Document:

Exhibit
            4.1

            

            Amended and
            Restated 1991 Incentive Program of BP Amoco Corporation and

            its Participating Subsidiaries

            

            Preamble

            

            The 1991 Incentive Program of
            Amoco Corporation and its Participating Subsidiaries amended and restated effective
            November 1, 1996 shall be effective from November 1, 1996 to the effective date of the
            merger of Amoco Corporation with a wholly owned subsidiary of The British Petroleum
            Company (the Merger). From and after the effective date of the Merger this Amended and
            Restated 1991 Incentive Program of BP Amoco Corporation and its Participating
            Subsidiaries shall be effective until later amended, superceded or
            terminated.

            

            	
                    1. 	Purpose
                    and Effective Date 

            

            

            	 	The purpose
                    of this 1991 Incentive Program of BP Amoco Corporation and its Participating
                    Subsidiaries is to further the interests of BP Amoco Corporation, an Indiana
                    corporation, its affiliates and its shareholder by providing incentives in the
                    form of awards to employees who contribute materially to the success and
                    profitability of the Corporation and its affiliates. Such awards recognize and
                    reward outstanding performances and individual contributions of key, managerial
                    and other salaried employees who possess valuable experience and skills. This
                    Program also enables the Corporation and its affiliates to attract and retain
                    such employees. This Program initially became effective on April 23, 1991 and
                    shall remain effective until December 31, 2001, subject to the ability of the
                    Board of Directors and the Compensation and Organization Committee to terminate
                    this Program as provided in Section 14.1. 

            

            

            	
                    2. 	
                    Definitions
                    

            

            

            	 	As used in
                    this Program: 

            

            

            	
                      	(1)
                    	Adjusted
                    Net Income means the net income of the Corporation as reported in the
                    Corporations annual financial statements adjusted to exclude publicly disclosed
                    unusual or special items affecting reported net income. 

            

            

            	
                      	(2)
                    	Award means
                    the grant of any form of Option, Stock Appreciation Right, Performance Award,
                    Restricted Share, Bonus, or any other form of Share based or non-Share based
                    Award granted pursuant to this Program. 

            

            

            	
                      	(3)
                    	Award
                    Agreement means a written agreement between the Corporation and a Participant
                    that sets forth the terms, conditions and limitations applicable to an
                    Award. 

            

            

            	
                      	(4)
                    	Beneficiary
                    means a person or persons designated by a Participant to receive, in the event
                    of death, any unpaid portion of an Award held by the Participant. Any
                    Participant may, subject to such limitations as may be prescribed by the
                    Committee, designate one or more persons primarily or contingently as
                    beneficiaries in writing upon forms supplied by and delivered to the
                    Corporation, and may revoke such designations in writing. If a Participant
                    fails effectively to designate a beneficiary, then the Participants estate
                    shall be deemed to be the Participants beneficiary. 

            

            

            

            

            

            

            

            	
                      	(5)
                    	Board means
                    the Board of Directors of the Corporation. 

            

            

            	
                      	(6)
                    	Bonus means
                    any payment under Section 7. 

            

            

            	
                      	(7)
                    	BP Amoco
                    means BP Amoco p.l.c., an English public limited company or any successor
                    corporation. 

            

            

            	
                      	(8)
                    	Change in
                    Control has the meaning set forth in Section 9. 

            

            

            	
                      	(9)
                    	Chief
                    Executive Officer means the Employee of the Corporation serving in such
                    capacity. 

            

            

            	
                      	(10)
                    	Code means
                    the Internal Revenue Code of 1986, as amended and in effect from time to time,
                    or any successor statute. 

            

            

            	
                      	(11)
                    	Committee
                    means the Compensation and Organization Committee of the Corporation or any
                    successor committee. 

            

            

            	
                      	(12)
                    	Corporation
                    means BP Amoco Corporation, an Indiana corporation, or any successor
                    corporation. 

            

            

            	
                      	(13)
                    	Employee
                    means any individual who is a salaried employee on the payroll of the
                    Corporation or any Participating Subsidiary. 

            

            

            	
                      	(14)
                    	Fair Market
                    Value Per Share in reference to Shares means (i) the average of the reported
                    highest and lowest sale prices per Share as reported on the New York Stock
                    Exchange on the date as of which determination is to be made, or (ii) in the
                    absence of reported sales on that date, the average of such reported highest
                    and lowest sale prices per Share on the next preceding date on which reported
                    sales occurred. 

            

            

            	
                      	(15)
                    	Named
                    Executive Officer means an Employee as described in Section 162(m)(3) of the
                    Code for the year an Award is granted. 

            

            

            	
                      	(16)
                    	Option
                    means an Award to purchase Shares granted pursuant to Section 6.1, and includes
                    Incentive Stock Options and Non-Qualified Options, as such terms are defined in
                    Section 6.1. 

            

            

            	
                      	(17)
                    	Participant
                    means any Employee who is granted an Award under this Program. 

            

            

            	
                      	(18)
                    	
                    Participating Subsidiary
                    means (i) any subsidiary of the Corporation, more than 50% of the aggregate
                    outstanding voting shares of all outstanding classes and series of which are
                    beneficially owned, directly or indirectly, by the Corporation, and one or more
                    Employees of which are Participants, or are eligible for Awards, pursuant to
                    this Program or (ii) any affiliate of the Corporation and one or more Employees
                    of which are Participants, or are eligible for Awards pursuant to this Program.
                    An affiliate for purposes of the definition of Participating Subsidiary means
                    any entity that directly or indirectly through one or more intermediaries,
                    controls, or is controlled by, or is under common control with, the
                    Corporation. Control means direct or indirect ownership of more than 50% or
                    more of the equity of a corporation or the ability through share ownership or
                    otherwise to elect a majority of the board of directors of a
                    corporation. 

            

            

            	
                      	(19)
                    	Performance
                    Award has the meaning described in Section 6.4. 

            

            

            

            

            

            

            

            	
                      	(20)
                    	Program
                    means this 1991 Incentive Program of BP Amoco Corporation and its Participating
                    Subsidiaries as it may be amended from time to time. 

            

            

            	
                      	(21)
                    	Restricted
                    Shares means Shares, which have certain restrictions attached to the ownership
                    thereof, which may be issued under Section 6.3. 

            

            

            	
                      	(22)
                    	Retirement
                    means termination of a Participants employment with the Corporation or a
                    Participating Subsidiary by retirement under the normal, mandatory, and
                    applicable age plus service or other provision of the applicable retirement
                    plan of the Corporation or a Participating Subsidiary. 

            

            

            	
                      	(23)
                    	Shares
                    means American Depositary Shares of BP Amoco. 

            

            

            	
                      	(24)
                    	Share Unit
                    means the right to receive a payment equivalent in value to one Share on the
                    date of payment. 

            

            

            	
                      	(25)
                    	Stock
                    Appreciation Right means a right, the value of which is determined relative to
                    the appreciation in value of Shares, which may be issued under Section
                    6.2. 

            

            

            	
                      	(26)
                    	Totally
                    Disabled means solely because of disease or injury, a Participant is deemed by
                    a qualified physician selected by the Corporation or Participating Subsidiary
                    to be unable to work at any reasonable occupation. Reasonable occupation means
                    any gainful activity for which the Participant is, or may reasonably become,
                    fitted by education, training or experience, but shall not mean any activity if
                    it is in connection with an approved rehabilitation program. Notwithstanding
                    the foregoing, a Participant shall not be deemed Totally Disabled if the cause
                    of disability was contributed to or resulted from: (i) intentionally
                    self-inflicted injuries; (ii) drug addiction; (iii) insurrection, rebellion,
                    participation in a riot or civil commotion; or (iv) commission by the
                    Participant of an assault, battery or felony. 

            

            

            	
                    3. 	
                    Administration
                    

            

            

            	
                    3.1 	
                    Compensation and
                    Organization Committee 

            

            

            	
                      	(a)
                    	This
                    Program shall be administered by the Committee, which shall be appointed by the
                    Board. The Board may remove members from or add members to the Committee.
                    Vacancies on the Committee shall be filled by the Board. 

            

            

            	
                      	(b)
                    	To the
                    extent permitted by Section 14.3, the Committee is authorized to (i) determine
                    which Employees shall be Participants in the Program and which Awards shall be
                    granted to Participants, (ii) establish, amend and rescind rules, regulations
                    and guidelines relating to this Program as it deems appropriate, (iii)
                    interpret and administer this Program, Awards and Award Agreements, (iv)
                    establish, modify and terminate terms and conditions of Award Agreements, (v)
                    grant waivers and accelerations of Program, Award and Award Agreement
                    restrictions and (vi) take any other action necessary for the proper
                    administration and operation of the Program, all of which shall be executed in
                    accordance with the objectives of this Program. 

            

            

            	
                      	(c)
                    	The
                    Committee may designate persons and entities other than its members to carry
                    out any of its responsibilities under and described in this Program, under such
                    conditions or limitations as the Committee may establish. 

            

            

            

            

            

            

            

            	
                    3.2 	Effect
                    of Determinations 

            

            

            	 	
                    Determinations of the
                    Committee and its designees shall be final, binding and conclusive on the
                    Corporation, its Participating Subsidiaries, shareholders, Employees and
                    Participants. No member of the Committee or any of its designees shall be
                    personally liable for any action or determination made in good faith with
                    respect to this Program, any Award, or any Award Agreement. 

            

            

            	
                    4. 	
                    Eligibility
                    

            

            

            	 	Persons
                    eligible for Awards under this Program shall consist of key, managerial and
                    other Employees who possess valuable experience and skills and have
                    contributed, or can be expected to contribute, materially to the success of the
                    Corporation and/or its Participating Subsidiaries. The Committee shall
                    determine which Employees shall be Participants, the types of Awards to be made
                    to Participants and the terms, conditions and limitations applicable to the
                    Awards. 

            

            

            	
                    5. 	Shares
                    Subject to this Program 

            

            

            	
                    5.1 	Maximum
                    Number of Shares 

            

            

            	 	The maximum
                    number of Shares available for Awards under this Program in each calendar year
                    during any part of which this Program shall be in effect shall be nine tenths
                    of one percent (0.9%) of the total outstanding Shares as of December 31 of the
                    immediately preceding year, subject to Section 8 of this Program. Any and all
                    such Shares may be issued in respect of any of the types of Awards; provided,
                    however that no more than thirteen million two hundred thirty thousand
                    (13,230,000) Shares shall be issued with respect to Incentive Stock Options,
                    and provided, further, that no more than twenty percent (20%) of the Shares
                    available for Awards under this Program shall be issued in respect of
                    Restricted Shares. Notwithstanding the immediately preceding paragraph, any
                    Participant, including any Named Executive Officer, shall be limited to a
                    maximum annual aggregate award (a) under Section 6.1 of no more than 248,000
                    Shares underlying an Option Award and (b) under Section 6.2 of no more than
                    248,000 Shares or Share Units related to a Stock Appreciation Right
                    Award. 

            

            

            	
                    5.2 	Share
                    Accounting 

            

            

            	 	Any unused
                    Shares of the nine tenths of one percent (0.9%) limit described in Section 5.1
                    in any calendar year, shall be available for Awards in succeeding calendar
                    years. Shares granted under this Program shall be derived from sources
                    determined by the Committee in accordance with applicable law. No fractional
                    Shares shall be granted under this Program. 

            

            

            

            

            

            

            

            	
                    6. 	
                    Awards 

            

            

            	 	Awards may
                    include, but are not limited to, those described in this Section 6. Awards may
                    be granted singly, in combination, or in tandem with other Awards. Subject to
                    the other provisions of this Program, Awards may also be made in combination or
                    in tandem with, in replacement of, or as alternatives to, grants or rights
                    under this Program and any other employee plan of the Corporation or its
                    Participating Subsidiaries, including any plan of any acquired entity. Subject
                    to the terms of the Awards described in this Section 6 and the related Award
                    Agreement, the form of payment for Awards may be in cash, in Shares, in Share
                    Units, or such other form as determined by the Committee, and may be made
                    partly in one form and partly in one or more other forms, all as determined by
                    the Committee. Except as otherwise provided in this Program, Awards shall be
                    evidenced by Award Agreements, the terms of which may be amended or accelerated
                    by the Committee following the grant of any Award and need not be uniform among
                    Participants. Except as otherwise provided in this Program, Awards shall be
                    granted for such minimum consideration as is required by applicable law, rules
                    and regulations, and such additional consideration, if any, as may be
                    determined by the Committee. 

            

            

            	
                    6.1 	
                    Options 

            

            

            	 	Options may
                    be granted under this Program from time to time. If Options are granted they
                    shall be upon the following terms and conditions and such additional terms and
                    conditions, not inconsistent with the express provisions of this Program, as
                    the Committee in its discretion shall deem desirable: 

            

            

            	
                      	(a)
                    	Options
                    granted to Employees may be either of a type that meets the requirements of
                    incentive stock options, as defined in Section 422 of the Code (Incentive Stock
                    Options), or of a type or types that do not meet such requirements
                    (Non-Qualified Options), if otherwise consistent with the provisions of this
                    Program. 

            

            

            	
                      	(b)
                    	The option
                    price per Share for all Options shall be that recommended by the Committee, but
                    it shall not be less than one hundred percent (100%) of the Fair Market Value
                    Per Share on the date the Option is granted. 

            

            

            	
                      	(c)
                    	Award
                    Agreements for Options shall conform to the requirements of this Program, and
                    may contain such other provisions as the Committee shall deem advisable;
                    provided, however, that if an Option is designated as an Incentive Stock Option
                    the terms of the Award Agreement shall be in conformance with the statutory
                    requirements for an Incentive Stock Option as specified in the Code.
                    

            

            

            	
                      	(d)
                    	Award
                    Agreements for Options shall specify when an Option may be exercisable. An
                    Option may be exercised, in whole or in part, by giving written notice of
                    exercise to the Corporation specifying the number of Shares to be purchased.
                    Shares purchased upon exercise of an Option shall be paid for in full at the
                    time the Option is exercised in cash or in Shares. Payment may also be made in
                    any other manner or form approved by the Committee, consistent with applicable
                    law, regulations and rules. 

            

            

            	
                      	(e)
                    	A holder of
                    an Option shall have no rights as a holder with respect to any Shares covered
                    by such Option unless and until the date of the issuance of such Shares.
                    

            

            

            

            

            

            

            

            	
                      	(f)
                    	(i)
                    	If a
                    Participant dies while employed by the Corporation or a Participating
                    Subsidiary and after completion of the required period of continuous employment
                    as provided in the Award Agreement following the date an Option is granted,
                    then the Option shall be exercisable by the Beneficiary of the Participant, but
                    only within the period specified in the Award Agreement which shall not be
                    later than three (3) years after the date of the Participants death and, in any
                    event, not later than the expiration date of the Option. 

            

            

            	
                      	(ii)
                    	Following
                    the death of a Participant, the Committee may at its discretion, upon the
                    request of such Participants Beneficiary who holds an exercisable Option and in
                    consideration of the surrender of such Option, pay the amount by which the Fair
                    Market Value Per Share on the date of such request shall exceed the Option
                    price per Share multiplied by the number of Shares as to which the request was
                    made. 

            

            

            	
                      	(g)
                    	If a
                    Participant is deemed by the Corporation or the applicable Participating
                    Subsidiary to be Totally Disabled, or if a Participant Retires, after
                    completion of any required period of continuous employment as provided in the
                    Award Agreement, following the date an Option was granted, the Option shall be
                    exercisable by the Participant or the Participants legal guardian or
                    representative, but only within the period specified in the Award Agreement,
                    which shall not be later than the expiration date of the Option. If a
                    Participant, to whom this Section 6.1(g) is applicable, dies before the
                    expiration of the period specified in the Award Agreement during which the
                    Option may be exercised, and without having exercised the Option, then the
                    Option shall be exercisable by the Beneficiary of the Participant during the
                    remainder of such specified period but only within three (3) years after the
                    date of the Participants death, and in any event, not later than the expiration
                    date of the Option. 

            

            

            	
                    6.2 	Stock
                    Appreciation Rights 

            

            

            	 	Stock
                    Appreciation Rights may be granted under this Program from time to time. If
                    Stock Appreciation Rights are granted they shall be upon the following terms
                    and conditions, and such additional terms and conditions, not inconsistent with
                    the express provisions of this Program, as the Committee in its discretion
                    shall deem desirable: 

            

            

            	
                      	(a)
                    	A Stock
                    Appreciation Right may be granted in tandem with part or all of, in addition
                    to, or completely independent of, an Option or any other Award under this
                    Program. A Stock Appreciation Right issued in tandem with an Option may be
                    granted at the time of grant of the related Option or at any time thereafter
                    during the term of the Option. 

            

            

            	
                      	(b)
                    	Award
                    Agreements for Stock Appreciation Rights shall conform to the requirements of
                    this Program and may contain such other provisions (including but not limited
                    to, the permitted form of payment for the exercise of the Stock Appreciation
                    Right, the requirement of employment for designated periods of time prior to
                    exercise and the ability of the Committee to revoke Stock Appreciation Rights
                    which are issued in tandem with Options without compensation to the
                    Participant) as the Committee shall deem advisable. 

            

            

            

            

            

            

            

            	
                      	(c)
                    	Stock
                    Appreciation Rights issued in tandem with Options shall be subject to the
                    following: 

            

            

            	
                      	(i)
                    	Stock
                    Appreciation Rights shall be exercisable at such time or times and to the
                    extent, but only to the extent, that the Option to which they relate shall be
                    exercisable. 

            

            

            	
                      	(ii)
                    	Upon
                    exercise of Stock Appreciation Rights the holder thereof shall be entitled to
                    receive a number of Shares equal in aggregate value to the amount by which the
                    Fair Market Value Per Share on the date of such exercise shall exceed the
                    option price per Share of the related Option, multiplied by the number of
                    Shares in respect of which the Stock Appreciation Rights shall have been
                    exercised. 

            

            

            	
                      	(iii)
                    	All or any
                    part of the obligation arising out of an exercise of Stock Appreciation Rights
                    may, at the discretion of the Committee, be settled by the payment of cash
                    equal to the aggregate value of the Shares (or a fraction of a Share) that
                    would otherwise be delivered under the Section 6.2 (c) (ii). 

            

            

            	
                      	(iv)
                    	Upon
                    exercise of Stock Appreciation Rights the Participant shall surrender to the
                    Corporation the unexercised tandem Options. 

            

            

            	
                      	(v)
                    	Stock
                    Appreciation Rights issued in tandem with Options shall automatically terminate
                    upon the exercise of such Options. 

            

            

            	
                    6.3 	
                    Restricted
                    Shares 

            

            

            	 	Awards of
                    Restricted Shares may be granted under this Program from time to time. If
                    Awards of Restricted Shares are granted they shall be upon the following terms
                    and conditions and such additional terms and conditions, not inconsistent with
                    the express provisions of this Program, as the Committee in its discretion
                    shall deem desirable: 

            

            

            	
                      	(a)
                    	Restricted
                    Shares are Shares which are subject to such terms, conditions and restrictions
                    as the Committee deems appropriate, which may include restrictions upon the
                    sale, assignment, transfer or other disposition of the Restricted Shares and
                    the requirement of forfeiture of the Restricted Shares upon termination of
                    employment under certain specified conditions. The Committee may condition the
                    lapsing of restrictions on part or all of an Award of Restricted Shares upon
                    the attainment of specific performance goals or such other factors as the
                    Committee may determine. Awards of Restricted Shares may be granted for no cash
                    consideration or for such minimum consideration as may be required by
                    applicable law. 

            

            

            	
                      	(b)
                    	Award
                    Agreements for Restricted Shares shall conform to the requirements of this
                    Program, and may contain such other terms and conditions (including but not
                    limited to, a description of a period during which the Participant may not
                    transfer the Restricted Shares and limits on encumbering the Restricted Shares
                    during such period) as the Committee shall deem desirable. To the extent
                    permitted by Section 14.3 hereof, the Committee may provide for the lapse of
                    any such term or condition in installments and may accelerate or waive any such
                    term or condition in whole or in part, based on service, performance and/or
                    such other factors or criteria as the Committee may determine. 

            

            

            

            

            

            

            

            	
                      	(c)
                    	Award
                    Agreements for Restricted Shares shall provide that the certificates
                    representing Restricted Shares shall be legended, that the shares shall be held
                    by a custodian, or that there be other mechanisms for maintaining control by
                    the Corporation of the Restricted Shares until the restrictions thereon are no
                    longer in effect. After the lapse, waiver or release of the restrictions
                    imposed pursuant to the Award Agreement on any Restricted Shares, an equal
                    amount of Shares without restrictions shall be released to the
                    Participant. 

            

            

            	
                      	(d)
                    	Except as
                    otherwise provided in this Program or in the Award Agreement, the Participant
                    shall have, with respect to Awards of Restricted Shares, all of the rights of a
                    holder of Shares, including the right to vote the Restricted Shares and the
                    right to receive any dividends on such Restricted Shares. The Committee may
                    provide that the payment of cash dividends shall or may be deferred. Any
                    reinvestment of deferred cash dividends shall be as determined by the
                    Committee. Non-cash dividends issued with respect to Restricted Shares shall be
                    subject to the same terms, conditions and restrictions that apply to the
                    Restricted Shares with respect to which such dividends are issued. Any
                    additional Shares issued with respect to dividends shall not be counted against
                    the maximum number of Shares for which Awards may be granted under this Program
                    as set forth in Section 5. 

            

            

            	
                      	(e)
                    	If the
                    employment of a Participant is terminated prior to the lapse of restrictions on
                    Restricted Shares because the Participant dies, becomes Totally Disabled or
                    Retires involuntarily, the restrictions on all Restricted Shares awarded to a
                    Participant shall lapse on the date of such termination. 

            

            

            	
                    6.4 	
                    Performance
                    Awards 

            

            

            	 	Performance
                    Awards may be granted under this Program from time to time. If Performance
                    Awards are granted they shall be upon the following terms and conditions and
                    such additional terms and conditions, not inconsistent with the express
                    provisions of this Program, as the Committee in its discretion shall deem
                    advisable: 

            

            

            	
                      	(a)
                    	Performance
                    Awards are Awards which are based upon the performance of all or a portion of
                    the Corporation and/or its Participating Subsidiaries or which are based upon
                    the individual performance of a Participant. Performance Awards may be in the
                    form of performance units, performance shares and such other forms of
                    Performance Awards which the Committee shall determine to be desirable.
                    Performance Awards are Awards which are granted to Participants contingent upon
                    (i) the future performance of all or a portion of the Corporation and/or one or
                    more Participating Subsidiaries, which may include, without limitation,
                    performance relative to a group of companies in the same or related industries,
                    achievement of specific business objectives, attainment of certain growth
                    rates, profitability goals and such other measurements as the Committee
                    determines to be appropriate, (ii) the future performance of a Participant,
                    which may include, without limitation, attainment of specified goals and
                    objectives and such other measurements as the Committee determines to be
                    appropriate, (iii) the future performance of a combination of all or a portion
                    of the Corporation and/or one or more Participating Subsidiaries and a
                    Participant, or (iv) such other measurements and criteria as may be considered
                    appropriate by the Committee. Performance Awards may contain multiple
                    performance measurements. 

            

            

            

            

            

            

            

            	
                      	(b)
                    	Award
                    Agreements for Performance Awards shall conform to the requirements of this
                    Program and may contain such other terms and conditions (including but not
                    limited to, applicable performance measurements, a description of whether
                    performance measurements are to be used singly or in combination, a description
                    of whether different performance measurements may be used for different
                    performance periods, the length of performance periods, the ability of the
                    Committee to amend and adjust measurements, payouts and performance periods of
                    Performance Awards and any requirements of employment during performance
                    periods) as the Committee shall deem desirable. 

            

            

            	
                      	(c)
                    	Award
                    Agreements for Performance Awards shall provide for a required minimum period
                    of continuous employment during a performance period of a Performance Award. If
                    such minimum period of continuous employment shall have elapsed, the Award
                    Agreement may provide, or the Committee may determine, the portion of the
                    payment of the Performance Award which the Participant or the Participants
                    Beneficiary, as applicable, is to receive at the end of the performance
                    period. 

            

            

            	
                    6.5 	Other
                    Awards 

            

            

            	 	The
                    Committee may grant other Share based Awards under this Program, including
                    without limitation, those Awards pursuant to which Shares are or may in the
                    future be acquired, Awards denominated in Share Units, securities convertible
                    into Shares and dividend equivalents. The Committee shall determine the terms
                    and conditions of such other Share based Awards. Shares issued in connection
                    with such other Share based Awards shall be issued for such minimum
                    consideration as shall be required by applicable law, rules and regulations,
                    and such additional consideration, if any, as may be determined by the
                    Committee. 

            

            

            	 	The
                    Committee may also grant other non-Share based Awards under this Program and
                    shall determine the terms and conditions of such other non-Share based Awards.
                    The Committee may grant such other Share based Awards and non-Share based
                    Awards in tandem or combination with other Awards or each other, in exchange of
                    other Awards, or in tandem or combination with, or as alternatives to grants or
                    rights under any other employee plan of the Corporation, including any plan of
                    any acquired entity. The Committee shall have the authority to determine the
                    Participants for such Awards and all other terms and conditions of such other
                    Awards. No amendment of this Program is required for the creation of another
                    type of Award. 

            

            

            

            

            

            

            

            	
                    7. 	
                    Bonuses 

            

            

            	
                    7.1 	
                    Determination of
                    Bonuses 

            

            

            	 	Bonuses may
                    be granted under this Program from time to time. The amount of Bonuses which
                    may be awarded shall be as determined by the Committee. The Committee may
                    establish a basis upon which aggregate Bonus expenditures for any year shall be
                    determined, which may include measurements of financial performance of the
                    Corporation and/or one or more of its Participating Subsidiaries, relative
                    performance of the Corporation and/or any one or more of its Participating
                    Subsidiaries within the same or related industries, competitive compensation
                    considerations and other measurements and criteria. 

            

            

            	 	In the case
                    of Named Executive Officers, the maximum annual individual Bonus Award to the
                    Chief Executive Officer shall be limited to an amount no greater than 0.15% of
                    Adjusted Net Income and for the other Named Executive Officers, an amount no
                    greater than 0.10% of Adjusted Net ncome. 

            

            

            	 	The
                    Committee in its sole discretion may, but shall not be required to, reduce the
                    amount of, or not grant a Bonus Award that could otherwise be granted based
                    upon such considerations as it deems appropriate. 

            

            

            	
                    7.2 	Form and
                    Time of Payment of Bonuses 

            

            

            	
                      	(a)
                    	Each Bonus
                    may be made at the discretion of the Committee either in cash, in Shares, in
                    Share Units, or in another form as determined by the Committee and may be made
                    partly in one form and partly in one or more other forms. In the case of an
                    Award of a Bonus in Shares or Share Units, the number shall be determined by
                    using the Fair Market Value Per Share on the date of the Award of the
                    Bonus. 

            

            

            	
                      	(b)
                    	The payment
                    of any Bonus shall be subject to such obligations or conditions as the
                    Committee may specify in making or recommending the Award of the Bonus, but
                    Bonuses need not be evidenced by Award Agreements. 

            

            

            	
                      	(c)
                    	When
                    payment of all or part of a Bonus is deferred in the form of Shares or Share
                    Units, the account of the Participant to whom the Bonus was made will be
                    credited with an amount per Share equal to the dividends payable on each issued
                    and outstanding Share (dividend equivalents). Amounts thus credited shall, in
                    the discretion of the Committee, either: 

            

            

            	
                      	(i)
                    	be paid in
                    cash as and when each such credit shall be made, or 

            

            

            	
                      	(ii)
                    	be credited
                    in Shares or Share Units, with the number determined by using the Fair Market
                    Value Per Share on the date of the dividend payment and delivered in such form
                    and at such time or times as may be determined by the Committee. 

            

            

            	
                      	(d)
                    	When
                    payment of all or part of a Bonus is deferred in cash, the Committee may
                    provide that the account of the Participant to whom the Bonus was made shall be
                    credited with amounts equivalent to interest (interest equivalents). Amounts
                    thus credited shall be at the rate determined by the Committee. 

            

            

            	
                      	(e)
                    	Any Bonus
                    payable in Shares may, in the discretion of the Committee, be paid in cash, on
                    each date on which payment in Shares would otherwise have been made, in an
                    amount equal to the Fair Market Value Per Share on each such date, multiplied
                    by the number of Shares which would otherwise have been paid on such
                    date. 

            

            

            

            

            

            

            

            	
                      	(f)
                    	Bonuses may
                    be awarded in Share Units in accordance with the following terms and conditions
                    and such other terms and conditions as the Committee may impose: 

            

            

            	
                      	(i)
                    	The number
                    of Share Units awarded with respect to any Bonus shall be the number determined
                    by using the Fair Market Value Per Share on the date of the Award of the
                    Bonus. 

            

            

            	
                      	(ii)
                    	Any Bonus
                    made in Share Units may, in the discretion or on the recommendation of the
                    Committee, be paid in Shares on each date on which payment in cash would
                    otherwise be made. 

            

            

            	
                      	(g)
                    	In lieu of
                    the foregoing forms of payment of Bonuses, the Committee may specify or
                    recommend any other form of payment which it determines to be of substantially
                    equivalent economic value to the cash value of the Bonus including, without
                    limitation, forms involving payments to a trust or trusts for the benefit of
                    one or more Participants. 

            

            

            	
                      	(h)
                    	Each
                    payment of a Bonus that is to be made in cash shall be from the general funds
                    of the Corporation or the Participating Subsidiary making the payment.
                    

            

            

            	
                      	(I)
                    	In the
                    event of the death of a Participant to whom a Bonus is to be or shall have been
                    made, the Bonus or any portion thereof remaining unpaid shall be paid to such
                    Participants Beneficiary either in the manner in which payment would have been
                    made had the Participant not died or in such other manner as may be determined
                    by the Committee. 

            

            

            	
                    8. 	
                    Adjustments upon Changes
                    in Capitalization 

            

            

            	 	Subject to
                    any required action by the Corporation’s or any Participating
                    Subsidiary’s shareholders, in the event of a reorganization,
                    recapitalization, stock split, stock dividend, exchange of Shares (or the
                    underlying securities), combination of Shares (or the underlying securities),
                    merger, consolidation or any other change in corporate structure of the
                    Corporation or a Participating Subsidiary affecting the Shares, or in the event
                    of a sale by the Corporation or any Participating Subsidiary of all or a
                    significant part of assets, or any distribution to shareholders other than a
                    normal cash dividend, the Committee may make appropriate adjustment in the
                    number, kind, price and value of Shares authorized by this Program and any
                    adjustments to outstanding Awards as it determines appropriate so as to prevent
                    dilution or enlargement of rights. 

            

            

            	
                    9. 	Change
                    in Control 

            

            

            	
                    9.1 	
                    Definition of Change in
                    Control 

            

            

            	 	A Change in
                    Control shall be deemed to have occurred if any one or more of the events
                    described in paragraphs (a), (b) or (c) below occurs: 

            

            

            	
                      	(a)
                    	Any person,
                    as such term is used in Sections 13(d) and 14(d) of the Exchange Act (including
                    any group of persons with which any person [or its affiliates or associates, as
                    such terms are defined in Rule 12b-2 under the Exchange Act, of such person]
                    has any agreement, arrangement or understanding, oral or written, regarding the
                    acquiring, holding, voting or disposing of any of the Corporations securities,
                    but excluding a trustee or other fiduciary holding securities under an employee
                    benefit plan of the Corporation) (i) is or becomes the beneficial owner (as
                    defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of
                    securities of the Corporation representing twenty percent (20%) or more of the
                    combined voting power of the Corporations then outstanding securities
                    (hereinafter referred to as an Acquiring Person), and (ii) any such person
                    becoming an Acquiring Person was not approved by the Board of Directors of the
                    Corporation which was composed of Continuing Directors, as that term is defined
                    below in (b), before the person became an Acquiring Person; or 

            

            

            

            

            

            

            

            	
                      	(b)
                    	The Board
                    of Directors is no longer comprised of Continuing Directors (which for purposes
                    of this Program shall mean (i) any person who is a director prior to the
                    effective date of this Program and who is not, while serving as a director, an
                    Acquiring Person (or a representative, affiliate or associate thereof), or (ii)
                    any person whose nomination for election, or election, to the Board of
                    Directors subsequent to the date of this Program is recommended or approved by
                    at least two-thirds of Continuing Directors and who is not, while serving as a
                    director, an Acquiring Person (or a representative, affiliate or associate
                    thereof) ); or 

            

            

            	
                      	(c)
                    	There
                    occurs a Business Combination, as that term is defined as of the effective date
                    of this Program in INDIANA CODE Section 23-1-43-5 (with the terms resident
                    domestic corporation and interested shareholder as used in that Section being
                    deemed to refer to the Corporation and to an Acquiring Person, respectively),
                    that was not approved by the Board of Directors of the Corporation, which was
                    comprised of Continuing Directors, before the Acquiring Person became an
                    Acquiring Person. 

            

            

            	 	However, in
                    no event shall a Change in Control be deemed to have occurred, with respect to
                    a Participant, if that Participant is part of an Acquiring Person which
                    consummates the Change in Control transaction. A Participant shall be deemed
                    part of an Acquiring Person for purposes of the preceding sentence if the
                    Participant is an equity participant or has agreed to become an equity
                    participant in the Acquiring Person (except for (i) passive ownership of less
                    than 3% of the securities of the Acquiring Person; or (ii) ownership of equity
                    participation in the Acquiring Person which is otherwise not deemed to be
                    significant, as determined prior to the Change in Control by a majority of the
                    disinterested Continuing Directors). 

            

            

            	
                    9.2 	Effect
                    of Change in Control 

            

            

            	 	Upon the
                    occurrence of an event of Change in Control, unless otherwise specifically
                    prohibited by the terms of the second paragraph of Section 6: 

            

            

            	
                      	(a)
                    	Any and all
                    Options and Stock Appreciation Rights shall become immediately
                    exercisable; 

            

            

            	
                      	(b)
                    	Any
                    restriction periods and restrictions imposed on Restricted Shares shall lapse,
                    and within ten (10) business days after the occurrence of a Change in Control,
                    an equal amount of Shares without restrictions shall be released to the
                    applicable Participants; 

            

            

            

            

            

            

            

            	
                      	(c)
                    	The target
                    value attainable under all Performance Awards shall be deemed to have been
                    fully earned for the entire performance period as of the effective date of the
                    Change in Control, except that all Performance Awards which shall have been
                    outstanding less than six (6) months on the effective date of the Change in
                    Control shall not be deemed to have earned the target value; and 

            

            

            	
                      	(d)
                    	Subject to
                    Section 14.3 hereof, all such other actions and modifications to the Awards as
                    determined by the Committee to be appropriate before the Acquiring Person
                    became an Acquiring Person upon the Change in Control of the Corporation shall
                    become effective. 

            

            

            	
                    10. 	
                    Relationship of the
                    Program to Benefit Plans 

            

            

            	 	Except to
                    the extent excluded under an applicable plan document, the determination of
                    whether a Bonus or any portion thereof is to be treated as includable in a
                    Participants earnings base, for the purpose of determining such Participants
                    benefits under retirement, savings, group life insurance, long-term disability
                    plans and other benefit plans of the Corporation or a Participating Subsidiary,
                    will be made by the Committee. No other income of a Participant attributable to
                    this Program shall be included in the Participants earnings for purposes of any
                    benefit plan in which the Participant may be eligible to participate.
                    

            

            

            	
                    11. 	Effect
                    of the Program On Right to Continued Employment and Interest In Particular
                    Property 

            

            

            	 	None of the
                    existence of this Program, any Awards granted pursuant hereto or any Award
                    Agreement shall create any right to continued employment of any Employee by the
                    Corporation, any of its subsidiaries or Participating Subsidiaries. No
                    Participant shall have, under any circumstances, any interest whatsoever,
                    vested or contingent, in any particular property or asset of the Corporation,
                    any subsidiary or any Participating Subsidiary or in any particular Share or
                    Shares (other than Restricted Shares held by a custodian) by virtue of any
                    Award. A Participant may be granted additional Awards under this Program under
                    such circumstances and at such times as the Committee may determine; provided,
                    however, that no Participant shall be entitled to any Award in the absence of a
                    specific grant by the Committee of an Award, notwithstanding the prior grant of
                    an Award to such Participant. 

            

            

            	 	This
                    Program shall not be deemed a substitute for, and shall not preclude the
                    establishment or continuation of any other plan, practice or arrangement that
                    may now or hereafter be provided for the payment of compensation, special
                    awards or employee benefits to employees of the Corporation, its Participating
                    Subsidiaries, and its subsidiaries generally, or to any class or group of
                    employees, including without limitation, any savings, thrift, profit-sharing,
                    pension, retirement, excess benefit, insurance, health care plans or other
                    employee benefit plans. Any such arrangements may be authorized by the
                    Corporation, its Participating Subsidiaries, and its subsidiaries generally and
                    payment thereunder made independently of this Program. 

            

            

            

            

            

            

            

            	
                    12. 	
                    Withholding Taxes and
                    Deferrals 

            

            

            	
                    12.1 	Cash
                    Withholding 

            

            

            	 	The
                    Corporation or its Participating Subsidiaries shall have the right to deduct
                    from any cash payment made under Awards under this Program any federal, state
                    or local income, or other taxes required by law to be withheld with respect to
                    such payment or to take such other action as may be necessary in the opinion of
                    the Corporation or its Participating Subsidiaries to satisfy all obligations
                    for the payment of such taxes. 

            

            

            	
                    12.2 	Share
                    Withholding 

            

            

            	 	Any Share
                    based Award may provide by the grant thereof that the recipient of such Award
                    may elect, in accordance with any applicable laws, rules and regulations, to
                    pay a portion or all of the amount of such minimum required withholding taxes
                    in Shares. In such event, the Participant shall authorize the Corporation to
                    withhold, or shall agree to deliver to the Corporation, Shares owned by such
                    Participant or a portion of the Shares that otherwise would be distributed to
                    such Participant, having a Fair Market Value equal to the amount of withholding
                    tax liability. 

            

            

            	
                    12.3 	
                    Deferrals
                    

            

            

            	 	The
                    Committee may require or permit a Participant to defer such Participant’s
                    receipt of the payment of cash or the delivery of Shares that would otherwise
                    be due to such Participant by virtue of the exercise, the satisfaction of any
                    requirements or goals or lapse or waiver of restrictions of an Award made under
                    this Program. If any such deferment election is required or permitted, the
                    Committee shall establish rules and procedures for such payment
                    deferrals. 

            

            

            	
                    13. 	
                    Compliance With
                    Applicable Legal Requirements 

            

            

            	 	No Shares
                    or other securities distributable pursuant to this Program shall be issued and
                    delivered unless the issuance thereof complies with all applicable legal
                    requirements including, without limitation, compliance with the provisions of
                    applicable state securities laws, the Securities Act of 1933, as amended from
                    time to time or any successor statute, the Securities Exchange Act of 1934, as
                    amended from time to time or any successor statute, the requirements of the
                    exchanges on which Shares or other securities may, at the time, be listed, and
                    applicable United Kingdom law. 

            

            

            	
                    14. 	
                    Amendments
                    

            

            

            	
                    14.1 	Program
                    Amendments 

            

            

            	 	The
                    Committee or the Board, as appropriate, may, insofar as permitted by law, from
                    time to time, with respect to any Shares at the time not subject to Awards,
                    suspend or discontinue this Program or revise or amend it in any respect
                    whatsoever. 

            

            

            	
                    14.2 	
                    Amendments of
                    Awards 

            

            

            	 	Subject to
                    the terms and conditions and within the limitations of this Program, the
                    Committee may amend, cancel, modify, or extend outstanding Awards granted under
                    this Program. 

            

            

            

            

            

            

            

            	
                    14.3 	Rights
                    of Participants 

            

            

            	 	No
                    amendment, suspension or termination of this Program nor any amendment,
                    cancellation or modification of any outstanding Award or Award Agreement that
                    would adversely affect the right of any Participant with respect to an Award
                    previously granted under this Program will be effective without the written
                    consent of the affected Participant. Such written consent may be obtained
                    simultaneously with the grant of any Award. 

            

            

            	
                    15. 	
                    Miscellaneous
                    Provisions 

            

            

            	
                    15.1 	
                    Beneficiaries
                    

            

            

            	 	Any Award
                    Agreement may provide that in the case of an Award that is not forfeitable by
                    its terms upon the death of the Participant, the Participant may designate a
                    Beneficiary with respect to such Award in the event of death of a Participant.
                    If such Beneficiary is the executor or administrator of the estate of the
                    Participant, any rights with respect to such Award may be transferred to the
                    person or persons or entity (including a trust) entitled thereto by bequest of
                    or inheritance from the holder of such Award. 

            

            

            	
                    15.2 	Awards
                    in Foreign Countries 

            

            

            	 	The
                    Committee shall have the authority to adopt such modifications, procedures and
                    subplans as may be necessary or desirable to comply with provisions of the laws
                    of foreign countries in which the Corporation or its Participating Subsidiaries
                    may operate to assure the viability of the benefits of Awards made to
                    Participants employed in such countries and to meet the objectives of this
                    Program. 

            

            

            	
                    15.3 	
                    Non-Transferability
                    

            

            

            	 	Except as
                    otherwise provided in Award Agreements or in this Program, Awards under this
                    Program may not be transferred by Participants during their lifetimes and may
                    not be assigned, pledged or otherwise transferred, except for those Awards
                    which are not forfeitable upon the death of a Participant may be transferred by
                    will or the laws of descent and distribution. The designation of a Beneficiary
                    shall not constitute a transfer. 

            

            

            	
                    15.4 	
                    Cancellation of
                    Awards 

            

            

            	 	Except as
                    otherwise provided in this Program or in applicable Award Agreements, the terms
                    of which need not be uniform among Participants, if a Participant to whom an
                    Award is granted ceases to be employed by the Corporation or by a Participating
                    Subsidiary, all of such Participants unexercised Awards and Awards on which
                    there are restrictions shall be immediately canceled. 

            

            

            	 	As amended
                    and restated effective January 4, 1999.ex10-1.htm

     

    Exhibit
10.1

    STOCK
PURCHASE AGREEMENT

    

    This
Stock Purchase Agreement (“Agreement”) is made as of
October 16, 2006, by and among Vemics, Inc., a Nevada corporation (“Buyer”); NuScribe, Inc., a Texas
corporation (the “Company”); John Mehmet Ulgar
Dogru, Thomas Dorsett, C. Robert Heritage Trust, Jang Kim, Reid Moody, Angela
Moody, Steven Williams, Clark Redus and Bala Sambandam (individually a “Founding Shareholder”, and
together, the “FoundingShareholders”); and the other
shareholders of NuScribe, Inc. who are signatories hereto and are identified on
the signature page hereof as the “Investor
Shareholders.”  The Founding Shareholders and the Investor
Shareholders are collectively referred to herein as, the “Sellers”).

    

    RECITALS

    

    Sellers
desire to sell, and Buyer desires to purchase, all of the issued and outstanding
shares of capital stock of the Company held by (i) the Founding Shareholders
(the “Founders Shares”)
and (ii) the Investor Shareholders (the “Investor Shares”, and
collectively with the Founders Shares, the “Shares”), for the
consideration and on the terms set forth in this Agreement.

    

    It is
intended that the Contemplated Transactions qualify as a tax-free acquisition
within the meaning of Section 368(a) of the IRC.

    

    AGREEMENT

    

    The
parties, intending to be legally bound, agree as follows:

    

    1.           
DEFINITIONS.  For
purposes of this Agreement, the following terms have the meanings specified or
referred to in this Section
1:

    

    “Adjustment Amount” is defined in Section
2.5.

    

    “Adjustment Shares” is defined
in Section
2.5.

    

    “Applicable Contract” means
any Contract (a) under which any Person has or may acquire any rights, (b) under
which any Person has or may become subject to any obligation or liability, or
(c) by which any Person or any of the assets owned or used by it is or may
become bound.

    

    “Best Efforts” means the
efforts that a prudent Person desirous of achieving a result would use in
similar circumstances to ensure that such result is achieved as expeditiously as
possible; provided,
however, that an obligation to use Best Efforts under this Agreement does
not require the Person subject to that obligation to take actions that would
result in a materially adverse change in the benefits to such Person of this
Agreement and the Contemplated Transactions.

    

    “Breach” — A “Breach” with
respect to any representation, warranty, covenant, obligation, or other
provision of this Agreement or any instrument delivered pursuant to this
Agreement will be deemed to have occurred if there is or has been (a) any
inaccuracy in or breach of or any failure to perform or comply with, such
representation, warranty, covenant, obligation, or other provision, or (b) any
claim (by any Person) or other occurrence or circumstance that is or was
inconsistent with such representation, warranty, covenant, obligation, or other
provision, and the term “Breach” means any such inaccuracy, breach, failure,
claim, occurrence, or circumstance.

    

    “Buyer” is defined in the
first paragraph of this Agreement.

    

    “Buyer Copyrights” is defined
in Section
4.22(a)(iii).

    

    “Buyer Financial Statements”
is defined in Section
4.7.

    

    “Buyer Intellectual Property
Assets” is defined in Section
4.22(a).

    

    “Buyer Marks” is defined in
Section
4.22(a)(i).

    

    “Buyer Material Contract” is
defined in Section
4.17(a).

    

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    “Buyer Other Benefit
Obligations” means all obligations, arrangements, or customary practices,
whether or not legally enforceable, to provide benefits, other than salary, as
compensation for services rendered, to present or former directors, employees,
or agents, other than obligations, arrangements, and practices that are Buyer
Plans.  Buyer Other Benefit Obligations include consulting agreements
under which the compensation paid does not depend upon the amount of service
rendered, sabbatical policies, severance payment policies, and fringe benefits
within the meaning of any equivalent Legal Requirement.

    

    “Buyer Patents” is defined in
Section
4.22(a)(ii).

    

    “Buyer Plan” — any plan, fund,
or program which was established, maintained or contributed to by Buyer, to the
extent that such plan, fund, or program was established, maintained or
contributed to for the purpose of providing for employees of Buyer or their
dependents (A) medical, surgical, or hospital care or benefits, or benefits in
the event of sickness, accident, disability, death or unemployment, or vacation
benefits, apprenticeship or other training programs, or day care centers,
scholarship funds, or prepaid legal services, (B) provides retirement income
payments, supplemental retirement income payments or severance payment
arrangements to employees of Buyer, or (D) results in a deferral of income by
employees for periods extending to the termination of covered employment or
beyond.  The term “Buyer Plan” shall include all
plans, funds, or programs described in the immediately preceding sentence,
whether qualified or unqualified, whether funded or unfunded, and whether
existing under any applicable Legal Requirement.

    

    “Buyer Premises” is defined in
Section
4.19.

    

    “Buyer Shares” is defined in
Section
2.2.

    

    “Buyer Trade Secrets” is
defined in Section 4.22(iv).

    

    “Buyer’s Disclosure Schedule”
means the disclosure schedule attached hereto as Schedule A, and made
a part hereof.

    

    “Closing” is defined in Section
23.

    

    “Closing Date” means the date
and time as of which the Closing actually takes place.

    

    “Company” is defined in the
first paragraph of this Agreement.

    

    “Company Breach” is defined in
Section
7.5.

    

    “Company Other Benefit
Obligations” means all obligations, arrangements, or customary practices,
whether or not legally enforceable, to provide benefits, other than salary, as
compensation for services rendered, to present or former directors, employees,
or agents, other than obligations, arrangements, and practices that are Company
Plans.  Company Other Benefit Obligations include consulting
agreements under which the compensation paid does not depend upon the amount of
service rendered, sabbatical policies, severance payment policies, and fringe
benefits within the meaning of any equivalent Legal Requirement.

    

    “Company Plan” any plan, fund,
or program which was established, maintained or contributed to by the Company,
to the extent that such plan, fund, or program was established, maintained or
contributed to for the purpose of providing for employees of the Company or
their dependents (A) medical, surgical, or hospital care or benefits, or
benefits in the event of sickness, accident, disability, death or unemployment,
or vacation benefits, apprenticeship or other training programs, or day care
centers, scholarship fluids, or prepaid legal services, (B) provides retirement
income payments, supplemental retirement income payments or severance payment
arrangements to employees of the Company, or (D) results in a deferral of income
by employees for periods extending to the termination of covered employment or
beyond.  The term “Company Plan” shall include
all plans, funds, or programs described in the immediately preceding sentence,
whether qualified or unqualified, whether funded or unfunded, and whether
existing under any applicable Legal Requirement.

    

    “Company Records” is defined
in Section
3.5.

    

    “Consent” means any approval,
consent, ratification, waiver, or other authorization (including any
Governmental Authorization).

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    “Consulting Agreement” is
defined in Section
2.4(a)(iv).

    

    “Contemplated Transactions”
means all of the transactions contemplated by this Agreement,
including:

    

    (a)           
the sale of the Shares by Sellers to Buyer;

    

    (b)           
the execution, delivery, and performance of the Employment Agreements, the
Consulting Agreement, the Sellers’ Releases and the Stock Pledge
Agreement;

    

    (c)           
the performance by Buyer and Sellers of their respective covenants and
obligations under this Agreement; and

    

    (d)           
Buyer’s acquisition and ownership of the Shares and exercise of control over the
Company.

    

    “Contract” means any
agreement, contract, obligation, promise, or undertaking (whether written or
oral and whether express or implied) that is legally binding.

    

    “Copyrights” is defined in
Section
3.20(a)(iii).

    

    “Damages” is defined in Section
10.2.

    

    “Employment Agreements” is
defined in Section
2.4(a)(iii).

    

    “Encumbrance” means any
charge, claim, community property interest, condition, equitable interest, lien,
option, pledge, security interest, right of first refusal, or restriction of any
kind, including any restriction on use, voting, transfer, receipt of income, or
exercise of any other attribute of ownership.

    

    “Environment” means soil, land
surface or subsurface strata, surface waters (including navigable waters, ocean
waters, streams, ponds, drainage basins, and wetlands), groundwaters, drinking
water supply, stream sediments, ambient air (including indoor air), plant and
animal life, and any other environmental medium or natural
resource.

    

    “Environmental Law” means any
Federal, state, local or foreign law, ordinance, rule, regulation, permit or
authorization pertaining to the protection of human health or the
environment.

    

    “ERISA” means the Employee
Retirement Income Security Act of 1974 or any successor law, and regulations and
rules issued pursuant to that Act or any successor law.

    

    “Exchange Act” means the
Securities Exchange Act of 1934 or any successor law, and regulations and rules
issued pursuant to that Act or any successor law.

    

    “GAAP” means generally
accepted United States accounting principles, applied on a basis consistent with
the basis on which the Interim Balance Sheet and the other financial statements
referred to in Section
3.4 were prepared.

    

    “Governmental Authorization”
means any approval, consent, license, permit; waiver, or other authorization
issued, granted, given, or otherwise made available by or under the authority of
any Governmental Body or pursuant to any Legal Requirement.

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    “Governmental Body” means
any:

    

    (a)           
nation, state, county, city, town, village, district, or other jurisdiction of
any nature;

    

    (b)           
federal, state, local, municipal, foreign, or other government;

    

    (c)           
governmental or quasi-governmental authority of any nature (including any
governmental agency, branch, department, official, or entity and any court or
other tribunal);

    

    (d)           
multi-national organization or body; or

    

    (e)           
body exercising, or entitled to exercise, any administrative, executive,
judicial, legislative, police, regulatory, or taxing authority or power of any
nature.

    

    “Intellectual Property Assets”
is defined in Section
3.20.

    

    “Interim Balance Sheet” is
defined in Section
3.4.

    

    “IRC” means the Internal
Revenue Code of 1986 or any successor law, and regulations issued by the IRS
pursuant to the Internal Revenue Code or any successor law.

    

    “IRS” means the United States
Internal Revenue Service or any successor agency and, to the extent relevant,
the United States Department of the Treasury.

    

    “Knowledge” —An individual
will be deemed to have “Knowledge” of a particular fact or other matter if such
individual is actually aware of such fact or other matter.

    

    “Knowledge of the Buyer” means
the Knowledge of Fred Zolla, Brian Howell, Rick Marciniak, Tom Owens, and Craig
Stout as officers, directors and/or shareholders of Buyer.

    

    “Knowledge of the Company”
means the Knowledge of Thomas Dorsett and John Mehmet Ulgar Dogru as officers,
directors and/or shareholders of the Company.

    

    “Legal Requirement” means any
federal, state, local, municipal, foreign, international, multinational, or
other administrative order, constitution, law, ordinance, principle of common
law, regulation, statute, or treaty.

    

    “Marks” is defined in Section
3.20(a)(i).

    

    “Material Adverse Effect”
means any event, circumstance or condition that has a material adverse effect on
the business, assets (including intangible assets), liabilities, financial
condition, property or results of operations of the Company or Buyer, as
applicable.

    

    “Order” means any award,
decision, injunction, judgment, order, ruling, subpoena, or verdict entered,
issued, made, or rendered by any court, administrative agency, or other
Governmental Body or by any arbitrator.

    

    “Ordinary Course of Business”
— An action taken by a Person will be deemed to have been taken in the “Ordinary
Course of Business” only if such action is consistent with the past practices of
such Person and is taken in the ordinary course of the normal day-to-day
operations of such Person.

    

    “Organizational Documents”‘,
where applicable, means (a) the articles or certificate of incorporation and the
bylaws of a corporation; (b) the partnership agreement and any statement of
partnership of a general partnership; (c) the limited partnership agreement and
the certificate of limited partnership of a limited partnership; (d) the
articles or certificate of formation or organization, and operating agreement of
any limited liability company, (e) any charter or similar document adopted or
filed in connection with the creation, formation, or organization of a Person;
and (f) any amendment to any of the foregoing.

    

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    “Patents” is defined in Section
3.20(a)(ii).

    

    “Permitted Encumbrances” means
(a) security interests shown on the Interim Balance Sheet (as with respect to
the Company) or the Buyer Financial Statements (as with respect to Buyer) as
securing specified liabilities or obligations, with respect to which no default
(or event that, with notice or lapse of time or both, would constitute a
default) exists, (b) security interests incurred in connection with the purchase
of property or assets after the date of the Interim Balance Sheet (as with
respect to the Company) or the Buyer Financial Statements (as with respect to
Buyer (such security interests being limited to the property or assets so
acquired), with respect to which no default (or event that, with notice or lapse
of time or both, would constitute a default) exists, (c) liens for current taxes
or other assessments not yet due, (d) Encumbrances in favor of operators,
vendors, carriers, warehousemen, repairmen, mechanics, workmen and materialmen
and construction or similar Encumbrances arising by operation of law or in the
Ordinary Course of Business in respect of obligations that are not yet due or
that are being contested in good faith by appropriate proceedings, and (e)
workers’ or unemployment compensation Encumbrances arising in the Ordinary
Course of Business.

    

    “Person” means any individual,
corporation (including any non-profit corporation), general or limited
partnership, limited liability company, joint venture, estate, trust,
association, organization, labor union, or other entity or Governmental
Body.

    

    “Premises” is defined in Section
3.17.

    

    “Pro Rata Share” means, as to
any Seller, the percentage obtained by dividing the number of Shares owned by
such Seller by the total number of Shares.

    

    “Proceeding” means any action,
arbitration, audit, hearing, investigation, litigation, or suit (whether civil,
criminal, administrative, investigative, or informal) commenced, brought,
conducted, or heard by or before, or otherwise involving any Governmental Body
or arbitrator.

    

    “Related Person” means, with
respect to a particular individual:

    

    (a)           
each other member of such individual’s Family;

    

    (b)           
any Person that is directly or indirectly controlled by such individual or one
or more members of such individual’s Family; and

    

    (c)           
any Person with respect to which such individual or one or more members of such
individual’s Family serves as a director, officer, partner, executor, or trustee
(or in a similar capacity).

    With
respect to a specified Person other than an individual, “Related Person”
means:

    

    (a)           
any Person that directly or indirectly controls, is directly or indirectly
controlled by, or is directly or indirectly under common control with such
specified Person;

    

    (b)           
each Person that serves as a director, officer, partner, executor, or trustee of
such specified Person (or in a similar capacity); and

    

    (c)           
any Related Person of any individual described in clause (b) or
(c).

    

    For
purposes of this definition, the “Family” of an individual
includes (i) the individual, (ii) the individual’s spouse, and (iii) any other
natural person who is related to the individual or the individual’s spouse
within the second degree.

    

    “Representative” means, with
respect to a particular Person, any director, officer, employee, agent,
consultant, advisor, or other representative of such Person, including legal
counsel, accountants, and financial advisors.

    

    “Securities Act” means the
Securities Act of 1933 or any successor law, and regulations and rules issued
pursuant to that Act or any successor law.

    

    “Sellers Breach” is defined in
Section
7.5.

    

    “Sellers” is defined in the
first paragraph of this Agreement

    

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    “Sellers’ Disclosure Schedule”
means the disclosure schedule attached hereto as Schedule B, and made a part
hereof

    

    “Sellers’ Releases” is defined
in Section
2.4(a)(ii).

    

    “Sellers’ Representative” is
defined in Section
11.16.

    

    “Shares” is defined in the
Recitals of this Agreement.

    

    “Stock Pledge Agreement” is
defined in Section
2.4.

    

    “Subsidiary” means, with
respect to any Person (the “Owner”), any corporation or
other Person of which securities or other interests having the power to elect a
majority of that corporation’s or other Person’s board of directors or similar
governing body, or otherwise having the power to direct the business and
policies of that corporation or other Person (other than securities or other
interests having such power only upon the happening of a contingency that has
not occurred) are held by the Owner or one or more of its Subsidiaries; when
used without reference to a particular Person, “Subsidiary” means a
Subsidiary of the Company.

    

    “Tax Return” means any return
(including any information return), report, statement, schedule, notice, form,
or other document or information statement filed with or submitted to, or
required to be filed with or submitted to, any Governmental Body in connection
with the

    determination,
assessment, collection, or payment of any Tax or in connection with the
administration, implementation, or enforcement of or compliance with any Legal
Requirement relating to any Tax.

    

    “Threatened” means that a
claim, Proceeding, dispute, action, or other matter will be deemed to have been
“Threatened” if any written demand or statement has been made or any written
notice has been given.

    

    “Trade Secrets” is defined in
Section
3.20(a)(iv).

    

    “Venus Stock Price” means
$0.90, as adjusted for stock splits, stock dividends, stock subdivisions or
combinations and the like.

    

    2.           
SALE AND
TRANSFER OF SHARES; CLOSING

    

    2.1           
SHARES.  Subject
to the terms and conditions of this Agreement, at the Closing, Sellers will sell
and transfer the Shares to Buyer; and Buyer will purchase the Shares from
Sellers.

    

    2.2           
PURCHASE
PRICE.  The purchase wire for the Shares will be $9,000,000
(the “Purchase Price”), payable in the form of that number of shares of Buyer’s
common stock, par value $0.01 per share calculated, by dividing $9,000,000 by
the Venues Stock Price (the “BuyerShares”).  The
Purchase Price and the corresponding number of Buyer Shares to be delivered to
Sellers shall be adjusted as provided in Sections 2.5 and
2.6 and 2.7(d).

    

    2.3           
CLOSING.  The
exchange of the Buyer Shares for the Shares (the “Closing”) provided for in
this Agreement will take place at the offices of Buyer’s counsel at 11921
Rockville Pike, Third Floor, Rockville, MI) 20852, at 10:00 a.m. (local time) on
the later of (i) October 16, 2006, or (ii) at such other time and place as the
parties may agree.

    

    2.4           
CLOSING
OBLIGATIONS.  At the Closing:

    

    (a)           
Sellers will deliver to Buyer:

    

    (i)           
certificates representing the Shares, duly endorsed (or accompanied by duly
executed stock powers) for transfer to Buyer;

    

    (ii)           
releases in the form of Exhibit 2.4(a)(ii)
executed by Sellers (collectively, “Sellers’ Releases”);

    

    (iii)           
employment agreements in the form of Exhibit 2.4(a)(iii),
executed by each of Tom Dorsett and John Dogru (together, the “Employment Agreements”)
;

    

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    (iv)           
a consulting agreement in the form of Exhibit 2.4(a)(iv),
executed by Brian Groh (the “Consulting
Agreement”);

    

    (v)            
an opinion of Jackson Walker L.L.P., dated the Closing Date reasonably
acceptable to Buyer;

     

    (vi)           
all Consents necessary for the Company to consummate the Contemplated
Transactions;

    

    (vii)          access
to the Company Records; and

    

    (viii)         such
other documents as Buyer may reasonably request for the purpose of (i) enabling
its counsel to provide the opinion referred to in Section 2.4(b)(v), or
(ii) otherwise facilitating the consummation or performance of any of the
Contemplated Transactions.

    

    (b)           
Buyer will deliver to Sellers:

    

    (i)           
99.0% of the number of Buyer Shares, delivered to the Sellers in proportion to
their respective ownership of the Shares;

    

    (ii)          
the balance of the Buyer Shares (the “Holdback Shares”) shall be
delivered to the Sellers pursuant to Section
2.6(b);

    

    (iv)          an
opinion of Shulman, Rogers, Gandal, Pordy & Ecker, PA., dated the Closing
Date reasonably acceptable to the Seller Representative;

    

    (v)           the
Employment Agreements, executed by Buyer;

    

    (vi)          the
Consulting Agreement, executed by Buyer, and

    

    (vii)         all
Consents necessary for Buyer to consummate the Contemplated Transactions;
and

    

    (viii)        such
other documents as Sellers may reasonably request for the purpose of (i)
enabling its counsel to provide the opinion referred to in Section 2.4(a)(iv),
or (ii) otherwise facilitating the consummation or performance of any of the
Contemplated Transactions.

    

    (c)           
Buyer and the Founding Shareholders will enter into an stock pledge agreement in
a foam mutually acceptable to Buyer and the Founding Shareholders (the “StockPledge Agreement”), whereby
the Founding Shareholders will pledge 10% of their Buyer’s Shares for one year
as security for the indemnification obligations set forth in Section
7.2.

    

    2.5           
ADJUSTMENT
AMOUNT.  The Purchase Price and the corresponding number of
Buyer Shares to be delivered to Sellers shall be decreased by the amount; if
any, by which the accrued total liabilities of the Company as of the Closing
Date determined in accordance with GAAP is greater than $70,000, including
Thomas Dorsett’s American Express credit card debt incurred on behalf of the
Company (the “Adjustment
Amount”); provided, however, no adjustment will be so made to the extent
that the Adjustment Amount does not exceed $50,000 in either event the
Adjustment Amount shall be converted into a number of Buyer Shares by dividing
the Adjustment Amount by the Vemics Closing Price (the “Adjustment
Shares”).

    

    
      
        
        

      

      
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    2.6           
ADJUSTMENT
PROCEDURE.

    

    (a)           
The Sellers’ Representative will prepare and will cause Todd Keller, CPA, the
Company’s certified public accountant, to review (as the Company’s expense), a
balance sheet (“Closing
Balance Sheet”) of the Company as of the Closing Date and a calculation
of the Adjustment Amount.  Sellers will deliver the Closing Balance
Sheet to Buyer within thirty (30) clays after the Closing
Date.  Following the Closing, Buyer shall provide the Sellers’
Representative access to the records and employees of the Company to the extent
necessary for the preparation of the Closing Balance Sheet and shall cooperate
and cause the Company and the employees of the Company to cooperate with the
Sellers’ Representative, the accounting firm reviewing the Closing Balance Sheet
(the “Closing Balance Sheet
Accounting Firm”) in connection with its preparation and review of the
Closing Balance Sheet, which cooperation shall include executing and delivery to
the Closing Balance Sheet Accounting Firm such management representation letters
and engagement letters as may be requested by the Closing Balance Sheet
Accounting Firm and taking all such reasonable actions necessary to permit
completion of the review of the Closing Balance Sheet.  If within ten
(10) days following delivery of the Closing Balance Sheet, Buyer has not given
Sellers’ Representative notice of its objection to Sellers’ Representative’s
calculation of the Adjustment Amount (such notice must contain a statement of
the basis of Buyer’s objection), then such Adjustment Amount will be deemed to
be the final Adjustment Amount for all purposes hereunder.  If Buyer
gives such notice of objection, then, within three (3) business days of delivery
of such notice of objection, the issues in dispute with respect to the
calculation of the Adjustment Amount will be submitted to BDO Seidman, certified
public accountants, or such other certified public accountants as Buyer and the
Sellers’ Representative may agree (the “Accountants’’), for
resolution, and (i) each party will furnish to the Accountants such workpapers
and other documents and information relating to the disputed issues as the
Accountants may request and are available to that party, and will be afforded
the opportunity to present to the Accountants any material relating to the
determination and to discuss the determination with the Accountants; (ii) the
determination by the Accountants of the Adjustment Amount, as set forth in a
notice delivered to both parties by the Accountants within twenty (20) days of
the date such dispute is referred to the Accountants, will be binding and
conclusive on the parties; and (in) Buyer and Sellers will each bear 50% of the
fees of the Accountants for such determination. The date on which the Adjustment
Amount is finally determined in accordance with this Section 2.6(a) is
hereinafter referred to as the “DeterminationDate.”

    

    (b)           
On the tenth (10th) business day following the (i) final acceptance of the
calculation of the Adjustment Amount or (ii) the Determination Date, Buyer shall
deliver to Sellers the Holdback Shares, less the Adjustment Shares (if any),
allocated to Sellers based upon their respective Pro Rata Shares.

    

    2.7           
RESTRICTIONS AND
RIGHTS AS TO BUYER SHARES.  The following provisions shall
apply to the Buyer Shares delivered to Sellers:

    

    (a) The
certificate or certificates evidencing the Buyer Shares delivered to all Sellers
will bear a restrictive legend substantially in the following form as long as
applicable:

    

    “THE
SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT
OF 1933, AS AMENDED (THE “ACT”), OR ANY STATE SECURITIES LAW.  THESE
SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND NOT WITH A VIEW TO DISTRIBUTION
OR RESALE, AND MAY NOT BE SOLD, MORTGAGED, PLEDGED, HYPOTHECATED OR OTHERWISE
TRANSFERRED WITHOUT AN EFFECTIVE REGISTRATION STATEMENT COVERING THESE
SECURITIES UNDER THE ACT AND ANY APPLICABLE STATE SECURITIES LAWS OR AN OPINION
OF COUNSEL IN FORM AND SUBSTANCE SATISFACTORY TO THE COMPANY THAT REGISTRATION
OF THESE SECURITIES IS NOT REQUIRED UNDER THE ACT OR UNDER APPLICABLE STATE
SECURITIES LAWS.”

    

    The
certificate or certificates -evidencing the Buyer Shares delivered to the
Founding Shareholders will bear an additional restrictive legend substantially
in the following form as long as applicable:

    

    THE
SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CONTRACTUAL RESTRICTIONS
ON TRANSFER EXPIRING ON OCTOBER __, 2007, PURSUANT TO THAT CERTAIN STOCK
PURCHASE AGREEMENT DATED AS OF OCTOBER __, 2006 (THE “AGREEMENT’), BY AND AMONG
COMPANY AND CERTAIN OTHER PARTIES THERETO.  PRIOR TO THE EXPIRATION OF
SUCH HOLDING PERIOD, SUCH SHARES MAY NOT BE SOLD, TRANSFERRED OR ASSIGNED AND
THE COMPANY SHALL NOT BE REQUIRED TO GIVE EFFECT TO ANY ATTEMPTED SALE, TRANSFER
OR.  ASSIGNMENT EXCEPT TO THE EXTENT SUCH SALE, TRANSFER OR ASSIGNMENT
IS IN COMPLIANCE WITH THE AGREEMENT.  UPON THE WRITTEN REQUEST OF THE
HOLDER OF THIS CERTIFICATE, THE COMPANY AGREES TO REMOVE THIS RESTRICTIVE LEGEND
(AND ANY STOP ORDER PLACED WITH THE TRANSFER AGENT) WHEN THE HOLDING PERIOD HAS
EXPIRED.”

    

    (b)           
Except with the consent of Buyer; the Founding Shareholders agree that they will
not, directly or indirectly, offer, sell, contract to sell, pledge or otherwise
dispose of any of the Buyer Shares received as part of the Purchase Price prior
to the first anniversary of the Closing (“Lock-Up
Period”).  Thereafter, these restrictions will expire on a
monthly basis with respect to eight and 33/100 percent (8.33%) of the aggregate
number of Buyer Shares per month for the twelve (12) months following the end of
the Lock-Up Period, subject to any applicable Legal Requirements.

    

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    (c)           
(i) If, at any time following the Closing, Buyer files a registration statement
under the Securities Act for purposes of a public offering of securities of the
Buyer for its own account, it shall notify the prior holders of Investor Shares
(and the prior holders of Founders Shares after the first anniversary of the
date hereof) in writing (the “CompanyNotice”).  Each
Seller entitled to receive a Company Notice shall have the right (the “Piggyback Right”), subject to
the limitations set forth in this Section 2.7(c), to
include in any such registration statement all or any portion of the Buyer
Shares then held by such Seller.  In order to exercise the Piggyback
Right, a Seller shall give written notice to Buyer (the “Piggyback Notice”) no later
than fifteen (15) days following the date on which the Buyer gives the Company
Notice.  The Piggyback Notice shall set forth the number of Buyer
Shares that such Seller desires to include in the registration
statement.  All expenses of any such registration will be paid by the
Buyer.

    

    (ii)  If
the registration statement under which Buyer gives notice under this Section 2.7(c) is for
an underwritten offering, Buyer shall so advise the Sellers in the Company
Notice.  In such event, the right of any Seller to be included in a
registration pursuant to this Section 2.7(c) shall
be conditioned upon such holder’s participation in such underwritten offering
and the inclusion of such holder’s Buyer Shares in the underwritten offering to
the extent provided herein.  All holders of Buyer Shares proposing to
distribute their shares by means of such underwritten offering shall-enter into
an underwriting agreement in customary form with the underwriter or underwriters
selected for such underwriting by Buyer.  Notwithstanding any other
provision of this Agreement, if the underwriter determines in good faith that
marketing factors require a limitation of the number of shares to be
underwritten, the number of shares that may be included in the underwriting
shall be allocated, first, to Buyer; second, to the holders of Buyer Shares on a
pro rate basis based on the total number of Buyer Shares requested to be
included in such registration by the holders of Buyer Shares; and third, to any
stockholder of the Company (other than a holder of Buyer Shares) on a pro rata
basis.  No such reduction shall reduce the securities being offered by
Buyer for its own account to be included in the registration and
underwriting.  If any holder of Buyer Shares disapproves of the terms
of any such underwriting, such holder may elect to withdraw therefrom by written
notice to Buyer and the underwriter, delivered at least twenty (20) business
days prior to the effective date of the registration statement.

    

                  
(iii) Buyer shall have the right to terminate or withdraw any registration
initiated by it under this Section 2.7(c) prior
to the effectiveness of such registration whether or not any holder of Buyer
Shares has elected to include securities in such registration.

    
 

        
         
(d)            Buyer
shall use its Best Efforts to have the Buyer listed as a reporting issuer on the
Pink Sheets on or before December 31, 2006, and furthermore to be listed as a
reporting bulletin board company no later than June 30, 2007. If Buyer fails to
meet either of these deadlines, Buyer shall issue additional shares to Sellers
equal to five percent (5%) of the Buyers Shares for each missed deadline up to a
total of ten percent (10%) of the Buyers Shares, such additional shares to be
delivered within ten (10) business days of the date of such failure to meet
either such deadline and to be allocated to Sellers in proportion to their
respective Pro Rata Shares.

    

             
    
(e)            With a
view to making available to the Sellers the benefits of SEC Rule 144 and any
other rule or regulation of the SEC that may at any time permit a Seller to sell
securities of the Company to the public without registration, the Company shall:
(i) make and keep available adequate current public information, as those terms
are understood and defined in SEC Rule 144, at all times; (ii) use Best Efforts
to file with the SEC in a timely manner all reports and other documents required
of the Company under the Exchange Act (at any time after the Company has become
subject to such reporting requirements); and (iii) furnish to any Seller, so
long as the Seller owns any Buyers Shares, forthwith upon request (i) to the
extent accurate, a written statement by the Company that it has complied with
the reporting requirements of SEC Rule 144, the Securities Act, and the Exchange
Act, or that it qualifies as a registrant whose securities may be resold
pursuant to Fort S-3 (at any time after the Company so qualifies); (ii) a copy
of the most recent annual or quarterly report of the Company and such other
reports and documents so filed by the Company; and (iii) such other information
as may be reasonably requested in availing any Seller of any rule or regulation
of the SEC that permits the selling of any such securities without
registration.

    

    3.           
REPRESENTATIONS AND
WARRANTIES OF SELLERS AND THE COMPANY.  Except as set forth on
the Sellers’ Disclosure Schedule, which exceptions shall be deemed to be part of
the representations and warranties made hereunder, the Sellers (severally and
not jointly) and the Company hereby represents and warrant to Buyer as
follows:

    

    3.1           
ORGANIZATION AND GOOD
STANDING.

    

    (a)           
Section 3.1 of
the Sellers’ Disclosure Schedule contains a complete and accurate list for the
Company of its name, its jurisdiction of incorporation, other jurisdictions in
which it is authorized to do business, and its capitalization (including the
identity of each stockholder and the number of shares held by
each).  The Company is a corporation duly organized, validly existing,
and in good standing under the laws of its jurisdiction of incorporation, with
full corporate power and authority to conduct its business as it is now being
conducted, to own or use the properties and assets that it purports to own or
use, and to perform all its obligations under Applicable
Contracts.  The Company is duly qualified to do business as a foreign
corporation and is in good standing under the laws of each state or other
jurisdiction in which the failure to so qualify would have a Material Adverse
Effect.

    

    (b)           
The Company has delivered or made available to Buyer copies of the
Organizational Documents of the Company, as currently in effect.

    

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    3.2           
AUTHORITY; NO
CONFLICT.

    

    (a)           
This Agreement constitutes the legal, valid, and binding obligation of Sellers,
enforceable against Sellers in accordance with its terms. As to any Seller who
is a party thereto, upon the execution and delivery by such Seller of the
Employment Agreements, the Sellers’ Releases, the Consulting Agreement and the
Stock Pledge Agreement (collectively, the “Sellers’ Closing Documents”),
the Sellers’ Closing Documents will, as to such Seller, constitute the legal,
valid, and binding obligations of such Seller, enforceable against such Seller
in accordance with their respective terms except (i) as limited by applicable
bankruptcy, insolvency, reorganization, moratorium; fraudulent conveyance, or
other laws of general application relating to or affecting the enforcement of
creditors’ rights generally, (ii) as limited by laws relating to the
availability of specific performance, injunctive relief, or other equitable
remedies, and (iii) to the extent the indemnification provisions and the choice
of law provisions contained in the Sellers’ Closing Documents may be limited by
applicable laws.  Sellers have the absolute and unrestricted right,
power, authority, and capacity to execute and deliver this Agreement and, as to
any Seller who is a party thereto, the Sellers’ Closing Documents, and to
perform their obligations under this Agreement and the Sellers’ Closing
Documents.

    

    (b)           
Neither the execution and delivery of this Agreement nor the consummation or
performance of any of the Contemplated Transactions will, directly or indirectly
(with or without notice or lapse of time):

    

    (i)           
contravene, conflict with, or result in a violation of (A) any material
provision of the Organizational Documents of the Company, or (B) any resolution
adopted by the board of directors or the stockholders of the
Company;

    

    (ii)           
contravene, conflict with, or result in a violation of; or give any Governmental
Body or other Person the right to challenge any of the Contemplated Transactions
or to exercise any remedy or obtain any relief under, any material Legal
Requirement or any material Order to which the Company or any Seller, or any of
the assets owned or used by Company, maybe subject;

    

    (iii)           
contravene, conflict with, or result in a violation of any of the terms or
requirements of, or give any Governmental Body the right to revoke, withdraw,
suspend, cancel, terminate, or modify, any material Governmental Authorization
that is held by the Company;

    

    (iv)           
cause Buyer or the Company to become subject to, or to become liable for the
payment of, any material amount of Tax;

    

    (v)           
cause any of the assets owned by the Company to be reassessed or revalued by any
taxing authority or other Governmental Body;

     

     (vi)          contravene,
conflict with, or result in a violation or breach of any material provision of
or give any Person the right to declare a default or exercise any remedy under,
or to accelerate the maturity or performance of; or to cancel, terminate, or
modify, any Seller Material Contract; or

    

    (vii)         
result in the imposition or creation of any material Encumbrance upon or with
respect to any of the assets owned or used by the Company.

    

    Neither
the Sellers nor the Company is or will be required to give any notice to or
obtain any Consent from any Person in connection with the execution and delivery
of this Agreement or the consummation or performance of any of the Contemplated
Transactions.

    

    (c)           
Sellers are acquiring the Buyer Shares for their own account and not with a view
to their distribution within the meaning of Section 2(11) of the Securities Act.
Each Seller is an “accredited investor” as such term is defined in Rule 501(a)
under the Securities Act.

    

    (d)           
Each Seller has had an opportunity to (1) ask questions of and receive answers
from Buyer concerning the terms and conditions of the Contemplated Transactions,
(ii) obtain any additional information which Buyer possesses or can acquire
without unreasonable effort or expense that is necessary to verify the accuracy
of the information furnished, and (iii) consult and seek advice from an attorney
of such Seller’s own choosing prior to entering into this
Agreement.  The Company and each Seller acknowledge that, except as
set forth herein, no representations or warranties have been made to it, or to
its Representatives, by Buyer or others with respect to Buyer’s business and its
financial condition and has obtained, in its judgment, sufficient information
from Buyer to evaluate the merits and risks of an investment in the Buyer
Shares.  Each Seller acknowledges that it has received full and fair
disclosure and carefully considered each of the following items in its
entirety:  (i) the Buyer’s Business Plan, dated March 2006 and all
exhibits thereto; (ii) the audited financial statements of the Buyer as of and
for the year ended June 30, 2004 and 2005, and unaudited interim financial
statements as of and for the twelve months ended June 30, 2006; and (iii) the
Risk Factors attached hereto as Exhibit
3.2(d)(iii).  Each Seller is aware of the risks inherent in an
investment in the Buyer Shares and acknowledges that there can be no assurance
of the future viability or profitability of Buyer, nor can there be any
assurance relating to the current or future value of the Buyer
Shares.  The foregoing, however, does not limit or modify the
representations and warranties of Buyer in Section 4 of this
Agreement or the right of Sellers to rely thereon.

    

    
      
        
        

      

      
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    (e)           
Each Seller has such knowledge and experience in financial, investment and
business matters as to be capable of evaluating the merits and risk of an
investment in the Buyer Shares. Each Seller represents and warrants that (i) the
Seller’s overall commitment to investments which are not readily marketable,
including the purchase of Buyer Shares, is reasonable in relation to the
Seller’s net worth; (ii) each Seller is acquiring the Buyer Shares for
investment for the Seller’s own account, and not with a view towards the resale
or distribution of any or all such Buyer Shares; and (iii) the Seller can bear
the economic risk of losing the Seller’s entire investment.

    

    3.3           
CAPITALIZATION AND
TITLE TO SHARES.

    

    (a)           
The authorized equity securities of the Company consist of 12,000,000 shares of
common stock, par value $0.001 per share, and 2,000,000 shares of preferred
stock, par value $0.001 per share all of which have been designated as Series A
Preferred Stock, of which 8,000,000 shares of common stock and 1,750,000 shares
of Series A Preferred Stock are issued and outstanding and constitute the
Shares. Sellers are, and will be on the Closing Date, the record owners and
holders of the Shares. No legend or other reference to any purported Encumbrance
appears upon any certificate representing equity securities of the Company other
than restrictions under applicable securities laws. All of the outstanding
equity securities of the Company have been duly authorized and validly issued
and are fully paid and nonassessable. Other than the Sellers’ Closing Documents,
there are no Contracts relating to the issuance, sale, or transfer of any equity
securities or other securities of the Company.  None of the
outstanding equity securities or other securities of the Company was issued in
violation of the Securities Act or any other Legal Requirement.  The
Company owns, or has any Contract to acquire, any equity securities or other
securities of any Person or any direct or indirect equity or ownership interest
in any other business.

    

    (b)           
As to each Seller, such Seller is, and will be on the Closing Date, the record
and beneficial owner and holder of the number of Shares listed next to such
Seller’s name in Section 3.3 of the
Sellers’ Disclosure Schedule, free and clear of all Encumbrances, except for any
restrictions existing under applicable securities laws and the restrictions
imposed in this Agreement.

    

    (c)           
The Company has no Subsidiaries.

    

    3.4           
FINANCIAL
STATEMENTS.  The Company has delivered to Buyer.  (a)
unaudited balance sheets of the Company as at April 31, 2006, May 31, 2006, June
30, 2006 and July 31, 2006 (the “Interim Balance Sheet”), and
the related unaudited statements of income, changes in stockholders’ equity, and
cash flow for each of the months them ended.  Such financial
statements and notes fairly present the financial condition and the results of
operations, changes in stockholders’ equity, and cash flow of the Company as at
the respective dates of and for the periods-referred: to in such financial
statements, all in accordance with GAAP, subject, in the case of interim
financial statements, to normal reaming year-end adjustments and the absence of
notes; the financial statements referred to in this Section 3.4 reflect the
consistent application of such accounting principles throughout the periods
involved, except as disclosed in the notes to such financial
statements.

    

    3.5           
BOOKS AND
RECORDS.  The looks of account, minute books, stock record
books, and other records of the Company (the “Company Records”, all of which
have been made available to Buyer, are complete and correct in all material
respects.  The minute books of the Company contain materially accurate
and complete records of all meetings held of and corporate action taken by, the
stockholders, the Board of Directors, and committer of the Board of Directors of
the Company, and no meeting of any such stockholders, Board of Directors, or
committee has been held for which minutes have not been prepared and are not
contained in such minute books.  At the Closing, all of those books
and records will be in the possession of the Company.

    

    3.6           
ENCUMBRANCES.  All
material properties and assets of the Company are free and clear of all
Encumbrances except for (i) Encumbrances reflected in the Interim Balance Sheet,
(u) Encumbrances incurred in the Ordinary Course of Business since the date of
the Interim Balance Sheet, and (iii) Permitted Encumbrances.

    

    3.7           
[Intentionally omitted]

    

    3.8           
NO UNDISCLOSED
LIABILITIES.  To the Knowledge of the Company, the Company has
no material liabilities or obligations of any nature except for liabilities or
obligations reflected or reserved against in the Interim Balance Sheet and
current liabilities incurred in the Ordinary Course of Business.

    

    3.9           
TAXES.

    

    (a)           
The Company has filed or caused to be filed (on a timely basis since inception)
all Tax Returns that are or were required to be filed by or with respect to any
of than, either separately or as a member of a group of corporations, pursuant
to applicable Legal Requirements. Sellers have delivered or made available to
Buyer copies of, and Section 3.9 of the
Sellers’ Disclosure Schedule contains a complete and accurate list of, all such
Tax Returns filed since inception.  The Company has paid, or made
provision for the payment of, all Taxes that have or may have become due
pursuant to those Tax Returns or otherwise, or pursuant to any assessment
received by Sellers or the Company, except such Taxes, if any, as are listed in
Section 3.9 of
the Sellers’ Disclosure Schedule and are being contested in good faith and as to
which adequate reserves (determined in accordance with GAAP) have been provided
in the Interim Balance Sheet.

    

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

    (b)           
No Tax Return filed by or on behalf of the Company is currently being, or has
been, audited. There is no claim or assessment pending against the Company for
any alleged deficiency in Taxes or for the failure to file any Tax Return.
Neither Seller nor the Company has given or been requested to give waivers or
extensions of any statute of limitations relating to the payment of Taxes of the
Company.

    

    (c)           
All Tax Returns filed by the Company are true, correct, and complete in all
material respects. There is no tax sharing agreement that will require any
payment by the Company after the date of this Agreement lining the consistency
period (as defined in Section 338(h)(4) of the IRC with respect to the sale of
the Shares to Buyer), neither the Company nor any target affiliate (as defined
in Section 338(h)(6) of the IRC with respect to the sale of the Shares to Buyer)
has sold or will sell any property or assets to Buyer or to any member of the
affiliated group (as defined in Section 338(h)(5) of the IRC) that includes
Buyer.

    

    3.10           
NO MATERIAL ADVERSE
CHANGE.  Since the date of the Interim Balance Sheet, there has
not been any material adverse change in the business, operations, properties,
prospects, assets, or condition of the Company, and, to the Knowledge of the
Company, no event has occurred or circumstance exists that may result in such a
material adverse change.

    

    3.11           
EMPLOYEE
BENEFITS.

    

    (a)           
Schedule 3.11(a)
of the Sellers’ Disclosure Schedule contains a complete and accurate list
of all Company Plans and Company Other Benefit Obligations.

    

    (b)           
The Company has delivered or made available to Buyer: (i) all documents that set
forth the terms of each Company Plan and Company Other Benefit Obligation; (ii)
all personnel, payroll, and employment manuals and policies; (iii) all contracts
with third party administrators, actuaries, investment managers, consultants,
and other independent contractors that relate to any Company Plan or Company
Other Benefit Obligation; (iv) all reports submitted within the four years
preceding the date of this Agreement by third party administrators, actuaries,
investment managers, consultants, or other independent contractors with respect
to any Company Plan or Company Other Benefit Obligation; (v) all notices that
were given by the Company to any Governmental Body or any current or former
employee, participant or beneficiary, pursuant to statute, within the four years
preceding the date of this Agreement; and (vi) all notices that were given by
any Governmental Body to the Company within the four years preceding the date of
this Agreement.

    

    (c)           
Except as set forth in Schedule 3.11(c) of
the Sellers’ Disclosure Schedule: (i) the Company has performed all of its
obligations under all Company Plans and Company Other Benefit Obligations,
including making all required contributions or payments with respect to any
Company Plans and Company Other.  Benefit Obligations; (ii) the
Company, with respect to all Company Plans and Company Other Benefits
Obligations, is, and each Company Plan and Company Other Benefit Obligation is,
in full compliance with all applicable Legal Requirements; (iii) the Company has
made appropriate entries in its financial records and statements for all
obligations and liabilities under such Company Plans and Company Other Benefit
Obligations that have accrued but are not due to be paid in cash.  The
Company has no obligations to any person or Governmental Body with respect to
any Company Plans or Company Other Benefit Obligations, except as set forth on
the Interim Balance Sheet; (iv) all filings required by any applicable Legal
Requirement as to each Company Plan and Company Other Benefit Obligation has
been timely filed, and all notices and disclosures to participants required by
any Governmental Body have been timely provided; (v) the Company has the right
to modify and terminate each Company Plan and Company Other Benefit Obligation;
and (vi) the consummation of the Contemplated Transactions will not result in
the payment, vesting, or acceleration of any benefit or amount due under any
Company Plan and Company Other Benefit Obligation or otherwise.

    

    
      	
               

            	
              3.12

            	
              COMPLIANCE WITH LEGAL
      REOUIREMENTS; GOVERNMENTAL AUTHORIZATIONS.
  

            

    

    

    (a)           
the Company is, and at all times since inception, has been, in full compliance
with each material Legal Requirement that is applicable to it;

    

    (b)           
no event has occurred or circumstance exists that (with or without notice or
lapse of time) may constitute or result in a violation by the Company of, or a
failure on the part of the Company to comply with, any material Legal
Requirement; and

    

    (c)           
the Company has not received, at any time since inception, any written notice
from any Governmental Body or any other Person regarding any actual or alleged
violation of; or failure to comply with, any material Legal
Requirement.

    

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

    3.13           
LEGAL PROCEEDINGS;
ORDERS.

    

    (a)           
There is no pending Proceeding:

    

    (i)           
that has been commenced by or against the Company; or

    

    (ii)           
that challenges, or that may have the effect of preventing, delaying, making
illegal, or otherwise interfering with, any of the Contemplated
Transactions.

    

    To the
Knowledge of the Company, (1) no such Proceeding has been Threatened, and (2) no
event has occurred or circumstance exists that may give rise to or serve as a
basis for the commencement of any such Proceeding.

    

    (b)           
There is no Order to which the Company, or any of the assets owned or used by
the Company, is subject.

    

    3.14           
ABSENCE OF CERTAIN
CHANGES AND EVENTS.  Since the date of the Interim Balance
Sheet, the Company has conducted its business only in the Ordinary Course of
Business and there has not been any:

    

    (a)           
change in the Company’s authorized or issued capital stock; grant of any stock
option or right to purchase shares of capital stock of the Company; issuance of
any security convertible into such capital stock; grant of any registration
rights; purchase, redemption, retirement, or other acquisition by the Company of
any shares of any such capital stock; or declaration or payment of any dividend
or other distribution or payment in respect of shares of capital
stock;

    

    (b)           
amendment to the Organizational Documents of the Company;

    

    (c)           
payment or increase by the Company of any bonuses, salaries, or other
compensation to any stockholder, director, officer, or employee (except in the
Ordinary Course of Business) or entry into any employment, severance, or similar
Contract with any director, officer, or employee;

    

    (d)           
adoption o g or increase in the payments to or benefits under, any profit
sharing, bonus, deferred compensation, savings, insurance, pension, retirement,
or other employee benefit plan for or with any employees of the
Company;

    

    (e)           
damage to or destruction or loss of any asset or property of the Company,
whether or not covered by insurance, that would have a Material Adverse Effect
on the Company;

    

    (f)           
entry into, termination of, or receipt of notice of termination of (i) any
license, distributorship, dealer, sales representative, joint venture, credit,
or similar agreement, or (ii) any Contract or transaction involving a total
remaining commitment by or to the Company of at least $25,000;

    

    (g)           
sale, lease (other than sales or leases of inventory in the Ordinary Course of
Business), or other disposition of any asset or property of the Company or any
Encumbrance on any material asset or property of the Company, other than
Permitted Encumbrances;

    

    (h)           
cancellation or waiver of any claims or rights with a value to the Company in
excess of $25,000;

    

     (i)           
material change in the accounting methods used by the Company; or

    

     (j)           
agreement, whether oral or written, by the Company to do any of the
foregoing.

    

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

    3.15           
CONTRACTS: NO
DEFAULTS.

    

    (a)           
Section 3.15(a)
of the Sellers’ Disclosure Schedule contains a complete and accurate list, and
Sellers have delivered or made available to Buyer true and complete copies, of
(each, a “Company Material
Contract”):

    

    (i)           
each Applicable Contract that involves performance of services or delivery of
goods or materials by or to the Company, or that was not entered into in the
Ordinary Course of Business, of an amount or value in excess of
$20,000;

    

    (ii)           
each Applicable Contract affecting the ownership of, leasing of, title to, use
of, or any leasehold or other interest in, any real or personal property (except
personal property leases and installment and conditional sales agreements having
a value per item or aggregate payments of less than $10,000 and with terms of
less than one year);

    

    (iii)           
each licensing agreement or other Applicable Contract with respect to patents,
trademarks, copyrights, or other intellectual property, including agreements
with current or former employees, consultants, or contractors regarding the
appropriation or the non-disclosure of any of the Intellectual Property
Assets;

    

    (iv)           
each collective bargaining agreement and other Applicable Contract to or with
any labor union or other employee representative of a group of
employees;

    

    (v)           
each joint venture, partnership, and other Applicable Contract (however named)
involving a sharing of profits, losses, costs, or liabilities by the Company
with any other Person;

    

    (vi)           
each Applicable Contract containing covenants that in any way purport to
restrict the business activity of the Company or limit the freedom of the
Company to engage in any line of business or to compete with any
Person;

    

    (vii)          
each Applicable Contract entered into other than in the Ordinary Course of
Business that contains or provides for an express undertaking by the Company to
be responsible for consequential damages;

    

    (viii)           each
written warranty, guaranty, and or other similar undertaking with respect to
contractual performance extended by the Company other than in the Ordinary
Course of Business; and

    

    (xiii)            each
written amendment, supplement, and modification in respect of any of the
foregoing.

    

    (b)           
Except as set forth in Section 3.15(b) of
the Sellers’ Disclosure Schedule:

    

    (i)           
no Seller (and no Related Person of any Seller) has or may acquire any rights
under, and no Seller has or may become subject to any obligation or liability
under, any Contract that relates to the business of, or any of the assets owned
or used by, the Company; and

    

    (ii)           
to the Knowledge of the Company, no officer, director, agent, employee,
consultant; or contractor of the Company is bound by any Contract that purports
to limit the ability of such officer, director, agent; employee, consultant, or
contractor to (A) engage in or continue any conduct, activity, or practice
relating to the business of the Company, or (B) assign to the Company or to any
other Person any rights to any invention, improvement, or
discovery.

    

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

    (c)           
To the Knowledge of the Company, each Company Material Contract is in full force
and effect and is valid and enforceable in accordance with its
terms.

    

    (d)           
To the Knowledge of the Company:

    

    (i)           
the Company is, and at all times since October 13, 2003 has been, in full
compliance with all applicable material terms and requirements of each Company
Material Contract;

    

    (ii) each
other Person that has or had any obligation or liability under any Company
Material Contract under which the Company has or had any rights is, and at all
times since inception has been, in full compliance with all material applicable
terms and requirements of such Company Material Contract; and

    

    (iii)           
no event has occurred or circumstance exists that (with or without notice or
lapse of time) may result in a violation or breach of any Company Material
Contract.

    

    3.16           
INSURANCE.

    

    (a)           
The Company has delivered or made available to Buyer true and complete copies of
all policies of insurance to which the Company is a party or under which the
Company, or any director of the Company, is or has been covered at any time
within the two (2) years preceding the date of this Agreement.

    

    (b)           
Section 3.16(b)
of the Sellers’ Disclosure Schedule describes any self-insurance arrangement by
or affecting the Company, including any reserves established
thereunder:

    

    (c)           
To the Knowledge of the Company all policies to which the Company is a party or
that provide coverage to any Seller, the Company, or any director or officer of
the Company:

    

    (A)           
are valid, outstanding, and enforceable; and

    

    (B)           
taken together, provide adequate insurance coverage for the assets and the
operations of the Company for all risks to which the Company is normally
exposed.

    

    3.17           
ENVIRONMENTAL
MATTERS.  The Company, the operation of its business and any
real property that the Company owns or has owned, leased or has leased (the
“Premises”) are, to the
Knowledge of the Company, in compliance with all applicable Environmental Laws
and orders or directives of any governmental authorities having jurisdiction
under such Environmental Laws.  The Company has not received any
written citation, directive, letter or other communication, or any notice of any
proceeding claim or lawsuit, from any person arising out of the ownership or
occupation of the Premises, or the conduct of its operations, and the Company is
not aware of any basis therefor.  To the Knowledge of the Company, no
material expenditures are or will be required in order to comply with any
Environmental Laws.

    

    3.18           
EMPLOYEES.

    

    (a)           
Section 3.18 of
the Sellers’ Disclosure Schedule contains a complete and accurate list of the
following information for each employee or director of the Company, including
each employee on leave of absence or layoff status: employer; name; job title;
current compensation paid or payable; vacation accrued; and service credited for
purposes of vesting and eligibility to participate under any Company Plan or
Company Other Benefit Obligation.

    

    (b)           
To the Knowledge of the Company, no employee or director of the Company is a
party to, or is otherwise bound by, any agreement or arrangement, including any
confidentiality, noncompetition, or proprietary rights agreement, between such
employee or director and any other Person (“Proprietary Rights
Agreement”) that in any way adversely affects or will affect (i) the
performance of his duties as an employee or director of the Company, or (ii) the
ability of the Company to conduct its business, including any Proprietary Rights
Agreement with Sellers or the Company by any such employee or
director.  To the Knowledge of the Company, no director, officer, or
other key employee of the Company intends to terminate his employment with the
Company.

    

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

    3.19           
LABOR RELATIONS:
COMPLIANCE.  The Company is not a party to any collective
bargaining or other labor Contract.  The Company has complied in all
respects with all material Legal Requirements relating to employment, equal
employment opportunity, nondiscrimination, immigration, wages, hours, benefits,
collective bargaining, the payment of social security and similar taxes,
occupational safety and health, and plant closing.  To the Knowledge
of the Company, the Company is not liable for the payment of any compensation,
damages, taxes, fines, penalties, or other amounts, however designated, for
failure to comply with any of the foregoing Legal Requirements.

    

    3.20           
INTELLECTUAL
PROPERTY.

    

    (a)           
The term “Intellectual Property Assets” includes:

    

    (i)           
the name “Nuscribe”, all fictional business names, trading names, registered and
unregistered trademarks, service marks, and applications (collectively, “Marks”);

    

    (ii)           
all patents, patent applications, and inventions and discoveries that may be
patentable (collectively, “Patents”);

    

    (iii)           all
copyrights in both published works and unpublished works (collectively, “Copyrights”);
and

    

    (iv)           all
know-how, trade secrets, confidential information, customer lists, software,
technical information, data, process technology, plans, drawings, and blue
prints (collectively, “Trade
Secrets”);

    

    in each
case owned, used, or licensed by the Company as licensee or
licensor.

    

    (b)           
Section 3.20(b)
of the Sellers’ Disclosure Schedule contains a complete and accurate list and
summary description, including any royalties paid or received by the Company, of
all Contracts relating to the Intellectual Property Assets to which the Company
is a party or by which the Company is bound, except for any license implied by
the sale of a product and perpetual, paid-up licenses for commonly available
software programs with a value of less than $1,000 under which the Company is
the licensee.  There are no outstanding and, to the Knowledge of the
Company, no Threatened disputes or disagreements with respect to any such
agreement.

    

    (c)           
Know-How Necessary for the Business.

    

    (i)           
The Intellectual Property Assets are all those necessary for the operation of
the Company’s business as they are currently conducted.  The Company
is the owner of all right, title, and interest in and to each of the
Intellectual Property Assets, free and clear of all Encumbrances, other than
Permitted Encumbrances, and has the right to use without payment to a third
party all of the Intellectual Property Assets.

    

    (ii)           
Except as set forth in Section 3.20(c) of
the Sellers’ Disclosure Schedule, all former and current employees of the
Company has executed written Contracts with the Company that assign to the
Company all rights to any inventions, improvements, discoveries, or information
relating to the business of the Company.  No employee of the Company
has entered into any Contract that restricts or limits in any way the scope or
type of work in which the employee may be engaged or requires the employee to
transfer, assign, or disclose information concerning his work to anyone other
than the Company.

    

    (d)           
Patents.

    

    (i)           
Section 3.20(d)
of the Sellers’ Disclosure Schedule contains a complete and accurate list and
summary description of all filed Patents.  The Company is the owner of
all right, title, and interest in and to each of the filed Patents, free and
clear of all Encumbrances, other than Permitted Encumbrances.

    

    (ii)           
All of the issued Patents are currently in compliance with all material formal
Legal Requirements (including payment of filing, examination, and maintenance
fees and proofs of working or use), are valid and enforceable, and are not
subject to any maintenance fees or taxes or actions falling due within ninety
days after the Closing Date.

    

    (iii)           
No Patent has been or is now involved in any interference, reissue,
reexamination, or opposition proceeding. To the Knowledge of the Company, there
is no potentially interfering patent or patent application of any third
party.

    

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

    None of
the products manufactured and sold, nor any process or know-how used, by the
Company infringes or is alleged to infringe any patent or other proprietary
right of any other Person.

    

    (e)           
Trademarks.

    

    (i)           
Section 3.20(e)
of Sellers’ Disclosure Schedule contains a complete and accurate list and
summary description of all Marks.  The Company is the owner of all
right, title, and interest in and to each of the Marks, free and clear of all
Encumbrances, other than Permitted Encumbrances.

    

    (ii)           
All Marks that have been registered with the United States Patent and Trademark
Office are currently in compliance with all material formal legal requirements
(including the timely post registration filing of affidavits of use and
incontestability and renewal applications), are valid and enforceable, and are
not subject to any maintenance fees or taxes or actions falling due within
ninety days after the Closing Date.

    

    (iii)           
No Mark has been or is now involved in any opposition, invalidation, or
cancellation and, to the Knowledge of the Company, no such action is Threatened
with the respect to any of the Marks.

    

    (iv)           
To the Knowledge of the Company, there is no potentially interfering trademark
or trademark application of any third party.

    

    (v)           
None of the Marks used by the Company infringes or is alleged to infringe any
trade name, trademark, or service mark of any third party.

    

    (f)           
Copyrights.

    

    (i)           
Section 3.20(f)
of the Sellers’ Disclosure Schedule contains a complete and accurate list and
summary description of all Copyrights.  The Company is the owner of
all right, title, and interest in and to each of the Copyrights, free and clear
of all Encumbrances, other than Permitted Encumbrances.

    

    (ii)           
All the Copyrights have been registered and are currently in compliance with
material formal legal requirements, are valid and enforceable, and are not
subject to any maintenance fees, taxes, or actions falling due within ninety
days after the date of Closing.

    

    (iii)
None of the subject matter of any of the Copyrights infringes or is alleged to
infringe any copyright of any third party or is a derivative work based on the
work of a third party.

    

    (g)           
Trade Secrets.

    

    (i)           
With respect to each Trade Secret, the documentation relating to such Trade
Secret is current, accurate, and sufficient in detail and content to identify
and explain it and to allow its full and proper use without reliance on the
knowledge or memory of any individual.

    

    (ii)           
The Company has taken all reasonable precautions to protect the secrecy,
confidentiality, and value of the Trade Secrets.

    

    (iii)           
The Company has a right to use the Trade Secrets. The Trade Secrets are not part
of the public knowledge or literature, and, to the Knowledge of the Company,
have not been used, divulged, or appropriated either for the benefit of any
Person (other than the Company) or to the detriment of the Company.

    

    3.21           
CERTAIN
PAYMENTS.  Since inception, neither the Company nor any
director, officer, agent, or employee of the Company, or to Knowledge of the
Company, any other Person associated with or acting for or on behalf of the
Company, has directly or indirectly, in violation of any Legal Requirement (a)
made any contribution, gift, babe, rebate, payoff influence payment, kickback,
or other payment to any Person, private or public, regardless of form, whether
in money, property, or services (i) to obtain favorable treatment in securing
business, (ii) to pay for favorable treatment for business secured, or (iii) to
obtain special concessions or for special concessions already obtained, for or
in respect of the Company or any Affiliate of the Company, or (b) established or
maintained any fiord or asset for such purposes that has not been recorded in
the books and records of the Company.

    

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

    3.22           
DISCLOSURE.  No
representation or warranty of Sellers or the Company in this Agreement, and no
statement in the Sellers’ Disclosure Schedule applicable to the Company, omits
to state a material fact necessary to make the statements herein or therein, in
light of the circumstances in which they were made, not misleading.

    

    3.23           
RELATIONSHIPS WITH
RELATED PERSONS.  None of the Sellers, or any Related Person of
the Sellers or of the Company has, or has had, any interest in any property
(whether real, personal, or mixed and whether tangible or intangible), used in
or pertaining to the Company’s business.  No Seller or any Related
Person of Sellers or of the Company owns, or has owned (of record or as a
beneficial owner) an equity interest or any other financial or profit interest
in, a Person that has (i) had business dealings or a material financial interest
in any transaction with the Company other than business dealings or transactions
conducted in the Ordinary Course of Business with the Company at substantially
prevailing market prices and on substantially prevailing market terms, or (ii)
engaged in competition with the Company with respect to any line of the products
or services of the Company in any market presently served by the
Company.  No Seller or any Related Person of Sellers or of the Company
is a party to any Contract with, or has any claim or right against, the
Company.

    

    3.24           
BROKERS OR
FINDERS.  Sellers and their agents have incurred no obligation
or liability, contingent or otherwise, for brokerage or finders’ fees or agents’
commissions or other similar payment in connection with this
Agreement

    

    4.           
REPRESENTATIONS AND
WARRANTIES OF BUYER.  Except as set forth on the Buyer’s
Disclosure Schedule, which exceptions shall be deemed to be part of the
representations and warranties made hereunder, Buyer represents and warrants to
Sellers as follows:

    

    4.1           
ORGANIZATION AND GOOD
STANDING.  Buyer is a corporation duly organized, validly
existing, and in good standing under the laws of the State of Nevada, with full
corporate power and authority to conduct its business as it is now being
conducted, to own or use the properties and assets that it purports to own or
use, and to perform its obligations under Applicable Contracts.  Buyer
is duly qualified to do business as a foreign corporation and is in good
standing under the laws of each state or other jurisdiction in which the failure
to so qualify would have a Material Adverse Effect.

    

    4.2           
AUTHORITY NO
CONFLICT.

    

    (a)           
This Agreement constitutes the legal, valid, and binding obligation of Boyer,
enforceable against Buyer in accordance with its teams. Upon the execution and
delivery by Buyer of the Employment Agreements, the Sellers’ Releases, the
Consulting Agreement and the Stock Pledge Agreement (collectively, the “Buyer’s Closing Documents”),
the Buyer’s Closing Documents will constitute the legal, valid, and binding
obligations of Buyer, enforceable against Buyer in accordance with their
respective terms except (i) as limited by applicable bankruptcy, insolvency,
reorganization, moratorium, fraudulent conveyance, or other laws of general
application relating to or affecting the enforcement of creditors’ rights
generally, (ii) as limited by laws relating to the availability of specific
performance, injunctive relief, or other equitable remedies, and (iii) to the
extent the indemnification provisions and the choice of law provisions contained
in the Sellers’ Closing Documents may be limited by applicable laws. Buyer has
the absolute and unrestricted right power and authority to execute and deliver
this Agreement and the Buyer’s Closing Documents and to perform its obligations
under this Agreement and the Buyer’s Closing Documents.

    

    (b)           
Neither the execution and delivery of this Agreement by Buyer; nor the
consummation or performance of any of the Contemplated Transactions by Buyer
will, directly or indirectly (with or without notice or lapse of
time):

    

    (i)           
contravene, conflict with, or result in a violation of (A) any material
provision of Buyer’s Organizational Documents, or (B) any resolution adopted by
the board of directors or the stockholders of Buyer;

    

    (ii)           
contravene, conflict with, or result in a violation of or give any Governmental
Body or other Person the right to challenge any of the Contemplated Transactions
or to exercise any remedy or obtain any relief under, any material Legal
Requirement or any material Order to which the Buyer, or any of the assets owned
or used by the Buyer, may be subject;

    

    (iii)          
contravene, conflict with, or result in a violation of any of the teens or
requirements of, or give any Governmental Body the right to revoke, withdraw,
suspend, cancel, terminate, or modify, any material Governmental Authorization
that is held by Buyer;

    

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

    (iv)           
cause Buyer or the Company to become subject to, or to become liable for the
payment of, any material amount of Tax;

    

    (iv)           
cause any of the assets owned by Buyer to be reassessed or revalued by any
taxing authority or other Governmental Body,

    

    (v)           
contravene, conflict with, or result in a violation or breach of any material
provision of, or give any Person the right to declare a default or exercise any
remedy under, or to accelerate the maturity or performance of or to cancel,
terminate, or modify, any Buyer Material Contract; or

    

    (vi)           
result in the imposition or creation of any material Encumbrance upon or with
respect to any of the assets owned or used by Buyer.

    

    Buyer is
not and will not be required to give any notice to or obtain any Consent from
any Person in connection with the execution and delivery of this Agreement or
the consummation or performance of any of the Contemplated
Transactions.

    

    (c)           
Buyer has had an opportunity to (i) ask questions of and receive answers from
Sellers and the Company concerning the terms and conditions of the Contemplated
Transactions, (ii) obtain any additional information which Sellers of the
Company possesses or can acquire without unreasonable effort or expense that is
necessary to verify the accuracy of the information furnished, and (iii) consult
and seek advice from an attorney of Buyer’s own choosing prior to entering into
this Agreement.  Buyer acknowledges that, except as set forth herein,
no representations or warranties have been made to it, or to its
Representatives, by any Seller or the Company or others with respect to the
Company’s business and its financial condition and has obtained, in its
judgment, sufficient information from Sellers and the Company to evaluate the
merits and risks of the Contemplated Transactions.  Buyer is aware of
the risks inherent in the purchase of the Shares and acknowledges that there can
be no assurance of the future viability or profitability of the Company, nor can
there be any assurance relating to the current or future value of the
Shares.  The foregoing; however, does not limit or modify the
representations and warranties of Sellers and the Company in Section 3 of this
Agreement or the right of Buyer to rely thereon.

    

    4.3           
INVESTMENT
INTENT.  Buyer is acquiring the Shares for its own account and
not with a view to their distribution within the meaning of Section 2(11) of the
Securities Act.  Buyer has had an opportunity to ask questions of and
receive answers from each Seller concerning the terms and conditions of the
Contemplated Transactions and to obtain any additional information, which the
Sellers possess or can acquire without unreasonable effort or expense that is
necessary to verify the accuracy of the information f unshed.  The
foregoing, however, does not limit or modify the representations and warranties
of the Company in Section 3 of this Agreement or the right of Buyer to rely
thereon.

    

    4.4           
CERTAIN
PROCEEDINGS.  There is no pending Proceeding that has been
commenced against Bayer and that challenges, or may have the effect of
preventing, delaying making illegal, or otherwise interfering with, any of the
Contemplated Transactions.  To Buyer’s Knowledge, no such Proceeding
has been Threatened.

    

    4.5           
BROKERS OR
FINDERS.  Buyer and its officers and agents have incurred no
obligation or liability, contingent or otherwise, for brokerage or finders’ fees
or agents’ commissions or other similar payment in connection with this
Agreement and will indemnify and hold Sellers harmless from any such payment
alleged to be due by or through Buyer as a result of the action of Buyer or its
officers or agents.

    

    4.6           
CAPITALIZATION; BUYER
SHARES.  The authorized equity securities of Buyer consist of
75,000,000 shares of common stock, par value $0.001 per share, of which
23,637,000 shares are issued and outstanding.  The Buyer Shares when
issued and delivered to Sellers pursuant to this Agreement will be duly
authorized, validly issued, fully paid and non-assessable shares of common stock
of Buyer Upon delivery of the Buyer Shares to the Sellers, the Sellers will
receive good title to the Buyer Shares, free and clear of all Encumbrances,
except for any restrictions existing under applicable securities laws and the
restrictions imposed in this Agreement.  Buyer has no subsidiaries
other than Vemics, Inc, a Delaware corporation, which is wholly owned by
Buyer.

    

    4.7           
FINANCIAL
STATEMENTS.  Buyer has delivered to the Company the bran sited
consolidated balance sheet of Buyer as at June 30, 2006, and the related
unaudited consolidated statements of income, changes in stockholders’ equity,
and cash flow for each of the fiscal year then ended (the “Buyer Financial
Statements”):  The Buyer Financial Statements and notes fairly
present the financial condition and the results of operations, changes in
stockholders’ equity, and cash flow of Buyer as at such date of and for the
period referred to in therein, and reflect the consistent application of sound
accounting principles throughout the periods involved, except as disclosed in
the notes to the Buyer Financial Statements.

    

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

    

    4.8           
BOOKS AND
RECORDS.  The books of account, minute books, stock record
books, and other records of Buyer, all of which have been made available to
Buyer, are complete and correct and have been maintained in accordance with
sound business practices and the requirements of Section 13(b)(2) of the
Exchange Act (regardless of whether or not Buyer is subject to that Section),
including the maintenance of an adequate system of internal
controls.  The minute books of Buyer contain materially accurate and
complete records of all meetings held of, and corporate action taken by, the
stockholders, the Board of Directors, and committees of the Board of Directors
of Buyer, and no meeting of any such stockholders, Board of Directors, or
committee has been held for which minutes have not been prepared and are not
contained in such minute books.

    

    4.9           
TAXES.  Buyer
has filed or caused to be filed (on a timely basis since inception) all Tax
Returns that are or were required to be filed by or with respect to Buyer,
either separately or as a member of a group of corporations, pursuant to
applicable Legal Requirements.  Buyer has delivered or made available
to Sellers copies of, and Section 4.9 of
Buyer’s Disclosure Schedule contains a complete and accurate list of; all such
Tax Returns filed since inception.  Buyer has paid, or made provision
for the payment of; all Taxes that have or may have become due pursuant to those
Tax Returns or otherwise, or pursuant to any assessment received by Buyer,
except such Taxes, if any, as are listed in Schedule 4.9 of
Buyer’s Disclosure Schedule and are being contested in good faith and as to
which adequate reserves (determined in accordance with GAAP) have been provided
in Buyer’s Financial Statements.

    

    4.10           
DISCLOSURE.  No
representation or warranty of Buyer in this Agreement, and no statement in the
Buyer’s Disclosure Schedule applicable to Buyer, omits to state a material fact
necessary to make the statements herein or therein, in light of the
circumstances in which they were made, not misleading.

    

    4.11           
ENCUMBRANCES.  All
material properties and assets of Buyer are free and clear of all Encumbrances
except for (i) Encumbrances reflected in the Buyer’s Financial Statements, (ii)
Encumbrances incurred in the Ordinary Course of Business since the date of the
Buyer’s Financial Statements, and (iii) Permitted Encumbrances.

    

    4.12           
NO MATERIAL ADVERSE
CHANGE.  Since the date of the Buyer Financial Statements,
there has not been any material adverse change in the business, operations,
properties, prospects, assets, or condition of Buyer, and, to the Knowledge of
Buyer, no event has occurred or circumstance exists that may result in such a
material adverse change.

    

    4.13           
EMPLOYEE
BENEITS.

    

    (a)           
Schedule 4.13
(a) of the Buyer’s Disclosure Schedule contains a complete and accurate
list of all Buyer Plans and Buyer Other Benefit Obligations.

    

    (b)           
Buyer has delivered or made available to Sellers: (i) all documents that set
forth the terms of each Buyer Plan and Buyer Other Benefit Obligation; (ii) all
personnel, payroll, and employment manuals and policies; (iii) all contracts
with third party administrators, actuaries, investment managers, consultants,
and other independent contractors that relate to any Buyer Plan or Buyer Other
Benefit Obligation; (iv) all reports submitted within the four years preceding
the date of this Agreement by third party administrators, actuaries, investment
managers, consultants, or other independent contractors with respect to any
Buyer Plan or Buyer Other Benefit Obligation; (v) all notices that were given by
Buyer to any Governmental Body or any entreat or former employee, participant or
beneficiary, pursuant to statute, within the four years preceding the date of
this Agreement; and (vi) all notices that were given by any Governmental Body to
Buyer within the four years preceding the data of this Agreement.

    

    (c)           
Except as set forth in Schedule 4.13(c) of
Buyer’s Disclosure Schedule:  (i) Buyer has performed all of its
obligations under all Buyer Plans and Buyer Other Benefit Obligations, including
making all required contributions or payments with respect to any Buyer Plans
and Buyer Other Benefit Obligations; (ii) the Company, with respect to all Buyer
Plans and Buyer Other Benefits Obligations, is, and each Buyer Plan and Buyer
Other Benefit Obligation is, in full compliance with all applicable Legal
Requirements; (iii) the Company has made appropriate entries in its financial
records and statements for all obligations and liabilities under such Buyer
Plans and Buyer Other Benefit Obligations that have accrued but are not due to
be paid in cash Buyer has no obligations to any person or Governmental Body with
respect to any Buyer Plans or Buyer Other Benefit Obligations, except as set
forth on the Buyer’s Financial Statements; (iv) all filings required by any
applicable Legal Requirement as to each Buyer Plan and Buyer Other Benefit
Obligation has been timely filed, and all notices and disclosures to
participants required by any Governmental Body have been timely provided; (v)
Buyer has the right to modify and terminate each Buyer Plan and Buyer Other
Benefit Obligation; and (vi) the consummation of the Contemplated Transactions
will not result in the payment, vesting, or acceleration of any benefit or
amount due under any Buyer Plan and Buyer Other Benefit Obligation or
otherwise.

    

    4.14           
COMPLIANCE WITH LEGAL
REOUJREMENTS; GOVERNMENTAL AUTHORIZATIONS.  Except as set forth
on Section 4.14 of Buyer’s Disclosure Schedule:

    

    (a)             Buyer is,
and at all times since inception has been, in full compliance with each material
Legal Requirement that is applicable to it;

    

    (b)           
no event has occurred or circumstance exists that (with or without notice or
lapse of time) may constitute or result in a violation by Buyer of, or a failure
on the part of Buyer to comply with, any material Legal Requirement;
and

    

    (c)           
Buyer has not received, at any time since inception, any written notice from any
Governmental Body or any other Person regarding any actual or alleged violation
of; or failure to comply with, any Legal Requirement.

    

    
      
        
        

      

      
        20

        
          

        

      

      
        
        

      

    

    4.15           
LEGAL PROCEEDINGS:
ORDERS.

    

    (a)           
Except as set forth on Section 4.15(a) of
Buyer’s Disclosure Schedule, there is no pending Proceeding:

    

    (i)           
that has been commenced by or against Buyer, or

    

    (ii)          
that challenges, or that may have the effect of preventing, delaying, making
illegal, or otherwise interfering with, any of the Contemplated
Transactions.

    

    To the
Knowledge of Buyer, (1) no such Proceeding has been Threatened, and (2) no event
has occurred or circumstance exists that may give rise to or serve as a basis
for the commencement of any such Proceeding.

    

    (b)           
Except as set forth on Section 4.15(b) of
Buyer’s Disclosure Schedule, there is no Order to which Buyer; or any of the
assets owned or used by Buyer, is subject.

    

    4.16           
ABSENCE OF CERTAIN
CHANGES AND EVENTS.  Since the date of the Buyer Financial
Statements, Buyer has conducted its business only in the Ordinary Course of
Business and there has not been any:

    

    (a)           
change in Buyer’s authorized or issued capital stock; grant of any stock option
or right to purchase shares of capital stock of Buyer, issuance of any security
convertible into such capital stock; grant of any registration rights; purchase,
redemption, retirement, or other acquisition by Buyer of any shares of any such
capital stock; or declaration or payment of any dividend or other distribution
or payment in respect of shares of capital stock, except as set forth on Section 4.16(a) of
Buyer’s Disclosure Schedule;

    

    (b)           
amendment to the Organizational Documents of Buyer;

    

    (c)           
payment or increase by Buyer of any bonuses, salaries, or other compensation to
any stockholder, director, officer, or employee (except in the Ordinary Course
of Business) or entry into any employment, severance, or similar Contract with
any director, officer, or employee;

    

    (d)           
adoption of; or increase in the payments to or benefits under, any profit
sharing, bonus, deferred compensation, savings, insurance, pension, retirement,
or other employee benefit plan for or with any employees of Buyer;

    

    (e)           
damage to or destruction or loss of any asset or property of Buyer, whether or
not covered by insurance, that would have a Material Adverse Effect on
Buyer;

    

    (f)           
entry into, termination of, or receipt of notice of termination of (i) any
license, distributorship, dealer, sales representative, joint venture, credit,
or similar agreement, or (ii) any Contract or transaction involving a total
remaining commitment by or to Buyer of at least $25,000;

    

    (g)           
sale, lease (other than sales or leases of inventory in the Ordinary Course of
Business), or other disposition of any asset or property of Buyer or any
Encumbrance on any material asset or property of Buyer, other than Permitted
Encumbrances;

    

    (h)           
cancellation or waiver of any claims or rights with a value to Buyer in
excess of
$25,000;

     

    (i)      
       material change in the accounting methods used
by Buyer; or

    

    (j)     
       agreement, whether oral or written, by
Buyer to do any of the foregoing.

    

    
      
        
        

      

      
        21

        
          

        

      

      
        
        

      

    

    4.17           
CONTRACTS; NO
DEFAULTS.

    

    (a)           
Section 4.17(a)
of Buyer’s Disclosure Schedule contains a complete and accurate list, and Buyer
has delivered or made available to Sellers true and complete copies, of (each, a
“Buyer Material
Contract”):

    

    (i)           
each Applicable Contract that involves performance of services or delivery of
goods or materials by or to Buyer, or that was not entered into in the Ordinary
Course of Business, of an amount or value in excess of $75,000;

    

    (ii)          
each Applicable Contract affecting the ownership of, leasing of, title to, use
of or any leasehold or other interest in, any real or personal property (except
personal property leases and installment and conditional sales agreements having
a value per item or aggregate payments of less than $50,000 and with terms of
less than one year);

    

    (iii)          each
licensing agreement or other Applicable Contract with respect to patents,
trademarks, copyrights, or other intellectual property, including agreements
with current or former employees, consultants, or contractors regarding the
appropriation or the non-disclosure of any of the Buyer Intellectual Property
Assets;

    

    (iv)          each
collective bargaining agreement and other Applicable Contract to or with any
labor union or other employee representative of a group of
employees;

    

    (v)           each
joint venture, partnership, and other Applicable Contract (however named)
involving a sharing of profits, losses, costs, or liabilities by Buyer with any
other Person;

    

    (vi)          each
Applicable Contract containing covenants that in any way purport to restrict the
business activity of Buyer or limit the freedom of Buyer to engage in any line
of business or to compete with any Person;

    

    (vii)         each
written warranty, guaranty, and or other similar undertaking with respect to
contractual performance extended by Buyer other than in the Ordinary Course of
Business; and

    

    (viii)        each
written amendment, supplement, and modification in respect of any of the
foregoing.

    

    (b)           
Except as set forth in Section 4.17(b) of
Buyer’s Disclosure Schedule:

    

    (i)           
Buyer (and no Related Person of Buyer) has not or may not acquire any rights
under, and Buyer has not or may not become subject to any obligation or
liability under; any Contract that relates to the business of, or any of the
assets owned or used by, Buyer; and

    

    (ii)           
to the Knowledge of Buyer, no officer, director, agent, employee, consultant, or
contractor of Buyer is bound by any Contract that purports to limit the ability
of such officer, director, agent, employee, consultant, or contractor to (A)
engage in or continue any conduct, activity, or practice relating to the
business of Buyer, or (B) assign to Buyer or to any other Person any rights to
any invention, improvement, or discovery.

    

    (c)           
To the Knowledge of Buyer, each Buyer Material Contract is in full force and
effect and is valid and enforceable in accordance with its terms.

    

    (d)           
To the Knowledge of Buyer:

    

    (i)           
Buyer is, and at all times since July 17, 2001 has been, in fail compliance with
all applicable material terms and requirements of each Buyer Material
Contract;

    

    (ii)           each
other Person that has or had any obligation or liability under any Buyer
Material Contract under which Buyer has or had any rights is, and at all times
since inception has been, in full compliance with all material applicable terms
and requirements of such Buyer Material Contract; and

    

    
      
        
        

      

      
        22

        
          

        

      

      
        
        

      

    

    (iii)           
no event has occurred or circumstance exists that (with or without notice or
lapse of time) may result in a violation or breach of any Buyer Material
Contract.

    

    4.18           
INSURANCE.

    

    (a)           
Buyer has delivered or made available Sellers true and complete copies of all
policies of insurance to which Buyer is a party or under which Buyer, or any
director of the Company, is or has been covered at any time within the two (2)
years preceding the date of this Agreement.

    

    (b)           
Section 4.18(b)
of Buyer’s Disclosure Schedule describes any self-

    insurance
arrangement by or affecting Buyer, including any reserves established
thereunder.

    

    (c)           
To the Knowledge of Buyer all policies to which Buyer is a party or that provide
coverage to Buyer, or any director or officer of Buyer:

    

    (A)           
are valid, outstanding, and enforceable; and

    

    (B)           
taken together, provide adequate insurance coverage for the assets and the
operations of Buyer for all risks to which Buyer is normally
exposed.

    

    4.19           
ENVIRONMENTAL
MATTERS.  Buyer, the operation of its business and any real
property that Buyer owns or has owned, leased or has leased (the “Buyer Premises”) are, to the
Knowledge of Buyer, in compliance with all applicable Environmental Laws and
orders or directives of any governmental authorities having jurisdiction under
such Environmental Laws.  Buyer has not received any written citation,
directive, letter or other communication, or any notice of any proceeding, claim
or lawsuit, from any person arising out of the ownership or occupation of the
Buyer Premises, or the conduct of its operations, and Buyer is not aware of any
basis therefor.  To the Knowledge of Buyer, no material expenditures
are or will be required in order to comply with any Environmental
Laws.

    

    4.20           
EMPLOYEES.

    

    (a)           
Section 4.20 of
the Buyer’s Disclosure Schedule contains a complete and accurate list of the
following information for each employee or director of Buyer, including each
employee on leave of absence or layoff status:  employer; name; job
title; current compensation paid or payable; vacation accrued; and service
credited for purposes of vesting and eligibility to participate under Buyer Plan
or Buyer Other Benefit Obligation.

    

    (b)           
To the Knowledge of Buyer, no employee or director of Buyer is a party to, or is
otherwise bound by, any Proprietary Rights Agreement between such employee or
director and any other Person that in any way adversely affects or will affect
(i) the performance of his duties as an employee or director of Buyer, or (ii)
the ability of Buyer to conduct its business, including any Proprietary Rights
Agreement with Buyer by any such employee or director. To the Knowledge of
Buyer, no director; officer, or other key employee of Buyer intends to terminate
his employment with Buyer.

    

    4.21           
LABOR RELATIONS;
COMPLIANCE.  Buyer is not a party to any collective bargaining
or other labor Contract.  Buyer has complied in all respects with all
material Legal Requirements relating to employment, equal employment
opportunity, nondiscrimination, immigration, wages, hours, benefits, collective
bargaining, the payment of social security and similar taxes, occupational
safety and health, and plant closing.  To the Knowledge of Buyer,
Buyer is not liable for the payment of any compensation, damages, taxes, fines,
penalties, or other amounts, however designated, for failure to comply with any
of the foregoing Legal Requirements.

    

    4.22           
INTELLECTUAL
PROPERTY.

    

    (a)           
The term “Buyer Intellectual
Property Assets” includes:

    

    (i)           
the name “Vemics”, all fictional business names, trading names, registered and
unregistered trademarks, service marks, and applications (collectively, “Buyer Marks”);

    

    (ii)          
all patents, patent applications, and inventions and discoveries that may be
patentable (collectively, “Buyer Patents”);

    

    (iii)         
all copyrights in both published works and unpublished works (collectively,
“Buyer Copyrights”);
and

    

    (iv)          all
know-how, trade secrets, confidential information, customer lists, software,
technical information, data, process technology, plans, drawings, and blue
prints (collectively, “Buyer
Trade Secrets”); in each
case owned, used, or licensed by Buyer as licensee or licensor.

    

    
      
        
        

      

      
        23

        
          

        

      

      
        
        

      

    

    (b)           
Section 4.22(b)
of the Buyer’s Disclosure Schedule contains a complete and accurate list and
summary description, including any royalties paid or received by the Company, of
all Contracts relating to the Buyer Intellectual Property Assets to which Buyer
is a party or by which Buyer is bound, except for any license implied by the
sale of a product and perpetual, paid up licenses for commonly available
software programs with a value of less than $1,000 under which Buyer is the
licensee.  There are no outstanding and, to the Knowledge of Buyer, no
Threatened disputes or disagreements with respect to any such
agreement

    

    (c)           
Know How Necessary for the Business.

    

    (i)           
The Buyer Intellectual Property Assets are all those necessary for the operation
of Buyer’s business as they are currently conducted.  Buyer is the
owner of all right, title, and interest in and to each of the Buyer Intellectual
Property Assets, free and clear of all Encumbrances, other than Permitted
Encumbrances, and has the right to use without payment to a third party all of
the Buyer Intellectual Property Assets.

    

    (ii)           
Except as set forth in Section 4.22(b) of
the Buyer’s Disclosure Schedule, all former and current employees of Buyer have
executed written Contracts with Buyer that assign to Buyer all rights to any
inventions, improvements, discoveries, or information relating to the business
of Buyer.  No employee of Buyer has entered into any Contract that
restricts or limits in any way the scope or type of work in which the employee
may be engaged or requires the employee to transfer, assign, or disclose
information concerning his work to anyone other than Buyer.

    

    (d)           
Buyer Patents.

    

    (i)           
Section 4.22(d)
of the Buyer’s Disclosure Schedule contains a complete and accurate list and
summary description of all filed Buyer Patents.  Buyer is the owner of
all right, title, and interest in and to each of the filed Buyer Patents, free
and clear of all Encumbrances, other than Permitted Encumbrances.

    

    (ii)           
All of the issued Patents are currently in compliance with all material formal
Legal Requirements (including payment of filing examination, and maintenance
fees and proofs of working or use), are valid and enforceable, and are not
subject to any maintenance fees or taxes or actions falling due within ninety
days after the Closing Date.

    

    (iii)           
No Buyer Patent has been or is now involved in any interference, reissue,
reexamination, or opposition proceeding. To the Knowledge of Buyer, there is no
potentially interfering patent or patent application of any third
party.

    

    None of the profits manufactured and
sold, nor any process or expertise used, by Buyer infringes or is alleged to
infringe any patent or other proprietary right of any other Person.

    

    (e)           
Buyer Trademarks.

    

    (i)           
Section 4.22(f)
of Buyer’s Disclosure Schedule contains a complete and accurate list and summary
description of all Buyer Marks.  Buyer is the owner of all right,
title, and interest in and to each of the Buyer Marks, free and clear of all
Encumbrances, other than Permitted Encumbrances.

    

    (ii)           
All Buyer Marks that have been registered with the United States Patent and
Trademark Office are currently in compliance with all material formal legal
requirements (including the timely post-registration filing of affidavits of use
and incontestability and renewal applications), are valid and enforceable, and
are not subject to any maintenance fees or taxes or actions falling due within
ninety days after the Closing Date.

    

    (iii)           
No Buyer Mark has been or is now involved in any opposition, invalidation, or
cancellation and, to the Knowledge of Buyer, no such action is Threatened with
the respect to any of the Buyer Marks.

    

    (iv)           
To the Knowledge of Buyer, there is no potentially interfering trademark or
trademark application of any third party.

    

    (v)           
None of the Buyer Marks used by Buyer infringes or is alleged to infringe any
trade name, trademark, or service mark of any third party.

    

    
      
        
        

      

      
        24

        
          

        

      

      
        
        

      

    

    (f)           
Buyer Copyrights.

    

    (i)           
Section 4.22(f)
of the Buyer’s Disclosure Schedule contains a complete and accurate list and
summary description of all Buyer Copyrights.  Buyer is the owner of
all right, title, and interest in and to each of the Buyer Copyrights, free and
clear of all Encumbrances, other than Permitted Encumbrances.

    

    (ii)           
All the Buyer Copyrights have been registered and are currently in compliance
with material formal legal requirements, are valid and enforceable, and are not
subject to any maintenance fees or taxes or actions falling due within ninety
days after the date of Closing.

    

    (iii)           
None of the subject matter of any of the Buyer Copyrights infringes or is
alleged to infringe any copyright of any third party or is a derivative work
based on the work of a third party.

    

    (g)           
Buyer Trade Secrets.

    

    (i)           
With respect to each Buyer Trade Secret, the documentation relating to such
Buyer Trade Secret is current, accurate, and sufficient in detail and content to
identify and explain it and to allow its full and proper use without reliance on
the knowledge or memory of any individual.

    

    (ii)           
Buyer has taken all reasonable precautions to protect the secrecy,
confidentiality, and value of the Buyer Trade Secrets.

    

    (iii)          
Buyer has a right to use the Buyer Trade Secrets. The Buyer Trade Secrets are
not part of the public knowledge or literature, and, to the Knowledge of Buyer,
have not been used, divulged, or appropriated either for the benefit of any
Person (other than Buyer) or to the detriment of Buyer.

    

    4.23           
CERTAIN
PAYMENTS.  Since inception, neither Buyer nor any director,
officer, agent, or employee of Buyer; or to Knowledge of Buyer, any other Person
associated with or acting for or on behalf of Buyer, has directly or indirectly,
in violation of any Legal Requirement (a) made any contribution, gift, bribe,
rebate, payoff, influence payment, kickback, or other payment to any Person,
private or public, regardless of form, whether in money, property, or services
(i) to obtain favorable treatment in securing business, (ii) to pay for
favorable treatment for business secured, or (iii) to obtain special concessions
or for special -concessions already obtained, for or in respect of Buyer or any
Affiliate of Buyer, or (b) established or maintained any fund or asset for such
purposes that has not been recorded in the books and records of
Buyer.

    

    4.24           
RELATIONSHIPS WITH
RELATED PERSONS.  Neither Buyer, nor any Related Person of
Buyer, or has had, any interest in any property (whether real, personal, or
mixed and whether tangible or intangible), used in or pertaining to Buyer’s
business.  Neither Buyer, nor any Related Person of Buyer owns, or has
owned (of record or as a beneficial owner) an equity interest or any other
financial or profit interest in, a Person that has (i) had business dealings or
a material financial interest in any transaction with Buyer other than business
dealings or transactions conducted in the Ordinary Course of Business with Buyer
at substantially prevailing market prices and on substantially prevailing market
terms, or (ii) engaged in competition with Buyer with respect to any line of the
products or services of Buyer in any market presently served by
Buyer.  Neither Buyer nor any Related Person of Buyer is a party to
any Contract with, or has any claim or right against, Buyer.

    

    5.           
ADDITIONAL COVENANTS
AND AGREEMENTS.

    

    5.1           
BOARD OF DIRECTORS
REPRESENTATION.  The Board of Directors of Buyer shall
initially consist of nine (9) members, three (3) of which shall have been
designated by Sellers.  At such time as the Board of Directors of
Buyer consists of six (6) or less members, then Sellers shall be entitled to
designate two (2) members.

    

    5.2           
TERMINATION OF
INVESTOR RIGHTS AND SHAREHOLDER AGREEMENT.  The Company and
certain of the Sellers are parties to an Investor Rights and Shareholder
Agreement dated February 28, 2006 (the “Investor Rights
Agreement”).  The parties to the Investor Rights Agreement
hereby agree that the Investor Rights Agreement shall be terminated
simultaneously with the consummation of Closing hereunder and shall be of no
further force or effect.

    

    
      
        
        

      

      
        25

        
          

        

      

      
        
        

      

    

    5.3           
TERMINATION OF
FOUNDER’S STOCK RESTRICTION AGREEMENT.  Each of the Founding
Shareholders is a party to a Founder’s Stock Restriction Agreement with the
Company, each dated February 28, 2006 (the “Founders
Agreements”).  The Company hereby waives its rights of first
refusal under each of the Founders Agreements with respect to the exchange of
Shares pursuant to this Agreement.  The parties to each of the
Founders Agreements hereby agree that each of the Founders Agreements shall be
terminated simultaneously with the consummation of Closing hereunder, and shall
be of no further force or effect.

    

    5.4           
RESIGNATION OF COMPANY
DIRECTORS.  Effective upon the consummation of Closing
hereunder, Thomas Dorsett and Brian Groh hereby resign as directors of the
Company, and Fred Zolla and Craig Stout are hereby appointed in their
place.

    

    5.5           
RESIGNATION OF COMPANY
OFFICERS.  Effective upon the consummation of Closing
hereunder, Thomas Dorsett, C. Robert Dorsett and John Dogru hereby resign as
officers of the Company, and Fred Zolla is hereby appointed as Chairman of the
Board of the Company, and Craig Stout is hereby appointed as Secretary of the
Company.

    

    6.           
TERMINATION.  This
Agreement may be terminated by the mutual consent of Buyer and the
Sellers.

    

    7.           
INDEMNIFICATION;
REMEDIES.

    

    7.1           
SURVIVAL; RIGHT TO
INDEMNIFICATION NOT AFFECTED BY KNOWLEDGE.  All
representations, warranties, covenants, and obligations of the Sellers and Buyer
in this Agreement, the Disclosure Schedules, and any other certificate or
document delivered pursuant to this Agreement will survive the
Closing.  All representations, warranties, covenants, and obligations
of the Company in this Agreement, the Disclosure Schedule, and any other
certificate or document delivered pursuant to this Agreement will terminate upon
the consummation of Closing.

    

    7.2           
INDEMNIFICATION AND
PAYMENT OF DAMAGES BY SELLERS AND THE COMPANY.  The Sellers,
severally and not jointly, will indemnify and hold harmless Buyer and the
Company, and their respective Representatives, stockholders, controlling
persons, and affiliates (collectively, the “Buyer Indemnified Persons”)
for, and will pay to the Buyer Indemnified Persons the amount of, any loss,
liability, claim, damage (but specifically excluding incidental and
consequential damages), expense (including costs of investigation and defense
and reasonable attorneys’ fees), whether or not involving a third party claim
(collectively, “Damages”), arising, directly
or indirectly, from or in connection with:

    

    (a)           
any Breach of any representation or warranty made by Sellers or the Company in
this Agreement, the Sellers’ Disclosure Schedule, or any other certificate or
document delivered by Sellers or the Company pursuant to this
Agreement;

    

    (b)           
any Breach by any Seller or the Company of any covenant or obligation of such
Seller in this Agreement; or

    

    (c)           
any claim by any Person for brokerage or finder’s fees or commissions or similar
payments based upon any agreement or understanding alleged to have been made by
any such Person with Sellers or the Company (or any Person acting on their
behalf) in connection with any of the Contemplated Transactions.

    

    7.3           
INDEMNIFICATION AND
PAYMENT OF DAMAGES BY BUYER.  Buyer will indemnify and hold
harmless Sellers and each of their respective Representatives, stockholders,
controlling persons, affiliates, heirs, successors and assigns (collectively,
the “Seller Indemnified
Persons”) for, and will pay to the Seller Indemnified Persons the amount
of any Damages arising, directly or indirectly, from or in connection
with:

    

    (a)           
any Breach of any representation or warranty made by Buyer in this Agreement,
the Buyer’s Disclosure Schedule, or in any other certificate or document
delivered by Buyer pursuant to this Agreement;

    

    (b)           
any Breach by Buyer of any covenant or obligation of Buyer in this Agreement;
or

    

    (c)           
any claim by any Person for brokerage or finder’s fees or commissions or similar
payments based upon any agreement or understanding alleged to have been made by
such Person with Buyer (or any Person acting on its behalf) in connection with
any of the Contemplated Transactions.

    

    
      
        
        

      

      
        26

        
          

        

      

      
        
        

      

    

    7.4           
TIME
LIMITATIONS.  If the Closing occurs, Sellers will have no
liability (for indemnification or otherwise) with respect to any representation
or warranty (other than those in Sections 3.3, 3.9, 3.11, and 3.17), or covenant or
obligation to be performed and complied with prior to the Closing Date unless on
or before the first anniversary of the Closing Date, Buyer notifies Sellers of a
claim specifying the factual basis of that claim in reasonable detail to the
extent then known by Buyer; a claim with respect to Sections 3.3, 3.11, or 3.17 may be made at
any time prior to the third anniversary of the Closing Date, and a claim with
respect to Sections
3.3 may be made at any time prior to the sixth anniversary of the Closing
Date.  If the Closing occurs, Buyer will have no liability (for
indemnification or otherwise) with respect to any representation or warranty
(other than those in Sections 4.6, 4.9, 4.13, and 4.19), or covenant or
obligation to be performed and complied with prior to the Closing Date, unless
on or before first anniversary of the Closing Date Sellers notify Buyer of a
claim specifying the factual basis of that claim in reasonable detail to the
extent then known by Sellers; a claim with respect to Sections 4.9, 4.13, or 4.19 may be made at
any tune prior to the third anniversary of the Closing Date, and a claim with
respect to Section
4.6 may be made at any time prior to the sixth anniversary of the Closing
Date.  Notwithstanding anything in this Section 7.4 to the
contrary, any by any party based on fraud may be made at any time prior to the
expiration of the applicable statute of limitations for fraud.

    

    7.5           
LIMITATIONS ON
SELLERS’ LIABILITY.  Sellers will have no liability (for
indemnification or otherwise) with respect to the matters described in clause
(a), clause (b) and clause (c) of Section 7.2 until the
total of all Damages with respect to such matters exceeds $50,000, and then only
for the amount by which such Damages exceed $ 50,000.  However, first
sentence of this Section 7.5 will not
apply to any intentional Breach by Sellers or the Company of any covenant or
obligation or to the breach of Section 3.3, whether
intentional or not.  The liability of each of Seller pursuant to Section 7.2, shall be
limited to an amount equal to ten percent (10%) of the aggregate value of the
Buyer’s Shares (based on the Vemics Stock Price) received by such Seller under
this Agreement, provided, however; that any liability arising out of fraud of
any Seller shall be limited to the aggregate value of the Buyer’s Shares (based
on the Vemics Stock Price) received by such Seller under this
Agreement.  Further, in the event of a breach by a Seller of a
representation or warranty of such Seller set forth in Sections 3.2(a),
3.3(b), 3.l5(b)(i) and/or
3.24 (a “Seller Breach”), only the
Seller responsible for such Seller Breach shall be liable for any Damages
sustained or incurred as a result of such Seller Breach and the Buyer, on behalf
of itself; its affiliates, Related Persons and all Buyer Indemnified Persons,
covenants and agrees not to seek any Damages or personal money judgment against
any Seller other than the Seller responsible for such Seller Breach for Damages
sustained or incurred by any Buyer Indemnified Party arising out of or in
connection with such Seller Breach.  In addition, Buyer’s recourse
against any Seller for Damages shall be limited to the Buyer’s Shares received
by such Seller hereunder or, with respect to any of the Buyer’s Shares that are
subsequently sold, exchanged or otherwise disposed of by such Seller, the
proceeds from such sale, exchange or other disposition.

    

    7.6           
LIMITATIONS ON BUYER’S
LIABILITY.  Buyer will have no liability (for indemnification
or otherwise) with respect to the matters described in clause (a) or (b) of
Section 7.3
until the total of all Damages with respect to such matters exceeds $50,000, and
then only for the amount by which such Damages exceed
$50,000.  However, this Section 7.6 will not
apply to any Breach of any of Buyer’s representations and warranties of which
Buyer had Knowledge at any time prior to the date on which such representation
and warranty is made or any intentional Breach by Buyer of any covenant or
obligation, and Buyer will be liable for all Damages with respect to such
Breaches.  The total liability of Buyer pursuant to Section 7.3 shall be
limited to an amount equal to $4,050,000.

    

    7.7           
NO RIGHT OF
CONTRIBUTION.  If Closing occurs, none of the Sellers shall
have any right of contribution, indemnification or other claim against the
Company in connection with any matter and, effective upon the consummation of
Closing, the Sellers hereby release the Company from any such
claims.

    

    7.8           
PROCEDURE FOR
INDEMNIFICATION-THIRD PARTY CLAIMS.

    

    (a)           
Promptly after receipt by an indemnified party under Sections 7.2, or
7.3 of notice
of the commencement of any Proceeding against it, such indemnified party will,
if a claim is to be made against an indemnifying party under such Section, give
notice to the indemnifying party of the commencement of such claim, but the
failure to notify the indemnifying party will not relieve the indemnifying party
of any liability that it may have to any indemnified party, except to the extent
that the indemnifying party demonstrates that the defense of such action is
prejudiced by the indemnifying party’s failure to give such notice.

    

    (b)           
If any Proceeding referred to in Section 7.8(a) is
brought against an indemnified party and it gives notice to the indemnifying
party of the commencement of such Proceeding the indemnifying party will, unless
the claim involves Taxes, be entitled to participate in such Proceeding and, to
the extent that it wishes (unless the indemnifying party is also a party to such
Proceeding and the indemnified party determines in good faith that joint
representation would be inappropriate), to assume the defense of such Proceeding
with counsel satisfactory to the indemnified party and, after notice from the
indemnifying party to the indemnified party of its election to assume the
defense of such Proceeding the indemnifying party will not, as long as it
diligently conduct such defense, be liable to the indemnified party under this
Section 7 for
any fees of other counsel or any other expenses with respect to the defense of
such Proceeding in each case subsequently incurred by the indemnified party in
connection with the defense of such Proceeding.  If the indemnifying
party assumes the defense of a Proceeding, (i) no compromise or settlement of
such claims may be effected by the indemnifying party without the indemnified
party’s consent (which shall not be unreasonably withheld) unless (A) there is
no finding or admission of any violation of Legal Requirements or any violation
of the rights of any Person and no effect on any other claims that may be made
against the indemnified party, and (B) the sole relief provided is monetary
damages that are paid in fall by the indemnifying party; and (ii) the
indemnified party will have no liability with respect to any compromise or
settlement of such claims effected without its consent.  If notice is
given to an indemnifying party of the commencement of any Proceeding and the
indemnifying party does not, within ten days after the indemnified party’s
notice is given, give notice to the indemnified party of its election to assume
the defense of such Proceeding, the indemnified party may, by notice to the
indemnifying party, assume the exclusive light to defend, compromise, or settle
such Proceeding, but the indemnifying party will not be bound by any
determination made in such Proceeding or any compromise or settlement effected
by the indemnified party without its consent (which may not be unreasonably
withheld).

    

    
      
        
        

      

      
        27

        
          

        

      

      
        
        

      

    

     

                                  
(c)           
Notwithstanding the foregoing, if an indemnified party determines in good faith
that there is a reasonable probability that a Proceeding may adversely affect it
or its affiliates other than as a result of monetary damages for which it would
be entitled to indemnification under this Agreement, the indemnified party may,
by notice to the indemnifying party, assume the exclusive right to defend,
compromise, or settle such Proceeding, but the indemnifying party will not be
bound by any determination of a Proceeding so defended or any compromise or
settlement effected without its consent (which may not be unreasonably
withheld).

    

    (d)           
Sellers hereby consent to the non-exclusive jurisdiction of any court in which a
Proceeding is brought against any Indemnified Person for purposes of any claim
that an Indemnified Person may have under this Agreement with respect to such
Proceeding or the matters alleged therein, and agree that process may be served
on Sellers with respect to such a claim anywhere in the world.

    

    7.9           
PROCEDURE FOR
INDEMNIFICATION–OTHER CLAIMS.  A claim for indemnification for
any matter not involving a third-party claim may be asserted by notice to the
party from whom indemnification is sought.

    

    7.10           
EXCLUSIVE
REMEDY.  Except in the event of fraud, if the Closing occurs,
the remedies for indemnification contained in this Section 7 shall be
the exclusive remedies of the parties hereto, and shall be deemed exclusive of
any other remedy conferred by law or equity upon any party hereto, with respect
to any matter related to or arising out of this Agreement or any of the
Contemplated Transactions.

    

    7.11           
MITIGATION.

    

     (a)           
The parties shall use reasonable efforts to collect the proceeds of any
insurance which would have the effect of reducing Damages (in which case such
proceeds shall reduce such Damages) and, if indemnification payments shall have
been received by any indemnified person prior to the collection of such
proceeds, such indemnified person shall remit to the indemnifying party, the
amount of such proceeds (net of the cost of collection thereof) to the extent of
indemnification payments received in respect of such Damages. To the extent any
Damages of an indemnified person is reduced by receipt of payment (i) under
insurance policies, or (i) from third parties not affiliated with the
indemnified person, such payments (net of the expenses of the recovery thereof)
shall be credited against such Damages.

    

        
(b)            The amount
of any Damages payable hereunder shall be net of any tax benefit actually
derived (or reasonably expected to be derived) by any indemnified person on
account of such Damages.

    

        
(c)            The
indemnifying party shall be subrogated to the indemnified person’s rights of
recovery to the extent of any Damages satisfied by the indemnifying
party.  Such indemnified person shall execute and deliver such
instruments and papers as are necessary to assign such rights and assist in the
exercise thereof.

    

    8.           
GENERAL
PROVISIONS.

    

    8.1           
EXPENSES.  Except
as otherwise expressly provided in this Agreement, Buyer will bear all expenses
incurred by Buyer and the Company in connection with the preparation, execution,
and performance of this Agreement and the Contemplated Transactions, including
all fees and expenses of agents, representatives, counsel, and accountants up to
an aggregate of $15,000 (but specifically excluding such expenses incurred by
the Sellers).

    

    8.2           
PUBLIC
ANNOUNCEMENTS.  Any public announcement or similar publicity
with respect to this Agreement or the Contemplated Transactions will be issued,
if at all, at such time and in such manner as mutually agreed to by the
parties.  Unless consented to by the parties in advance or required by
Legal Requirements, prior to the Closing the parties shall keep this Agreement
strictly confidential and may not make any disclosure of this Agreement to any
Person.  Sellers and Buyer will consult with each other concerning the
means by which the Company’s employees, customers, and suppliers and others
having dealings with the Company will be informed of the Contemplated
Transactions, and Buyer will have the right to be present for any such
communication.

    

    8.3           
CONFIDENTIALITY.  Between
the date of this Agreement and the Closing Date, Buyer, Sellers and the Company
will maintain in confidence, and will cause the directors, officers, employees,
agents, and advisors of Buyer and the Company to maintain in confidence, and not
use to the detriment of another party or the Company any written, oral, or other
information obtained in confidence from another party or the Company in.
connection with this Agreement or the Contemplated Transactions, unless (a) such
information is already known to such party or to others not bound by a duty of
confidentiality or such information becomes publicly available through no fault
of such party, (b) the use of such information is necessary or appropriate in
making any filing or obtaining any consent or approval required for the
consummation of the Contemplated Transactions, or (c) the famishing or use of
such information is required by or necessary or appropriate in connection with
legal proceedings.

    

    8.4           
NOTICES.  All
notices, consents, waivers, and other communications under this Agreement must
be in writing and will be deemed to have been duly given when (a) delivered by
hand (with written confirmation of receipt), (b) sent by telecopier (with
written confirmation of receipt), provided that a copy is mailed by registered
mail, return receipt requested, or (c) when received by the addressee, if sent
by a nationally recognized overnight delivery service (receipt requested), in
each case to the appropriate addresses and telecopier numbers set forth below
(or to such other addresses and telecopier numbers as a party may designate by
notice to the other parties):

    

    
      
        
        

      

      
        28

        
          

        

      

      
        
        

      

    

    
      	
               

            	
              If
      to Sellers or the Company. 

            

    

    

    
      	
               

            	
              NuScribe,
      Inc. 

            

    

    3600 Bee
Caves Road

    Suite
216

    Austin,
Texas  78746

    Attention:  Thomas
Dorsett

    Facsimile
No.:  (512) 233-5190

    

    
      	
               

            	
              With
      a copy to (which shall not constitute notice):

            

    

    

    Jackson
Walker L.L.P.

    100
Congress Avenue

    Suite
1100

    Austin,
Texas  78701

    Attention:  Lawrence
A. Waks, Esq.

    Facsimile
No.:  (512) 236-2002

    

    
      	
               

            	
              If
      to Buyer: 

            

    

    

    Vemics,
Inc.

    523
Avalon Gardens Drive

    Nanuet,
New York  10954

    Attention:  Fred
Zolla, Chairman

    Facsimile
No.:  (845) 371-7381

    

    
      	
               

            	
              With
      a copy to (which shall not constitute notice):

            

    

    

    David A.
Weinstein, Esq.

    29
Concordia Center

    P.O. Box
7401

    Monroe
Township, NJ  08831

    Facsimile
No.:  (732) 792-1427

    

    
      
        
        

      

      
        29

        
          

        

      

      
        
        

      

    

    8.5           
JURISDICTION; SERVICE
OF PROCESS.  Any action or proceeding seeking to enforce any
provision of, or based on any right arising out of, this Agreement may be
brought against any of the parties in the courts of New York, New York, or, if
it has or can acquire jurisdiction, in the United States District Court for the
Southern District of New York, and each of the parties consents to the
jurisdiction of such courts (and of the appropriate appellate courts) in any
such action or proceeding and waives any objection to venue laid
therein.  Process in any action or proceeding referred to in the
preceding sentence may be served on any party anywhere in the
world.

    

    8.6           
FURTHER
ASSURANCES.  The parties agree (a) to furnish upon request to
each other such further information, (b) to execute and deliver to each other
such other documents, and (c) to do such other acts and things, all as the other
party may reasonably request for the purpose of carrying out the intent of this
Agreement and the documents referred to in this Agreement.

    

    8.7           
WAIVER.  The
rights and remedies of the parties to this Agreement are cumulative and not
alternative.  Neither the failure nor any delay by any party in
exercising any right, power, or privilege under this Agreement or the documents
referred to in this Agreement will operate as a waiver of such right, power; or
privilege, and no single or partial exercise of any such right, power, or
privilege will preclude any other or further exercise of such right, power, or
privilege or the exercise of any other right, power, or privilege.  To
the maximum extent permitted by applicable law, (a) no claim or right arising
out of this Agreement or the documents referred to in this Agreement can be
discharged by one party, in whole or in part, by a waiver or renunciation of the
claim or right unless in writing signed by the other party; (b) no waiver that
may be given by a party will be applicable except in the specific instance for
which it is given; and (c) no notice to or demand on one party will be deemed to
be a waiver of any obligation of such party or of the right of the party giving
such notice or demand to take further action without notice or demand as
provided in this Agreement or the documents referred to in this
Agreement.

    

    8.8           
ENTIRE AGREEMENT AND
MODIFICATON.  This Agreement supersedes all prior agreements
between the parties with respect to its subject matter (including the Letter of
Intent between Buyer and the Company dated August ___, 2006) and constitutes
(along with the documents referred to in this Agreement) a complete and
exclusive statement of the terms of the agreement between the parties with
respect to its subject matter.  This Agreement may not be amended
except by a written agreement executed by the party to be charged with the
amendment.

    

    8.9           
DISCLOSURE
SCHEDULE.  The disclosures in Sellers’ and Buyer’s Disclosure
Schedules shall be arranged in sections corresponding to the numbered and
lettered sections and subsections contained in Section 3 or 4 as applicable, and
the disclosures in any section or subsection of Sellers’ and Buyer’s Disclosure
Schedule shall qualify other sections and subsections in Section 3 or 4, as applicable,
only to the extent it is readily apparent from a reading of the disclosure that
such disclosure is applicable to such other sections and
subsections.

    

    8.10           
ASSIGNMENTS,
SUCCESSORS, AND NO THIRD-PARTY RIGHTS.  Neither party may
assign any of its rights under this Agreement without the prior consent of the
other parties, except that Buyer may assign any of its rights under this
Agreement to any Subsidiary of Buyer.  Subject to the preceding
sentence, this Agreement will apply to, be binding in all respects upon, and
inure to the benefit of the successors and permitted assigns of the
parties.  Nothing expressed or referred to in this Agreement will be
construed to give any Person other than the parties to this Agreement and the
parties described in Section 7, any legal
or equitable right, remedy, or claim under or with respect to this Agreement or
any provision of this Agreement.  This Agreement and all of its
provisions and conditions are for the sole and exclusive benefit of the parties
to this Agreement and their successors and assigns.

    

    8.11           
SEVERABILITY.  If
any provision of this Agreement is held invalid or unenforceable by any court of
competent jurisdiction, the other provisions of this Agreement will remain in
full force and effect.  Any provision of this Agreement held invalid
or unenforceable only in part or degree will remain in full force and effect to
the extent not held invalid or unenforceable.

    

    8.12           
SECTION HEADINGS,
CONSTRUCTION.  The headings of Sections in this Agreement are
provided for convenience only and will not affect its construction or
interpretation.  All references to “Section” or “Sections” refer to
the corresponding Section or Sections of this Agreement.  All words
used in this Agreement will be construed to be of such gender or number as the
circumstances require.  Unless otherwise expressly provided, the word
“including” does not limit the preceding words or terms.

    

    8.13           
TIME OF
ESSENCE.  With regard to all dates and time periods set forth
or referred to in this Agreement, time is of the essence.

    

    8.14           
GOVERNING
LAW.  This Agreement will be governed by the laws of the State
of New York without regard to conflicts of laws principles.

    

    8.15           
COUNTERPARTS;
FACSIMILE SIGNATURE.  This Agreement may be executed in one or
more counterparts, each of which will be deemed to be an original copy of this
Agreement and all of which, when taken together, will be deemed to constitute
one and the same agreement.  The exchange of copies of this Agreement
and of signature pages by facsimile transmission shall constitute effective
execution and delivery of this Agreement as to the parties and may be used in
lieu of the original Agreement for all purposes.  Signatures of the
parties transmitted by facsimile shall be deemed to be their original signatures
for all purposes.

    

    
      
        
        

      

      
        30

        
          

        

      

      
        
        

      

    

    8.16           
SELLERS’
REPRESENTATIVE.

    

    (a)           
Appointment
Authority.  Each of the Sellers hereby appoints Thomas Dorsett
as their representative (the “Sellers’ Representative”), as
the attorney-in-fact for and on behalf of each Seller, and the Sellers’
Representative shall be authorized hereby to take any and all actions and make
any decisions on behalf of the Sellers required or permitted to be taken by any
of the Sellers under this Agreement or any of the Sellers’ Closing Documents in
connection with the consummation of the Contemplated Transactions, including,
without limitation, the exercise of the power to (i) receive or give any notice
on behalf of Sellers pursuant to this Agreement or any of the Sellers’ Closing
Documents, (ii) authorize delivery to Sellers of the Holdback Shares and the
Adjustment Shares, if any, (iii) prepare the Closing Balance Sheet and deliver
the same to Buyer and otherwise represent Sellers in, and control the
disposition of, all matters related thereto, (iv) agree to, negotiate, enter
into settlements and compromises of, and comply with orders of courts with
respect to claims hereunder or under the Sellers’ Closing Documents, (v)
terminate this Agreement pursuant to Section 6, and (vi)
take all actions necessary in the judgment of the Sellers’ Representative for
the accomplishment of the foregoing and all of the other terms, conditions and
limitations of this Agreement and the Sellers’ Closing
Documents.  Each of the Sellers shall be bound by all actions taken by
the Sellers’ Representative in connection with this Agreement and the Sellers’
Closing Documents.  Buyer and the Company shall be entitled to rely on
any action or decision of the Sellers’ Representative evidenced by a written
document executed by the Sellers’ Representative as the action or decision of
each of the Sellers, and Buyer and the Company shall be held harmless from and
indemnified against any claim of any Seller in respect of this Section
8.16.

    

    (b)           
Acceptance.  The
Seller Representative has executed this Agreement as acknowledgment and
acceptance of the provisions of this Section
8.16.

    

    (c)           
Each Seller covenants and agrees that it will not voluntarily revoke the power
of attorney conferred in this Section
8.16.

    

    (e)           
The Sellers’ Representative may resign as the Sellers’ Representative for any
reason and at any time by written notice to the Buyer and each
Seller.  The Sellers shall designate another Seller as its successor
by a majority of the Pro Rata Shares as soon as practicable and shall notify the
Buyer in writing of such designation.

     

    [SIGNATURE PAGES TO
FOLLOW]

    
      
        
        

      

      
        31

        
          

        

      

      
        
        

      

    

     

    
      In
Witness Whereof, the parties have executed and delivered this Agreement as of
the date first written above.

       

      
        	
                BUYER:

                Vemics,
Inc.

                
                

                /s/
      Fred
      Zola                                    
      

                Fred
      Zolla, CEO & President

                
                

                FOUNDING
      SHAREHOLDERS:

                
                

                /s/
      John
      Mehmet                              
      

                John
      Mehmet Ulgar Dogru

                
                

                /s/
      Thomas
      Dorsett                          
      

                 Thomas
      Dorsett

                
                

                C.
      Robert Dorsett Heritage Trust

                
                

                By /s/ C. Robert
      Dorsett                    
      

                C.
      Robert Dorsett, Co-Trustee

                
                

                By /s/ Loretta R.
      Dorsett                   
      

                Loretta
      R. Dorsett, Co-Trustee

                
                

                /s/
      Jang
      Kim                                  
      

                Jang
      Kim

                
                

                /s/
      Reid
      Moody                            
      

                Reid
      Moody

                
                

                /s/Angela
      Moody                         
      

                Angela
      Moody

                
                

                /s/
      Clark
      Redus                            
      

                Clark
      Redus

                
                

                /s/
      Bala
      Sambandam                     
      

                Bala
      Sambandam

                
                

                /s/
      Steve
      Williams                        
      

                Steve
      Williams

                
                

              	 	
                COMPANY:

                NuScribe,
      Inc.

                
                

                /s/
      Thomas
      Dorsett                     
      

                Thomas
      Dorsett, President

                
                

                INVESTOR
      SHAREHOLDERS:

                
                

                C.
      Robert Dorsett Heritage Trust

                
                

                By /s/ C. Robert
      Dorsett               
      

                C.
      Robert Dorsett, Co-Trustee

                
                

                By
      /s/ Loretta R.
      Dorsett               
      

                Loretta
      R. Dorsett, Co-Trustee

                
                

                Travis
      Price Dorsett Trust

                
                

                By
      /s/ C. Robert
      Dorsett               
      

                C.
      Robert Dorsett, Co-Trustee

                
                

                By
      /s/ Loretta R.
      Dorsett               

                Loretta
      R. Dorsett, Co-Trustee

                
                

                /s/
      Brian
      Groh                             
      

                Brian
      Groh

                
                

                /s/
      Robert G.
      Harris                     
      

                Robert
      G. Harris

                
                

                /s/
      Maurice
      Khollman                  
      

                Maurice
      Khollman

                
                

                /s/
      Reid
      Moody                        
      

                Reid
      Moody

                
                

                /s/
      Jason
      Moller                        
      

                Jason
      Moller

                
                

                /s/
      Jonathan
      Strain                    
      

                Jonathan
      Strain

              

      

      

      
        
           

        

        
          32

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