NOFIRE TECHNOLOGIES, INC.
                       8% CONVERTIBLE BOND
                      DUE December 31, 2007


$275,000                                                                 No.17


          NoFire Technologies, Inc., with principal offices at 21 Industrial
Avenue, Upper Saddle River, New Jersey  07458, U.S.A., a corporation organized
and existing under the laws of the State of Delaware (hereafter called the
"Corporation"), for value received, hereby promises to pay Alphonso Margino,
(the "Holder"), the principal sum of  Two Hundred Seventy Five Thousand
Dollars ($275,000) on December 31, 2007 (the "Maturity Date") and to pay
interest thereon semi annually at the rate of eight (8%) percent per annum,
computed on a simple interest basis.

1.           Conversion.           The Holder of this Bond is entitled, at his
option, at any time on or before the close of business on December 31, 2007
to convert this Bond at the principal amount hereof plus any interest accrued
into fully paid and nonassessable shares of the common stock, twenty ($0.20)
cent par value, of the Corporation (the "Common Stock") at the conversion rate
of $0.14 per share surrender of this Bond accompanied by written notice to the
Corporation that the Holder elects to convert this Bond or, if less than the
entire amount is to be converted, the portion hereof to be converted.

2.           Adjustment of Conversion Rate.           The conversion rate
shall be subject to adjustment as calculated by the Corporation if the
Corporation shall (i) pay a dividend on Common Stock in Common Stock, (ii)
subdivide or split its outstanding shares of Common Stock, or (iii) combine
its outstanding shares of Common Stock into a smaller number of shares.
Whenever a conversion rate is adjusted under this Bond, the Corporation shall
promptly notify the Holder of the Bond setting forth the conversion rate after
such adjustment and setting forth a brief statement of the facts requiring
such adjustment.

3.           Covenant to Reserve Shares for Conversion.   The Corporation
covenants that it shall at all times reserve and keep available out of its
authorized Common Stock, solely for the purpose to issue upon conversion of
the Bond, such number of shares of Common Stock as shall then be issuable upon
the conversion of the Bond.  The Corporation covenants that all shares of
Common Stock which shall be so issuable shall, when issued, be duly and
validly issued and fully paid and non-assessable.

4.           Recourse to Corporation Only.  The Holder of this Bond shall not
have recourse for the payment of principal of, or interest on, this Bond or
for any claim based on this Bond, against any director, officer,
representative, or stockholder, past, present, or future, of the Corporation.
By acceptance of this Bond, the Holder waives any such claim against any such
person.

5.           Accelerated Payment
                 A. This Bond may be prepaid at any time at the option of the
                      Corporation

                 B. This Bond shall be due and payable immediately in the
                      event that the Corporation either files for
                      reorganization  under the bankruptcy laws or is forced
                      into bankruptcy.

                 C. This Bond shall be due and payable immediately if there is
                      an attempt made to take control of the company.

6.            Anti Dilution   The Corporation agrees that it will not issue
either further common stock or warrents to purchase common stock without the
written agreement of Sam Gottfried and Sam Oolie.

7.            Registration.  If the Corporation proposes for any reason to
register any of its Common Stock under the Securities Act of 1933, as amended
(the Securities Act), it shall promptly give written notice to the Holder
and, upon, the written request, given within fifteen (15) days after receipt
of the notice, of the Holder to register any Common Stock into which the Bond
is convertible, the Corporation shall use its best efforts to cause such
Common Stock to be included in such registration under the Securities Act.  In
the event that the proposed registration by the Corporation is, in whole or in
part, an underwritten public offering of the Common Stock of the Corporation,
if the managing underwriter determines and advises in writing that the
inclusion of all Common Stock proposed to be included in the underwritten
public offering would interfere with the successful marketing of the Common
Stock, then the number of shares of Common Stock to be included in the
registration shall be reduced, pro rata, among the Holders of all Bonds and
the Stockholders of the Corporation as determined in the discretion of the
managing underwriter in consultation with the Corporation.  If the Common
Stock is not then registered, the share certificate shall contain an
appropriate legend.

                     IN WITNESS WHEREOF, the Corporation has caused this Bond
to be executed in its corporate name by the signature of its Chairman and the
corporate seal shall be imprinted hereon and attested by the signature of the
secretary of the Corporation.

Dated: August 30, 2004

Attest:                                 NoFire Technologies, Inc.


______________________            By: _______________________________
Al Margino, Secretary                      Sam Oolie, Chairman

                                  By:________________________________
                                         Sam Gottfried, President