering to the Company (i) a written notice stating the number of
shares of Common Stock that the Optionee has elected to purchase at that time
from the Company and (ii) full payment of the purchase price of the shares of
Common Stock then to be purchased. Payment of the purchase price for the shares
of Common Stock upon any exercise of the Option may be made by certified or bank
cashier's check payable to the order of the Company, by wire transfer subject to
the Company's instructions ck.

                  4. ISSUANCE OF COMMON STOCK UPON EXERCISE OF OPTION. As
promptly as practicable after receipt of such written notification of the
Optionee's election to exercise the Option and full payment of such purchase
price, the Company shall issue or transfer to the Optionee the number of shares
of Common Stock with respect to which the Option has been so exercised and shall
deliver to the Optionee a certificate or certificates therefor, registered in
the Optionee's name.
<PAGE>

                  5. SECURITIES LAW ACKNOWLEDGMENTS. (a) The Optionee
acknowledges that the shares of Common Stock issued upon exercise of the Option
may not be registered under applicable securities laws, that such shares of
Common Stock purchased upon the exercise of the Option must be held indefinitely
unless subsequently registered under the applicable securities laws or unless an
exemption therefrom is available and at the election of the Company, such
certificates may bear such legends regarding the limited transferability of the
shares of Common Stock under applicable securities laws as counsel for the
Company may require. The shares of Common Stock issued pursuant to the terms of
this Agreement shall represent fully paid and nonassessable shares of Common
Stock.

                  6. OPTIONEE. Whenever the word "Optionee" is used in any
provision of this Agreement under circumstances where the provision should
logically be construed to apply to the executors, administrators or person or
persons to whom the Option may be transferred by will or by the laws of descent
and distribution, the word "Optionee" shall be deemed to include such person or
persons.

                  7.       TRANSFERABILITY.  The  Option  may be  transferred
by the  Optionee  only  with the consent of the Company in accordance with
applicable securities laws.

                  8. RIGHTS AS SHAREHOLDER. The Optionee shall have no rights as
a shareholder with respect to any share of Common Stock covered by the Option
until the Optionee shall have become the holder of record of such share of
Common Stock, and no adjustment shall be made for dividends or distributions or
other rights in respect of such share of Common Stock for which the record date
is prior to the date upon which the Optionee shall become the holder of record
thereof.

                  9. ADJUSTMENT FOR RECAPITALIZATION, MERGER, ETC. The aggregate
number of shares of Common Stock that may be purchased pursuant to the Option,
the number of shares of Common Stock covered by the Option and the price per
share shall be appropriately adjusted for any increase or decrease in the number
of outstanding shares of Common Stock resulting from a stock split or other
subdivision or consolidation of shares of Common Stock or for other capital
adjustments or payments of stock dividends or distributions or other increases
or decreases in the outstanding shares of Common Stock effected without receipt
of consideration by the Company.

                  Subject to any required action by the shareholders, if the
Company shall be the surviving corporation in any merger, combination,
consolidation or other business transaction, the Option shall cover the
securities to which a holder of the number of shares of Common Stock covered by
the unexercised portion of the Option would have been entitled pursuant to the
terms of the merger or consolidation.

                  Upon the dissolution or liquidation of the Company, the Option
shall terminate; provided, however, that the surviving corporation may grant an
option or options to purchase its shares on such terms and conditions, both as
to the number of shares and otherwise, which shall substantially preserve the
rights and benefits of the Option.
<PAGE>

                  The foregoing adjustments and the manner of application of the
foregoing provisions shall be determined by the Board of Directors of the
Company in its sole discretion. Any such adjustments may provide for the
elimination of any fractional share which might otherwise become subject to the
Option.

                  10. COMPLIANCE WITH LAW. Notwithstanding any of the provisions
hereof, the Optionee hereby agrees that the Optionee will not exercise the
Option, and that the Company will not be obligated to issue or transfer any
shares of Common Stock to the Optionee hereunder, if the exercise hereof or the
issuance or transfer of such Common Stock shall constitute a violation by the
Optionee or the Company of any provisions of any law or regulation of any
governmental authority. Any determination in this regard by the Compensation
Committee or, in the absence of a Compensation Committee, by the Board of
Directors shall be final, binding and conclusive. The Company shall in no event
be obliged to register any securities pursuant to the Securities Act of 1933, as
amended, or to take any other affirmative action in order to cause the exercise
of the Option or the issuance or transfer of Common Stock pursuant thereto to
comply with any law or regulation of any governmental authority.

                  11. NOTICE. Every notice or other communication relating to
this Agreement shall be in writing and shall be mailed to or delivered to the
party for whom it is intended at such address as may from time to time be
designated in a notice mailed or delivered to the other party as herein
provided; provided that, unless and until some other address be so designated,
all notices or communications by the Optionee to the Company shall be mailed or
delivered to the Company at its executive offices, and all notices or
communications by the Company to the Optionee may be given to the Optionee
personally or may be mailed to the Optionee at the address shown below the
Optionee's signature to this Agreement.

                  12. ENTIRE  AGREEMENT.  This  Agreement  sets forth the
complete  understanding  of the Company and the Optionee with respect to the
subject  matter hereof and  supersedes  all prior  understandings,whether oral
or written.

                  13. GOVERNING  LAW.  This  Agreement  shall be governed by and
construed in  accordance with the laws of the State of Nevada (without giving
effect to principles of conflicts of law).

<PAGE>

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

                                                 EUPA INTERNATIONAL CORPORATION

                                                 By:  /S/  CHENG-CHI CHANG
                                                 ------------------------------
                                                 Name:
                                                 Title:

                                                 TSANN PAO CO.

                                                 By:  /S/  [ILLEGIBLE]
                                                 ------------------------------
                                                 Name:
                                                 Title:
                                                 Address:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00038-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00038-of-00352.parquet"}]]