The Lehigh Group Inc.
                         810 Seventh Avenue - 27th Floor
                            New York, New York 10019
                                    333-2620


October 24, 1996

Via Fax 516/626-9177

Mr. David H. Brooks, Chairman & CEO
DHB Capital Group, Inc.
11 Old Westbury Road
Old Westbury, NY  11568

Dear David:

I am writing to confirm the discussions which took place between you and me, and
between  your  counsel  Peter  Landau and me, with  respect to the status of the
option for six  million  shares of Lehigh  common  stock  which I granted to DHB
Capital Group, Inc. by letter dated July 8, 1996.

In connection  with the termination of the merger  agreement  between Lehigh and
DHB,  you also agreed to terminate  the option.  The option was granted by me in
order to enhance  DHB's  ability to complete  the merger.  Given you decision to
terminate the merger due to the Southwicke  lawsuit, it is clear that the option
no longer serves any useful purpose.

I am sorry we were unable to complete the merger transaction.  I am writing this
letter simply to memorialize our discussions  with respect to the option,  so as
to clarify the status of the option.

Please be advised  that I am prepared  to cancel the  $100,000  promissory  note
which DHB paid in consideration of the option;  in addition,  Lehigh is prepared
to repay at this time the $300,000  loan which DHB  extended  when the letter of
intent was executed.  I look forward to hearing from you as to how you'd like to
proceed on these matter.

Sincerely,

/S/ SALVATORE J. ZIZZA
- ---------------------------
    Salvatore J. Zizza

SJZ/mjt

cc:      Peter Landau, Esq. via fax 972 2219
         Ilan K. Reich, Esq. via fax 935-1787