THE WELCH COMPANY
440 Davis Court #1602
San Francisco, CA 94111-2496
415 781 5700



February 7, 1999

04 00067 61 99020701




Mr. Mike Creed
Account Rep
Sales Department
JPS Net
770 L Streed #960
Sacramento, CA 95814

Subject: WELCHCO.COM
Account Renewal

Dear Mike,

On Mar 9, 1998 we purchased 100M of server space for one year. Over the course of the agreement, there have been 20 or so occassions each lasting for hours and days when JPS did not provide the agreed service. This has caused extra cost and delay in accomplishing the purpose of agreement.

An example occurred yesterday. These problems require customer patience, and are very costly. See for example the record on Jun 25, 1998. We realize tht JPS is a new firm with attendant snafus in delivering and supporting complex technical services, as reflected by "fancy twiddling" which JPS reported was required to restore service yesterday.

Please submit a letter with terms you propose to extend our agreement for another year, and explain the steps JPS plans to resolve and avoid the problems we have encountered this past year?

Sincerely,

THE WELCH COMPANY



Rod Welch