Document:

EXHIBIT 10.13

                             MANUFACTURING AGREEMENT

         AGREEMENT, made as of this 26th day of September, 1996, between MIT
DEVELOPMENT CORPORATION, a corporation organized and existing under the laws of
the State of Delaware, United States of America ("MIT"), and CHRONIMED, INC., a
corporation with a principal place of business at 13911 Ridgedale Drive, Suite
250, Minnetonka, Minnesota 55305 ("CHRONIMED").

         WHEREAS, CHRONIMED desires MIT to manufacture these certain blood
glucose meters known as the CHRONIMED Supreme II System (including subsequent
revisions of the Supreme II System) subject to the terms and conditions set
forth herein; and

         WHEREAS, MIT is in the business of manufacturing certain blood glucose
meters; and

         NOW THEREFORE, in consideration of the foregoing premises and the
mutual covenants set forth below, the parties hereto agree as follows:

SECTIONS 1: DEFINITIONS

When used in this Agreement, the following terms will have the respective
meanings stated below:

1.1      "Product(s)" means the CHRONIMED Supreme II System (including
         subsequent revisions of the Supreme II System) designed to read certain
         strips and determine blood glucose levels, to be manufactured by MIT or
         its subcontractors in accordance with the design developed by MIT and
         CHRONIMED.

1.2      "Dollar or $" means U.S. dollars, unless specifically indicated
         otherwise.

1.3      "Specifications" are attached as Amendment II

         SECTION II: MANUFACTURE SALE AND DESIGN

2.1      CHRONIMED hereby retains MIT as its exclusive manufacturer of the
         Product during the Term of this agreement. During the term of this
         Agreement and subject to the terms and conditions hereof, MIT agrees to
         manufacture and sell to CHRONIMED and CHRONIMED agrees to purchase from
         MIT, such Products as CHRONIMED may order pursuant to this Agreement.

2.2      MIT shall manufacture all Products in a good and workmanlike manner in
         accordance with the Specifications, and consistent with all applicable
         guidelines, laws, ordinances, rules, and regulations including, without
         limitation, those relating to Good Manufacturing Practices by the
         United States Food and Drug Administration (FDA). CHRONIMED shall have
         the full right to review MIT compliance with such applicable
         guidelines, laws, ordinances, rules, and regulations.

<PAGE>

2.3      MIT shall maintain records in accordance with the applicable
         guidelines, laws, rules, and regulations of the FDA relative to the
         manufacture, storage, and shipping of the Product, and any batch
         processing of the Products or Product components for a period of not
         less than two (2) years after the date of manufacture of the applicable
         Product or component

2.4      MIT shall not implement any change in the Products, components
         therefor, processes for producing Products or components, or design
         thereof without the prior written consent of CHRONIMED. In the case of
         immaterial changes or the substitution of components with equivalent or
         better performance, CHRONIMED's consent shall not be unreasonably
         withheld or delayed. In all other cases, CHRONIMED can withhold its
         consent in its sole discretion. To implement this Section, MIT shall
         inform CHRONIMED in writing of any change it desires to make involving
         the Product. CHRONIMED accept or reject such change and shall notify
         MIT of its decision within thirty (30) days of receipt of such
         notification. Failure to so inform MIT within forty-five (45) days of
         request shall constitute a default approval on behalf of CHRONIMED.

2.5      MIT shall be responsible for procuring, purchasing, and inventorying
         all such raw material, components, and spare parts and for inventorying
         Products produced therefrom, provided however that MIT shall not be
         held responsible for shortages of components from MIT vendors
         occasioned by circumstances beyond MIT control.

2.6      The design of the Product is a derivative of a design by MIT of several
         commercially available blood glucose meters not exclusive to CHRONIMED
         but proprietary to MIT. The algorithms as they relate to the look up of
         CHRONIMED standard curves are exclusive to CHRONIMED and owned by
         CHRONIMED. The case design as embodied in the Supreme II System
         (including subsequent revisions of the Supreme II System) and as
         detailed in the case drawings is owned by CHRONIMED. The tools owned by
         CHRONIMED are on the attached Appendix I. CHRONIMED shall be entitled
         to obtain the tools that it owns upon CHRONIMED's written request. In
         the event that the tools are not delivered to CHRONIMED within thirty
         (30) days of such request, CHRONIMED shall have the right to withhold
         royalties as described in Section 11.2, unless both parties agree that
         best efforts have been made to secure the tools and have been
         unsuccessful, or if both parties mutually agree that the related wear
         of the tools make the retrieval of such, financially unnecessary. The
         algorithms, the case design and any other aspects of the Supreme II
         System which are proprietary to CHRONIMED, as well as CHRONIMED's
         tooling, shall not be provided to or disclosed to any third party or
         used on behalf of any third party without the consent of CHRONIMED.

         SECTION III: PURCHASE PRICE

3.1      The purchase price for the first XXXXXX (XXX) Products will be built
         with OTP versions of the microprocessor and the purchase price will be
         XXX and XX/100 Dollars ($XXX) each. The next XXXXXX (XXX) Units
         purchased will have the purchase price of XXX and XX/100 ($XXX)
         provided that for these XXXXXX (XXX) units CHRONIMED orders at least
         XXXXXX (XXX) units per month.

<PAGE>

3.2      Provided that CHRONIMED gives orders sufficient to maintain an average
         monthly volume of at least XXXXX (XXX) Units per month, any units after
         the initial purchase of the aforementioned (Section 3.1) XXXXXX (XXX)
         units will be purchased at XXX and XX/100 Dollars ($XXX). If the Unit
         Volume is less than the XXXXXX (XXX) Units per month, then MIT and
         CHRONIMED will negotiate a price for applicable units above XXXXXXX
         (XXX) units based upon the estimated unit volume of the product to be
         manufactured. If the annual volume (using the calendar year) exceeds
         XXXXXX (XXX) Units per year, MIT and CHRONIMED will negotiate a new
         price reflecting a larger discount based upon the higher volume for
         future production forecasts and schedules.

3.3      In the event MIT and CHRONIMED are unable to reach an agreement in
         connection with any revised pricing, then the parties agree to be bound
         by arbitration as set forth in Section Twenty Two (XXII) of this
         agreement.

3.4      Notwithstanding the above, however, prices may be increased or
         decreased on a semi annual basis, based upon MIT or its subcontractors
         substantiated documentation of actual increase or decrease in
         materials, labor and overhead costs at the end of any given six months
         (6) period over the prices of the previous six months (6) period,
         provided, however, that in no event shall prices increase more than ten
         percent (10%) during any 12-month period. The parties will commence
         discussions for any such pricing increase or decrease within the thirty
         (30) day period preceding the end of the appropriate period.

SECTION IV: DELIVERY

4.1      MIT will deliver Products to a carrier on CHRONIMED's behalf, F.O.B.
         XXXXX, within thirty (30) days after the end of the month forecasted in
         CHRONIMED's relevant forecast set forth in Section VII. MIT will give
         CHRONIMED not less than twenty-four (24) hours prior notice of the date
         of each delivery of Products hereunder. MIT will also use its best
         commercially reasonable efforts to make weekly, or biweekly or monthly
         shipments of Products as requested by CHRONIMED.

4.2      MIT will, if requested by CHRONIMED, procure insurance on all shipments
         of Product to CHRONIMED and may, at its option, bill CHRONIMED
         separately or add the insurance to CHRONIMED's invoice. CHRONIMED shall
         pay all charges for shipping, freight, tariff, import duties, and
         delivery in the manner set forth in Section 6.1 a.

SECTION V: OUALITY ASSURANCE

5.1      MIT shall deliver to CHRONIMED, with each shipment of the Product,
         written certification that it has tested such shipment for Product
         compliance with Specifications and that each unit included in such
         shipment complies with such Specifications. CHRONIMED shall have thirty
         (30) calendar days from the date of receipt of each shipment of the
         Product to confirm conformity with the design and operating
         specifications. Any notice of rejection of any shipment of the Product
         or portion thereof must by given in writing and received by MIT within
         said thirty (30) day period or such shipment will be deemed to have
         been accepted.

5.3      In the event that any Product supplied is determined by or on behalf of
         CHRONIMED to fail to conform to the design per specifications in
         Amendment II, or to be in breach of the

<PAGE>

         warranty of Section 8.1, MIT agrees to provide CHRONIMED, at its
         discretion, with the following options to resolve the breach of
         warranty: non-payment for portion of shipment determined to be
         non-conforming, a credit on the next invoice for such defective
         Product, or to replace an equal amount of Product in the next shipment.

5.4      CHRONIMED agrees to comply with the disposition of Product as described
         in Section 5.3 at the advise and expense of MIT.

SECTION VI: PAYMENT

6.1      The purchase price referred to herein shall be due and payable in U.S.
         dollars to MIT within thirty (30) days after receipt of the Product
         shipment at CHRONIMED's Eden Prairie, MN distribution center. All
         amounts due past the due date shall carry interest at the rate of one
         percent (1%) per month. Failure to pay amounts due within ninety (90)
         days after the first due date shall constitute a material breach of
         this Agreement. In the event CHRONIMED fails to make any payment in
         accordance with this agreement, then CHRONIMED shall be responsible for
         all collections costs, including reasonable attorney fees.

SECTION VII: FORECASTS AND PRODUCTION TERMINATION

7.1      CHRONIMED shall provide MIT monthly with a rolling six (6) month pro
         forma forecast of its expected orders of Product for purposes of XXX
         inventory control. It is understood, and agreed to by CHRONIMED that
         subsequent monthly forecasts may change previously stated six (6) month
         forecasts. The aforementioned six month pro forma forecasts shall
         constitute a firm purchase order. All pro forma forecasts will be
         formalized sixty (60) days prior to execution date of the purchase
         order.

7.2      CHRONIMED reserves the right to cancel or stop production for any
         reason during the term of this Agreement provided CHRONIMED shall be
         responsible for the actual cost of all inventory, including components
         and sub-assemblies, fully assembled units, and for parts on order that
         cannot be terminated, unless the reason for termination of the
         Agreement is a result of the incoming quality control (IQC) production
         quality level (not field returns) being received by CHRONIMED. The IQC
         production quality control is a measure of the quality of received new
         product from MIT.

SECTION VIII: WARRANTY

8.1      MIT warrants that all Products will strictly conform to the design
         specifications, be free of defects, be in compliance with all
         applicable legal requirements and approvals, and be in good operating
         condition for a period of fifteen (15) months from the date of product
         receipt at CHRONIMED's distribution facility, and that CHRONIMED will
         receive good title thereto, free of all liens and encumbrances of any
         kind. This warranty will survive any delivery, acceptance, inspection
         or payment by CHRONIMED.

         MIT will replace defective Products or credit CHRONIMED for units which
         are defective and returned within the warranty period. In addition, MIT
         warrants that the facility and processes and other aspects of the
         manufacture of the Products now meet FDA's Good Manufacturing Practices
         (GMP) and will continue to fulfill FDA's GMP throughout the

<PAGE>

         term of this Agreement.

         SUPPLIER HEREBY DISCLAIMS ANY OTHER WARRANTIES. EXPRESS OR IMPLIED,
         WITH RESPECT TO THE QUALITY OF PRODUCT, INCLUDING WARRANTIES AS TO ITS
         MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE. XXX SHALL NOT BE
         RESPONSIBLE FOR ANY CONSEQUENTIAL DAMAGES IN CONNECTION WITH THE USE OF
         THE PRODUCTS.

SECTION IX: RISK OF LOSS

9.1      CHRONIMED will bear the risk of damage or deterioration loss of
         Products from the time Products are properly delivered by MIT into the
         possession of a carrier on CHRONIMED's behalf, F.O.B. Taiwan.

SECTION X: TERM AND EFFECTIVE DATE

10.1     This agreement is effective as of the date first above written and
         shall apply only to Products manufactured and shipped to CHRONIMED
         after its effective date. Unless earlier terminated in accordance with
         Section VII or XI, this Agreement will continue in effect for a term of
         three (3) years from the date hereof, and will automatically renew
         annually, unless notification of termination is provided by either side
         not less than forty-five (45) days before this Agreement would
         otherwise expire. In the event CHRONIMED terminates production in
         accordance with Section VII hereof, MIT's rights as exclusive
         manufacturer shall continue for the balance of the three (3) year term
         should CHRONIMED desire to purchase or have manufactured additional
         products.

SECTION XI: BREACH

11.1     Either party may terminate this agreement upon written notice to the
         other party if such other party fails to cure a material breach hereof
         within thirty (30) days after written notice thereof. or if said breach
         cannot be reasonably cured within thirty (30) days in which event the
         defaulting party shall have commenced to cure within such thirty (30)
         day period and shall diligently pursue such cure thereafter, the
         defaulting party shall have such additional time as me be reasonably
         required to cure such default. If CHRONIMED terminates this Agreement
         pursuant to this Section, CHRONIMED will be entitled to cancel all
         other orders for Products outstanding as of the date of termination
         upon notice to MIT provided, however, CHRONIMED shall be responsible
         for the actual cost for all inventory, components and sub-assemblies,
         fully assembled units, components and for parts on order that cannot be
         terminated unless MIT has materially breached this Agreement by
         providing CHRONIMED with Product that does not meet IQC production
         quality level, and fails to correct or resolve production performance
         issues in an appropriate period of time as agreed upon by both parties.

11.2     In the event of a termination of this Agreement, CHRONIMED may at its
         option, manufacture or have manufactured by a third party, the Supreme
         II product or a derivative thereof. In such event, CHRONIMED agrees to
         pay MIT a royalty of XXX Dollars ($XXX) per unit for the first XXX
         years after termination, and then XXX dollars ($XXX) in the XXX year,
         XXX dollars ($XXX) in the XXX year, XXX dollars ($XXX) in the XXX year,
         XXX dollars ($XXX) in the XXX year and XXX dollars ($XXX) per unit
         royalty thereafter.

<PAGE>

         Under the conditions expressed in Section 2.6, MIT will transfer all
         tool and assembly techniques to CHRONIMED.

SECTION XII: SUPPORT

12.1     MIT will provide CHRONIMED with two (2) Calibrations Stations free of
         charge. These Calibrations Stations will consist of a test platform and
         conditioning electronics. CHRONIMED must supply the personal computers
         to operate the calibrators. MIT will also supply calibration equipment
         as described above to large customers of CHRONIMED when agreed upon
         between MIT and CHRONIMED.

SECTION XIII: SURVIVAL OF OBLIGATIONS

13.1     The expiration or earlier termination of this agreement will not
         operate to release either party hereto from any liability which has
         already accrued to the other party as of the date of expiration or
         termination or which may thereafter accrue in respect of an act or
         omission occurring prior to expiration or termination.

SECTION XIV: INDEMNIFICATION

14.1     CHRONIMED agrees to indemnify, defend and hold harmless MIT, its
         successors, assigns, subcontractors, agents, employees, stockholders,
         officers, directors, affiliates and subsidiary corporations
         (collectively the "Indemnified Parties") from and against any and all
         claims, costs, demands, liabilities, judgments, losses, damages
         (including consequential damages) and expenses of whatever nature,
         whether brought against MIT, CHRONIMED or both, including reasonable
         attorney's fees arising out of CHRONIMED's sale, use manufacture,
         assembly, use or application of the Product, except in the event of
         litigation against CHRONIMED concerning the Product, then MIT will
         provide to CHRONIMED expert witness testimony, documentation and such
         support, as may be reasonably within MIT's control.

         Without limiting the foregoing, CHRONIMED's indemnity shall include any
         types of actions brought, whether against MIT or CHRONIMED, including
         any product liability claims, patent or similar type infringement
         claims or for violation of any Federal, State or local law, statute or
         regulation, including those yet to be enacted, relative to the Supreme
         II product or a derivative thereof.

14.2     MIT agrees to indemnify, defend and hold harmless CHRONIMED, its
         successors, subcontractors, agents, employees, officers and directors,
         from and against any and all claims, costs, demands, liabilities,
         losses, damages (including consequential damages) and expenses of
         whatever nature, including reasonable attorney's fees {collectively
         "Losses") arising out of or due to latent defects of the Product which
         MIT knowingly manufactured for financial gain, or other reasons.

SECTION XV: FORCE MAJEURE

15.1     No party hereto will be liable to any other party for any failure or
         delay of performance or other consequence which is due to any act of
         God, act of government, war, civil disturbance or other cause beyond
         such party's reasonable control and power to remedy, or any strike or
         labor dispute or disruption of transportation, whether or not such
         party is capable of resolving the problem by the payment of money.

<PAGE>

SECTION XVI: NON-WAIVER

16.1     The waiver, express or implied, by either party of any right hereunder,
         will not constitute a waiver of any other right.

SECTION XVII: AMENDMENT

17.1     No amendment of this agreement will be effective unless reduced to a
         writing executed by the duly authorized representatives of both parties
         hereto.

SECTION XVIIL ASSIGNMENT

18.1     The rights and liabilities of the parties shall bind and inure to the
         benefit of their respective successors and assigns provided, however,
         MIT may not assign its rights or delegate its obligations hereunder
         without the prior consent of CHRONIMED (which consent shall not be
         unreasonably withheld) and any such purported assignment or delegation,
         in the absence of such consent, will be void and without effect.
         CHRONIMED agrees, however, that the assembly or manufacture of the
         Product may be performed by subcontractors of MIT provided that any
         such subcontractors must meet all GMP standards, and design
         specifications as set forth in Amendment II.

SECTION IXX: SEVERABILITY

19.1     Any provision of this agreement which is finally determined by a
         competent court or governmental agency to be prohibited or
         unenforceable in any jurisdiction will, as to such provision and
         jurisdiction only, be deemed severed to the extent of such prohibition
         and unenforceability and, subject to such severance, this agreement
         will continue in effect in accordance with its other terms and
         conditions.

SECTION XX: NOTICES

20.1     Any notice or other communications required or permitted hereunder
         shall be sufficiently given if delivered in person or sent by facsimile
         transmission or telex (promptly confirmed by registered or certified
         mail as provided herein) or by registered or certified mail, postage
         prepaid, addressed as follows:

                  If to CHRONIMED:
                  ---------------
                  13911 Ridgedale Drive
                  Suite 250
                  Minnetonka, Minnesota 55305

                  Attention: Medical Products Division - Sr. Vice President
                  Fax No.: (612) 541-4969

                  If to MIT:
                  ---------
                  MIT Development Corporation
                  131 Danbury Road
                  Wilton, Connecticut 06897

<PAGE>

                  Attention: President Fax No.: (203)846-4003

                  or such address as shall be furnished in writing by any such
                  party, and such notice or communication shall be deemed to
                  have been given as of the date so delivered, sent by facsimile
                  transmission or telex and shall be deemed to have been given
                  on the date so mailed.

SECTION XXI: GOVERNING LAW

21.1     The validity, construction and performance of this agreement will be
         governed by and interpreted in accordance with the laws of the State of
         Connecticut, United States of America (excluding its law of conflict of
         laws).

SECTION XXII: ARBITRATION

22.1     Any controversy or claim arising out of or relating to this agreement
         or any claimed breach thereof shall be settled by arbitration in
         accordance with the rules of the American Arbitration Association, and
         judgment upon the award rendered by the arbitrators may be entered by
         any court having jurisdiction thereof. The arbitration proceedings
         shall take place in the State of Connecticut, United States of America.

SECTION XXIII: RELATIONSHIP OF PARTIES

23.1     MIT is an independent contractor and has and shall have no power to
         bind CHRONIMED or to assume or create any obligation or responsibility,
         express or implied, on behalf of CHRONIMED or in its name. Nothing
         herein contained shall be construed as constituting, either party the
         agent, partner or co-venturer of the other party.

SECTION XXIV: ENTIRE AGREEMENT

24.1     This agreement and its Exhibits incorporates all prior oral and written
         communications between the parties with respect to the subject matter
         hereof and, as such, supersedes all such prior oral and written
         communications concerning, and constitutes the sole and exclusive
         understanding between the parties with respect to, the subject matter
         hereof, except to the extent that the First Manufacturing Agreement
         applies to Products shipped before the effective date hereof.

         IN WITNESS WHEREOF, CHRONIMED and MIT have caused this agreement to be
         executed by their duly authorized representatives as of the date first
         above written.

         MIT Development Corporation            CHRONIMED INC.

         By                                     By

         Its                                    Its

         Date                                   DateEXHIBIT 10.14

                          PURCHASE AND PRICE AGREEMENT

         THIS AGREEMENT is entered into by and between Chronimed, Inc.
("Seller"), having its principal place of business at 10900 Red Circle Drive,
Minnetonka, Minnesota 55343 and McKesson Red Line ("Buyer"), whose mailing
address is 8121 10th Avenue North, Golden Valley, MN 55427.

This Agreement sets forth the terms and conditions for the sale of the products
set forth in the attached price list by Seller and the purchase of the Products
by Buyer.

1. Exclusive Purchase Terms. During the term of this Agreement, Buyer agrees to
use Seller as its dual source provider of blood glucose meters and lancets
according to the terms of this Agreement. Buyer shall purchase such quantities
of the Products as it desires by issuing individual purchase orders to Seller as
authorization to ship Products.

To continue receiving the pricing provided in this Agreement, Buyer must
continue to purchase a minimum of $XXX of Chronimed Products each quarter during
the period of this contract. Buyer's purchase orders shall specify the products
ordered, the quantity, purchase price, destination and method of shipment, in
accordance with the terms of this Agreement.

Purchase orders are subject to written acceptance by the Seller according to the
terms of this Agreement. No term or condition stated in the purchase order shall
add to, modify or otherwise alter the terms and conditions of this Agreement.
Nothing contained in this Agreement shall restrict Buyer's ability to resell the
Products.

         2. Payment Terms. Payment terms for all Products ordered under this
Agreement shall be XX/ Net 30 days. Late payments will be assessed a late charge
of one and one-half percent per month (or the maximum amount allowed by law, if
less), commencing on the date due on the outstanding balance until paid in full.

         3. Shipping Terms. All purchases shall be FOB Destination for the
Buyer's distribution centers in the continental United States. Buyer shall not
require the Seller to engage in any drop shipments of the Products. Shipments
shall be made by regular courier unless Buyer, in writing, so requests special
delivery in which case Buyer shall be responsible for the costs of such special
delivery.

         4. Term of Agreement. This Agreement shall commence on April 5, 1999
shall terminate on June 30, 2000 unless sooner terminated in accordance with the
terms hereof or by the mutual written consent of the parties (the "Term").

         5. Product Delivery. Seller agrees to deliver the Products specified in
Buyer's purchase orders to Buyer's distribution centers within seven (7) working
days after receipt of the purchase order. Seller's consistent failure to make
delivery to Buyer within seven working days releases Buyer from any acceptance
of such delivery and Buyer may purchase replacements for such Products from
another source.

<PAGE>

         6. Pricing. During the term of this Agreement, the Products shall be
sold to Buyer at the prices listed on the attachment, hereto, subject to Buyer
meeting the minimum purchase requirements listed in paragraph one above.
Seller's invoice to Buyer shall accurately list prices for such order in
accordance with the terms of this Agreement.

         7. Seller's Representations. During the Term of this Agreement, Seller
agrees to perform the following activities:

         (a) Seller will provide XXXXXXXXXX Meters to only the Buyer's long term
care facility customers. XXXXXXXXXXXX meters will be delivered to the facilities
by the Chronimed representative on the day of the in-service. Special
drop-shipments need to be approved by the Chronimed customer service supervisor.

         (b)  XXXXXXXXXXXXXXX.  Meter conversions or upgrades must be approved
through a Chronimed representative or manager.

         (c) Seller will provide meter training for each facility or agency
serviced by Buyer prior to the implementation of either blood glucose meter.

         (d) Seller will participate with the Buyer's XXXXXXXXX Program. Buyer
will continue to maintain existing sales levels and convert other systems
customers to Seller's products.

         (e) Seller will participate in the XXXXXXXXX Program. Percentage
pay-out will be determined by the growth over base from the previous year.

         (f) Seller shall provide and maintain a toll free number at its
customer.

         (g) Seller shall provide Buyer with existing product information for
marketing purposes and Product samples for evaluation purposes in reasonable
quantities at no charge to Buyer and their representatives.

         8. Buyer's Representations. During the Term of this Agreement, Buyer
agrees to perform the following activities:

         (a) Buyer will be issued a item number for ALL Chronimed products.
Chronimed will receive preferred costing during the first six months of this
agreement.

         (b) Buyer will provide Seller a current listing of territory
representatives and managers.

         (c) Buyer will provide monthly sales tracing reports for both systems
customers ("PVP") and other non-system customers.

         (d) Buyer will promote Chronimed products through monthly mailers,
product catalogs, Hot Links, Ad Banners to Red.e.Net, internal promotions and
training meetings.

<PAGE>

         (e) Buyer and its affiliates (including all employees and agents
thereof) shall not re-label, modify, combine or in any other manner tamper with
any of the Products without the express written consent of Seller.

         9. Product Quality and Warranties. Seller warrants that it has good
title to the Products sold to Buyer and the Products are free and clear from all
liens and encumbrances. No substitution of Products may be made by Seller
without the express written consent of Buyer. Seller warrants that the Products
are free from defects in material and workmanship at the time of shipment from
Seller's facility. Seller further warrants that the Products will, as of the
date of shipment by Seller, be properly manufactured, processed, blended,
branded and labeled within the meaning of the federal Food, Drug and Cosmetic
Act, and therefore may be introduced into interstate commerce. Seller's
obligations under this limited warranty are limited to replacement of the
Product. Buyer must notify Seller within 30 days of physical receipt of the
Product of nonconformance with this limited warranty. Seller shall pay any and
all freight or shipping charges actually incurred by Buyer for return of
incorrect shipments or Product received in a damaged condition by Buyer. As an
alternative to replacement, Seller may, in its sole discretion, refund the
invoice cost of the returned Product.

THE FOREGOING SHALL BE THE SOLE AND EXCLUSIVE REMEDY WHETHER IN CONTRACT, TORT
OR OTHERWISE. THERE ARE NO WARRANTIES, EXPRESS OR IMPLIED, INCLUDING THE
WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, EXCEPT AS
SPECIFICALLY SET FORTH HEREIN.

         10. Purchase Commitments. This is a requirements contract and, as such,
there are no purchase commitments in this Agreement. Buyer reserves the right to
increase, decrease or maintain its purchase levels of the Products as needed. As
specified in paragraph one hereof, if Buyer does not meet certain purchase
levels, Seller has the option to renegotiate the pricing levels or to terminate
this Agreement.

         11. Return of Goods. The Buyer may, in its sole discretion, return any
Products to Seller. If the Product returned is undamaged, in its original
unopened container and has more than three months of shelf life remaining when
received by Seller, Seller will refund 100 % of the purchase price of the
Product, less actual shipping costs and a standard restocking fee, to Buyer. If
the Product returned has less than three months of shelf life remaining, no
refund will be given to Buyer. Buyer may destroy expired Products after an
authorization is received from Seller.

         12. Confidentiality. Seller and Buyer agree to execute a separate
confidentiality agreement governing the exchange of confidential information
during the Term of this Agreement.

         13. Insurance. During the Term of this Agreement, Seller shall, at its
own expense, maintain comprehensive general liability insurance in the minimum
amount of

<PAGE>

$1,000,000 per occurrence for bodily injury and property damage. Said insurance
policy shall include an endorsement naming Buyer as an additional insured under
the policy. Within ten (10) working days after execution of this Agreement,
Seller shall furnish to Buyer a certificate of insurance evidencing such
coverage. (see Red Line Vendor Manual)

         14. Indemnity. Seller shall indemnify and hold harmless Buyer, its
successors, assigns, directors, officers, agents, employees, parent and
affiliate corporations and their directors, officers, agents and employees, from
and against any and all losses, damages or expenses, including court costs and
reasonable attorneys' fees, resulting from or arising out of any breach of
representation, warranty, covenant or obligation of Seller contained in this
Agreement. Buyer shall indemnify and hold harmless Seller, its successors,
assigns, directors, officers, agents and employees, from and against any and all
losses, damages or expenses, including court costs and reasonable attorneys'
fees, resulting from or arising out of any breach of representation, warranty,
covenant or obligation of Buyer contained in this Agreement. In the event that
any demand or claim is made or suit is commenced against an indemnified party,
the indemnified party shall give prompt written notice to the indemnifying party
and the indemnifying party shall have the right to compromise such claim to the
extent of its own interest and shall undertake the defense of any such suit. If
any loss, damage, death or injury ("Damages") is caused by the negligence, act,
omission or willful misconduct of both Buyer and Seller, the apportionment of
the Damages shall be shared by the parties based upon the comparative degree of
each party's fault.

<PAGE>

         15. Termination. Either party may terminate this Agreement immediately
and cancel any purchase orders hereunder if the other party (a) assigns this
Agreement or any of its rights hereunder without the prior written consent of
the other party and in violation of this Agreement, (b) makes an assignment for
the benefit of creditors, or a receiver, trustee in bankruptcy or similar
officer is appointed to take charge of all or part of its property, (c) is
adjudged a bankrupt, or (d) breaches any term of this Agreement and such breach
is not remedied within twenty (20) days after written notice thereof has been
given to the breaching party. Furthermore, Seller may terminate this Agreement
immediately upon notice to Buyer if Buyer does not purchase a minimum of
$1,000,000 of Product at the end of any quarter during the term of this
agreement. Upon termination of this Agreement in accordance with its terms, the
rights of each party hereunder shall terminate. Any such termination, however,
shall not release Seller or Buyer from obligations arising under this Agreement
prior to the effective date of termination.

         16. Limitation of Liability. Neither Buyer nor Seller shall be liable
to the other for any indirect, incidental, special or consequential damages,
including, but not limited to, loss of profits or revenue, loss of use of any
Products purchased hereunder, or cost of substituted product which arise out of
the performance of or the failure to perform any obligation contained within
this Agreement, including negligence in the course of such performance or
failure to perform.

         17. Force Majeure. Neither party hereto shall be considered in default
in performance of its obligations hereunder if performance of such obligations
is prevented or delayed by acts of God or government, labor disputes, failure or
delay of transportation, or by vendors or subcontractors, or any other similar
cause or causes beyond its reasonable control. Time of performance of either
party's obligations hereunder shall be extended by the time period reasonably
necessary to overcome the effects of such force majeure occurrences.

         18. Entire Agreement. This Agreement sets forth the entire and only
agreement between Buyer and Seller concerning the subject matter hereof. No
provision of this Agreement can be modified or amended except by an explicit
written amendment signed by both Buyer and Seller.

         19. Taxes. The charges for the products set forth in the attached
pricing do not include taxes. Buyer agrees to pay any tax for which it is
responsible hereunder, which may be levied on or assessed against Buyer
directly, and, if any such tax is paid by Seller, to reimburse Seller therefor
upon receipt by Buyer of proof or payment acceptable to Buyer. If Seller is
required to pay sales or use taxes imposed with respect to this Agreement,
Seller shall collect such taxes from Buyer and remit to the proper taxing
authority and shall include a separate line item for said sales and use tax on
the invoice to Buyer. Any other taxes imposed with respect to this Agreement
shall be the responsibility of Seller.

<PAGE>

         20. Prior Agreements. This Agreement supersedes any and all other or
prior agreements between Seller and Buyer regarding the subject matter hereof.
Any prior agreement between Seller and Buyer regarding the subject matter
hereof, oral or written, is void and unenforceable as of the effective date of
this Agreement.

         21. Amendments. Neither this Agreement, nor any Exhibit hereto, may be
amended or modified without the express written consent of Seller and Buyer.
Notwithstanding anything to the contrary contained herein, pricing contains firm
fixed prices and, accordingly, may not be amended to increase prices during the
Term.

         22. Assignment. Neither party shall assign this Agreement in whole or
in part without the prior written consent of the other party; provided, however,
that either party may assign this Agreement and its rights and obligations
thereunder, without prior written consent of the other party, to any successor
corporation resulting from a merger or consolidation of such party. Subject to
the foregoing, all the terms, conditions, covenants and agreements contained
herein shall inure to the benefit of, and be binding upon, any such successor
corporation and any permitted assignees of the respective parties hereto. It is
further understood and agreed that consent by either party to such assignment in
one instance shall not constitute consent by that party to any other assignment.

         23. Notices. Any notices or other communications required or permitted
to be given or delivered under this Agreement, with the exception of invoices,
shall be in writing (unless otherwise specifically provided herein), signed by
or on behalf of the party giving such Notice and shall be hand-delivered or
sent, postage prepaid, by Federal Express or similar overnight delivery, or by
registered or certified mail, return receipt requested, addressed as follows:

If to Seller:
         Chronimed
         10900 Red Circle Drive
         Minnetonka, MN 55343
         Attn: Chris Braun, Director of National Accounts
         Steve Crees, Senior Vice President

If to Buyer:
         Red Line Healthcare
         8121 10th Avenue North
         Golden Valley, MN 55427

Either party may change its address set forth in this Section by giving notice
to the other party in accordance with this Section.

<PAGE>

Notice shall be effective upon hand delivery or, if by registered or certified
mail or Federal Express or similar overnight delivery, the date of receipt of
rejection evidenced on the return receipt or, if no return receipt, three (3)
business days from posting.

         24. Exhibits. The Exhibits attached hereto are a part of this Agreement
and their terms shall supersede those of other parts of this Agreement in the
event of a conflict.

         25. Governing Law: Venue. This Agreement shall be construed and all the
rights, powers and liabilities of the parties hereunder shall be determined in
accordance with the laws of the State of Minnesota. Jurisdiction of any suit
instituted to enforce any provision of this Agreement shall be brought in
Minnesota.

THIS AGREEMENT is agreed to and accepted by:

SELLER:
CHRONIMED
By: Steve Crees
Its: Senior Vice President
Date:
By: Chris Braun
Its: Director of National Accounts
Date:

BUYER: McKesson Red Line
By: David Lehman
Its: Vice President of Vendor Relations
Date:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00016-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00016-of-00352.parquet"}]]