<SUBMISSION>
<ACCESSION-NUMBER>0000891554-00-500016
<TYPE>DEF 14A
<PUBLIC-DOCUMENT-COUNT>1
<PERIOD>20001012
<FILING-DATE>20000919
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>ADVANCED TECHNICAL PRODUCTS INC
<CIK>0000060911
<ASSIGNED-SIC>3460
<IRS-NUMBER>111581582
<STATE-OF-INCORPORATION>DE
<FISCAL-YEAR-END>1231
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>DEF 14A
<ACT>34
<FILE-NUMBER>001-15737
<FILM-NUMBER>724937
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>200 MANSELL COURT EAST
<STREET2>STE 505
<CITY>ROSWELL
<STATE>GA
<ZIP>30076
<PHONE>7709930291
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>200 MANSELL COURT EAST
<STREET2>STE 505
<CITY>ROSWELL
<STATE>GA
<ZIP>30076
</MAIL-ADDRESS>
<FORMER-COMPANY>
<FORMER-CONFORMED-NAME>LUNN INDUSTRIES INC /DE/
<DATE-CHANGED>19920703
</FORMER-COMPANY>
<FORMER-COMPANY>
<FORMER-CONFORMED-NAME>LUNN LAMINATES INC
<DATE-CHANGED>19780425
</FORMER-COMPANY>
</FILER>
<DOCUMENT>
<TYPE>DEF 14A
<SEQUENCE>1
<FILENAME>def14-a_70281.htm
<DESCRIPTION>DEFINITIVE PROXY STATEMENT
<TEXT>


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     <TITLE>DEF 14A</TITLE>
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<H1 ALIGN=CENTER><FONT SIZE=3>SCHEDULE 14A INFORMATION</FONT></H1>

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<H1 ALIGN=CENTER><FONT SIZE=3>Proxy Statement Pursuant to Section 14(a) of the<BR>Securities Exchange Act of 1934  </FONT></H1>


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<P><FONT SIZE=2>Filed by the Registrant&nbsp;&nbsp;[X]<BR>Filed by a Party other than the Registrant&nbsp;&nbsp;  [_]</FONT></P>



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<P><FONT SIZE=2>Check the appropriate box: </FONT></P>

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     <TD WIDTH="3%" ALIGN="LEFT"><FONT SIZE=2>[_]</FONT></TD>
     <TD WIDTH="2%"></TD>
     <TD WIDTH="94%" ALIGN="LEFT"><FONT SIZE=2>Preliminary Proxy Statement</FONT></TD>
     <TD WIDTH="1%"></TD></TR>
<TR VALIGN="TOP">
     <TD ALIGN="LEFT"><FONT SIZE=2>[_]</FONT></TD>
     <TD></TD>
     <TD ALIGN="LEFT"><FONT SIZE=2>Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2))</FONT></TD>
     <TD></TD></TR>
<TR VALIGN="TOP">
     <TD ALIGN="LEFT"><FONT SIZE=2>[x]</FONT></TD>
     <TD></TD>
     <TD ALIGN="LEFT"><FONT SIZE=2>Definitive Proxy Statement</FONT></TD>
     <TD></TD></TR>
<TR VALIGN="TOP">
     <TD ALIGN="LEFT"><FONT SIZE=2>[_]</FONT></TD>
     <TD></TD>
     <TD ALIGN="LEFT"><FONT SIZE=2>Definitive Additional Materials</FONT></TD>
     <TD></TD></TR>
<TR VALIGN="TOP">
     <TD ALIGN="LEFT"><FONT SIZE=2>[_]</FONT></TD>
     <TD></TD>
     <TD ALIGN="LEFT"><FONT SIZE=2>Soliciting Material Pursuant to Section 240.14a-11(c) or Section 240.14a-12</FONT></TD>
     <TD></TD></TR>
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<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2"><B>ADVANCED TECHNICAL
PRODUCTS, INC.</B><BR>(Name of Registrant as Specified in Its Charter)</FONT></FONT> </P>

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<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2"><B>N/A</B><BR>(Name of Person(s)
Filing Proxy Statement, if Other Than the Registrant)</FONT></FONT> </P>

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<P><FONT SIZE=2>Payment of Filing Fee (Check the appropriate box): </FONT></P>

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<TD WIDTH=3% ALIGN=RIGHT><FONT SIZE=2>[X] </FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT SIZE=2>No
fee required.</FONT></TD>
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<TD WIDTH=3%><FONT SIZE=2>[_] </FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT SIZE=2></FONT><FONT SIZE=2>Fee
computed on table below per Exchange Act Rules 14a-6(i)(1) and 0-11.</FONT></TD>
</TR>
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<TD WIDTH=3%><FONT SIZE=2>(1)</FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=88%><FONT SIZE=2>Title
of each class of securities to which transaction applies:</FONT></TD>
</TR>
</TABLE>
<BR>




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<TD WIDTH=3%><FONT SIZE=2>(2) </FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=88%><FONT SIZE=2>Aggregate
number of securities to which transaction applies:</FONT></TD></TR>
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<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT SIZE=2>(3) </FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=88%><FONT SIZE=2>Per
unit price or other underlying value of transaction computed pursuant to Exchange Act
Rule 0-11(set forth the amount on which the filing fee is calculated and state how it was
determined)</FONT></TD>
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<TD WIDTH=3%><FONT SIZE=2>(4) </FONT></TD>
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<TD WIDTH=88%><FONT SIZE=2>Proposed
maximum aggregate value of transaction:</FONT></TD></TR>
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<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
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<TD WIDTH=3%><FONT SIZE=2>(5) </FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=88%><FONT SIZE=2>Total
fee paid:</FONT></TD>
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<TD WIDTH=3%><FONT SIZE=2>[_] </FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT SIZE=2>Fee
paid previously with preliminary materials. </FONT></TD>
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<TD WIDTH=3%><FONT SIZE=2>[_] </FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT SIZE=2>Check
box if any part of the fee is offset as provided by Exchange Act Rule 0-11(a)(2) and
identify the filing for which the offsetting fee was paid previously. Identify the
previous filing by registration statement number, or the Form or Schedule and the date of
its filing.</FONT></TD>
</TR>
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<TD WIDTH=3%><FONT SIZE=2>(1) </FONT></TD>
<TD WIDTH=3%><FONT SIZE=2></FONT></TD>
<TD WIDTH=88%><FONT SIZE=2>Amount
Previously Paid: ..................................................................</FONT></TD>
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<TD WIDTH=3%><FONT SIZE=2>(2) </FONT></TD>
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<TD WIDTH=88%><FONT SIZE=2>Form,
Schedule or Registration Statement No.: .............................</FONT></TD>
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<TD WIDTH=3%><FONT SIZE=2>(3) </FONT></TD>
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<TD WIDTH=88%><FONT SIZE=2>Filing
Party:..........................................................................................</FONT></TD>
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<TD WIDTH=3%><FONT SIZE=2>(4) </FONT></TD>
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<TD WIDTH=88%><FONT SIZE=2>Date
Filed: ...........................................................................................</FONT></TD>
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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>ADVANCED TECHNICAL
PRODUCTS, INC.<BR>200 Mansell Court, East<BR>Suite 505<BR>Roswell, Georgia 30076</FONT></H1>

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<P ALIGN=right><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>September 20, 2000 </FONT></P>


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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Dear Stockholder: </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
are cordially invited to attend the 2000 Annual Meeting of Stockholders (the &#147;Annual
Meeting&#148;) of Advanced Technical Products, Inc. (the &#147;Company&#148; or &#147;ATP&#148;), which will be
held on October 12, 2000, beginning at 2:00 p.m. local time, at the Radisson Hotel
located at 10740 Westside Parkway, Alpharetta, Georgia 30004. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
official notice of meeting, proxy statement, form of proxy and 1999 annual report to
stockholders are included with this letter. The matters listed on the notice of meeting
are described in detail in the proxy statement. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Whether
or not you plan to attend the meeting in person, it is important that your shares be
represented and voted. Accordingly, after reading the enclosed Notice of Annual Meeting
and Proxy Statement, you are urged to sign and date the enclosed proxy and return it in
the enclosed addressed and stamped envelope at your earliest convenience. </FONT></P>

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<TD WIDTH=50%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Very
truly yours,</FONT></TD>
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<TD WIDTH=50%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/
GARRETT L. DOMINY</FONT></TD>
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<TD WIDTH=50%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Garrett
L. Dominy<BR>PRESIDENT AND CHIEF EXECUTIVE OFFICER</FONT></TD>
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<BR>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>ADVANCED TECHNICAL
PRODUCTS, INC.<BR>200 Mansell Court, East<BR>Suite 505<BR>Roswell, Georgia 30076</FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>NOTICE OF ANNUAL
MEETING OF STOCKHOLDERS</FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>TO BE HELD ON OCTOBER
12, 2000</FONT></H1>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
2000 Annual Meeting of Stockholders (the &#147;Annual Meeting&#148;) of Advanced Technical
Products, Inc., a Delaware corporation (hereinafter the &#147;Company&#148; or &#147;ATP&#148;), will be held
at the Radisson Hotel, 10740 Westside Parkway, Alpharetta, Georgia 30004, on October 12,
2000, at 2:00 p.m. local time to consider and act upon the following matters: </FONT></P>
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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>1. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The
election of three Class III directors to serve until the Annual Meeting of Stockholders
to be held in 2003 and the election of one Class II director to fill the Class II vacancy
and serve until the Annual Meeting of Stockholders to be held in 2002;</FONT></TD>
</TR>
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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>2. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The
ratification of the 2000 Advanced Technical Products, Inc. Stock Option Plan;</FONT></TD>
</TR>
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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>3. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The
ratification of the 2000 Advanced Technical Products, Inc. Non-Employee Directors Stock
Option Plan;</FONT></TD>
</TR>
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<BR>

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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The
ratification of the appointment by the Board of Directors of ATP (the &#147;Board&#148;) of KPMG
LLP as the independent accountants to audit ATP&#146;s financial statements for the Year
ending December 31, 2000; and</FONT></TD>
</TR>
</TABLE>
<BR>

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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>5. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The
transaction of such other business as may properly come before the Annual Meeting or any
adjournment or postponement thereof.</FONT></TD>
</TR>
</TABLE>
<BR>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Only
holders of record of the common stock of the Company at the close of business on
September 12, 2000 are entitled to notice of, and to vote at, the Annual Meeting or any
adjournments thereof. A list of stockholders entitled to vote at the Annual Meeting will
be available at the Annual Meeting for examination by any stockholder. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHETHER
OR NOT YOU PLAN TO ATTEND THE MEETING, IT IS REQUESTED THAT THE ENCLOSED FORM OF PROXY BE
PROPERLY EXECUTED AND PROMPTLY RETURNED TO THE COMPANY IN THE ENCLOSED ADDRESSED AND
STAMPED ENVELOPE. You may revoke the proxy at any time before the proxy is exercised by
delivering written notice of revocation to the Secretary of the Company, by delivering a
subsequently dated proxy or by attending the Annual Meeting and withdrawing the proxy. </FONT></P>
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<TD WIDTH=40%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>By
Order of the Board of Directors,</FONT></TD>
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<TD WIDTH=60%>&nbsp;</TD>
<TD WIDTH=40%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/
James P. Hobt</FONT></TD>
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<TD WIDTH=40%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>James
P. Hobt<BR>SECRETARY</FONT></TD>
</TR>
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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Roswell, Georgia<BR>September 20, 2000 </FONT></P>



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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>ADVANCED TECHNICAL
PRODUCTS, INC.</FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>PROXY STATEMENT</FONT></H1>


<!-- MARKER FORMAT-SHEET="Head Major 10" -->
<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>FOR<BR>2000 ANNUAL
MEETING OF STOCKHOLDERS<BR>TO BE HELD ON OCTOBER 12, 2000</FONT></H1>

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<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>GENERAL INFORMATION</FONT></H2>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This
Proxy Statement is furnished to stockholders of Advanced Technical Products, Inc., a
Delaware corporation (&#147;ATP&#148; or the &#147;Company&#148;), in connection with the solicitation of
proxies to be used at the Annual Meeting of Stockholders of the Company (the &#147;Annual
Meeting&#148;) to be held on October 12, 2000 beginning at 2:00 p.m. local time at the
Radisson Hotel, located at 10740 Westside Parkway, Alpharetta, Georgia 30004, or at any
adjournment or postponement thereof. Only holders of ATP common stock, $0.01 par value
per share (the &#147;Common Stock&#148;), of record at the close of business on September 12, 2000
(the &#147;Record Date&#148;) are entitled to notice of, and to vote at, the Annual Meeting. As of
the Record Date, there were 5,345,308 shares of Common Stock outstanding and entitled to
vote. Each share of Common Stock is entitled to one vote on each matter properly brought
before the Annual Meeting. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
accompanying proxy is being solicited by the Board of Directors of the Company (the
&#147;Board&#148;). The cost of soliciting your proxy will be borne entirely by the Company, and no
other person or persons will bear such costs either directly or indirectly. In addition
to the use of the mails, proxies may be solicited by personal interview, telephone and
telegram by directors and regular officers and employees of the Company. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This
Proxy Statement and the enclosed proxy form are first being sent to stockholders of the
Company on or about September 20, 2000. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>VOTING OF PROXIES</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proxies
in the form enclosed will be voted at the meeting if properly executed, returned to the
Company before the Annual Meeting and not revoked. When stockholders have appropriately
specified how their proxies should be voted, the proxies will be voted accordingly.
Unless the stockholder otherwise specifies therein, the accompanying proxy will be voted
(i) FOR the election as directors of the nominees listed under &#147;Election of Directors,&#148;
(ii) FOR the ratification of the 2000 Advanced Technical Products, Inc. Stock Option
Plan, (iii) FOR the ratification of the 2000 Advanced Technical Products, Inc.
Non-Employee Directors Stock Option Plan, (iv) FOR the ratification of the appointment by
the Board of KPMG LLP as the independent accountants to audit ATP&#146;s financial statements
for the year ending December 31, 2000; and (v) at the discretion of the proxy holders,
either FOR or AGAINST any other matter or business that may properly come before the
meeting. The Board does not know of any such other matter or business. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any
proxy received by the Company may be subsequently revoked at any time before it is
actually voted. Proxies may be revoked by any of the following actions: (i) filing a
written notice of revocation bearing a date later than the proxy with the Secretary of
the Company at or before the Annual Meeting, but in any event prior to the vote on the
matter as to which revocation is sought; (ii) duly executing and submitting, prior to the
Annual Meeting, a subsequent proxy relating to the Annual Meeting; or (iii) voting in
person at the Annual Meeting (although attendance at the Annual Meeting will not, in and
of itself, constitute a revocation of a proxy). Any written notice revoking a proxy
should be sent to the Secretary of the Company at the Company&#146;s executive offices, 200
Mansell Court, East, Suite 505, Roswell, Georgia 30076. </FONT></P>
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<!-- MARKER FORMAT-SHEET="Para Center 10" -->
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<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>VOTES REQUIRED</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
accordance with the Bylaws of the Company, the presence in person or by proxy of the
holders of a majority of the issued and outstanding shares of Common Stock is necessary
to constitute a quorum at the Annual Meeting. In accordance with Delaware law and the
Bylaws of the Company, a plurality of the votes cast at a meeting at which there exists a
quorum is required for the election of directors. Accordingly, the four director nominees
receiving the most votes will be elected at the Annual Meeting. In accordance with
Delaware law, the majority of the votes of the shares of Common Stock present in person
or represented by proxy at the Annual Meeting and entitled to vote is required for the
approval of the ratification of: (i) the 2000 Advanced Technical Products, Inc. Stock
Option Plan, (ii) the 2000 Advanced Technical Products, Inc. Non-Employee Directors Stock
Option Plan and (iii) KPMG LLP as the Company&#146;s independent accountants. If any other
matter should be presented at the Annual Meeting upon which a vote may be taken, it is
intended that shares of Common Stock represented by Proxies in the accompanying form will
be voted with respect thereto in accordance with the judgment of the person or persons
voting such shares. Garrett L. Dominy and James P. Hobt, or either of them, each with
full power of substitution, have been designated as proxies to vote the shares of Common
Stock solicited hereby. Under Delaware law, there are no rights of appraisal or similar
rights of dissenters with respect to the matters under consideration at this Annual
Meeting. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A
broker non-vote occurs when a nominee holding shares of Common Stock for a beneficial
owner does not vote on a particular proposal because the nominee does not have
discretionary voting power with respect to the particular item under consideration and
has not received instructions from the beneficial owner. Under Delaware law, abstaining
votes (votes withheld by stockholders who are present and entitled to vote) and broker
non-votes are deemed to be present for purposes of determining whether a quorum is
present at a meeting. However, abstentions and broker non-votes will not be included in
the tabulation of the voting results with respect to the election of directors and
therefore will not have any effect on such vote. With respect to any other matter
properly brought before the Annual Meeting, abstentions and broker non-votes are not
deemed to be votes duly cast, but abstaining votes are deemed to be entitled to vote
while broker non-votes are not deemed to be entitled to vote. </FONT></P>


<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>PROPOSAL 1:&nbsp;&nbsp;ELECTION OF
DIRECTORS</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Restated Certificate of Incorporation authorizes the Board to fix the number of directors
from time to time, but the Board of Directors shall not consist of more than nine
persons. The number of directors is currently established at eight. The full Board will
be established at nine if all directors nominated for election at the meeting are
elected. The Restated Certificate of Incorporation of ATP also provides for three classes
of directors, designated Class I, Class II and Class III, each currently having
three-year terms of office. Each class of directors is to consist of, as nearly as
possible, one-third of the total number of directors constituting the entire Board.
Except for directors elected to fill vacancies on the Board (whether created by death,
resignation, removal or expansion of the Board), the directors of each class will be
elected for a term of three years and until their successors have been elected and
qualified. At the Annual Meeting, three Class III directors, Mr. James S. Carter, Mr.
Gary L. Forbes and General Johnnie E. Wilson (Ret. U. S. Army) are being nominated for
election to the Board, each to serve for a three-year term. In addition, Mr. John M.
Simon, previously a Class III Director, is being nominated for election to the Board to
fill the Class II vacancy for a term commensurate with that of the other Class II
directors. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>2 </FONT></P>

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<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the
enclosed proxy is signed and returned, it will be voted &#147;For&#148; the election of Messrs.
Carter, Forbes and General Wilson as Class III directors to serve until the 2003 Annual
Meeting of Stockholders and Mr. Simon as a Class II director to serve until the 2002
Annual Meeting of Stockholders or until their successors have been duly elected and
qualified, unless contrary directions are given therein. However, should any nominee
become unavailable or prove unable to serve for any reason, the proxy will be voted for
the election of such other person as the Board may select to replace such nominee, unless
the Board instead fixes the number of directors at less than eight. The Board has no
reason to believe that the nominees will not be available or prove unable to serve. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
following table sets forth certain information concerning each Class III director
nominee, the Class II nominee and the continuing Class I and Class II directors. Except
for General Wilson, each of the director nominees and continuing directors were
designated as directors of ATP effective October 31, 1997 in connection with the
consummation of the merger (the &#147;Lunn/TPG Merger&#148;) of TPG Holdings, Inc. (&#147;TPG&#148;) and Lunn
Industries, Inc. (&#147;Lunn&#148;) under the name &#147;Advanced Technical Products, Inc.&#148; The age of
each director nominee and continuing director, his positions and offices with ATP, the
year in which he first became a director of ATP, his business experience during the past
five years or more, and the other directorships he holds are shown below. Similar
information is provided concerning executive officers who are neither directors nor
nominees for election as directors. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>CLASS III NOMINEES TO
SERVE UNTIL THE ANNUAL MEETING TO BE HELD IN 2003 </FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>JAMES
S. CARTER</B>, 65. Mr. Carter is a director of the Company. He served as the Chairman of the
Board, President and Chief Executive Officer of the Company from the Lunn/TPG Merger
until February 2000. Mr. Carter served as the President and Chief Executive Officer and
as a director of TPG from its inception in 1995 until the Lunn/TPG Merger. Mr. Carter
served as an industry consultant from 1993 to 1995 and Vice President and General Manager
of the Composite Structures Division of Alcoa Composites, Inc. from 1989 to 1993. Prior
to joining Alcoa Composites, Inc., Mr. Carter was director of Composites with Northrop
Corporation for the B-2 Aircraft Group from 1980 to 1989. Mr. Carter began his career in
the aerospace industry with the Brunswick Technical Group of Brunswick Corporation in
1956.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>GARY
L. FORBES</B>, 56. Mr. Forbes was elected Chairman of the Board of the Company in July 2000,
and he is a member of the Audit Committee and the Compensation Committee. Mr. Forbes
served as a director of TPG from its inception in 1995 until the Lunn/TPG Merger. Mr.
Forbes has been a Vice President of Equus Capital Corporation, the managing general
partner of Equus Equity Appreciation Fund L.P. since November 1991. He has been a Vice
President of Equus II Incorporated and Equus Capital Management Corporation since
December 1991. Mr. Forbes is a director of Consolidated Graphics, Inc. (a NYSE
commercial printing company) and NCI Building Systems, Inc. (a NYSE manufacturer
of pre-engineered metal buildings).</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>GENERAL
JOHNNIE E. WILSON</B>, (Ret. U.S. Army), 56. General Wilson is the President and Chief
Operating Officer of Dimensions International, Inc., an information technology company.
General Wilson retired from the U.S. Army in April of 1999 and his last post was as the
Commanding General, U.S. Army Materiel Command. Throughout his military career, General
Wilson served in a number of prestigious command and staff positions. Prior to serving as
Commanding General, U.S. Army Materiel Command, General Wilson served as Deputy Chief of
Staff for Logistics, Department of Army Pentagon; Chief of Staff, U.S. Army Materiel
Command; Commanding General, Ordnance Center and School, Aberdeen Proving Ground, Md.;
Deputy Commanding General, 21st Theater Army Area Command, U.S. Army Europe and 7th Army;
Commander, 13th Support Command, Fort Hood, Texas; and Commander, Division Support
Command, 1st Armored Division, U.S. Army Europe.</FONT></FONT> </P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>3 </FONT></P>

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<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>CLASS II NOMINEE TO
SERVE UNTIL THE ANNUAL MEETING TO BE HELD IN 2002 </FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>JOHN
M. SIMON</B>, 57. Mr. Simon is a member of the Compensation Committee. Mr. Simon has been a
Managing Director of Allen &amp; Company Incorporated for more than five years. Mr. Simon is a
director of Neurogen Corporation and CoStar Group, Inc. both of which are NASDAQ National
Market companies. Mr. Simon was originally elected a director of Lunn in 1993.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>CLASS II CONTINUING
DIRECTORS - TERMS EXPIRING 2002 </FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>GARRETT
L. DOMINY</B>, 55. Mr. Dominy has been President and Chief Executive Officer since February
2000 and Chief Financial Officer, Assistant Secretary and Treasurer from October 1997 to
May 2000. Mr. Dominy also served as Executive Vice President, from October 1997 to May
2000. Mr. Dominy served as the Chief Financial Officer, Executive Vice President,
Secretary and Treasurer of TPG from June 1995 until the Lunn/TPG Merger. Prior to that
time, Mr. Dominy was an audit partner of Arthur Andersen Worldwide. Mr. Dominy is a
Certified Public Accountant.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SAM P.
DOUGLASS</B>, 66. Mr. Douglass is a member of the Compensation Committee. Mr. Douglass served
as a director of TPG from its inception in 1995 until the Lunn/TPG Merger. Mr. Douglass
has been Chairman of the Board and Chief Executive Officer of Equus Capital Corporation,
the managing general partner of Equus Equity Appreciation Fund L.P., since its formation
in September 1983. Mr. Douglass has also been Chairman of the Board and Chief Executive
Officer of Equus II Incorporated, an investment company that trades as a closed-end fund
on the American Stock Exchange, and Equus Capital Management Corporation, since their
formation in 1983. Since 1978, Mr. Douglass has served as Chairman and Chief Executive
Officer of Equus Corporation International, a privately owned corporation engaged in a
variety of investment activities.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>CLASS I CONTINUING
DIRECTORS - TERMS EXPIRING 2001 </FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>ALAN
W. BALDWIN</B>, 63. Mr. Baldwin is a member of the Audit Committee. Mr. Baldwin has been
President of Wren Associates, a business consulting firm, since August 1999. From March
1994 through October 31, 1997, Mr. Baldwin served as the Chairman of the Board and Chief
Executive Officer of Lunn. Mr. Baldwin was Vice President of Lunn from December 1993 to
March 1994 and was an independent consultant from 1991 to March 1994. Mr. Baldwin served
as a director of Lunn since 1993.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>ROBERT
C. SIGRIST</B>, 67. Mr. Sigrist is a member of the Nominating Committee. Mr. Sigrist served
as a director of TPG from August 1995 until October 1997. Prior to that time, Mr. Sigrist
served as the President of the Brunswick Technical Group of Brunswick Corporation for
seven years.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>LAWRENCE
E. WESNESKI</B>, 52. Mr. Wesneski is a member of the Audit Committee and Nominating
Committee. Mr. Wesneski has been President and Chief Executive Officer of Hoak Breedlove
Wesneski &amp; Co. since August 1996. Mr. Wesneski has been engaged in the investment banking
industry for approximately 21 years. Prior to the formation of Hoak Breedlove Wesneski &amp; Co.,
Mr. Wesneski was president and managing director of Breedlove Wesneski &amp; Co. for ten
years. Mr. Wesneski was formerly head of the Southwest Corporate Finance Department of
Bear Stearns &amp; Co., Inc., a Managing Director of Corporate Finance at Eppler, Guerin &amp; Turner,
Inc., and a member of the Corporate Finance Department at Dean Witter Reynolds, Inc. Mr.
Wesneski is Vice Chairman of Davids Supermarkets, Inc. Mr. Wesneski served as a director
of TPG from its inception in 1995 until the Lunn/TPG Merger.</FONT></FONT> </P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>4 </FONT></P>
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<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>EXECUTIVE OFFICERS</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>JAMES
P. HOBT</B>, 45. Mr. Hobt has been Vice President, Chief Financial Officer, Secretary and
Treasurer since May 2000. Mr. Hobt served as Corporate Controller and Secretary from
October 1997 to May 2000. From May 1995 until the Lunn/TPG Merger, Mr. Hobt served as
Corporate Controller and Assistant Secretary for TPG. Prior to then, he was the Assistant
Controller of the Brunswick Technical Group.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>H.
DWIGHT BYRD</B>, 62. Mr. Byrd has been a Vice President of the Company and President of the
Marion Composites Division since the Lunn/TPG Merger. From April 1995 until the Lunn/TPG
Merger, Mr. Byrd served as a Vice President of TPG and President of the Marion Composites
Division. During the period from April 1992 to April 1995, Mr. Byrd served as General
Manager of Brunswick Corporation&#146;s Marion, Virginia division. During 1991 to April 1992,
Mr. Byrd served as Director of Manufacturing for Brunswick&#146;s Mercury Marine Division in
Stillwater, Oklahoma.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>RICK
RASHILLA</B>, 40. Mr. Rashilla has been President of Lincoln Composites since January 1999.
Prior to January 1999, Mr. Rashilla served as Lincoln Composites&#146; Vice President and
General Manager. Mr. Rashilla served as Executive Director of Business Development along
with other senior management positions for Brunswick&#146;s Technical Group between 1983 and
1995. These prior assignments included senior positions in the Company&#146;s diversification
projects into Natural Gas Vehicle Fuel Tanks and Oil and Gas related products. From 1989
to 1993, Mr. Rashilla was assigned to Brunswick&#146;s Marion, Virginia operation.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>BRIAN
HODGES</B>, 38. Mr. Hodges has been Vice President of the Company and President of Intellitec
since May 1998. Prior to May 1998, Mr. Hodges served as Intellitec&#146;s Vice President and
General Manager for Defense Products and Vice President of Operations. Mr. Hodges served
as Director of Operations, along with other senior management positions for Brunswick&#146;s
Technical Group between 1987 and 1995. Previous to that, Mr. Hodges held supervisory and
engineering positions at both Honeywell, Inc. and Texas Instruments, Inc.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF"><FONT SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>MICHAEL
KOHLER</B>, 36. Mr. Kohler has been Vice President of the Company and President of Lunn
Industries since the Lunn/TPG Merger. From 1994 to 1997, Mr. Kohler served as Director of
Engineering for Lunn and, for over three years prior to 1994, served as a quality
assurance manager and quality engineer for Lunn.</FONT></FONT> </P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>MEETINGS OF THE BOARD</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Board met seven times in 1999, and the average attendance at the aggregate number of
Board and committee meetings during such time was 93%. No Director attended fewer than
75% of the aggregate number of meetings of the Board and the committees on which he or
she served held during the period for which he was a Director. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>COMMITTEES OF THE BOARD</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Audit Committee, which is composed entirely of Directors who are not officers or
employees of the Company, reviews the Company&#146;s accounting functions, operations and
management and the adequacy and effectiveness of the internal controls and internal
auditing methods and procedures of the Company. The Audit Committee recommends to the
Board the appointment of the independent public accountants for the Company. In
connection with its duties, the Audit Committee periodically meets privately with the
independent public accountants. The Audit Committee met one time in 1999. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>5 </FONT></P>

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<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Compensation Committee, which is composed entirely of Directors who are not officers or
employees of the Company, reviews and acts with respect to pension, compensation and
other employee benefit plans, approves the salary and compensation of officers of the
Company other than the five most highly compensated officers and makes recommendations to
the Board concerning the salary and compensation of the President and Chief Executive
Officer. The Compensation Committee met one time in 1999. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Nominating Committee reviews and makes recommendations to the full Board concerning the
qualifications and selection of candidates as nominees for election as Directors. In
recommending candidates, this committee seeks individuals who possess broad training and
experience in business, finance, law, government, technology, education or administration
and considers factors such as personal attributes, geographic location and special
expertise complementary to the background and experience of the Board as a whole. The
Nominating Committee met one time in 1999. The committee memberships of each Director are
set forth in his or her biographical information above. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>COMPENSATION OF DIRECTORS</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Directors
who are not employees of the Company receive $20,000 annually. Additionally, non-employee
directors who have not previously served on the Board receive a grant under the Advanced
Technical Products, Inc. Non-Employee Director Stock Option Plan (the &#147;Non-Employee
Director Plan&#148;) of options to purchase 7,500 shares of Common Stock upon commencement of
their term, and continuing non-employee directors receive a grant under the Non-Employee
Director Plan of options to purchase 1,000 shares of Common Stock immediately following
each annual meeting of the stockholders. </FONT></P>


<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>SECURITY OWNERSHIP OF
OFFICERS AND DIRECTORS</FONT></H2>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
record date for stockholders entitled to notice of, and to vote at, the Annual Meeting is
September 12, 2000. At the close of business on that date, the Company had 5,345,308
shares of Common Stock issued and outstanding and entitled to vote at the Annual Meeting. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
following table sets forth, as of September 12, 2000, the number of shares of the Company
Common Stock and the 8% Cumulative Redeemable Preferred Stock, par value $1.00 per share,
of the Company (the &#147;the Company Preferred Stock&#148;) beneficially owned by (1) each person
or group known by the Company to own beneficially more than 5% of the outstanding shares
of the Company Common Stock, (2) each director and each nominee for director, (3) the
Company&#146;s Chief Executive Officer and each of the Company&#146;s four other most highly
compensated executive officers, and (4) all directors and executive officers as a group.
Except as otherwise indicated, each of the persons or groups named below has sole voting
power and investment power with respect to such the Company Common Stock and the Company
Preferred Stock. </FONT></P>
<BR>

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<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>6 </FONT></P>

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<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="600">
<TR VALIGN="BOTTOM">
     <TH COLSPAN="2" ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="1"> </FONT></TH>
     <TH COLSPAN="4"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">COMMON STOCK  </FONT><HR WIDTH=90% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="4"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">PREFERRED STOCK </FONT><HR WIDTH=90% SIZE=1 NOSHADE></TH></TR>
<TR VALIGN="BOTTOM">
     <TH COLSPAN="2" ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="1">NAME OF BENEFICIAL OWNER OR GROUP</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">SHARES </FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">PERCENT</FONT><HR WIDTH=85% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">SHARES </FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">PERCENT</FONT><HR WIDTH=85% SIZE=1 NOSHADE></TH></TR>
<TR VALIGN="BOTTOM">
     <TD WIDTH="43%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Equus Corporation International (1)(2)</FONT></TD>
     <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="10%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">267,602</FONT></TD>
        <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="10%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">5.01</FONT></TD>
        <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD WIDTH="10%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">913,043</FONT></TD>
        <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="10%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">91.30</FONT></TD>
        <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Equus Capital Management Corporation (1)(2)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">267,602</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">5.01</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">913,043</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">91.30</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Equus Equity Appreciation Fund, L.P. (2)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">913,043</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">91.30</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Alan W. Baldwin (3)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">59,500</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">1.11</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">H. Dwight Byrd (4)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">221,780</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">4.15</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">James S. Carter (5)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">312,387</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">5.84</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Garrett L. Dominy (6)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">196,409</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">3.67</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Sam P. Douglass (1)(2)(7)(8)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">401,700</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">7.52</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">913,043</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">91.30</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Gary L. Forbes (8)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">90,719</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">1.70</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Robert C. Sigrist (8)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">66,157</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">1.24</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">21,739</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">2.17</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">John M. Simon (9)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">41,550</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">*</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Lawrence E. Wesneski (8) (10)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">151,477</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">2.83</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">15,946</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">1.59</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Brian W. Hodges (11)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">18,664</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">*</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Nicholas-Applegate Capital Management (12)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">582,200</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">10.89</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">American Airlines Fixed Benefit Plan</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">776,267</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">14.52</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&#151;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">All directors and executive officers</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
</TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;&nbsp;&nbsp;as a group (13 persons) (13)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">1,586,367</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">29.68</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">37,685</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">3.77</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">%</FONT></TD></TR>
<TR>
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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Less
than one percent.</FONT></TD>
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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(1) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Equus
Capital Management Corporation (&#147;ECMC&#148;) owns beneficially and of record 11,750 shares of
the Company Common Stock. ECMC may also be deemed to beneficially own 155,852 shares of
the Company Common Stock that are owned beneficially and of record by Equus Capital
Corporation (&#147;ECC&#148;), a wholly-owned subsidiary of ECMC. ECMC may also be deemed to
beneficially own 100,000 shares of the Company Common Stock that are owned beneficially
and of record by EQSCAP Partners (&#147;EQSCAP&#148;). ECC owns a controlling interest in, and is a
managing partner of EQSCAP. ECMC disclaims beneficial ownership of these shares. Equus
Corporation International (&#147;ECI&#148;) may be deemed to own the 267,602 shares that are
beneficially owned by ECMC as a result of ECI&#146;s ownership of 80% of the common stock of
ECMC. ECI disclaims beneficial ownership of those shares.</FONT></TD>
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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(2) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>Equus
Equity Appreciation Fund, L.P. (&#147;EEAF&#148;) owns beneficially and of record 913,043 shares of
the Company Preferred Stock. ECMC and ECI may be deemed to beneficially own the 913,043
shares of the Company Preferred Stock owned by EEAF as a result of the relationship
described in (1) above. Each of ECMC and ECI disclaim beneficial ownership of these
shares. In addition, Mr. Douglass may be deemed to beneficially own the 913,043 shares of
the Company Preferred Stock that ECI may be deemed to own as a result of the relationship
described in (7) below. Mr. Douglass disclaims beneficial ownership of these shares.</FONT></TD>
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<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(3) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Includes
50,000 shares of the Company Common Stock that may be acquired within 60 days of
September 12, 2000 upon exercise of options granted by the Company and 9,500 shares of
the Company Common Stock that may be acquired within 60 days of September 12, 2000 upon
exercise of options granted pursuant to the Non-Employee Director Plan.</FONT></TD>
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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(4) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Includes
197,191 shares of the Company Common Stock held by the Harvey Dwight Byrd, Sr. Revocable
Trust DTD, which Mr. Byrd may be deemed to own as a settlor and trustee of such trust.
Mr. Byrd disclaims beneficial ownership of these shares. In addition, includes 539 shares
purchased through the 1998 Advanced Technical Products, Inc. Employee Stock Purchase Plan
(the &#147;Purchase Plan&#148;) and 4,000 shares of the Company Common Stock that may be acquired
within 60 days of September 12, 2000 upon exercise of options granted pursuant to the
1997 Advanced Technical Products, Inc. Stock Option Plan (the &#147;Employee Plan&#148;).</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(5) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>Includes
16,600 shares of the Company Common Stock that may be acquired within 60 days of
September 12, 2000 upon exercise of options granted pursuant to the Employee Plan.</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(6) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Includes
14,800 shares of the Company Common Stock that may be acquired within 60 days of
September 12, 2000 upon exercise of options granted pursuant to the Employee Plan and 616
shares purchased through the Purchase Plan.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLSPACING=0 CELLPADDING=0 BORDER=0>
<TR VALIGN=TOP>
<TD>

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<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>7 </FONT></P>
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</TD>
</TR>
</TABLE>

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<TABLE WIDTH=600 CELLSPACING=0 CELLPADDING=0 BORDER=0>
<TR VALIGN=TOP>
<TD>
<BR><HR SIZE=5 NOSHADE>
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</TD>
</TR>
</TABLE>
<BR>
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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(7) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Includes
267,602 shares of the Company Common Stock that each of the Douglass Trust IV, FBO
Preston Douglass, Jr. and the Douglass Trust IV, FBO Brooke Douglass (collectively, the
&#147;Douglass Trusts&#148;) may be deemed to beneficially own as a result of their ownership of
all of the outstanding common stock of ECI. Mr. Douglass is the trustee of the Douglass
Trusts. Mr. Douglass, for himself and as trustee of the Douglass Trusts, disclaims
beneficial ownership of such shares. In addition, includes 54,112 shares of the Company
Common Stock that are owned of record by the Douglass Trust IV, FBO Preston Douglass, Jr.
and 54,112 shares of the Company Common Stock that are owned of record by the Douglass
Trust IV, FBO Brooke Douglass. Mr. Douglass disclaims beneficial ownership of these shares. In addition,
includes 8,187 shares of the Company Common Stock that are owned of record by the Tiel
Trust, FBO Sam P. Douglass and 8,187 shares of the Company Common Stock that are owned of
record by the Tiel Trust, FBO Paula T. Douglass. Mr. Douglass disclaims beneficial
ownership of these shares.</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(8) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Includes
9,500 shares of the Company Common Stock that may be acquired within 60 days of September
12, 2000 upon exercise of options granted under the Non-Employee Director Plan.</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(9) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>Includes
32,050 shares of the Company Common Stock that are owned of record by Allen &amp; Company
Incorporated. Mr. Simon disclaims beneficial ownership of these shares. In addition,
includes 1,500 shares of the Company Common Stock that may be acquired within 60 days of
September 12, 2000 upon exercise of options granted by the Company and 8,000 that may be
acquired within 60 days of September 12, 2000 upon exercise of options granted pursuant
to the Non-Employee Director Plan.</FONT></TD>
</TR>
</TABLE>
<BR>


<!-- MARKER FORMAT-SHEET="Para Hang Arabic 10" -->
<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(10) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>Includes
43,382 shares of the Company Common Stock held directly by Mr. Wesneski through a SEPIRA
and 98,595 shares held by Breedlove &amp; Wesneski, L.P., of which Mr. Wesneski is a general
partner.</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(11) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>Includes
15,956 shares of the Company Common Stock that may be acquired within 60 days of
September 12, 2000 upon exercise of options granted pursuant to the Employee Plan and 308
shares purchased through the Purchase Plan.</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(12) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>Based
on a Schedule 13G dated February 10, 2000.</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(13) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>Includes
183,802 shares of the Company Common Stock which may be acquired within 60 days of
September 12, 2000 pursuant to the exercise of options, and 2,091 shares purchased
through the Purchase Plan.</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLSPACING=0 CELLPADDING=0 BORDER=0>
<TR VALIGN=TOP>
<TD>

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<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>8 </FONT></P>
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</TD>
</TR>
</TABLE>






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<TD>
<BR>
<HR SIZE=5 NOSHADE>


<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>EXECUTIVE COMPENSATION</FONT></H2>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>SUMMARY COMPENSATION
TABLE</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
following table presents information concerning the compensation of the Chief Executive
Officer and each of the other most highly compensated executive officers during the 1999
fiscal year (collectively, the &#147;Named Executive Officers&#148;) for services rendered in all
capacities to the Company for the fiscal year ended December 31,1999, as well as the
previous two fiscal years: </FONT></P>
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</TD>
</TR>
</TABLE>
<BR>

<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="600">
<TR VALIGN="BOTTOM">
     <TH COLSPAN="2" ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="1"></FONT></TH>
     <TH COLSPAN="8"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Annual Compensation</FONT><HR WIDTH=85% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="8"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Long-Term Compensation</FONT><HR WIDTH=85% SIZE=1 NOSHADE></TH></TR>
<TR VALIGN="BOTTOM">
     <TH COLSPAN="2" ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Name</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Year</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Salary<BR>($) </FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Bonus<BR>($) </FONT><HR WIDTH=75% SIZE=1 NOSHADE> </TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Other<BR>Annual<BR>Compen<BR>-sation<BR>($) </FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Restricted<BR>Stock<BR>Award(s)<BR>($) </FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Securities<BR>Underlying<BR>Options/Sars<BR>($) </FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">LTIP<BR>Payments<BR>($) </FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">All Other<BR>Compen-<BR>sation<BR>($)(1) </FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
</TR>
<TR VALIGN="BOTTOM">
     <TD WIDTH="23%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">Garrett L. Dominy,</FONT></TD>
     <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1999</FONT></TD>
     <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD WIDTH="9%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$274,615</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD WIDTH="9%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD WIDTH="8%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD WIDTH="8%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD WIDTH="8%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD WIDTH="8%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD WIDTH="6%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;6,491</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">President, Chief Executive Officer </FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1998</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$240,577</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$35,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;6,828</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">and Chief Financial Officer</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1997</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$193,259</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">  &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">37,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;2,302</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN="18"> &nbsp;</TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">James S. Carter,</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1999</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$349,539</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;8,843</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">Chairman</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1998</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$305,192</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$50,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;9,914</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;&nbsp;</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1997</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$246,400</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">41,500</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$19,466</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN="18"> &nbsp;</TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">H. Dwight Byrd,</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1999</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$190,961</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$10,551</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;6,204</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">Vice President</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1998</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$175,264</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;1,853</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;6,426</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;&nbsp;</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1997</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$163,427</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;1,926</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">10,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;2,851</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN="18"> &nbsp;</TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">Edward Kiley, (2)</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1999</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$157,500</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$14,537</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;4,276</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">Vice President</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1998</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$150,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$12,125</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;3,663</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;&nbsp;</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1997</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$127,412</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;6,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">22,500</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;2,405</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN="18"> &nbsp;</TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">Brian  W. Hodges,</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1999</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$137,335</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;3,909</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;2,780</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">Vice President</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1998</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$116,076</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;1,846</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;2,351</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;&nbsp;</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">1997</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$101,510</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;&nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">10,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1"> &nbsp;</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" Size="1">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;902</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" Size="1">&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN="18"><HR NOSHADE  SIZE="1"></TD></TR>
</TABLE>
<BR>

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<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(1) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&#147;All
Other Compensation&#148; for 1999 for the Named Executive Officers is comprised of the
following: (a) Company contributions to retirement savings plans for Messrs. Dominy
($5,000), Carter ($5,000), Byrd ($4,030), Kiley ($3,321) and Hodges ($2,660), and (b) the
taxable amount of life insurance premiums paid by the Company for Messrs. Dominy
($1,491), Carter ($3,843), Byrd ($2,174), Kiley ($955) and Hodges ($120).</FONT></TD>
</TR>
</TABLE>
<BR>


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<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(2) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>As
of the date of this Proxy Statement, Mr. Kiley is no longer employed by the Company.</FONT></TD>
</TR>
</TABLE>
<BR>


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<TD>

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<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>OPTION GRANTS DURING
1999 FISCAL YEAR</FONT></H2>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Company did not grant any employee stock options to the Named Executive Officers during
1999, nor did the Company grant any stock appreciation rights during 1999. </FONT></P>
<BR>

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<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>9 </FONT></P>

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<BR>
<HR SIZE=5 NOSHADE>



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<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>OPTION EXERCISES DURING
1999 FISCAL YEAR AND FISCAL YEAR END OPTION VALUES</FONT></H2>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
following table sets forth the aggregate dollar value of in-the-money, unexercised
options held at the end of 1999 by the Named Executive Officers. There were no stock
options exercised during 1999 by any of the Named Executive Officers. </FONT></P>
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</TR>
</TABLE>
<BR>
 <TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="600">
<TR VALIGN="BOTTOM">
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1"> &nbsp;</FONT></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Shares<BR>Acquired On</FONT></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Value<BR>Realized</FONT></TH>
     <TH COLSPAN="4"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Number Of Securities<BR>Underlying Unexercised<BR>Options/SARS At<BR>Fiscal Year-End($) </FONT><HR WIDTH=90% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="4"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Value Of Unexercised<BR>In-The-Money<BR>Options/SARS<BR>At Fiscal Year End($) </FONT><HR WIDTH=90% SIZE=1 NOSHADE></TH></TR>
<TR VALIGN="BOTTOM">
     <TH COLSPAN="2" ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Name</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Exercise (#)</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">($)</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Exercisable</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Unexercisable</FONT><HR WIDTH=85% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Exercisable</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">Unexercisable</FONT><HR WIDTH=85% SIZE=1 NOSHADE></TH></TR>
<TR VALIGN="BOTTOM">
     <TD WIDTH="32%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Garrett L. Dominy</FONT></TD>
     <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="8%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">0</FONT></TD>
        <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="8%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">0</FONT></TD>
        <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="8%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">14,800</FONT></TD>
        <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="8%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">22,200</FONT></TD>
        <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="9%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="9%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD WIDTH="1%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">James S. Carter</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">16,600</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">24,900</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">H. Dwight Byrd</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">4,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">6,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Edward Kiley</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">2,500</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$21,875</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">21,000</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">1,500</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$116,750</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Brian W. Hodges</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">0</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">12,967</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">11,978</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$121,301</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">$80,867</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN="14"><HR NOSHADE  SIZE="1"></TD></TR>
</TABLE>
<BR>

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<TR VALIGN=TOP>
<TD>

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<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>EMPLOYMENT AGREEMENTS</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mr.
Dominy&#146;s employment agreement provides for a base salary of $325,000 per year as of
February 1, 2000 subject to an annual increase based, at a minimum, on the consumer price
index for the previous year. Mr. Dominy is also entitled to receive, subject to the
discretion of the Board, an annual bonus of up to 75% of his then annual base salary. Mr.
Dominy&#146;s employment agreement is terminable by the Company with or without cause;
provided that if the Company terminates the employment of Mr. Dominy without cause, Mr.
Dominy will be entitled to continue to receive his base salary and incentive bonus for 18
months. Mr. Dominy&#146;s employment agreement also provides that if there is a &#147;change in
control&#148; of the Company or a constructive termination of Mr. Dominy without cause, then
Mr. Dominy is entitled to a lump-sum payment of a specified amount within 60 days of the
effective date of termination. Following any termination of Mr. Dominy&#146;s employment for
cause or upon Mr. Dominy&#146;s breach of the terms of his employment agreement, it is
expected that Mr. Dominy will be subject to non-disclosure and non-competition covenants
for up to two years. Pursuant to an amended employment agreement, Mr. Carter&#146;s employment
with the Company ceased after June 30, 2000. Mr. Carter shall receive a severance amount
equal to his salary, based on $350,000 per year payable biweekly for the period
commencing July 1, 2000 and ending on December 31, 2001. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>COMPENSATION COMMITTEE
INTERLOCKS AND INSIDER PARTICIPATION</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Compensation Committee of the Board is responsible for determining executive
compensation. The Compensation Committee is currently comprised of three non-employee
directors, Mr. Douglass, Mr. Forbes and Mr. Simon. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>REPORT OF THE
COMPENSATION COMMITTEE</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Compensation Committee of the Board (the &#147;Committee&#148;), which consists of three
independent outside directors, reviews and approves the Company&#146;s total compensation
philosophy and programs covering executive officers and key management employees. The
Committee reviews the performance levels of executive officers and determines the annual
base salaries and incentive awards to be paid. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>10 </FONT></P>

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</TD>
</TR>
</TABLE>





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<TD>
<BR>
<HR SIZE=5 NOSHADE>


<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Company&#146;s executive compensation program is designed to help the Company attract,
motivate and retain the executive resources that the Company needs in order to maximize
its return to stockholders. Specifically, the goals of the Company&#146;s executive
compensation program are to: </FONT></P>
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</TD>
</TR>
</TABLE>
<BR>

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<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>1. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif"  SIZE=2>align
executive compensation with the interests of the stockholders;</FONT></TD>
</TR>
</TABLE>
<BR>


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<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>2. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>provide
compensation packages that are consistent with competitive market norms for companies
similar in size, activity and complexity to the Company;</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>3. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>link
pay to Company, operating group and individual performance; and</FONT></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4. </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=94%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>achieve
a balance between incentives for short-term and long-term performance.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TR VALIGN=TOP>
<TD>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
principal elements of compensation provided to executive and other officers of the
Company historically have consisted of a base salary, annual incentives and stock option
grants. The Committee estimates an executive&#146;s level of total compensation based on
information drawn from a variety of sources, including proxy statements, special surveys
and compensation consultants. Total compensation is targeted to be competitive at the
median level of a peer group of comparable companies. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>BASE SALARY</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Salaries
for executive officers are determined by the Committee annually, based on review of each
executive&#146;s level of responsibility, experience, expertise and sustained corporate,
business unit and individual performance. The Committee exercises its judgment based upon
the above criteria and does not apply a specific formula or assign a weight to each
factor considered. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>ANNUAL INCENTIVE
COMPENSATION</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Annual
incentive awards are designed to focus management&#146;s attention on the performance of the
Company, particularly in the short-term. At the beginning of each year, the Board
establishes performance goals of the Company for that year, which may include target
increases in sales, net income and earnings per share, as well as more subjective goals.
Incentive awards are based upon the achievement of one or more of these goals. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>STOCK OPTION PROGRAM</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each
executive officer is eligible to receive a grant of stock options with an exercise price
equal to the fair market value of the stock on the grant date. Stock options are designed
to focus executives on the long-term performance of the Company by enabling executives to
share in any increases in value of the Company&#146;s stock. Accordingly, the Committee
believes that the grant of stock options is a significant method of aligning management&#146;s
long-term interests with those of the stockholders of the Company. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>CHIEF EXECUTIVE OFFICER
COMPENSATION</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mr.
Dominy, the President and Chief Executive Officer of the Company, is entitled to receive
a minimum annual salary of $325,000 pursuant to his employment agreement with the
Company. Subject to this minimum, Mr. Dominy&#146;s base salary rate may be adjusted at the
discretion of the Board based upon such factors as the Board deems appropriate. Mr.
Dominy&#146;s base salary for fiscal 1999 was $275,000. The Committee believes that Mr.
Dominy&#146;s total compensation is near the median for the chief executive officers of the
Company&#146;s peer group. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>11 </FONT></P>
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</TD>
</TR>
</TABLE>

<BR>


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<HR SIZE=5 NOSHADE>


<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This
report is submitted by the members of the Compensation Committee. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>SAM P. DOUGLASS<BR>GARY L.
FORBES<BR>JOHN M. SIMON </FONT></P>


<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>STOCK PERFORMANCE CHART</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Set
forth below is a table comparing the cumulative total returns (assuming an investment of
$100 on December 31, 1994 and reinvestment of dividends) of the Company, the Standard and
Poor&#146;s 500 Composite Stock Index (the &#147;S&amp;P500 Index&#148;) and the Aerospace/Defense 500
Index. The value of the investment in the Company for the period reflected is based on
the market price of the stock of Lunn restated for the 10-to-1 reverse stock split
effected by the Lunn/TPG Merger. </FONT></P>
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</TD>
</TR>
</TABLE>
<BR>

<TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0" WIDTH="600">
<TR VALIGN="BOTTOM">
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1"></FONT></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">12/31/94</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">12/31/95</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">12/31/96</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">12/31/97</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">12/31/98</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH>
     <TH COLSPAN="2"><FONT FACE="Times New Roman, Times, Serif" SIZE="1">12/31/99</FONT><HR WIDTH=75% SIZE=1 NOSHADE></TH></TR>
<TR VALIGN="BOTTOM">
     <TD WIDTH="43%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">The Company</FONT></TD>
     <TD WIDTH="3%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="7%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">100.00</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="7%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">149.9</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="7%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">149.9</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="7%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">212.0</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="7%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">146.0</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD WIDTH="7%" ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">223.0</FONT></TD>
        <TD WIDTH="2%" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">S&amp;P 500 Index</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">100.00</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">137.5</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">168.9</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">225.2</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">289.4</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">350.3</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
<TR VALIGN="BOTTOM">
     <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Aerospace/Defense 500 Index</FONT></TD><TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">100.00</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">165.3</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">220.9</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">227.3</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">174.3</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD>
     <TD ALIGN="RIGHT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">169.9</FONT></TD>
        <TD ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;</FONT></TD></TR>
</TABLE>

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<TR VALIGN=TOP>
<TD>
<BR>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>CERTAIN RELATIONSHIPS
AND RELATED TRANSACTIONS</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
April 28, 1995, TPG loaned James S. Carter, then its President and Chief Executive
Officer, $74,925 to help fund Mr. Carter&#146;s acquisition of 35,625 shares of the common
stock of TPG, which were then converted into 295,787 shares of the common stock of the
Company. Mr. Carter executed a promissory note in favor of TPG, bearing interest at 8%
per annum, the principal and interest of which mature on April 28, 2001. The promissory
note from Mr. Carter is secured by a stock pledge agreement pursuant to which Mr. Carter
pledged his shares to TPG. As of December 31, 1999, an aggregate of $102,897 of principal
and accrued and unpaid interest were due and owing under such note. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
June 1, 1995, TPG loaned Garrett L. Dominy, then its Executive Vice President and Chief
Financial Officer, $39,960 to help fund Mr. Dominy&#146;s acquisition of 19,000 shares of the
common stock of TPG, which were then converted into 157,753 shares of the common stock of
the Company. Mr. Dominy executed a promissory note in favor of TPG, bearing interest at
8% per annum, the principal and interest of which mature on April 28, 2001. The
promissory note from Mr. Dominy is secured by a stock pledge agreement pursuant to which
Mr. Dominy pledged his shares to TPG. As of December 31, 1999, an aggregate of $54,612 of
principal and accrued and unpaid interest were due and owing under such note. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A
director of the Company, John Simon, is also a managing director of Allen &amp; Company, Inc.
(&#147;Allen&#148;), which rendered financial consulting services to the Company in 1999, including
the preparation of a fairness opinion in connection with a proposed merger of the
Company. The Company paid Allen $150,000 in 1999 and has recorded a liability of $100,000
due to Allen for financial consulting fees earned, but not paid as of December 31, 1999. </FONT></P>


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<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>SECTION 16 REQUIREMENTS</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Section
16(a) of the Securities Exchange Act of 1934, as amended, requires the Company&#146;s
directors and executive officers, and persons who own more than 10% of a registered class
of the Company&#146;s equity securities, to file initial reports of ownership and reports of
changes in ownership with the Securities and Exchange Commission (the &#147;SEC&#148;) and the
NASDAQ Stock Market. Such persons are required by the SEC to furnish the Company with
copies of all Section 16(a) forms they file. Based solely on its review of the copies of
such forms received by it with respect to fiscal 1999 and 2000, or written
representations from certain reporting persons, the Company believes that all filing
requirements applicable to its directors, officers and persons who own more than 10% of a
registered class of the Company&#146;s equity securities have been complied with, except as
follows: Mr. Hodges became an executive officer of the Company on January 1, 1999, but
reported his holdings on a Form 5 on February 15, 1999. Mr. Wesneski reported a
transaction on a Form 5 filed on February 17, 1999 that was due to be filed on February
15, 1999. Transactions that were due to be filed on Form 5 on February 15, 2000 for
Messrs. Baldwin, Douglass, Forbes, Sigrist, Simon and Wesneski were reported on Form 5 on
September 7, 2000. Mr. Hobt became an executive officer of the Company on May 24, 2000,
but reported his holdings on a Form 3 on September 7, 2000. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>12 </FONT></P>
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</TR>
</TABLE>





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<BR>
<HR SIZE=5 NOSHADE>


<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>PROPOSAL 2:&nbsp;&nbsp;RATIFICATION
OF THE 2000 ADVANCED TECHNICAL PRODUCTS, INC. STOCK OPTION PLAN</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para Flush 10" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>General </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Company&#146;s Board of Directors has adopted, subject to shareholder approval, the 2000
Advanced Technical Products, Inc. Stock Option Plan (the &#147;Employee Option Plan&#148;), a copy
of which is set forth as Annex A to this Proxy Statement. The purpose of the Employee
Option Plan is to provide employees with a proprietary interest in the Company through
the granting of Incentive Options and Nonqualified Options which will: </FONT></P>
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</TD>
</TR>
</TABLE>
<BR>
<!-- MARKER FORMAT-SHEET="Para Hang Arabic 10 In 1" -->
<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(a) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>increase
the interest of the employees in the Company&#146;s welfare;</FONT></TD>
</TR>
</TABLE>
<BR>

<!-- MARKER FORMAT-SHEET="Para Hang Arabic 10 In 1" -->
<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(b) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>furnish
an incentive to the employees to continue their services for the Company; and</FONT></TD>
</TR>
</TABLE>
<BR>

<!-- MARKER FORMAT-SHEET="Para Hang Arabic 10 In 1" -->
<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(c) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>provide
a means through which the Company may attract able persons to enter its employ.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLSPACING=0 CELLPADDING=0 BORDER=0>
<TR VALIGN=TOP>
<TD>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
approval of Proxy Proposal 2 requires the affirmative vote of the holders of a majority
of the shares of Company Common Stock present, in person or by proxy, at the ATP Annual
Meeting. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
following summary of certain material features of the Employee Option Plan does not
purport to be complete and is qualified in its entirety by reference to the text of the
Employee Option Plan, set forth as Annex A to this Proxy Statement. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Flush 10" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The Employee Option Plan </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares
Subject to the Employee Option Plan. The maximum number of shares as to which options may
be granted under the Employee Option Plan (subject to adjustment as described below) is
500,000 shares of Company Common Stock. Upon expiration, cancellation or termination of
unexercised options, the shares of Company Common Stock subject to such options will
again be available for the grant of options under the Employee Option Plan. No options
have been granted under the Employee Option Plan. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Type
of Options. Options granted under the Employee Option Plan may either be Incentive Stock
Options (&#147;ISOs&#148;), within the meaning of Section 422 of the Code, or Nonqualified Stock
Options (&#147;NQSOs&#148;). </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Administration.
The Employee Option Plan would be administered by a Stock Option Committee (the
&#147;Committee&#148;) consisting of members of the Company&#146;s Board of Directors. It is intended
that each member of the Committee will be an &#147;outside director&#148; within the meaning of
Section 162(m) of the Code. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>13 </FONT></P>



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</TR>
</TABLE>

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<TD>
<BR>
<HR SIZE=5 NOSHADE>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Eligibility.
Employee Option Plan participation is limited to employees of the Company or of any
subsidiary of the Company. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Option
Contracts. Each option will be evidenced by a written contract between the Company and
the optionee, containing such terms and conditions not inconsistent with the Employee
Option Plan as may be determined by the Committee (the &#147;Contract&#148;). </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Terms
and Conditions of Options. The options granted under the Employee Option Plan will be
subject to, among other things, the following terms and conditions: </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)
The exercise price of each option will be determined by the Committee; provided, however,
that the exercise price of an ISO may not be less than the fair market value of Company
Common Stock on the date of grant (110% of such fair market value if the optionee owns
(or is deemed to own) more than 10% of the voting power of the Company). </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)
Options may be granted for terms determined by the Committee of up to 10 years; provided,
however, that the term of an ISO may not exceed five years if the optionee owns (or is
deemed to own) more than 10% of the voting power of the Company. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)
All or any part of the shares for which options may be granted under the Employee Option
Plan may be granted to any eligible person. The aggregate fair market value (determined
at the time of grant) of shares with respect to which ISOs may be granted to an employee
which are exercisable for the first time during any calendar year under the Employee
Option Plan and all incentive stock option plans of the Company, or any parent or
subsidiaries, shall not exceed $100,000. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)
Any options granted to a person required to report under Section 16(a) of the Exchange
Act must be approved by both the Company Board of Directors and the Committee in order to
be effective. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)
Payment of the exercise price of an option may be made in cash, or, if the applicable
Contract permits, in shares of Company Common Stock or any combination thereof. An option
agreement may provide that upon the exercise of the option, the Committee may elect to
pay an amount in cash, stock or both, equal to the excess of the fair market value per
share on the date of exercise over the per share exercise price under the option
multiplied by the number of option shares actually exercised. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)
Options may not be transferred other than by will or by the laws of descent and
distribution and may be exercised during the optionee&#146;s lifetime only by him or her. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) In
the case of the death of the optionee, his or her legal representative or beneficiary may
exercise the option, to the extent exercisable on the date of death, within 180 days
after such date, but in no event after the expiration of the term of the option. An
optionee whose employment was terminated by reason of his or her disability may exercise
the option, to the extent exercisable at the time of such termination, within 180 days
thereafter, but not after the expiration of the term of the option. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)
The Company may withhold cash and/or shares of Company Common Stock having an aggregate
value equal to the amount which the Company determines is necessary to meet its
obligations to withhold any federal, state and/or local taxes or other amounts incurred
by reasons of the grant or exercise of an option, its disposition or the disposition of
shares acquired upon the exercise of the option. Alternatively, the Company may require
the holder to pay the Company such amount, in cash, promptly upon demand. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>14 </FONT></P>
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</TD>
</TR>
</TABLE>




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<BR>
<HR SIZE=5 NOSHADE>


<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Adjustment
in Event of Capital Changes. Appropriate adjustments shall be made in the number and kind
of shares available under the Employee Option Plan, in the number and kind of shares
subject to each outstanding option and the exercise prices of such options, and in the
limitation on the number of shares that may be granted to any employee in any calendar
year, in the event of any change in the Company Common Stock by reason of any stock
dividend, recapitalization or merger in which the Company is not the surviving
corporation, split-up, combination, exchange of shares or the like. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Duration
and Amendment of the Employee Option Plan. No option may be granted pursuant to the
Employee Option Plan after the expiration of 10 years after its adoption. The Company&#146;s
Board of Directors may at any time terminate or amend the Option Plan; provided, however,
that, without the approval of the Company&#146;s stockholders, no amendment may be made which
would (a) increase the maximum number of shares available for the grant of options
(except as a result of the anti-dilution adjustments described above) or (b) materially
modify the eligibility requirements for individuals who may receive options. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Federal
Income Tax Treatment. The following is a general summary of the federal income tax
consequences under current tax law of NQSOs and ISOs. It does not purport to cover all of
the special rules, including special rules relating to optionees subject to Section 16(b)
of the Exchange Act and the exercise of an option with previously-acquired shares, or the
state or local income or other tax consequences inherent in the ownership and exercise of
stock options and the ownership and disposition of the underlying shares. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An
optionee will not recognize taxable income for federal income tax purposes upon the grant
of a NQSO or an ISO. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon
the exercise of a NQSO, the optionee will recognize ordinary income in an amount equal to
the excess, if any, of the fair market value of the shares acquired on the date of
exercise over the exercise price thereof, and the Company will generally be entitled to a
deduction for such amount at that time. If the optionee later sells shares acquired
pursuant to the exercise of a NQSO, he or she will recognize long-term or short-term
capital gain or loss, depending on the period for which the shares were held. Long-term
capital gain is generally subject to more favorable tax treatment than ordinary income or
short-term capital gain. The holding period for long-term capital gain treatment is
currently more than 1 year. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon
the exercise of an ISO, the optionee will not recognize taxable income. If the optionee
disposes of the shares acquired pursuant to the exercise of an ISO more than two years
after the date of grant and more than one year after the transfer of the shares to him or
her, the optionee will recognize long-term capital gain or loss and the Company will not
be entitled to a deduction. However, if the optionee disposes of such shares prior to the
end of the required holding periods, all or a portion of his or her gain, if any, will be
treated as ordinary income, and the Company will generally be entitled to deduct such
amount. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
addition to the federal income tax consequences described above, an optionee may be
subject to the alternative minimum tax, which is payable to the extent it exceeds the
optionee&#146;s regular tax. For alternative minimum tax purposes, upon the exercise of an
ISO, the excess of the fair market value of the shares over the exercise price therefor
is an adjustment which increases alternative minimum taxable income. In addition, the
optionee&#146;s basis in such shares is increased by such amount for purposes of computing the
gain or loss on the disposition of the shares for alternative minimum tax purposes. If an
optionee is required to pay an alternative minimum tax, the amount of such tax which is
attributable to deferral preferences (including the ISO adjustment) is generally allowed
as a credit against the optionee&#146;s regular tax liability in subsequent years. To the
extent the credit is not used, it is carried forward. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>15 </FONT></P>

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<BR>
<HR SIZE=5 NOSHADE>


<!-- MARKER FORMAT-SHEET="Para Flush 10" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Recommendation of Board of Directors </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
ATP Board of Directors has unanimously approved Proxy Proposal 2 and each recommends that
its respective stockholders vote &#147;FOR&#148; Proxy Proposal 2. </FONT></P>


<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>PROPOSAL 3:&nbsp;&nbsp;RATIFICATION
OF THE 2000 ADVANCED TECHNICAL PRODUCTS, INC. NON-EMPLOYEE DIRECTORS INC. STOCK OPTION
PLAN</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para Flush 10" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>General </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Company&#146;s Board of Directors has adopted, subject to shareholder approval, the 2000
Advanced Technical Products, Inc. Non-Employee Directors Stock Option Plan (the
&#147;Directors Option Plan&#148;), a copy of which is set forth as Annex B to this Proxy
Statement. The purpose of the Directors Option Plan is to provide non-employee directors
with a proprietary interest in the Company through the granting of options which will: </FONT></P>
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</TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(a) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>increase
the interest of the directors in the Company&#146;s welfare;</FONT></TD>
</TR>
</TABLE>
<BR>

<!-- MARKER FORMAT-SHEET="Para Hang Arabic 10 In 1" -->
<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(b) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>furnish
an incentive to the directors to continue their services for the Company; and</FONT></TD>
</TR>
</TABLE>
<BR>

<!-- MARKER FORMAT-SHEET="Para Hang Arabic 10 In 1" -->
<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(c) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>provide
a means through which the Company may attract able persons to serve on the Board.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLSPACING=0 CELLPADDING=0 BORDER=0>
<TR VALIGN=TOP>
<TD>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
approval of Proxy Proposal 3 requires the affirmative vote of the holders of a majority
of the shares of Company Common Stock present, in person or by proxy, at the ATP Annual
Meeting. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
following summary of certain material features of the Directors Option Plan does not
purport to be complete and is qualified in its entirety by reference to the text of the
Directors Option Plan, set forth as Annex B to this Proxy Statement. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Flush 10" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The Directors Option Plan </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares
Subject to the Directors Option Plan. The maximum number of shares as to which options
may be granted under the Directors Option Plan (subject to adjustment as described below)
is 100,000 shares of Company Common Stock. Upon expiration, cancellation or termination
of unexercised options, the shares of Company Common Stock subject to such options will
again be available for the grant of options under the Directors Option Plan. No options
have been granted under the Directors Option Plan. No options shall be granted under this
plan until all shares authorized under the 1997 Advanced Technical Products, Inc.
Non-Employee Directors Stock Option Plan have been granted. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Type
of Options. Options granted under the Directors Option Plan will be nonqualified stock
options. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Eligibility.
Each director of the Company who is not an employee of the Company or any Subsidiary of
the Company (an &#147;Eligible Director&#148;) will be granted options under the Directors Option
Plan, and upon such grant will become a participant in the plan. </FONT></P>
 <BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>16 </FONT></P>

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<BR>
<HR SIZE=5 NOSHADE>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Option
Contracts. Each option will be evidenced by a written contract between the Company and
the optionee, containing such terms and conditions not inconsistent with the Directors
Option Plan (the &#147;Contract&#148;). </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Terms
and Conditions of Options. The options granted under the Directors Option Plan will be
subject to, among other things, the following terms and conditions: </FONT></P>
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</TD>
</TR>
</TABLE>
<BR>

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<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(a) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Options
under the plan are automatically granted to Eligible Directors of the Company in
accordance with the terms of the plan. Grants of options to purchase 7,500 shares of
Common Stock are given to each Eligible Director elected to the Board who has not
previously served as a director of the Company on the date of such director&#146;s first
election to the Board, and continuing Eligible Directors receive a grant of options to
purchase 1,000 shares of Common Stock immediately following each annual meeting of
stockholders.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(b) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The
exercise price of each option shall be equal to the closing price of Common Stock of the
Company on the date of grant.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(c) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>The
period for exercising options begins on the date the option is granted and ends on the
earlier of the tenth anniversary of that date or the 180th day after termination of the
Eligible Director&#146;s service on the Board. Each option granted to purchase 7,500 shares of
Common Stock will vest as follows: 2,500 shares on the days immediately preceding each of
the three annual stockholders meetings following the grant date, provided that the
participant is still a director of the Company on those dates. Each option granted to
purchase 1,000 shares of Common Stock will vest 100% on the day immediately preceding the
annual stockholders meeting following the grant date, provided that the participant is
still a director of the Company on those dates.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(d) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>In
the case of the death of the optionee, his or her legal representative or beneficiary may
exercise the option, to the extent exercisable on the date of death, within 180 days
after such date, but in no event after the expiration of the term of the option.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(e) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>In
order to exercise an option, the optionee of beneficiary must give written notice to the
Company of the aggregate exercise price and the number of shares to be purchased. The
option price of shares purchased upon exercise of any option shall be paid in cash or by
check or on such other terms as are set forth in the applicable option agreement. No
shares will be issued until full payment has been made, and an optionee will have no
rights as a stockholder of the Company until shares are issued to him.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=600 CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(f) </FONT></TD>
<TD WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TD>
<TD WIDTH=91%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>If
an option granted under the plan terminates or expires without having been exercised in
full, the shares of Common Stock allocable to the unexercised portion of that option may
be made the subject of future grants of options under the plan.</FONT></TD>
</TR>
</TABLE>
<BR>

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<TD>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Adjustment
in Event of Capital Changes. Appropriate adjustments shall be made in the number and kind
of shares available under the Directors Option Plan, in the number and kind of shares
subject to each outstanding option and the exercise prices of such options, and in the
limitation on the number of shares that may be granted to any employee in any calendar
year, in the event of any change in the Company Common Stock by reason of any stock
dividend, recapitalization or merger in which the Company is not the surviving
corporation, split-up, combination, exchange of shares or the like. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Duration
and Amendment of the Employee Option Plan. No option may be granted pursuant to the
Directors Option Plan after the expiration of 10 years after its adoption. The Company&#146;s
Board of Directors may at any time terminate or amend the Directors Option Plan;
provided, however, that, without the approval of the Company&#146;s stockholders, no amendment
may be made which would (a) increase the maximum number of shares available for the grant
of options (except as a result of the anti-dilution adjustments described above) or (b)
materially modify the eligibility requirements for individuals who may receive options. </FONT></P>
<BR>

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<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>17 </FONT></P>
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</TD>
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<HR SIZE=5 NOSHADE>


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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Federal
Income Tax Treatment. In general, no taxable income will be recognized by the optionee,
and no deduction will be allowed to the Company, upon the grant of an option. Upon
exercise of an option, an optionee will recognize ordinary income (and the Company will
be entitled to a corresponding tax deduction) in an amount equal to the amount by which
the fair market value of the shares on the exercise date exceeds the option price. Any
gain or loss realized by an optionee on disposition of such shares generally is a capital
gain or loss. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Recommendation of Board of Directors </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
ATP Board of Directors have unanimously approved Proxy Proposal 3 and each recommends
that its respective stockholders vote &#147;FOR&#148; Proxy Proposal 3. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>PROPOSAL 4:&nbsp;&nbsp;RATIFICATION
OF AUDITORS</FONT></H2>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Board has appointed KPMG LLP, independent certified public accountants, to audit ATP&#146;s
consolidated financial statements for the year ending December 31, 2000. ATP has been
advised by KPMG LLP that neither the firm nor any of its associates has any material
relationship with ATP or any of its subsidiaries. In accordance with a resolution adopted
by the Board, such appointment is being presented to the stockholders for ratification at
the Annual Meeting. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
this proposal is not approved by a majority vote of the stockholders present, in person
or by proxy, at the Annual Meeting or if prior to the Annual Meeting, KPMG LLP shall
decline to serve, then the Board will designate another firm to audit the financial
statements of ATP for the year ending December 31, 2000 whose continued retention
thereafter will be subject to ratification by the stockholders of ATP. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Representatives
of KPMG LLP are expected to be present at the Annual Meeting to respond to appropriate
questions of stockholders and to make a statement if they desire. </FONT></P>


<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>STOCKHOLDERS&#146; PROPOSALS</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Company plans on holding its 2001 Annual Meeting in May 2001. Therefore, stockholders
must submit their proposals to the Secretary of the Company, 200 Mansell Court, East,
Suite 505, Roswell, Georgia 30076, a reasonable time before the Company begins to print
and mail its proxy materials to be considered for inclusion in the Company&#146;s 2001 proxy
material. </FONT></P>

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<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>MISCELLANEOUS</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Board of Directors knows of no business other than that set forth above to be transacted
at the Annual Meeting. If other matters requiring a vote of the stockholders arise, the
persons designated as proxies will vote the shares of Common Stock represented by the
proxies in accordance with their judgment on such matters. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
information contained in the Proxy Statement relating to the occupations and security
holdings of the directors and officers of the Company and their transactions with the
Company is based upon information received from the individual directors and officers.
All information relating to any beneficial owner of more than 5% of the Common Stock is
based upon information contained in reports filed by such owner with the SEC. </FONT></P>
<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>18 </FONT></P>
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</TD>
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<BR>
<HR SIZE=5 NOSHADE>


<!-- MARKER FORMAT-SHEET="Head Minor" -->
<H2 ALIGN=LEFT><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>ANNUAL REPORT AND
FINANCIAL INFORMATION</FONT></H2>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A copy
of the Company&#146;s 1999 Annual Report to Stockholders, which includes a copy of the
Company&#146;s annual report on Form 10-K for the year ended December 31, 1999, accompanies
this Proxy Statement. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Nothing
contained in the Annual Report to Stockholders is to be regarded as proxy soliciting
material or as a communication by means of which a solicitation of proxies is to be made. </FONT></P>
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</TD>
</TR>
</TABLE>
<BR>

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<TD WIDTH=60%>&nbsp;</TD>
<TD WIDTH=40%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>By
Order of the Board of Directors</FONT></TD>
</TR>
</TABLE>
<BR>

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<TD WIDTH=60%>&nbsp;</TD>
<TD WIDTH=40%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/
James P. Hobt<BR>James P. Hobt,<BR>Secretary</FONT></TD>
</TR>
</TABLE>
<BR>

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<TD>
<BR>

<!-- MARKER FORMAT-SHEET="Para Flush 10" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Roswell, Georgia<BR>September 20, 2000 </FONT></P>

<BR>

<!-- MARKER FORMAT-SHEET="Para Center 10" -->
<P ALIGN=CENTER><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>19 </FONT></P>



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<BR>
<HR SIZE=5 NOSHADE>





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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=3></FONT></H1>
<!-- MARKER FORMAT-SHEET="Head Major 10" -->
<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=3>ANNEX A</FONT></H1>




<!-- MARKER FORMAT-SHEET="Head Major 10" -->
<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=3>2000 ADVANCED
TECHNICAL PRODUCTS, INC.</FONT></H1>

<!-- MARKER FORMAT-SHEET="Head Major 10" -->
<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=3>STOCK OPTION PLAN</FONT></H1>

<!-- MARKER FORMAT-SHEET="Head Major 10" -->
<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=3>INTRODUCTION </FONT></H1>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
September 12, 2000 the Board of Directors of the Company adopted the following Stock
Option Plan: </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;
PURPOSE. The purpose of the Plan is to provide Employees with a proprietary interest in
the Company through the granting of Incentive Options and Nonqualified Options which will: </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;
increase the interest of the Employees in the Company&#146;s welfare; (b) furnish an incentive
to the Employees to continue their services for the Company; and (c) provide a means
through which the Company may attract able persons to enter its employ. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;
ADMINISTRATION. The Plan shall be administered by the Committee. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;
PARTICIPANTS. The Committee shall, from time to time, select the particular Employees of
the Company and its Subsidiaries to whom options are to be granted and who will, upon
such grant, become participants in the Plan. The individuals eligible for selection by
the Committee shall be those Employees whose performance and responsibilities are
determined by the Committee to be influential to the success of the Company. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;
STOCK OWNERSHIP LIMITATION. No Incentive Option may be granted to an Employee who owns
more than 10% of the voting power of all classes of stock of the Company or its Parent or
Subsidiaries. This limitation will not apply if the option price is at least 110% of the
fair market value of the stock at the time the Incentive Option is granted and the
Incentive Option is not exercisable more than five years from the date it is granted. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;
SHARES SUBJECT TO PLAN. Options may not be granted pursuant to the terms of the Plan for
more than 500,000 shares of Common Stock of the Company, but this number shall be
adjusted to reflect, if deemed appropriate by the Committee, any stock dividend, stock
split, share combination, recapitalization or the like, of or by the Company. Shares to
be optioned and sold may be made available from either authorized but unissued Common
Stock or Common Stock held by the Company in its treasury. Shares that by reason of the
expiration of an option or otherwise are no longer subject to purchase pursuant to an
option granted under the Plan may be re-offered under the Plan. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;
LIMITATION ON AMOUNT. The aggregate fair market value (determined at the time of grant)
of the shares of Common Stock which any Employee is first eligible to purchase in any
calendar year by exercise of Incentive Options granted under this Plan and all incentive
stock option plans of the Company or any Parent or Subsidiaries shall not exceed
$100,000. For this purpose, the fair market value (determined at the respective date of
grant of each option) of the stock purchasable by exercise of an Incentive Option (or an
installment thereof) shall be counted against the $100,000 annual limitation for an
Employee only for the calendar year such stock is first purchasable under the terms of
the option. </FONT></P>

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<HR SIZE=5 NOSHADE>


<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;
ALLOTMENT OF SHARES. Grants of options under the Plan shall be as described in this
Section 7 of the Plan, provided that the grant of an option shall not be deemed either to
entitle the Employee to, or to disqualify the Employee from, participation in any other
grant of options under the Plan. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;
The Committee shall determine the number of shares of Common Stock to be offered from
time to time by grant of options to Employees of the Company or its Subsidiaries. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;
Any option granted to a person required to report under Section 16(a) of the Securities
Exchange Act of 1934, as amended, must also be approved by the Board in order to be
effective. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.&nbsp;
GRANT OF OPTIONS. The maximum number of shares that may be granted under the Plan in
accordance with Section 6 of the Plan may be granted to any one Employee. The Committee
and the Board are authorized to grant both Incentive Options and Nonqualified Options
under the Plan. Incentive Options may only be granted to employees within the meaning of
Section 422 of the Internal Revenue Code. The grant of options shall be evidenced by
stock option agreements containing such terms and provisions as are approved by the
Committee but not inconsistent with the Plan, including provisions that may be necessary
to assure that any option that is intended to be an Incentive Option will comply with
Section 422 of the Internal Revenue Code. Stock option agreements may provide that an
option holder may request approval from the Committee to exercise an option or a portion
thereof by tendering shares of Common Stock of the Company at the fair market value per
share on the date of exercise in lieu of cash payment of the exercise price. Moreover,
stock option agreements for Nonqualified Options may provide that the option holder may
request approval from the Committee to pay any withholding associated with the
Nonqualified Option by tendering shares of Common Stock of the Company at the fair market
value per share on the date of exercise. An option agreement may provide, if the
Committee so determines, that upon exercise of the option the Committee may elect to pay,
in lieu of receipt from the optionholder of the exercise price and issuance of
certificates for the shares of stock exercised, an amount equal to the excess of the fair
market value per share on the date of exercise over the per share exercise price under
the option, multiplied by the number of shares covered by the option or portion thereof
being exercised (&#147;Stock Appreciation&#148;). Any such option agreement may provide that the
Stock Appreciation shall be paid to the optionholder either in cash or in Common Stock or
in cash and Common Stock (based on the fair market value of such stock on the date of the
exercise by the optionholder). The method of payment shall be determined by the Committee
in its sole discretion. The option to purchase shares shall terminate with respect to the
number of shares for which the Stock Appreciation is paid. The Company shall execute
stock option agreements upon instructions from the Committee. The Plan shall be submitted
to the Company&#146;s stockholders for approval. The Committee and the Board may grant options
under the Plan prior to the time of stockholder approval, which options will be effective
when granted, but if for any reason the stockholders of the Company do not approve the
Plan prior to one year from the date of adoption of the Plan by the Board, all options
granted under the Plan will be terminated and of no effect, and no option may be
exercised in whole or in part prior to such stockholder approval. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.&nbsp;
OPTION PRICE. The option price for an Incentive Option shall not be less than 100% of the
fair market value per share of the Common Stock on the date the option is granted. The
Committee shall determine the fair market value of the Common Stock on the date of grant
and shall set forth the determination in its minutes, using any reasonable valuation
method. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.&nbsp;
OPTION PERIOD. The Option Period will begin on the date the option is granted, which will
be the date the Committee authorizes the option unless the Committee specifies a later
date. No option may terminate later than ten years from the date the option is granted.
The Committee may provide for the exercise of options in installments and upon such
terms, conditions and restrictions as it may determine. The Committee may provide for
termination of an option in the case of termination of employment or any other reason. </FONT></P>

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<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.&nbsp;
RIGHTS IN EVENT OF DEATH OR DISABILITY. If a participant dies or becomes disabled [within
the meaning of Section 22(e)(3) of the Internal Revenue Code] prior to termination of his
right to exercise an option in accordance with the provisions of his stock option
agreement without having totally exercised the option, the option agreement may provide
that it may be exercised, to the extent of the shares with respect to which the option
could have been exercised by the participant on the date of the participant&#146;s death or
disability, (i) in the case of death, by the participant&#146;s estate or by the person who
acquired the right to exercise the option by bequest or inheritance or by reason of the
death of the participant, or (ii) in the case of disability, by the participant or his
personal representative, provided the option is exercised prior to the date of its
expiration or 180 days from the date of the participant&#146;s death or disability, whichever
first occurs. The date of disability of a participant shall be determined by the
Committee. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.&nbsp;
PAYMENT. Unless cash is paid to the participant upon exercise of the option, full payment
for shares purchased shall be made in cash or by check or, if allowed by the stock option
agreement and approved by the Committee, by tendering shares of Common Stock at the fair
market value per share at the time of exercise. Likewise, any withholding associated with
a Nonqualified Option may, if allowed by the stock option agreement and approved by the
Committee, be paid by tendering shares of Common Stock at the fair market value per share
at the time of exercise. No shares may be issued until full payment of the purchase price
therefor has been made, and a participant will have none of the rights of a stockholder
until shares are issued to him. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.&nbsp;
EXERCISE OF OPTION. Options granted under the Plan may be exercised during the Option
Period, at such times, in such amounts, in accordance with such terms and subject to such
restrictions as are set forth below. In no event may an option be exercised or shares be
issued pursuant to an option if any requisite action, approval or consent of any
governmental authority of any kind having jurisdiction over the exercise of options shall
not have been taken or secured. If the option agreement does not contain Stock
Appreciation provisions, the Committee may offer an optionholder, upon such conditions
and restrictions as it deems advisable and in lieu of receipt from him of the exercise
price and issuance of certificates for the shares of stock exercised, the right to elect
to receive payment in cash, Common Stock, or a combination of cash and Common Stock, as
the Committee shall determine, in an amount equal to the Stock Appreciation. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.&nbsp;
CAPITAL ADJUSTMENTS AND REORGANIZATIONS. The number of shares of Common Stock covered by
each outstanding option granted under the Plan and the option price shall be adjusted to
reflect, as deemed appropriate by the Committee, any stock dividend, stock split, share
combination, exchange of shares, recapitalization, merger, consolidation, separation,
reorganization, liquidation or the like, of or by the Company. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.&nbsp;
NON-ASSIGNABILITY. Options may not be transferred other than by will or by the laws of
descent and distribution. During a participant&#146;s lifetime, options granted to a
participant may be exercised only by the participant or as provided in section 11 hereof. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.&nbsp;
INTERPRETATION. The Committee shall interpret the Plan and shall prescribe such rules and
regulations in connection with the operation of the Plan as it determines to be advisable
for the administration of the Plan. The Committee may rescind and amend its rules and
regulations. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17.&nbsp;
AMENDMENT OR DISCONTINUANCE. The Plan may be amended or discontinued by the Board without
the approval of the stockholders of the Company, except that any amendment that would (1)
materially increase the number of securities that may be issued under the Plan, or (2)
materially modify the requirements of eligibility for participation in the Plan must be
approved by the stockholders of the Company. </FONT></P>
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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.&nbsp;
EFFECT OF PLAN. Neither the adoption of the Plan nor any action of the Board or the
Committee shall be deemed to give any Employee any right to be granted an option to
purchase Common Stock of the Company or any other rights except as may be evidenced by
the stock option agreement, or any amendment thereto, duly authorized by the Committee
and executed on behalf of the Company and then only to the extent and on the terms and
conditions expressly set forth therein. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.&nbsp;
TERM. Unless sooner terminated by action of the Board, this Plan will terminate on
September 11, 2010. The Committee may not grant options under the Plan after that date,
but options granted before that date will continue to be effective in accordance with
their terms. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20.&nbsp;
DEFINITIONS. For the purpose of this Plan, unless the context requires otherwise, the
following terms shall have the meanings indicated: </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;
&#147;Board&#148; means the Board of Directors of the Company. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;
&#147;Committee&#148; means the committee or committees of the Board appointed by the Board to
administer the Plan, or in the absence of such a committee, shall mean the entire Board. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;
&#147;Common Stock&#148; means the Common Stock which the Company is currently authorized to issue
or may in the future be authorized to issue (as long as the common stock varies from that
currently authorized, if at all, only in amount of par value). </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;
&#147;Company&#148; means Advanced Technical Products, Inc., a Delaware corporation. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;
&#147;Employee&#148; means any employee, officer, or consultant or advisor, provided that bona fide
services shall be rendered by consultants or advisors and such services must not be in
connection with the offer or sale of securities in a capital-raising transaction. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;
&#147;Internal Revenue Code&#148; means the Internal Revenue Code of 1986, as amended. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;
&#147;Incentive Option&#148; means an option granted under the Plan which meets the requirements of
Section 422 of the Internal Revenue Code. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;
&#147;Nonqualified Option&#148; means an option granted under the Plan which is not intended to be
an Incentive Option. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;
&#147;Option Period&#148; means the period during which an option may be exercised. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)&nbsp;
&#147;Parent&#148; means any corporation in an unbroken chain of corporations ending with the
Company if, at the time of granting of the option, each of the corporations other than
the Company owns stock possessing 50% or more of the total combined voting power of all
classes of stock in one of the other corporations in the chain. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)&nbsp;
&#147;Plan&#148; means this Stock Option Plan, as amended from time to time. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)&nbsp;
&#147;Subsidiary&#148; means any corporation in an unbroken chain of corporations beginning with
the Company if, at the time of the granting of the option, each of the corporations other
than the last corporation in the unbroken chain own stock possessing 50% or more of the
total combined voting power of all classes of stock in one of the other corporations in
the chain, and &#147;Subsidiaries&#148; means more than one of any such corporation. </FONT></P>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=3>ANNEX B</FONT></H1>




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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=3>2000 ADVANCED
TECHNICAL PRODUCTS, INC.</FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=3>NON-EMPLOYEE DIRECTORS
STOCK OPTION PLAN</FONT></H1>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
September 12, 2000 (the &#147;Effective Date&#148;), the Board of Directors of Advanced Technical
Products, Inc. (the &#147;Company&#148;) adopted a program of granting stock options to
non-employee directors of the Company which is formalized by the following Non-Employee
Directors Stock Option Plan: </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;
PURPOSE. The purpose of the Plan is to provide non-employee directors of the Company with
a proprietary interest in the Company through the granting of options which will </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;
increase the interest of the directors in the Company&#146;s welfare; </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;
furnish an incentive to the directors to continue their services for the Company; and </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;
provide a means through which the Company may attract able persons to serve on the Board. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;
ADMINISTRATION. The Plan will be administered by the Board or the Committee. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;
PARTICIPANTS. Each director of the Company who is not an employee of the Company or any
Subsidiary of the Company (an &#147;Eligible Director&#148;) will be granted options under the
Plan, and upon such grant will become a participant in the Plan. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;
SHARES SUBJECT TO PLAN. Options may not be granted under the Plan for more than 100,000
shares of Common Stock of the Company, but this number may be adjusted to reflect, if
deemed appropriate by the Board, any event described in Section 12. Shares to be optioned
and sold may be made available from either authorized but unissued Common Stock or Common
Stock held by the Company in its treasury. Shares that by reason of the expiration of an
option or otherwise are no longer subject to purchase pursuant to an option granted under
the Plan may be reoffered under the Plan. No options shall be granted under this plan
until all shares authorized under the 1997 Advanced Technical Products, Inc. Non-Employee
Directors Stock Option Plan have been granted. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;
ALLOTMENT OF SHARES. Grants of options under the Plan shall be as described in this
Section 5. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;
Each Eligible Director of the Company who is appointed or elected to the Board and has
not previously served as a director of the Company shall be granted an option, effective
as of the date establishing the option price under Section 7 (the &#147;Grant Date&#148;), to
purchase 7,500 shares of Common Stock. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;
Each Eligible Director of the Company, other than a first-time director covered by
Section 5(a), shall be granted an option at the time of each annual stockholders meeting,
effective as of the Grant Date, to purchase 1,000 shares of Common Stock. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;
GRANT OF OPTIONS. All options under the Plan shall be automatically granted as provided
in Section 5. The grant of options shall be evidenced by stock option agreements
containing such terms and provisions as are approved by the Board, or the Committee, but
not inconsistent with the Plan. The Company shall execute appropriate stock option
agreements. </FONT></P>

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<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;
OPTION PRICE. The option price shall be equal to the closing price of Common Stock of the
Company on (a) for grants under Section 5(a), the date of commencement of the Eligible
Director&#146;s service on the Board and (b) for grants under Section 5(b), the applicable
date of the Company&#146;s annual stockholders meeting. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.&nbsp;
OPTION PERIOD. The Option Period will begin on the Grant Date and will terminate on the
earlier of (i) the tenth anniversary of that date or (ii) the 180th day after termination
of the Eligible Director&#146;s service on the Board. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.&nbsp;
RIGHTS IN EVENT OF DEATH. If a participant dies prior to termination of his right to
exercise an option in accordance with the provisions of his stock option agreement
without having totally exercised the option, the option may be exercised at any time
prior to the earlier of the date of its expiration or the 180th day after the
participant&#146;s death by the participant&#146;s estate or by the person who acquired the right
to exercise the option by bequest or inheritance or by reason of the death of the
participant, subject to the other terms of the Plan and applicable laws, rules and
regulations. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.&nbsp;
PAYMENT. Full payment for shares purchased upon exercising an option shall be made in
cash or by check at the time of exercise, or on such other terms as are set forth in the
applicable option agreement. No shares may be issued until full payment of the purchase
price therefore has been made, and a participant will have none of the rights of a
stockholder until shares are issued to him. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.&nbsp;
VESTING. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;
Options described in Sections 5(a) will vest in one-third increments on the days
immediately preceding each of the three annual stockholders meetings which follow the
Grant Date, provided that the participant is still a director of the Company on those
dates. Options described in Section 5(b) will vest 100% on the day immediately preceding
the annual stockholders meeting which follows the Grant Date, provided that the
participant is still a director of the Company on that date. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp; In
no event may an option be exercised or shares be issued pursuant to an option if any
requisite action, approval or consent of any governmental authority of any kind having
jurisdiction over the exercise of options shall not have been taken or secured. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.&nbsp;
CAPITAL ADJUSTMENTS AND REORGANIZATIONS. The number of shares of Common Stock covered by
each outstanding option granted under the Plan and the option price thereof, and the
number of shares to be granted pursuant to Sections 5(b) and (c), may be adjusted to
reflect, as deemed appropriate by the Board, any stock dividend, stock split, share
combination, exchange of shares, recapitalization, merger, consolidation, separation,
reorganization, liquidation or the like, of or by the Company. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.&nbsp;
NON-ASSIGNABILITY. Options may not be transferred other than by will or by the laws of
descent and distribution. Except as otherwise provided in the Plan, during a
participant&#146;s lifetime, options granted to a participant may be exercised only by the
participant. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.&nbsp;
INTERPRETATION. The Board or the Committee shall interpret the Plan and shall prescribe
such rules and regulations in connection with the operation of the Plan as it determines
to be advisable for the administration of the Plan. The Board or the Committee may
rescind and amend its rules and regulations. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.&nbsp;
AMENDMENT OR DISCONTINUANCE. The Plan may be amended or discontinued by the Board without
the approval of the stockholders of the Company, except that any amendment that would (1)
materially increase the number of securities that may be issued under the Plan, or (2)
materially modify the requirements of eligibility for participation in the Plan must be
approved by the stockholders of the Company. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.&nbsp;
EFFECT OF PLAN. Neither the adoption of the Plan nor any action of the Board or the
Committee shall be deemed to give any director any right to be granted an option to
purchase Common Stock of the Company or any other rights except as may be evidenced by
the stock option agreement, or any amendment thereto, duly authorized by the Board or the
Committee and executed on behalf of the Company, and then only to the extent and on the
terms and conditions expressly set forth therein. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17.&nbsp;
TERM. Unless sooner terminated by action of the Board, the Plan will terminate on
September 11, 2010. Neither the Board nor the Committee may issue options under the Plan
after that date, but options granted before that date will continue to be effective in
accordance with their terms. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.&nbsp;
DEFINITIONS. For the purposes of the Plan, unless the context requires otherwise, the
following terms shall have the meanings indicated: </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;
&#147;Plan&#148; means this Non-Employee Directors Stock Option Plan, as amended from time to time. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;
&#147;Board&#148; means the board of directors of the Company. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;
&#147;Committee&#148; means any committee of the Board appointed by the Board to administer the
Plan or any portion of the Plan. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;
&#147;Common Stock&#148; means the Common Stock which the Company is currently authorized to issue
or may in the future be authorized to issue (as long as the common stock varies from that
currently authorized, if at all, only in amount of par value). </FONT></P>

<!-- MARKER FORMAT-SHEET="Para 10" -->
<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;
&#147;Option Period&#148; means the period during which an option may be exercised. </FONT></P>

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<P><FONT FACE="TIMES NEW ROMAN, TIMES, SERIF" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;
&#147;Subsidiary&#148; means any corporation in an unbroken chain of corporations beginning with
the Company if, at the time of the granting of the option, each of the corporations other
than the last corporation in the unbroken chain owns stock possessing 50% or more of the
total combined voting power of all classes of stock in one of the other corporations in
the chain, and &#147;Subsidiaries&#148; means more than one of any such corporation. </FONT></P>
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