INDEPENDENT DISTRIBUTOR AGREEMENT
THIS INDEPENDENT DISTRIBUTOR AGREEMENT (this "Agreement") is made and
entered into as of the 25th day of September, 1997 (the "Effective Date"), by
and between PREMIERE COMMUNICATIONS, INC., a Florida corporation ("Premiere"),
and DIGITEC 2000, INC., a Nevada corporation ("Distributor").
WITNESSETH:
WHEREAS, Distributor desires to purchase from Premiere prepaid telephone
cards with a retail value of Six Million Dollars ($6,000,000.00) (the "Cards"),
and to market and sell such Cards to individuals and business customers
(hereinafter referred to collectively as "Customers" and individually, as a
"Customer") so that such Customers may access the services listed on Exhibit A
attached hereto (the "Services"); and
WHEREAS, the Cards will be marketed under the names "F/X Mexico" (the "F/X
Card") and "DigiTEC Direct" (the "DigiTEC Card"), for the prices set forth on
Exhibit A attached hereto;
NOW, THEREFORE, in consideration of the mutual covenants and promises
contained herein and intending to be legally bound by this Agreement, Premiere
and Distributor agree as follows:
1. RELATIONSHIP
a. Premiere appoints Distributor, and Distributor accepts such
appointment, as its non-exclusive distributor for the sale to
Customers of the Cards.
b. This Agreement does not create an employment agreement, joint
venture or partnership between the parties hereto, and neither party
has any right nor any authority to act on behalf of the other beyond
that expressly granted herein. Distributor shall conduct its
business at its own initiative, responsibility and expense.
c. During the term of this Agreement and thereafter, Premiere reserves
the right, without obligation or liability to Distributor for
payment of compensation or otherwise, to market the Services,
whether through its own representatives, through other independent
representative(s) or otherwise.
2. TERM
a. This Agreement shall become effective as of the Effective Date and
shall continue in effect until the later of (i) six (6) months after
the date the last batch of Cards is activated and (ii) one (1) year
after the Effective Date.
b. Either party may terminate this Agreement (i) if the other party
becomes insolvent, makes an assignment for the benefit of creditors
or files a petition for reorganization under bankruptcy law; (ii) if
a petition in bankruptcy is filed by or against the other party and
not dismissed within sixty (60) days thereafter; or (iii) if the
other party is in breach of a material term or provision of this
Agreement and such material breach or default is not cured within
thirty (30) days after the other party receives notice of such
breach or default.
3. COMMISSIONS. Distributor hereby purchases the Cards from Premiere for an
amount equal to Six Million Dollars ($6,000,000.00), which shall be paid
for by the delivery of a Promissory Note in the form attached hereto as
Exhibit B (the "Note"), Premiere shall pay Distributor commissions
("Commissions") equal to thirty-eight and one-half percent (38.5%) of the
retail value of each F/X Card sold by Distributor and forty-one and
three-quarters percent (41.75%) of the retail value of each DigiTEC Card
sold by Distributor. The Commission on the sale of a Card shall be
considered paid to Distributor at the time Distributor makes a prepayment
under the Note with respect to such Card, in which case Distributor shall
be considered to have paid to Premiere under the Note the full retail
value of such Card, and Premiere shall be considered to have paid the
Commission to Distributor.
4. DISTRIBUTOR'S RESPONSIBILITIES. Distributor agrees to:
a. Market the Cards in accordance with the prices set forth on Exhibit
A attached hereto.
b. Provide customer service to Customers.
c. Maintain documents and records ("Records") relating to the sales of
Cards to Customers for a period of not less than twelve (12) months
or such other longer period as may be required by applicable law,
rule or regulation, and produce such documents, with the exception
of customer lists, within a reasonable period of time upon request
of Premiere.
2
d. Deliver to Premiere exemption certificates with respect to
applicable state sales and use taxes and federal excise and
communications taxes on the sale of the Cards.
e. Cooperate in the collection, compilation and maintenance of data
required to be reported by Premiere or its shareholders pursuant to
any federal regulation order.
5. PREMIERE'S RESPONSIBILITIES. Premiere agrees to:
a. Provide two (2) 800 numbers to Distributor, one in English and one
in Spanish, for Customers to access the Services.
b. The Services shall be available to Customers twenty-four (24) hours
a day, seven days a week.
c. Distributor understands that the availability of service depends
solely upon third party providers, and Premiere neither warrants nor
is responsible for the performance or acts of those third party
service providers. Service providers frequently add, delete, change
and reconfigure or re-tariff their products or services, and
Premiere cannot warrant their performance or the continued provision
of third party provided services.
6. USE OF NAMES. Distributor shall provide to Premiere for its prior review
and written approval, all promotions, advertising or other materials using
or displaying the name of Premiere.
7. CONFIDENTIAL INFORMATION
a. The parties understand and agree that the terms and conditions of
this Agreement, all documents referenced herein, communications
between the parties regarding this Agreement or the Services
described herein (including price quotes for any Services provided
to Customers), and Customer and account information (collectively
"Confidential Information") are confidential as between Distributor
and Premiere.
b. A party shall not disclose Confidential Information unless subject
to discovery or disclosure pursuant to a law, rule, regulation or
legal process, or to any other party other than the directors,
officers and employees of a party or distributors of a party
including their respective investment bankers, lenders, lawyers,
accountants, insurance carriers or prospective purchasers who have
agreed not to disclose such Confidential Information.
3
Violation by a party or its distributors of the foregoing provisions
shall entitle the non-disclosing party, at its option, to obtain
injunctive relief without a showing of irreparable harm or injury
and without bond.
c. The parties further agree that any press release, advertisement or
publication generated by a party regarding this Agreement, Cards or
the Services or in which a party desires to mention the name of the
other party or the other party's parent or affiliated company(ies),
will be submitted to the non-publishing party for its written
approval prior to publication.
d. The provisions of this Section 7 shall be effective as of the
Effective Date and shall remain in full force and effect during the
period of this Agreement and for a period of one (1) year after
termination of this Agreement.
e. After the expiration of this Agreement or the termination of this
Agreement by either party for any reason, upon request of a party,
the other party shall return to the requesting party any physical or
written records containing Confidential Information of the
requesting party then in its possession.
8. INDEMNIFICATION
a. Distributor agrees to indemnify and hold Premiere harmless from any
and all claims, actions, damages, expenses and other liabilities,
including reasonable attorneys' fees and costs of litigation,
resulting from Distributor's acts, omissions or misrepresentations
in violation of this Agreement.
b. Premiere agrees to indemnify and hold Distributor harmless from any
and all claims, actions, damages, expenses and other liabilities,
including reasonable attorneys' fees and the costs of litigation,
resulting from Premiere's acts, omissions or misrepresentations in
violation of this Agreement.
9. LIMITED LIABILITY. IN NO EVENT WILL A PARTY'S PERFORMANCE OF FAILURE TO
PERFORM ITS OBLIGATIONS HEREUNDER RESULT IN SUCH PARTY'S LIABILITY TO THE
OTHER PARTY OR ANY THIRD PARTY FOR ANY INDIRECT, SPECIAL, INCIDENTAL,
PUNITIVE OR CONSEQUENTIAL LOSSES OR DAMAGES, INCLUDING WITHOUT LIMITATION,
LOSS OF REVENUE, LOSS OF CUSTOMERS OR CLIENTS, LOSS OF GOODWILL OR LOSS OF
BASED ON ANY THEORY OR TORT, BREACH OF CONTRACT OR STATUTE OF WHETHER AT
LAW OR IN EQUITY.
4
10. Termination. Either party may terminate this Agreement if the other party
is in breach or default of a material term or provision of this Agreement
and such material breach or default is not cured within three (3) days
after the other party receives notice of such breach or default.
11. GENERAL PROVISIONS
a. Assignment. Distributor may not assign this Agreement in whole or in
part without the prior written consent of Premiere, which may be
given or withheld in the sole discretion of Premiere; provided, that
Distributor may enter into agreements to market and sell the Cards.
b. Amendment. This Agreement can be modified only by a written
amendment signed Distributor and Premiere and shall not be modified
or supplemented by any course of dealing or trade usage.
c. Force Majeure. Neither party shall be held liable for any delay or
failure in performance of any part of this Agreement because of
circumstances beyond its control such as acts of God, acts of civil
or military authorities, cable cuts, embargoes, epidemics, war,
terrorist acts, riots, insurrections, fire, explosions, earthquakes,
nuclear accidents, floods, or other major environmental
disturbances, power blackouts, strikes, or from any other cause of
whatsoever kind arising without its actual fault.
d. Choice of Law; Forum Selection. This Agreement is governed by the
laws of the State of Georgia without regard to choice of law
principles. Any legal action or proceeding with respect to this
Agreement may only be brought in the Courts of the State of Georgia
in and for the County of Fulton or the United States of America in
the Northern District of Georgia.
e. Agency Orders. All obligations under this Agreement shall be subject
to legislation and to valid and applicable government agency orders,
regulations, tariff provisions, and decisions and orders of courts
of competent jurisdiction.
f. Severability. Both parties agree that it is not the intention of
either party to violate public policy, state or federal statutory or
common laws, and that if any sentence, paragraph, clause or
combination thereof in this Agreement is in violation of the same,
such paragraph, clause or sentence, or combination of the same shall
be inoperative, and the remainder of this Agreement shall remain
binding upon the parties hereto.
g. Authority. Each party represents and warrants that it has the
requisite corporate power and authority to enter into this Agreement
and undertake
5
its obligations hereunder, and that this Agreement has been executed
and delivered by its duly authorized officer, and is the binding
obligation of such party enforceable in accordance with its terms.
h. Notice. All notices, requests, or other communications under this
Agreement shall be in writing and shall be deemed to have been duly
given when delivered in person or deposited in the United States
Mail, certified or registered, return receipt requested, or
nationally recognized overnight mail service, addressed as follows:
To Premiere: Premiere Communications, Inc.
3399 Peachtree Road, N.E.
The Lenox Bldg., Suite 400
Atlanta, GA 30326
Attention: Patrick G. Jones
To Distributor: DigiTEC 2000, Inc.
8 West 38th Street
5th Floor
New York, NY 10018
Attention: Frank C. Magliato
i. Entire Agreement. This Agreement, including Exhibits A and B
attached hereto, constitutes the complete statement of the
understandings between The parties regarding the subject matter
hereof and supersedes all proposals and prior agreements (oral or
written) between the parties relating thereto.
6
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of
the date first set forth above.
PREMIERE COMMUNICATIONS, INC. DIGITEC 2000, INC.
By /s/ Patrick Jones By /s/ Frank Magliato
---------------------------- ----------------------------
Title: Sr. V.P. Title: Pres.
------------------------- -------------------------
The Services consist of domestic and international long distance to the
countries set forth on pages A-2 through A-9. The prices for the FX Card are set
forth on pages A-2 through A-5, and the prices for the DigiTEC Card are set
forth on pages A-6 through A-9. All prices are based on whole minute billing.
EXHIBIT A
PLAN COUNTRYCOD COUNTRY BASE1STMIN BASEMIN
2 930 AFGHANISTAN 0.00 0.00
2 355 ALBANIA 0.89 0.99
2 213 ALGERIA 0.99 0.99
2 684 AMERICAN SAMOA 1.09 0.99
2 336 ANDORRA 0.49 0.99
2 244 ANGOLA 1.29 0.99
2 809497 ANGUILLA 0.59 0.99
2 672 ANTARCTICA/NORFOLK/CHRISTMS IS 0.00 0.00
2 268 ANTIGUA 0.57 0.99
2 54 ARGENTINA 0.79 0.99
2 374 ARMENIA 0.00 0.00
2 297 ARUBA 0.79 0.99
2 247 ASCENSION ISLAND 1.69 0.99
2 61 AUSTRALIA 0.39 0.99
2 43 AUSTRIA 0.55 0.99
2 994 AZERBAIJAN 1.29 0.99
2 242 BAHAMAS 0.39 0.99
2 973 BAHRAIN 0.99 0.99
2 880 BANGLADESH 1.55 0.99
2 246 BARBADOS 0.69 0.99
2 375 BELARUS 1.29 0.99
2 32 BELGIUM 0.29 0.99
2 501 BELIZE 0.99 0.99
2 229 BENIN 1.50 0.99
2 441 BERMUDA 0.49 0.99
2 975 BHUTAN 1.89 0.99
2 591 BOLIVIA 0.99 0.99
2 387 BOSNIA/HERZEGOVINA 0.85 0.99
2 267 BOTSWANA 1.39 0.99
2 55 BRAZIL 0.79 0.99
2 809494 BRITISH VIRGIN ISLANDS 0.69 0.99
2 673 BRUNEI 1.49 0.99
2 359 BULGARIA 0.89 0.99
2 226 BURKINA FASO 1.89 0.99
2 257 BURUNDI 3.29 0.99
2 855 CAMBODIA 2.07 0.99
2 237 CAMEROON 1.43 0.99
2 204 CANADA 0.29 0.99
2 238 CAPE VERDE ISLANDS 1.32 0.99
2 809555 CARRIBEAN DIRECTORY ASSISTANCE 0.00 0.00
2 345 CAYMAN ISLANDS 0.59 0.99
2 236 CENTRAL AFRICAN REPUBLIC 3.58 0.99
2 235 CHAD REPUBLIC 3.29 0.99
2 56 CHILE 0.69 0.99
2 86 CHINA 0.99 0.99
2 57 COLOMBIA 0.65 0.99
2 269 COMOROS 0.00 0.00
2 242 CONGO 0.00 0.00
2 682 COOK ISLAND 0.00 0.00
2 506 COSTA RICA 0.79 0.99
2 385 CROATIA 0.89 0.99
2 53 CUBA 0.85 0.99
2 357 CYPRUS 0.99 0.99
2 42 CZECH/SLOVAKIA 0.59 0.99
2 45 DENMARK 0.29 0.99
2 246 DIEGO GARCIA 1.69 0.99
2 253 DJIBOUTI 1.89 0.99
2 767 DOMINICA 0.59 0.99
A-2
2 809208 DOMINICAN REPUBLIC 0.45 0.99
2 593 ECUADOR 0.69 0.99
2 20 EGYPT 0.95 0.99
2 503 EL SALVADOR 0.69 0.99
2 240 EQUATORIAL GUINEA 3.25 0.99
2 291 ERITREA 2.49 0.99
2 372 ESTONIA 0.79 0.99
2 251 ETHIOPIA 1.73 0.99
2 298 FAEROE ISLANDS 0.85 0.99
2 500 FALKLAND ISLANDS 2.94 0.99
2 679 FIJI ISLANDS 1.99 0.99
2 358 FINLAND 0.49 0.99
2 33 FRANCE 0.39 0.99
2 596 FRENCH ANTILLES 1.19 0.99
2 594 FRENCH GUIANA 0.00 0.00
2 689 FRENCH POLYNESIA 0.00 0.00
2 241 GABON REPUBLIC 0.00 0.00
2 220 GAMBIA 1.31 0.99
2 995 GEORGIA 1.17 0.99
2 49 GERMANY 0.29 0.99
2 233 GHANA 0.89 0.99
2 350 GIBRALTAR 1.47 0.99
2 30 GREECE 0.79 0.99
2 299 GREENLAND 0.83 0.99
2 809407 GRENADA 0.69 0.99
2 590 GUADALOUPE 0.89 0.99
2 671 GUAM 0.29 0.99
2 5399 GUANTANAMO BAY 0.00 0.00
2 502 GUATEMALA 0.69 0.99
2 224 GUINEA, PEOPLES REPUBLIC OF 2.19 0.99
2 245 GUINEA-BISSAU 1.99 0.99
2 592 GUYANA 1.29 0.99
2 509 HAITI 0.69 0.99
2 504 HONDURAS 0.89 0.99
2 852 HONG KONG 0.39 0.99
2 36 HUNGARY 0.59 0.99
2 354 ICELAND 0.79 0.99
2 91 INDIA 0.85 0.99
2 62 INDONESIA 0.99 0.99
2 871 INMARSAT-ALL REGIONS 0.00 0.00
2 98 IRAN 1.29 0.99
2 964 IRAQ 1.49 0.99
2 353 IRELAND 0.59 0.99
2 972 ISRAEL 0.85 0.99
2 39 ITALY 0.49 0.99
2 225 IVORY COAST 1.39 0.99
2 809202 JAMAICA 0.69 0.99
2 81 JAPAN 0.39 0.99
2 962 JORDAN 0.89 0.99
2 254 KENYA 1.12 0.99
2 686 KIRIBATI 1.39 0.99
2 650 KOREA, NORTH 2.99 0.99
2 82 KOREA, REPUBLIC OF (SOUTH) 0.49 0.99
2 965 KUWAIT 0.99 0.99
2 856 LAOS 1.59 0.99
2 371 LATVIA 0.89 0.99
2 961 LEBANON 1.39 0.99
2 266 LESOTHO 1.55 0.99
2 231 LIBERIA 0.79 0.99
2 218 LIBYA 0.99 0.99
A-3
2 370 LITHUANIA 0.69 0.99
2 352 LUXEMBOURG 0.49 0.99
2 853 MACAU 1.13 0.99
2 389 MACEDONIA 1.45 0.99
2 261 MADAGASCAR 3.27 0.99
2 265 MALAWI 1.21 0.99
2 60 MALAYSIA 0.79 0.99
2 960 MALDIVES, REPUBLIC OF 2.99 0.99
2 223 MALI REPUBLIC 2.39 0.99
2 356 MALTA 0.89 0.99
2 692 MARSHALL ISLANDS 1.65 0.99
2 222 MAURITANIA 2.18 0.99
2 230 MAURITIUS 2.31 0.99
2 2696 MAYOTTE IS 1 79 0.99
2 52161 MEXICO-ZONE 1 0.17 0.99
2 52862 MEXICO-ZONE 2 0.24 0.99
2 52632 MEXICO-ZONE 3 0.34 0.99
2 52140 MEXICO-ZONE 4 0.39 0.99
2 52123 MEXICO-ZONE 5 0.39 0.99
2 52120 MEXICO-ZONE 6 0.39 0.99
2 5210 MEXICO-ZONE 7 0.39 0.99
2 52232 MEXICO-ZONE 8 0.39 0.99
2 691 MICRONESIA 1.87 0.99
2 373 MOLDOVA 1.62 0.99
2 3393 MONACO 0.00 0.00
2 976 MONGOLIA 2.72 0.99
2 664 MONTSERRAT 0.59 0.99
2 212 MOROCCO 0.89 0.99
2 258 MOZAMBIQUE 1.60 0.99
2 95 MYANAMAR/BURMA 0.00 0.00
2 264 NAMIBIA 1.40 0.99
2 674 NAURU 1.60 0.99
2 977 NEPAL 1.98 0.99
2 31 NETHERLANDS 0.35 0.99
2 599 NETHERLANDS ANTILLES 0.44 0.99
2 809469 NEVIS 0.59 0.99
2 687 NEW CALEDONIA 1.51 0.99
2 64 NEW ZEALAND 0.39 0.99
2 505 NICARAGUA 0.89 0.99
2 227 NIGER REPUBLIC 1.89 0.99
2 234 NIGERIA 0.79 0.99
2 683 NIUE ISLAND 1.89 0.99
2 47 NORWAY 0.49 0.99
2 968 OMAN 2.05 0.99
2 92 PAKISTAN 1.19 0.99
2 680 PALAU REPUBLIC 2.70 0.99
2 507 PANAMA 0.89 0.99
2 675 PAPUA NEW GUINEA 1.15 0.99
2 595 PARAGUAY 0.99 0.99
2 51 PERU 0.89 0.99
2 63 PHILIPPINES 0.89 0.99
2 48 POLAND 0.69 0.99
2 351 PORTUGAL 0.69 0.99
2 787 PUERTO RICO 0.25 0.99
2 974 QATAR 1.35 0.99
2 262 REUNION ISLAND 2.62 0.99
2 40 ROMANIA 0.89 0.99
2 7 RUSSIA 0.79 0.99
2 250 RWANDA 2.28 0.99
2 290 SAINT HELENA 2.92 0.99
A-4
2 809465 SAINT KITTS 0.69 0.99
2 758 SAINT LUCIA 0.69 0.99
2 508 SAINT PIERRE/MIQUELON 0.69 0.99
2 809456 SAINT VINCENT 0.69 0.99
2 670 SAIPAN 0.69 0.99
2 378 SAN MARINO 0.89 0.99
2 239 SAO TOME 1.39 0.99
2 966 SAUDI ARABIA 0.99 0.99
2 221 SENEGAL REPUBLIC 1.69 0.99
2 248 SEYCHELLES ISLANDS 2.31 0.99
2 232 SIERRA LEONE 1.83 0.99
2 65 SINGAPORE 0.39 0.99
2 386 SLOVENIA 0.98 0.99
2 677 SOLOMON ISLANDS 1.49 0.99
2 252 SOMALIA 0.00 0.00
2 27 SOUTH AFRICA 0.69 0.99
2 34 SPAIN 0.59 0.99
2 94 SRI LANKA 1.29 0.99
2 249 SUDAN 1.99 0.99
2 597 SURINAME 1.39 0.99
2 268 SWAZILAND 1.39 0.99
2 46 SWEDEN 0.39 0.99
2 41 SWITZERLAND 0.39 0.99
2 963 SYRIA 1.89 0.99
2 886 TAIWAN 0.49 0.99
2 255 TANZANIA 1.69 0.99
2 66 THAILAND 0.99 0.99
2 228 TOGO, REPUBLIC OF 1.75 0.99
2 676 TONGA ISLANDS 2.02 0.99
2 809619 TRINIDAD & TOBAGO 0.69 0.99
2 216 TUNISIA 1.19 0.99
2 90 TURKEY 0.69 0.99
2 809941 TURKS/CAICOS ISLANDS 0.59 0.99
2 688 TUVALU 2.09 0.99
2 256 UGANDA 1.47 0.99
2 380 UKRAINE 0.99 0.99
2 971 UNITED ARAB EMIRATES 0.79 0.99
2 44 UNITED KINGDOM 0.39 0.99
2 598 URUGUAY 0.89 0.99
2 678 VANUATU 1.58 0.99
2 58 VENEZUELA 0.49 0.99
2 84 VIETNAM 1.49 0.99
2 809513 VIRGIN ISLANDS 0.00 0.00
2 681 WALLIS AND FUTINA 0.29 0.99
2 685 WESTERN SAMOA 1.76 0.99
2 967 YEMEN ARAB REPUBLIC 0.89 0.99
2 243 ZAIRE 1.49 0.99
2 260 ZAMBIA 0.00 0.00
2 263 ZIMBABWE 0.00 0.00
2 690 TOKELAU 0.00 0.00
2 379 VATICAN CITY 0.00 0.00
2 381 YUGOSLOVIA 0.89 0.99
A-5
PLAN COUNTRYCOD COUNTRY BASE1STMIN BASEMIN
1 930 AFGHANISTAN 0.00 0.00
1 355 ALBANIA 0.00 0.00
1 213 ALGERIA 0.00 0.00
1 684 AMERICAN SAMOA 0.00 0.00
1 336 ANDORRA 0.00 0.00
1 244 ANGOLA 0.00 0.00
1 809497 ANGUILLA 1.58 0.59
1 672 ANTARCTICA/NORFOLK/CHRISTMS IS 0.00 0.00
1 268 ANTIGUA 1.56 0.57
1 54 ARGENTINA 1.58 0.59
1 374 ARMENIA 0.00 0.00
1 297 ARUBA 1.98 0.99
1 247 ASCENSION ISLAND 0.00 0.00
1 61 AUSTRALIA 1.28 0.29
1 43 AUSTRIA 1.54 0.55
1 994 AZERBAIJAN 0.00 0.00
1 242 BAHAMAS 1.28 0.29
1 973 BAHRAIN 0.00 0.00
1 880 BANGLADESH 0.00 0.00
1 246 BARBADOS 1.58 0.59
1 375 BELARUS 0.00 0.00
1 32 BELGIUM 1.28 0.29
1 501 BELIZE 1.98 0.99
1 229 BENIN 0.00 0.00
1 441 BERMUDA 0.00 0.00
1 975 BHUTAN 0.00 0.00
1 591 BOLIVIA 1.78 0.79
1 387 BOSNIA/HERZEGOVINA 0.00 0.00
1 267 BOTSWANA 0.00 0.00
1 55 BRAZIL 1.58 0.59
1 809494 BRITISH VIRGIN ISLANDS 1.58 0.59
1 673 BRUNEI 0.00 0.00
1 359 BULGARIA 0.00 0.00
1 226 BURKINA FASO 0.00 0.00
1 257 BURUNDI 0.00 0.00
1 855 CAMBODIA 0.00 0.00
1 237 CAMEROON 0.00 0.00
1 204 CANADA 0.46 0.18
1 238 CAPE VERDE ISLANDS 2.31 1.32
1 809555 CARRIBEAN DIRECTORY ASSISTANCE 0.00 0.00
1 345 CAYMAN ISLANDS 0.00 0.00
1 236 CENTRAL AFRICAN REPUBLIC 4.57 3.58
1 235 CHAD REPUBLIC 0.00 0.00
1 56 CHILE 1.58 0.59
1 86 CHINA 1.88 0.89
1 57 COLOMBIA 1.44 0.45
1 269 COMOROS 0.00 0.00
1 242 CONGO 0.00 0.00
1 682 COOK ISLAND 0.00 0.00
1 506 COSTA RICA 1.68 0.69
1 385 CROATIA 0.00 0.00
1 53 CUBA 1.48 0.49
1 357 CYPRUS 0.00 0.00
1 42 CZECH/SLOVAKIA 0.00 0.00
1 45 DENMARK 1.28 0.29
1 246 DIEGO GARCIA 0.00 0.00
1 253 DJIBOUTI 0.00 0.00
1 767 DOMINICA 1.58 0.59
A-6
1 809208 DOMINICAN REPUBLIC 1.26 0.27
1 93 ECUADOR 1.58 0.59
1 20 EGYPT 1.94 0.95
1 503 EL SALVADOR 1.58 0.59
1 240 EQUATORIAL GUINEA 0.00 0.00
1 291 ERITREA 0.00 0.00
1 372 ESTONIA 0.00 0.00
1 251 ETHIOPIA 0.00 0.00
1 298 FAEROE ISLANDS 0.00 0.00
1 500 FALKLAND ISLANDS 0.00 0.00
1 679 FIJI ISLANDS 0.00 0.00
1 358 FINLAND 0.00 0.00
1 33 FRANCE 1.28 0.29
1 596 FRENCH ANTILLES 0.00 0.00
1 594 FRENCH GUIANA 0.00 0.00
1 689 FRENCH POLYNESIA 0.00 0.00
1 241 GABON REPUBLIC 0.00 0.00
1 220 GAMBIA 2.08 1.09
1 995 GEORGIA 0.00 0.00
1 49 GERMANY 1.28 0.29
1 233 GHANA 1.88 0.89
1 350 GIBRALTAR 0.00 0.00
1 30 GREECE 1.68 0.69
1 299 GREENLAND 0.00 0.00
1 809407 GRENADA 1.68 0.69
1 590 GUADALOUPE 1.88 0.89
1 671 GUAM 0.00 0.00
1 5399 GUANTANAMO BAY 0.00 0.00
1 502 GUATEMALA 1.58 0.59
1 224 GUINEA, PEOPLES REPUBLIC OF 0.00 0.00
1 245 GUINEA-BISSAU 0.00 0.00
1 592 GUYANA 2.28 1.29
1 509 HAITI 1.48 0.49
1 504 HONDURAS 1.78 0.79
1 852 HONG KONG 1.28 0.29
1 36 HUNGARY 1.58 0.59
1 354 ICELAND 0.00 0.00
1 91 INDIA 1.68 0.69
1 62 INDONESIA 1.98 0.99
1 871 INMARSAT-ALL REGIONS 0.00 0.00
1 98 IRAN 0.00 0.00
1 964 IRAQ 0.00 0.00
1 353 IRELAND 1.38 0.39
1 972 ISRAEL 1.78 0.79
1 39 ITALY 1.38 0.39
1 225 IVORY COAST 2.38 1.39
1 809202 JAMAICA 1.44 0.45
1 81 JAPAN 1.28 0.29
1 962 JORDAN 1.88 0.89
1 254 KENYA 2.11 1.12
1 686 KIRIBATI 0.00 0.00
1 850 KOREA, NORTH 0.00 0.00
1 82 KOREA, REPUBLIC OF (SOUTH) 1.48 0.49
1 965 KUWAIT 1.98 0.99
1 856 LAOS 0.00 0.00
1 371 LATVIA 0.00 0.00
1 961 LEBANON 0.00 0.00
1 266 LESOTHO 0.00 0.00
1 231 LIBERIA 0.00 0.00
1 218 LIBYA 0.00 0.00
A-7
1 370 LITHUANIA 1.68 0.69
1 352 LUXEMBOURG 0.00 0.00
1 853 MACAU 0.00 0.00
1 389 MACEDONIA 0.00 0.00
1 261 MADAGASCAR 0.00 0.00
1 265 MALAWI 0.00 0.00
1 60 MALAYSIA 1.78 0.79
1 960 MALDIVES, REPUBLIC OF 0.00 0.00
1 223 MALI REPUBLIC 0.00 0.00
1 356 MALTA 0.00 0.00
1 692 MARSHALL ISLANDS 0.00 0.00
1 222 MAURITANIA 0.00 0.00
1 230 MAURITIUS 0.00 0.00
1 2696 MAYOTTE IS 0.00 0.00
1 52161 MEXICO-ZONE 1 1.44 0.45
1 52862 MEXICO-ZONE 2 1.44 0.45
1 52632 MEXICO-ZONE 3 1.44 0.45
1 52140 MEXICO-ZONE 4 1.44 0.45
1 52123 MEXICO-ZONE 5 1.44 0.45
1 52120 MEXICO-ZONE 6 1.44 0.45
1 5210 MEXICO-ZONE 7 1.44 0.45
1 52232 MEXICO-ZONE 8 1.44 0.45
1 691 MICRONESIA 0.00 0.00
1 373 MOLDOVA 0.00 0.00
1 3393 MONACO 0.00 0.00
1 976 MONGOLIA 0.00 0.00
1 664 MONTSERRAT 1.58 0.59
1 212 MOROCCO 1.88 0.89
1 258 MOZAMBIQUE 0.00 0.00
1 95 MYANAMAR/BURMA 0.00 0.00
1 264 NAMIBIA 0.00 0.00
1 674 NAURU 0.00 0.00
1 977 NEPAL 0.00 0.00
1 31 NETHERLANDS 1.34 0.35
1 599 NETHERLANDS ANTILLES 1.43 0.44
1 809469 NEVIS 1.58 0.59
1 687 NEW CALEDONIA 0.00 0.00
1 64 NEW ZEALAND 1.38 0.39
1 505 NICARAGUA 1.88 0.89
1 227 NIGER REPUBLIC 0.00 0.00
1 234 NIGERIA 1.68 0.69
1 683 NIUE ISLAND 0.00 0.00
1 47 NORWAY 1.38 0.39
1 968 OMAN 0.00 0.00
1 92 PAKISTAN 1.78 0.79
1 680 PALAU REPUBLIC 0.00 0.00
1 507 PANAMA 1.78 0.79
1 675 PAPUA NEW GUINEA 0.00 0.00
1 595 PARAGUAY 1.98 0.99
1 51 PERU 1.78 0.79
1 63 PHILIPPINES 1.58 0.59
1 48 POLAND 1.58 0.59
1 351 PORTUGAL 1.68 0.69
1 787 PUERTO RICO 0.46 0.18
1 974 QATAR 0.00 0.00
1 262 REUNION ISLAND 0.00 0.00
1 40 ROMANIA 1.88 0.89
1 7 RUSSIA 1.68 0.69
1 250 RWANDA 1.88 0.89
1 290 SAINT HELENA 0.00 0.00
A-8
1 809465 SAINT KITTS 0.00 0.00
1 758 SAINT LUCIA 1.58 0.59
1 508 SAINT PIERRE/MIQUELON 0.00 0.00
1 809456 SAINT VINCENT 1.58 0.59
1 670 SAIPAN 0.00 0.00
1 378 SAN MARINO 0.00 0.00
1 239 SAO TOME 0.00 0.00
1 966 SAUDI ARABIA 0.00 0.00
1 221 SENEGAL REPUBLIC 2.68 1.69
1 248 SEYCHELLES ISLANDS 0.00 0.00
1 232 SIERRA LEONE 0.00 0.00
1 65 SINGAPORE 1.28 0.29
1 386 SLOVENIA 0.00 0.00
1 677 SOLOMON ISLANDS 0.00 0.00
1 252 SOMALIA 0.00 0.00
1 27 SOUTH AFRICA 1.68 0.69
1 34 SPAIN 1.48 0.49
1 94 SRI LANKA 0.00 0.00
1 249 SUDAN 0.00 0.00
1 597 SURINAME 0.00 0.00
1 268 SWAZILAND 0.00 0.00
1 46 SWEDEN 1.28 0.29
1 41 SWITZERLAND 1.28 0.29
1 963 SYRIA 0.00 0.00
1 886 TAIWAN 1.38 0.39
1 255 TANZANIA 0.00 0.00
1 66 THAILAND 1.88 0.89
1 228 TOGO, REPUBLIC OF 0.00 0.00
1 676 TONGA ISLANDS 0.00 0.00
1 809619 TRINIDAD & TOBAGO 1.58 0.59
1 216 TUNISIA 0.00 0.00
1 90 TURKEY 1.68 0.69
1 809941 TURKS/CAICOS ISLANDS 0.00 0.00
1 688 TUVALU 0.00 0.00
1 256 UGANDA 0.00 0.00
1 380 UKRAINE 0.00 0.00
1 971 UNITED ARAB EMIRATES 1.78 0.79
1 44 UNITED KINGDOM 1.28 0.29
1 598 URUGUAY 1.88 0.89
1 678 VANUATU 0.00 0.00
1 58 VENEZUELA 1.38 0.39
1 84 VIETNAM 0.00 0.00
1 809513 VIRGIN ISLANDS 0.00 0.00
1 681 WALLIS AND FUTINA 0.00 0.00
1 685 WESTERN SAMOA 0.00 0.00
1 967 YEMEN ARAB REPUBLIC 1.88 0.89
1 243 ZAIRE 0.00 0.00
1 260 ZAMBIA 0.00 0.00
1 263 ZIMBABWE 0.00 0.00
1 690 TOKELAU 0.00 0.00
1 379 VATICAN CITY 0.00 0.00
1 381 YUGOSLOVIA 0.00 0.00
A-9
INDEPENDENT DISTRIBUTOR AGREEMENT
THIS INDEPENDENT DISTRIBUTOR AGREEMENT (this "Agreement") is made and
entered into us of the 26th day of September, 1997 (the "Effective Date"), by
and between PREMIERE COMMUNICATIONS, INC., a Florida corporation ("Premiere"),
and DIGITEC 2000, INC., a Nevada corporation ("Distributor").
WITNESSETH:
WHEREAS, Distributor desires to act as a distributor to market and sell
prepaid telephone cards with a retail value of Seventy-Five Million Dollars
($75,000,000.00) (the "Cards") to individuals and business customers
(hereinafter referred to collectively as "Customers" and individually as a
"Customer") so that such Customers may access the services listed on Exhibit A
attached hereto (the "Services"); and
WHEREAS, the Cards will be marketed under the names "F/X Mexico" (the "F/X
Card") and "DigiTEC Direct" (the "DigiTEC Card"), for the prices set forth on
Exhibit A attached hereto, and under such other names as designated by
Distributor;
NOW, THEREFORE, in consideration of the mutual covenants and promises
contained herein and intending to be legally bound by this Agreement, Premiere
and Distributor agree as follows:
1. RELATIONSHIP
a. Premiere appoints Distributor, and Distributor accepts such
appointment, as its non-exclusive distributor for the sale to
Customers of the Cards.
b. This Agreement does not create an employment agreement, joint
venture or partnership between the parties hereto, and neither party
has any right nor any authority to act on behalf of the other beyond
that expressly granted herein. Distributor shall conduct its
business at its own initiative, responsibility and expense.
c. During the term of this Agreement and thereafter, Premiere reserves
the right, without obligation or liability to Distributor for
payment of compensation or otherwise, to market the Services,
whether through its
own representatives, through other independent representative(s) or
otherwise.
2. TERM
a. This Agreement shall become effective as of the Effective Date and
shall continue in effect until the later of (i) six (6) months after
the date the last batch of Cards is activated and (ii) one (1) year
after the Effective Date.
b. Either party may terminate this Agreement (i) if the other party
becomes insolvent, makes an assignment for the benefit of creditors
or files a petition for reorganization under bankruptcy law; (ii) if
a petition in bankruptcy is filed by or against the other party and
not dismissed within sixty (60) days thereafter; or (iii) if the
other party is in breach of a material term or provision of this
Agreement and such material breach or default is not cured within
thirty (30) days after the other party receives notice of such
breach or default.
3. COMMISSIONS. Premiere shall pay Distributor commissions ("Commissions")
equal to thirty-eight and one-half percent (38.5%) of the retail value of
each F/X Card sold by Distributor and forty-one and three-quarters percent
(41.75%) of the retail value of each DigiTEC Card sold by Distributor, and
commissions on other Cards as mutually agreed to by Premiere and
Distributor. Commissions for the sale of Cards shall be paid to
Distributor at the time Distributor remits to Premiere an amount equal to
the retail value of such Cards, less the commissions on such Cards, and
the Commissions shall be paid to Distributor by Distributor retaining such
Commissions. Payments for the Cards shall be made pursuant to Exhibit B
attached hereto. Premiere may offset against Distributor's Commissions any
amounts that Distributor may owe to Premiere under this Agreement or any
other agreement. Starting January 1, 1998, Distributor agrees to sell
Cards with a retail value of at least Four Million Dollars ($4,000,000)
each month. In the event that Distributor has not sold all of the Cards by
August 31, 1998, then DigiTEC shall promptly pay to Premiere an amount
equal to the retail value of the unsold Cards less the Commissions that
would have been payable on such Cards.
4. DISTRIBUTOR'S RESPONSIBILITIES. Distributor agrees to:
a. Market the Cards, negotiate sales in accordance with the prices set
forth on Exhibit A attached hereto, and purchase and deliver the
Cards.
2
b. Provide customer service to Customers.
c. Maintain documents and records ("Records") relating to the sales of
Cards to Customers for a period of not less than twelve (12) months
or such other longer period as may be required by applicable law,
rule or regulation, and produce such documents, with the exception
of customer lists, within a reasonable period of time upon request
of Premiere.
d. Deliver to Premiere exemption certificates with respect to
applicable state sales and use taxes and federal excise and
communications taxes on the sale of the Cards.
e. Cooperate in the collection, compilation and maintenance of data
required to be reported by Premiere or its shareholders pursuant to
any federal regulation order.
5. PREMIERE'S RESPONSIBILITIES. Premiere agrees:
a. To provide two (2) 800 numbers to Distributor, one in English and
one in Spanish, for Customers to access the Services.
b. That the Services shall be available to Customers twenty-four (24)
hours a day, seven days a week.
Distributor understands that the availability of service depends solely
upon third party providers, and Premiere neither warrants nor is
responsible for the performance or acts of those third party service
providers. Service providers frequently add, delete, change and
reconfigure or re-tariff their products or services, and Premiere cannot
warrant their performance or the continued provision of third party
provided services.
6. USE OF NAMES. Distributor shall provide to Premiere for its prior review
and written approval, all promotions, advertising or other materials using
or displaying the name of Premiere.
7. CONFIDENTIAL INFORMATION
a. The parties understand and agree that the terms and conditions of
this Agreement, all documents referenced herein, communications
between the parties regarding this Agreement or the Services
described herein
3
(including price quotes for any Services provided to Customers), and
Customer and account information (collectively "Confidential
Information"), are confidential as between Distributor and Premiere.
b. A party shall not disclose Confidential Information unless subject
to discovery or disclosure pursuant to a law, rule, regulation or
legal process, or to any other party other than the directors,
officers and employees of a party or distributors of a party
including their respective investment bankers, lenders, lawyers,
accountants, insurance carriers or prospective purchasers who have
agreed not to disclose such Confidential Information. Violation by a
party or its distributors of the foregoing provisions shall entitle
the non-disclosing party, at its option, to obtain injunctive relief
without a showing of irreparable harm or injury and without bond.
c. The parties further agree that any press release, advertisement or
publication generated by a party regarding this Agreement, Cards or
the Services or in which a party desires to mention the name of the
other party or the other party's parent or affiliated company(ies),
will be submitted to the non-publishing party for its written
approval prior to publication.
d. The provisions of this Section 7 shall be effective as of the
Effective Date and shall remain in full force and effect during the
period of this Agreement and for a period of one (1) year after
termination of this Agreement.
e. After the expiration of this Agreement or the termination of this
Agreement by either party for any reason, upon request of a party,
the other party shall return to the requesting party any physical or
written records containing Confidential Information of the
requesting party then in its possession.
8. INDEMNIFICATION
a. Distributor agrees to indemnify and hold Premiere harmless from any
and all claims, actions, damages, expenses and other liabilities,
including reasonable attorneys' fees and costs of litigation,
resulting from Distributor's acts, omissions or misrepresentations
in violation of this Agreement.
b. Premiere agrees to indemnify and hold Distributor harmless from any
and all claims, actions, damages, expenses and other liabilities,
including reasonable attorneys' fees and the costs of litigation,
resulting from
4
Premiere's acts, omissions or misrepresentations in violation of
this Agreement.
9. LIMITED LIABILITY. IN NO EVENT WILL A PARTY'S PERFORMANCE OF FAILURE TO
PERFORM ITS OBLIGATIONS HEREUNDER RESULT IN SUCH PARTY'S LIABILITY TO THE
OTHER PARTY OR ANY THIRD PARTY FOR ANY INDIRECT, SPECIAL, INCIDENTAL,
PUNITIVE OR CONSEQUENTIAL LOSSES OR DAMAGES, INCLUDING WITHOUT LIMITATION,
LOSS OF REVENUE, LOSS OF CUSTOMERS OR CLIENTS, LOSS OF GOODWILL OR LOSS OF
BASED ON ANY THEORY OR TORT, BREACH OF CONTRACT OR STATUTE OF WHETHER AT
LAW OR IN EQUITY.
10. Termination. Either party may terminate this Agreement if the other party
is in breach or default of a material term or provision of this Agreement
and such material breach or default is not cured within ten (10) days
after the other party receives notice of such breach or default.
11. GENERAL PROVISIONS
a. Assignment. Distributor may not assign this Agreement in whole or in
part without the prior written consent of Premiere, which may be
given or withheld in the sole discretion of Premiere; provided, that
Distributor may enter into agreements to market and sell the Cards.
b. Amendment. This Agreement can be modified only by a written
amendment signed Distributor and Premiere and shall not be modified
or supplemented by any course of dealing or trade usage.
c. Force Majeure. Neither party shall be held liable for any delay or
failure in performance of any part of this Agreement because of
circumstances beyond its control such as acts of God, acts of civil
or military authorities, cable cuts, embargoes, epidemics, war,
terrorist acts, riots, insurrections, fire, explosions, earthquakes,
nuclear accidents, floods, or other major environmental
disturbances, power blackouts, strikes, or from any other cause of
whatsoever kind arising without its actual fault.
d. Choice of Law; Forum Selection. This Agreement is governed by the
laws of the State of Georgia without regard to choice of law
principles. Any legal action or proceeding with respect to this
Agreement may only
5
be brought in the Courts of the State of Georgia in and for the
County of Fulton or the United States of America in the Northern
District of Georgia.
e. Agency Orders. All obligations under this Agreement shall be subject
to legislation and to valid and applicable government agency orders,
regulations, tariff provisions, and decisions and orders of courts
of competent jurisdiction.
f. Severability. Both parties agree that it is not the intention of
either party to violate public policy, state or federal statutory or
common laws, and that if any sentence, paragraph, clause or
combination thereof in this Agreement is in violation of the same,
such paragraph, clause or sentence, or combination of the same shall
be inoperative, and the remainder of this Agreement shall remain
binding upon the parties hereto.
g. Authority. Each party represents and warrants that it has the
requisite corporate power and authority to enter into this Agreement
and undertake its obligations hereunder, and that this Agreement has
been executed and delivered by its duly authorized officer, and is
the binding obligation of such party enforceable in accordance with
its terms.
h. Notice. All notices, requests, or other communications under this
Agreement shall be in writing and shall be deemed to have been duly
given when delivered in person or deposited in the United States
Mail, certified or registered, return receipt requested, or
nationally recognized overnight mail service, addressed as follows:
To Premiere: Premiere Communications, Inc.
3399 Peachtree Road, N.E.
The Lenox Bldg., Suite 400
Atlanta, GA 30326
Attention: Patrick G. Jones
To Distributor: DigiTEC 2000, Inc.
8 West 38th Street
5th Floor
New York, NY 10018
Attention: Frank C. Magliato
i. Entire Agreement. This Agreement, including Exhibits A and B
attached hereto, constitutes the complete statement of the
understandings between The parties regarding the subject matter
hereof and supersedes all proposals and prior agreements (oral or
written) between the parties relating thereto.
6
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of
the date first set forth above.
PREMIERE COMMUNICATIONS, INC. DIGITEC 2000, INC.
By /s/ Patrick Jones By /s/ Frank Magliato
---------------------------- ----------------------------
Title: Sr. V.P. Title: Pres.
------------------------- -------------------------
7
The Services consist of domestic and international long distance to the
countries set forth on pages A-2 through A-9. The prices for the FX Card are set
forth on pages A-2 through A-5, and the prices for the DigiTEC Card are set
forth on pages A-6 through A-9. All prices are based on whole minute billing.
EXHIBIT A
PLAN COUNTRYCOD COUNTRY BASE1STMIN BASEMIN
2 930 AFGHANISTAN 0.00 0.00
2 355 ALBANIA 0.89 0.99
2 213 ALGERIA 0.99 0.99
2 684 AMERICAN SAMOA 1.09 0.99
2 336 ANDORRA 0.49 0.99
2 244 ANGOLA 1.29 0.99
2 809497 ANGUILLA 0.59 0.99
2 672 ANTARCTICA/NORFOLK/CHRISTMS IS 0.00 0.00
2 268 ANTIGUA 0.57 0.99
2 54 ARGENTINA 0.79 0.99
2 374 ARMENIA 0.00 0.00
2 297 ARUBA 0.79 0.99
2 247 ASCENSION ISLAND 1.69 0.99
2 61 AUSTRALIA 0.39 0.99
2 43 AUSTRIA 0.55 0.99
2 994 AZERBAIJAN 1.29 0.99
2 242 BAHAMAS 0.39 0.99
2 973 BAHRAIN 0.99 0.99
2 880 BANGLADESH 1.55 0.99
2 246 BARBADOS 0.69 0.99
2 375 BELARUS 1.29 0.99
2 32 BELGIUM 0.29 0.99
2 501 BELIZE 0.99 0.99
2 229 BENIN 1.50 0.99
2 441 BERMUDA 0.49 0.99
2 975 BHUTAN 1.89 0.99
2 591 BOLIVIA 0.99 0.99
2 387 BOSNIA/HERZEGOVINA 0.85 0.99
2 267 BOTSWANA 1.39 0.99
2 55 BRAZIL 0.79 0.99
2 809494 BRITISH VIRGIN ISLANDS 0.69 0.99
2 673 BRUNEI 1.49 0.99
2 359 BULGARIA 0.89 0.99
2 226 BURKINA FASO 1.89 0.99
2 257 BURUNDI 3.29 0.99
2 855 CAMBODIA 2.07 0.99
2 237 CAMEROON 1.43 0.99
2 204 CANADA 0.29 0.99
2 238 CAPE VERDE ISLANDS 1.32 0.99
2 809555 CARRIBEAN DIRECTORY ASSISTANCE 0.00 0.00
2 345 CAYMAN ISLANDS 0.59 0.99
2 236 CENTRAL AFRICAN REPUBLIC 3.58 0.99
2 235 CHAD REPUBLIC 3.29 0.99
2 56 CHILE 0.69 0.99
2 86 CHINA 0.99 0.99
2 57 COLOMBIA 0.65 0.99
2 269 COMOROS 0.00 0.00
2 242 CONGO 0.00 0.00
2 682 COOK ISLAND 0.00 0.00
2 506 COSTA RICA 0.79 0.99
2 385 CROATIA 0.89 0.99
2 53 CUBA 0.85 0.99
2 357 CYPRUS 0.99 0.99
2 42 CZECH/SLOVAKIA 0.59 0.99
2 45 DENMARK 0.29 0.99
2 246 DIEGO GARCIA 1.69 0.99
2 253 DJIBOUTI 1.89 0.99
2 767 DOMINICA 0.59 0.99
A-2
2 809208 DOMINICAN REPUBLIC 0.45 0.99
2 593 ECUADOR 0.69 0.99
2 20 EGYPT 0.95 0.99
2 503 EL SALVADOR 0.69 0.99
2 240 EQUATORIAL GUINEA 3.25 0.99
2 291 ERITREA 2.49 0.99
2 372 ESTONIA 0.79 0.99
2 251 ETHIOPIA 1.73 0.99
2 298 FAEROE ISLANDS 0.85 0.99
2 500 FALKLAND ISLANDS 2.94 0.99
2 679 FIJI ISLANDS 1.99 0.99
2 358 FINLAND 0.49 0.99
2 33 FRANCE 0.39 0.99
2 596 FRENCH ANTILLES 1.19 0.99
2 594 FRENCH GUIANA 0.00 0.00
2 689 FRENCH POLYNESIA 0.00 0.00
2 241 GABON REPUBLIC 0.00 0.00
2 220 GAMBIA 1.31 0.99
2 995 GEORGIA 1.17 0.99
2 49 GERMANY 0.29 0.99
2 233 GHANA 0.89 0.99
2 350 GIBRALTAR 1.47 0.99
2 30 GREECE 0.79 0.99
2 299 GREENLAND 0.83 0.99
2 809407 GRENADA 0.69 0.99
2 590 GUADALOUPE 0.89 0.99
2 671 GUAM 0.29 0.99
2 5399 GUANTANAMO BAY 0.00 0.00
2 502 GUATEMALA 0.69 0.99
2 224 GUINEA, PEOPLES REPUBLIC OF 2.19 0.99
2 245 GUINEA-BISSAU 1.99 0.99
2 592 GUYANA 1.29 0.99
2 509 HAITI 0.69 0.99
2 504 HONDURAS 0.89 0.99
2 852 HONG KONG 0.39 0.99
2 36 HUNGARY 0.59 0.99
2 354 ICELAND 0.79 0.99
2 91 INDIA 0.85 0.99
2 62 INDONESIA 0.99 0.99
2 871 INMARSAT-ALL REGIONS 0.00 0.00
2 98 IRAN 1.29 0.99
2 964 IRAQ 1.49 0.99
2 353 IRELAND 0.59 0.99
2 972 ISRAEL 0.85 0.99
2 39 ITALY 0.49 0.99
2 225 IVORY COAST 1.39 0.99
2 809202 JAMAICA 0.69 0.99
2 81 JAPAN 0.39 0.99
2 962 JORDAN 0.89 0.99
2 254 KENYA 1.12 0.99
2 686 KIRIBATI 1.39 0.99
2 650 KOREA, NORTH 2.99 0.99
2 82 KOREA, REPUBLIC OF (SOUTH) 0.49 0.99
2 965 KUWAIT 0.99 0.99
2 856 LAOS 1.59 0.99
2 371 LATVIA 0.89 0.99
2 961 LEBANON 1.39 0.99
2 266 LESOTHO 1.55 0.99
2 231 LIBERIA 0.79 0.99
2 218 LIBYA 0.99 0.99
A-3
2 370 LITHUANIA 0.69 0.99
2 352 LUXEMBOURG 0.49 0.99
2 853 MACAU 1.13 0.99
2 389 MACEDONIA 1.45 0.99
2 261 MADAGASCAR 3.27 0.99
2 265 MALAWI 1.21 0.99
2 60 MALAYSIA 0.79 0.99
2 960 MALDIVES, REPUBLIC OF 2.99 0.99
2 223 MALI REPUBLIC 2.39 0.99
2 356 MALTA 0.89 0.99
2 692 MARSHALL ISLANDS 1.65 0.99
2 222 MAURITANIA 2.18 0.99
2 230 MAURITIUS 2.31 0.99
2 2696 MAYOTTE IS 1 79 0.99
2 52161 MEXICO-ZONE 1 0.17 0.99
2 52862 MEXICO-ZONE 2 0.24 0.99
2 52632 MEXICO-ZONE 3 0.34 0.99
2 52140 MEXICO-ZONE 4 0.39 0.99
2 52123 MEXICO-ZONE 5 0.39 0.99
2 52120 MEXICO-ZONE 6 0.39 0.99
2 5210 MEXICO-ZONE 7 0.39 0.99
2 52232 MEXICO-ZONE 8 0.39 0.99
2 691 MICRONESIA 1.87 0.99
2 373 MOLDOVA 1.62 0.99
2 3393 MONACO 0.00 0.00
2 976 MONGOLIA 2.72 0.99
2 664 MONTSERRAT 0.59 0.99
2 212 MOROCCO 0.89 0.99
2 258 MOZAMBIQUE 1.60 0.99
2 95 MYANAMAR/BURMA 0.00 0.00
2 264 NAMIBIA 1.40 0.99
2 674 NAURU 1.60 0.99
2 977 NEPAL 1.98 0.99
2 31 NETHERLANDS 0.35 0.99
2 599 NETHERLANDS ANTILLES 0.44 0.99
2 809469 NEVIS 0.59 0.99
2 687 NEW CALEDONIA 1.51 0.99
2 64 NEW ZEALAND 0.39 0.99
2 505 NICARAGUA 0.89 0.99
2 227 NIGER REPUBLIC 1.89 0.99
2 234 NIGERIA 0.79 0.99
2 683 NIUB ISLAND 1.89 0.99
2 47 NORWAY 0.49 0.99
2 968 OMAN 2.05 0.99
2 92 PAKISTAN 1.19 0.99
2 680 PALAU REPUBLIC 2.70 0.99
2 507 PANAMA 0.89 0.99
2 675 PAPUA NEW GUINEA 1.15 0.99
2 595 PARAGUAY 0.99 0.99
2 51 PERU 0.89 0.99
2 63 PHILIPPINES 0.89 0.99
2 48 POLAND 0.69 0.99
2 351 PORTUGAL 0.69 0.99
2 787 PUERTO RICO 0.25 0.99
2 974 QATAR 1.35 0.99
2 262 REUNION ISLAND 2.62 0.99
2 40 ROMANIA 0.89 0.99
2 7 RUSSIA 0.79 0.99
2 250 RWANDA 2.28 0.99
2 290 SAINT HELENA 2.92 0.99
A-4
2 809465 SAINT KITTS 0.69 0.99
2 758 SAINT LUCIA 0.69 0.99
2 508 SAINT PIERRE/MIQUELON 0.69 0.99
2 809456 SAINT VINCENT 0.69 0.99
2 670 SAIPAN 0.69 0.99
2 378 SAN MARINO 0.89 0.99
2 239 SAO TOME 1.39 0.99
2 966 SAUDI ARABIA 0.99 0.99
2 221 SENEGAL REPUBLIC 1.69 0.99
2 248 SEYCHELLES ISLANDS 2.31 0.99
2 232 SIERRA LEONE 1.83 0.99
2 65 SINGAPORE 0.39 0.99
2 386 SLOVENIA 0.98 0.99
2 677 SOLOMON ISLANDS 1.49 0.99
2 252 SOMALIA 0.00 0.00
2 27 SOUTH AFRICA 0.69 0.99
2 34 SPAIN 0.59 0.99
2 94 SRI LANKA 1.29 0.99
2 249 SUDAN 1.99 0.99
2 597 SURINAME 1.39 0.99
2 268 SWAZILAND 1.39 0.99
2 46 SWEDEN 0.39 0.99
2 41 SWITZERLAND 0.39 0.99
2 963 SYRIA 1.89 0.99
2 886 TAIWAN 0.49 0.99
2 255 TANZANIA 1.69 0.99
2 66 THAILAND 0.99 0.99
2 228 TOGO, REPUBLIC OF 1.75 0.99
2 676 TONGA ISLANDS 2.02 0.99
2 809619 TRINIDAD & TOBAGO 0.69 0.99
2 216 TUNISIA 1.19 0.99
2 90 TURKEY 0.69 0.99
2 809941 TURKS/CAICOS ISLANDS 0.59 0.99
2 688 TUVALU 2.09 0.99
2 256 UGANDA 1.47 0.99
2 380 UKRAINE 0.99 0.99
2 971 UNITED ARAB EMIRATES 0.79 0.99
2 44 UNITED KINGDOM 0.39 0.99
2 598 URUGUAY 0.89 0.99
2 678 VANUATU 1.58 0.99
2 58 VENEZUELA 0.49 0.99
2 84 VIETNAM 1.49 0.99
2 809513 VIRGIN ISLANDS 0.00 0.00
2 681 WALLIS AND FUTINA 0.29 0.99
2 685 WESTERN SAMOA 1.76 0.99
2 967 YEMEN ARAB REPUBLIC 0.89 0.99
2 243 ZAIRE 1.49 0.99
2 260 ZAMBIA 0.00 0.00
2 263 ZIMBABWE 0.00 0.00
2 690 TOKELAU 0.00 0.00
2 379 VATICAN CITY 0.00 0.00
2 381 YUGOSLOVIA 0.89 0.99
A-5
PLAN COUNTRYCOD COUNTRY BASE1STMIN BASEMIN
1 930 AFGHANISTAN 0.00 0.00
1 355 ALBANIA 0.00 0.00
1 213 ALGERIA 0.00 0.00
1 684 AMERICAN SAMOA 0.00 0.00
1 336 ANDORRA 0.00 0.00
1 244 ANGOLA 0.00 0.00
1 809497 ANGUILLA 1.58 0.59
1 672 ANTARCTICA/NORFOLK/CHRISTMS IS 0.00 0.00
1 268 ANTIGUA 1.56 0.57
1 54 ARGENTINA 1.58 0.59
1 374 ARMENIA 0.00 0.00
1 297 ARUBA 1.98 0.99
1 247 ASCENSION ISLAND 0.00 0.00
1 61 AUSTRALIA 1.28 0.29
1 43 AUSTRIA 1.54 0.55
1 994 AZERBAIJAN 0.00 0.00
1 242 BAHAMAS 1.28 0.29
1 973 BAHRAIN 0.00 0.00
1 880 BANGLADESH 0.00 0.00
1 246 BARBADOS 1.58 0.59
1 375 BELARUS 0.00 0.00
1 32 BELGIUM 1.28 0.29
1 501 BELIZE 1.98 0.99
1 229 BENIN 0.00 0.00
1 441 BERMUDA 0.00 0.00
1 975 BHUTAN 0.00 0.00
1 591 BOLIVIA 1.78 0.79
1 387 BOSNIA/HERZEGOVINA 0.00 0.00
1 267 BOTSWANA 0.00 0.00
1 55 BRAZIL 1.58 0.59
1 809494 BRITISH VIRGIN ISLANDS 1.58 0.59
1 673 BRUNEI 0.00 0.00
1 359 BULGARIA 0.00 0.00
1 226 BURKINA FASO 0.00 0.00
1 257 BURUNDI 0.00 0.00
1 855 CAMBODIA 0.00 0.00
1 237 CAMEROON 0.00 0.00
1 204 CANADA 0.46 0.18
1 238 CAPE VERDE ISLANDS 2.31 1.32
1 809555 CARRIBEAN DIRECTORY ASSISTANCE 0.00 0.00
1 345 CAYMAN ISLANDS 0.00 0.00
1 236 CENTRAL AFRICAN REPUBLIC 4.57 3.58
1 235 CHAD REPUBLIC 0.00 0.00
1 56 CHILE 1.58 0.59
1 86 CHINA 1.88 0.89
1 57 COLOMBIA 1.44 0.45
1 269 COMOROS 0.00 0.00
1 242 CONGO 0.00 0.00
1 682 COOK ISLAND 0.00 0.00
1 506 COSTA RICA 1.68 0.69
1 385 CROATIA 0.00 0.00
1 53 CUBA 1.48 0.49
1 357 CYPRUS 0.00 0.00
1 42 CZECH/SLOVAKIA 0.00 0.00
1 45 DENMARK 1.28 0.29
1 246 DIEGO GARCIA 0.00 0.00
1 253 DJIBOUTI 0.00 0.00
1 767 DOMINICA 1.58 0.59
A-6
1 809208 DOMINICAN REPUBLIC 1.26 0.27
1 93 ECUADOR 1.58 0.59
1 20 EGYPT 1.94 0.95
1 503 EL SALVADOR 1.58 0.59
1 240 EQUATORIAL GUINEA 0.00 0.00
1 291 ERITREA 0.00 0.00
1 372 ESTONIA 0.00 0.00
1 251 ETHIOPIA 0.00 0.00
1 298 FAEROE ISLANDS 0.00 0.00
1 500 FALKLAND ISLANDS 0.00 0.00
1 679 FIJI ISLANDS 0.00 0.00
1 358 FINLAND 0.00 0.00
1 33 FRANCE 1.28 0.29
1 596 FRENCH ANTILLES 0.00 0.00
1 594 FRENCH GUIANA 0.00 0.00
1 689 FRENCH POLYNESIA 0.00 0.00
1 241 GABON REPUBLIC 0.00 0.00
1 220 GAMBIA 2.08 1.09
1 995 GEORGIA 0.00 0.00
1 49 GERMANY 1.28 0.29
1 233 GHANA 1.88 0.89
1 350 GIBRALTAR 0.00 0.00
1 30 GREECE 1.68 0.69
1 299 GREENLAND 0.00 0.00
1 809407 GRENADA 1.68 0.69
1 590 GUADALOUPE 1.88 0.89
1 671 GUAM 0.00 0.00
1 5399 GUANTANAMO BAY 0.00 0.00
1 502 GUATEMALA 1.58 0.59
1 224 GUINEA, PEOPLES REPUBLIC OF 0.00 0.00
1 245 GUINEA-BISSAU 0.00 0.00
1 592 GUYANA 2.28 1.29
1 509 HAITI 1.48 0.49
1 504 HONDURAS 1.78 0.79
1 852 HONG KONG 1.28 0.29
1 36 HUNGARY 1.58 0.59
1 354 ICELAND 0.00 0.00
1 91 INDIA 1.68 0.69
1 62 INDONESIA 1.98 0.99
1 871 INMARSAT-ALL REGIONS 0.00 0.00
1 98 IRAN 0.00 0.00
1 964 IRAQ 0.00 0.00
1 353 IRELAND 1.38 0.39
1 972 ISRAEL 1.78 0.79
1 39 ITALY 1.38 0.39
1 225 IVORY COAST 2.38 1.39
1 809202 JAMAICA 1.44 0.45
1 81 JAPAN 1.28 0.29
1 962 JORDAN 1.88 0.89
1 254 KENYA 2.11 1.12
1 686 KIRIBATI 0.00 0.00
1 850 KOREA, NORTH 0.00 0.00
1 82 KOREA, REPUBLIC OF (SOUTH) 1.48 0.49
1 965 KUWAIT 1.98 0.99
1 856 LAOS 0.00 0.00
1 371 LATVIA 0.00 0.00
1 961 LEBANON 0.00 0.00
1 266 LESOTHO 0.00 0.00
1 231 LIBERIA 0.00 0.00
1 218 LIBYA 0.00 0.00
A-7
1 370 LITHUANIA 1.68 0.69
1 352 LUXEMBOURG 0.00 0.00
1 853 MACAU 0.00 0.00
1 389 MACEDONIA 0.00 0.00
1 261 MADAGASCAR 0.00 0.00
1 265 MALAWI 0.00 0.00
1 60 MALAYSIA 1.78 0.79
1 960 MALDIVES, REPUBLIC OF 0.00 0.00
1 223 MALI REPUBLIC 0.00 0.00
1 356 MALTA 0.00 0.00
1 692 MARSHALL ISLANDS 0.00 0.00
1 222 MAURITANIA 0.00 0.00
1 230 MAURITIUS 0.00 0.00
1 2696 MAYOTTE IS 0.00 0.00
1 52161 MEXICO-ZONE 1 1.44 0.45
1 52862 MEXICO-ZONE 2 1.44 0.45
1 52632 MEXICO-ZONE 3 1.44 0.45
1 52140 MEXICO-ZONE 4 1.44 0.45
1 52123 MEXICO-ZONE 5 1.44 0.45
1 52120 MEXICO-ZONE 6 1.44 0.45
1 5210 MEXICO-ZONE 7 1.44 0.45
1 52232 MEXICO-ZONE 8 1.44 0.45
1 691 MICRONESIA 0.00 0.00
1 373 MOLDOVA 0.00 0.00
1 3393 MONACO 0.00 0.00
1 976 MONGOLIA 0.00 0.00
1 664 MONTSERRAT 1.58 0.59
1 212 MOROCCO 1.88 0.89
1 258 MOZAMBIQUE 0.00 0.00
1 95 MYANAMAR/BURMA 0.00 0.00
1 264 NAMIBIA 0.00 0.00
1 674 NAURU 0.00 0.00
1 977 NEPAL 0.00 0.00
1 31 NETHERLANDS 1.34 0.35
1 599 NETHERLANDS ANTILLES 1.43 0.44
1 809469 NEVIS 1.58 0.59
1 687 NEW CALEDONIA 0.00 0.00
1 64 NEW ZEALAND 1.38 0.39
1 505 NICARAGUA 1.88 0.89
1 227 NIGER REPUBLIC 0.00 0.00
1 234 NIGERIA 1.68 0.69
1 683 NIUE ISLAND 0.00 0.00
1 47 NORWAY 1.38 0.39
1 968 OMAN 0.00 0.00
1 92 PAKISTAN 1.78 0.79
1 680 PALAU REPUBLIC 0.00 0.00
1 507 PANAMA 1.78 0.79
1 675 PAPUA NEW GUINEA 0.00 0.00
1 595 PARAGUAY 1.98 0.99
1 51 PERU 1.78 0.79
1 63 PHILIPPINES 1.58 0.59
1 48 POLAND 1.58 0.59
1 351 PORTUGAL 1.68 0.69
1 787 PUERTO RICO 0.46 0.18
1 974 QATAR 0.00 0.00
1 262 REUNION ISLAND 0.00 0.00
1 40 ROMANIA 1.88 0.89
1 7 RUSSIA 1.68 0.69
1 250 RWANDA 1.88 0.89
1 290 SAINT HELENA 0.00 0.00
A-8
1 809465 SAINT KITTS 0.00 0.00
1 758 SAINT LUCIA 1.58 0.59
1 508 SAINT PIERRE/MIQUELON 0.00 0.00
1 809456 SAINT VINCENT 1.58 0.59
1 670 SAIPAN 0.00 0.00
1 378 SAN MARINO 0.00 0.00
1 239 SAO TOME 0.00 0.00
1 966 SAUDI ARABIA 0.00 0.00
1 221 SENEGAL REPUBLIC 2.68 1.69
1 248 SEYCHELLES ISLANDS 0.00 0.00
1 232 SIERRA LEONE 0.00 0.00
1 65 SINGAPORE 1.28 0.29
1 386 SLOVENIA 0.00 0.00
1 677 SOLOMON ISLANDS 0.00 0.00
1 252 SOMALIA 0.00 0.00
1 27 SOUTH AFRICA 1.68 0.69
1 34 SPAIN 1.48 0.49
1 94 SRI LANKA 0.00 0.00
1 249 SUDAN 0.00 0.00
1 597 SURINAME 0.00 0.00
1 268 SWAZILAND 0.00 0.00
1 46 SWEDEN 1.28 0.29
1 41 SWITZERLAND 1.28 0.29
1 963 SYRIA 0.00 0.00
1 886 TAIWAN 1.38 0.39
1 255 TANZANIA 0.00 0.00
1 66 THAILAND 1.88 0.89
1 228 TOGO, REPUBLIC OF 0.00 0.00
1 676 TONGA ISLANDS 0.00 0.00
1 809619 TRINIDAD & TOBAGO 1.58 0.59
1 216 TUNISIA 0.00 0.00
1 90 TURKEY 1.68 0.69
1 809941 TURKS/CAICOS ISLANDS 0.00 0.00
1 688 TUVALU 0.00 0.00
1 256 UGANDA 0.00 0.00
1 380 UKRAINE 0.00 0.00
1 971 UNITED ARAB EMIRATES 1.78 0.79
1 44 UNITED KINGDOM 1.28 0.29
1 598 URUGUAY 1.88 0.89
1 678 VANUATU 0.00 0.00
1 58 VENEZUELA 1.38 0.39
1 84 VIETNAM 0.00 0.00
1 809513 VIRGIN ISLANDS 0.00 0.00
1 681 WALLIS AND FUTINA 0.00 0.00
1 685 WESTERN SAMOA 0.00 0.00
1 967 YEMEN ARAB REPUBLIC 1.88 0.89
1 243 ZAIRE 0.00 0.00
1 260 ZAMBIA 0.00 0.00
1 263 ZIMBABWE 0.00 0.00
1 690 TOKELAU 0.00 0.00
1 379 VATICAN CITY 0.00 0.00
1 381 YUGOSLOVIA 0.00 0.00
A-9
DigiTEC 2000, Inc.
Procedures Regarding Activations, Payments and Trouble Tickets
Set forth below are the procedures concerning activations, payments and
trouble tickets with respect to the Independent Distributor Agreement dated
September ___, 1997.
1. Activation requests received by Premiere by twelve noon on a
business day will be activated on the same day.
2. Activation requests received by Premiere between twelve noon and
5:30 p.m. on a business day will be activated by 8:30 a.m. the next
business day.
3. Payment for activated cards will be made as follows:
(a) 50% of the retail value of cards less applicable commissions
activated on day one will be due by wire transfer by 5:00 p.m.
on day five. For example, if cards with a retail value of
$50,000 with a commission of 38.5% are activated on a Monday,
$15,375 will be due by wire transfer by 5:00 p.m. on Friday.
If the fifth day falls on a weekend or holiday, the wire
transfer will be due the next business day.
(b) The 50% balance will be due on the tenth day after activation
by check, with the day of activation counted as day one. In
the above example, a $15,375 check would need to be received
by Premiere by the following Wednesday.
4. No cards will be activated unless all payments are current.
5. If a wire transfer is not received by day five or a check by day
ten, Premiere will notify DigiTEC and if the wire transfer or check,
as the case may be, is not received by the close of business on the
day following the date of notice, the cards related to such payment
will be deactivated.
(a) If a check is returned NSF, a wire transfer in the amount of
such check must be initiated by DigiTEC promptly after
notification by Premiere. If the wire transfer is not received
by Premiere by the close of business on the day following the
date of notification, the cards related to such check will be
deactivated.
6. Activation requests should be faxed to Mike Shanahan at (404)
231-3880. Mike's phone number is (404) 262-8518, and he will be the
primary contact person at Premiere. The other contact people at
Premiere are Liz Warfford (404/262-8529) and Julianne Vaio
(404/262-8435).
EXHIBIT B
1 of 2
7. Trouble tickets should be faxed to Meghan Harris at (404) 233-0976.
Her phone number is (404) 262-8416. All system inquiries should be
directed to Meghan also. If Meghan is not available, Jason Furst
(404/504-2155) should be contacted. If a problem cannot be resolved
through Meghan and/or Jason, you should call Sonya Smith
(404/262-8455) or Nici Rioux (404/262-8492). Attached is Premiere's
"After Hours Escalation Information," which contains phone numbers
to be used during non-business hours.
2 of 2
PROMISSORY NOTE
$6,000,000.00 September 25, 1997
DIGITEC 2000, INC., a Nevada corporation (hereinafter referred to as
"Debtor"), for value received, hereby promises to pay to the order of PREMIERE
COMMUNICATIONS, INC., a Florida corporation (hereinafter referred to as
"Payee"), the principal sum of SIX MILLION AND 00/100 DOLLARS ($6,000,000.00),
without interest, on December 31, 1997. Any principal of this Note not paid when
due shall bear interest after such due date until paid at the rate of fifteen
percent (15%) per annum, compounded monthly, and Debtor shall pay all costs of
collection. The principal hereof and the interest thereon are payable at 3399
Peachtree Road, Suite 400, Atlanta, GA 30326, or at such other place as Payee
may from time to time designate to Debtor in writing, in coin or currency of the
United States of America.
Prepayment. Debtor may, at any time and from time to time, prepay all or
any portion of the principal of this Note remaining unpaid, without penalty or
premium. Debtor shall prepay the principal of this Note by wire transfer in an
amount equal to 50% of the retail value of a Card on the third (3rd) day after
it is activated (with the day of activation counting as day one), and 50% of the
retail value of such Card by check on the seventh (7th) day after it is
activated. Debtor shall have the right to offset against such prepayment the
amount of any commissions due Debtor with respect to such Card pursuant to that
certain Independent Distributor Agreement of even date by and between Payee and
Debtor.
Events of Default. If any of the following events (an "Event of Default")
shall occur and be continuing for any reason whatsoever (and whether such
occurrence shall be voluntary or involuntary or come about or be effected by
operation of law or otherwise), then this Note shall thereupon be and become,
forthwith due and payable, without any further notice or demand of any kind
whatsoever, all of which are hereby expressly waived:
(a) If Debtor defaults in the payment of principal or interest on this
Note when and as the same shall become due and payable; or
(b) If Debtor makes an assignment for the benefit of creditors or admits
in writing its inability to pay its debts generally as they become due; or
(c) If an order, judgment or decree is entered adjudicating Debtor
bankrupt or insolvent; or
(d) If Debtor petitions or applies to any tribunal for the appointment of
a trustee or receiver of Debtor, or of any substantial part of the assets of
Debtor, or commences any proceedings relating to Debtor under any bankruptcy,
reorganization, arrangement, insolvency, readjustment of debt, dissolution or
liquidation law of any jurisdiction, whether now or hereafter in effect; or
(e) If any such petition or application is filed, or any such proceedings
are commenced, against Debtor, and Debtor by any act indicates its approval
thereof, consent thereto, or acquiescence therein, or an order is entered
appointing any such trustee or receiver, or approving the petition in any such
proceedings, and such order remains unstayed and in effect for more than ninety
(90) days.
Waiver. Any failure on the part of Payee at any time to require the
performance by Debtor of any of the terms or provisions hereof, even if known,
shall in no way affect the right thereafter to enforce the same, nor shall any
failure of Payee to insist on strict compliance with the terms and conditions
hereof be taken or held to be a waiver of any succeeding breach or of the right
of Payee to insist on strict compliance with the terms and conditions hereof.
Time. Time is of the essence.
Notices. All notices, requests, demands and other communications to Debtor
hereunder shall be in writing and shall be deemed to have been duly given and
delivered when delivered in person, when mailed postage prepaid by registered or
certified mail with return receipt requested, when delivered by overnight
delivery service, or when delivered by facsimile, to DigiTEC 2000, Inc., 8 West
38th Street, 5th Floor, New York, NY 10018 (fax no. (212)730-1247), or to such
other address or facsimile number as Debtor may designate to Payee as set forth
herein.
Applicable Law. This Note shall be governed by, and enforced and
interpreted in accordance with, the laws of the State of Georgia. Debtor hereby
submits to the jurisdiction of the courts of Georgia, both state and federal,
and waives any objection to venue with respect to actions brought in such
courts.
IN WITNESS WHEREOF, Debtor has executed this Note under seal as of the
date first set forth above.
DIGITEC 2000, INC.
By: /s/ Frank Magliato
---------------------------
Title: Frank Magliato
------------------------
(CORPORATE SEAL)