Parties to the agreement:
This document represents the agreed to terms of a proposed Promissory Note. The parties shall be obligated to
these terms only by the definitive final document drawn up according to these terms.
Borrower: Delta Mutual, Inc.
Lender: Neil Berman $193,740
Ivano Angelastri $129,160
Term: 24 months
Interest: 4% annual rate
Payment terms re principal: Balloon payment at 24 months, with
prepayment permitted without penalty
Payment of interest Interest accrued quarterly, added to the
principal amount due. Periodic payments may
be made without penalty
Seniority: This debt shall be senior to all other debt
within the limits of the laws of the State
Other terms: Full amount of principal and accrued
interest may be converted into common stock
of Delta Mutual, Inc. at the rate of $0.125
Converted stock shall be included in all
future registrations with the SEC.
Delta Mutual, Inc. Neil Berman Ivano Angelastri
/s/ Peter Russo /s/ Neil Berman /s/ I. Angelastri
--------------- --------------- -----------------
by: Peter F.
Date: May 12, 2004 Date: 5/12/04 Date: 12 of May 04