[IAT LETTERHEAD]

Mr. Klaus Grissemann
Grisseman Consulting SA
1662 Pringy







                                                         Vogelsang, July 1, 1998
                                                         MG




Dear Mr. Grisseman

Pursuant to your discussion with Jacob Agam this is to confirm that we have 
agreed to pay you an amount of $25,000 for your services rendered in connection
with (i)the acquisition of companies and (ii) the equity/convertible debentures
financing of IAT Multimedia, Inc. Such amount shall become due and payable upon
consummation of each transaction, provided, however, that the total amount 
during a twelve month period starting May 1, 1998  shall not exceed $50,000.

All other terms of your agreement with IAT AG, Turgi of September 1, 1992 and 
the amendment of December 19, 1994 shall remain in full force and effect.


Sincerly,

IAT Multimedia, Inc.

/s/ Jacob Agam

Jacob Agam