EMPLOYMENT AGREEMENT

         THIS EMPLOYMENT  AGREEMENT (the "Agreement") is effective as of October
14, 2003 (the  "Effective  Date") by and between CTD  HOLDINGS,  INC., a Florida
corporation (the "Company"), and C.E. RICK STRATTAN (the "Employee").

                                    RECITALS:

         This Agreement is intended to provide for the employment of Employee by
the  Company  from and after the date  hereof,  all on the terms and  conditions
herein set forth.

         NOW, THEREFORE, for and in consideration of the premises and the mutual
covenants and agreements herein contained, and for other valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties hereby
agree as follows:

1.       Employment.

1.1.      Subject to Section 3 below,  the Company hereby employs Employee for a
          term beginning on October 14, 2003, and ending  December 31, 2004 (the
          "Employment Term"),  commencing on the Effective Date, to serve as the
          President  of the Company and to perform  such  services and duties as
          are  consistent  with  such  position  and as may be  directed  by the
          Company's Board of Directors. Employee hereby accepts such employment.
          Employee  shall not engage in any venture or activity that  materially
          interferes with Employee's  performance of his duties  hereunder.  The
          Employee agrees to be present and to work such hours and at such times
          as are reasonably  requested by the Company.  Employee's offices shall
          be located in Gainesville, Florida.

1.2.      Employee  may  extend  the term of this  Agreement  at the end of each
          elapsed year by giving  written notice of such extension not less than
          sixty (60) days prior to the first  anniversary  of this Agreement and
          each  anniversary  thereafter that the term of this Agreement is to be
          extended.  Immediately following the exercise this election to extend,
          the remaining  term of this  Agreement  will be one (1) years plus the
          period remaining in the year notice of the extension is given.

2.  Compensation and Benefits.

          During  the  Employment  Term,  the  Company  shall pay  Employee  the
          compensation and other amounts set forth below.

2.1.      Salary.

          The  Company  shall pay  Employee a salary of Three  Thousand  Dollars
          ($3,000) per month  through  December 31, 2003.  Beginning  January 1,
          2004,  Mr.  Strattan's  salary shall be  increased  to Eight  Thousand
          Dollars ($8,000) per month,  $3,000 of which shall be paid in cash and
          $5,000  of  which  shall  be paid by the  transfer  of  shares  of the
          Company's  common  stock valued as of the closing of the market on the
          last trading day of each month during 2004.  The common  shares issued
          shall be registered monthly on Form S-8 by the Company. The Employee's
          Salary shall be payable  according to the  Company's  regular  payroll
          practices and subject to such deductions as may be required by law.

2.2.     Benefits.

          Employee  shall  receive:  (i) the employee  benefits and  perquisites
          provided by the Company to its  executiveofficers  from  time-to-time,
          including two (2) weeks' paid vacation during each calendar year; (ii)
          twenty  (20) paid time off days per year and (iii)  reimbursement  for
          reasonable  and  necessary  out-of-pocket  expenses  incurred  in  the
          performance of his duties  hereunder,  including,  but not limited to,
          travel and  entertainment  expenses (such expenses shall be reimbursed
          by the Company,  from time to time,  upon  presentation of appropriate
          receipts therefor).

2.3.      The  Company  shall  provide  Employee  health  insurance  of  a  type
          acceptable  to  Employee,  the  premium  for which  shall  not  exceed
          $4,800.00 annually.

2.4.      The parties  acknowledge  that this Agreement is a continuation  of an
          ongoing  employment  relationship  and  that  in the  course  of  such
          relationship.  As an  inducement to enter into this  contract,  and to
          continue Employee's  employment by the Company,  the Company shall pay
          the accrued  salary by the issuance of shares of the Company's  common
          stock at a rate of $0.05 per share  reflecting the value of the common
          shares on October 14, 2003. The Company agrees to register said common
          shares as soon as  practicable  in  accordance  with state and federal
          securities laws.

3.       Termination.

          The  Employee's   employment  pursuant  to  this  Agreement  shall  be
          terminated by the first to occur of the following events.

3.1.     The death of Employee.

3.2.      The Complete  Disability of Employee.  "Complete  Disability"  as used
          herein shall mean the inability of Employee, due to illness,  accident
          or any other  physical or mental  incapacity,  to perform the services
          provided for in this Agreement for an aggregate of 120 days within any
          period of twelve (12) consecutive months during the term hereof.

3.3.      The  discharge  of Employee by the Company for Cause.  "Cause" as used
          herein shall mean:

3.3.1.   conviction of a felony or a crime involving moral turpitude;

3.3.2.         acts of fraud by Employee  against the Company or its affiliates,
               or in connection with the performance of his duties hereunder, as
               determined  by the  Company  after  investigation,  notice of the
               charge to Employee and after allowing  Employee an opportunity to
               explain the conduct in question;

3.3.3.         the Employee's willful and material failure or refusal to perform
               Employee's  duties  and  obligations  under  this  Agreement,  (a
               "Default");   provided,   however,  that  in  the  case  of  this
               subsection;  termination  for  "Cause"  shall  occur  only if the
               Company has given  written  notice of the Default to Employee and
               Employee  has  failed to cure the  Default in  question  during a
               period of seven (7) days after the date of Employee's  receipt of
               such notice.

3.4.      Upon any  termination  pursuant to Section 3.1,  the Company  shall be
          released from all obligations  hereunder (except for the obligation to
          pay any compensation and benefits  described in Section 2 hereof which
          are accrued and unpaid as of the date of termination).

3.5.      Employee shall not be required to pay any Company  related expense for
          later  reimbursement by the Company.  The Company will approve and pay
          Company related expenses in advance.

4.       Successors.

          This  Agreement  is personal  to  Employee  and may not be assigned by
          Employee.  This  Agreement is not  assignable by the Company except in
          connection with the sale of all or substantially  all of the Company's
          assets or stock or upon a merger or any similar  transaction.  Subject
          to the foregoing,  this Agreement shall inure to the benefit of and be
          binding upon the Company and its successors and assigns.

5.       Miscellaneous.

5.1.     Modification  and Waiver.

          Any term or condition of this  Agreement  may be waived at any time by
          the party  hereto that is entitled to the benefit  thereof;  provided,
          however,  that any such  waiver  shall be in writing and signed by the
          waiving party,  and no such waiver of any breach or default  hereunder
          is to be  implied  from the  omission  of the other  party to take any
          action  on  account  thereof.  A waiver on one  occasion  shall not be
          deemed to be a waiver  of the same or of any other  breach on a future
          occasion.  This Agreement may be modified or amended only by a writing
          signed by both parties hereto.

5.2.     Governing Law.

          This Agreement shall be construed in accordance  with, and all actions
          arising  under or in  connection  therewith  shall be governed by, the
          internal laws of the State of Florida.  The parties  hereto agree that
          any  claim  or  dispute  arising  under  or in  connection  with  this
          Agreement shall be submitted for adjudication exclusively in courts of
          Alachua County,  Florida,  and both parties hereto expressly agrees to
          be bound by such selection of  jurisdiction  and venue for purposes of
          such adjudication.  In any action arising out of or in connection with
          this agreement,  the prevailing party shall be entitled to recover its
          reasonable attorney's fees incurred.

5.3.     Tax  Withholding.

          The Company may withhold from any amounts payable under this Agreement
          such  taxes  as shall  be  required  to be  withheld  pursuant  to any
          applicable law or regulation.

5.4.     Section  Captions.

          Section  and  other  captions  contained  in  this  Agreement  are for
          reference  purposes  only  and  are in no way  intended  to  describe,
          interpret,  define  or limit  the  scope,  extent  or  intent  of this
          Agreement or any provision hereof.

5.5.     Severability.

          Every provision of this Agreement is intended to be severable.  If any
          term or  provision  hereof  is  illegal  or  invalid  for  any  reason
          whatsoever,  such  illegality  or  invalidity  shall  not  affect  the
          validity of the remainder of this Agreement.

5.6.     Integrated   Agreement.

          This  Agreement  constitutes  the entire  understanding  and agreement
          among the parties  hereto with respect to the subject  matter  hereof,
          and supersedes any other  employment  agreements  executed  before the
          date hereof.  Except with respect to the Investment  Agreement and the
          transactions   contemplated   thereby,   there   are  no   agreements,
          understandings, restrictions, representations, or warranties among the
          parties other than those set forth herein or herein provided for.

5.7.     Interpretation.

          No provision of this Agreement is to be interpreted for or against any
          party because that party or that party's legal representative  drafted
          such provision.  For purposes of this Agreement:  "herein,"  "hereby,"
          "hereunder,"  "herewith," "hereafter," and "hereinafter" refer to this
          Agreement  in its  entirety,  and  not to any  particular  section  or
          subsection.   This   Agreement  may  be  executed  in  any  number  of
          counterparts,  each of which shall be deemed an  original,  and all of
          which shall constitute one and the same instrument.

5.8.     Notices.

          All notices,  requests,  demands, or other communications  required or
          permitted  hereunder  shall be in writing  and shall be deemed to have
          been duly given  upon  receipt  if  delivered  in person or by Federal
          Express (or similar  overnight  courier service) to the parties at the
          following addresses:

                  If to Employee:                    C.E. Rick Strattan
                                                     27317 NW 78th Avenue
                                                     High Springs, FL 32643

                  If to the Company:                 CTD Holdings, Inc.
                                                     27317 NW 78th Avenue
                                                     High Springs, FL 32643

5.9.      Any party may change the address to which notices,  requests,  demands
          or other  communications to such party shall be delivered or mailed by
          giving  notice  thereof  to the other  parties  hereto  in the  manner
          provided  herein.  Any notice may be given on behalf of a party by its
          counsel.

         IN WITNESS  WHEREOF,  the parties hereto have executed this  Employment
Agreement as of the Effective Date.

                                              COMPANY:
                                              CTD HOLDINGS, INC.

                                              By: /s/ C.E. Rick Strattan
                                              ----------------------------------
                                              C.E. Rick Strattan
                                              President/Chief Executive Officer


                                              EMPLOYEE:

                                              /s/ C.E. Rick Strattan
                                              ----------------------------------
                                              C.E. RICK STRATTAN