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Technology Stocks : BIFS ... Patented Environmental Cleanup and Low Float Co.

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To: scion who wrote (344)4/2/2001 10:39:33 PM
From: scion  Read Replies (1) of 381
 
ITEM 12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

The Company completes a thorough due diligence process in hiring its consultants
and key personnel. The following sets forth shares issued to such key personnel
as a result of the exercise of options.

Name                       # of Shares               Relationship               Date Acquired

Dr. Harold Campbell 3,000,000 Consultant 8/14/00

Paul Aubin 238,534 Manager, Beach Access 8/21/00
706,667 8/29/00
706,667 11/1/00

Kenneth Bourg 566,133 Manager of R&D 8/14/00
293,333 11/1/00

Certain family members of the Company's President own shares of the Company's
common stock as set forth below:

Alpha J. Keyser, President and CEO, is related to the following shareholders:

Name # of Shares Relationship Date Acquired

Victoria Keyser 272,000,000 Wife 1992 - 93

These shares are owned as "Tenants in the Entireties".

In management's opinion, although this is not an arms length transaction, a 30%
fee for all expenses related to marketing of the product has been and continues
to be in the Company's best interest and is competitive with similar services
provided by other companies. With this arrangement, the Company does not have
any fixed payroll, payroll tax, employee benefit, promotion, travel or other
similar expenses for the marketing of their products. These expenses are all
variable. In management's opinion, similar costs on a fixed basis during the
development of the market would have had a detrimental impact on the overall
cash flow of the Company. A marketing fee of 30% is a reasonable cost for these
services.

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