Document:

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                                                                   Exhibit 10.11

                               SERIES A PREFERRED

                            STOCK PURCHASE AGREEMENT

                                   DATED AS OF

                                  JUNE 8, 1999

                                      AMONG

                                 i-RECALL, INC.

                                       AND

                         THE INVESTORS IDENTIFIED HEREIN
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                                 i-RECALL, INC.
                         37 West 28th Street, 12th Floor
                            New York, New York 10001

                                                             As of June 8, 1999

To each of the parties listed
on Schedule I hereto

                                 i-Recall, Inc.
             Series A Convertible Preferred Stock Purchase Agreement

Dear Ladies and Gentlemen:

                  The undersigned, i-RECALL, INC., a Delaware corporation (the
"Corporation") presently intends to issue shares of convertible preferred stock
$.01 par value, of the Corporation (the "Series A Preferred Stock") to each of
the parties identified on Schedule 1 hereto (each an "Investor" and,
collectively, the "Investors"), and hereby agrees with the Investors as
follows:

SECTION 1. FILING OF CERTIFICATE OF DESIGNATION; ISSUANCE AND SALE OF SERIES A
PREFERRED STOCK; CLOSING.

         1.1 FILING OF CERTIFICATE OF DESIGNATION. Immediately prior to the
execution and delivery of this Agreement, the Corporation is filing with the
Secretary of State of the State of Delaware a Certificate of Designation,
Preference and Rights of the Series A Preferred Stock, substantially in the form
of Exhibit B attached hereto (the "Certificate of Designation").

         1.2 ISSUANCE AND SALE OF SERIES A PREFERRED STOCK. Simultaneously with
the execution and delivery of this Agreement, the Corporation is selling to each
Investor, and each such Investor is purchasing from the Corporation, upon the
terms and subject to the conditions hereinafter set forth, that number of shares
of Series A Preferred Stock, of the Corporation (collectively, the "Initial
Shares") set forth opposite such Investor's name on Schedule I hereto
(representing an aggregate of 8,246 shares of Series A Preferred Stock being
issued and sold to and purchased by all Investors hereunder at the Closing (as
hereinafter defined)) for a cash purchase
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price of $16.67 per share of Series A Preferred Stock (representing an aggregate
purchase price of $137,460.82 (the "Aggregate Purchase Price") for all of the
shares of Series A Preferred Stock being issued and sold to and purchased by the
Investors at the Closing).

         1.3 INITIAL CLOSING. The closing (the "Closing") of the sale and
purchase of the Initial Shares is taking place at the offices of Orrick,
Herrington & Sutcliffe LLP, 666 Fifth Avenue, New York, New York 10103,
simultaneously with the execution and delivery of this Agreement (the "Closing
Date"). At the Closing, the Corporation is issuing and delivering to each
Investor a certificate representing the Initial Shares being purchased by such
Investor hereunder, registered in the name of such Investor, against delivery to
such Investor of a certified check payable to the Corporation, or a wire
transfer of immediately available funds to an account designated by the
Corporation, in an amount equal to the full amount of the purchase price for
such Initial Shares being purchased by such Investor hereunder at the Closing.

         1.4      ADDITIONAL CLOSINGS.

                  (a) Subject to paragraph (b) below, the Corporation shall sell
additional shares for cash of Series A Preferred Stock (the "Additional Shares")
pursuant to the terms and conditions set forth herein to the Investors at two
closings hereunder after the Closing (each of said closings being sometimes
hereinafter referred to as an "Additional Closing") which shall take place at
the office of OHS at the address set forth in Section 1.2 on June 1 and July 1,
respectively, each said date being sometimes hereinafter referred to as an
"Additional Closing Date").

                  (b) The Investors agree to purchase that number of Additional
Shares set forth opposite such Investor's name on Schedule I hereto
(representing an aggregate number of 4,122 Additional Shares being issued and
sold to and purchased by all Investors hereunder at each Additional Closing) for
an aggregate purchase price of $68,713.74 on each Additional Closing Date if the
Corporation attains the following milestones with respect to each Additional
Closing Date:

                           (i) On or before June 15, the Corporation shall
deliver a software control that allows a user to display and edit digital ink
downloaded from the CrossPad.

                           (ii) On or before July 15, the Corporation shall
deliver an application built using the control mentioned above that allows a
user to access particular moments in a media recording.

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                  (c) Upon the satisfaction of each milestone, the respective
Additional Closing shall occur, and the Corporation shall (i) issue to each
Investor a certificate representing the number of Additional Shares being
purchased by such Investor at such Additional Closing, registered in the name of
such Investor and (ii) deliver to such Investor an officer's certificate
certifying that, except as disclosed in the certificate the representations and
warranties of the Corporation are true and correct in all material respects as
of such Additional Closing Date (as the same may be updated on such Additional
Closing Date) against delivery to such Investor of a certified check payable to
the Corporation, or a wire transfer of immediately avail able funds to an
account designated by the Corporation, in an amount equal to the full amount of
the purchase price for such Additional Shares being purchased by such Investor
at such Additional Closing.

SECTION 2. REPRESENTATIONS AND WARRANTIES OF THE CORPORATION. The Corporation
hereby represents and warrants to the Investors as follows:

         2.1 ORGANIZATION. The Corporation is a corporation duly organized,
validly existing and in good standing under the laws of the State of New York.
The Corporation has all requisite corporate power and authority to own and
operate its properties. The Corporation has duly qualified and is in good
standing in all jurisdictions in which the failure to be so qualified would
have a material adverse effect on the business of the Corporation. The
Corporation has no subsidiaries. The Corporation has delivered to the Purchaser
complete and correct copies of its Certificate of Incorporation and By-Laws in
effect as of the date hereof.

         2.2 CAPITALIZATION. (a) The authorized capital stock of the Corporation
immediately prior to the Closing consisted of (i) 4,000,000 shares of common
stock, $0.1 par value, (the "Common Stock") of which 100,000 shares were
outstanding and (ii) 1,000,000 shares of Preferred Stock, $.01 par value, of
which there were no shares outstanding. Immediately prior to the date hereof,
there were no (i) outstanding warrants, options, agreements or other securities
pursuant to which the Corporation is or may become obligated to issue or sell
any shares of capital stock or other securities of the Corporation, or (ii)
preemptive or similar rights to purchase or otherwise acquire shares of capital
stock of the Corporation pursuant to any provision of law, the Certificate of
Incorporation or By-laws of the Corporation or any agreement to which the
Corporation is party. As of the date hereof, no third party has the right to
anti-dilution protection from the Corporation (other than in connection with
stock splits, stock dividends, stock combinations, recapitalizations and like
occurrences). The names of the record holders of shares of Common Stock of the
Corporation and the number of issued and outstanding shares of Common

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Stock of the Corporation held by each of them are set forth on Schedule 2.2. The
delivery of the certificates to the Investor representing Initial Shares and/or
Additional Shares pursuant to Sections 1.3 and 1.4(c) will result in the
Investor's immediate acquisition of record ownership of the Initial Shares and
Additional Shares purchased by such Investor hereunder, free and clear of all
liens, charges or other encumbrances of any nature created by the Corporation,
other than restrictions imposed under the Securities Act of 1933, as amended
(the "Securities Act"), any applicable state securities or "blue-sky" laws or
under the Co-Sale Agreement (as hereinafter defined).

                  (b) The Company has reserved, and at all times from and after
the date hereof will keep reserved, free from preemptive rights, out of its
authorized but unissued shares of Common Stock, solely for the purpose of
effecting the conversion into shares of Common Stock of all shares of Series A
Preferred Stock, sufficient shares of Common Stock to provide for the full
conversion into shares of Common Stock of all shares of Series A Preferred
Stock.

         2.3 AUTHORIZATION. The execution, delivery and performance by the
Corporation of this Agreement and the Co-Sale Agreement dated the date hereof
(the "Co-Sale Agreement") among the Corporation and the Investors in the form
attached hereto as Exhibit C have been duly authorized by all requisite
corporate action on the part of the Corporation, and this Agreement has been
duly executed and delivered by the Corporation and constitutes the valid and
binding obligation of the Corporation, enforceable in accordance with its terms,
except (i) as limited by (A) applicable bankruptcy, insolvency, reorganization,
moratorium, fraudulent conveyance or similar laws relating to or affecting the
rights and remedies of creditors and debtors and (B) equitable principles
generally, regardless of whether such principles are considered in a proceeding
at equity or at law. The execution, delivery and performance of this Agreement
and the Co-Sale Agreement and compliance with the provisions hereof by the
Corporation will not (a) violate in any material respect any law or statute or
order, judgment or decree of any court, administrative agency or other
governmental body applicable to the Corporation or its properties or assets, (b)
conflict in any material respect with or result in any material breach of any of
the terms or provisions or constitute (with due notice or lapse of time, or
both) a default under the Certificate of Incorporation or By-laws of the
Corporation or any note, indenture, mortgage, lease agreement or other material
agreement, contract or instrument to which the Corporation is a party or by
which it or any of its properties or assets may be bound or affected or (c)
result in the creation or imposition of any lien, charge, restriction, claim or
encumbrance of any nature whatsoever upon any of the Corporation's properties or
assets.

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         2.4 CONSENTS. Subject to the truth and accuracy of the representations
and warranties of the Investors contained in Section 3 hereof, no authorization,
consent, approval or other order of, or declaration to or filing with, any
governmental agency or body or other person or entity is required for the valid
authorization, execution, delivery and performance by the Corporation of this
Agreement or the offer, sale or issuance of the Series A Preferred Stock or the
consummation of the transactions contemplated hereby or, if so required, the
same have been or will be obtained or made.

         2.5 AUTHORIZATION OF SERIES A PREFERRED STOCK. The issuance, sale and
delivery of the Series A Preferred Stock, have been duly authorized by all
requisite corporate action of the Corporation, and when issued, sold and
delivered in accordance with the terms of this Agreement and the Certificate of
Designation, the Series A Preferred Stock will be validly issued and
outstanding, fully paid and nonassessable and will not be subject to preemptive
or other similar rights of the stockholders of the Corporation or others, except
as set forth in this Agreement or in the Co-Sale Agreement, and will be free and
clear of all liens, charges, restrictions, claims and encumbrances imposed by
the Corporation.

         2.6 AGREEMENTS. Each written agreement, lease, contract or commitment
("contract") to which the Corporation is a party or by which the Corporation or
its properties or assets are bound or affected involving an aggregate
consideration in excess of $5,000 is listed on Schedule 2.6 hereto (copies of
which have been delivered to counsel for the Investor). The Corporation is not
in default in any material respect under any such contract. The Corporation has
not received any written notice of cancellation or termination in connection
therewith and each such contract is a valid and binding obligation of the
Corporation and in full force and effect. No consent (except for any consent(s)
which have been or will be obtained by the Closing) of the other party or
parties thereto is required to be obtained by the Corporation to consummate the
transactions contemplated hereby.

         2.7 LITIGATION. There are no actions, suits, proceedings, or
investigations pending nor, to the knowledge of the Corporation, threatened
against the Corporation by or before any court or governmental agency which, if
adversely determined, would have an effect on the Corporation.

         2.8 COMPLIANCE WITH LAWS; GOVERNMENTAL AUTHORIZATIONS. The Corporation
is in compliance with all laws, statutes or decrees that, if violated, would
have a material adverse effect on the Company.

         2.9 PATENTS TRADEMARKS AND COPYRIGHTS, ETC. The Corporation

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believes it possesses adequate licenses or other rights to use all patents,
trademarks, service marks, trade names, copyrights, manufacturing processes,
formulae, trade secrets, customer lists and know-how (collectively,
"Intellectual Property") necessary to the conduct of its business as presently
conducted or can acquire the same on commercially reasonable terms. No claim is
pending and the Corporation has not received written notice from any third party
to the effect that the operations of the Corporation infringe upon or conflict
with the asserted rights of any person under any Intellectual Property. The
Corporation has not received any written notice or claim alleging that such
trade name, trademark, copyright, patent or other right infringes upon any trade
name, trademark, copyright, patent or other right of any third party. The
Corporation has no knowledge of any infringement by any third party upon any
such trade name, trademark, copyright, patent or other right of the Corporation,
and the Corporation has not taken or omitted to take any action which would have
the effect of waiving any of its rights with respect thereto. Each of Anselm
Spoerri, Nathaniel Polish and Daniel Magill have executed an Employee
Non-Disclosure, Non-Competition and Assignment of Inventions Agreement with the
Corporation, a form of which is attached hereto as EXHIBIT D.

         2.10 TAXES. The Corporation has filed all tax returns when due, if any,
and paid all taxes shown thereon to be due, if any, that are required to have
been filed on or before the Closing with appropriate Federal, state, county and
local governmental agencies or instrumentalities, including any and all payroll
taxes, except where the failure to do so would not have a material adverse
effect upon the business of the Corporation taken as a whole. The Corporation
has not been advised in writing (a) that any of its returns, Federal, state or
other, have been or are being audited as of the date hereof, or (b) of any
deficiency in assessment or proposed adjustment to its Federal, state or other
taxes.

         2.11 TITLE TO ASSETS. All assets (if any) owned by the Corporation are
owned outright free and clear of mortgages, pledges, security interests, liens,
charges and other encumbrances, except (a) for liens for current taxes not yet
due and (c) minor imperfections of title, if any, not material in amount and not
materially detracting from the value or impairing the use of the property
subject thereto or impairing the operations or proposed operations of the
Corporation.

         2.12 REAL PROPERTY. The Corporation does not own any real property. The
Corporation presently subleases space from Daedalus Technology Group, Inc.
located at 37 West 28th Street, 12th Floor, New York, New York 10001 pursuant to
an oral agreement for $200.00 per month.

         2.13 LABOR CONTRACTS; EMPLOYMENT CONTRACTS, ETC. The Corporation is

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in compliance in all material respects with all applicable laws respecting
employment and employment practices, terms and conditions of employment and
wages and hours and has not been notified by any governmental entity or
instrumentality of, charged with, or found to be engaged in, any unfair labor
practice.

         2.14 BENEFIT PLANS. The Corporation does not have, none of the
Corporation's employees are covered by, and the Corporation has no obligations
with respect to, any bonus, deferred compensation, pension, profit-sharing,
retirement, insurance, stock purchase, stock option, or other fringe benefit
plan, arrangement or practice, or any other employee benefit plan (as defined in
section 3(3) of the Employee Retire ment Income Security Act of 1974, as amended
("ERISA"), whether formal or informal (collectively, "Plans").

         2.15 MILLENNIUM COMPLIANCE. To the knowledge of the Corporation, all
software systems, machinery, equipment and other technology (collectively,
"Technology") owned by the Corporation is Millennium Compliant. "Millennium
Compliant" means as to the Technology that it correctly performs all
date-related operations (i) without human intervention, other than original data
entry of any date, (ii) without regard to whether any date involved in the
operation occurs in the 20th or 21st Century and (iii) without regard to the
system date at the time the calculation is performed.

         2.16 NO UNDISCLOSED LIABILITIES. As of the date hereof, to the
knowledge of the Corporation, except as disclosed on Schedule 2.16 hereto, the
Corporation does not have any material indebtedness or liabilities, fixed or
contingent, liquidated or unliquidated, secured or unsecured, accrued or
absolute, including, without limitation, liabilities on account of taxes, other
governmental charges or lawsuits brought, that would be required by generally
accepted accounting principles to be set forth on a balance sheet of the
Corporation as at such date in order for such balance sheet to fairly present
the financial condition of the Corporation as at such date.

         2.17 DISCLOSURE. Neither this Agreement nor any Schedule hereto
contains or will contain any untrue statement of a material fact or omits or
will omit to state a material fact necessary to make the statements contained
herein or therein not misleading.

         2.18 USE OF PROCEEDS. The Corporation intends to utilize the net
proceeds from the sale of the Series A Preferred Stock for working capital,
operating and general corporate purposes and payment of professional expenses
(including legal and accounting fees and expenses).

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         2.19 BROKERS AND FINDERS. No person or entity acting on behalf or under
the authority of the Corporation is or will be entitled to any broker's,
finder's, or similar fee or commission in connection with the transactions
contemplated by this Agreement.

SECTION 3. REPRESENTATIONS AND WARRANTIES OF THE INVESTORS. Each Investor, as to
itself, himself or herself, as the case may be, represents and warrants to the
Corporation as follows:

         3.1 AUTHORITY. Such Investor has full power and authority to execute,
deliver and perform this Agreement and the Co-Sale Agreement and to consummate
the transactions contemplated hereby and thereby; and this Agreement and the Co-
Sale Agreement constitute the valid and binding obligations of such Investor,
enforceable in accordance with their respective terms, except as limited by (A)
applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent
conveyance or similar laws relating to or affecting the rights and remedies of
creditors and debtors and (B) equitable principles generally, regardless of
whether such principles are considered in a proceeding at equity or at law.

         3.2 ACCREDITED INVESTOR. If such Investor has checked the box located
on the signature page hereto, such Investor is an "accredited investor" (as such
term is defined in Rule 501 of Regulation D promulgated under the Securities Act
of 1933, as amended (the "Securities Act")).

         3.3 INVESTOR INTENT. Such Investor is acquiring the Series A Preferred
for his, her or its own account, for investment and not with a view to, or for
resale in connection with, any distribution thereof, nor with any present
intention of distributing or reselling the same or any part thereof in any
transactions that would be in violation of the Securities Act of or any state
securities or "blue-sky" laws.

         3.4 RESTRICTED SECURITIES. Such Investor understands (i) that the
Series A Preferred Stock being acquired by him, her or it hereunder and any
shares of Common Stock issuable upon conversion of the Series A Preferred
Stock, will not be registered under the Securities Act or any state securities
or "blue-sky" laws by reason of their issuance in a transaction exempt from the
registration requirements of the Securities Act or any state securities or
"blue-sky" laws, (ii) that the Series A Preferred Stock and any shares of Common
Stock issuable upon conversion thereof must be held indefinitely unless a
subsequent disposition thereof is registered under the Securities Act or any
state securities or "blue-sky" laws or is exempt from such registration, (iii)
that the Corporation is under no obligation to so register any shares of Series
A Preferred Stock and any shares of Common Stock issuable upon

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conversion thereof and (iv) that the certificate(s) evidencing the shares of the
Series A Preferred Stock and any shares of Common Stock issuable upon conversion
thereof will be imprinted with a legend that prohibits the transfer
substantially as set forth in Section 4.2(b) hereof unless they are registered
or such registration is not required.

         3.5 RULE 144. Such Investor understands that the exemption from
registration afforded by Rule 144 (the provisions of which are known to such
person) promulgated under the Securities Act ("Rule 144") depends on the
satisfaction of various conditions and that, if applicable, Rule 144 may only
afford the basis for sales under certain circumstances only in limited amounts.

         3.6 ACCESS TO INFORMATION; EXPERIENCE. Such Investor has been furnished
with or has had access during the course of this transaction and prior to the
sale of the Series A Preferred Stock to all information necessary to enable such
Investor to evaluate the merits and risks of a prospective investment in the
Corporation and such Investor has had an opportunity to discuss with
representatives of the Corporation the business and financial affairs of the
Corporation and the terms and conditions of the offering and to obtain such
additional information, to the extent that the Corporation possesses such
information or could acquire it without unreasonable effort or expense,
necessary to verify the accuracy of the information to which such Investor has
had access and all questions raised by such Investor have been answered to the
full satisfaction of such Investor. Such Investor has conducted his own
investigation and analysis of the business and his investment in the Series A
Preferred Stock and is not relying on the Corporation's business plan or
executive summary (if any) or any other written material or any information or
opinions that may be contained therein in making its or his decision to purchase
the Series A Preferred Stock. Such Investor has substantial experience in
evaluating and investing in private placement transactions of securities in
companies similar to the Corporation so that it or he is capable of evaluating
the merits and the risks of its investment in the Corporation and has the
capacity to protect its or his own interests in making his investment in the
Corporation. Such Investor can afford to suffer a complete loss of its or his
investment in the Series A Preferred Stock.

         3.7 NO PUBLIC MARKET. Such Investor understands that no public market
now exists for the Series A Preferred Stock or any shares of Common Stock
issuable on conversion thereof, that it is unlikely that a public market will
ever exist therefor, and that even if a public market exists at the time such
Investor wishes to sell the Series A Preferred Stock or any shares of Common
Stock issuable on conversion thereof, the Corporation may not be satisfying the
current public information requirements of Rule 144, and that, in such event,
such Investor would be precluded

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from selling the securities under Rule 144 even if the applicable minimum
holding period provided thereunder had been satisfied.

         3.8 SPECULATIVE INVESTMENT. Such Investor understands that the
Corporation has a limited financial and operating history, that the shares of
Series A Preferred Stock being purchased by him, her or it are a speculative
investment which involve a high degree of financial risk, and that there is no
assurance of any eco nomic, income or tax benefit from such investment.

         3.9 REVIEW OF AGREEMENT. Such Investor has carefully read and re viewed
this Agreement and, to the extent he, she or it believed necessary, such
Investor has discussed with his legal, accounting and other professional
advisors the representations, warranties and agreements which such Investor is
making herein and the terms and conditions of the investment contemplated
hereby.

SECTION 4.        AFFIRMATIVE COVENANTS.

         4.1 CONFIDENTIALITY. Each Investor hereby agrees to and shall keep
strictly confidential and will not disclose or divulge any confidential,
proprietary or secret information which such Investor may obtain from the
Corporation, including, by way of example and not in limitation thereof,
financial statements, reports and other materials submitted by the Corporation
as required hereunder, unless required to be disclosed by law or pursuant to any
judgment, order, subpoena or decree of any court having competent jurisdiction,
or unless such information is or becomes publicly known (other than as a result
of this Section 4.1), or unless the Corporation gives its written consent to
such Investor's release of such information, except that no such written consent
shall be required (and such Investor shall be free to release such information)
if such information is to be provided to such Investor's lawyer or accountant
who are instructed to comply with this provision. Each Investor shall be
responsible for making sure its lawyer and accountant comply.

         4.2      LETTER AGREEMENTS.

                  (a) Currently herewith, the Corporation, Robin Neustein and
Jacob Goldfield (the "GS Investors") are entering into a letter agreement
governing the non-disclosure of the identities of the GS Investors in any public
announcement and/or press release of the transaction contemplated hereby.

                  (b) Currently herewith, the Corporation and Screaming
Media.Net, Inc. are entering into a letter agreement governing, among other
things, the public announcement and/or press release of the transaction
contemplated hereby.

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         4.3 FINANCIAL INFORMATION. Until the consummation of the initial public
offering of Common Stock of the Corporation registered under the Securities Act
(the "IPO"), the Corporation shall provide each Investor with the following:

             (a) QUARTERLY REPORTS. As soon as available, but not later than 30
days after the end of each quarterly accounting period commencing with the
quarterly period ending on June 30, 1999, an unaudited balance sheet and income
statement of the Corporation,

             (b) ANNUAL REPORTS. As soon as available, but not later than 90
days after the end of each fiscal year of the Corporation, unaudited financial
statements of the Corporation, which shall include a balance sheet as at the
last day thereof and an income statement for the year then ended.

         4.4 TRANSFER OF SECURITIES.

             (a) RESTRICTIONS ON TRANSFER. Each Investor acknowledges that the
Series A Preferred Stock and the shares of Common Stock issuable upon conversion
thereof purchased hereunder have not been registered under the Securities
Act, that such shares are being or will be issued pursuant to an exemption from
registration under the Securities Act and that such shares constitute
"restricted securities" under Rule 144. Accordingly, the Series A Preferred
Stock and the shares of Common Stock issuable upon conversion thereof held by
such Investor shall not be sold, transferred, assigned, pledged, encumbered or
otherwise disposed of (each, a "Transfer") except upon the conditions specified
in this Section 4.4 or Section 4.6 (which provides for certain additional
restrictions on transfer), which conditions are intended to ensure compliance
with the provisions of the Securities Act and this Agreement.

             (b) RESTRICTIVE LEGEND. Each certificate for Series A Preferred
Stock and all shares of Common Stock issuable upon conversion thereof held by
each Investor and each certificate for any such securities issued to subsequent
transferees of any such certificate shall (unless otherwise permitted by the
provisions of Sections 4.4(c) and 4.4(d)) be stamped or otherwise imprinted with
a legend in substantially the following form:

         "THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE BEEN
         ACQUIRED FOR INVESTMENT AND HAVE NOT BEEN REGISTERED UNDER
         THE SECURITIES ACT OF 1933, AS AMENDED OR ANY APPLICABLE
         STATE

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         SECURITIES OR "BLUE-SKY" LAWS. THESE SECURITIES MAY NOT BE
         SOLD OR TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN
         EXEMPTION THERE FROM UNDER SAID ACT OR LAWS. ADDITIONALLY,
         THE TRANSFER OF THESE SECURITIES IS SUBJECT TO THE CONDITIONS
         SPECIFIED IN SECTIONS 4.4 AND 4.6 OF THE STOCK PURCHASE
         AGREEMENT DATED AS OF JUNE ___, 1999, AMONG I-RECALL, INC.
         AND THE INVESTORS IDENTIFIED THEREIN, AND NO TRANSFER OF
         THESE SECURITIES SHALL BE VALID OR EFFECTIVE UNTIL SUCH
         CONDITIONS HAVE BEEN FULFILLED. UPON THE FULFILLMENT OF ALL
         APPLICABLE CONDITIONS, I-RECALL, INC. HAS AGREED TO DELIVER
         TO THE HOLDER HEREOF A NEW CERTIFICATE, NOT BEARING THIS
         LEGEND, FOR THE SECURITIES REPRESENTED HEREBY REGISTERED IN
         THE NAME OF THE HOLDER HEREOF."

             (c) NOTICE OF TRANSFER. Each Investor agrees, prior to any Transfer
of Series A Preferred Stock or shares of Common Stock issued upon conversion
thereof to give written notice to the Corporation of such Transfer and to comply
in all other respects with the provisions of this Section 4.4. Each such notice
shall describe the manner and circumstances of the proposed Transfer and shall
be accompanied by the written opinion, addressed to the Corporation, of counsel
for the holder of such shares, stating that in the opinion of such counsel
(which opinion and counsel shall be reasonably satisfactory to the Corporation),
such proposed Transfer does not involve any transaction requiring registration
or qualification of such shares under the Securities Act or the securities blue
sky laws of any relevant state of the United States. Each such Investor shall
thereupon be entitled to Transfer such shares in accordance with the terms of
the notice delivered by it to the Corporation. Each certificate or other
instrument evidencing the securities issued upon the Transfer of any such shares
(and each certificate or other instrument evidencing any untransferred balance
of such shares) shall bear the legend set forth in Section 4.4(b) unless (a) in
such opinion of counsel registration of any future Transfer is not required by
the applicable provisions of the Securities Act and applicable state securities
laws or (b) the Corporation shall have waived the requirement of such legends.
No Investor shall Transfer any shares of Series A Preferred Stock, or shares of
Common Stock issuable on conversion thereof until such opinion of counsel has
been given (unless waived by the Corporation or unless such opinion is not
required in accordance with the provisions of this Section 4.4).

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             (d) REMOVAL OF LEGENDS, ETC. Notwithstanding the foregoing
provisions of this Section 4.2, the restrictions imposed by this Section 4.4
upon the transferability of any shares of the capital stock of the Corporation
held by an Investor shall cease and terminate when (a) any such shares are sold
or otherwise disposed of pursuant to an effective registration statement under
the Securities Act or as otherwise contemplated by Section 4.4(c) and, pursuant
to Section 4.4(c), the securities so transferred are not required to bear the
legend set forth in Section 4.4(b) the holder of such shares has received an
opinion of counsel stating that such holder has met the requirements for
Transfer of such shares pursuant to subparagraph (k) of Rule 144. Whenever the
restrictions imposed by this Section 4.4 shall terminate, as herein provided,
each Investor holding shares as to which such restrictions have terminated shall
be entitled to receive from the Corporation, without expense, a new certificate
not bearing the restrictive legend set forth in Section 4.4(b) and not
containing any other reference to the restrictions imposed by this Section 4.4.

         4.5 INDEMNIFICATION. Each Investor acknowledges that he, she or it
understands the meaning and legal consequences of the representations,
warranties and acknowledgments he, she or it has made in Section 3 and elsewhere
in this Agreement and he, she or it understands that the Corporation is relying
upon the truth and accuracy thereof. Accordingly, each Investor hereby agrees to
indemnify and hold harmless the Corporation, its officers, agents and
representatives, from and against any and all loss, damage or liability due to
or arising out of a breach of any representation or warranty of any Investor
contained in this Agreement. The Corporation hereby agrees to indemnify and hold
harmless each Investor, its officers, agents and representatives, from and
against any and all loss, damage or liability due to or arising out of a breach
of any representation or warranty of the Corporation contained in this
Agreement.

         4.6 RIGHT OF FIRST REFUSAL. Until the consummation of the IPO, no
Investor shall sell or in any other way directly or indirectly transfer, assign,
pledge, distribute, bequeath, devise, encumber or otherwise dispose of, either
voluntarily or involuntarily, with or without consideration (each, a "Sale") any
of the shares of Series A Preferred Stock or shares of Common Stock issued on
conversion thereof (the "Investor Shares") except in accordance with the
following procedures:

             (a) In the event that such Investor (such Investor being referred
to in this Section 4.6 as a "Selling Stockholder") receives a bona fide written
offer from a third party (the "Prospective Purchaser") to purchase all or any
portion of the Investor Shares owned by the Selling Stockholder, the Selling
Stockholder shall deliver to the Corporation a written notice (the "Offer
Notice"), which shall be

                                       14
<PAGE>   15
irrevocable, subject to Section 4.6(b), for a period of 30 days after delivery
thereof (the "Offer Period"), offering (the "Offer") all of the Investor Shares
proposed to be Sold by the Selling Stockholder to the Prospective Purchaser at
the purchase price and on the terms of the proposed Sale to the Prospective
Purchaser (such Offer Notice to include the foregoing information and all other
relevant terms of the proposed Sale, including the identification of the
Prospective Purchaser). The Corporation, and/or its assignee(s), shall have the
right and option, for a period of 30 days after delivery of the Offer Notice, to
accept all or any part of the Investor Shares so offered at the purchase price
and on terms comparable to those stated in the Offer Notice. Such acceptance
shall be made by delivering a written notice to the Selling Stockholder within
said 30-day period.

             (b) Anything contained herein to the contrary notwithstanding, the
Selling Stockholder may withdraw from the proposed Sale to a Prospective
Purchaser and, accordingly, may rescind the Offer by delivering written notice
of such withdrawal to the Corporation and/or its assignee(s) within the Offer
Period, subject to the reinstatement of the provisions of this Section 4.4 in
the event an Investor subsequently intends to sell the Investor Shares.

             (c) Sales of Investor Shares under the terms of Section 4.6(a)
shall be made at the offices of the Corporation on a mutually satisfactory
business day within 30 days after the expiration of the Offer Period. Delivery
of certificates or other instruments evidencing such Investor Shares duly
endorsed for transfer shall be made to the Corporation on such date against
payment of the purchase price therefor.

             (d) If an effective acceptance shall not be received pursuant to
Section 4.6(a) with respect to all Investor Shares offered for Sale pursuant to
the Offer Notice, then at any time within 30 days after the expiration of the
Offer Period the Selling Stockholder may Sell all or any part of the remaining
Investor Shares that were not accepted for purchase by the Corporation and/or
its assignees as aforesaid to the Prospective Purchaser at a purchase price no
less than that, and on the terms no more favorable to the Prospective Purchaser
than those, stated in the Offer Notice; provided, however, that the Selling
Stockholder may not, under any circumstances, Sell any Investor Shares to the
Prospective Purchaser if the Board of Directors determines in good faith, within
the Offer Period, that the Prospective Purchaser is a competitor of the
Corporation. In the event that the Investor Shares are not Sold by the Selling
Stockholder to the Prospective Purchaser during such 45-day period, the right of
the Selling Stockholder to Sell such remaining Investor Shares to the
Prospective Purchaser shall expire and the obligations of this Section 4.6 shall
be reinstated. "Affiliate" shall mean any (a) corporation or other entity in
which the subject person owns, directly or indirectly, more than 50% of the
capital stock or

                                       15
<PAGE>   16
other equity interests the holders of which are generally entitled to vote for
the election of the board of directors or other governing body of such
corporation or other entity and (b) any other person that directly or
indirectly, through one or more intermediaries, controls, is controlled by or is
under common control with, the subject person.

             (e) Anything contained herein to the contrary notwithstanding, any
purchaser of Investor Shares pursuant to this Section 4.6 who is not an Investor
shall agree in writing in advance with the parties hereto to be bound by and
comply with all applicable provisions of this Agreement and shall be deemed to
be an Investor for all purposes of this Agreement.

             (f) The provisions of this Section 4.6 shall not apply to the
transfer of Investor Shares by an Investor to the spouse or lineal descendants
of such Investor or an Affiliate thereof or any trust for the benefit of such
persons, provided such transferee has agreed in writing in advance to be bound
by and comply with all provisions of this Agreement to the same extent as the
transferring Investor.

             (g) The provisions of this Section 4.7 shall not be applicable to
and shall terminate upon consummation of the IPO.

         4.7 PREEMPTIVE RIGHTS.

             (a) In the event that the Corporation shall propose to issue or
sell any shares of capital stock of the Corporation in connection with an equity
financing of the Corporation for cash consideration (a "Sale Event"), the
Corporation shall at any time during the period commencing 20 days prior to the
consummation of the transactions constituting a Sale Event and ending on the
20th day thereafter offer to sell (the "Offer") to each Investor who then owns
shares of Series A Preferred Stock or Common Stock issued upon conversion
thereof a percentage of the Offered Securities (as hereinafter defined) equal to
its Pro Rata Amount (as hereinafter defined) immediately prior to such Sale
Event, at the same price and on the same terms as shall be applicable to the
Sale-Event, which Offer by its terms shall remain open and irrevocable for a
period of 10 days from the date it is delivered by the Corporation to each such
Investor.

             (b) Notice of the intention of any Investor to accept, in whole or
in part, an Offer shall be evidenced by a writing signed by such Investor (the
"Notice of Acceptance") and delivered to the Corporation within the foregoing
10-day period, setting forth such portion of its Proportionate Percentage of the
Offered Securities as such Investor elects to purchase (the "Accepted
Securities").

                                       16
<PAGE>   17
             (c) If the Sale Event does not occur for any reason, the right of
each Investor pursuant to this Section 4.5 shall terminate. If the Sale Event
does occur, the closing of the purchase of any Accepted Securities shall take
place within 15 days following the delivery of the Notice of Acceptance with
respect thereto at such time as the parties to such purchase shall mutually
agree upon. Such purchase is subject in all respects to the preparation,
execution and delivery of a purchase agreement relating to the Accepted
Securities, satisfactory in form and substance to the parties to such purchase.

             (d) The rights of the Investors under this Section 4.5 shall not
apply to the following securities:

                 (i) Common Stock issued to officers, employees or directors of,
or consultants to, the Corporation, pursuant to any agreement, plan or
arrangement approved by the Board of Directors, or options to purchase or rights
to subscribe for such Common Stock, or securities by their terms convertible
into or exchangeable for such Common Stock, or options to purchase or rights to
subscribe for such convertible or exchangeable securities, in each case as
approved by the Board of Directors of the Corporation;

                 (ii) securities issued pursuant to commercial transactions
approved by the Board of Directors including but not limited to, equipment
leases or bank lines of credit; provided, that the specific issuance is approved
by the Board of Directors of the Corporation;

                 (iii) securities issued to parties entering into "corporate
partnering", "strategic investment" or other similar types of transactions or
relation ships with the Corporation, provided, that the specific issuance is
approved by the Board of Directors of the Corporation;

                 (iv) shares of Common Stock issued upon conversion of Series A
Preferred Stock;

                 (v) shares of any class of capital stock of the Company issued
on a pro rata basis to all holders of such class as a stock dividend or upon any
stock split, stock combination, recapitalization, spin-off or other subdivision
of shares of capital stock; and

                 (vi) shares of capital stock of the Company issued as
consideration in connection with the acquisition by the Company of all or

                                       17
<PAGE>   18
substantially all assets or all capital stock of any person or entity.

             (e) "Offered Securities" shall mean the number of securities of the
kind issued in a Sale Event required to be issued to all Investors who own any
shares of Series A Preferred Stock to assure that immediately following such
Sale Event and assuming the exercise by all Investors of their right pursuant to
this Section 4.5 to in connection therewith, each Investor owns the same Pro
Rata Amount of all shares of Common Stock issued and outstanding on a fully
diluted basis as it owned immediately prior to such Sale Event.

             (f) "Pro Rata Amount" shall mean for any Investor the fraction, the
numerator of which is the number of shares of Common Stock into which the shares
of Series A Preferred Stock owned by such Investor are then convertible and the
denominator of which is the aggregate number of shares of Common Stock issued
and outstanding on a fully diluted basis, in each case as of the date of
determination. Any determination on a fully diluted basis shall assume
conversion, exercise or exchange in to shares of Common Stock all of the vested
options, warrants, rights or other securities convertible into or exchangeable
for, directly or indirectly, shares of Common Stock.

         4.8 INSURANCE. The Corporation shall obtain insurance for its
properties of a character usually insured by persons engaged in similar
businesses against loss or damage resulting from fire or other risks insured
against by extended coverage and public liability insurance of a kind
customarily insured against by such persons.

SECTION 5.   MISCELLANEOUS.

         5.1 NOTICES. All notices, advices and communications to be given or
otherwise made to any party to this Agreement shall be deemed to be sufficient
if contained in a written instrument delivered in person or by telecopier or
duly sent by first class registered or certified mail, return receipt requested,
postage prepaid, or by overnight courier, addressed to such party at the address
set forth below or at such other address as may hereafter be designated in
writing by the addressee to the addressor listing all parties:

                           (i)      if to the Corporation, to:

                                    i-Recall, Inc.
                                    37 West 28th Street, 12th Floor
                                    New York, New York 10001
                                    Attention:  Anselm Spoerri

                                       18
<PAGE>   19
                                    Telecopier: (212) 684-3875

                           with a copy to:

                                    Orrick, Herrington & Sutcliffe LLP
                                    666 Fifth Avenue
                                    New York, New York 10103
                                    Attention:  Martin H. Levenglick, Esq.
                                    Telecopier:  (212) 506-5151

                           (ii)     if to an Investor, to the address as set
                                    forth on Schedule

I hereto

                           with a copy to:

                                    Carter, Ledyard & Milburn
                                    2 Wall Street
                                    New York, New York 10005
                                    Attention:  Alan J. Bernstein, Esq.
                                    Telecopier:  (212) 732-3232

or to such other address as the party to whom notice is to be given may have
furnished to the other parties hereto in writing in accordance herewith. Any
such notice or communication shall be deemed to have been delivered and received
(i) in the case of personal delivery or delivery by telecopier, on the date of
such delivery, (ii) in the case of nationally-recognized overnight courier, on
the next business day after the date when sent and (iii) in the case of mailing,
on the third business day following that on which the piece of mail containing
such communication is posted. As used in this Section 5, "business day" shall
mean any day other than a day on which banking institutions in the State of New
York are legally closed for business.

         5.2 SUCCESSORS AND ASSIGNS. Except as otherwise expressly provided
herein, this Agreement shall bind and inure to the benefit of the parties hereto
and the respective successors and assigns of the parties hereto; provided,
however, that the rights and obligations of the Investor shall not be assignable
without the prior written consent of the Corporation.

         5.3 SURVIVAL. All representations and warranties of the Corporation
contained in this Agreement shall survive the Closing until the first
anniversary hereof. All representations and warranties of each Investor
contained in this Agreement shall survive indefinitely.

                                       19
<PAGE>   20
         5.4 AMENDMENTS. The terms and provisions of this Agreement may only be
amended with the written consent of the Corporation and the Investors holding
eighty percent (80%), by voting power, of the outstanding shares of Preferred
Stock and any shares of Common Stock issued on conversion thereof then held by
all Investors.

         5.5 ENTIRE AGREEMENT. This Agreement and the other writings referred to
herein or delivered pursuant hereto which form a part hereof contain the entire
agreement among the parties with respect to the subject matter hereof and
supersede all prior and contemporaneous arrangements or understandings with
respect thereto.

         5.6 COUNTERPARTS. This Agreement may be executed in any number of
counterparts, and each such counterpart shall be deemed to be an original
instrument, but all such counterparts together shall constitute but one
agreement.

         5.7 HEADINGS. The headings of the various sections of this Agreement
have been inserted for convenience of reference only and shall not be deemed to
be a part of this Agreement.

         5.8 GOVERNING LAW. THIS AGREEMENT WILL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO ANY
CHOICE OF LAW OR CONFLICTING PROVISION OR RULE (WHETHER OF THE STATE OF NEW
YORK, OR ANY OTHER JURISDICTION) THAT WOULD CAUSE THE LAWS OF ANY JURISDICTION
OTHER THAN THE STATE OF NEW YORK TO BE APPLIED. IN FURTHERANCE OF THE FOREGOING,
THE INTERNAL LAW OF THE STATE OF NEW YORK WILL CONTROL THE INTERPRETATION AND
CONSTRUCTION OF THIS AGREEMENT, EVEN IF UNDER SUCH JURISDICTION'S CHOICE OF LAW
OR CONFLICT OF LAW ANALYSIS, THE SUBSTANTIVE LAW OF SOME OTHER JURISDICTION
WOULD ORDINARILY APPLY. THE ISSUANCE AND DELIVERY OF THE INITIAL SHARES AND
ADDITIONAL SHARES SHALL BE GOVERNED BY THE DELAWARE GENERAL CORPORATION LAW.

         5.9 JURISDICTION AND VENUE. SUBJECT TO THE TERMS OF THIS AGREEMENT,
EACH INVESTOR HEREBY AGREES THAT ANY AND ALL ACTIONS ARISING UNDER OR IN RESPECT
OF THIS AGREEMENT MAY BE LITIGATED IN THE FEDERAL OR STATE COURTS IN NEW YORK.
BY EXECUTING AND DELIVERING OF THIS AGREEMENT, EACH INVESTOR IRREVOCABLY SUBMITS
TO THE PERSONAL JURISDICTION OF SUCH

                                       20
<PAGE>   21
COURTS FOR ITSELF, HIMSELF, OR HERSELF AND IN RESPECT OF ITS, HIS OR HER
PROPERTY WITH RESPECT TO SUCH ACTION. EACH INVESTOR AGREES THAT VENUE WOULD BE
PROPER IN ANY OF SUCH COURTS, AND HEREBY WAIVES ANY OBJECTION THAT ANY SUCH
COURT IS AN IMPROPER OR INCONVENIENT FORUM FOR THE RESOLUTION OF ANY SUCH
ACTION. EACH INVESTOR FURTHER AGREES THAT THE MAILING BY CERTIFIED OR REGISTERED
MAIL, RETURN RECEIPT REQUESTED, OF ANY PROCESS REQUIRED BY ANY SUCH COURT SHALL
CONSTITUTE VALID AND LAWFUL SERVICE OF PROCESS AGAINST THEM, WITHOUT THE
NECESSITY FOR SERVICE BY ANY OTHER MEANS PROVIDED BY STATUTE OR RULE OF COURT.

                                    * * * * *

                                       21
<PAGE>   22
            [COUNTERPART SIGNATURE PAGE TO STOCK PURCHASE AGREEMENT]

         IN WITNESS WHEREOF, the undersigned have caused this Stock Purchase
Agreement to be executed as of the date first written above.

                                            i-RECALL, INC.

                                                 By:
                                                     --------------------------
                                                 Name:  Anselm Spoerri
                                                 Title:  President

                                            INVESTORS:

                                                     [Name of Investor]

                                                 By:
                                                     --------------------------
                                                 Name:
                                                 Title:

                                                 Investor Social Security Number

                                                 Investor Address

                                                 Investor Home Phone

                                                 Investor Office Phone

                                            Please check if correct:

                                       22
<PAGE>   23
                                            [ ] Investor is an "accredited
                                            investor" (as defined under Rule 501
                                            of Regulation D promulgated under
                                            the Securities Act of 1933, as
                                            amended). Please complete Investor
                                            Suitability Questionnaire attached
                                            hereto as Exhibit A.

                                       23
<PAGE>   24
            [COUNTERPART SIGNATURE PAGE TO STOCK PURCHASE AGREEMENT]

         IN WITNESS WHEREOF, the undersigned have caused this Stock Purchase
Agreement to be executed as of the date first written above.

                                            i-RECALL, INC.

                                                 By: /s/ Anselm Spoerri
                                                     --------------------------
                                                 Name:  Anselm Spoerri
                                                 Title: President

                                            INVESTORS:

  Screaming Media.Net, Inc.                      Screaming Media.Net Inc.
                                                 ------------------------------
                                                     [Name of Investor]

                                                 By: /s/ Alan S. Ellman
By:                                                  --------------------------
                                                 Name:  Alan S. Ellman
                                                 Title: President

                                                 Investor Social Security Number

                                                 Investor Address

                                                 Investor Home Phone

                                                 Investor Office Phone

                                            Please check if correct:

                                       24
<PAGE>   25
                                            [ ] Investor is an "accredited
                                            investor" (as defined under Rule 501
                                            of Regulation D promulgated under
                                            the Securities Act of 1933, as
                                            amended). Please complete Investor
                                            Suitability Questionnaire attached
                                            hereto as Exhibit A.

                                       25
<PAGE>   26
                                                                       EXHIBIT A

                                 I-RECALL, INC.
                       INVESTOR SUITABILITY QUESTIONNAIRE

         i-Recall, Inc. (the "Company"), desires to sell to the Purchaser shares
of Series A Preferred Stock, par value $.01 per share (the "Preferred Stock"),
of the Company on the terms and conditions to be set forth in a Stock Purchase
Agreement to be entered into between the Company and you (hereinafter referred
to as the "Purchaser").

         The following is an investor questionnaire to be completed by the
Purchaser to qualify the Purchaser as a suitable investor in the Company under
the Federal and state securities and blue-sky law.

2.       Accredited Investor Certification. The Purchaser represents and
warrants that he comes within one category marked below, and that for any
category marked, he has truthfully set forth, where applicable, the factual
basis or reason the Purchaser comes within that category. ALL INFORMATION IN
RESPONSE TO THIS SECTION WILL BE KEPT STRICTLY CONFIDENTIAL. The undersigned
agrees to furnish any additional information which the Company deems necessary
in order to verify the answers set forth below.

Category A _____           The undersigned is an individual (not a partnership,
                           corporation, etc.) whose individual net worth, or
                           joint net worth with his or her spouse, presently
                           exceeds $1,000,000.

                                    Explanation: In calculating net worth you
                                    may include equity in personal property and
                                    real estate, including your principal
                                    residence, cash, short-term investments,
                                    stock and securities. Equity in personal
                                    property and real estate should be based on
                                    the fair market value of such property less
                                    debt secured by such property.

Category B _____           The undersigned is an individual (not a partnership,
                           corporation, etc.) who had an income in excess of
                           $200,000 in each of the two most recent years, or
                           joint income with his or her spouse in excess of
                           $300,000 in each of those years (in each case
                           including foreign income, tax exempt income and full
                           amount of capital gains and losses but excluding any
                           income of other family members and any unrealized
                           capital appreciation) and has a reasonable
                           expectation of reaching the same income level in the
                           current year.

Category C _____           The undersigned is a director or executive officer of
                           the Company.

                                       26
<PAGE>   27
Category D _____           The undersigned is a bank, a savings and loan
                           association, insurance company, registered investment
                           company, registered business development company,
                           licensed small business investment company ("SBIC"),
                           or employee benefit plan within the meaning of Title
                           1 of ERISA and (a) the investment decision is made by
                           a plan fiduciary which is either a bank, savings and
                           loan association, insurance company or registered
                           investment advisor, or (b) the plan has total assets
                           in excess of $5,000,000 or is a self directed plan
                           with investment decisions made solely by persons that
                           are accredited investors.

                                (describe entity)

Category E_____            The undersigned is a private business development
                           company as defined in Section 202(a)(22) of the
                           Investment Advisors Act of 1940.

                                (describe entity)

Category F_____            The undersigned is a corporation, partnership,
                           business trust, or non-profit organization within the
                           meaning of Section 501(c)(3) of the Internal Revenue
                           Code, in each case not formed for the specific
                           purpose of acquiring the Securities and with total
                           assets in excess of $5,000,000.

                                (describe entity)

Category G_____            The undersigned is a trust with total assets in
                           excess of $5,000,000, not formed for the specific
                           purpose of acquiring the Securities, where the
                           purchase is directed by a "sophisticated person" as
                           defined in Regulation 506 (b)(2)(ii).

Category H_____            The undersigned is an entity all the equity owners of
                           which are "accredited investors" (as such term is
                           defined in Rule 501(a) as promulgated under the
                           Securities Act of 1933, as amended (the "Securities
                           Act")) within one or more of the above categories. If
                           relying upon this Category alone, each

                                       27
<PAGE>   28
                           equity owner must complete a separate copy of this
                           Agreement.

                                (describe entity)

Category I_____            The undersigned is not within any of the categories
                           above and is therefore not an "accredited investor".

3.       MANNER IN WHICH TITLE TO BE HELD.  (circle one)

(a)      Individual Ownership
(b)      Community Property
(c)      Joint Tenant with Right of Survivorship (both parties must sign)
(d)      Partnership
(e)      Tenants in Common
(f)      Company
(g)      Trust
(h)      Other

                                       28
<PAGE>   29
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------------
<S>                                                         <C>
Signature                                                   Signature (if purchasing jointly)

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

Name (Typed or Printed)                                     Name (Typed or Printed)

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

Residence (Typed or Printed)                                Residence (Typed or Printed)

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

City, State and Zip Code                                    City, State and Zip Code

----------------------------------------------------------------------------------------------------------------------
</TABLE>

                                       29
<PAGE>   30
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------------
<S>                                                         <C>

Tax Identification or Social Security Number                Tax Identification or Social Security Number

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

Telephone No.:                                              Telephone No.:
Business                                                    Business
Home                                                        Home

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

Name in which securities should be issued:

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

Dated:                              , 1999                  Dated:                              1999
       -----------------------------                               -----------------------------

----------------------------------------------------------------------------------------------------------------------
</TABLE>

                                       30

<PAGE>   31
<TABLE>
<CAPTION>
                                   Schedule I

            Number of Shares being Purchased by each Investor at the Closing and each Additional Closing

----------------------------------------------------------------------------------------------------------------------
<S>                                       <C>                       <C>                        <C>
               Investor                     Number of Shares          Number of Shares          Number of Shares
                                           being purchased on        being purchased at        being purchased at
                                            the date of this         Additional Closing        Additional Closing
                                             Agreement and          dated June 15, 1999        dated July 15, 1999
                                             Purchase Price          and Purchase Price        and Purchase Price
                                                therefor                  therefor                  therefor
----------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------------
Jay Chiat
Screaming Media.Net, Inc.                     5,998 Shares               2,999 Shares             2,999 Shares
55 Broad Street, 23rd floor                   ($99,986.66)               ($49,993.33)             ($49,993.33)
New York, New York 10004
----------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------------
Robin Neustein
Goldman Sachs & Co.                           1499 Shares                749 Shares                749 Shares
85 Broad Street, 22nd floor                   ($24,988.33)              ($12,485.83)              ($12,485.83)
New York, New York 10004
----------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------------
Jacob Goldfield
Goldman Sachs & Co.                            749 Shares                374 Shares                374 Shares
85 Broad Street, 22nd floor                   ($12,485.83)              ($6,234.58)                ($6,234.58)
New York, New York 10004
----------------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------------
TOTALS:                                       8246 Shares               4122 Shares                4122 Shares
                                             ($137,460.82)              ($68,713.74)              ($68,713.74)
----------------------------------------------------------------------------------------------------------------------
</TABLE><PAGE>   1
                                                                        Ex 10.12

                       PREFERRED STOCK PURCHASE AGREEMENT

         PREFERRED STOCK PURCHASE AGREEMENT (the "Agreement"), dated as of May
14, 1999, by and between SoftCom, Inc., a Delaware corporation ("Seller") and
each purchaser executing a signature page hereto (collectively, the "Buyers",
and each individually a "Buyer").

                                  WITNESSETH:

         WHEREAS, Seller desires to sell to Buyers, and the Buyers desire to
purchase from Seller, the number of shares of Series A Convertible Preferred
Stock, par value $.001 per share (the "Preferred Stock") set forth under each
such Buyer's name on a signature page hereto (the "Shares"), subject to the
terms and conditions hereof.

         NOW, THEREFORE, in consideration of the premises and the
representations, warranties and agreements herein contained, the parties hereby
agree as follows:

         1.       Terms of Acquisition.

         1.1      Stock Purchase. Upon the terms and subject to the conditions
of this Agreement, on the Closing Date (as hereinafter defined), each Buyer
shall purchase from Seller, and Seller shall sell, convey and deliver to each
Buyer, the Shares, free and clear of any and all charges, liens, claims,
security interests, adverse interests, pledges and encumbrances. The
certificates evidencing the Shares shall be delivered at the Closing (as
hereinafter defined) by Seller to each Buyer. Seller's agreement with each of
the Buyers is a separate agreement, and the sale of Shares to each Buyer is a
separate sale notwithstanding the fact that the terms of such sales are
contained in one agreement.

         1.2      Purchase Price. As the purchase price for the Shares, each
Buyer shall pay to Seller, at the Closing, the aggregate sum set forth under
each such Buyer's name on a signature page hereto (the "Purchase Price"). Such
amount shall be payable by check, wire transfer or delivery of other
immediately available funds.

         1.3      Closing Date. The closing of the transactions contemplated by
this Agreement (the "Closing") shall take place at the offices of Kirkpatrick &
Lockhart LLP, 1251 Avenue of the Americas, New York, New York 10020, on such
dates as funds for the Shares are received from each Buyer or at such other
time and place as Seller and Buyers shall mutually agree (the "Closing Date").
At each Closing, upon payment of the Purchase Price by a Buyer, Seller shall
deliver to such Buyer a certificate representing the amount of Shares purchased
by such Buyer.
<PAGE>   2
     1.4  Subsequent Sale of Preferred Stock. At any time on or before May 19,
1999, Seller may sell up to an aggregate of 5,769,231 shares of Preferred Stock
(including shares sold on the date hereof) to new investors in Seller (each a
"New Investor"). In addition, the sale of up to an additional 641,026 shares of
Preferred Stock may be made after May 18, 1999 to an additional investor (also
referred to herein as a "New Investor"), subject to the limitation provided in
the second sentence of Section 7 below. All sales described herein shall be
made on the terms and conditions set forth in this Agreement, and each New
Investor shall execute and deliver a counterpart of this Agreement. All shares
of Preferred Stock sold pursuant to this Section 1.4 shall be deemed to be
"Shares" for all purposes under this Agreement, and each New Investor, upon
consummation of the purchase of such Shares, shall be deemed to be a "Buyer"
for all purposes under this Agreement.

     2.   Representations and Warranties.

     2.1  Representations and Warranties of Seller. Seller hereby represents,
warrants, and covenants to the Buyers as follows:

          (a)  Organization and Good Standing. Seller is a corporation duly
organized, validly existing and in good standing under the laws of the State of
Delaware, and has all necessary power and authority to carry on its business as
now being conducted and presently proposed to be conducted.

          (b)  Requisite Power and Authorization. Seller has all necessary
corporate power and authority to execute and deliver this Agreement and to
perform its obligations hereunder. All corporate action of Seller required for
the execution, delivery and performance of this Agreement has been duly taken.
This Agreement constitutes the valid and binding obligation of Seller,
enforceable against Seller in accordance with its terms except (i) as limited
by applicable bankruptcy, insolvency, reorganization, moratorium or other laws
of general application affecting enforcement of creditor's rights in general
and (ii) as limited by general principles of equity that restrict the
availability of equitable remedies.

          (c)  No Conflicts. The execution, delivery and performance of this
Agreement will not (i) conflict with, result in a breach of, or constitute a
default under the Certificate of Incorporation (the "Certificate") or By-laws
of Seller, or any agreement or other obligation to which Seller is a party or
by which Seller or any of its assets are bound, or any judgment, decree, order,
writ, injunction, determination or award of any court or other governmental
agency, instrumentality or body applicable to Seller, or (ii) violate any law,
rule or regulation applicable to Seller or its property.

          (d)  No Consents. No consent, authorization, approval of, or order of
any governmental agency or court or any other person or entity is required in
connection with Seller's execution and delivery and performance of this
Agreement.

                                       2

<PAGE>   3
          (e)  Qualification. Except as set forth on Schedule 2.1(e) attached
hereto, Seller is duly qualified to transact business and is in good standing in
each jurisdiction in which the failure so to qualify could have a material
adverse effect on its Condition (as defined below).

          (f)  Capitalization. The capital stock of Seller, as authorized by the
Certificate, will consist of: (i) 33,000,000 shares of Common Stock, 10,000,000
shares of which will be issued and outstanding and 6,615,384 shares of which
will be reserved for issuance upon conversion of the Shares and the conversion
of shares issued upon exercise of the Warrants described in Section 4 below (the
"Warrants") (the shares issued upon conversion of the Shares, upon exercise of
the Warrants or upon conversion of shares issued upon exercise of the Warrants
are sometimes hereinafter referred to, collectively, as "Conversion Shares");
and (ii) 7,000,000 shares of preferred stock, par value $0.01 per share of
Seller, of which 6,800,000 shares shall have been designated a Preferred Stock.
The rights, privileges and preferences of the Common Stock and Preferred Stock
are as stated in the Certificate and the Certificate of Designations relating to
the Preferred Stock, true and complete copies of which are attached hereto as
Exhibit A. Except as specifically set forth on Schedule 2.1(e) hereto, and
except for options to purchase up to 6,910,830 shares of Common Stock pursuant
to outstanding stock options, as of the Closing, Seller will not (i) have
outstanding any capital stock or other securities convertible into or
exchangeable for any shares of its capital stock and, except for the preemptive
rights contained in the Certificate, no person or entity will have any right to
subscribe for or to purchase (including conversion or preemptive rights), or any
options for the purchase of, or any agreements providing for the issuance
(contingent or otherwise) of, or any calls, commitments or other claims of any
character relating to, any capital stock or any stock or securities convertible
into or exchangeable for any capital stock of Seller; (ii) have any capital
stock, equity interests or other securities reserved for issuance for any
purpose (other than an aggregate of 6,910,832 shares of Common Stock reserved
for issuance upon exercise of options issued or issuable pursuant to the
Company's existing stock options or stock option or incentive plans); or (iii)
be subject to any obligation (contingent or otherwise) to repurchase or
otherwise acquire or retire any shares of its capital stock or any convertible
securities, rights or options of the type described in the immediately preceding
clause (i). No outstanding options, warrants or other security directly or
indirectly exercisable for or convertible into any class or series of Seller's
capital stock require anti-dilution adjustments by reason of the transactions
contemplated by this Agreement. All of the issued and outstanding shares of
Common Stock have been duly and validly issued, are fully paid and nonassessable
and were issued in compliance with all applicable federal and state securities
laws. All of the shares of Preferred Stock and Conversion Shares, when issued,
(i) will be duly and validly issued, fully paid and nonassessable, (ii) except
as set forth in the Shareholders Agreement in the form of Exhibit D hereto (the
"Shareholders Agreement"), and except for certain Preferred Stock subject to
irrevocable proxies, will be free of any liens or encumbrances of any kind, and
(iii) will be issued in compliance with all applicable federal and state
securities laws. To the best knowledge of Seller, there are no agreements among
Seller's stockholders with respect to the voting or transfer of Seller's capital
stock, other than the agreements regarding voting and transfer contained in the
Shareholders Agreement. Schedule 2.1(e) sets forth a complete and correct list
of the name of each holder of Seller's stock, options or other securities and
the number of shares, options or other securities (and type, class and series of
capital stock owned by such stock, option or other security holder (and exercise
price, if applicable)). In addition Seller has agreed to issue warrants to
purchase 205,128 Shares of Preferred Stock to PS Capital Ventures, LP. Prior to
consummation of the transactions contemplated hereby, Seller shall amend its
Certificate of Incorporation and Certificate of Designations related to the
Preferred Stock to increase its authorized shares of preferred stock and the
authorized Series A Preferred Stock to be 7,500,000 shares.

                                       3
<PAGE>   4
     (g)  Subsidiaries. Seller does not presently own or control, directly or
indirectly, any interest in any partnership, corporation or other business
entity.

     (h)  Financial Information. To the extent Seller has previously provided to
a Buyer its unaudited balance sheet as of December 31, 1998, and the related
unaudited statements of operations, stockholders' equity and cash flows for the
year then ended (the "Financials") such Financials are complete and correct in
all material respects; are in accordance with the books of account, ledgers and
records of Seller; have been prepared in conformity with generally accepted
accounting principles ("GAAP") applied on a consistent basis (subject to
ordinary year-end adjustments not individually, or in the aggregate, material to
the Condition of the Company); and present fairly the consolidated financial
position, results of operations and cash flows of Seller as of the respective
dates thereof. Except as reflected in the Financials, the Seller does not have
as of the Closing any obligation or liability, contingent or otherwise, other
than (i) liabilities incurred in the ordinary course of business and consistent
with past practice since the date of the Financials, which liabilities are not,
individually or in the aggregate, material to the Condition of Seller, and (ii)
obligations and liabilities which, individually or in the aggregate, are not
material to the Condition of Seller and are not required under GAAP to be
reflected in the Financials.

     (i)  Certain Changes or Events. Since December 31, 1998, the business of
Seller has been operated only in the ordinary course, consistent with past
practice, and in addition to, and not in limitation of the foregoing: (i) there
has not been any significant adverse change in the business, properties,
operations, earnings, assets, liabilities, condition (financial or otherwise) or
prospects (collectively, "Condition") of Seller, except for changes in the
ordinary course of business consistent with past practice which have not been,
in the aggregate, materially adverse to Seller; (ii) there has been no change of
laws, rules or regulations applicable to Seller, or revocation or change in any
contract, permit or right to do business, and no other event or occurrence of
any character which has resulted, or could reasonably be expected to result, in
a material adverse change in the Condition of Seller; (iii) Seller has not
authorized or made any distributions, or declared or paid any dividends, upon or
with respect to any of its capital stock, or other equity interests, nor has
Seller redeemed, purchased or otherwise acquired, any of its capital stock or
other equity interests; (iv) except as set forth on Schedule 2.1(i) attached
hereto, there has been no material change in any compensation, arrangement or
agreement with any employee, director, stockholder or Affiliate (as defined
below); and (v) there has been no agreement or commitment by Seller to do or
perform any of the acts described in this Section 2.1(i). "Affiliate" of a
specified person or entity shall mean a person or entity that directly, or
indirectly through one or more intermediaries, controls or is controlled by, or
is under common control with, the person or entity specified.

     (j)  Title to Assets. Seller has good title to all of its assets and
properties, free and clear of any liens or encumbrances of any kind, except for
such liens and encumbrances which arise in the ordinary course of business and
do not materially impair Seller's use or ownership of such assets. With respect
to any assets or properties it leases, Seller holds a valid and subsisting
leasehold interest therein, free and clear of any liens or encumbrances of any
kind, and is in compliance, in all material respects, with the terms of the
applicable lease.

                                       4
<PAGE>   5
                    (k)  Contracts.  Seller is not a party to, nor is its assets
or properties bound by, or subject to, any contracts, agreements, notes,
instruments, leases, licenses, commitments, arrangements or understandings,
written or oral (collectively, "Contracts") of the following types, except for
those listed in Schedule 2.1(k) attached hereto:

                              any Contract pursuant to which Seller, or another
party thereto, is obligated to pay in excess of twenty-five thousand dollars
($25,000) in any twelve-month period;

                              any Contract pursuant to which Seller acquired
the right to use any Intellectual Property (defined below) or information that
is material to or necessary in the business of Seller, or pursuant to which
Seller has granted to others the right to use, or which otherwise relates to,
its Intellectual Property;

                              any Contract (other than advances of expenses to
employees in the ordinary course of business) involving loans, loan agreements,
debt securities, mortgages, deeds of trust, security agreements, suretyships or
guarantees;
                              any Contract between Seller, on the one hand, and
any of its officers, directors, employees or persons or entities that
beneficially own in excess of 1.0% of the outstanding equity interest of
Seller, or any Affiliate or relative, or Affiliate of a relative, of any of the
foregoing, on the other;

                              any deferred compensation agreements, bonus,
pension, profit sharing, stock option and incentive plans or arrangements,
hospitalization, medical and insurance plans, agreements and policies,
retirement and severance plans and other employee compensation policies and
agreements affecting employees of Seller;

                              any Contract with any labor union affecting
employees of Seller;
                              any Contract which restricts Seller from freely
engaging in business or competing anywhere; or

                              any Contract which otherwise is material to the
Condition of Seller.

          All of such Contracts are in full force and effect and constitute
legal, valid and binding obligations of Seller and, to the best knowledge of
Seller, the other parties thereto; the Seller and, to the best knowledge of
Seller, each other party thereto, has performed in all material respects all
obligations required to be performed by it under such Contracts.

                                       5
<PAGE>   6
          (l)  Intellectual Property. Seller has sufficient title, ownership or
other rights in all patents, trademarks, service marks, trade names, copyrights,
trade secrets, information, proprietary rights and processes (the "Intellectual
Property") necessary for its business as now conducted and as proposed to be
conducted without any conflict with or infringement of the rights of others
known to Seller. Except as set forth on Schedule 2.1(l) attached hereto, there
are no outstanding option, license or agreement of any kind relating to the
foregoing, nor is Seller bound by or a party to any options, licenses or
agreements of any kind with respect to the patents, trademarks, service marks,
trade names, copyrights, trade secrets, licenses, information, proprietary
rights and processes of any other person or entity. Seller has not received any
communications alleging that Seller has violated or, by conducting its business
as proposed, would violate any of the patents, trademarks, service marks, trade
names, copyrights or trade secrets or other proprietary rights of any other
person or entity, nor is Seller aware of any such violations. To Seller's
knowledge, none of its employees is obligated under any contract (including
licenses, covenants or commitments of any nature) or other agreement, or subject
to any judgment, decree or order of any court or administrative agency, that
would interfere with the use of the employee's best efforts to promote the
interests of Seller or that would conflict with Seller's business as proposed to
be conducted. Neither the execution nor delivery of this Agreement and the
consummation of the transactions contemplated hereby, nor the carrying on of
Seller's business by the employees of Seller, nor the conduct of Seller's
business as proposed, will, to Seller's knowledge, conflict with or result in a
breach of the terms, conditions or provisions of, or constitute a default under,
any contract, covenant or instrument under which any of such employees is now
obligated. Seller does not believe it is or will be necessary to utilize any
inventions of any of its employees (or people it currently intends to hire) made
prior to their employment by Seller.

          (m)  Insurance. Seller has in full force and effect fire and casualty
insurance policies, with extended coverage, sufficient in amount (subject to
reasonable deductibles) to allow it to replace any of its properties that might
be damaged or destroyed. Seller also has in full force and effect comprehensive
general liability insurance providing coverage in such amounts as are
customary for responsible companies engaged in the same or similar business.

          (n)  Litigation. There is no action, suit, proceeding, investigation
or governmental approval process pending or, to the knowledge of Seller,
threatened against Seller or affecting any of the properties or assets of
Seller which individually or in the aggregate could have a material adverse
effect on the Condition of Seller, nor is Seller aware of any basis for any
such action. Neither Seller nor any of its assets or properties, nor, to
Seller's knowledge, in connection with its business, any stockholder, director,
officer or employee of Seller, is subject to any action, order, judgment, writ,
injunction, decree, ruling or decision of any governmental authority which is
material to the Condition of Seller. There is no action or suit by Seller
currently pending or which Seller intends to initiate which is material to the
Condition of Seller.

          (o)  Compliance with Laws; Permits. Seller has not violated or failed
to comply with, in any material respect, any statute, law, ordinance, rule,
regulation or policy to which it or any of its properties or assets is
subject. Seller has all permits, licenses, orders, certificates, authorizations
and approvals that are material to the conduct of its business as presently
conducted and as proposed to be conducted and is not in violation thereof; all
such permits, licenses, orders, certificates, authorizations and approvals are,
and as of the Closing will be, in full force and effect.

                                       6
<PAGE>   7
          (p) Taxes. Seller has timely filed all tax returns and reports as
required by law. These returns and reports are true and correct in all material
respects. Seller has paid all taxes and other assessments due. The provision for
taxes of Seller as shown in the Financials is adequate for taxes due or accrued
as of the date thereof.

          (q) Registration Rights. Except as otherwise provided in this
Agreement, no person or entity has, and as of the Closing no person or entity
will have, demand, "piggy-back," or other rights to cause Seller to file any
registration statement under the Securities Act of 1933, as amended, relating to
any securities of Seller or to participate in any such registration statement.

          (r) No Brokers or Finders. Except for certain options issuable to
David Mitchell to purchase up to 510,832 shares in his capacity as an advisor to
Seller, Seller has not entered into any agreement pursuant to which Seller or
any Buyer will be liable, as a result of the transactions contemplated by this
Agreement or the transactions contemplated hereby, for any claim of any person
or entity for any commission, fee or other compensation as finder or broker.

          (s) Employee Confidentiality Agreements/Highly-Compensated Employees.
Each employee and officer of Seller has executed an agreement protecting
Seller's confidential and proprietary information in customary form. No employee
or officer of Seller has received compensation, or is currently compensated at a
rate, in excess of $150,000 per annum.

          (t) Disclosure. In connection with the purchase of the Shares by the
Buyers as contemplated hereby, Seller has disclosed to the Buyers all material
facts and information known to Seller concerning Seller, its Condition and the
Shares, and has not in any of the representations or warranties contained in
this Agreement made any untrue statement of a material fact or omitted to state
any material fact necessary in order to make the statements contained in such
representations and warranties not misleading.

          (u) ERISA. Except as set forth in Schedule 2.1(u) attached hereto,
Seller does not maintain (nor has it ever maintained) nor does it have (nor has
it ever had) any obligation under any employee benefit plan, program or policy,
whether written or unwritten, including without limitation an employee benefit
plan as defined in Section 3(3) of the Employee Retirement Income Security Act
of 1974, as amended.

     2.2 Representations and Warranties of the Buyers. Each Buyer hereby
severally, and not jointly, represents, warrants and covenants to Sellers as
follows, provided, that nothing contained in this Section 2.2 shall in any
respect limit or modify the representations and warranties of Seller in Section
2.1 or the right of each Buyer to rely thereon:

     (a) Requisite Power and Authorization. Such Buyer has full power and
authority and/or legal capacity to enter into this Agreement and this Agreement
constitutes such Buyer's valid and

                                       7
<PAGE>   8
binding obligation, enforceable in accordance with its terms, except (i) as
limited by applicable bankruptcy, insolvency, reorganization, moratorium, or
other laws of general application affecting enforcement of creditors' rights in
general and (ii) as limited by general principles of equity that restrict the
availability of equitable remedies.

          (b)  Purchase Entirely for Own Account. The Shares purchased by such
Buyer under this Agreement are being acquired for investment for such Buyer's
own account, and not with a view to the resale or distribution of any part
thereof in violation of any applicable securities laws. Such Buyer has no
present intention of selling, granting any participation in, or otherwise
distributing any of the Shares purchased by such Buyer. By executing this
Agreement, each Buyer further represents that such Buyer does not have any
contract, undertaking, agreement or arrangement with any person to sell,
transfer or grant participations to such person or to any third person, with
respect to any of the Shares in violation of any applicable securities laws.

          (c)  Disclosure of Information. Each Buyer has reviewed the
Certificate of Designation of Seller attached hereto as Exhibit A which sets
forth the rights of the Preferred Stock. Each Buyer believes it has received
all the information it considers necessary or appropriate for deciding whether
to purchase the Shares.

          (d)  Investment Experience. Each Buyer is an investor in securities
of companies in the development stage and acknowledges that it is able to fend
for itself, can bear the economic risk of its investment, and has such
knowledge and experience in financial or business matters that it is capable of
evaluating the merits and risks of the investment in the Shares. If other than
an individual, the Buyer represents it has not been organized for the purpose
of acquiring the Shares.

          (e)  Restricted Securities. Each Buyer understands that the Shares
have not been, and will not be, registered under the Securities Act of 1933, as
amended (the "Securities Act"), by reason of a specific exemption from the
registration provisions of the Securities Act which depends upon, among other
things, the bona fide nature of the investment intent and the accuracy of each
Buyer's representations as expressed herein. Each Buyer understands that the
Shares are "restricted securities" under applicable Federal and state
securities laws and that, pursuant to these laws, each Buyer must hold the
Shares indefinitely unless they are registered with the Securities and Exchange
Commission and qualified by state authorities, or an exemption from such
registration and qualification requirements is available. Each Buyer
acknowledges that, except as set forth herein, Seller has no obligation to
register or qualify the Shares for resale. Each Buyer further acknowledges that
if an exemption from registration or qualification is available, it may be
conditioned on various requirements including, but not limited to, the time and
manner of sale, the holding period for the Shares and on requirements relating
to Seller which are outside of such Buyer's control, and which Seller is under
no obligation and may not be able to satisfy. In this connection, each Buyer
represents that it is familiar with Securities and Exchange Commission Rule 144
("Rule 144"), as presently in effect, and understands the resale limitations
imposed thereby.

          (f)  Legends. It is understood that the certificates evidencing the
Shares may bear one or all of the following legends:

                                       8
<PAGE>   9
      (i) "These securities have not been registered under the Securities Act of
1933, as amended. They may not be sold, offered for sale, pledged or
hypothecated in the absence of a registration statement in effect with the
respect to the securities under such Act or an opinion of counsel satisfactory
to the Company that such registration is not required or unless sold pursuant to
Rule 144 of such Act."

     (ii) "The Shares evidenced hereby are subject to a Shareholders Agreement
(a copy of which may be obtained upon written request from the Company), and by
accepting any interest in such Shares the person accepting such interest shall
be deemed to agree to and shall become bound by all the provisions of said
Shareholders Agreement."

      (g) Accredited Investor. Each Buyer is an "accredited investor" as defined
in Rule 501(a) of Regulation D promulgated under the Securities Act.

       3. Conditions Precedent.

          (a)  Conditions to Seller's Obligation. The obligation of Seller to
complete the Closing is subject to the fulfillment on or prior to the Closing
Date of all of the following conditions, any one or more of which may be waived
by Seller in writing:

               (i)   Representation and Warranties. The representations and
warranties of each Buyer purchasing at the Closing contained in this Agreement
shall be true and correct on and as of the Closing Date with the same force and
effect as though such representations and warranties had been made on and as of
the Closing Date.

               (ii)  Purchase Price. Each of the Buyers purchasing at the
Closing shall have delivered to Seller such Buyer's respective portion of the
Purchase Price.

               (iii) Minimum Sales. Buyers shall have purchased Shares having an
aggregate minimum purchase price of at least $1,000,000.

               (iv)  Shareholders Agreement. The Shareholders Agreement,
substantially in the form attached hereto as Exhibit D, shall have been executed
by Seller and each of the Buyers.

          (b) Conditions to the Buyer's Obligation. The obligation of each Buyer
to complete the Closing is subject to the fulfillment on or prior to the Closing
Date of all of the following conditions, any one or more of which may be waived
by such Buyer in writing:

                                       9
<PAGE>   10
            (i) Representations and Warranties. The representations and
warranties of Seller shall be true and correct on and as of the Closing Date
with the same force and effect as though such representations and warranties
have been made on and as of the Closing Date.

           (ii) Share Certificates. Each Buyer purchasing at the Closing shall
have received from Seller stock certificates evidencing the Shares purchased by
such Buyer.

          (iii) Certificate of Designation. The Certificate of Designation,
substantially in the form attached hereto as Exhibit A, shall have been filed
with the Secretary of State of the State of Delaware and shall be in full force
and effect.

           (iv) Stock Split. Seller shall have consummated a 100:1 split of its
currently outstanding common stock.

            (v) Founder's Note. Seller and Kevin O'Brien shall have executed the
Founder's Note, substantially in the form attached hereto as Exhibit B.

           (vi) Deferred Compensation Subordination Agreement. The Deferred
Compensation Subordination Agreement, substantially in the form attached hereto
as Exhibits C-1 and C-2, shall have been fully executed by all signatories
thereto.

          (vii) Shareholders Agreement. The Shareholders Agreement,
substantially in the form attached hereto as Exhibit D, shall have been executed
by Seller and each of the Buyers.

         (viii) Founder Non-Compete Agreement. Chris O'Brien and Kevin O'Brien
shall have each entered a Founder Non-Compete Agreement, substantially in the
form attached hereto as Exhibit E.

           (ix) By-laws. Seller's  By-laws shall have been amended substantially
in the form attached hereto as Exhibit F, to require a supermajority vote by
Seller's Board of Directors on certain corporate governance issues.

            (x) Minimum Sales. Buyers shall have purchased Shares having an
aggregate minimum purchase price of at least $1,000,000.

           (xi) Legal Opinion. Buyers shall have received a legal opinion in
form and substance satisfactory to the Buyers.

                                       10

<PAGE>   11
          4.   Warrants. Seller shall issue warrants to purchase Preferred Stock
to each Buyer ("Threshold Buyer") purchasing $800,000 or more in Preferred
Stock. The number of shares which such warrants shall entitle each such Buyer
to purchase shall equal fifteen (15%) percent of the number of shares of
Preferred Stock purchased by such Buyer. Seller shall also issue warrants to
purchase Preferred Stock to each group of Buyers (other than any Threshold
Buyers) purchasing $800,000 or more in Preferred Stock. The number of shares
which such warrants shall entitle such group of buyers to purchase shall equal
five (5%) percent of the number of shares of Preferred Stock purchased by such
group. Such warrants shall otherwise contain the terms and conditions set forth
in the Preferred Stock Purchase Warrant attached hereto as Exhibit G.

          5.   Intentionally omitted.

          6.   Registration Rights. Each Buyer will have the following
registration rights with respect to Shares purchased hereunder:

               (a)  If during any time any Buyer owns any Shares, Seller shall
determine to register for its own account or the account of others under the
Securities Act any of its equity securities, it shall send to each Buyer
written notice of such determination and, if within twenty (20) days after
receipt of such notice, any Buyer shall so request in writing, Seller shall
include in such registration statement all of the Shares held by such Buyer,
and requested to be registered by such Buyer. Notwithstanding the foregoing, in
the event that any registration shall be in whole or in part an underwritten
offering, the number of registrable securities to be included in such an
underwriting may be reduced (pro rata among the Buyers and the holders of the
other registrable securities requested to be registered by each of them) if and
to the extent that the managing underwriter shall be of the good faith opinion
that such inclusion would reduce the number of registrable securities to be
offered by Seller. Nothing herein shall be construed so as to require Seller,
in connection with any proposed offering, to engage the services of an
underwriter, as, for example, if Seller shall file a registration statement
under Rule 415 of the Securities Act without the services or engagement of any
underwriter. This "piggy-back" registration right shall not apply to an
offering of equity securities on Forms S-4 or S-8 (or their then equivalents)
relating to securities to be issued solely in connection with an acquisition of
any entity or business or securities issuable in connection with a stock option
or other employee benefit plan. At such time of any registration each Buyer and
Seller shall enter into customary reciprocal indemnification provisions with
respect to such registration; provided, that in no event shall any Buyer be
obligated to indemnify Seller for any amount in excess of the proceeds received
by such Buyer in such offering.

               (b)  If and to the extent Seller grants registration rights to
any group of investors in the future that are more favorable to such investors
than the registration rights granted to Buyers hereunder, the Buyers hereunder
shall be entitled to such registration rights granted to such investors on a
pari passu basis.

          7.   Maximum Sales. Subject to the next succeeding sentence, Seller
shall not sell Shares having an aggressive purchase price in excess of
$2,250,000. Notwithstanding the immediately preceding sentence, Seller shall be
permitted to sell additional Shares having an aggregate purchase price

                                       11
<PAGE>   12
of $250,000 (for a total maximum or $2,500,000) with the unanimous consent of
Seller's board of directors  (as such board of directors is constituted as set
forth in the Shareholders Agreement).

     8.   Financial Information. Seller shall within forty-five (45) days after
the end of each financial quarter provide its members of the board of directors
with quarterly unaudited financial statements including (a) an unaudited balance
sheet as of the last day of such quarter, (b) an unaudited statement of income
for such quarter and (c) a cash flow statement for such quarter. In addition,
Seller shall provide each Buyer on a current basis copies of financial
statements or other financial information that it provides to any other of its
stockholders.

     9.   Miscellaneous Provisions.

          (a) Amendments. This Agreement may be amended or modified but only by
a written instrument executed by all of the parties hereto.

          (b) Entire Agreement. This Agreement constitutes the entire agreement
among the parties hereto with respect to the subject matter hereof, and
supersedes all prior agreements and understandings, oral and written, among the
parties hereto with respect to the subject matter hereof.

          (c) Applicable Law. This Agreement and the legal relations among the
parties hereto shall be governed by and construed in accordance with the
internal laws of the State of New York applicable to contracts made and to be
wholly performed therein.

          (d) Survival of Representations. The parties hereto agree that the
representations and warranties contained herein shall survive the execution
and delivery of this Agreement and the consummation of the transaction
contemplated hereby.

          (e) Binding Effect; Benefits. This Agreement shall inure to the
benefit of, and be binding upon, the parties hereto and their respective
successors and permitted assigns.

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

          (g) Severability. If any provision or party thereof contained in this
Agreement is declared invalid by any court of competent jurisdiction or a
government agency having jurisdiction, such declaration shall not affect the
remainder of the provision or the other provisions and each shall remain in full
force and effect.

          (h) Headings. The headings in this Agreement are for reference
purposes only and shall not in any way affect or limit the meaning or
interpretation of this Agreement.

                                       12
<PAGE>   13
     (i)  Expenses.  Each party hereto shall bear its own expenses incurred in
connection with the consummation of the transactions contemplated in this
Agreement.

                                       13
<PAGE>   14
     IN WITNESS WHEREOF, the parties hereto have executed this Preferred Stock
Purchase Agreement as of the day and year first above written.

                                    SELLER:
                                    SOFTCOM, INC.

                                    By: /s/Chris O'Brien
                                        --------------------------
                                    Name: Chris O'Brien
                                    Title: Chief Executive Officer

                                     BUYER:
                                     SCREAMINGMEDIA NET, INC.

                                     By: /s/ Alan Ellman
                                         -------------------------
                                     Name:  Alan Ellman
                                     Title: President

384,615                        $.39                         $150,000
Number of Shares purchased  x  purchase price per share  =  Aggregate purchase
                                                            price

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00002-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00002-of-00352.parquet"}]]