Document:

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                                                                   EXHIBIT 10.77

                        EXTENSION AND EXCHANGE AGREEMENT

         This EXTENSION AND EXCHANGE AGREEMENT ("Agreement") made this 29th day
of August, 2003 ("Effective Date"), by and among CHARLES A. BEASLEY ("CB"),
MARJORIE A. BEASLEY ("MB"), both residents of the State of Indiana (CB and MB
sometimes being referred to collectively as "Beasleys"), SYNDICATED FOOD SERVICE
INTERNATIONAL, INC., a Florida corporation ("SYFS"), BEASLEY FOOD SERVICE, INC.,
a Delaware corporation ("BFS") and SYNDICATED BLOOMINGTON I, LLC, a Delaware
limited liability company ("Syndicated");

                                   WITNESSETH:

         WHEREAS, Beasleys hold 458,716 shares of the common capital stock of
SYFS ("Shares") and an installment promissory note dated December 31, 2001 in
the principal amount of $1,226,420 ("Note");

         WHEREAS, Beasleys acquired the Shares and the Note pursuant to the
terms of an Agreement and Plan of Merger and Reorganization, dated November 27,
2001 ("Merger Agreement");

         WHEREAS, pursuant to the terms of Section 2(a) to the First Amendment
to Agreement and Plan of Merger and Reorganization, dated December 31, 2001
("First Amendment"), SYFS extended to Beasleys the right to put the Shares to
SYFS ("Put Right") for the price of $4.36 per share effective as of June 30,
2003, continuing through July 20, 2003 ("Put Period");

         WHEREAS, Beasleys exercised the Put Right by letter dated July 7, 2003
("Put Notice"); and SYFS has not performed its obligations under Put Right;

         WHEREAS, SYFS has failed to pay certain sums due under the Note on a
timely basis; and

         WHEREAS, subject to the completion of certain conditions and delivery
of certain consideration, Beasleys have agreed to rescind the Put Notice, to
exchange the Shares for other securities of SYFS and to defer declaring the Note
in default and exercising remedies available to them;

         NOW THEREFORE, in consideration of the premises and the mutual
covenants and promises contained in this Agreement, the receipt and legal
sufficiency of which are acknowledged and agreed to, the parties agree as
follows:

         SECTION 1.   SCOPE AND PURPOSE; DEFINITIONS. This Agreement serves
as a binding agreement covering the terms specifically set forth below. This
Agreement amends the Merger Agreement and the First Amendment as provided below.
Except as provided below or in the other agreements and documents referred to
in, or contemplated by, this Agreement, the Merger Agreement, the First
Amendment and the other agreements and instruments between SYFS and its
affiliates on the one hand and Beasleys or CB on the other hand remain in full
force and effect. Capitalized terms defined in the Merger Agreement and the
First Amendment have the same meanings in this Agreement unless a different
definition is established in this Agreement or the context clearly indicates
another meaning should obtain.

         SECTION 2.   PUT RIGHT-RESCISSION OF EXERCISE. Beasleys hereby
rescind their exercise of the Put Right and agree that the letter attached as
Exhibit 2.1 shall be deemed cancelled and of no further force or legal effect.

         SECTION 3.   PUT RIGHT-EXTENSION OF PUT PERIOD. The Put Period is
extended through and including November 30, 2003, so that the Expiration Date as
provided in Section 2(a) of the First Amendment is November 30, 2003, and,
subject to the terms and conditions of this Agreement and performance by SYFS of
its obligations under this Agreement, Beasleys may not exercise the Put Right at
any time before November 1, 2003.

         SECTION 4.   STANDSTILL PENDING PERFORMANCE. Beasleys agree that the
Put Date provided in Section 2(a) of the First Amendment will be November 1,
2003; provided however, that the Put Date will be accelerated to

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September 16, 2003, if SYFS does not complete the conditions precedent set forth
in Section 5 below ("Filing Conditions"). If the Filing Conditions are not
satisfied, Beasleys may immediately exercise the Put Right, and SYFS shall be
required to perform as provided in the First Amendment.

         SECTION 5.   SEC REPORTING AND DISCLOSURE. Noncompliant behavior of
former management has caused SYFS to be delinquent in the filing of a series of
required reports and disclosures with United States Securities and Exchange
Commission ("SEC"). A list of delinquent filings is attached as Schedule 5.1
("Delinquent Filings"). Current management of SYFS has commenced preparation of
the information necessary to complete all forms required to be filed with the
SEC by SYFS and to bring SYFS current in its SEC filings so that its shares may
be traded in the public securities markets in accordance and compliance with
Securities Laws. SYFS undertakes to complete all delinquent filings to the
satisfaction of Beasleys on or before September 15, 2003 ("Compliance Date").
SYFS will provide Beasleys (through counsel) with drafts of all proposed SYFS
filings with the SEC at least 48 hours before filing the same. Beasleys will
review and provide SYFS with comments to all drafts as soon as practical.
Beasleys will be deemed to have accepted any proposed filing if the same has not
been objected to or commented upon within 48 hours of receipt by Beasleys.

         SECTION 6.   PRIVATE PLACEMENT OF SYFS SHARES. SYFS is in process of
completing a Private Placement Memorandum to cover the proposed sale of
4,000,000 to 8,000,000 shares of its common capital stock for $0.25 per share. A
copy of a current draft of the Private Placement Memorandum is attached as
Exhibit 6.1 ("PPM"). Beasleys consent to the issuance of shares of SYFS on the
terms specified in the PPM, subject to the specific provisions of Section 13.1
below relative to uses and application of the proceeds of the proposed offering
under the PPM. If SYFS successfully closes the sale of at least 4,000,000 shares
at a minimum price of $0.25 per share pursuant to the PPM on or before November
30, 2003 ("PPM Closing"), Beasleys agree to convert the Shares to SYFS Series A
Preferred Shares pursuant to the terms of Section 7 below.

         SECTION 7.   CONVERSION AND EXCHANGE OF SHARES. Simultaneous with
the PPM Closing but subject to satisfaction of all conditions specified in this
Agreement and performance by SYFS of all of its obligations and covenants
specified in this Agreement, the Shares will be converted into Series A
Preferred Shares of SYFS ("A Shares") on the following terms;

                  (a)      Stated Value. The Stated Value of the A Shares will
         be $2,000,000, subject to increase pursuant to Section 7(g) below
         ("Stated Value").

                  (b)      Number of A Shares. 100,000 A Shares will be issued
         to Beasleys.

                  (c)      Voting Rights. Each A Shares will have ten (10) votes
         on all matters to be voted upon by the common shares of SYFS. Voting as
         a class the A Shares will have the right to approve or reject the
         following types of transactions or actions by SYFS:

                           (i) any merger, consolidation or amalgamation of SYFS
                  with any other corporation;

                           (ii) any revision to or amendment of the Articles of
                  Incorporation of SYFS which would reduce or change to the
                  number of votes per share of common stock in any manner
                  resulting in a change in the relationship of votes per A Share
                  to common share from that which is provided under this Section
                  7(c); or

                           (iii) any issuance of debt securities by SYFS in an
                  aggregate original principal amount of $ 1,000,000 or more
                  which pay a stated interest rate more than nine percent (9%).

                  (d)      Conversion Rights. Each A Share will, at the election
         of the holder, be convertible at the Stated Value per share of the A
         Shares into common shares of SYFS at a conversion price equal to the
         greater of $1.00 per common share or a discount of 20% from the average
         trading price for SYFS common shares for the ten (10) trading days
         immediately preceding the exercise of the conversion right ("Conversion
         Rate"). The Conversion Rate will be adjusted to reflect any changes in
         capitalization of

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         SYFS so that the holder of the A Shares will be entitled to receive the
         amount of common shares the holder would have been entitled to receive
         but for the capital change, it being understood that the foregoing is
         designed to ensure that Beasleys will receive an adjustment in the
         number of shares to reflect stock dividends, splits, conversions,
         reverse splits. No adjustments to the Conversion Rate will be made for
         issuances of common shares of SYFS for fair value in arms length
         transactions, be they private placements or public offerings.

                  (e)      Dividend Rate. The A Shares will have right to
         receive a seven percent (7%) cumulative annual dividend on the Stated
         Value of the A Shares from the date of issuance until the A Shares are
         redeemed or converted ("A Dividend"). The A Dividend will accrue
         whether or not declared and whether or not there is profit, surplus or
         assets available for the payment of dividends. A Dividends will be
         cumulative so that all accrued and unpaid A Dividends will be fully
         paid or declared with funds set aside irrevocably for payment before
         any dividend, distribution or payment may be made with respect to any
         other class or series of equity security of SYFS. The date of issuance
         of the A Shares will be the Closing Date regardless of the number of
         times SYFS or its transfer agent may record a transfer or reissuance of
         the A Shares and regardless of the date specified on any certificates
         reflecting the A Shares.

                  (f)      Liquidation Preference. Upon any liquidation,
         dissolution or winding up of SYFS, each A Share then outstanding shall
         be entitled to be paid, before any distribution or payment of any kind
         is made to the holders of any other equity securities of SYFS by reason
         of ownership, an amount in cash per A Share equal to the Stated Value
         per A Shares plus all accrued and unpaid dividends.

                  (g)      Redemption Rights. The A Shares may be redeemed by
         SYFS at any time for an amount equal to their Stated Value plus any
         accrued and unpaid A Dividends. Beginning on December 1, 2004, and on
         each February 1, May 1, August 1 and December 1 thereafter, the Stated
         Value will increase by 2.5% cumulatively on each A Share then
         outstanding. Beginning on December 1, 2004, if the A Shares have not
         then been redeemed, SYFS will establish a sinking fund in which 25% of
         its EBITDA (earnings before interest, taxes and depreciation) for the
         preceding twelve (12) months less interest expense will be irrevocably
         set aside to fund A Share redemption; on December 1, 2005, the
         percentage set aside will increase from 25% to 50%.

                  (h)      Other Terms. The Articles of Incorporation of SYFS
         will be amended to incorporate the above terms and additional
         procedures regarding notice and timing on terms approved by Beasleys
         after investors subscribe to acquire a minimum of $1 million of SYFS
         common shares. Upon completion the terms of the A Preferred Shares will
         be added to this Agreement as Exhibit 7.1. Any SYFS common shares
         received by Beasleys upon conversion of A Shares will be entitled to
         "piggyback" rights in connection with any registration statement filed
         by SYFS.

         SECTION 8.   DEFERRAL OF EXERCISE OF RIGHTS UNDER NOTE AND SECURITY
AGREEMENT. SYFS has failed to make timely payments due under the Note. Beasleys
agree not to exercise their rights to call the Note into default and agree not
to realize on the security for the Note until the Put Right becomes exercisable
under Section 5 above and, if SYFS makes all of its Delinquent Filings and
causes its common shares to become eligible for trading on or before the
Compliance Date, Beasleys agree to further defer exercise of rights under the
Note or the Security Agreement pending SYFS's efforts to close on the sale of
shares under the PPM. If a PPM Closing occurs and all amounts of interest and
principal now due under the Note are paid at the PPM Closing, Beasleys agree to
waive any defaults then outstanding. Any defaults in the payment of any future
installment of interest or principal under the Note or any other Event(s) of
Default under the Note or the Security Agreement are not affected by the
deferral or the potential waiver under this Section 8.

         SECTION 9.   ADDITIONAL CONSIDERATION. As additional consideration
for the forbearances of Beasleys and for entering into this Agreement, it is
agreed effective for all purposes as of the Effective Date, as follows:

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                  (a)      Release from Indemnification Obligations. SYFS, for
         itself and for BFS, BTS and Syndicated, releases and acquits Beasleys
         from further liability or responsibility for the indemnification
         provisions of Section 6.5(a) of the Merger Agreement.

                  (b)      Release from Rights of First Refusal and Scrubbing of
         Certificate(s). SYFS and Beasleys agree that the provisions of Section
         6.7 of the Merger Agreement and the restrictions therein provided are
         cancelled effective as of the date of this Agreement. Upon request,
         SYFS will reissue the Shares to Beasleys with all restrictive legends
         removed.

                  (c)      Cancellation of Pledge and Escrow Agreement. The
         Pledge and Escrow Agreement pursuant to which the Shares are subject is
         deemed cancelled and of no further force or effect effective as of the
         date of this Agreement. The Escrow Agent under the Pledge and Escrow
         Agreement is released from all further obligations under that Agreement
         upon delivery of the Shares to be Beasleys for tender to SYFS against
         reissuance as contemplated in Section 9(b) above.

                  (d)      Issuance of Additional Shares. SYFS will, as soon as
         practical following the Effective Date but in any event no later than
         August 25, 2003, issue to Beasleys 229,358 shares of its common capital
         stock ("Additional Shares"). The Additional Shares will have the same
         registration rights as provided for common shares following conversion
         of Preferred Shares under Section 7 above.

                  (e)      Junior Security Interest. Subject to consent by Old
         National Bank ("ONB") if performing under this Section 9(e) would cause
         the breach of any covenant in any agreement between BFS or any
         Affiliate and ONB, BFS will grant and extend to Beasleys as additional
         security for the Note a second or junior security interest in all of
         its assets subject and subordinate to the position of ONB under the
         Subordination Agreement dated February 27, 2003.

                  (f)      Second Mortgage. Subject to consent by Old National
         Bank ("ONB") if performing under this Section 9(f) would cause the
         breach of any covenant in any agreement between Syndicated or any
         Affiliate and ONB, Syndicated will grant and extend to Beasleys as
         additional security for the Note a second or mortgage interest in the
         Real Estate subject and subordinate to the position of ONB under the
         Subordination Agreement dated February 27,2003.

                  (g)      Expense Reimbursement. SYFS will reimburse Beasleys
         for all costs and expenses, including legal fees, incurred by Beasleys
         in connection with this Agreement and the negotiations and analysis
         leading up to this Agreement. The obligation of SYFS to reimburse
         Beasleys for any such expenses is not contingent upon the occurrence or
         non-occurrence of any future event. SYFS will cause BFS to make any
         reimbursement covered by this Section 9(g) promptly upon demand.

                  (h)      Cancellation of Terms. Sections 3 and 4 of the First
         Amendment are cancelled and of no further force or effect.

                  (i)      Modification of Principal Payment Date. The Five
         Hundred Thousand Dollar ($500,000) principal payment due under the
         terms of the Note on January 4,2004 will not be due until March 31,
         2004 if a PPM Closing occurs on or before November 30, 2003.

         SECTION 10.  REPRESENTATIONS AND WARRANTIES OF SYFS. SYFS represents
and warrants to Beasleys that the statements contained in this Section 10 are
correct and complete as of the date of this Agreement.

                  (a)      Organization, Qualification, and Corporate Power.
         SYFS is a corporation duly organized, validly existing and in good
         standing under the jurisdiction of its organization. SYFS is duly
         authorized to conduct business and is in good standing under the laws
         of each jurisdiction where such qualification is required. SYFS has
         full power and authority and all licenses, permits, and authorizations
         necessary to carry out the terms and conditions of this Agreement.

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                  (b)      Authorization of Transaction. SYFS has full power and
         authority to execute and deliver this Agreement and the other documents
         referenced herein and to perform its obligations hereunder and
         thereunder. This Agreement constitutes the valid and legally binding
         obligation of SYFS, enforceable in accordance with its terms and
         conditions. No notice to, filing with, or authorization, consent, or
         approval of any governmental authority is required of SYFS for the
         parties to consummate the transactions contemplated by this Agreement.

                  (c)      No Conflicts. Neither the execution and delivery nor
         the performance of this Agreement nor the consummation of the
         transactions contemplated hereby will (i) conflict with, violate, or
         result in a breach of any of the terms, conditions or provisions of any
         law, regulation, order, writ, injunction, decree, permit,
         determination, or award of any court, governmental department, board,
         agency or instrumentality, domestic or foreign, or any arbitrator; or
         (ii) result in a breach by SYFS of any contractual obligations it may
         have with any third party.

                  (d)      Legal Compliance. SYFS has complied in all material
         respects with all applicable laws (including rules, regulations, codes,
         plans, injunctions, judgments, orders, decrees, rulings, and charges
         thereunder) of all governmental authorities, and, except as may be
         implicated in any matter included in the Disclosure Schedule attached
         as Exhibit 10.1 ("Disclosure Schedule"), no action, suit, proceeding,
         hearing, investigation, charge, complaint, claim, demand, or notice has
         been filed or commenced against SYFS alleging any failure so to comply.

                  (e)      Approval. No registration, declaration, filing,
         consent, approval, license, permit or other authorization or order not
         obtained by SYFS from any governmental or regulatory authority,
         domestic or foreign, is required for the execution, delivery, and
         performance by SYFS under this Agreement.

                  (f)      Litigation. Except as referenced in Section 10(f) of
         the Disclosure Schedule, There are no actions, suits, proceedings, or
         investigations pending or, to the knowledge of SYFS, threatened,
         against or affecting SYFS or any of its properties, assets or
         businesses in any court, any governmental department, board, agency or
         instrumentality, domestic or foreign, or any arbitration which, if
         adversely determined (or, in the case of an investigation, could lead
         to any action, suit or proceeding, which if adversely determined),
         could reasonably be expected to materially impair its ability to
         perform its obligations under this Agreement or to have a material
         adverse effect on his financial condition; and SYFS has not received
         any notice of any default, nor does any default exist, under any
         applicable order, writ, injunction, decree, permit, determination, or
         award of any court, any governmental department, board, agency, or
         instrumentality, domestic or foreign, or any arbitrator which could
         reasonably be expected to materially impair its ability to perform
         obligations under this Agreement or to have a material adverse effect
         on its financial condition.

                  (g)      Disclosure. The representations and warranties
         contained in this Section 10 do not contain any untrue statement of a
         material fact or omit to state any material fact necessary in order to
         make the statements and information contained in this Section 10 not
         misleading.

         SECTION 11.  REPRESENTATIONS AND WARRANTIES OF BEASLEYS. Beasleys
represent and warrant to SYFS that the statements contained in this Section 11
are correct and complete as of the date of this Agreement.

                  (a)      Authority. Beasleys have full power and authority to
         execute and deliver this Agreement and the other documents referenced
         herein and to perform obligations under this Agreement This Agreement
         constitutes the valid and legally binding obligation of Beasleys,
         enforceable in accordance with its terms and conditions. No notice to,
         filing with, or authorization, consent, or approval of any governmental
         authority is required of Beasleys for the parties to consummate the
         transactions contemplated by this Agreement.

                  (b)      No Conflicts. Neither the execution and delivery nor
         the performance of this Agreement nor the consummation of the
         transactions contemplated hereby will (i) violate any constitution,
         statute, law, regulation, rule, injunction, judgment, order, decree,
         writ, permit, ruling,

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         charge, award, determination or other restriction of any governmental
         authority to which Beasleys are subject; or (ii) result in a breach by
         Beasleys of any contractual obligations they may have with any third
         party.

                  (c)      Litigation. There are no actions, suits, proceedings,
         or investigations pending or, to the knowledge of Beasleys, threatened,
         against or affecting Beasleys or any of their properties, assets or
         businesses in any court, any governmental department, board, agency or
         instrumentality, domestic or foreign, or any arbitration which, if
         adversely determined (or, in the case of an investigation, could lead
         to any action, suit or proceeding, which if adversely determined),
         could reasonably be expected to materially impair their ability to
         perform obligations under this Agreement or to have a material adverse
         effect on their financial condition; and they have not received any
         notice of any default, nor does any default exist, under any applicable
         order, writ, injunction, decree, permit, determination, or award of any
         court, any governmental department, board, agency, or instrumentality,
         domestic or foreign, or any arbitrator which could reasonably be
         expected to materially impair their ability to perform obligations
         under this Agreement or to have a material adverse effect on their
         financial condition.

         SECTION 12.  CLOSING OF SHARE CONVERSION AND EXCHANGE. Simultaneous
with the PPM Closing, the Shares will be converted into the Preferred Shares
("Exchange Closing"). At the Exchange Closing, the following events will take
place and the following documents will be executed and delivered:

                  (a)      Conditions Precedent to Closing. The following
         conditions shall be satisfied on or before the Exchange Closing date:

                           (i)      SYFS shall have performed in all material
                  respects each obligation and agreement, and complied with each
                  covenant to be performed and complied with by it, under this
                  Agreement prior to the date of the Exchange Closing, including
                  but not limited to the following matters:

                                    (A)      SYFS shall have delivered to
                           Beasleys the additional 229,358 shares and, if
                           requested by Beasleys, revised certificates with all
                           restrictive legends removed for the Shares;

                                    (B)      SYFS and BFS shall have obtained
                           the consent of ONB and secured for Beasleys a second
                           priority security interest in the property of BFS and
                           a second mortgage for Beasleys on the Real Estate;

                                    (C)      SYFS shall have reimbursed, or
                           caused BFS to reimburse, Beasleys for any costs or
                           expenses to be reimbursed under Section 9(g) of this
                           Agreement that were submitted for payment prior to
                           the date of the Exchange Closing; and

                                    (D)      SYFS shall have taken any and all
                           actions necessary to create and approve the Series A
                           Preferred Shares and shall have filed with the
                           Secretary of State of the State of Florida any
                           necessary statement of the designations, powers,
                           preferences and relative rights, qualifications,
                           limitations and restrictions of the Series A
                           Preferred Shares;

                           (ii)     The representations and warranties of SYFS
                  set forth in Section 10, and the representations and
                  warranties of Beasleys set forth in Section 11, shall be true
                  and correct in all material respects as of the date of the
                  Exchange Closing;

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                           (iii)    All consents by third party or governmental
                  or regulatory agencies or otherwise that are required to be
                  obtained by SYFS for the consummation of the transactions to
                  be effected at the Exchange Closing shall have been obtained;
                  and

                           (iv)     No action or proceeding before any court or
                  governmental body will be pending or threatened wherein a
                  judgment, decree, injunction or order would prevent any of the
                  transactions described herein or cause such transactions to be
                  declared unlawful or rescinded.

                  (b)      Closing Deliveries. On the date of the Exchange
         Closing, the parties shall make the following deliveries:

                           (i)      Beasleys shall make the following deliveries
                  to SYFS:

                                    (A)      Certificate or certificates
                           representing the Shares, accompanied by duly executed
                           stock powers or otherwise duly endorsed and in proper
                           form for transfer to SYFS;

                                    (B)      Certificate executed on behalf of
                           Beasleys stating that the representations and
                           warranties set forth in Section 11 are true and
                           correct as of the date of the Exchange Closing; and

                                    (C)      Any other documents that SYFS may
                           reasonably request in connection with the
                           transactions to be effected at and as of the date of
                           the Exchange Closing.

                           (ii)     SYFS shall make the following deliveries to
                  Beasleys:

                                    (A)      Certified copy of any filing or
                           filings made with the Secretary of State of the State
                           of Florida to document the relative rights and
                           preferences of the Series A Preferred Shares;

                                    (B)      Certificate or certificates
                           representing all the Series A Preferred Shares to be
                           issued to the Beasleys upon conversion of the Shares;

                                    (C)      Certificate of good standing for
                           SYFS issued by the Secretary of State of the State of
                           Florida as of a recent date acceptable to Beasleys;

                                    (D)      Certified resolutions adopted by
                           its Board of Directors authorizing and approving the
                           relative rights and preferences of the Series A
                           Preferred Shares and the consummation of all the
                           transactions contemplated to be effected at the
                           Exchange Closing;

                                    (E)      Certificate executed on behalf of
                           SYFS stating that the representations and warranties
                           set forth in Section 10 are true and correct as of
                           the date of the Exchange Closing and stating that the
                           conditions set forth in Section 12(a) of this
                           Agreement have been satisfied;

                                    (F)      Any other documents that Beasleys
                           may reasonably request in connection with the
                           transactions to be effected at and as of the date of
                           the Exchange Closing;

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                                    (G)      Payment of all amounts due under
                           the Note by cash or other good funds acceptable to
                           Beasleys; and

                                    (H)      Payment of expenses incurred by
                           Beasleys in connection with this Agreement by cash or
                           other good funds as directed by Beasleys.

                  (c)      Contingent Share Issuances. If at the PPM Closing the
         gross proceeds received for common share issuance are between $1
         million and $1.5 million, SYFS will issue to Beasleys an additional
         44,000 shares of SYFS common stock; if gross proceeds from share
         issuances at the PPM Closing are $1.5 million or more, no shares will
         be issuable under this Section 13(c).

         SECTION 13.  ADDITIONAL COVENANTS OF SYFS. In addition to the
covenants elsewhere set forth in this Agreement and until the Preferred Shares
are redeemed or converted into common shares and the Note is paid in full, SYFS
covenants and agrees as follows:

                  (a)      Application of Closing Proceeds. Proceeds of closing
         on the sale common shares pursuant to the PPM, will be applied as
         provided in Exhibit 13.1 attached.

                  (b)      Expense Controls. SYFS will implement the Cost
         Control Program set forth in Exhibit 13.2 attached.

                  (c)      Executive Employment Agreements and Executive
         Compensation. No Executive Employment Agreements or compensation
         programs will be entered into or made effective on any terms which
         would cause the Executive Employee to be compensated at a higher rate
         (whether in the form or salary, bonus, incentive or contingent
         compensation, benefits or otherwise as reportable to the employee as
         compensation income on IRS Form W-2 or as reportable for GAAP
         accounting purposes) without the express written consent of CB to the
         agreement or plan under which the compensation is payable.

         SECTION 14.  FURTHER ASSURANCES. If at any time further action is
necessary or desirable to carry out the purposes of this Agreement, the parties
will take such further action (including the execution and delivery of such
further instruments and documents) as any other party may reasonably request,
without further consideration.

         SECTION 15.  MISCELLANEOUS.

                  (a)      Press Releases and Public Announcements. No party
         shall issue any press release or make any public announcement relating
         to this Agreement without the prior written approval of the other
         parties; provided, however, that any party may make any public
         disclosure it believes in good faith is required by applicable law.

                  (b)      No Third-Party Beneficiaries. This Agreement shall
         not confer any rights or remedies upon any person other than the
         parties and their respective successors and permitted assigns.

                  (c)      Entire Agreement. This Agreement (including the
         documents referred to herein) constitutes the entire agreement among
         the parties and supersedes any prior understandings, agreements, or
         representations by or among the parties, written or oral, to the extent
         they related in any way to the subject matter hereof.

                  (d)      Successors and Assigns. This Agreement shall be
         binding upon and inure to the benefit of the parties named herein and
         their respective successors and permitted assigns. Except as otherwise
         specifically provided above, no party may assign either this Agreement
         or any of its rights, interests, or obligations hereunder without the
         prior written approval of all the parties.

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                  (e)      Counterparts. This Agreement and any other agreement
         referenced in this Agreement may be executed in one or more
         counterparts, each of which shall be deemed an original but all of
         which together will constitute one and the same instrument.

                  (f)      Headings. Section headings contained in this
         Agreement are inserted for convenience only and shall not affect in any
         way the meaning or interpretation of this Agreement.

                  (g)      Notices. All notices, requests, demands, claims, and
         other communications under this Agreement will be in writing. Any
         notice, request, demand, claim, or other communication shall be deemed
         duly given if it is sent by courier and addressed to the intended
         recipient at the address indicated below. Any party may send any
         notice, request, demand, claim, or other communication hereunder to the
         intended recipient using any other means (including personal delivery,
         expedited courier, messenger service, telecopy, telex, or electronic
         mail), but no such notice, request, demand, claim, or other
         communication shall be deemed to have been duly given unless and until
         it actually is received by the intended recipient. Any party may change
         the address to which notices, requests, demands, claims, and other
         communications hereunder are to be delivered by giving the other
         parties notice.

         If to SYFS:                Thomas P. Tanis, Jr.
                                    Chief Executive Officer
                                    Syndicated Food Service International, Inc.
                                    P.O. Box 2185
                                    Front Royal, VA 22630

         With a copy to:            Peter F. Schoenthaler, Esq.
                                    Hill, Kertscher & Pixley, LLP
                                    Riverwood
                                    3350 Riverwood Parkway
                                    Suite 800
                                    Atlanta, GA 30339

         If to Beasleys:            Charles A. Beasley
                                    Marjorie A. Beasley
                                    5600 Nathan Way
                                    Bloomington, IN 47408

         With a copy to:            John W. Boyd, Esq.
                                    Barnes & Thornburg
                                    11 South Meridian Street
                                    Indianapolis, IN 46204

                  (h)      Governing Law; Jurisdiction and Venue. This Agreement
         shall be governed by and construed in accordance with the domestic laws
         of the United States of America and the State of Indiana without giving
         effect to any choice or conflict of law provision or rule (whether of
         the State of Indiana or any other jurisdiction) that would cause the
         application of the laws of any jurisdiction other than the United
         States of America and the State of Indiana.

                  (i)      Amendments and Waivers. No amendment of any provision
         of this Agreement shall be valid unless the same shall be in writing
         and signed by the parties hereto. No waiver by any party of any
         default, misrepresentation, or breach of warranty or covenant
         hereunder, whether intentional or not, shall be deemed to extend to any
         prior or subsequent default, misrepresentation, or breach of warranty
         or covenant hereunder or affect in any way any rights arising by virtue
         of any prior or subsequent such occurrence.

                                       -9-

<PAGE>

                  (j)      Severability. Any term or provision of this Agreement
         that is invalid or unenforceable in any situation in any jurisdiction
         shall not affect the validity or enforceability of the remaining terms
         and provisions hereof or the validity or enforceability of the
         offending term or provision in any other situation or in any other
         jurisdiction.

                  (k)      Expenses. Except as provided in Section 9(g) above,
         each party will bear its own costs and expenses (including legal fees
         and expenses) incurred in connection with this Agreement and the
         transactions contemplated by this Agreement.

                  (l)      Construction. The parties have participated jointly
         in the negotiation and drafting of this Agreement. In the event an
         ambiguity or question of intent or interpretation arises, this
         Agreement shall be construed as if drafted jointly by the parties and
         no presumption or burden of proof shall arise favoring or disfavoring
         any party by virtue of the authorship of any of the provisions of this
         Agreement. Any reference to any domestic federal, state or local
         statute or law, or to any foreign statute or law, shall be deemed also
         to refer to all rules and regulations promulgated thereunder, unless
         the context requires otherwise. The word "including" shall mean
         including without limitation. The parties intend that each
         representation, warranty, and covenant in this Agreement to have
         independent significance. If any party has breached any representation,
         warranty, or covenant contained herein in any respect, the fact that
         there exists another representation, warranty, or covenant relating to
         the same subject matter (regardless of the relative levels of
         specificity) which the party has not breached shall not detract from or
         mitigate the fact that the party is in breach of the first
         representation, warranty, or covenant.

                  (m)      Incorporation of Exhibits and Schedules. The Exhibits
         and Schedules identified in this Agreement are incorporated by this
         reference and made a part of this Agreement.

                  (n)      Specific Performance. Each party acknowledges and
         agrees that the other would be damaged irreparably in the event any of
         the provisions of this Agreement are not performed in accordance with
         their specific terms or otherwise are breached. Accordingly, each party
         agrees that the other parties shall be entitled to an injunction or
         injunctions to prevent breaches of the provisions of this Agreement and
         to enforce specifically this Agreement and the terms and provisions
         hereof in any action instituted in any court of the United States or
         any state thereof having jurisdiction over the parties and the matter
         (subject to the provisions set forth in Section 16(o) below), in
         addition to any other remedy to which they may be entitled, at law or
         in equity.

                  (o)      Submission to Jurisdiction. Each of the parties
         submits to the jurisdiction of any state or federal court sitting in or
         for Monroe County, Indiana, in any action or proceeding arising out of
         or relating to this Agreement and agrees that all claims in respect of
         the action or proceeding may be heard and determined in any such court.
         Each of the parties waives any defense of inconvenient forum to the
         maintenance of any action or proceeding so brought and waives any bond,
         surety, or other security that might be required of any other party
         with respect thereto. Any party may make service on any other party by
         sending or delivering a copy of the process to the party to be served
         at the address and in the manner provided for the giving of notices in
         Section 13(g) above. Each party agrees that a final judgment in any
         action or proceeding so brought shall be conclusive and may be enforced
         by suit on the judgment or in any other manner provided by law or at
         equity.

                  (p)      Cooperation. The parties shall cooperate with each
         other and their respective attorneys, accountants and other agents, and
         do such other acts and things in good faith as may be reasonable,
         necessary or appropriate in order to timely effectuate the intents and
         purposes of this Agreement and the consummation of the transactions
         contemplated hereby.

                  (q)      Survival of Representations, Warranties and
         Covenants. The representations, warranties and covenants of the parties
         contained in this Agreement shall survive the execution of this
         Agreement and the Effective Date.

                                      -10-

<PAGE>

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

                                    CHARLES A. BEASLEY

                                    _______________________________________

                                    MARJORIE A. BEASLEY

                                    _______________________________________

                                    SYFS
                                    Syndicated Food Service International, Inc.

                                    By_____________________________________
                                      Thomas P. Tanis, President

                                      -11-

<PAGE>

                  EXHIBITS TO EXTENSION AND EXCHANGE AGREEMENT

<TABLE>
<CAPTION>
EXHIBIT #               ITEM
<S>           <C>
---------------------------------------------
  2.1         Put Letter
---------------------------------------------
  5.1         Delinquent SEC Filings
---------------------------------------------
  6.1         Private Placement Memorandum
---------------------------------------------
  7.1         Terms of Series A Preferred
---------------------------------------------
  9.1         Junior Security Agreement
---------------------------------------------
  9.2         Second Mortgage
---------------------------------------------
 10.1         Disclosure Schedule
---------------------------------------------
 13.1         Application of Proceeds
---------------------------------------------
 13.2         Expense Controls
---------------------------------------------
</TABLE>

                                      -12-<PAGE>

                                                                   EXHIBIT 10.78

Execution Copy

                                 LEASE AGREEMENT

         THIS LEASE AGREEMENT made and entered into as of the first day of July,
2003, by and between MOMENTUM FOOD SERVICES, INC., a corporation established and
existing under the laws of the State of Florida, (hereinafter referred to as the
"Tenant"), and Charles A. Beasley, an individual residing at 5600 Nathan Way,
Bloomington, Indiana 47408 (hereinafter referred to as the "Landlord").

                             W I T N E S S E T H :

         WHEREAS, Landlord owns the improved real property and equipment
described below and desires to lease such improved property on the terms and
conditions as herein contained to Tenant, and Tenant desires to lease such
improved property on the terms and conditions herein contained from Landlord;

         NOW, THEREFORE, in consideration of the mutual promises and agreements
hereinafter contained, and other good and valuable bargained for consideration,
the receipt and legal sufficiency of which is hereby acknowledged by both
parties hereto, the parties do hereby agree, intending hereby to be legally
bound, as follows:

                                    ARTICLE I
                                    PROPERTY

         1.1      Landlord agrees to lease to Tenant, for its sole use,
possession and enjoyment, the property, including the real estate, building(s),
and all equipment and/or leasehold improvements, the address of which is 403
East Locust Street Jasonville, Indiana 46438, as more particularly described on
Exhibit A and Exhibit B hereto (hereinafter referred to as the "Property").

                                   ARTICLE II
                                   LEASE TERM

         2.1      The term of this Lease Agreement shall be for the One year (1)
year period commencing on July 1, 2003, and ending on June 30, 2004, unless the
Lease is extended pursuant to the terms of Section 2.2 below.

         2.2      Tenant shall have the right to renew or extend the term of
this Lease Agreement following the expiration of the Lease Term (a "Renewal
Term" or "Renewal Terms") for up to two successive five-year renewal periods.
Such options to renew shall be on the same terms and conditions as this Lease
Agreement, and the Rent for each year of any Renewal Term shall be at one
hundred and ten percent (110%), or to effect and ten percent (%10%) increase of
the then cumulate Rent at the commencement of each Renewal Term, if any, of the
rate then in effect under this Lease Agreement or other Renewal Term. In the
event Tenant exercises this option to renew, written notice thereof

                                       1

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for any Renewal Term shall be given to Landlord at least ninety (90) days prior
to the expiration of the Lease Term or any Renewal Term.

                                   ARTICLE III
                                      RENT

         3.1      The Tenant agrees to pay rent in the monthly amount of one
thousand five hundred dollars ($1,500) for the Property, payable in advance on
the first of each month, during the term hereof. Tenant shall make all payments
of rent required under this Lease payable to Landlord's office at the address
contained in Section 15.3 hereof or to such other entity and at such other place
that Landlord may from time to time designate in writing.

         3.2      Tenant covenants that it will pay, when due, all real estate
taxes and assessments of any kind and nature imposed against the Property for
the term of this Lease Agreement. Tenant acknowledges that Landlord will have no
obligation to pay any taxes or assessments of any kind and nature imposed
against the Property.

                                   ARTICLE IV
                        LANDLORD AND TENANT IMPROVEMENTS

         4.1      The following items shall be the responsibility of the
Landlord and undertaken (subject to review and reasonable approval by Tenant) at
Landlord's expense:

            _____________________________________

            _____________________________________

         4.2      The following items shall be the responsibility of the Tenant
and undertaken (subject to review and reasonable approval by Landlord) at
Tenant's expense:

            _____________________________________

            _____________________________________

         4.3      During the Lease Term and any Renewal Term, Tenant shall not
make structural or exterior alterations to the Property without Landlord's prior
written consent, which consent shall not be unreasonably withheld, conditioned
or delayed, but Tenant shall have the right, without Landlord's consent, to make
non structural alterations to the interior of the Property ("Alterations") for
the conduct of Tenant's business.

         4.4      Tenant's trade fixtures, furnishings and equipment in or on
the Property shall remain Tenant's property for all purposes. At Tenant's
option, Tenant shall remove any Alterations, other leasehold improvements and
all of its property on or before the Expiration Date (or, as appropriate, the
date the last Renewal Term expires), and Tenant shall return the Property to as
good a condition as it was in on the date Tenant first

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occupied the Property, ordinary wear and tear, obsolescence and damage from the
elements and casualty excepted.

                                    ARTICLE V
                    MAINTENANCE, REPAIRS, COSTS AND EXPENSES

         5.1      Tenant shall keep the Property and Tenant Improvements in good
condition and repair (reasonable wear and tear and damage from casualty and the
elements excepted) and shall suffer no waste on the Property except natural
deterioration and damage by casualty and the elements. Tenant shall also clean
the interior of the Property as Tenant deems reasonably necessary to maintain
the Property in a clean and sanitary condition and shall maintain and be
responsible for plate glass windows, plate glass doors and lighting fixtures on
the Property.

         5.2      Tenant shall, for the term of this Lease and any Renewal Term,
maintain in good and safe operating condition and repair the structural
components of the Property and all improvements, including but not limited to
the roof, exterior and load bearing walls, the floor, the foundation and the
parking lot, the equipment and fixtures in the building, including but not
limited to heating and air-conditioning equipment and electrical wiring and
plumbing systems, unless any damage thereto is caused as a direct result of the
intentional or negligent misconduct or omission of Tenant, or its employees,
agents or invited guests or the breach of the provisions hereof by Tenant.
Tenant shall keep the vehicular parking areas, pedestrian walkways,
entranceways, docks, and the grounds surrounding the building clean, promptly
removing therefrom all trash, rubbish, cartons or other debris.

         5.3      Landlord shall have no obligation to maintain or repair the
Property pursuant to this Lease Agreement or in any other respect.

                                   ARTICLE VI
                              COVENANTS OF LANDLORD

         6.1      Landlord warrants, represents, covenants and agrees as of the
date hereof and as of the date of Tenant's first occupancy hereunder as follows:

                  (a)      Landlord owns the Property in fee simple and has full
right, power and authority to enter into this Lease Agreement for the term
(including any Renewal Term) herein granted; upon the payment of the Rent herein
provided and upon the substantial performance of all the material terms of this
Lease Agreement by Tenant, Tenant shall at all times during the Lease Term and
during any Renewal Term peaceably and quietly enjoy the sole use, occupancy and
possession of the Property without any disturbance from Landlord or anyone
claiming through the Landlord by assignment, mortgage, sale, pledge or
otherwise; Landlord is in undisputed and peaceful possession of the Property and
has the right to convey the leasehold interest to Tenant as provided herein;
there currently exists adequate access, parking and utility (power, light, gas,
water, sewer and telephone, etc.) service to the Property for the purposes
anticipated by the parties hereto;

                                       3
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there are no title retention contracts, bills of sale or other encumbrances, of
record or otherwise, affecting the title to any personal property installed on
the Property; and there are no threatened or pending suits, proceedings
(including, but not limited to, an action for a taking of all or any part of the
Property for a public or quasi-public use), judgments, bankruptcies, liens or
executions against Landlord or affecting the Property.

                  (b)      The Property may be used by Tenant during the Lease
Term and any Renewal Term for a manufacturing and distribution center and
associated maintenance and office use.

                  (c)      The Property is tenantable and conforms and complies
with any and all applicable laws (including, but not limited to the U.S.
Department of Agriculture, the American with Disabilities Act; regulations;
building, safety and other applicable codes; ordinances or private
restrictions).

                  (d)      There are no proposals for rezoning, street widening,
or utility work that might affect Tenant's use or occupancy of, or access to,
the Property.

                                   ARTICLE VII
                               COVENANTS OF TENANT

         7.1      Tenant covenants and agrees as follows:

                  (a)      Tenant shall pay the Rent herein stipulated at the
time and in the manner herein provided.

                  (b)      Tenant shall observe and comply with all laws,
ordinances and regulations applicable to the it with respect to the Property and
all lawful orders and requirements imposed by any other duly constituted
governmental authority having jurisdiction over the Property. Tenant shall be
responsible for the cost of compliance with any change in applicable building or
safety codes or regulations with respect to the Property during the term of this
Lease Agreement.

                  (c)      Should any lien be filed against the Property or any
part thereof for any reason whatsoever by reason of Tenant's acts or omissions
or because of a claim against Tenant, Tenant shall cause same to be canceled and
discharged of record by bond or otherwise within sixty (60) days after notice
given by Landlord to Tenant. Should the Tenant fail to do so, Landlord, at its
sole option, may take such steps as are necessary, including the filing of an
action in Court against the lienor to remove the lien; in which case Tenant
shall be liable for the Landlord's reasonable costs and attorney's fees incurred
in doing so.

                                       4
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                                  ARTICLE VIII
                                       USE

         8.1      Tenant may use the Property for any lawful purpose and shall
not use or permit any of the Property to be used for any unlawful purpose.

         8.2      Tenant shall have the right sole and exclusive right to place
exterior signs on the fascia and side of the building and above the building,
subject to any applicable laws, codes or ordinances. Tenant shall be solely
responsible for maintaining its signs and shall remove them, and repair any
damage caused by such removal, on or before the expiration of the Lease Term or
any renewal hereof.

         8.3      Landlord and its agents, employees, and contractors shall have
the right to enter the Property during normal business hours, without due
interference with the conduct of Tenant's business therein, to inspect and
examine the Property and, during the last year of the Lease Term or the Renewal
Term, to exhibit the Property to prospective purchasers, mortgagees or tenants.

                                   ARTICLE IX
                            ASSIGNMENT AND SUBLETTING

         9.1      Tenant shall not, without Landlord's prior written consent
which consent shall not be unreasonably withheld, conditioned or delayed: (i)
assign, convey, mortgage, pledge or encumber this Lease Agreement or any
interest under it; or (ii) sublet the Property or any part thereof.

         9.2      Notwithstanding anything herein to the contrary, if at any
time or from time to time during the Lease Term Tenant desires to sublet all or
a part of the Property or assign, convey, mortgage, pledge or encumber this
Lease Agreement or any interest under it, Tenant shall notify Landlord in
writing (hereinafter referred to in this Article IX as the "Notice") of the
terms of the proposed subletting or assignment, the identity of the proposed
assignee or subtenant and the area proposed to be sublet. Notwithstanding the
provisions of this Article IX, Tenant may sublet or assign, convey, mortgage,
pledge, encumber, or otherwise transfer this Lease Agreement or any interest
under it to its parent corporation or to an affiliate or subsidiary corporation
of which such parent corporation owns the majority of the shares of common stock
without Landlord's prior written consent or approval. In such event, Tenant
shall notify Landlord, in writing, of such an assignment or sublease,
conveyance, mortgage, pledge, encumbrance, or other transfer prior to the
commencement of the term of such assignment or sublease.

         9.3      Within twenty (20) days after Landlord's receipt of the
proposed assignment or sublease, conveyance, mortgage, pledge, encumbrance, or
other transfer, Landlord shall approve or disapprove in writing the terms of the
proposed assignment or sublease, conveyance, mortgage, pledge, encumbrance, or
other transfer, and the proposed assignee or subtenant or other party thereto.
Failure to so approve or disapprove with such twenty (20) day period shall be
deemed approval by Landlord. If a

                                       5
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fully executed counterpart of such assignment or sublease, conveyance, mortgage,
pledge, encumbrance, or other transfer is not delivered to Landlord within
forty-five (45) days after the date of Landlord's approval, then Landlord's
approval of same shall be deemed null and void and Tenant shall again comply
with all the conditions of this Section 9.3 as if the Notice hereinabove
referred to had not been given and received.

         9.4      If, with the consent of Landlord, this Lease Agreement is
assigned or the Property or any part thereof is sublet or occupied by anyone
other than Tenant, Landlord may, after default by Tenant, collect rent from the
assignee, subtenant or occupant, and apply the net amount collected to the Rent,
but no such assignment, subletting, occupancy, or collection shall be deemed (i)
a waiver of any of Tenant's covenants contained in this Lease Agreement, or (ii)
the release of Tenant from further performance by Tenant of its covenants under
this Lease Agreement.

                                    ARTICLE X
                                    CASUALTY

         10.1     If the Property is damaged or rendered untenantable by fire or
other casualty, this Lease Agreement shall continue in effect and all of
Tenant's obligations under this Agreement, including the obligation to pay rent
to Landlord will continue in full force and effect and Tenant shall not be
entitled to any offset, setoff or to terminate this Agreement in any manner.

                                   ARTICLE XI
                                 EMINENT DOMAIN

         11.1     If all or any substantial part of the Property, including, but
not limited to, ten percent (10%) of the parking, access, building or signage,
should be taken for any public or quasi-public use under governmental law,
ordinance, or regulation, or by right of eminent domain, or by private purchase
in lieu thereof, and the taking would prevent or materially interfere with the
use of the Property by Tenant for the purpose for which it is then being used,
then, at the sole option of Tenant, this Lease Agreement shall terminate
effective when the physical taking shall occur in the same manner as if the date
of such taking were the date originally fixed in this Lease Agreement for the
expiration of the Lease Term.

         11.2     If part of the Property is taken for any public or
quasi-public use under any governmental law, ordinance, or regulation, or by
right of eminent domain, or by private purchase in lieu thereof, and this Lease
Agreement is not terminated as provided in subsection 11.1 above, this Lease
Agreement shall not terminate but the Rent payable hereunder during the
unexpired portion of this Lease Agreement shall be reduced to such extent, if
any, as may be fair and reasonable under all of the circumstances, and Landlord
shall undertake to restore the Property to a condition suitable for Tenant's
use, as near to the condition thereof immediately prior to such taking as is
reasonably feasible under all circumstances.

                                       6
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                                   ARTICLE XII
                                    INSURANCE

         12.1     Tenant shall carry, at its expense, fire and extended coverage
insurance insuring Tenant's interest in its improvements and betterments to the
Property and any and all furniture, equipment, supplies, and other property
owned, leased, held, or possessed by it and contained therein. Tenant may, in
the alternative, elect to self-insure the Tenant improvements and its personal
property in whole or in part.

         12.2     Tenant shall carry, at its expense, a policy or policies of
comprehensive general liability insurance, including personal injury and
property damage, in the amount of not less than One Million Dollars ($1,000,000)
for property damage and One Million Dollars ($1,000,000) per occurrence for
personal injuries or deaths of persons occurring in or about the Property, in
either event arising from the intentional or negligent acts or omissions of
Tenant, its employees, agents or business invitees. Said policy shall provide
that said insurance shall not be canceled unless thirty (30) days prior written
notice shall have been given to Landlord. Tenant may, in the alternative, elect
to self-insure the Property, in whole or in part, provided such self-insurance,
along with any and all additional third-party insurance shall equal not less
than One Million Dollars ($1,000,000). Tenant shall carry, at its expense, all
risk, fire and extended coverage insurance insuring the Property for 100% of its
replacement cost, as such may increase from time to time during the Term of this
Lease. Certificates of Insurance shall be delivered to Landlord by Tenant upon
Landlord's request and shall indicate Landlord as an additional insured as its
interest may appear.

                                  ARTICLE XIII
                        INDEMNITY BY LANDLORD AND TENANT

         13.1     Tenant shall indemnify, protect and save Landlord and its
shareholders, directors, officers, employees and agents harmless from suits,
actions, damages, liabilities and expenses (including reasonable attorneys'
fees) in connection with loss of life, bodily or personal injury or property
damage arising from the occupancy or use by Tenant of the Property or occasioned
wholly or in part by any intentional or negligent act or omission of Tenant, its
agents, contractors, employees, invitees or licensees. Subject to Landlord's
representations, warranties and covenants herein contained, including but not
limited to its maintenance and repair obligations contained in Section 5 hereof
and its indemnity obligation contained in Section 13.2 below, (i) Tenant shall
store its property in and shall occupy the Property at its own risk, and (ii)
Landlord shall not be responsible or liable at any time for any loss or damage
to Tenant's merchandise or equipment, fixtures or other personal property.

         13.2     Tenant shall give prompt notice to Landlord in case of fire or
accidents on the Property, including notice of defects therein or in any
fixtures or equipment. Tenant shall pay all costs, expenses and reasonable
attorney's fees that may be incurred or paid by Landlord in enforcing the terms
of this Lease, including all reasonable attorney's fees and costs.

                                       7
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                                   ARTICLE XIV
                         EVENTS OF DEFAULT AND REMEDIES

         14.1     The occurrence of any of the following shall constitute a
breach and an event of default by Tenant:

                  (a)      The Rent payable under this Lease Agreement is not
paid within 10 business days after the date on which Tenant receives written
notice that it is past due;

                  (b)      Tenant breaches or fails to comply substantially with
any material term, provision, condition, or covenant of this Lease Agreement,
other than the payment of Rent hereunder.

         14.2     Upon the occurrence of an event of default, in the case of an
event of default under subsection 14.1 (a) above, and, in the case of an event
of default under subsection 14.1(b) above if such event of default is not cured
within thirty (30) days after written notice of such event of default is given
by Landlord to Tenant, or such longer period of time as is reasonably necessary
under the circumstances, Landlord shall have the option to do and perform any
one or more of the following in addition to, and not in limitation of, any other
remedy or right permitted it by law or in equity or by this Lease Agreement:

                  (a)      Landlord, with or without terminating this Lease
Agreement, may re-enter the Property without any breach of the peace or damage
to Tenant's property and perform, correct or repair any condition which shall
constitute a failure on Tenant's part to keep, observe, perform, satisfy, or
abide by any material term, condition, covenant, agreement, or obligation of
this Lease Agreement, and Tenant shall fully reimburse Landlord on demand for
all costs and expenses reasonably incurred by Landlord in such performance,
correction or repairing.

                  (b)      Landlord, with or without terminating this Lease
Agreement, may immediately, or at any time thereafter, demand in writing that
Tenant vacate the Property and thereupon Tenant shall vacate the Property and
remove therefrom all property thereon belonging to or placed on the Property by,
at the direction of, or with consent of Landlord within thirty (30) days after
receipt by Tenant of such notice from Landlord, whereupon Landlord shall have
the right to re-enter and take possession of the Property.

                  (c)      Landlord, with or without terminating this Lease
Agreement, may immediately or at any time thereafter, re-let the Property or any
part thereof for such time or times, at such rental or rentals and upon such
other terms and conditions as Landlord in its commercially reasonable discretion
may deem advisable, and Landlord may make any alterations or repairs to the
Property which it may deem necessary or proper to facilitate such re-letting;
and if this Lease Agreement shall not have been terminated, Tenant shall
continue to pay all rent and all other charges due under this Lease Agreement up
to and including the date of beginning of payment of rent by any

                                       8
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subsequent tenant of part or all of the Property, and thereafter Tenant shall
pay monthly during the remainder of the Lease Term the difference, if any,
between the rent and other charges collected from any such subsequent tenant or
tenants and the rent and other charges reserved in this Lease Agreement, but
Tenant shall not be entitled to receive any excess of any such rents collected
over the rents reserved herein.

                  (d)      Landlord may immediately or at any time thereafter
terminate this Lease Agreement, and this Lease Agreement shall be deemed to have
been terminated upon receipt by Tenant of written notice of such termination;
upon such termination Landlord shall recover from Tenant all damages Landlord
may suffer by reason of such termination, including, without limitation, all
arrearages in rentals, costs, charges, reimbursements, the cost (including court
costs and reasonable attorneys' fees) of recovering possession of the Property.

                  14.3     The occurrence of the following shall constitute a
breach and an event of default by the Landlord:

                  (a)      Any representation or warranty of Landlord herein
contained shall be determined to be incorrect, false or misleading when made.

                  (b)      Landlord breaches or fails to comply substantially
with any material term, provision, condition or covenant of this Lease
Agreement.

         14.4     If an Event of Default should occur on the part of Landlord,
at any time after its occurrence, upon written notice to Landlord and Landlord's
failure to cure such event of default within thirty (30) days after such notice,
and without limiting Tenant's other rights or remedies, Tenant may cure such
default and deduct or offset any such amounts from sums due to Landlord under
this Lease Agreement until Tenant is fully compensated for the expenses it may
incur and losses it may sustain as a result of such breach.

                                   ARTICLE XV
                             RIGHT OF FIRST REFUSAL

         15.      If Landlord receives a bona fide offer from a third party to
purchase the entire parcel of land of which the Property is a part during the
term of this Lease or any renewal or extension hereof that is acceptable to
Landlord, Landlord will provide Tenant with the terms of the offer in writing
and offer to sell such parcel to Tenant on such terms. Tenant will have the
right to accept the offer by written notice to Landlord, received by Landlord
within ninety (90) days after Tenant's receipt of the offer. If Tenant accepts
the offer, Tenant will be bound to purchase the Property within ninety (90) days
after its notice of acceptance in accordance with the terms of the offer.

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                                   ARTICLE XVI
                    TENANT'S OPTION TO PURCHASE THE PROPERTY

         16.1     At any time during the Term of this Lease Agreement and any
extension or renewal hereof, Tenant shall have the option, on reasonable notice
to Landlord, to acquire the Property from Landlord for the amount of two hundred
and twenty five thousand dollars ($225,000). Tenant reserves the right to have
the Property appraised by an independent appraiser and in the event the
appraised amount is deemed less that the Purchase Price, then to negotiate in
good faith with Landlord to reach an adjusted Purchase Price.

                                  ARTICLE XVII
                                  MISCELLANEOUS

         17.1     The parties agree that at the request of either party a short
form Lease of even date, herewith describing the Property, setting forth the
term hereof and referring to this Lease, shall be promptly executed and recorded
at the expense of the requesting party.

         17.2     All pronouns and any variations thereof shall be deemed to
refer to the masculine, feminine or neuter, singular or plural, as the identity
of the entity, person or persons may require.

         17.3

                  (a)      All notices required or desired to be given with
respect to this Lease Agreement in order to be effective shall be in writing and
shall be deemed to be given to and received by the party intended to receive
such notice when hand delivered or three (3) days after such notice shall have
been deposited, postage prepaid, to the United States mail, certified, return
receipt requested, properly addressed to the addresses specified in subsection
15.3(b) below. In the event of a change of address by either party, such party
shall give written notice thereof in accordance with the foregoing.

                  (b)      Landlord:

                                       Charles A. Beasley
                                        5600 Nathan Way
                                  Bloomington, Indiana 47408

                       Tenant:

                                  MOMENTUM FOOD SERVICES, INC.
                                         P.O. Box 2185
                                 Front Royal, Virginia 22630

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         17.4     Landlord represents and warrants to Tenant that (i) the
Property is now, and at the time of the commencement of Tenant's occupancy
thereof will be, free of any environmental contamination, (on, under or above
the Property) of any nature whatsoever, (ii) Landlord has fully and completely
complied with all applicable environmental laws with respect to the use,
occupancy and ownership of the Property, (iii) the Property is not located on
land which has been, is or is threatened to be (y) a land fill or (z) a
storage, disposal or waste site for dangerous or hazardous wastes or substances
under any applicable law, rule, regulation or ordinance and (iv) there are no
underground storage tanks on or under the Property. Tenant shall indemnify and
hold Landlord harmless from the presence of any hazardous substances or
violations of law relating to the protection of the environment caused by
Tenant's use of the Property and conduct of Tenant's business on or about the
Property.

         17.5     Any dispute, controversy or claim arising out of or relating
to this Lease Agreement or any agreement contemplated hereby shall be settled by
arbitration in accordance with the Commercial Arbitration Rules of the American
Arbitration Association ("AAA"), except as modified herein. The place of
arbitration shall be the Indianapolis, Indiana. Each of the parties to the
dispute, controversy or claim shall appoint one arbitrator who shall be an
attorney skilled in the legal and business aspects of the subject matter of this
Lease Agreement and of the dispute. The arbitrators so chosen by each of the
parties shall within thirty (30) days jointly select a third impartial
arbitrator. Notwithstanding the rules of the AAA, in any arbitration concerning
this Lease Agreement the parties shall conform to the following: (i) discovery
shall be limited to a maximum of one request to produce documents, thirty (30)
written interrogatories (including subparts), and four (4) depositions per party
(not to exceed one day in length each), and (ii) no expert witness testimony may
be offered by any party unless the arbitrators, in their sole discretion,
request same. The arbitrators' decision shall be final and binding on all
parties to the dispute, non-appealable, and may be entered in any court in the
United States of America for enforcement. The parties hereby irrevocably consent
and submit to the jurisdiction of such arbitration panel and any court of law or
equity chosen by the prevailing party to enforce their decision. The arbitrators
may, by unanimous decision only, award reasonable attorneys' fees and/or the
fees and expenses of the arbitrators to the party substantially successful on
the merits of the key claims and/or issues that are the subject of the
arbitration.

         17.6     This Lease Agreement constitutes and contains the sole,
exclusive and entire agreement of Landlord and Tenant pertaining to the subject
matter hereof, and no prior or contemporaneous oral or written representation,
arrangement, covenant (including but not limited to any implied covenant at law
or otherwise), course of dealing or agreement between the parties not expressly
contained herein shall be binding thereon, nor shall any waiver of the terms
hereof by any party be binding thereon, unless such modification, amendment or
waiver is in writing, is dated after the date hereof, expressly states it is
intended as an amendment, modification or waiver of the terms hereof and is
signed by Landlord and Tenant. The content of each and every exhibit which is

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referenced in this Lease Agreement as being attached hereto is incorporated into
this Lease Agreement as fully as if set forth in the body of this Lease
Agreement.

         17.7     If any clause or provision of this Lease Agreement is or
becomes illegal, invalid, or unenforceable because of present or future laws or
any rule or regulation of any governmental body or entity, effective during its
term, the intention of the parties hereto is that the remaining parts of this
Lease Agreement shall not be affected thereby, unless such invalidity is
essential to the rights of either party hereto in which event this Lease
Agreement shall terminate.

         17.8     The captions used in this Lease Agreement are for convenience
only and do not in any way limit or amplify the terms and provisions hereof.

         17.9     The provisions of this Lease Agreement shall inure to the
benefit of and be binding upon Landlord and Tenant, and their respective
successors, heirs, legal representatives, and assigns.

         IN WITNESS WHEREOF, the undersigned parties have caused this Lease
Agreement to be signed and sealed on the day and year first above written.

                                    LANDLORD:
                                    Charles A. Beasley

                                    _______________________________________

                                    TENANT:
                                    MOMENTUM FOOD SERVICES, INC..

                                    _______________________________________
                                    By: Thomas P. Tanis, Jr.
                                    Title: Secretary

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                                   EXHIBIT "A"

                     [attach legal description of property]

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                                   EXHIBIT "B"

                        [attach schedule of fixed assets]

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