Document:

EX-10.34

                                                                        ANNEX VI
                                                           BRIDGE LOAN AGREEMENT

                     SECURITY INTEREST AND PLEDGE AGREEMENT

       SECURITY INTEREST AND PLEDGE AGREEMENT  ("Pledge  Agreement") dated as of
September 28, 2006, by and among CAMOFI  Master LDC  ("Secured  Party"),  Sonoma
College,  Inc., a California  corporation having its principal executive offices
at 1304 South  Point  Boulevard,  Suite  280,  Petaluma,  California  94954 (the
"Company" or the "Debtor"), Charles D. Newman and Elysa K. Newman ("Pledgors").

                                    RECITALS

       A.     Reference  is made to (i) that  certain  Bridge Loan  Agreement of
even date herewith (the "Loan  Agreement")  to which the Company and the Secured
Party are parties, and (ii) the Transaction  Agreements (as that term is defined
in the Loan Agreement),  including,  without limitation,  the Note.  Capitalized
terms not otherwise  defined herein shall have the meanings  ascribed to them in
the relevant Transaction Agreements.

       B.     Pursuant  to the  Transaction  Agreements,  the Debtor has certain
obligations  to the Secured  Party (all such  obligations,  the  "Obligations"),
including,  but not limited to, obligations to pay principal and interest of the
Note, which was issued in the original  aggregate  principal amount of $275,000,
on the Maturity Date. The Note  Obligations are secured by a mortgage on certain
real  estate  that  is held  in the  names  of the  Pledgors  and is more  fully
described  below.  The  obligations of the Company and of the Pledgors,  if any,
under the Note are referred to collectively as the "Note Obligations".

       C.     To secure the Note Obligations, the Pledgors have agreed to pledge
certain real estate; specifically, Condominium Unit 7BC located at 525 East 80th
Street, New York, New York 10021 (the "Real Estate").

       D.     The Pledgors are  shareholders  of the Debtor and have  determined
that it is in the  Pledgors'  best  interests,  including  to the benefit of the
other  interests of the Pledgors in the Company,  to provide the pledge referred
to herein.

       E.     The Secured Party is willing to enter into the Loan  Agreement and
the other Transaction  Agreements only upon receiving the Pledgors' mortgage for
the Real Estate, as set forth in this Pledge Agreement.

       NOW,  THEREFORE,  in consideration of the premises,  the mutual covenants
and conditions contained herein, and for other good and valuable  consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties hereto
hereby agree as follows:

<PAGE>

       1.     GRANT OF SECURITY INTEREST.

              To secure the Note  Obligations  of Debtor,  the  Pledgors  hereby
pledge to the  Secured  Party all of their  interest  in the Real  Estate.  Said
pledge shall be evidenced by a mortgage in the form attached hereto as Exhibit A
(the "Mortgage").

       2.     OBLIGATIONS SECURED.  During the term hereof, the Collateral shall
              secure the following:

       (a)    The performance by the Company of the Note Obligations; and

       (b)    The performance by the Pledgors of their  obligations,  covenants,
and agreements under this Agreement.

The obligations,  covenants and agreements  described in clauses (a) and (b) are
the "Obligations."

       3.     PERFECTION OF SECURITY  INTERESTS.  Upon  execution of this Pledge
Agreement by the Debtor and the Pledgors,

              (a)    the Pledgors  shall deliver and transfer  possession of the
Mortgage, to the Secured Party.

              (b)    The  Mortgage  shall be  recorded  in the New  York  County
Clerk's Office, to perfect the security interest of the Secured Party, until the
earlier of

       (i)    the payment in full of all amounts due under the Note, or

       (ii)   foreclosure  of Secured  Party's  security  interests  as provided
herein.

              (c)    The Debtor and the  Pledgors  hereby  appoint  the  Secured
Party, as attorney-in-fact with powers of substitution, to execute all documents
and perform all acts in order to perfect and maintain a valid security  interest
for Secured Party in the Real Estate.

       4.     RESERVED.

       5.     PLEDGORS'  WARRANTY.  The Pledgors represent and warrant hereby to
              the Secured Party as follows with respect to the Real Estate:

              A.     WITH RESPECT TO TITLE TO THE REAL ESTATE

              (i)    that the Real Estate is free and clear of any  encumbrances
of every nature whatsoever, aside from any existing mortgages which have already
been disclosed to the Secured Party, and the Pledgors are the sole owners of the
Real Estate;
<PAGE>

              (ii)   that  the  Pledgors  agree  not to  grant  or  create,  any
security interest,  claim, lien, pledge or other encumbrance with respect to the
Real Estate or attempt to sell, transfer or otherwise dispose of any of the Real
Estate until (a) the  Obligations  have been paid in full, or (b) this Agreement
has terminated,  or (iii) the Pledgors  receive express written  permission from
the Secured Party.

              B.     WITH RESPECT TO CERTAIN OTHER MATTERS:

              (i)    that the  Pledgors  have made  necessary  inquiries  of the
Company  and  believe  that the  Company  fully  intends to fulfill  and has the
capability  of  fulfilling  the  Obligations  to be  performed by the Company in
accordance with the terms of the Transaction Agreements; and

              (ii)   that this Pledge Agreement  constitutes a legal,  valid and
binding  obligation of the Pledgors  enforceable  in  accordance  with its terms
(except as the  enforcement  thereof may be limited by  bankruptcy,  insolvency,
fraudulent  conveyance,  reorganization,  moratorium,  and similar laws,  now or
hereafter in effect).

       6.     PRESERVATION OF THE VALUE OF THE COLLATERAL AND  REIMBURSEMENT  OF
SECURED PARTY.  Pledgors shall pay all taxes,  charges,  and assessments against
the Real Estate and do all acts  necessary  to preserve  and  maintain the value
thereof.  On failure of Pledgors so to do,  Secured Party may make such payments
on account thereof as (in Secured Party's  discretion) is deemed desirable,  and
Pledgors  shall  reimburse  Secured Party  immediately on demand for any and all
such payments expended by Secured Party in enforcing, collecting, and exercising
its remedies hereunder.

       7.     DEFAULT AND REMEDIES.

              For purposes of this Agreement,  "Event of Default" shall mean any
one or more of the following events:

              (i)    any  default  in  the  performance  by the  Company  or any
Pledgor of any of the Note Obligations,  after the expiration,  without cure, of
the cure period (but only if any such cure  period is  specifically  provided in
the Transaction  Agreements and without any regard to any cure period if no such
cure period is provided;  it being specifically  acknowledged by the Company and
the Pledgors that all payment  obligations are time of the essence  obligations,
with no cure periods provided), or

              (ii)   a  breach  by the  Company  or  Pledgor  of any of the  its
respective representations,  warranties,  covenants or agreements in this Pledge
Agreement, subject to applicable cure periods.

       8.     WAIVER.  Each of the Debtor and the Pledgors waives any right that
it may have to require  Secured Party to proceed  against any other  person,  or
proceed  against  or exhaust  any other  security,  or pursue  any other  remedy
Secured Party may have.
<PAGE>

       9.     TERM OF AGREEMENT.  This Pledge  Agreement  shall continue in full
force and effect  until the earlier of the  payment in full of the Note.  If the
Note is paid in full, the security  interests in the Real Estate shall be deemed
released, and the Mortgage shall be returned to the Pledgors.

       10.    GENERAL PROVISIONS:

       10.1   BINDING AGREEMENT; NO MODIFICATION OF TRANSACTION AGREEMENTS. This
Pledge  Agreement  shall be binding  upon and shall  inure to the benefit of the
successors and assigns of the respective  parties  hereto.  Except to the extent
specifically  provided  herein,  nothing in this Pledge Agreement shall limit or
modify any provision of any of the Transaction Agreements

       10.2   CAPTIONS.  The headings used in this Pledge Agreement are inserted
for reference  purposes only and shall not be deemed to define,  limit,  extend,
describe,  or affect in any way the meaning,  scope or  interpretation of any of
the terms or provisions of this Pledge Agreement or the intent hereof.

       10.3   COUNTERPARTS. This Pledge Agreement may be signed in any number of
counterparts with the same effect as if the signatures upon any counterpart were
upon the same  instrument.  All  signed  counterparts  shall be deemed to be one
original.  A facsimile  transmission  of this signed Pledge  Agreement  shall be
legal and binding on all parties hereto.

       10.4   FURTHER  ASSURANCES.  The parties hereto agree that,  from time to
time upon the written request of any party hereto, they will execute and deliver
such  further  documents  and do such  other  acts and  things as such party may
reasonably  request  in order  fully  to  effect  the  purposes  of this  Pledge
Agreement.

       10.5   WAIVER OF BREACH.  Any waiver by either party of any breach of any
kind or character  whatsoever  by the other,  whether such be direct or implied,
shall not be construed as a  continuing  waiver of or consent to any  subsequent
breach of this Pledge Agreement.

       10.6   CUMULATIVE REMEDIES. The rights and remedies of the parties hereto
shall be construed  cumulatively,  and none of such rights and remedies shall be
exclusive of, or in lieu or limitation of any other right,  remedy,  or priority
allowed by applicable law.

       10.7   AMENDMENT. This Pledge Agreement may be modified only in a written
document that refers to this Pledge  Agreement and is executed by Secured Party,
the Pledgors and the Debtor.

       10.8   INTERPRETATION.   This  Pledge  Agreement  shall  be  interpreted,
construed,  and enforced  according to the substantive  laws of the State of New
York.

       10.9   GOVERNING  LAW.  This  Pledge  Agreement  shall be governed by and
construed  in  accordance  with the laws of the State of New  York.  Each of the
parties  consents to the  jurisdiction  of the federal  courts  whose  districts
encompass any part of the County of New York or the state courts of the State of
New York  sitting  in the  County  of New York in  connection  with any  dispute
arising under this Pledge  Agreement and hereby  waives,  to the maximum  extent
permitted by law,

<PAGE>

any  objection,  including any objection  based on FORUM NON  COVENIENS,  to the
bringing of any such proceeding in such jurisdictions.

       10.10  WAIVER OF JURY TRIAL.  The parties to this Pledge Agreement hereby
waive a trial by jury in any action,  proceeding or counterclaim  brought by any
of them against any other in respect of any matter  arising out or in connection
with this Pledge Agreement.

       10.11  NOTICE. Any notice or other communication required or permitted to
be given hereunder shall be effective upon receipt. Such notices may be sent (i)
in the United  States  mail,  postage  prepaid  and  certified,  (ii) by express
courier with receipt, (iii) by facsimile transmission,  with a copy subsequently
delivered  as in (i) or (ii)  above.  Any  such  notice  shall be  addressed  or
transmitted as follows:

       If to Pledgor, to:

       If to the Secured Party, to: CAMOFI Master LDC c/o Centrecourt  Asset
       Management LLC 350 Madison Avenue,  8th Floor New York, NY 10017 Tel:
       646-758-6750 Fax: 646-758-6751

       If to Sonoma College, Inc., to:
       1304 South Point Boulevard
       Suite 280
       Petaluma, California 94954
       Tel:
       Fax:

       If to Charles D. Newman and/or Elysa K. Newman, to:
       525 East 80th Street
       Unit 7BC
       New York, New York 10021
       Tel:
       Fax:

Any party may change its address by notice  similarly given to the other parties
(except that a Secured Party need not give notice to other Secured Party).

       10.12  ACKNOWLEDGEMENT  BY DEBTOR  AND  PLEDGORS.  In the event  that any
provision of the Transaction Agreements,  the Guarantee or this Pledge Agreement
as  applied to any party or  circumstances  shall be  adjudged  by a court to be
invalid or unenforceable, each of the Debtor or the

<PAGE>

Pledgors, as the case may be, acknowledges and agrees that this Pledge Agreement
shall remain valid and  enforceable  in all respects  against the Debtor and the
Pledgors.

       IN WITNESS  WHEREOF,  the Parties have executed this  Agreement as of the
day, month and year first above written.

CAMOFI MASTER LDC

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

SONOMA COLLEGE, INC.:

By:
   ---------------------------------------
Its:

CHARLES D. NEWMAN

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

ELYSA K. NEWMAN

------------------------------------------EX-10.35

                                                                        ANNEX IX

                              SUBSIDIARY GUARANTEE

       SUBSIDIARY GUARANTEE, dated as of September 28, 2006, made by each of the
signatories  hereto  (together  with any other  entity  that may  become a party
hereto as provided herein, (the "Guarantors"),  in favor of the Lender signatory
(the  "Lender")  to that  certain  Bridge Loan  Agreement,  dated as of the date
hereof,  between  Sonoma  College,  Inc.,  a  California  corporation  with  its
principal  business address at 1304 South Point Boulevard,  Suite 280, Petaluma,
California 94954 (the "Company") and the Lender.

                              W I T N E S S E T H:

       Whereas, pursuant to that certain Bridge Loan Agreement,  dated as of the
date  hereof,  by and  between the  Company  and the Lender  (the  "Bridge  Loan
Agreement"),  the Company  has agreed to sell and issue to the  Lender,  and the
Lender has  agreed to  purchase  from the  Company  the  Company's  10%  Secured
Promissory  Note,  due March 28,  2007 (the  "Note"),  subject  to the terms and
conditions set forth therein; and

       Whereas,  each  Guarantor  will  directly  benefit from the  extension of
credit to the Company represented by the issuance of the Note; and

       NOW, THEREFORE, in consideration of the premises and to induce the Lender
to enter  into the  Bridge  Loan  Agreement  and to carry  out the  transactions
contemplated thereby, each Guarantor hereby agrees with the Lender as follows:

       1.     DEFINITIONS. Unless otherwise defined herein, terms defined in the
Bridge Loan  Agreement and used herein shall have the meanings  given to them in
the  Bridge  Loan  Agreement.   The  words  "hereof,"   "herein,"  "hereto"  and
"hereunder"  and words of similar import when used in this Guarantee shall refer
to  this  Guarantee  as a  whole  and not to any  particular  provision  of this
Guarantee,  and Section and Schedule  references  are to this  Guarantee  unless
otherwise specified. The meanings given to terms defined herein shall be equally
applicable  to both the singular and plural forms of such terms.  The  following
terms shall have the following meanings:

              "GUARANTEE"  means this Subsidiary  Guarantee,  as the same may be
       amended, supplemented or otherwise modified from time to time.

              "OBLIGATIONS"  means the collective  reference to all  obligations
       and  undertakings  of  the  Company  of  whatever  nature,   monetary  or
       otherwise, under the Note, the Bridge Loan Agreement, the Warrant, or any
       other future  agreement or  obligations  undertaken by the Company to the
       Lender,  together with all reasonable attorneys' fees,  disbursements and
       all  other  costs  and  expenses  of  collection  incurred  by  Lender in
       enforcing any of such Obligations and/or this Guarantee.

       2.     GUARANTEE.

              (a)    GUARANTEE.

                     (i)    The  Guarantors   hereby,   jointly  and  severally,
                            unconditionally  and  irrevocably,  guarantee to the
                            Lender  and its  respective  successors,  indorsees,
                            transferees and assigns, the prompt and

<PAGE>

                            complete payment and performance by the Company when
                            due (whether at the stated maturity, by acceleration
                            or otherwise) of the Obligations.

                     (ii)   Anything herein or in any other Transaction Document
                            to  the   contrary   notwithstanding,   the  maximum
                            liability of each Guarantor  hereunder and under the
                            other Transaction Documents shall in no event exceed
                            the amount which can be guaranteed by such Guarantor
                            under applicable  federal and state laws,  including
                            laws   relating  to  the   insolvency   of  debtors,
                            fraudulent  conveyance or transfer or laws affecting
                            the  rights of  creditors  generally  (after  giving
                            effect to the right of  contribution  established in
                            Section 2(b)).

                     (iii)  Each Guarantor  agrees that the  Obligations  may at
                            any time and from time to time  exceed the amount of
                            the liability of such  Guarantor  hereunder  without
                            impairing the guarantee  contained in this Section 2
                            or  affecting  the rights and remedies of the Lender
                            hereunder.

                     (iv)   The  guarantee  contained  in this  Section  2 shall
                            remain  in  full  force  and  effect  until  all the
                            Obligations  and the  obligations  of each Guarantor
                            under  the  guarantee  contained  in this  Section 2
                            shall have been satisfied by payment in full.

                     (v)    No  payment  made  by  the   Company,   any  of  the
                            Guarantors,  any other guarantor or any other Person
                            or  received  or  collected  by the Lender  from the
                            Company, any of the Guarantors,  any other guarantor
                            or any  other  Person  by  virtue  of any  action or
                            proceeding  or  any  set-off  or   appropriation  or
                            application  at any  time  or  from  time to time in
                            reduction of or in payment of the Obligations  shall
                            be deemed to modify,  reduce,  release or  otherwise
                            affect  the  liability  of any  Guarantor  hereunder
                            which shall, notwithstanding any such payment (other
                            than any payment  made by such  Guarantor in respect
                            of  the  Obligations  or  any  payment  received  or
                            collected  from such  Guarantor  in  respect  of the
                            Obligations),  remain liable for the  Obligations up
                            to the maximum liability of such Guarantor hereunder
                            until the Obligations are paid in full.

                     (vi)   Notwithstanding  anything  to the  contrary  in this
                            Agreement,    with   respect   to   any    defaulted
                            non-monetary Obligations the specific performance of
                            which by the Guarantors is not  reasonably  possible
                            (e.g.  the issuance of the Company's  Common Stock),
                            the  Guarantors  shall only be liable for making the
                            Lender whole on a monetary  basis for the  Company's
                            failure to perform such  Obligations  in  accordance
                            with the Transaction Documents.

              (b)    RIGHT OF CONTRIBUTION. Each Guarantor hereby agrees that to
       the extent that a Guarantor  shall have paid more than its  proportionate
       share of any payment made

<PAGE>

       hereunder,   such  Guarantor  shall  be  entitled  to  seek  and  receive
       contribution from and against any other Guarantor hereunder which has not
       paid its proportionate  share of such payment.  Each Guarantor's right of
       contribution  shall be  subject  to the terms and  conditions  of Section
       2(c).  The  provisions of this Section 2(b) shall in no respect limit the
       obligations  and  liabilities  of any  Guarantor to the Lender,  and each
       Guarantor  shall  remain  liable  to  the  Lender  for  the  full  amount
       guaranteed by such Guarantor hereunder.

              (c)    NO  SUBROGATION.  Notwithstanding  any payment  made by any
       Guarantor  hereunder  or any  set-off  or  application  of  funds  of any
       Guarantor by the Lender,  no Guarantor shall be entitled to be subrogated
       to any of the  rights of the  Lender  against  the  Company  or any other
       Guarantor or any collateral security or guarantee or right of offset held
       by the Lender for the payment of the Obligations, nor shall any Guarantor
       seek or be entitled to seek any  contribution or  reimbursement  from the
       Company  or any other  Guarantor  in  respect  of  payments  made by such
       Guarantor hereunder, until all amounts owing to the Lender by the Company
       on account of the  Obligations  are paid in full.  If any amount shall be
       paid to any Guarantor on account of such  subrogation  rights at any time
       when all of the Obligations shall not have been paid in full, such amount
       shall be held by such Guarantor in trust for the Lender,  segregated from
       other funds of such Guarantor,  and shall, forthwith upon receipt by such
       Guarantor,  be turned  over to the Lender in the exact form  received  by
       such  Guarantor  (duly  indorsed  by such  Guarantor  to the  Lender,  if
       required),  to be applied  against the  Obligations,  whether  matured or
       unmatured, in such order as the Lender may determine.

              (d)    AMENDMENTS,  ETC.  WITH  RESPECT TO THE  OBLIGATIONS.  Each
       Guarantor shall remain obligated hereunder  notwithstanding that, without
       any  reservation of rights against any Guarantor and without notice to or
       further  assent by any  Guarantor,  any demand for  payment of any of the
       Obligations  made by the Lender may be rescinded by the Lender and any of
       the Obligations continued,  and the Obligations,  or the liability of any
       other Person upon or for any part thereof,  or any collateral security or
       guarantee  therefor or right of offset with respect  thereto,  may,  from
       time to  time,  in  whole  or in part,  be  renewed,  extended,  amended,
       modified,  accelerated,  compromised,  waived, surrendered or released by
       the  Lender,  and the Bridge  Loan  Agreement  and the other  Transaction
       Documents  and any other  documents  executed and delivered in connection
       therewith may be amended, modified,  supplemented or terminated, in whole
       or in part, as the Lender may deem  advisable  from time to time, and any
       collateral security, guarantee or right of offset at any time held by the
       Lender for the payment of the Obligations may be sold, exchanged, waived,
       surrendered or released.  The Lender shall have no obligation to protect,
       secure,  perfect or insure any Lien at any time held by them as  security
       for the  Obligations or for the guarantee  contained in this Section 2 or
       any property subject thereto.

              (e)    GUARANTEE ABSOLUTE AND UNCONDITIONAL. Each Guarantor waives
       any and all notice of the creation,  renewal, extension or accrual of any
       of the  Obligations and notice of or proof of reliance by the Lender upon
       the guarantee  contained in this Section 2 or acceptance of the guarantee
       contained  in this  Section 2; the  Obligations,  and any of them,  shall
       conclusively be deemed to have been created,  contracted or incurred,  or
       renewed,  extended,  amended or waived,  in reliance  upon the  guarantee
       contained in this Section 2; and all dealings between the Company and any
       of the  Guarantors,  on the one hand, and the Lender,  on the other hand,
       likewise shall be  conclusively  presumed to have been had or consummated
       in  reliance  upon  the  guarantee  contained  in this  Section  2.  Each
       Guarantor waives to the extent  permitted by law diligence,  presentment,
       protest,

<PAGE>

       demand for  payment  and notice of default or  nonpayment  to or upon the
       Company or any of the Guarantors  with respect to the  Obligations.  Each
       Guarantor  understands  and agrees that the  guarantee  contained in this
       Section 2 shall be construed as a continuing,  absolute and unconditional
       guarantee of payment without regard to (a) the validity or enforceability
       of the Bridge Loan Agreement or any other  Transaction  Document,  any of
       the Obligations or any other collateral security therefor or guarantee or
       right of offset  with  respect  thereto  at any time or from time to time
       held by the Lender, (b) any defense,  set-off or counterclaim (other than
       a defense of payment or  performance  or fraud or  misconduct  by Lender)
       which may at any time be  available  to or be  asserted by the Company or
       any other  Person  against  the  Lender,  or (c) any  other  circumstance
       whatsoever (with or without notice to or knowledge of the Company or such
       Guarantor)  which  constitutes,  or might be construed to constitute,  an
       equitable or legal  discharge of the Company for the  Obligations,  or of
       such  Guarantor  under the  guarantee  contained  in this  Section  2, in
       bankruptcy or in any other instance.  When making any demand hereunder or
       otherwise   pursuing  its  rights  and  remedies  hereunder  against  any
       Guarantor,  the Lender may, but shall be under no  obligation  to, make a
       similar demand on or otherwise  pursue such rights and remedies as it may
       have  against the  Company,  any other  Guarantor  or any other Person or
       against any collateral  security or guarantee for the  Obligations or any
       right of offset with  respect  thereto,  and any failure by the Lender to
       make any such  demand,  to pursue  such other  rights or  remedies  or to
       collect any payments from the Company,  any other  Guarantor or any other
       Person or to realize upon any such collateral security or guarantee or to
       exercise  any such right of offset,  or any release of the  Company,  any
       other  Guarantor  or any other  Person or any such  collateral  security,
       guarantee  or right of offset,  shall not  relieve any  Guarantor  of any
       obligation  or  liability  hereunder,  and shall not impair or affect the
       rights and remedies, whether express, implied or available as a matter of
       law,  of the Lender  against  any  Guarantor.  For the  purposes  hereof,
       "demand"  shall include the  commencement  and  continuance  of any legal
       proceedings.

              (f)    REINSTATEMENT.  The  guarantee  contained in this Section 2
       shall continue to be effective, or be reinstated,  as the case may be, if
       at any time payment,  or any part thereof,  of any of the  Obligations is
       rescinded  or must  otherwise  be restored or returned by the Lender upon
       the insolvency, bankruptcy, dissolution, liquidation or reorganization of
       the Company or any Guarantor,  or upon or as a result of the  appointment
       of a  receiver,  intervenor  or  conservator  of, or  trustee  or similar
       officer for, the Company or any Guarantor or any substantial  part of its
       property, or otherwise, all as though such payments had not been made.

              (g)    PAYMENTS.  Each Guarantor  hereby  guarantees that payments
       hereunder will be paid to the Lender without  set-off or  counterclaim in
       U.S.  dollars at the  address set forth or referred to in the Bridge Loan
       Agreement.

       3.     REPRESENTATIONS  AND WARRANTIES.  Each Guarantor  hereby makes the
following  representations  and warranties to Lender as of the date hereof:

              (a)    ORGANIZATION   AND   QUALIFICATION.   The  Guarantor  is  a
       corporation or limited  liability  company,  duly  incorporated,  validly
       existing  and  in  good  standing   under  the  laws  of  the  applicable
       jurisdiction set forth on Schedule 1, with the requisite  corporate power
       and  authority to own and use its  properties  and assets and to carry on
       its business as currently  conducted.  The Guarantor has no  subsidiaries
       other than those identified as such on the Disclosure Annex to the Bridge
       Loan Agreement.  The Guarantor is duly

<PAGE>

       qualified to do business and is in good standing as a foreign corporation
       in each  jurisdiction  in which the nature of the  business  conducted or
       property owned by it makes such qualification necessary, except where the
       failure to be so qualified or in good standing, as the case may be, could
       not, individually or in the aggregate, (x) adversely affect the legality,
       validity  or  enforceability  of any of  this  Guaranty  in any  material
       respect, (y) have a material adverse effect on the results of operations,
       assets,  prospects,  or  financial  condition  of  the  Guarantor  or (z)
       adversely  impair in any  material  respect  the  Guarantor's  ability to
       perform  fully on a timely basis its  obligations  under this Guaranty (a
       "MATERIAL ADVERSE EFFECT").

              (b)    AUTHORIZATION; ENFORCEMENT. The Guarantor has the requisite
       corporate  power  and  authority  to  enter  into and to  consummate  the
       transactions  contemplated  by this Guaranty,  and otherwise to carry out
       its obligations hereunder. The execution and delivery of this Guaranty by
       the Guarantor and the consummation by it of the transactions contemplated
       hereby have been duly authorized by all requisite corporate action on the
       part of the Guarantor. This Guaranty has been duly executed and delivered
       by the Guarantor and constitutes the valid and binding  obligation of the
       Guarantor enforceable against the Guarantor in accordance with its terms,
       except as such  enforceability  may be limited by applicable  bankruptcy,
       insolvency,  reorganization,  moratorium,  liquidation  or  similar  laws
       relating to, or affecting generally the enforcement of, creditors' rights
       and remedies or by other equitable principles of general application.

              (c)    NO CONFLICTS.  The execution,  delivery and  performance of
       this Guaranty by the Guarantor and the  consummation  by the Guarantor of
       the  transactions  contemplated  thereby do not and will not (i) conflict
       with or violate any  provision of its  Certificate  of  Incorporation  or
       By-laws or (ii)  conflict  with,  constitute a default (or an event which
       with notice or lapse of time or both would  become a default)  under,  or
       give to others  any rights of  termination,  amendment,  acceleration  or
       cancellation  of, any  agreement,  indenture or  instrument  to which the
       Guarantor is a party,  or (iii)  result in a violation of any law,  rule,
       regulation,  order, judgment,  injunction, decree or other restriction of
       any court or  governmental  authority  to which the  Guarantor is subject
       (including  Federal and state  securities  laws and  regulations),  or by
       which  any  material  property  or  asset  of the  Guarantor  is bound or
       affected,  except in the case of each of  clauses  (ii) and  (iii),  such
       conflicts,    defaults,    terminations,    amendments,    accelerations,
       cancellations  and  violations  as  could  not,  individually  or in  the
       aggregate,  have or result in a Material Adverse Effect.  The business of
       the Guarantor is not being  conducted in violation of any law,  ordinance
       or regulation of any governmental authority, except for violations which,
       individually or in the aggregate, do not have a Material Adverse Effect.

              (d)    CONSENTS AND  APPROVALS.  The  Guarantor is not required to
       obtain any consent, waiver, authorization or order of, or make any filing
       or registration with, any court or other federal,  state, local,  foreign
       or other  governmental  authority or other person in connection  with the
       execution, delivery and performance by the Guarantor of this Guaranty.

              (e)    BRIDGE LOAN AGREEMENT.  The  representations and warranties
       of the Company set forth in the Bridge Loan  Agreement  as they relate to
       such Guarantor, each of which is hereby incorporated herein by reference,
       are true and correct as of each time such  representations  are deemed to
       be made pursuant to such Bridge Loan  Agreement,  and the Lender shall be
       entitled to rely on each of them as if they were fully set forth  herein,
       provided, that each reference in each such representation and warranty to
       the

<PAGE>

       Company's  knowledge shall, for the purposes of this Section 3, be deemed
       to be a reference to such Guarantor's knowledge.

              (f)    FOREIGN LAW. Each Guarantor has consulted with  appropriate
       foreign  legal  counsel with respect to any of the above  representations
       for which non-U.S.  law is applicable.  Such foreign counsel have advised
       each applicable Guarantor that such counsel knows of no reason why any of
       the above  representations  would not be true and accurate.  Such foreign
       counsel was provided  with copies of this  Subsidiary  Guarantee  and the
       Transaction Documents prior to rendering their advice.

       4.     COVENANTS.  Each  Guarantor  covenants  and agrees with the Lender
that, from and after the date of this Guarantee until the Obligations shall have
been paid in full, such Guarantor shall take,  and/or shall refrain from taking,
as the case may be, each commercially  reasonable action that is necessary to be
taken or not taken, as the case may be, so that no Event of Default is caused by
the  failure to take such  action or to refrain  from taking such action by such
Guarantor.

       5.     MISCELLANEOUS.

              (a)    AMENDMENTS  IN WRITING.  None of the terms or provisions of
       this Guarantee may be waived, amended, supplemented or otherwise modified
       except  in  writing  by  the   majority   in   interest   (based  on  the
       then-outstanding  principal  amount  of the  Note  at the  time  of  such
       determination) of the Lender.

              (b)    NOTICES.  All notices,  requests and demands to or upon the
       Lender  or any  Guarantor  hereunder  shall  be  affected  in the  manner
       provided for in the Bridge Loan Agreement; PROVIDED that any such notice,
       request or demand to or upon any  Guarantor  shall be  addressed  to such
       Guarantor at its notice address set forth herein.

              (c)    NO WAIVER BY COURSE OF CONDUCT;  CUMULATIVE  REMEDIES.  The
       Lender shall not by any act (except by a written  instrument  pursuant to
       Section 5(a)), delay, indulgence, omission or otherwise be deemed to have
       waived any right or remedy hereunder or to have acquiesced in any default
       under the  Transaction  Documents  or Event of  Default.  No  failure  to
       exercise,  nor any delay in  exercising,  on the part of the Lender,  any
       right, power or privilege hereunder shall operate as a waiver thereof. No
       single or partial  exercise of any right,  power or  privilege  hereunder
       shall preclude any other or further  exercise  thereof or the exercise of
       any other right, power or privilege.  A waiver by the Lender of any right
       or remedy  hereunder on any one occasion  shall not be construed as a bar
       to any  right or remedy  which the  Lender  would  otherwise  have on any
       future occasion.  The rights and remedies herein provided are cumulative,
       may be  exercised  singly or  concurrently  and are not  exclusive of any
       other rights or remedies provided by law.

<PAGE>

              (d)    ENFORCEMENT EXPENSES; INDEMNIFICATION.

                     (i)    Each  Guarantor  agrees  to pay,  or  reimburse  the
                            Lender for, all its costs and  expenses  incurred in
                            collecting   against   such   Guarantor   under  the
                            guarantee   contained  in  Section  2  or  otherwise
                            enforcing  or  preserving   any  rights  under  this
                            Guarantee  and the other  Transaction  Documents  to
                            which such Guarantor is a party, including,  without
                            limitation, the reasonable fees and disbursements of
                            counsel to the Lender.

                     (ii)   Each Guarantor agrees to pay, and to save the Lender
                            harmless from, any and all liabilities  with respect
                            to, or resulting  from any delay in paying,  any and
                            all stamp, excise, sales or other taxes which may be
                            payable or  determined  to be payable in  connection
                            with any of the  transactions  contemplated  by this
                            Guarantee.

                     (iii)  Each Guarantor agrees to pay, and to save the Lender
                            harmless from, any and all liabilities, obligations,
                            losses,  damages,  penalties,   actions,  judgments,
                            suits, costs,  expenses or disbursements of any kind
                            or nature  whatsoever with respect to the execution,
                            delivery,      enforcement,      performance     and
                            administration  of this  Guarantee to the extent the
                            Company  would be  required to do so pursuant to the
                            Bridge Loan Agreement.

                     (iv)   The   agreements   in  this  Section  shall  survive
                            repayment of the  Obligations  and all other amounts
                            payable  under the  Bridge  Loan  Agreement  and the
                            other Transaction Documents.

              (e)    SUCCESSOR AND ASSIGNS. This Guarantee shall be binding upon
       the  successors  and  assigns of each  Guarantor  and shall  inure to the
       benefit  of the  Lender  and their  respective  successors  and  assigns;
       provided  that no Guarantor  may assign,  transfer or delegate any of its
       rights or  obligations  under this  Guarantee  without the prior  written
       consent of the Lender.

              (f)    SET-OFF.  Each Guarantor hereby irrevocably  authorizes the
       Lender at any time and from time to time while an Event of Default  under
       any of the  Transaction  Documents shall have occurred and be continuing,
       without notice to such Guarantor or any other Guarantor,  any such notice
       being expressly waived by each Guarantor,  to set-off and appropriate and
       apply any and all  deposits,  credits,  indebtedness  or  claims,  in any
       currency,   in  each  case  whether  direct  or  indirect,   absolute  or
       contingent, matured or unmatured, at any time held or owing by the Lender
       to or for the  credit  or the  account  of such  Guarantor,  or any  part
       thereof in such  amounts as the Lender may elect,  against and on account
       of the  obligations  and  liabilities  of such  Guarantor  to the  Lender
       hereunder  and  claims of every  nature  and  description  of the  Lender
       against such Guarantor, in any currency, whether arising hereunder, under
       the Bridge Loan Agreement,  any other Transaction  Document or otherwise,
       as the Lender may elect,  whether or not the Lender  have made any demand
       for payment and although such obligations,  liabilities and claims may be
       contingent or unmatured.  The Lender shall notify such Guarantor promptly
       of any  such  set-off  and  the  application  made by the  Lender  of the
       proceeds thereof, provided that the failure to give such notice shall not
       affect the validity of such set-off and

<PAGE>

       application.  The rights of the Lender under this Section are in addition
       to other rights and remedies (including, without limitation, other rights
       of set-off) which the Lender may have.

              (g)    COUNTERPARTS. This Guarantee may be executed by one or more
       of the parties to this  Guarantee on any number of separate  counterparts
       (including  by telecopy),  and all of said  counterparts  taken  together
       shall be deemed to constitute one and the same instrument.

              (h)    SEVERABILITY.  Any  provision  of this  Guarantee  which is
       prohibited  or  unenforceable  in  any  jurisdiction  shall,  as to  such
       jurisdiction,  be  ineffective  to the  extent  of  such  prohibition  or
       unenforceability  without  invalidating the remaining  provisions hereof,
       and any such prohibition or  unenforceability  in any jurisdiction  shall
       not  invalidate  or  render  unenforceable  such  provision  in any other
       jurisdiction.

              (i)    SECTION  HEADINGS.   The  Section  headings  used  in  this
       Guarantee are for convenience of reference only and are not to affect the
       construction  hereof or be taken into consideration in the interpretation
       hereof.

              (j)    INTEGRATION.  This  Guarantee  and  the  other  Transaction
       Documents  represent the agreement of the  Guarantors and the Lender with
       respect  to the  subject  matter  hereof  and  thereof,  and there are no
       promises,  undertakings,  representations  or  warranties  by the  Lender
       relative to subject  matter hereof and thereof not expressly set forth or
       referred to herein or in the other Transaction Documents.

              (k)    GOVERNING  LAW.  THIS  GUARANTEE  SHALL BE GOVERNED BY, AND
       CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW
       YORK WITHOUT REGARD TO ANY PRINCIPLES OF CONFLICTS OF LAWS.

              (l)    SUBMISSION TO JURISDICTIONAL; WAIVER. Each Guarantor hereby
       irrevocably and unconditionally:

                     (i)    submits  for  itself and its  property  in any legal
                            action or proceeding  relating to this Guarantee and
                            the  other  Transaction  Documents  to which it is a
                            party,  or for  recognition  and  enforcement of any
                            judgment in respect  thereof,  to the  non-exclusive
                            general  jurisdiction  of the Courts of the State of
                            New York,  located in New York County, New York, the
                            courts  of the  United  States  of  America  for the
                            Southern  District of New York, and appellate courts
                            from any thereof;

                     (ii)   consents that any such action or  proceeding  may be
                            brought in such courts and waives any objection that
                            it may now or  hereafter  have to the  venue  of any
                            such action or  proceeding in any such court or that
                            such  action  or   proceeding   was  brought  in  an
                            inconvenient  court and agrees not to plead or claim
                            the same;

                     (iii)  agrees that service of process in any such action or
                            proceeding may be effected by mailing a copy thereof
                            by   registered   or   certified    mail   (or   any
                            substantially similar form of mail), postage

 <PAGE>

                            prepaid,  to such Guarantor at its address  referred
                            to in the  Bridge  Loan  Agreement  or at such other
                            address of which the Lender shall have been notified
                            pursuant thereto;

                     (iv)   agrees that nothing herein shall affect the right to
                            effect  service  of  process  in  any  other  manner
                            permitted  by law or shall limit the right to sue in
                            any other jurisdiction; and

                     (v)    waives, to the maximum extent not prohibited by law,
                            any  right it may have to  claim or  recover  in any
                            legal  action  or  proceeding  referred  to in  this
                            Section   any   special,   exemplary,   punitive  or
                            consequential damages.

              (m)    ACKNOWLEDGEMENTS. Each Guarantor hereby acknowledges that:

                     (i)    it has been  advised by counsel in the  negotiation,
                            execution  and  delivery of this  Guarantee  and the
                            other Transaction Documents to which it is a party;

                     (ii)   the Lender have no  fiduciary  relationship  with or
                            duty  to  any   Guarantor   arising  out  of  or  in
                            connection  with this  Guarantee or any of the other
                            Transaction Documents,  and the relationship between
                            the Guarantors,  on the one hand, and the Lender, on
                            the other hand, in connection  herewith or therewith
                            is solely that of debtor and creditor; and

                     (iii)  no joint  venture is created  hereby or by the other
                            Transaction  Documents or otherwise exists by virtue
                            of the  transactions  contemplated  hereby among the
                            Guarantors and the Lender.

              (n)    ADDITIONAL GUARANTORS.  The Company shall cause each of its
       subsidiaries  formed or acquired on or  subsequent  to the date hereof to
       become a Guarantor  for all purposes of this  Guarantee by executing  and
       delivering an Assumption Agreement in the form of Annex 1 hereto.

              (o)    RELEASE  OF  GUARANTORS.  Subject  to  Section  2(f),  each
       Guarantor will be released from all liability hereunder concurrently with
       the  repayment  in  full  of all  amounts  owed  under  the  Bridge  Loan
       Agreement, the Note and the other Transaction Documents.

              (p)    SENIORITY.  The  Obligations  of  each  of  the  Guarantors
       hereunder rank senior in priority to any other debt of such Guarantor.

              (q)    WAIVER OF JURY TRIAL.  EACH GUARANTOR AND, BY ACCEPTANCE OF
       THE BENEFITS HEREOF, THE LENDER,  HEREBY IRREVOCABLY AND  UNCONDITIONALLY
       WAIVE TRIAL BY JURY IN ANY LEGAL  ACTION OR  PROCEEDING  RELATING TO THIS
       GUARANTEE AND FOR ANY COUNTERCLAIM THEREIN.

<PAGE>

              IN  WITNESS  WHEREOF,  each of the  undersigned  has  caused  this
       Guarantee to be duly  executed  and  delivered as of the date first above
       written.

Subsidiary:                             Subsidiary:

Per:                                     Per:
    -----------------------------------      -----------------------------------
     Name:                                    Name:
     Title:                                   Title:

<PAGE>

                                   SCHEDULE 1

                                   GUARANTORS

       The  following  are the  names,  notice  addresses  and  jurisdiction  of
organization of each Guarantor.

                                           JURISDICTION            COMPANY
                                                OF                OWNED BY
       NAME               ADDRESS          INCORPORATION         PERCENTAGE
       ----               -------          -------------         ----------

<PAGE>

                                   Annex 1 to
                              SUBSIDIARY GUARANTEE

ASSUMPTION  AGREEMENT,  dated as of ____ __,  ______  made by  corporation  (the
"Additional  Guarantor"),  in favor of the Lender  pursuant  to the Bridge  Loan
Agreement referred to below. All capitalized terms not defined herein shall have
the meaning ascribed to them in such Bridge Loan Agreement.

                              W I T N E S S E T H :

       WHEREAS,  Sonoma College,  Inc., a California corporation (the "Company")
and the Lender have entered into a Bridge Loan Agreement,  dated as of September
28, 2006 (as amended,  supplemented or otherwise modified from time to time, the
"Bridge Loan Agreement");

       WHEREAS,  in connection with the Bridge Loan  Agreement,  the Company and
its  Subsidiaries  (other than the Additional  Guarantor)  have entered into the
Subsidiary Guarantee,  dated as of September 28, 2006 (as amended,  supplemented
or  otherwise  modified  from  time to time,  the  "Guarantee")  in favor of the
Lender;

       WHEREAS,  the Bridge Loan Agreement requires the Additional  Guarantor to
become a party to the Guarantee; and

       WHEREAS,  the Additional Guarantor has agreed to execute and deliver this
Assumption Agreement in order to become a party to the Guarantee;

                          NOW, THEREFORE, IT IS AGREED:

       1.     GUARANTEE.  By executing and delivering this Assumption Agreement,
the Additional Guarantor,  as provided in Section 5(n) of the Guarantee,  hereby
becomes a party to the Guarantee as a Guarantor  thereunder  with the same force
and effect as if originally  named therein as a Guarantor and,  without limiting
the generality of the foregoing,  hereby  expressly  assumes all obligations and
liabilities of a Guarantor  thereunder.  The  information set forth in Annex 1-A
hereto  is  hereby  added to the  information  set  forth in  Schedule  1 to the
Guarantee.  The Additional Guarantor hereby represents and warrants that each of
the  representations  and warranties  contained in Section 3 of the Guarantee is
true and  correct  on and as the date  hereof  as to such  Additional  Guarantor
(after giving effect to this Assumption  Agreement) as if made on and as of such
date.

       2.     GOVERNING LAW. THIS ASSUMPTION AGREEMENT SHALL BE GOVERNED BY, AND
CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.

<PAGE>

       IN WITNESS WHEREOF,  the undersigned has caused this Assumption Agreement
to be duly executed and delivered as of the date first above written.

                                        [ADDITIONALGUARANTOR]

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

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