LEASE AGREEMENT
THIS LEASE AGREEMENT (the "Lease") made as of the 1st day of January, 1997,
by and between PRODUCTION REALTY, INC., a California corporation, and its
successors and assigns ("Landlord"), and PACIFIC/AIR BALANCE, INC., a California
corporation, and its successors and assigns ("Tenant").
WITNESSETH
THAT FOR AND IN CONSIDERATION of the mutual covenants and agreements herein
contained, and intending to be legally bound, the parties hereto do hereby
covenant and agree as follows:
1. Lease of Premises. Landlord hereby leases to Tenant and Tenant hereby leases
from Landlord that certain parcel of real property commonly known as 00000
Xxxxxxx Xxxxxx, Xxxxxxx, Xxxxxxxxxx, 00000, and generally described as an
approximately 51,000 square foot parcel of land with a 25,000 square foot
industrial building situated thereon (the "Building"), together with all
improvements thereon (the "Premises").
2. Term. This Lease shall commence on the date hereof (the "Commencement Date"),
and shall continue for twenty-four (24) months (the "Initial Term"), and may be
renewed for one additional lease term, of twenty-four (24) months duration at
the expiration of the Initial Term upon the terms and conditions contained
herein, upon Tenant providing thirty (30) days prior written notice of such
renewal to Landlord; and subject to further extension of such term as may
hereafter be otherwise agreed in writing between Landlord and Tenant. The
Initial Term and any annual renewal thereof may be referred to as the "Term".
Landlord and Tenant agree that this Lease shall not be recorded.
3. Rent
3.1 Payment of Rent. Tenant covenants and agrees to pay Landlord rent in an
amount equal to:
(a) Thirty-Eight Cents ($0.38) per square foot of the Building , in
advance, on or before the first day of each month during the Initial Term;
(b) Forty Cents ($0.40) per square foot of the Building , in advance,
on or before the first day of each month during the renewal of the Initial Term,
if any, of the term of this Lease; and
3.2 Past Due Rent. If Tenant shall fail to pay any Rent within twenty (20)
days of when the same is due and payable, such unpaid amounts shall bear
interest from the due date thereof to the date of payment at the annual rate of
interest of twelve percent (12%) per annum or such lesser rate which is the
maximum allowed by law (the "Default Rate"). It is not the intention of the
parties to contract for, pay or collect any interest in excess of the maximum
lawful rate. In the event any sum is paid by Tenant as interest in an amount
which would be in excess of such lawful rate, then such sum shall be deemed to
be a prepayment by Tenant of its immediately succeeding obligations under this
Lease and shall not be deemed to be interest.
4. Insurance. At all times during the term of this Lease, Tenant shall secure,
keep in force and pay for directly, at Tenant's sole expense, the following
insurance:
4.1 Real Property Insurance. Tenant shall, at its sole cost and
expense and at all times during the Term, provide and keep in full force and
effect fire and extended coverage insurance on the Premises with a replacement
cost endorsement (if available) in an amount equal to at least
eighty percent (80%) of the full replacement cost of the improvements on the
Premises, including without limitation all fixtures located on or in the
Premises. If the coverage is available and commercially appropriate, such policy
or policies shall insure against all risks (except the perils of flood) of
direct physical loss or damage including coverage for any additional costs
resulting from debris removal and reasonable amounts of coverage for the
endorsement of any ordinance or law regulating the reconstruction or replacement
of any undamaged sections of the Premises required to be demolished or removed
by reason of the enforcement of any building, zoning, safely or land use laws as
the result of a covered cause of loss.
4.2 Personal Property Insurance. Tenant shall, at Tenant's sole
expense, obtain and keep in force a policy of fire and extended coverage
insurance with respect to the Premises insuring Tenant against any and all
property damage or casualty loss or other hazards thereto, up to the fair market
value of the personal property of Tenant stored upon the Premises. Tenant is
solely responsible for the security of its personal property upon the Premises
and holds Landlord harmless for any loss thereof.
4.3 Liability Insurance. Tenant shall, obtain and keep in force during
the term of this Lease a policy of comprehensive public liability insurance in
the amount of not less than One Million Dollars ($1,000,000), insuring, Tenant
and, as additional insured, Landlord against any liability arising out of
Tenant's use, occupancy, or maintenance of the Premises and all areas
appurtenant thereto.
4.4 Workers' Compensation. Tenant shall, at Tenant's sole expense,
obtain and keep in force during the term of this Lease a policy of workers'
compensation covering any and all of its employees who may occupy or work upon
the Premises as required by the laws and regulations of the State of California.
4.5 Landlord's Approval. Each policy evidencing such insurance shall
(a) name Landlord and any other of its designees as additional insureds (except
with respect to Tenant's own personal property and workers' compensation), (b)
shall contain a provision by which the insured agrees that such policy shall not
be cancelled except after thirty (30) days' written notice to Landlord, and (c)
shall provide that coverage shall not be limited or denied by reason of the
provisions in this Lease, including those relating to limitations of liability
and waivers of subrogation and other rights. For all insurance policies procured
by Tenant, a certificate of such insurance shall be provided to Landlord upon
its written request. If Tenant shall fail to perform any of its obligations
under this Article 4, then in addition to any other remedies it may have,
Landlord may, but is not required to, perform the same, and the cost thereof,
together with interest thereon at the Default Rate, shall be deemed additional
rent and shall be payable upon Landlord's demand.
5. Utilities. At all times during the Term of this Lease, Tenant shall pay for
the cost of all utilities, including, but without limitation, water, gas, heat,
light, power, electricity, fuel, sewer charges, supplied to or consumed by
Tenant at the Premises together with any taxes thereon (collectively the
"Utilities"). If Tenant shall fail to perform any of its obligations under this
Article 5, then in addition to any remedies it may have, Landlord may, but is
not required to, perform the same, and the cost thereof, together with interest
thereon at the Default Rate, shall be deemed additional rent and shall be
payable upon Landlord's demand.
6. Taxes. Lessee shall pay the Real Property Taxes (which shall include any tax,
fee, levy, assessment or charge, or any increase therein imposed by reason of
events occurring, or changes in applicable law taking effect, during the term of
this Lease, including but not limited to a change in the ownership of the
Premises or in the improvements thereon) applicable to the Premises during the
term of this Lease. All such payments shall be made at least 10 days prior to
the delinquency date of the applicable installment. Lessee shall promptly
furnish Lessor with satisfactory evidence that such taxes have been paid.
7. Quiet Possession. Upon Tenant paying all of the obligations hereunder and
performing all of the covenants, conditions, and provisions on Tenant's part to
be observed and performed under this Lease, Tenant shall have quiet possession
of the Premises during the Term, subject to all the conditions, covenants and
provisions of this Lease. The Premises are leased subject to any and all
existing encumbrances, conditions, rights, covenants, easements, restrictions,
rights-of-way, and any matters of record, applicable zoning and building laws,
restrictions on use and such matters as may be disclosed by inspection or
survey.
8. Improvements and Alterations
8.1 Improvements by Tenant. Tenant shall not make any substantial
alterations, renovations or improvements or cause to be installed any fixtures
costing in excess of $10,000 in, on, or to the Premises or any part thereof
(including, without limitation, any structural alterations, or any cutting or
drilling into any part of the Premises or any securing of any fixture, apparatus
or equipment of any kind to any part of the Premises) unless and until Tenant
shall have caused plans and specifications therefor to have been prepared, at
Tenant's expense, by an architect or other duly qualified person and shall have
obtained Landlord's written approval thereof. Tenant shall be responsible for
the cost of any tenant improvements. Upon any expiration or termination of this
Lease, Tenant shall remain responsible for all costs of any tenant improvements
and the completion thereof, as set forth in the plans and specifications
therefor and the portion of the costs of any tenant improvements that are unpaid
and outstanding shall be immediately due and payable by any Tenant.
8.2 Mechanic's Liens. Tenant shall keep the Premises free from any liens
arising out of any work or service performed or material furnished by or for
Tenant or any person or entity claiming through or under Tenant whether for any
tenant improvements or otherwise. Prior to Tenant's performance of any
construction or other work on or about the Premises, whether for tenant
improvements or otherwise, for which a lien could be filed against the Premises,
Tenant shall take all action which is legally permissible to cause all such
liens which then or at any time in the future may be filed or claimed, to be
finally waived by all contractors, subcontractors, materialmen and all others
performing or to perform any such work. Notwithstanding the foregoing, if any
mechanic's or other lien shall be filed against the Premises, purporting to be
for labor, services or material furnished or to be furnished at the request of
Tenant, then Tenant shall at its expense cause such lien to be discharged of
record by payment, bond or otherwise, within twenty (20) days after the filing
thereof. If Tenant shall fail to cause such lien to be discharged of record
within such twenty (20) day period, Landlord, in addition to any other remedies
it may have, may, but is not required to, cause such lien to be discharged by
payment, bond or otherwise, without investigation as to the validity thereof or
as to any offsets or defenses thereto, and Tenant shall, upon demand, promptly
reimburse Landlord for all amounts paid and costs incurred, including attorneys'
fees, in having such lien discharged of record together with interest at the
Default Rate.
8.3 Contractor's Insurance. Prior to engaging any contractor, Tenant shall
require any contractor performing work on the Premises at Tenant's request or on
Tenant's behalf to carry and maintain such insurance in such amounts of coverage
as Landlord may require from time to time, including contractor's liability
coverage and workers' compensation insurance and to name Landlord as an
additional insured upon the contractor's insurance policy for the terms and
purpose of the work upon the Premises.
9. Use of Premises. Tenant's use and occupancy of the Premises shall be for the
purpose of assembly, manufacture, warehousing, storing and shipping of its
products (the "Products"). Tenant shall not use or permit the Premises to be
used for any other purpose without the prior written consent of Landlord. The
storage of the Products shall be accomplished in a neat and orderly manner
creating proper aisles and not in a manner that will interfere with the
operation of any building systems. Tenant shall be responsible for and promises
to reimburse Landlord promptly upon demand for any increase in insurance
premiums assessed by Landlord's property and casualty
insurer due to Tenant's use, misuse or occupancy of the Premises.
9.1 Prohibited Uses. Tenant shall not do or permit anything to be done in
or about the Premises which will materially obstruct or interfere with the
rights of Landlord or its employees, or to use or allow the Premises to be used
for any improper, immoral, unlawful or objectionable purpose, nor shall Tenant
cause, maintain or permit any nuisance in, on or about the Premises. Tenant
shall not commit or allow to be committed any material waste in or upon the
Premises, reasonable wear and tear excepted. Tenant shall not cause or permit
any hazardous or toxic substance, material or waste including without limitation
any oil, pollutant, contaminant, hazardous waste, asbestos, or other hazardous
substance, as such term or similar terms are now defined, used or understood in
or under any federal, state, local or other governmental statute, rule,
regulation, ordinance or order which relates in any way to the protection of the
environment ("Environmental Laws") to be used, stored, released, dumped or
disposed of upon the Premises in violation of the Environmental Laws.
9.2 Compliance with Law. Tenant shall not use or permit the use of the
Premises in any way in conflict with any law or governmental rule or regulation.
Tenant shall, at Tenant's sole cost, promptly comply in all material respects
with all such laws and governmental rules and regulations and with the
requirements of any board of underwriters or other similar bodies now or
hereafter constituted relating to the condition, use or occupancy of the
Premises whether or not expressly ordered to do so by the applicable
governmental authority. The judgment of any court of competent jurisdiction or
the admission of Tenant in any action against Tenant that Tenant has violated in
a material manner any statute, regulation or rule, whether or not Landlord is a
party, shall be conclusive of the fact as between Landlord and Tenant.
10. Repairs and Maintenance. Landlord shall, at its own cost and expense and at
all times, repair and maintain the exterior walls and foundation of the
Premises. Tenant shall, at Tenant's own cost and expense and at all times, keep
the Premises neat, clean, and in a sanitary condition, including the neat and
orderly storage of the Products, and keep and use the Premises in accordance
with all applicable laws, ordinances, rules, regulations, and requirements of
governmental bodies and authorities. Except as set forth in the first sentence
of this Section 10, Tenant shall make such repairs as are necessary to maintain
the Premises in as good condition as the Premises now are, reasonable use and
wear excepted. If Tenant refuses or neglects its duties under this Section 10,
then, at the expiration of thirty (30) days' written demand to Tenant (or
without demand in the case of emergency) Landlord may, but is not required to,
make, perform or cause such repairs as it deems necessary and Tenant agrees to
reimburse Landlord promptly upon demand for the cost thereof, including interest
thereon at the Default Rate. If Landlord refuses or neglects its duties to make
repairs to the exterior walls and foundation of the Premises under this Section
10, then, at the expiration of thirty (30) days' written demand to Tenant (or
without demand in the case of emergency), Tenant may, but is not required to,
make, perform or cause such repairs as it deems necessary and Landlord agrees
that Tenant may offset any amounts expended by it in making such repairs against
any amounts due and payable hereunder for the Rent.
11. Hold Harmless. To the extent permitted by law, and except to the extent of
Landlord's acts or omissions for which Landlord is solely negligent, Tenant
shall indemnify and hold Landlord harmless from and against any and all claims
arising from, in connection with or related to (a) Tenant's use of the Premises,
(b) the conduct of Tenant's business, (c) any activity, work, or other things,
done, permitted, or suffered by Tenant in or about the Premises, (d) any act or
negligence of Tenant or any officer, agent, affiliate, employee, guest or
invitee of Tenant.
12. Entry by Landlord. At any and all reasonable times during regular business
hours, Landlord reserves and shall have the right to enter the Premises to
inspect the same a reasonable number of times, to submit the Premises to
prospective purchasers or tenants, to repair the Premises and any portion of the
building that Landlord may deem necessary or desirable, without abatement of
rent,
and may for that purpose erect scaffolding and other necessary structures where
reasonably required by the character of the work to be performed, using best
efforts to avoid blocking the entrance to the Premises and providing that the
business of Tenant shall not be interfered with unreasonably. Tenant hereby
waives any claim for damages or for any injury or inconvenience to or
interference with Tenant's business, and any loss of occupancy to quiet
enjoyment of the Premises. Landlord shall have the right to enter at any and all
times and to use any and all means which Landlord may deem proper to open any
doors or otherwise obtain access to the Premises in any actual or perceived
emergency, without liability to Tenant, and any entry to the Premises obtained
by Landlord by any of said means or otherwise shall not under any circumstances
be construed or deemed to be a forcible or unlawful entry into or a detainer of
the Premises or an eviction of Tenant from the Premises or any portion thereof.
13. Assignment and Subletting. Tenant shall not either voluntarily or by
operation of law assign, transfer, mortgage, pledge, hypothecate, or encumber
this Lease or any interest therein and shall not sublet the Premises or any part
thereof or any right or privilege appurtenant thereto or allow any person (the
employees, agents, servants, and invitees of Tenant excepted) to occupy or use
the Premises or any portion thereof. Any such assignment or subletting shall be
voidable by Landlord and may constitute a default under the terms of this Lease.
A consent by Landlord to one assignment, subletting, occupation, or use by any
other person shall not be deemed to be consent to any subsequent assignment,
subletting, occupation, or use by another person. A consent by Landlord to any
such assignment, subletting, occupation or use by any other person shall in no
way relieve Tenant of any liability under this Lease. It is understood and
agreed that Landlord may fully assign or encumber Landlord's interest in this
Lease as Landlord. Landlord may assign or encumber the Rent to any person,
partnership, corporation, or bank, and Tenant agrees when notified in writing by
the assignee of such assignment to make the rental payments to assignee under
the terms of said assignment.
14. Tenant's Default. The occurrence of any one or more of the following events
shall constitute an event of default and breach of this Lease by Tenant:
14.1 Failure to Pay Obligations. Tenant fails to make any payment of Base
Rent or any other payment required to be made by Tenant hereunder, as and when
due, where such failure shall continue for a period of five (5) business days
after written notice thereof by Landlord to Tenant.
14.2 Failure to Observe Other Covenants. Tenant fails to observe or perform
any of the covenants, conditions, or provisions of this Lease to be observed or
performed by Tenant, other than described in Section 12.1 herein, where such
failure shall continue for a period of twenty (20) days after written notice
thereof by Landlord to Tenant; provided, however, that if the nature of Tenant's
default is such that more than twenty (20) days are reasonably required for cure
of such condition, then Tenant shall not be deemed to be in default if Tenant
commences such cure within said twenty (20) days and thereafter diligently
prosecutes such cure to completion.
15. Remedies on Default. In the event of any default or breach of this Lease by
Tenant, Landlord may, at any time thereafter with or without notice or demand
and without limiting Landlord in the exercise of a right or remedy which
Landlord may have by reason of such default or breach, exercise any of the
following remedies:
15.1 Termination of Possession. Landlord may terminate immediately Tenant's
right to possession of the Premises by written notice to Tenant or any other
lawful means, terminate this Lease by written notice to Tenant, revoke Tenant's
right to any lease concessions and recover the value of any such concessions
made, re-enter and take possession of the Premises and Tenant shall immediately
surrender possession of the Premises to Landlord.
15.2 Removal of Personal Property. In the event of a retaking of
possession of the Premises
by Landlord, Tenant shall remove all personal property located thereon and, upon
failure to do so upon demand of Landlord, Landlord may remove and store the same
in any place selected by Landlord, including without limitation a public
warehouse, at the expense and risk of Tenant. If Tenant shall fail to pay the
cost of storing any such property after it has been stored for a period of
thirty (30) days of more, Landlord may sell any or all of such personal property
at a public or private sale or auction and shall apply the proceeds of such sale
first to the cost of such sale, secondly to the payment of the charges for
storage, if any, and thirdly to the payment of any other sums of money which may
be due from Tenant to Landlord under the terms of this Lease, and the balance,
if any, to Tenant.
15.3 Other Remedies. In addition to the foregoing, Landlord may pursue any
other remedy now or hereafter available to Landlord under the laws or judicial
decisions of the State of California. It is understood and agreed that
Landlord's remedies hereunder are cumulative, and the exercise of any right or
remedy shall not constitute a waiver, merger or extinguishment of any other
right or remedy.
16. Damage. In the event the Premises are rendered untenantable in whole or in
part by fire, the elements or other casualty during the term of this Lease,
Tenant shall immediately notify Landlord, specifically stating any repairs
needed to maintain the Tenant's manufacturing operation at the Premises.
Landlord may elect not to restore or rebuild the Premises and shall so notify
Tenant. In such an event, Tenant may, at its option (a) vacate the Premises and
this Lease shall terminate effective thirty (30) days after such notice is
delivered with an abatement of the Rent payable with respect to the time period,
or (b) occupy that portion of the Premises which remains tenable with an
abatement of the Rent in the amount equal to the rent for the untenable portion
of the Premises, or (c) Tenant may make such repair to the Premises as is
required and desirable to permit Tenant to use the Premises for the stated
purpose, and Tenant may offset such amount expended by it in making such repairs
against any amounts due hereunder for the Rent.
17. Eminent Domain. In the event of any taking or appropriation whatsoever,
Landlord shall be entitled to any and all awards, payments or settlements which
may be given, made or ordered and Tenant shall have no claim against the
condemning authority or Landlord for the value of any unexpired term of this
Lease, and Tenant hereby assigns to Landlord any and all claims to any award,
payments or settlement. Nothing contained herein shall be deemed to give
Landlord any interest in or to require Tenant to assign to Landlord any award
made to Tenant for the taking of personal property or fixtures belonging to
Tenant, for the interruption of or damage to Tenant's business, or for Tenant's
moving expenses.
18. Signs. Tenant may, at Tenant's sole expense, place an external sign on the
Premises, provided such sign has been approved in advance by Landlord, and
provided such sign does not violate any statute or regulation existing during
the term of this Lease. Tenant shall pay the costs of removal of such sign upon
termination of the Lease, and such sign shall remain the property of Tenant. At
any time during the term of this Lease, Landlord may place upon the Premises
"for lease", "for sale" or other signs.
19. Subordination. Tenant agrees that this Lease shall be subordinate to any
mortgage or deed of trust that is now or may hereafter be placed upon the
Premises and to any and all advances to be made thereunder, to the interest
thereon, and all renewals, replacements, and extensions thereof; provided, the
lender secured by and named in such mortgage or deed of trust shall agree in
writing to recognize this Lease of Tenant in the event of foreclosure, if Tenant
is not in default. Tenant agrees to take all actions and to execute and deliver
all certificates, instruments, documents and agreements, including, without
limitation, agreements of subordination, waiver and attornment, necessary or
proper to effect the foregoing.
20. Authority of Parties. Each of Tenant and Landlord represents and warrants
that it is a
corporation duly organized and in good standing and that the execution, delivery
and performance of this Lease has been duly authorized by all requisite
corporate action. Each individual executing this Lease on behalf of the
corporation that is a party hereto represents and warrants that he or she is
duly authorized to execute, deliver and perform this Lease for, in the name of
and on behalf of the respective party, in accordance with the bylaws of such
corporation, and that this Lease is legally binding upon and enforceable against
such entity in accordance with its terms. Upon request, each of Tenant and
Landlord agrees to provide a Certificate of Officer verifying the authority and
position of each signatory.
21. General Provisions. Landlord and Tenant agree to the following general
provisions:
21.1 Waiver. A waiver by Landlord of any term, covenant, or condition
herein contained shall not be deemed to be a future waiver of such term,
covenant, or condition, nor the waiver of any other term, covenant or condition
herein contained. The subsequent acceptance of any payment hereunder by Landlord
shall not be deemed to be a waiver of any preceding default by Tenant of any
term, covenant, or condition of this Lease.
21.2 Time. Time is of the essence of this Lease and each and all its
provisions in which performance is a factor.
21.3 Headings. The heading and section titles of this Lease are not a part
of this Lease and shall have no effect upon the construction or interpretation
of any part hereof.
21.4 Successors and Assigns. The covenants and conditions herein contained
subject to the provisions as to assignment, apply to and bind the heirs,
successors, executors, administrators, and permitted assigns of the parties
hereto.
21.5 Prior Agreements. This Lease contains all of the agreements of the
parties hereto with respect to any matter covered or mentioned in this Lease,
and no prior agreements or understandings pertaining to any such matters shall
be effective or binding upon any party. In case of conflict or ambiguity, the
terms of this Lease shall govern.
21.6 Inability to Perform. This Lease and the obligations of Tenant
hereunder shall not be affected or impaired because Landlord is unable to
fulfill any of Landlord's obligations hereunder or is delayed in doing so, if
such inability or delay is caused by reason of strike, labor troubles, or acts
of God so long as Landlord makes a good faith effort to fulfill its obligations
promptly after the cause of such inability or delay has abated.
21.7 Partial Invalidity. Any provisions of this Lease which shall prove to
be invalid, void, or illegal shall in no way affect, impair, or invalidate any
other provision hereof, and such other provisions shall remain in full force and
effect.
21.8 Cumulative Remedies. No remedy or election of Landlord hereunder shall
be deemed exclusive, but shall whenever possible be cumulative with all other
remedies at law or in equity.
21.9 Governing Law. This Lease shall be governed by and construed in
accordance with the laws of the State of California.
21.10 Real Estate Commission. No broker is due any finders' or brokers'
commissions with respect to this Lease or the payment of any rent hereunder.
21.11 Accord and Satisfaction. No payment by Tenant or receipt or
acceptance by Landlord of a lesser amount than the Rent or any other obligations
of Tenant under this Lease including the obligation to pay for any tenant
improvements, herein stipulated, shall be deemed to be other than
on account of the stipulated amount nor shall Landlord's acceptance of any check
or payment accompanied by and endorsement or statement be deemed to result in an
accord and satisfaction of Landlord's right to recover the balance of such Rent
or pursue any remedy provided in this Lease.
21.12 Subrogation Waiver. Landlord and Tenant each hereby release the other
and waive all rights of recovery against the other for loss or damage arising
out of the perils described in any policy of insurance in force at the time of
the loss to the extent permissible under such policies.
21.13 Notice. Any notices or other communications required or permitted
hereunder or otherwise in connection herewith shall be in writing and shall be
deemed to have been duly given when delivered in person or transmitted by
facsimile transmission or on receipt after dispatch by express, registered or
certified mail, postage prepaid, addressed, as follows:
If to Landlord:
Production Realty, Inc.
000 Xxxxx Xxx Xxxxxx
Xxxxxxxxx, XX 00000
Attention: Xxxxxxx X. Xxxx
If to Tenant:
Pacific/Air Balance, Inc.
000 Xxxxx Xxx Xxxxxx
Xxxxxxxxx, XX 00000
Attention: Xxxxxxx X. Xxxx
21.14 Survival. All agreements, covenants, warranties, representations and
indemnification contained herein or made in writing pursuant to the terms of
this Lease by or on behalf of Tenant shall be deemed material and shall survive
the expiration or sooner termination of this Lease.
DATED as of the date first set forth above.
LANDLORD:
PRODUCTION REALTY, INC.
By:/S/ XXXXXXX X. XXXX
Xxxxxxx X. Xxxx
TENANT:
PACIFIC/AIR BALANCE, INC.
By:/S/ XXXXXXX X. XXXXXXXX
Xxxxxxx X. XxXxxxxx,
Vice President & General Manager
