Mr. Fred Silverman
Director Corporate contributions
Apple Computer Corporation
MS 38 J
20525 Mariani Avenue
Cupertino, California   94014

Dear Fred,

     This proposal is being submitted to Apple in behalf of the
Armenian Relief Society, a non-profit corporation, with whom NSI
has been assisting with Notepad computer teleconferencing and
network services following the tragic earthquake in Soviet Armenia
on December 7 which destroyed over 100 villages, all medical facilities,
and lifeline services, killing more than 25,000 people and leaving over
510,000 homeless.

     The "Quake" Project was initiated by NSI and the Armenian
Relief Society following conversations with the relief agencies
who were stymied by the destruction of the traditional means
of communications and the lack of an international crisis
management system that could provide coordinated assistance.
NSI has been assisted greatly by the Foundation for the Survival
and Development of Humanity in establishing a lease line to
Yerevan, the Capital of Soviet Armenia.  The Foundation is
headed here in the United States by Mr. William Miller, and
John Sculley is a member of the Foundation Board.  In Moscow
Academician Yvengenii Velikov is the Chairman of the Foundation.

     The principle participants from the Armenian Relief Society,
here in San Francisco and Glendale California have been meeting
in a sort of "electronic glosnost" with Armenian experts involved
in the immediate process of crisis mitigation, with the long term
goals of reconstructing the stricken regions to restore services
and programs vital to the reconstruction of Soviet Armenia.  The
Network services are provided by Notepad Systems International,
using Notepad computer conferencing.  The representatives from
the USSR Soviet Academy of Sciences, the Institute for Automated
Studies, Project SEARCH, have been meeting electronically for
the past two months to design various programs which require
group interaction across disciplines on an international level.

     The "Quake" computer conference has proved vital to matching
needs in the USSR with resources available in the Western World.
The principle focus of these efforts has initially focused on life
saving and health maintenance. As the conference and circumstances
have identified the broader needs facing Soviet Armenia we have
been requested to assist in the establishment of a distributed
network of personal computers to be tied to Notepad's host in
California which, via Tymnet, allows experts in Soviet Armenia
to communicate with their collegues from over 86 nations.

      NSI has reviewed this new requirement with the U.S.
Department of State, the Office of Foreign Disaster Assistance,
and the Department of Commerce to verify we are within export
laws governing this unique form of technical assistance.  We
have been assured that the conference is viewed by both the U.S.
and the U.S.S.R as vital to the cooperative relief goals established
by President Reagan and Bush, as well as by the lead agencies
involved under existing accords between the U. S. and the U.S.S.R.

     1)   The beneficiary of this proposal is the Armenian Relief
          Society - IRS Tax exempt Number: __ - _____________.

     2)   In Yerevan, Soviet Armenia we are principally in contact
          with the Institute for Automated Studies under the Direction
          of Levon Peshtmaldjian, and with Project Search, the official
          organization established by the Armenian Council of Ministers
          as the principle on-site organizing committee for locating
          missing persons, centralizing data regarding the earthquake
          and focus foreign relief and technical resources.  The head
          of Search is -----------------.

     3)   Quake Network Requirements:

          -  All systems should be standardized around Microsoft
             Word for Mac as the word processing package and
             Microsoft Works for communications.

          -  The Apple systems would all be logged into NSI's central
             Digital Equipment System 20/60 in Cupertino.  Each user
             dials a local telephone number to access the "Quake Network"
             on a daily basis to enter the conferences that have been
             established.  Within the USSR NSI and the IAS  in Moscow
             and in Yerevan has established a dedicated circuit where
             we will place a dedicated node to allow broader packet
             switched access by local ministries.

          -  2 Mac II systems should be set up in the SF Bay Area, 1
             at Hrair Balian's office, and 1 at NSI SF to coordinate
             the Notepad network,

             The Mac II at the ARS SFO will serve as the central PC
             for daily coordination of ARS Relief scheduling, problem
             solving and general coordination with ARS offices in
             Yerevan and donor offices around the world.  Hrair Balian
             is the principle officer with who we have been working.

             The Mac II at NSI will serve as the central point for
             meeting ARS needs, gather and publish weekly situation
             reports, coordinate with other donor agencies in other
             disciplines, coordinate technical requirements and training
             needs of network participants across the network system.

             These systems should have sufficient memory with hard disk,
             modems, and laser printers.  These Bay Area nodes along
             with NSI's central host will be vital for electronic publishing
             network communications, matching relatives in the U.S.
             vis Search with their Armenian families, administer special
             conferences underway and foreseen between various disciplines
             working on an international level, i.e. seismic, city planning,
             housing, health, transport and other lifeline experts,
             as well as support of new participants of the network.

             In addition to these needs NSI is constructing has been
             constructing a detailed database including all press, video
             and published articles to be used by the conference participants
             and other participating agencies for future disaster mitigation
             and planning.  Apple has several new products available which
             could help immensely, "Apple scanners" for data input, which
             would help minimize costs, and "RF interfaces so that the
             computer could be used for briefings using video monitors.
             NSI has approached ILM for programming assistance to take
             the multi-media conference proceedings and produce a CD Rom
             based interactive educational system to be used in Yerevan.

             We envision that the disaster conference proceedings and
             documentation could be used to construct a CD ROM sourced
             system using Apple MacIntoshes that could play a vital role
             in creating a distributed database across the network and
             importantly focus the vast information gathered for use in
             creating a permanent disaster communications system for
             future sudden disasters as called for by both the Soviets
             and donor agencies involved in Soviet Armenia.

          -  1 system as above should be set up in the LA HQ of ARS for
             coordination with the larger Armenian community in the area
             and all Armenian publications.

          -  1 system as above should be set up in the Washington DC HQ
             of ARS for any required coordination with the US government.

          -  5 complete systems should be set up in Yerevan, the capital
             of Soviet Armenia as follows:

               1  at RCADE to supervise the network
               1  at Health Ministry
               1  at Deputy Prime Minister's office who is in charge of
                  earthquake reconstruction and relief work
               1  at Armenpress to keep the relief agencies in the
                  diaspora updated on situation in Armenia
               1  extra if one of the above gets overloaded with work
                  or malfunctions

          -  5 complete systems to be distributed in each of the
             following stricken cities to function as links with the
             center in Yerevan: (2 Mac SE's) in Leninakan, (1 Mac SE)
             in Kirovakan, (1 Mac SE) in Spitak, (1 Mac SE) in Stepanavan.
             (two are suggested for Leninakan taking into consideration its
             size and corresponding needs).

          -  A total of 15 systems is respectfully suggested.

     The Quake Network as envisioned in Yerevan:

     Following my discussion with you Hrair and I asked Mr. Pesht
and Grigor Vaganian to help us define the use of the Apple systems
should they be made available.  Here is their response:

     History of the Quake Project Dec. 7 to February 21:

     On December 7, 1988 following the tragic earthquake in Soviet
Armenia I spoke by telephone with Vladimer Serdiuk, our contact at
the Institute for Automated Systems in Moscow who indicated the
need for Notepad computer based teleconferencing to help coordinate
communications between Soviet Armenia and donor nations seeking to
provide disaster mitigation assistance.  This invitation to provide
computer services grew from the successful use of Notepad in April
1986 following the Chernobyl disaster when Notepad was used to link
EPRI's Chief of Nuclear Operations, Ed Zebrosky with other western
nuclear experts to extinguish the fire in Unit number 4 at Chernobyl.

     Dr. Serdiuk reported at that time that all communications from
Moscow to Yerevan, the capital of Soviet Armenia were destroyed by
the earthquake and its aftermath, and that they were prepared to
place a dedicated circuit in Yerevan at the Armenian Branch of the
IAS to serve as a central node for international communicatons.
Serdiuk approached the head of the IAS, Professor Smirnov who also
concurred with the concept. We then spoke with the Executive Office
of the President, the Bush Transition Team, the State Department
Office of Foreign Disaster Assistance, and the Department of Commerce
to secure permission to provide transborder communications from the 86
countries NSI currently serves to the USSR's IAS and the IAS Armenian
Branch in Yerevan.

     Through the offices of the Governor I spoke with Vahe Yacorbian,
of the Armenian Relief Society who asked that we go ahead and do what
was necessary to establish the computer conference which he believed
would be critical to coordinating the assistance of the Armenian
Relief Society in their planned response.  He asked that we work with
Mourad Shanian, their Controller, and ultimately with Hrair Balian
who is now the present Administrator for the "Quake" Project.  Hrair
and I have been working since late December using the Notepad to work
interactively with Levon Pesht in Yerevan.  We have identified the
need for additional personal computers for the long term mitigation
efforts proposed by the ARS and the IAS in Soviet Armenia.