Document:

EX-10.5

 

EXECUTION COPY

REGISTRATION RIGHTS AGREEMENT

     This
REGISTRATION RIGHTS AGREEMENT (this “Agreement”) is entered into effective as of August
22, 2007, by and between DELEK US HOLDINGS, INC., a Delaware corporation (the “Company”), and
TRANSMONTAIGNE INC. a Delaware corporation (“TransMontaigne”).

RECITALS

     WHEREAS, TransMontaigne and the Company are parties to that certain Stock Purchase Agreement,
dated July 12, 2007 (the “Purchase Agreement”), pursuant to which TransMontaigne has agreed to
sell, and the Company has agreed to purchase, certain shares of stock owned by TransMontaigne in
Lion Oil Company, an Arkansas corporation, all as described in the Purchase Agreement;

     WHEREAS, pursuant to the Purchase Agreement, the Company agreed to issue and sell to
TransMontaigne One Million Nine Hundred Sixteen Thousand Six Hundred and Sixty-Seven (1,916,667)
shares (the “Delek Shares”) of the Company’s common stock, par value $0.01 per share (the “Common
Stock”);

     WHEREAS, the Company has agreed to provide the registration and other rights set forth in this
Agreement for the benefit of TransMontaigne pursuant to the Purchase Agreement; and

     WHEREAS, it is a condition to the obligations of TransMontaigne under the Purchase Agreement
that this Agreement be executed and delivered.

     NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth herein and
for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by
each party hereto, the parties hereby agree as follows:

ARTICLE I

DEFINITIONS

     1.1 Certain Definitions. Capitalized terms used in this Agreement and not otherwise
defined herein shall have the meanings ascribed to such terms in the Purchase Agreement. As used
in this Agreement, the following terms shall have the following respective meanings:

     “Affiliate” means, with respect to any Person, any other Person controlling, controlled by or
under direct or indirect common control with such Person (for the purposes of this definition
“control,” when used with respect to any specified Person, shall mean the power to direct the
management and policies of such Person, directly or indirectly, whether through ownership of voting
securities, by contract or otherwise; and the terms “controlling” and “controlled” shall have
meanings correlative to the foregoing).

     “Agreement” has the meaning specified therefore in the introductory paragraph to this
Agreement.

     “Claims” has the meaning ascribed to such term in Section 2.1(e)(i).

     “Closing” has the meaning set forth in the Purchase Agreement.

     “Common Stock” has the meaning specified therefor in the Recitals of this Agreement.

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     “Company” has the meaning specified therefor in the introductory paragraph of this Agreement.

     “Company Indemnified Person” has the meaning ascribed to such term in Section
2.1(e)(i).

     “Delek Group” means Delek Group Ltd., an Israeli corporation.

     “Delek Group Agreement” means the Registration Rights Agreement, dated as of April 17, 2006,
by and between the Company and Delek Group.

     “Delek Shares” has the meaning specified therefor in the Recitals of this Agreement.

     “Demand Notice” has the meaning ascribed to such term in Section 2.1(a)(i).

     “Demand Registration” has the meaning ascribed to such term in Section 2.1(a)(i).

     “Demand Right” has the meaning ascribed to such term in Section 2.1(a)(i).

     “Equity Interest” means (a) with respect to a corporation, any and all shares of capital stock
of such corporation, (b) with respect to a partnership, limited liability company, trust, or
similar Person, any and all units, interests, or other partnership/limited liability company
interests, and (c) any other direct or indirect equity ownership or participation in a Person.

     “Exchange Act” means the Securities Exchange Act of 1934, as amended.

     “Holder” means TransMontaigne and any Person holding Registrable Securities to whom the rights
under Section 2.1 have been transferred in accordance with Section 2.1(h).

     “Holder Indemnified Person” has the meaning ascribed to such term in Section
2.1(e)(ii).

     “Included Registrable Securities” has the meaning ascribed to such term in Section
2.1(b)(i).

     “Indemnified Damages” has the meaning ascribed to such term in Section 2.1(e)(i).

     “Indemnified Party” has the meaning ascribed to such term in Section 2.1(e)(iii).

     “Indemnifying Party” has the meaning ascribed to such term in Section 2.1(e)(iii).

     “Managing Underwriter” means, with respect to any Underwritten Offering, the book running lead
manager of such Underwritten Offering.

     “Other Holders” has the meaning ascribed to such term in Section 2.1(b)(ii).

     “Person” means an individual or entity, including, without limitation, any corporation,
association, joint stock company, trust, joint venture, general or limited partnership, limited
liability company, unincorporated organization, or governmental entity (or any department, agency or
political subdivision thereof).

     “Piggyback Registration” has the meaning ascribed to such term in Section 2.1(b)(i).

     “Purchase Agreement” has the meaning specified therefor in the Recitals of this Agreement.

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     “register,” “registered” and “registration” refer to the registration effected by preparing
and filing a Registration Statement in compliance with the Securities Act, and the declaration or
ordering of the effectiveness of such Registration Statement by the SEC.

     “Registrable Securities” means (A) the Delek Shares and (B) any shares of Common Stock or
other capital stock of the Company issued or issuable with respect to or in exchange for the Delek
Shares as a result of any stock split, stock dividend, distribution, recapitalization, exchange or
similar event or otherwise; provided, however, that such shares shall only be treated as
Registrable Securities if and only for so long as they are held by a Holder or a permitted
transferee pursuant to Section 2.1(h) and (1) have not been disposed of pursuant to a
Registration Statement declared effective by the SEC, (2) have not been disposed of pursuant to
Rule 144 under the Securities Act or (3) have not otherwise been sold in a transaction exempt from
the registration requirements of the Securities Act so that all transfer restrictions and
restrictive legends with respect thereto are removed upon the consummation of such sale.

     “Registration Expenses” means all reasonable expenses incurred by the parties in complying
with Sections 2.1(a) and (b), including, without limitation, all registration,
qualification, exchange listing and filing fees, printing expenses, fees and expenses of counsel
and independent accountants for the Company, blue sky fees and expenses and fees and expenses of
the transfer agent for the Common Stock, incident to or required by any such registration (but
excluding the Selling Expenses for any Holder).

     “Registration Period” has the meaning ascribed to such term in Section 2.1(d)(i).

     “Registration Statement” means a registration statement under the Securities Act filed by the
Company with the SEC.

     “SEC” means the Securities and Exchange Commission of the United States or any other U.S.
federal agency at the time administering the Securities Act.

     “Securities Act” means the Securities Act of 1933, as amended, and the rules and regulations
of the SEC thereunder, all as the same shall be in effect at the time.

     “Selling Expenses” means all underwriting discounts and selling commissions and similar fees
applicable to the sale of Registrable Securities, all fees and expenses of legal counsel for any
Holder and all transfer taxes relating to any sale of Registrable Securities.

     “Selling Holder” means a Holder who is selling Registrable Securities pursuant to Section
2.1(b).

     “Subsidiary” means, as to a Person, any corporation, partnership, joint venture, limited
liability company, association or other entity or organization in which such Person owns (directly
or indirectly) any Equity Interest or other similar ownership interest.

     “TransMontaigne” has the meaning specified therefor in the introductory paragraph of this
Agreement.

     “Underwritten Offering” means an offering in which shares of Common Stock are sold to an
underwriter on a firm commitment or best efforts basis for reoffering to the public pursuant to a
Registration Statement.

     “Violations” has the meaning ascribed to such term in Section 2.1(e)(i).

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ARTICLE II

REGISTRATION RIGHTS

     2.1 Registration Rights.

          (a) Demand Registration.

               (i) Demand Procedure. Subject to the provisions of Section 2.1(a)(ii), at any
time beginning 320 days after the Closing Date, until the tenth (10th) anniversary of
the Closing, a Holder shall have the right (the “Demand Right”), by written notice to the Company
(a “Demand Notice”), to require the Company to register all or a portion of such Registrable
Securities held by such Holder under and in accordance with the provisions of the Securities Act (a
“Demand Registration”); provided, however, that the Company shall have no obligation to register
any Registrable Securities under this Section 2.1(a): (A) unless and until the Company
receives Demand Notices demanding registration of Registrable Securities from the Holders of at
least a majority of the Registrable Securities issued and outstanding; or (B) except as otherwise
provided in Section 2.1(a)(iii), if the Company has previously effected or is in the
process of effecting a demand registration under this Section 2.1(a). The Company shall,
within ten (10) days after the date such Demand Notice is given, provide written notice of such
request to all Holders of Registrable Securities. As soon as practicable, and in any event, no
later than forty-five (45) days following the receipt by the Company of the original Demand Notice,
the Company will file a Registration Statement on Form S-3 with the SEC with respect to resale of
the issued and outstanding Registrable Securities covered by the original Demand Notice and any
additional Registrable Securities requested to be included in such registration by any other
Holders, as specified by such other Holders in a Demand Notice which shall be provided to the
Company on or before ten (10) days after the date the Company’s Notice is given to such Holders;
provided, however, that if the Company is not then eligible to file such Registration Statement on
Form S-3, the Company shall instead file a Registration Statement on Form S-1 (or other applicable
form) no later than ninety (90) days following receipt of the original Demand Notice. The Company
will use commercially reasonable efforts to cause such Registration Statement to be declared
effective by the SEC as promptly as practicable after such filing.

               (ii) Postponement. Notwithstanding anything to the contrary in this, or any other
provision of this Agreement, the Company will be entitled to postpone the filing of, or declaration
of effectiveness of, any Registration Statement prepared pursuant to the exercise of a Demand Right
for a reasonable period of time not in excess of one hundred twenty (120) days, if the board of
directors of the Company determines, in the good faith exercise of its business judgment, and has
delivered to the Holders written certification to the effect, that such registration and offering
would (A) require disclosure of material non-public information concerning the Company which, at
such time, is not in the best interest of the Company or (B) materially and adversely affect the
Company; provided, however, such postponement right shall be exercised by the Company not more than
once in any twelve (12) month period and provided further, that the Company shall not register
securities for its own account or that of any other stockholder during any such postponement. In
the event of any such postponement, the Company will promptly notify the Holders in writing when
the events or circumstances permitting such postponement have ended. Notwithstanding the
foregoing, in the event that the Company is subject to a lock-up agreement at any time that a
Holder requests a Demand Registration, the Company shall have the right to
postpone the filing of a Registration Statement pursuant to the Demand Notice until the
expiration of the applicable lock-up period.

               (iii) Marketing Factors. If the Managing Underwriter or underwriters of any proposed
Underwritten Offering of shares of Common Stock pursuant to a Demand Registration advises the
Company that the total issued and outstanding Registrable Securities held by all of the Holders

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exceeds the number of shares of Common Stock which can be sold in such offering or would have an
adverse effect on the price, timing or distribution of the shares of Common Stock proposed to be
offered in such Underwritten Offering, then the shares of Common Stock to be included in such
Underwritten Offering on behalf of the Holders shall include the number of Registrable Securities
that such Managing Underwriter or underwriters advises the Company can be sold without having such
adverse effect, and the number of shares that may be included in such Underwritten Offering shall
be allocated to the Holders on a pro rata basis based on the number of Registrable Securities held
by each Holder. If the Managing Underwriter excludes or withdraws 30% or more of the total issued
and outstanding Registrable Securities from such Underwritten Offering, then such Demand
Registration shall not count as the one (1) Demand Registration permitted hereunder.

               (iv) Delek Group Agreement. Each Holder acknowledges that the Company has entered
into the Delek Group Agreement which, among other things, requires the Company to furnish notice of
any Demand Registration (or registration of securities for its own account or the account of other
securityholders exercising demand registration rights) to Delek Group and, to the extent that Delek
Group exercises the registration rights set forth in Section 1.3 thereof in connection with an
Underwritten Offering and the Managing Underwriter is unable to include all registrable securities
(including Registrable Securities) of all applicable securityholders in such Underwritten Offering
as a result of the marketing factors described in Section 2.1(a)(iii), that the registrable
securities requested by Delek Group to be included in such Underwritten Offering shall be included
prior to the inclusion of registrable securities (including Registrable Securities) of any other
securityholder (including the Holders); provided, however, in such event the Holders shall be
entitled to an additional Demand Registration pursuant to Section 2.1(a)(i) with respect to
the Registrable Securities excluded or withdrawn by the Managing Underwriter.

Each Holder acknowledges and agrees that the rights of such Holder under this Agreement are
expressly subordinate to the registration rights of Delek Group set forth in the Delek Group
Agreement.

          (b) Piggyback Registration.

               (i) Participation. If the Company proposes to file a Registration Statement at any
time beginning on the day after the first anniversary of the Closing, until the tenth
(10th) anniversary of the Closing, with respect to shares of Common Stock for its own
account, for sale to the public, or to register shares of Common Stock for stockholders of the
Company other than the Holders, other than (x) a registration relating solely to employee benefit
plans, (y) a registration relating solely to a Rule 145 transaction, or (z) a registration on any
registration form which does not permit secondary sales, does not include substantially the same
information as would be required to be included in a Registration Statement covering the sale of
Registrable Securities, the Company shall give prompt notice of such proposed registration to each
Holder and such notice shall offer each Holder (or any Holder who is not participating in the
proposed Registration Statement) the opportunity to include in such registration such number of
Registrable Securities (the “Included Registrable Securities”) as such Holder may request in
writing (a “Piggyback Registration”). The notice required to be provided in this Section
2.1(b)(i) to each Holder shall be provided pursuant to Section 3.3 and receipt of such
notice shall be confirmed by each Holder. Each Holder shall then have fifteen (15) days to request
inclusion of Registrable Securities in the registration. If no request for inclusion from a Holder is received within the specified
time, such Holder shall have no further right to participate in such Piggyback Registration. If,
at any time after giving written notice of its intention to undertake a registration and prior to
the closing of such registration, the Company shall determine for any reason not to undertake or to
delay such registration, the Company may, at its election, give written notice of such
determination to the Selling Holders and, (x) in the case of a determination not to undertake such
registration, shall be relieved of its obligation to sell any Included

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Registrable Securities in connection with such terminated registration, and (y) in the case of a determination to delay such
registration, shall be permitted to delay offering any Included Registrable Securities for the same
period as the delay in the registration. Any Selling Holder shall have the right to withdraw such
Selling Holder’s request for inclusion of such Selling Holder’s Registrable Securities in such
offering by giving written notice to the Company of such withdrawal up to and including the time of
pricing of such offering.

               (ii) Priority of Piggyback Registration. If the Managing Underwriter or underwriters
of any proposed Underwritten Offering of shares of Common Stock included in a Piggyback
Registration advises the Company that the total amount of shares of Common Stock which the Selling
Holders and any other Persons (other than the Company) intend to include in such offering exceeds
the number which can be sold in such offering or would have an adverse effect on the price, timing
or distribution of the shares of Common Stock proposed to be offered in such Underwritten Offering,
then the shares of Common Stock to be included in such Underwritten Offering on behalf of the
Selling Holders shall include the number of Registrable Securities that such Managing Underwriter
or underwriters advises the Company can be sold without having such adverse effect. Except as
provided in Section 2.1(a)(iv), such number of shares of Common Stock shall be allocated
pro rata among the Selling Holders and any other Persons who possess registration rights who have
requested participation in the Piggyback Registration (“Other Holders”) (based, for each such
Selling Holder or Other Holder, on the percentage derived by dividing (A) the number of Registrable
Securities proposed to be sold by such Selling Holder or such Other Holder in such offering; by (B)
the aggregate number of shares of such class of securities proposed to be sold by all Selling
Holders and all Other Holders in the Piggyback Registration).

          (c) Expenses of Registration. All Registration Expenses incurred in connection with
any registration, qualification or compliance pursuant to Section 2.1(a) and Section
2.1(b) shall be borne by the Company; provided, however, that the Company shall not be required
to pay for any Registration Expenses for any registration proceeding begun pursuant to Section
2.1(a) if the registration request is subsequently withdrawn at the request of the Holders of a
majority of the Registrable Securities to be registered (in which case all selling Holders shall
bear such expenses pro rata based upon the number of Registrable Securities that were to be
included in the withdrawn registration), unless the Holders of a majority of the Registrable
Securities agree that such withdrawn registration shall constitute a Demand Registration to which
they were entitled pursuant to Section 2.1(a). All Selling Expenses relating to the sale
of Registrable Securities registered by or on behalf of the Holders shall be borne by such Holders
pro rata on the basis of the number of Registrable Securities so registered except to the extent
such Selling Expense is specifically attributable to one Holder, in which case it shall be borne by
such Holder.

          (d) Registration Procedures. In the case of the registration, qualification or
compliance effected by the Company pursuant to this Agreement, the Company will, upon reasonable
request, inform each Holder as to the status of such registration, qualification and compliance.
At its expense, in the case of a Registration Statement filed pursuant to Section 2.1(a) or
Section 2.1(b), the Company will, during such time as any Holder holds Registrable
Securities:

          (i) use commercially reasonable efforts to cause such Registration Statement to become
effective and to prepare and file such amendments and post-effective amendments to
the Registration Statement and any documents required to be incorporated by reference
therein as may be necessary to keep the applicable Registration Statement filed and declared
effective pursuant to this Agreement, and any related qualification or compliance under
state securities laws which it is necessary to obtain, effective until the earliest of (A)
one (1) year after the declaration of effectiveness of such Registration Statement by the
SEC, (B) the date upon which all Registrable Securities cease to be Registrable Securities
and (C) the date upon which the

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Holders have completed the distribution described in such
Registration Statement, whichever first occurs (the period of time during which the Company
is required hereunder to keep the Registration Statement effective is referred to herein as
the “Registration Period”); provided, however, that in the case of clause (A), such
Registration Period shall be extended by a period of time equal to the duration of any stop
order, injunction or other order or requirement of the SEC or other governmental agency or
court.

               (ii) at least five (5) Business Days prior to filing a Registration Statement and at
least three (3) Business Days prior to the filing of a prospectus or any amendments or
supplements to a Registration Statement or a prospectus (but not any periodic report to be
incorporated by reference in a Registration Statement or a prospectus), the Company shall
furnish to the Holders of the Registrable Securities covered by such Registration Statement
and the underwriter or underwriters, if any, copies of or drafts of all such documents
proposed to be filed, which documents shall be subject to the reasonable review of such
Holders and underwriters, if any, and the Company shall use commercially reasonable efforts
to satisfy any objections with respect thereto raised by the Holders of a majority of the
Registrable Securities participating in such registration or the underwriters, if any;

               (iii) in the event of any Underwritten Offering, enter into and perform its obligations
under an underwriting agreement, in usual and customary form, with the underwriter(s) of
such offering;

               (iv) furnish such number of prospectuses and other documents incident thereto as any
Holder from time to time may reasonably request to enable such Holder to consummate the
disposition of the Registrable Securities owned by such Holder;

               (v) use commercially reasonable efforts to timely register or qualify such Registrable
Securities under such other securities or blue sky laws of such jurisdictions as any Holder
reasonably requests and do any and all other acts and things which may be reasonably
necessary to enable such Holder to consummate the disposition of the Registrable Securities
owned by such Holder in such jurisdictions; provided, that the Company will not be required
to (A) qualify generally to do business in any jurisdiction where it would not otherwise be
required to qualify but for this Section 2.1(d), (B) subject itself to taxation in
any such jurisdiction or (C) file a general consent to service of process in any
jurisdiction unless the Company is already subject to service in such jurisdiction;

               (vi) notify each Holder of such Registrable Securities as promptly as practicable (A)
after becoming aware of the happening of any event as a result of which the prospectus
included in such Registration Statement, as then in effect, contains an untrue statement of
a material fact or omits to state a material fact required to be stated therein or necessary
to make the statements therein not misleading or (B) if the board of directors of the
Company determines, in the good faith exercise of its business judgment, that the
disposition of Registrable Securities pursuant the Registration Statement would (I) require
disclosure of material non-public information concerning the Company which, at such time, is
not in the best interest of the Company, or (II) otherwise materially and adversely affect the Company, and notify each
Holder of such Registrable Securities when such events or circumstances have ended and the
Registration Statement is again available for use in connection with dispositions of
Registrable Securities and, if appropriate, the Company will in connection therewith prepare
a supplement or amendment to the prospectus included in the Registration Statement so that,
as thereafter delivered to the purchasers of such Registrable Securities, such prospectus
will not contain an

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untrue statement of a material fact or omit to state a material fact
necessary in order to make the statements therein, in light of the circumstances under which
they were made, not misleading; and

               (vii) use commercially reasonable efforts to cause all such Registrable Securities to
be listed or quoted on each securities exchange or automated quotation system on which
similar securities issued by the Company are then listed or quoted.

          (e) Indemnification. In the event any Registrable Securities are included in a
Registration Statement under this Agreement:

               (i) To the fullest extent permitted by law, the Company will, and hereby does, indemnify, hold
harmless and defend each Holder, the directors, officers, members, partners, employees, agents,
underwriters, representatives of, and each Person, if any, who controls any Holder within the
meaning of the Securities Act or the Exchange Act (each, a “Company Indemnified Person”), against
any losses, claims, damages, liabilities, judgments, fines, penalties, charges, costs, reasonable
attorneys’ fees, amounts paid in settlement or expenses, joint or several, (collectively, “Claims”)
incurred in investigating, preparing or defending any action, claim, suit, inquiry, proceeding,
investigation or appeal taken from the foregoing by or before any court or governmental,
administrative or other regulatory agency, body or the SEC, whether pending or threatened
(“Indemnified Damages”), whether or not a Holder Indemnified Person is or may be a party thereto,
to which any of them may become subject to the extent such Claims (or actions or proceedings,
whether commenced or threatened, in respect thereof) arise out of or are based upon: (A) any
untrue statement or alleged untrue statement of a material fact in a Registration Statement or any
post-effective amendment thereto or in any document incorporated by reference therein or in any
filing made in connection with the qualification of the offering under the securities or other blue
sky laws of any jurisdiction in which Registrable Securities are offered, or the omission or
alleged omission to state a material fact required to be stated therein or necessary to make the
statements therein not misleading, (B) any untrue statement or alleged untrue statement of a
material fact contained in any preliminary prospectus if used prior to the effective date of such
Registration Statement, or contained in the final prospectus (as amended or supplemented, if the
Company files any amendment thereof or supplement thereto with the SEC) or the omission or alleged
omission to state therein any material fact necessary to make the statements made therein, in the
light of the circumstances under which the statements therein were made, not misleading or (C) any
violation or alleged violation by the Company of the Securities Act, the Exchange Act, any other
law, including, without limitation, any state securities law, or any rule or regulation thereunder
relating to the offer or sale of the Registrable Securities pursuant to a Registration Statement
(the matters in the foregoing clauses (A) through (C) being, collectively, “Violations”).
Notwithstanding anything to the contrary contained herein, the indemnification agreement contained
in this Section 2.1(e)(i): (i) shall not apply to a Claim by a Company Indemnified Person
to the extent arising out of or based upon a Violation which occurs in reliance upon and in
conformity with information furnished in writing to the Company by or on behalf of such Company
Indemnified Person expressly for use in connection with the preparation of the Registration
Statement or any such amendment thereof or supplement thereto and (ii) shall not apply to amounts
paid in settlement of any Claim if such settlement is effected without the prior written consent of
the Company, which consent shall not be unreasonably withheld or delayed. Such indemnity shall
remain in full force and effect regardless of any investigation made by or on behalf of the Company
Indemnified
Person and shall survive the transfer of the Registrable Securities by the Holders pursuant to
Section 2.1(h).

               (ii) In connection with any Registration Statement in which a Holder is participating, each
such Holder agrees to severally and not jointly indemnify, hold harmless and defend, to the same
extent and in the same manner as is set forth in Section 2.1(e)(i), the Company, each of
its directors, each

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of its officers who signs the Registration Statement, employees, agents,
representatives and each Person, if any, who controls the Company within the meaning of the
Securities Act or the Exchange Act (each, a “Holder Indemnified Person”), against any Claim or
Indemnified Damages to which any of them may become subject, under the Securities Act, the Exchange
Act or otherwise, to the extent such Claim or Indemnified Damages arise out of or are based upon
any Violation, in each case to the extent, and only to the extent, that such Violation occurs in
reliance upon and in conformity with written information furnished to the Company by or on behalf
of such Holder expressly for use in connection with such Registration Statement; provided, however,
that the indemnity agreement contained in this Section 2.1(e)(ii) and the agreement with
respect to contribution contained in Section 2.1(e)(iv) shall not apply to amounts paid in
settlement of any Claim if such settlement is effected without the prior written consent of such
Holder, which consent shall not be unreasonably withheld or delayed; provided, further, however,
that the Holder shall be liable under this Section 2.1(e)(ii) for only that amount of a
Claim or Indemnified Damages as does not exceed the higher of the net proceeds to such Holder as a
result of the sale of Registrable Securities pursuant to such Registration Statement, except in the
event of fraud by such Holder. Such indemnity shall remain in full force and effect regardless of
any investigation made by or on behalf of such Holder Indemnified Person and shall survive the
transfer of the Registrable Securities by the Holders pursuant to Section 2.1(h).
Notwithstanding anything to the contrary contained herein, the indemnification agreement contained
in this Section 2.1(e)(ii) with respect to any preliminary prospectus shall not inure to
the benefit of any Holder Indemnified Person if the untrue statement or omission of material fact
contained in the preliminary prospectus was corrected on a timely basis in the prospectus, as then
amended or supplemented.

               (iii) Each Company Indemnified Person or Holder Indemnified Person entitled to indemnification
under this Section 2.1(e) (the “Indemnified Party”) shall give notice to the party required
to provide indemnification (the “Indemnifying Party”) promptly after such Indemnified Party has
actual knowledge of any Claim as to which indemnity may be sought, and unless in such Indemnified
Party’s reasonable judgment a conflict of interest may exist between such Indemnified Party and the
Indemnifying Party, shall permit the Indemnifying Party to assume the defense of any such Claim or
any litigation resulting therefrom, provided that counsel for the Indemnifying Party, who shall
conduct the defense of such Claim, shall be approved by the Indemnified Party (whose approval shall
not unreasonably be withheld), and the Indemnified Party may participate in such defense at such
party’s expense, and provided, further, that the failure of any Indemnified Party to give notice as
provided herein shall not relieve the Indemnifying Party of its obligations under this Agreement,
unless such failure is prejudicial to the Indemnifying Party in defending such Claim.

               (iv) If the indemnification provided for in this Section 2.1(e) is held by a court of
competent jurisdiction to be unavailable to an Indemnified Party with respect to any Claim or
Indemnified Damages referred to therein, then the Indemnifying Party, in lieu of indemnifying such
Indemnified Party thereunder, shall contribute to the amount paid or payable by such Indemnified
Party as a result of such Claim or Indemnified Damages in such proportion as is appropriate to
reflect the relative fault of the Indemnifying Party on the one hand and of the Indemnified Party
on the other in connection with the Violations which resulted in such Claim or Indemnified Damages
as well as any other relevant equitable considerations. The relative fault of the Indemnifying
Party and of the Indemnified Party shall be determined by reference to, among other things, whether
the Violation relates to information supplied by the Indemnifying Party or by the Indemnified Party and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such Violation.

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          (f) Covenants of Holders.

               (i) Each Holder agrees that, upon receipt of any notice from the Company pursuant to
Section 2.1(d)(vi), such Holder will forthwith discontinue disposition of
Registrable Securities pursuant to the applicable Registration Statement (and if so directed
by the Company, each Holder shall deliver to the Company all copies, other than permanent
file copies then in such Holder’s possession, of the prospectus covering such Registrable
Securities current at the time of receipt of such notice), until the receipt of written
notification from the Company that the circumstances requiring the discontinuation of the
use of such Registration Statement have ended and, if applicable, receipt from the Company
of copies of a supplemented or amended prospectus.

               (ii) Each Holder whose Registrable Securities are included in a Registration Statement
pursuant to an Underwritten Offering severally agrees (A) for a period of up to ninety (90)
days from the date of the final prospectus with respect to such Underwritten Offering, not
to, directly or indirectly, offer, sell, agree to offer or sell, solicit offers to purchase,
grant any call option or purchase any put option with respect to, pledge, borrow or
otherwise dispose of, or otherwise dispose of any Registrable Securities or any other
capital stock of the Company held by such Holder or otherwise enter into any swap,
derivative or other transaction or arrangement that transfers to another, in whole or in
part, any economic consequence of ownership of any Registrable Securities or any other
capital stock of the Company held by such Holder, other than any shares of Registrable
Securities included in such registration, without the prior written consent of the Company
and the Managing Underwriter and (B) to enter into such lock-up agreement as the Managing
Underwriter may in its reasonable discretion require in connection with any such
Underwritten Offering (which lock-up agreement may provide for an extension of the lock-up
period for up to an additional 18 days if, during the last 17 days of such 90-day period,
the Company releases earnings results or announces material news or a material event or
announces that it will release earnings results during the 15-day period following the last
day of the lock-up period); provided, however, that in the case of either clause (A) or (B),
all executive officers and directors of the Company shall be subject to similar restrictions
or enter into similar agreements (subject to such exceptions as the Managing Underwriter may
permit in its reasonable discretion).

               (iii) Each Holder agrees to notify the Company, at any time when a prospectus relating
to a Registration Statement contemplated by Sections 2.1(a) or 2.1(b), as
the case may be, is required to be delivered by it under the Securities Act, of the
occurrence of any event relating to the Holder which requires the preparation of a
supplement or amendment to such prospectus included in the Registration Statement so that,
as thereafter delivered to the purchasers of Registrable Securities, such prospectus will
not contain an untrue statement of a material fact or omit to state a material fact
necessary in order to make the statements therein, in light of the circumstances under which
they were made, not misleading relating to such Holder, and each Holder shall promptly make
available to the Company the information to enable the Company to prepare any such
supplement or amendment. Each Holder also agrees that, upon delivery of any notice by it to
the Company of the happening of any event of the kind described in the preceding sentence of
this subsection, the Holder will forthwith discontinue disposition of Registrable Securities
pursuant to such Registration Statement until its receipt of the copies of the supplemental
or amended prospectus contemplated by this subsection, which the Company shall promptly make
available to each Holder and, if so directed by the Company, each Holder shall
deliver to the Company all copies, other than permanent file copies then in such
Holder’s possession, of the prospectus covering such Registrable Securities current at the
time of receipt of such notice.

Registration Rights Agreement

Page 10 of 12

 

 

               (iv) Each Holder shall promptly furnish to the Company such information regarding such
Holder and the distribution proposed by such Holder as the Company may request in writing or
as shall be required in connection with any registration, qualification or compliance
referred to in this Section 2.1. Such Holder will assist the Company in updating
such information in the Registration Statement and any prospectus supplement relating
thereto.

               (v) Each Holder acknowledges and agrees that the Registrable Securities sold pursuant
to the Registration Statement described in this Section 2.1 are not transferable on
the books of the Company unless the stock certificate evidencing such Registrable Securities
(or other applicable documentation, if the Registrable Securities are registered as
restricted securities in book-entry form in a direct registration system maintained for the
Company by its transfer agent) is submitted to the Company’s transfer agent.

               (vi) Each Holder hereby covenants with the Company not to make any disposition of
Registrable Securities pursuant to the Registration Statement other than in compliance with
the Securities Act and other applicable laws.

               (vii) Each Holder agrees not to take any action with respect to any distribution deemed
to be made pursuant to such Registration Statement that constitutes a violation of
Regulation M under the Exchange Act or to take any action that violates any other applicable
rule, regulation or law, including, without limitation, laws relating to short-selling. If
requested by the SEC in connection with the review of a Registration Statement or otherwise,
each Holder agrees to certify its acknowledgement of the matters described in the preceding
sentence and compliance therewith.

          (g) Rule 144 Reporting. With a view to making available to the Holders the benefits
of certain rules and regulations of the SEC which at any time permit the sale of the Registrable
Securities to the public without registration, the Company agrees to use commercially reasonable
efforts to:

               (i) make and keep public information available, as those terms are understood and
defined in Rule 144 under the Securities Act, at all times; and

               (ii) file with the SEC in a timely manner all reports and other documents required of
the Company under the Exchange Act.

          (h) Transfer of Registration Rights. The rights to cause the Company to register
Registrable Securities granted to the Holder by the Company under Sections 2.1(a) and
2.1(b) may be assigned in full by a Holder (i) a Subsidiary of such Holder, provided that
such Holder retains its ownership interest in such Subsidiary, (ii) an Affiliate of such Holder
(other than a Subsidiary of such Holder) provided that such assignment shall NOT be with the intent
of or as part of a transaction or a series of related transactions to transfer, assign, merge or
exchange such Affiliate to or with a Person that is not an Affiliate of such Holder or (iii) to a
transferee or assignee in conjunction with a transfer or assignment of all or substantially all of
such Holder’s assets to such transferee or assignee; provided, however, that (A) any transfer or
assignment pursuant to clause (i), (ii) or (iii) shall be effected in accordance with applicable
securities laws; (B) such Holder gives prior written notice to the Company; and (C) such transferee
agrees in writing to comply with the terms and provisions of this Agreement and such transfer
is otherwise in compliance with this Agreement. Except as specifically permitted by this
Section 2.1(h), the rights of a Holder with respect to Registrable Securities as set out
herein shall not be transferable to any other Person, and any attempted transfer shall cause all
rights of such Holder therein to be forfeited.

Registration Rights Agreement

Page 11 of 12

 

 

ARTICLE III

MISCELLANEOUS

     3.1 Governing Law. This Agreement shall be governed by and construed in accordance
with the laws of the State of Delaware, without regard to any principles of conflicts of law
thereof.

     3.2 Severability. In the event that any provision of this Agreement becomes or is
declared by a court of competent jurisdiction to be illegal, invalid, unenforceable or void, this
Agreement shall continue in full force and effect without said provision. In such event, the
parties shall negotiate, in good faith, a legal, valid and binding substitute provision which most
nearly effects the intent of the parties in entering into this Agreement.

     3.3 Notices. Notices shall be provided as set forth in Section 10.4 of the
Purchase Agreement, and such provisions are incorporated herein for all purposes.

     3.4 Facsimile Signatures. Any signature page delivered by a facsimile machine shall
be binding to the same extent as an original signature page, with regard to any agreement subject
to the terms hereof or any amendment thereto. Any party who delivers such a signature page agrees
to later deliver an original counterpart to any party which requests it.

     3.5 Titles and Subtitles. The titles and subtitles used in this Agreement are used
for convenience only and are not to be considered in construing or interpreting this Agreement.

     3.6 Waivers and Amendments. With the written consent of the Company and the Holders
holding at least a majority of the Registrable Securities, any provision of this Agreement may be
waived (either generally or in a particular instance, either retroactively or prospectively and
either for a specified period of time or indefinitely) or amended. Upon the effectuation of each
such waiver or amendment, the Company shall promptly give written notice thereof to the Holders, if
any, who have not previously received notice thereof or consented thereto in writing.

     3.7 Successors and Assigns. Except as otherwise provided herein, the provisions
hereof shall inure to the benefit of and be binding upon, the successors and assigns of the parties
hereto.

     3.8 Entire Agreement; Amendment. This Agreement, in conjunction with the Purchase
Agreement, constitutes the full and entire understanding and agreement between the parties with
regard to the subject hereof.

     3.9 Interpretation. Unless otherwise expressly provided to the contrary in this
Agreement, this Agreement shall be interpreted in accordance with the provisions set forth in
Section 1.2 of Exhibit A of the Purchase Agreement, and such provisions are
incorporated herein for all purposes.

     3.10 Arbitration. The arbitration provisions in Section 10.9 of the Purchase
Agreement shall be applicable to this Agreement, and such provisions are incorporated herein for
all purposes.

     3.11 Counterparts. This Agreement may be executed in one or more counterparts, each
of which shall be deemed an original, but all of which together shall constitute one and the same
instrument. A facsimile transmission of a signed copy of this Agreement shall be deemed an original and
shall have the same valid and binding effect thereof.

Registration Rights Agreement

Page 12 of 12

 

 

EXECUTION COPY

     IN WITNESS WHEREOF, the parties have executed this Registration Rights Agreement as of the
date first above written.

	 	 	 	 	 
	 	DELEK US HOLDINGS, INC.

 	 
	 	By  	/s/  Edward Morgan
 	 
	 	 	Name  	Edward Morgan 	 
	 	 	Title  	Vice President and Chief Financial
Officer 	 
	 
	 	 	 
	 	By  	                                                  /s/  Joane Walker
 	 
	 	 	Name  	Joane Walker 	 
	 	 	Title  	Vice President and Chief
Accounting Officer 	 
	 

	 	 	 	 	 
	 	TRANSMONTAIGNE INC.

 	 
	 	By  	/s/  Randall J. Larson
 	 
	 	 	Name  	Randall J. Larson 	 
	 	 	Title  	President 	 
	 

Registration Rights Agreementexv10w1

 

EXHIBIT 10.1

EMPLOYMENT AGREEMENT

     THIS AGREEMENT by and between Arcadia Resources, Inc., a Nevada corporation (“Arcadia” or
“Employer”), and Steven L. Zeller (the “Executive”), is made on and is effective September 24,
2007.

     WHEREAS, Employer desires to employ Executive in the position described herein; and

     WHEREAS, Executive desires to serve in that capacity.

     NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS:

     1. Employment. Employer shall employ the Executive, and the Executive shall serve
Employer and its subsidiaries on the terms and conditions set forth in this Agreement, for the
period beginning on the date hereof (the “Employment Date”) and continuing until terminated as
provided below in Section 4 (the “Employment Period”).

     2. Position and Duties.

          (a) As of the date of this Agreement, and during the Employment Period, the Executive will be
employed as Executive Vice President, In Home Health Care and Staffing, of Arcadia and such of its
subsidiaries as may be determined by Arcadia’s President and Chief Executive Officer (“CEO”),
performing such duties as may be designated by the President/CEO from time to time (which shall be
consistent with the general nature of the duties and authority of such officer in similarly
situated companies) and in compliance with Employer’s policies and procedures applicable to
similarly situated employees in effect from time to time. Executive shall report to Arcadia’s
President/CEO or to such other person designated by the President/CEO with Executive’s written
consent which shall not be unreasonably withheld.

          (b) During the Employment Period, excluding any periods of vacation and absence due to
intermittent illness to which the Executive is entitled, and any services or activities on behalf
of civic or charitable institutions that do not significantly interfere with the performance of his
responsibilities to Employer or violate the provisions of Section 9, the Executive shall devote
his full time and attention to the business and affairs of Employer and its subsidiaries. Except
as stated in the previous sentence and as permitted by Section 9 relative to BestCare Travel
Staffing, LLC (“BestCare”), during the Employment Period, Executive shall have no other employment
or business interests; provided, however, that the Executive shall be able to invest his personal
assets in investments and entities as long as such investments do not violate Section 9 and do not
require a material amount of the Executive’s time. The Executive shall use reasonable efforts to
faithfully and efficiently carry out all duties and responsibilities assigned to him.

     3. Compensation.

          (a) Base Salary. During the Employment Period, the Executive shall receive an annual
base salary of $200,000 payable in accordance with the regular payroll practices of Employer. The
Executive’s base salary shall be reviewed annually by Employer, in accordance with Employer’s
standard practices for executives generally, and may be increased, but not decreased, as determined
by the Board of Directors, in its sole discretion, or by any Committee of the Board of Directors to
which such authority has been delegated.

 

 

          (b) Equity Awards. Throughout the Employment Period, Executive shall be eligible to
receive awards of Employer’s equity securities as may be awarded in the discretion of the Board of
Directors or by any Committee of the Board of Directors to which such authority has been
delegated.

          (c) Annual Bonus and Incentive Plans; Other Benefits. Throughout the Employment
Period, the Executive shall be eligible to participate in any bonus or incentive plans that are
available to the senior executives of Arcadia.

          (d) Other Benefits. To at least the same extent as other senior executives of
Arcadia, except as required by law or applicable government regulations, the Executive shall be
entitled to participate in: (i) any short-term and long-term incentive, savings, and retirement
plans; (ii) all practices, policies and programs including vacation policies established by
Employer; and (iii) the Executive and/or the Executive’s family, as the case may be, shall be
eligible for participation in, and shall receive all benefits under, all welfare benefit plans,
practices, policies and programs provided by Employer.

          (e) Expenses. During the Employment Period, the Executive shall be entitled to
receive prompt reimbursement for all reasonable expenses incurred by the Executive in carrying out
the Executive’s duties under this Agreement, provided that the Executive complies with the
generally applicable policies, practices and procedures of Employer for submission of expense
reports, receipts, or similar documentation of such expenses.

          (f) Automobile Allowance. Employer will provide Executive with an automobile
allowance of $500 per month throughout the term of this Agreement.

          (g) Vacation. Executive shall be entitled to not less than three (3) weeks of paid
vacation leave annually or such greater period of vacation leave as Employer may prescribe.

     4. Termination of Employment.

          (a) Death or Disability. The Executive’s employment and the Employment Period shall
terminate automatically upon the Executive’s death or Disability during the Employment Period.
“Disability” means Executive’s inability, because of mental or physical illness or incapacity,
whether total or partial, to perform one or more primary duties of the Executive’s employment with
reasonable accommodation, and which continues for a period of one hundred eighty (180) days within
any twelve (12) period. If any question shall arise during the Executive’s employment hereunder
regarding the Executive’s inability, because of mental or physical illness or incapacity, whether
total or partial, to perform one or more primary duties of the Executive’s employment with
reasonable accommodation, Executive, at the request of Employer, shall submit to a medical
examination by a physician selected by Employer (the “Employer Physician”) to determine whether
the Executive is so disabled. In the event that the Executive disagrees with the findings of the
Employer Physician, Executive shall have the right to submit to a second medical examination by a
physician selected by the Executive (the “Executive Physician”). If the Employer Physician’s and
the Executive Physician’s findings agree with respect to Executive’s disability status, such
determination shall be binding on Employer and the Executive. If the Employer Physician’s and the
Executive Physician’s findings do not agree with respect to Executive’s disability status, the
Employer Physician and the Executive Physician shall together designate a third physician to make
the determination with respect to Executive’s disability status and such determination shall be
binding on the Employer and the Executive. The date of the Executive’s Disability shall be the
date on which a Physician (whether Employer, Executive or third Physician) makes a final, binding
determination of Executive’s disability.

Page 2 of 11

 

          (b) By Employer . Employer may terminate the Executive’s employment under this
Agreement during the Employment Period for Cause or without Cause. “Cause” means:

               (i) The Executive’s fraud, intentional misconduct, knowing violation of law, theft or
embezzlement committed with respect to Employer, its Affiliates or customers;

               (ii) the continued failure by the Executive to perform his duties as contemplated by this
Agreement (other than any such failure resulting from his Disability or any such actual or
anticipated failure after the issuance by the Executive of a Notice of Termination for Good Reason)
over a period of not less than ten (10) days; provided however, that Employer may terminate the
Executive’s employment for “cause” under this subdivision only if Employer has provided notice to
the Executive of his performance failures and such failures have not been cured by the Executive
within ten (10) days of the receipt of notice by the Executive;

               (iii) the willful or negligent misconduct of the Executive that is materially injurious to
Employer (including, without limitation, any breach by the Executive of Section 9 of this
Agreement), and, in the case of negligent misconduct, such misconduct is not cured by Executive
within ten (10) days of the receipt of notice by the Executive from Employer;

               (iv) the Executive’s conviction of a misdemeanor which directly causes material financial harm
to Employer, which harm is not cured by the Executive within ten (10) days of the receipt of notice
by the Executive from the Employer of such harm;

               (v) the Executive’s conviction of a felony (including a felony constituting a crime of moral
turpitude);

               (vi) Executive’s material breach of this Agreement causing material harm to Employer that is
not cured within ten (10) days of receipt of notice thereof (any breach by the Executive of Section
11of this Agreement shall be deemed a material breach); provided that no “cure” shall be deemed to
have been effected unless both the breach and the harm have been cured;

               (vii) the Executive’s breach of a fiduciary duty owed to Employer or its Affiliates; or

               (viii) the Executive’s willful failure to carry out any material directive of Employer which
does not require unlawful action nor breach this Agreement.

               (ix) Provided, however, that the Executive shall be limited to one cure during any twelve (12)
month period for all descriptions of cause and only for those causes where a cure period is
permitted.

          (c) A termination of Executive’s employment for Cause shall be effectuated by giving the
Executive written notice (“Notice of Termination for Cause”) of the termination, setting forth in
reasonable detail the specific conduct that constitutes Cause and the specific provision(s) of this
Agreement on which Employer relies. The Executive shall have ten (10) days to remedy the conduct
set forth in the Notice of Termination for Cause. A termination of Executive’s employment for
Cause shall be effective on the tenth day following the date when the Notice of Termination for
Cause is given, unless the conduct set forth in the notice is remedied by the Executive within the
ten (10) day period; provided, however, that the Executive shall be able to cure such conduct only
once within a twelve (12) month period. A termination of Executive’s employment without Cause
shall be effectuated by giving the Executive written notice of the termination, which termination shall be effective on the tenth
day following the date when the Notice of Termination without Cause is given,

Page 3 of 11

 

          (d) By the Executive. The Executive may terminate employment under this Agreement for
Good Reason or without Good Reason. “Good Reason” means:

               (i) any reduction in the Executive’s base salary;

               (ii) removal of the Executive from his position specified herein, except for “Cause” as
defined in paragraph (b) above;

               (iii) any change in Executive’s reporting assignment such that he is no longer reporting to
Arcadia’s President/CEO, except such a change that is made by mutual agreement between the
Executive and Employer provided that Executive shall not unreasonably withhold his consent;

               (iv) a material failure by Employer to comply with any provision of Sections 2 and 3 of this
Agreement, other than (i) a purely monetary failure with respect to an amount less than $5,000,
(ii) a failure within Executive’s control or (iii) an isolated, insubstantial or inadvertent
failure that is not taken in bad faith and is remedied by Employer within ten (10) days after
receipt of written notice thereof from the Executive;

               (v) any action by Employer, except as required by law or applicable government regulations,
which is specific to the Executive that would or does adversely affect Executive’s participation in
bonus or incentive plans or the Other Benefits as described in Sections 3(b) and/or 3(c); and

               (vi) any failure by Employer to obtain from any successor in interest thereto assent to the
terms of this Agreement.

          (e) A termination of employment by the Executive for Good Reason shall be effectuated by
giving Employer written notice (“Notice of Termination for Good Reason”) of the termination,
setting forth in reasonable detail the specific conduct that constitutes Good Reason and the
specific provision(s) of this Agreement on which the Executive relies, provided that to be
effective the Notice of Termination for Good Reason must be given within thirty (30) days of the
act or omission on which it is based. Employer shall have thirty (30) days to remedy the conduct
set forth in the Notice of Termination for Good Reason. A termination of employment by the
Executive for Good Reason shall be effective on the thirtieth day following the date when the
Notice of Termination for Good Reason is given, unless the conduct set forth in the notice is
remedied by Employer within the thirty (30) day period; provided, however, that Employer shall be
able to cure such conduct only once within a twelve (12) month period.

          (f) A termination of the Executive’s employment by the Executive without Good Reason shall be
effected by giving Employer at least thirty (30) days’ advance written notice of the termination.

          (g) Date of Termination. The “Date of Termination” means the date of the Executive’s
death, the date of the Executive’s Disability, the date the termination of the Executive’s
employment under this Agreement by Employer for Cause or without Cause or by the Executive for Good
Reason or without Good Reason, as the case may be, is effective. The Employment Period shall end
on the Date of Termination.

Page 4 of 11

 

          (h) “Affiliate” of Employer means any person or entity directly or indirectly controlling,
controlled by, or under common control with, Arcadia. For purposes of this definition, the terms
“Control,” “Controlling,” and “Controlled” mean the right to elect a majority of the members or the
board of directors or other comparable body responsible for management and direction of a person or
entity by contract, by virtue of share ownership or otherwise.

     5. Obligations of Employer upon Termination.

          (a) [intentionally omitted and left blank]

          (b) Termination. If Employer terminates the Executive’s employment under this
Agreement (other than for Cause) or the Executive terminates employment under this Agreement for
Good Reason (any such termination of employment being a “Section 5(b) Termination”) and provided
the Executive continues to abide by the provisions of Section 9 of this Agreement:

               (i) the Executive shall be entitled to a continued payment for six months of the Executive’s
current base salary (as in effect on the Date of Termination), payable in regular intervals, in
accordance with the regular payroll practices of Employer;

               (ii) the Executive shall receive a pro rata portion of any bonus or incentive plan amount for
that portion of the year prior to the Date of Termination but only to the extent the Executive’s
performance measures are achieved at the end of the fiscal year. Pro rata bonuses shall be paid
within sixty (60) days of the end of the fiscal year. 

               (iii) if after the Date of Termination the Executive elects to receive continuation coverage
under Employer’s group health plans pursuant to the Consolidated Omnibus Budget Reconciliation Act
of 1985 (“COBRA”), the Executive shall be entitled to reimbursement from the Employer for the
COBRA premium costs of medical, prescription, dental and vision coverage, if any, under Employer’s
group health plans (as in effect from time to time) for the Executive and, to the extent permitted
under COBRA, the Executive’s spouse and eligible dependents, such reimbursement not to exceed the
COBRA rates for such coverage and, unless terminated sooner as described below, such reimbursement
to continue for one year after the Date of Termination; provided, however, that the Executive shall
be required to submit to Employer reasonable evidence of payment by the Executive of any such
COBRA premiums in order to obtain reimbursement from Employer and that the Executive may not
submit any requests for reimbursement of such payments more than once per calendar month; provided,
further, that Employer, in its sole discretion, may elect for the first two calendar months (or
portions thereof) of the Severance Period, as applicable, to remit any such payments directly on
behalf of the Executive rather than requiring the Executive to remit such payments and seek
reimbursement therefore from Employer; provided, further, that the obligations of Employer to
reimburse any such payments shall terminate on the date of occurrence of the first to occur of any
of the following, if any of the following should occur prior to the end of the Severance Period:
(i) the date of commencement of eligibility of the Executive under the group health plan of any
other employer or (ii) the date of commencement of eligibility of the Executive for Medicare
benefits under Title XVIII of the Social Security Act (“Medicare Benefits”); and provided, further,
that the Executive nevertheless shall be entitled to elect COBRA continuation coverage without
reimbursement under Employer’s group health plans at the applicable COBRA premium rates through
the date that is 18 months after the Date of Termination or, if earlier, the date that the
Executive becomes covered under the group health plan of another employer or becomes eligible for
Medicare Benefits, if the obligations of Employer to reimburse the Executive for COBRA premiums
for continuation coverage under Employer’s group health plans should terminate prior to such date.
Notwithstanding anything to the contrary set forth above, Employer, in its sole discretion, may
discontinue any coverage contemplated hereunder in the event that such

Page 5 of 11

 

continuation is not permitted under or would adversely affect the tax status of the plan or
plans of Employer pursuant to which the coverage is provided, in which case Employer shall make
supplemental severance payments to the Executive in monthly amounts equal to the amounts to which
the Executive otherwise would have been entitled to reimbursement hereunder in respect of such
coverage for the remainder of the period that Employer otherwise would have been obligated to make
reimbursements hereunder to the Executive. Any amounts that are reimbursed to the Executive by
Employer or paid directly to the Executive as supplemental severance payments will be considered
taxable income to the Executive and any taxes on such amounts will be the Executive’s
responsibility and subject to applicable tax withholding.

               (iv) Employer shall also pay, or cause to be paid, to the Executive, in a lump sum in cash
within thirty (30) days after the Date of Termination certain of Executive’s accrued but unpaid
cash compensation (the “Accrued Obligations”), which shall include but not be limited to the
Executive’s base salary through the Date of Termination that has not yet been paid, any accrued but
unpaid vacation pay, and similar unpaid items that have accrued and as to which the Executive has
become entitled as of the Date of Termination, including declared but unpaid bonuses and
unreimbursed employee business expenses.

          (c) Death or Disability. If the Executive’s employment is terminated by reason of the
Executive’s death or Disability during the Employment Period, Employer shall pay the Accrued
Obligations to the Executive or the Executive’s estate or legal representative, as applicable, in a
lump sum in cash within thirty (30) days after the Date of Termination. In addition, Employer
shall pay a pro-rata portion of the Executive’s bonus to Executive or his estate or legal
representative, determined and paid in the manner set forth in subparagraph 5(b)(ii) above. Pro
rata bonuses shall be paid within sixty (60) days of the end of the fiscal year for that portion of
the year prior to the Date of Termination but only to the extent the Executive’s performance
measures are achieved at the end of the fiscal year. In such event, Employer shall have no
further obligations under this Agreement or otherwise to or with respect to the Executive other
than for any entitlements under the terms of any other plans or programs of Employer in which the
Executive participated and under which the Executive has become entitled to a benefit.

          (d) By Employer for Cause; By the Executive Other than for Good Reason. If the
Executive’s employment is terminated by Employer for Cause or the Executive voluntarily terminates
his employment other than for Good Reason, Employer shall pay the Executive, or shall cause the
Executive to be paid, the Executive’s base salary through the Date of Termination that has not been
paid and the amount of any declared but unpaid bonuses, accrued but unpaid vacation pay, and
unreimbursed employee business expenses, and Employer shall have no further obligations under this
Agreement or otherwise to or with respect to the Executive other than for any entitlements under
the terms of any other plans or programs of Employer in which the Executive participated and under
which the Executive has become entitled to a benefit.

     6. Tax Treatment. It is the intention of the parties that payments to be made to the
Executive whether under the terms of this Agreement or otherwise shall not constitute “excess
parachute payments” within the meaning of Section 280G of the Internal Revenue Code of 1986 (as
amended from time to time) (the “Code) and any regulations thereunder. If the independent
accountants serving as auditors for Employer on the date of this Agreement (or any other
independent certified public accounting firm designated by Employer ) determine that any payment or
distribution by Employer to or for the benefit of the Executive (whether paid or payable or
distributed or distributable pursuant to the terms of this Agreement or otherwise) would be
nondeductible by Employer under Section 280G of the Code (or any successor provision), then the
amounts payable or distributable under this Agreement will be reduced to the maximum amount which
may be paid or distributed without causing such payments or distributions to be nondeductible. The
determination shall take into account (a) whether the payments or distributions

Page 6 of 11

 

are “parachute payments” under Section 280G, (b) the amount of payments and distributions
under this Agreement that constitute reasonable compensation, and (c) the present value of such
payments and distributions determined in accordance with Treasury Regulations in effect from time
to time. The Executive shall have the right to designate which payments or distributions will be
reduced.

     7. Non-exclusivity of Rights. Nothing in this Agreement shall prevent or limit the
Executive’s continuing or future participation in any plan, program, policy or practice provided by
Employer for which the Executive may qualify. Vested benefits and other amounts that the Executive
is otherwise entitled to receive on or after the Date of Termination under any plan, policy,
practice or program of, or any contract or agreement with, Employer shall be payable in accordance
with such plan, policy, practice, program, contract or agreement, as the case may be, except as
explicitly modified by this Agreement.

     8. Mitigation. In no event shall the Executive be obligated to seek other employment
or take any other action by way of mitigation of the amounts payable to the Executive under any of
the provisions of this Agreement. Notwithstanding this Section 8, the Executive shall continue to
be subject to all of the restrictions provided for in Section 9 of this Agreement during the
Severance Period.

     9. Confidential Information; Non-solicitation; Non-competition; Conflict of Interest.

          (a) The Executive agrees and acknowledges that by reason of his employment by and service to
Employer, he will have access to, become exposed to and/or become knowledgeable about confidential
information of Employer and its Affiliates (the “Confidential Information”) from time to time
during the Employment Period, including, without limitation, proposals, plans, inventions,
practices, systems, programs, processes, methods, techniques, research, records, supplier sources,
customer lists and other forms of business information that are not known to Employer’s
competitors, are not recognized as being encompassed within standard business or management
practices and/or are kept secret and confidential by Employer or its Affiliates. Executive agrees
that at no time during or after the Employment Period will he disclose or use the Confidential
Information except as may be required in the prudent course of business for the benefit of Employer
or its Affiliates, or as may be required by law or in a legal proceeding.

          (b) The Executive acknowledges that Employer’s business plan is to engage in business
throughout the United States. During the Executive’s employment by Employer and for the duration
of the Restricted Period (defined below), the Executive agrees that he will not, unless acting with
the prior written consent of Employer, directly or indirectly, own, manage, control, or participate
in the ownership, management or control of, be financially interested in, or be employed or engaged
by, or otherwise affiliated or associated with, as an officer, director, employee, consultant,
independent contractor or otherwise, any other corporation, partnership, proprietorship, firm,
association or other business entity, which is engaged in the management, ownership or operation of
any business that, as of the Date of Termination, is engaged in by Employer or its Affiliates in
the United States, has been reviewed by or with Arcadia’s senior management or the Board of
Directors of Arcadia for development to be owned or managed by Employer or its Affiliates, within
nine (9) months of the Date of Termination, and/or has been divested by Employer or its Affiliates
but as to which Employer or its Affiliates have an obligation to refrain from involvement for so
long as such restriction applies to Employer; provided, however, that the ownership of not more
than 5% of the equity of a publicly traded entity shall not be deemed to be a violation of this
paragraph; and further provided that Executive’s direct or indirect ownership, management or
control of, or financial interest in, BestCare shall not be deemed to be a violation of this
paragraph, contingent on Executive acting in compliance with his obligations specified in this
Agreement and BestCare acting in compliance with its obligations specified in an Agreement for Appointment of Arcadia Health Services, Inc. Representative dated August 13, 2006, as exists
now or may hereafter be amended or superseded.

Page 7 of 11

 

          (c) The Executive also agrees that he will not, directly or indirectly, during the Restricted
Period induce any person who is an employee, officer, director, or agent of Employer or its
Affiliates, to terminate such relationship, or employ, assist in employing or otherwise be
associated in business with any present or former employee or officer of Employer or its
Affiliates, including without limitation those who commence such positions with Employer or its
Affiliates after the Date of Termination.

          (d) During the Restricted Period, the Executive shall not attempt in any manner to contact or
solicit any individual, firm, corporation or other entity (i) that is or has been, a customer,
supplier or vendor of Employer or its Affiliates at any time during the Restricted Period, (ii) to
which a proposal has been made by Employer or its Affiliates during the Restricted Period or (iii)
to which Employer or its Affiliates has made a proposal during the nine (9) months preceding the
Date of Termination, for the purpose of implementing or providing services or products similar to
the services and products provided by Employer or its Affiliates at the Date of Termination. In
addition, during the Restricted Period, the Executive shall not persuade or attempt to persuade any
customer, supplier, vendor, licensor or other entity or individual doing business with Employer or
its Affiliates to discontinue or reduce its business with Employer or its Affiliates or otherwise
interfere in any way with the business relationships and activities of Employer.

          (e) The Executive acknowledges and agrees that the restrictions contained in this Section 9
are reasonable and necessary to protect and preserve the legitimate interests, properties, goodwill
and business of Employer and its Affiliates, that Employer would not have entered into this
Agreement in the absence of such restrictions and that irreparable injury will be suffered by
Employer and its Affiliates should the Executive breach the provisions of this Section. The
Executive represents and acknowledges that (i) the Executive has been advised by Employer to
consult the Executive’s own legal counsel in respect of this Agreement, (ii) the Executive has
consulted with and been advised by his own counsel in respect of this Agreement, and (iii) the
Executive has had full opportunity, prior to execution of this Agreement, to review thoroughly this
Agreement with the Executive’s counsel.

          (f) The Executive further acknowledges and agrees that a breach of the restrictions in this
Section 9 may not be adequately compensated by monetary damages. The Executive agrees that actual
damage may be difficult to ascertain and that, in the event of any such breach, Employer may be
entitled to injunctive relief in addition to such other legal or equitable remedies as may be
available to Employer. In the event that the provisions of this Section 9 should ever be
adjudicated to exceed the limitations permitted by applicable law in any jurisdiction, it is the
intention of the parties that the provision shall be amended such that those provisions are made
consistent with the maximum limitations permitted by applicable law, that such amendment shall
apply only within the jurisdiction of the court that made such adjudication and that those
provisions otherwise be enforced to the maximum extent permitted by law.

          (g) [intentionally omitted and left blank]

          (h) For purposes of this Section 9, the term “Restricted Period” following the Date of
Termination means a period of one (1) year following the Date of Termination, irrespective of
whether Employer terminates the Executive’s employment with or without Cause, or if the Executive
resigns or terminates his employment with Good Reason, or if employment terminates due to death or
disability.

Page 8 of 11

 

          (i) All Confidential Information; all innovations, inventions and discoveries of Employer; and
all correspondence, files, documents, advertising, sales, manufacturers’ and other materials or
articles or other information of any kind, in any media, form or format, whether or not deemed
confidential, shall be and remain the sole property of Employer (“Employer Property”). Upon
termination or at Employer’s request, whichever is earlier, Executive shall immediately deliver to
Employer all such Employer Property.

          (j) If, contrary to the effort and intent of the parties, any covenant or other obligation
contained in this Section 9 shall be found not to be reasonably necessary for the protection of, to
be unreasonable as to duration, scope or nature of restrictions, or to impose an undue hardship on
Executive, then it is the desire of the parties that such covenant or obligation not be rendered
invalid thereby, but rather that the duration, scope or nature of the restrictions be deemed
reduced or modified, with retroactive effect, to render such covenant or obligation reasonable,
valid and enforceable. The parties further agree that in the event a court, despite the efforts
and intent of the parties, declares any portion of the covenants or obligations in this Section 9
invalid, the remaining provisions of this Section 9 shall nonetheless remain valid and enforceable.

          (k) Employer acknowledges that Executive is a member/owner, director and President of
BestCare. Employer, BestCare and Executive are parties to an Agreement for the Appointment of
Representative, dated as of August 13, 2006 (the “Representative Agreement”). Executive’s
responsibilities to Employer include managing Employer’s staffing businesses, including the travel
nurse and allied health professional staffing business and relationship with BestCare. Employer
believes it is in its best interest for Executive to retain his positions with BestCare to ensure
the purposes and intent of the Representative Agreement are fulfilled. As soon as practicable
after the Employment Date, but not later than October 31, 2007, Employer and Executive agree that
Executive will complete the transition into his full-time position with Employer (and until then
maintain part-time status with, and on terms acceptable to, Employer) and will cause BestCare to
designate a person reasonably satisfactory to Employer to manage the day-to-day business of
BestCare. Executive agrees he will receive no annual salary or other employment-related
compensation from BestCare. Promptly following the execution of this Agreement, Employer’s
President and CEO (or his designee) and Executive agree to develop a mutually acceptable protocol,
subject to the approval of the Audit Committee of Employer’s Board of Directors, prescribing
the process to identify and resolve any conflicts of interest which arise during the Employment
Period. Employer and Executive each agree to comply with such protocol as approved by the Audit
Committee and as may thereafter be amended or superseded by written agreement of Employer and
Executive (who shall not unreasonably withhold his approval) with the approval of the Audit
Committee. Any termination of the term of the Representative Agreement will be governed by its
terms and not by the terms of this Agreement.

     10. Governing Law and Arbitration. This Agreement and all disputes arising out of
Executive’s employment hereunder shall be governed by and construed in accordance with the laws of
the State of Indiana without reference to principles of conflict of laws, notwithstanding that
Employer and Executive are or may hereafter become domiciled or located in a different state. Any
dispute, controversy or claim arising out of or relating to this Agreement or Executive’s
employment, whether arising in contract, tort or otherwise, including all claims assertable under
any federal or state law prohibiting discrimination in employment, shall be resolved at arbitration
in accordance with the rules of the American Arbitration Association, except for any equitable or
injunctive relief sought by Employer under this Agreement. The arbitration shall be held at a
location within Marion County, Indiana. The parties hereto agree that any arbitration award
rendered on any claim submitted to arbitration shall be final and binding upon the parties, and
that judgment may be entered upon any arbitration award by any court of competent jurisdiction.
The parties hereto agree that the expenses of any arbitration shall be borne equally by the parties
to the proceeding, except that the party determined to have prevailed in any

Page 9 of 11

 

arbitration or civil action shall be awarded its reasonable attorneys fees and costs of its
own experts, evidence and the like. The parties hereto acknowledge and agree that by making this
agreement to submit all claims to binding arbitration, they are waiving the right to litigate in a
court of law, and to trial by jury if applicable, all claims, including all claims assertable under
any federal or state law prohibiting discrimination in employment.

     11. Successors.

          (a) This Agreement is personal to the Executive and, without the prior written consent of
Employer, shall not be assignable by the Executive otherwise than by will or the laws of descent
and distribution. This Agreement shall inure to the benefit of and be enforceable by the
Executive’s legal representatives.

          (b) This Agreement shall inure to the benefit of and be binding upon the Employer and its
successors and assigns.

          (c) The Employer shall require any successor (whether direct or indirect, by purchase, merger,
consolidation or otherwise) to all or substantially all of the business and/or assets of the
Employer expressly to assume and agree to perform this Agreement in the same manner and to the same
extent that the Employer would have been required to perform it if no such succession had taken
place. As used in this Agreement, “Employer” shall mean both Arcadia as defined above and any such
successor that assumes and agrees to perform this Agreement, by operation of law or otherwise.

     12. Miscellaneous.

          (a) The captions of this Agreement are not part of the provisions hereof and shall have no
force or effect. This Agreement may not be amended or modified except by a written agreement
executed by the parties hereto or their respective successors and legal representatives. This
Agreement supersedes all prior agreements between Employer and Executive with respect to its
subject matter and constitutes (along with any documents referred to in this Agreement) a complete
and exclusive statement of the terms of the Agreement between Employer and Executive with respect
to its subject matter.

          (b) All notices and other communications under this Agreement shall be in writing and shall be
given by hand to the other party or by registered or certified mail, return receipt requested,
postage prepaid, or by facsimile or overnight courier, addressed as follows:

If to the Executive:

Steven L. Zeller

120 E. Main Street, #1104

Lexington, KY 40507

If to the Employer: 

Arcadia Resources, Inc.

9229 Delegates Row, Suite 260

Indianapolis, IN  46240

Attn: President and CEO

Page 10 of 11

 

or to such other address as either party furnishes to the other in writing in accordance with this
paragraph (b) of this Section. Notices and communications shall be effective when given in the
manner described above.

          (c) The invalidity or unenforceability of any provision of this Agreement shall not affect the
validity or enforceability of any other provision of this Agreement. If any provision of this
Agreement shall be held invalid or unenforceable in part, the remaining portion of such provision,
together with all other provisions of this Agreement, shall remain valid and enforceable and
continue in full force and effect to the fullest extent consistent with law.

          (d) Notwithstanding any other provision of this Agreement, Employer may withhold from amounts
payable under this Agreement all federal, state, local and foreign taxes that are required to be
withheld by applicable laws or regulations.

          (e) The Executive’s or Employer’s failure to insist upon strict compliance with any provision
of, or to assert any right under, this Agreement (including, without limitation, the right of the
Executive to terminate employment for Good Reason pursuant to paragraph (c) of Section 5 of this
Agreement) shall not be deemed to be a waiver of such provision or right or of any other provision
of or right under this Agreement.

          (f) This Agreement may be executed in several counterparts, each of which shall be deemed an
original, and said counterparts shall constitute but one and the same instrument.

     13. The respective rights and obligations of the parties hereunder shall survive any
termination of the Executive’s employment to the extent necessary to the intended preservation of
such rights and obligations, including, but not by way of limitation, those rights and obligations
set forth in Sections 3, 5, 6, 8 and 9.

     IN WITNESS WHEREOF, the Executive has hereunto set the Executive’s hand and, pursuant to the
authorization of the Board of Directors, Employer has caused this Agreement to be executed in its
name and on its behalf, all as of the day and year first above written.

ARCADIA RESOURCES, INC.

By: /s/ Marvin Richardson

Name: Marvin Richardson

Title: President and Chief Executive Officer

EXECUTIVE

/s/ Steven L. Zeller

Steven L. Zeller

Page 11 of 11

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