QuickLinks
 -- Click here to rapidly navigate through this document

 
 

Exhihit 10.8    
    


 
 

STOCK ESCROW AGREEMENT    
    


        STOCK ESCROW AGREEMENT, dated as of
                         , 2004 ("Agreement"), by and among CEA ACQUISITION CORPORATION, a Delaware
corporation ("Company"), CEA GROUP, LLC, ROBERT MOREYRA, DONALD RUSSELL, HAROLD EWEN and BRAD GORDON (collectively "Initial Stockholders") and CONTINENTAL STOCK TRANSFER & TRUST COMPANY, a New
York corporation ("Escrow Agent"). 


        WHEREAS,
the Company has entered into an Underwriting Agreement, dated                          , 2004 ("Underwriting
Agreement"), with EarlyBirdCapital, Inc.
("EBC") acting as representative of the several underwriters (collectively, the "Underwriters"), pursuant to which, among other matters, the Underwriters have agreed to purchase 3,500,000 units
("Units") of the Company. Each Unit consists of one share of the Company's Common Stock, par value $.0001 per share, and two Warrants, each Warrant to purchase one share of Common Stock, all as more
fully described in the Company's final Prospectus, dated                          , 2004 ("Prospectus") comprising
part of the Company's Registration Statement on
Form S-1 (File No. 333-110365) under the Securities Act of 1933, as amended ("Registration Statement"), declared effective on
                         , 2004 ("Effective Date"). 


        WHEREAS,
the Initial Stockholders have agreed as a condition of the sale of the Units to deposit their shares of Common Stock of the Company, as set forth opposite their respective names
in Exhibit A attached hereto (collectively "Escrow Shares"), in escrow as hereinafter provided. 



        WHEREAS,
the Company and the Initial Stockholders desire that the Escrow Agent accept the Escrow Shares, in escrow, to be held and disbursed as hereinafter provided. 


        IT
IS AGREED: 


        1.    Appointment of Escrow Agent.    The Company and the Initial Stockholders hereby appoint the Escrow Agent to act
in accordance with and subject to the terms of this Agreement and the Escrow Agent hereby accepts such appointment and agrees to act in accordance with and subject to such terms. 



        2.    Deposit of Escrow Shares.    On or before the Effective Date, each of the Initial Stockholders shall deliver to
the Escrow Agent certificates representing his respective Escrow Shares, to be held and disbursed subject to the terms and conditions of this Agreement. Each Initial Stockholder acknowledges that the
certificate representing his Escrow Shares is legended to reflect the deposit of such Escrow Shares under this Agreement. 


        3.    Disbursement of the Escrow Shares.    The Escrow Agent shall hold the Escrow Shares until the third anniversary
of the Effective Date ("Escrow Period"), on which date it shall, upon written instructions from each Initial Stockholder, disburse each of the Initial Stockholder's Escrow Shares to such Initial
Stockholder; provided, however, that if the Escrow Agent is notified by the Company pursuant to Section 6.7 hereof that the Company is being liquidated at any time during the Escrow Period,
then the Escrow Agent shall promptly destroy the certificates representing the Escrow Shares and; provided further, that if, after the Company consummates a Business Combination (as such term is
defined in the Registration Statement), it (or the surviving entity) subsequently consummates a liquidation, merger, stock exchange or other similar transaction which results in all of the
stockholders of such entity having the right to exchange their shares of Common Stock for cash, securities or other property, then the Escrow Agent will, upon receipt of a certificate, executed by the
Chief Executive Officer or Chief Financial Officer of the Company, in form reasonably acceptable to the Escrow Agent, that such transaction is then being consummated, and release the Escrow Shares to
the Initial Stockholders upon consummation of the transaction so that they can similarly participate. The Escrow Agent shall have no further duties hereunder after the disbursement or destruction of
the Escrow Shares in accordance with this Section 3. 





 



        4.    Rights of Initial Stockholders in Escrow Shares.    



        4.1    Voting Rights as a Stockholder.    Subject to the terms of the Insider Letter described in Section 4.4
hereof and except as herein provided, the Initial Stockholders shall retain all of their rights as stockholders of the Company during the Escrow Period, including, without limitation, the right to
vote such shares. 


        4.2    Dividends and Other Distributions in Respect of the Escrow Shares.    During the Escrow Period, all dividends
payable in cash with respect to the Escrow Shares shall be paid to the Initial Stockholders, but all dividends payable in stock or other non-cash property ("Non-Cash
Dividends") shall be delivered to the Escrow Agent to hold in accordance with the terms hereof. As used herein, the term "Escrow Shares" shall be deemed to include the Non-Cash Dividends
distributed thereon, if any. 


        4.3    Restrictions on Transfer.    During the Escrow Period, no sale, transfer or other disposition may be made of
any or all of the Escrow Shares except (i) by gift to a member of Initial Stockholder's immediate family or to a trust, the beneficiary of which is an Initial Stockholder or a member of an
Initial Stockholder's immediate family, (ii) by virtue of the laws of descent and distribution upon death of any Initial Stockholder, or (iii) pursuant to a qualified domestic relations
order; provided, however, that such permissive transfers may be implemented only upon the respective
transferee's written agreement to be bound by the terms and conditions of this Agreement and of the Insider Letter signed by the Initial Stockholder transferring the Escrow Shares. During the Escrow
Period, the Initial Stockholders shall not pledge or grant a security interest in the Escrow Shares or grant a security interest in their rights under this Agreement. 


        4.4    Insider Letters.    Each of the Initial Stockholders has executed a letter agreement with EBC and the Company,
dated as indicated on Exhibit A hereto, and which is filed as an exhibit to the Registration Statement ("Insider Letter"), respecting the rights and obligations of such Initial Stockholder in
certain events, including but not limited to the liquidation of the Company. 




        5.    Concerning the Escrow Agent.    



        5.1    Good Faith Reliance.    The Escrow Agent shall not be liable for any action taken or omitted by it in good
faith and in the exercise of its own best judgment, and may rely conclusively and shall be protected in acting upon any order, notice, demand, certificate, opinion or advice of counsel (including
counsel chosen by the Escrow Agent), statement, instrument, report or other paper or document (not only as to its due execution and the validity and effectiveness of its provisions, but also as to the
truth and acceptability of any information therein contained) which is believed by the Escrow Agent to be genuine and to be signed or presented by the proper person or persons. The Escrow Agent shall
not be bound by any notice or demand, or any waiver, modification, termination or rescission of this Agreement unless evidenced by a writing delivered to the Escrow Agent signed by the proper party or
parties and, if the duties or rights of the Escrow Agent are affected, unless it shall have given its prior written consent thereto. 



        5.2    Indemnification.    The Escrow Agent shall be indemnified and held harmless by the Company from and against any
expenses, including counsel fees and disbursements, or loss suffered by the Escrow Agent in connection with any action, suit or other proceeding involving any claim which in any way, directly or
indirectly, arises out of or relates to this Agreement, the services of the Escrow Agent hereunder, or the Escrow Shares held by it hereunder, other than expenses or losses arising from the gross
negligence or willful misconduct of the Escrow Agent. Promptly after the receipt by the Escrow Agent of notice of any demand or claim or the commencement of any action, suit or proceeding, the Escrow
Agent shall notify the other parties hereto in writing. In the event of the receipt of such notice, the Escrow Agent, in its sole discretion, may commence an action in the nature of interpleader in an
appropriate court to 



2





 




determine
ownership or disposition of the Escrow Shares or it may deposit the Escrow Shares with the clerk of any appropriate court or it may retain the Escrow Shares pending receipt of a final,
non-appealable order of a court having jurisdiction over all of the parties hereto directing to whom and under what circumstances the Escrow Shares are to be disbursed and delivered. 



        5.3    Compensation.    The Escrow Agent shall be entitled to reasonable compensation from the Company for all
services rendered by it hereunder. The Escrow Agent shall also be entitled to reimbursement from the Company for all expenses paid or incurred by it in the administration of its duties hereunder
including, but not limited to, all counsel, advisors' and agents' fees and disbursements and all taxes or other governmental charges. 


        5.4    Further Assurances.    From time to time on and after the date hereof, the Company and the Initial Stockholders
shall deliver or cause to be delivered to the Escrow Agent such further documents and instruments and shall do or cause to be done such further acts as the Escrow Agent shall reasonably request to
carry out more effectively the provisions and purposes of this Agreement, to evidence compliance herewith or to assure itself that it is protected in acting hereunder. 


        5.5    Resignation.    The Escrow Agent may resign at any time and be discharged from its duties as escrow agent
hereunder by its giving the other parties hereto written notice and such resignation shall become effective as hereinafter provided. Such resignation shall become effective at such time that the
Escrow Agent shall turn over to a successor escrow agent appointed by the Company, the Escrow Shares held hereunder. If no new escrow agent is so appointed within the 60 day period following
the giving of such notice of resignation, the Escrow Agent may deposit the Escrow Shares with any court it reasonably deems appropriate. 


        5.6    Discharge of Escrow Agent.    The Escrow Agent shall resign and be discharged from its duties as escrow agent
hereunder if so requested in writing at any time by the other parties hereto, jointly, provided, however, that such resignation shall become effective only upon acceptance of appointment by a
successor escrow agent as provided in Section 5.5. 


        5.7    Liability.    Notwithstanding anything herein to the contrary, the Escrow Agent shall not be relieved from
liability hereunder for its own gross negligence or its own willful misconduct. 




        6.    Miscellaneous.    



        6.1    Governing Law.    This Agreement shall for all purposes be deemed to be made under and shall be construed in
accordance with the laws of the State of New York. 


        6.2    Third Party Beneficiaries.    Each of the Initial Stockholders hereby acknowledges that the Underwriters are
third party beneficiaries of this Agreement and this Agreement may not be modified or changed without the prior written consent of EBC. 



        6.3    Entire Agreement.    This Agreement contains the entire agreement of the parties hereto with respect to the
subject matter hereof and, except as expressly provided herein, may not be changed or modified except by an instrument in writing signed by the party to the charged. 


        6.4    Headings.    The headings contained in this Agreement are for reference purposes only and shall not affect in
any way the meaning or interpretation thereof. 


        6.5    Binding Effect.    This Agreement shall be binding upon and inure to the benefit of the respective parties
hereto and their legal representatives, successors and assigns. 


        6.6    Notices.    Any notice or other communication required or which may be given hereunder shall be in writing and
either be delivered personally or be mailed, certified or registered mail, or 



3





 




by
private national courier service, return receipt requested, postage prepaid, and shall be deemed given when so delivered personally or, if mailed, two days after the date of mailing, as follows: 



If
to the Company, to: 




CEA
Acquisition Corporation

101 East Kennedy Boulevard

Suite 3300

Tampa, Florida 33602

Attn: Chairman






If
to a Stockholder, to his address set forth in Exhibit A. 


and
if to the Escrow Agent, to: 




Continental
Stock Transfer & Trust Company

17 Battery Place

New York, New York 10004

Attn: Chairman 






A
copy of any notice sent hereunder shall be sent to: 




Bingham
McCutchen LLP

399 Park Avenue

New York, New York 10022

Attn: Floyd I. Wittlin, Esq






and: 




EarlyBirdCapital, Inc.

600 Third Avenue

33rd Floor

New York, New York 10016

Attn: David M. Nussbaum, Chairman 





and:





Graubard
Miller

600 Third Avenue

32nd Floor

New York, New York 10016

Attn: David Alan Miller, Esq. 





The
parties may change the persons and addresses to which the notices or other communications are to be sent by giving written notice to any such change in the manner provided herein for giving
notice. 




        6.7    Liquidation of Company.    The Company shall give the Escrow Agent written notification of the liquidation and
dissolution of the Company in the event that the Company fails to consummate a Business Combination within the time period(s) specified in the Prospectus. 



4





 

        WITNESS
the execution of this Agreement as of the date first above written. 



	 	CEA ACQUISITION CORPORATION
	

 	

 	

 	

 
	 	By:	 	 
	 	 	
 J. Patrick Michaels, Jr., Chairman
	

 	

INITIAL STOCKHOLDERS:
	

 	

 	

 	

 
	 	CEA GROUP, LLC
	

 	

 	

 	

 
	 	By:	 	 
	 	 	

	 	 	Name:	 
	 	 	Title:	 
	

 	

 	

 	

 
	 	
 Robert Moreyra
	

 	

 	

 	

 
	 	
 Donald Russell
	

 	

 	

 	

 
	 	
 Harold Ewen
	

 	

 	

 	

 
	 	
 Brad Gordon
	

 	

 	

 	

 
	 	CONTINENTAL STOCK TRANSFER

  & TRUST COMPANY
	

 	

 	

 	

 
	 	By:	 	 
	 	 	

	 	 	Name:	Steven G. Nelson
	 	 	Title:	Chairman




5







 
 

EXHIBIT A    
    



	Name and Address of

Initial Stockholder
	 	Number

of Shares
	 	Stock

Certificate Number
	 	Date of

Insider Letter

	CEA Group, LLC

101 East Kennedy Boulevard

Suite 3300

Tampa, Florida 33602	 	437,500	 	1,6	 	November 4, 2003
	

Donald Russell

c/o CEA Acquisition Corporation

101 East Kennedy Boulevard

Suite 3300

Tampa,Florida 33602	
 	

175,000	
 	

2,7	
 	

November 4, 2003
	

Robert Moreyra

c/o CEA Acquisition Corporation

101 East Kennedy Boulevard

Suite 3300

Tampa, Florida 33602	
 	

131,250	
 	

3,8	
 	

November 4, 2003
	

Harold Ewen

c/o CEA Acquisition Corporation

101 East Kennedy Boulevard

Suite 3300

Tampa, Florida 33602	
 	

87,500	
 	

4,9	
 	

November 4, 2003
	

Brad Gordon

c/o CEA Acquisition Corporation

101 East Kennedy Boulevard

Suite 3300

Tampa, Florida 33602	
 	

43,750	
 	

5,10	
 	

November 4, 2003











QuickLinks


Exhihit 10.8

STOCK ESCROW AGREEMENT


EXHIBIT A