Document:

Exhibit 10.38

                              EMPLOYMENT AGREEMENT

                  AGREEMENT dated August 14, 2001 between ARTHUR AUGUST
("Executive"), and CPI AEROSTRUCTURES, INC. ("Company");

                  WHEREAS, the Company desires to continue the employment of
Executive and Executive desires to continue his present employment with the
Company, pursuant to the terms and conditions herein set forth, superseding all
prior agreements between the Company, its subsidiaries and/or predecessors and
Executive;

                  IT IS AGREED:

                  1.  Employment, Duties and Acceptance.
                      ---------------------------------

                      1.1    General. The Company shall employ Executive from
August 14, 2001 until December 31, 2001 as its Chairman of the Board
("Chairman"), President and Chief Executive Officer ("CEO") and from January 1,
2002 until December 31, 2004, as its Chairman and CEO, under the terms hereof.
All of Executive's powers and authority in any capacity shall at all times be
subject to the direction and control of the Company's Board of Directors. The
Board may assign to Executive such management and supervisory responsibilities
and executive duties for the Company or any subsidiary of the Company, including
serving as an executive officer and/or director of any subsidiary, as are
consistent with Executive's status as Chairman, President and CEO, as the case
may be. The Company and Executive acknowledge that Executive's functions and
duties as Chairman, President and CEO, as the case may be, include establishing
policies and strategies for the Company's overall business and operations,
including plans for growth and strategic alliances.

                      1.2    Full-Time Position Through 12/31/02. Executive
accepts such employment and agrees to devote substantially all of his business
time, energies and attention to the performance of his duties hereunder through
December 31, 2002 and thereafter, to devote such time as he, in his sole
discretion, deems to be necessary. Nothing herein shall be construed as
preventing Executive from making and supervising personal investments, provided

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they will not interfere with the performance of Executive's duties hereunder or
violate the provisions of Section 6.4 hereof.

                      1.3    Location. The Company will maintain its principal
executive offices within a 30 mile radius of its current location in Edgewood,
New York. Notwithstanding the foregoing, Executive may, in his sole discretion,
perform his obligations under this Agreement off the premises of the Company.
Additionally, Executive may maintain an office in, adjacent to, or within the
vicinity of his residence, and the Company shall reimburse him for all costs
reasonably related thereto (including secretarial assistance, telephone, fax,
computer and other communications equipment).

                      1.4    Board of Directors Position. At any time during the
term hereof that Executive is not serving as a director of the Company, he shall
nonetheless be invited to attend each meeting of the Board of Directors of the
Company.

                  2.  Compensation and Benefits.
                      -------------------------

                      2.1    Salary. The Company shall pay to Executive a salary
("Base Salary") at the annual rate of not less than $300,000 per annum from
August 14, 2001 until December 31, 2002 and at the annual rate of not less than
$100,000 from January 1, 2003 until December 31, 2004. Executive's compensation
shall be paid in equal, periodic installments in accordance with the Company's
normal payroll procedures.

                      2.2    Bonus. In addition to Base Salary, Executive shall
be paid a bonus ("Bonus") equal to 4% of the Company's consolidated net income
for the year ending December 31, 2001 and 2002; equal to 3% of the Company's
consolidated net income for the year ending December 31, 2003; and equal to 2%
of the Company's consolidated net income for the year ending December 31, 2004,
as determined by reference to the Company's audited financial statements for
such year. The amount of the Bonus shall be pro-rated to the date of termination
of Executive's employment. The Bonus with respect to any year shall be paid on
or prior to April 15 of the following year.

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                      2.3    Additional Compensation. As additional compensation
for Executive entering into this Agreement and agreeing to be bound by its terms
(including Article 6 hereof) and for the services to be rendered by Executive
hereunder, the Company hereby issues to Executive options to purchase 100,000
shares of Common Stock under the Company's Performance Equity Plan 2000. These
options ("Agreement Options") shall be evidenced by one or more Stock Option
Agreements of even date herewith between the Company and Executive. The
Agreement Options will have an exercise price of $1.20 per share and will vest
immediately. The Compensation Committee may, in its discretion, grant additional
options to Executive during the term of this Agreement.

                      2.4    Benefits. Executive shall be entitled to such
medical, life, disability and other benefits as are generally afforded to other
senior executives of the Company, subject to applicable waiting periods and
other conditions.

                      2.5    Vacation. Executive shall be entitled to such paid
vacation days in each year during the Employment Term and to a reasonable number
of other days off for religious and personal reasons in accordance with
customary Company policy.

                      2.6    Automobile. The Company shall continue to lease a
luxury class automobile (reasonably satisfactory to Executive) for Executive
during the term of this Agreement to be used in connection with the business of
the Company. The Company shall reimburse Executive for all costs associated with
the use of a vehicle, including lease and insurance costs, repairs and
maintenance.

                      2.7    Expenses. The Company shall pay or reimburse
Executive for all transportation, hotel and other expenses reasonably incurred
by Executive on business trips (including business class air travel if the
scheduled flight is more than two (2) consecutive hours) and for all other
ordinary and reasonable out-of-pocket expenses actually incurred by him in the
conduct of the business of the Company against itemized vouchers submitted with
respect to any such expenses and approved in accordance with customary
procedures.

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                      2.8    Life Insurance.  During the Employment Term, as
defined below, the Company shall continue to maintain the insurance policy on
the life of Executive in favor of his named beneficiary or his estate in a
minimum amount of $500,000.

                  3.  Term. The term of Executive's employment hereunder shall
commence as of August 14, 2001 and shall continue until December 31, 2004 (as it
may be extended, the "Employment Term"), unless sooner terminated as herein
provided. The Employment Term shall be automatically renewed for successive one
year periods unless terminated by the Company or Executive by written notice to
the other party at least thirty (30) days before the end of the Employment Term
or any renewal thereof.

                  4.  Termination.
                      -----------

                     4.1    Death. If Executive dies during the term of this
Agreement, Executive's employment hereunder shall terminate and the Company
shall pay to Executive's estate the amount set forth in Section 4.7.

                     4.2    Disability. The Company, by written notice to
Executive, may terminate Executive's employment hereunder if Executive shall
fail because of illness or incapacity to render, for six consecutive months,
services of the character contemplated by this Agreement. Upon such termination,
the Company shall pay to Executive the amount set forth in Section 4.7.

                      4.3    By Company for "Cause". The Company, by written
notice to Executive, may terminate Executive's employment hereunder for "Cause".
As used herein, "Cause" shall mean: (a) the refusal or failure by Executive to
carry out specific directions of the Board which are of a material nature and
consistent with his status as Chairman, President and CEO (or whichever
positions Executive holds at such time), or the refusal or failure by Executive
to perform a material part of Executive's duties hereunder; (b) the commission
by Executive of a material breach of any of the provisions of this Agreement;
(c) fraud or dishonest action by Executive in his relations with the Company or
any of its subsidiaries or affiliates ("dishonest" for these purposes shall mean
Executive's knowingly or recklessly making of a material misstatement or

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omission for his personal benefit); or (d) the conviction of Executive of a
felony under federal or state law. Notwithstanding the foregoing, no "Cause" for
termination shall be deemed to exist with respect to Executive's acts described
in clauses (a) or (b) above, unless the Company shall have given written notice
to Executive specifying the "Cause" with reasonable particularity and, within
thirty calendar days after such notice, Executive shall not have cured or
eliminated the problem or thing giving rise to such "Cause;" provided, however,
no more than two cure periods need be provided during any twelve-month period.
Upon such termination, the Company shall pay to Executive the amount set forth
in Section 4.7. In the event of a dispute as to the existence of suitable
"Cause" for termination pursuant this Section 4.3, Executive shall be entitled
to file for arbitration of such dispute in accordance with the rules of the
American Arbitration Association with one arbitrator to be selected by the
Company and one arbitrator to be selected by the Executive, and pending final
determination of such arbitration proceedings, Executive shall continue to be
compensated in accordance with the terms of this Agreement and shall be
reimbursed for his expenses including his legal costs.

                      4.4    By Company Without "Cause". The Company may
terminate Executive's employment hereunder without "Cause" by giving at least 30
days written notice to Executive. Upon such termination, the Company shall pay
to Executive the amount set forth in Section 4.7.

                      4.5    By Executive for "Good Reason". The Executive, by
written notice to the Company, may terminate Executive's employment hereunder if
a "Good Reason" exists. For purposes of this Agreement, "Good Reason" shall mean
the occurrence of any of the following circumstances without the Executive's
prior written consent: (a) a substantial and material adverse change in the
nature of Executive's title, duties or responsibilities with the Company that
represents a demotion from his title, duties or responsibilities as in effect
immediately prior to such change; (b) Executive is not nominated or is removed
from service as a director of the Company; (c) material breach of this Agreement
by the Company; (d) a failure by the Company to make any payment to Executive
when due, unless the payment is not material and is being contested by the
Company, in good faith; (e) any person or entity other than the Company and/or
any officers or directors of the Company as of the date of this Agreement
acquires securities of the Company (in one or more transactions) having 30% or
more of the total voting power of all the Company's securities then outstanding;
or (f) a liquidation, bankruptcy or receivership of the Company. Notwithstanding

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the foregoing, no "Good Reason" shall be deemed to exist with respect to the
Company's acts described in clauses (a), (c) or (d) above, unless Executive
shall have given written notice to the Company specifying the "Good Reason" with
reasonable particularity and, within thirty calendar days after such notice, the
Company shall not have cured or eliminated the problem or thing giving rise to
such "Good Reason"; provided, however, that no more than two cure periods shall
be provided during any twelve-month period of a breach of clauses (a), (c) or
(d) above. Upon such termination the Company shall pay to Executive the amount
set forth in Section 4.7

                      4.6    By Executive Without Reason.  The Executive may
terminate his employment hereunder by giving at least 75 days written notice to
the Company. Upon such termination, the Company shall pay to Executive the
amount set forth in Section 4.7.

                      4.7    Compensation Upon Termination.  In the event that
Executive's employment hereunder is terminated, the Company shall pay to
Executive the following compensation:

                             (a)   Payment Upon Death or Disability or by
Executive Without Reason. In the event that Executive's employment is terminated
pursuant to Sections 4.1, 4.2 or 4.6, the Company shall pay to Executive (or his
executor, administrator or personal representative), (i) the Base Salary due
Executive pursuant to Section 2.1 hereof through the date of termination; (ii)
any Bonus which would have become payable under Section 2.2 for the year in
which the employment was terminated prorated by multiplying the full amount of
the Bonus by a fraction, the numerator of which is the number of "full calendar
months" worked by Executive during the year of termination and the denominator
of which is 12 (a "full calendar month" is a month in which the Executive worked
at least two weeks); (iii) all earned and previously approved but unpaid Bonuses
for any year prior to the year of termination; (iv) all valid expense
reimbursements, (v) all accrued but unused vacation pay, and (vi) the payments
required by Section 4.7(d), below.

                              (b)   Payment Upon Termination by the Company For
"Cause". In the event that the Company terminates Executive's employment
hereunder pursuant to Section 4.3, the Company shall pay to Executive his Base

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Salary, all valid expense reimbursements, all unused vacation pay required by
law through the date of termination, and the payments required by Section
4.7(d), below.

                              (c)   Payment Upon Termination by Company Without
"Cause" or Executive for "Good Reason". In the event that Executive's employment
is terminated, pursuant to Sections 4.4 or 4.5, the Company shall (i) continue
to pay to Executive (or in the case of his death, the legal representative of
Executive's estate or such other person or persons as Executive shall have
designated by written notice to the Company), all payments, compensation and
benefits required under Section 2 hereof through December 31, 2004, (ii)
continue to maintain and pay for the same medical insurance then covering
Executive through June 30, 2006, and (iii) make the payments to Executive
required by Section 4.7(d), below. Notwithstanding the foregoing, if a "change
of control" of the Company (as described in Section 4.5(e)) occurs prior to a
termination of Executive's employment pursuant to Sections 4.4 or 4.5, then at
the option of Executive, in lieu of the above compensation and benefits, the
Company shall pay to Executive a lump sum payment on the date of termination
equal to three times (3X) the total compensation (including salary and bonus)
earned by Executive during the last full calendar year of his employment.

                              (d)   Non-compete Payments.  In consideration of
Executive's agreement not to compete with the Company for an extended period of
time pursuant to Section 6.4 hereof, the Company agrees to pay Executive the
aggregate sum of $300,000 ("Non-compete Fee"). The Non-compete Fee shall be
paid to Executive in the event that his employment is terminated for any reason,
even if his employment is terminated in a manner which causes Section 6.4 hereof
to become null and void pursuant to Section 6.7. The Non-compete Fee shall be
paid to Executive (or his estate, in the event of his death) in five equal
installments of $60,000 each, commencing on the date of termination of
employment and continuing on each of the first four annual anniversaries
thereof. The Non-compete Fee shall be in addition to any other payment required
to be made to Executive hereunder.

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                              (e)   Executive shall have no duty to mitigate
awards paid or payable to him pursuant to this Agreement, and any compensation
paid or payable to Executive from sources other than the Company will not offset
or terminate the Company's obligation to pay to Executive the full amounts
pursuant to this Agreement.

                      4.8     Resignation as Member of Board.  If Executive's
employment hereunder is terminated for any reason, then Executive shall, at the
Company's request, resign as a director of the Company and all of its
subsidiaries, effective upon the occurrence of such termination.

                  5.  Executive Indemnity. The Company agrees to indemnify
Executive and hold Executive harmless against all costs, expenses (including,
without limitation, reasonable attorneys' fees) and liabilities (other than
settlements to which the Company does not consent, which consent shall not be
unreasonably withheld) (collectively, "Losses") reasonably incurred by Executive
in connection with any claim, action, proceeding or investigation brought
against or involving Executive with respect to, arising out of or in any way
relating to Executive's employment with the Company or any subsidiary or
Executive's service as a director of the Company or any subsidiary; provided,
however, that the Company shall not be required to indemnify Executive for
Losses incurred as a result of Executive's intentional misconduct or gross
negligence (other than matters where Executive acted in good faith and in a
manner he reasonably believed to be in and not opposed to the Company's best
interests). Executive shall promptly notify the Company of any claim, action,
proceeding or investigation under this paragraph and the Company shall be
entitled to participate in the defense of any such claim, action, proceeding or
investigation and, if it so chooses, to assume the defense with counsel selected
by the Company; provided that Executive shall have the right to employ counsel
to represent him (at the Company's expense) if the Company's counsel would have
a "conflict of interest" in representing both the Company and Executive. The
Company shall not settle or compromise any claim, action, proceeding or
investigation without Executive's consent, which consent shall not be
unreasonably withheld; provided, however, that such consent shall not be
required if the settlement entails only the payment of money and the Company
fully indemnifies Executive in connection therewith. The Company further agrees
to advance any and all expenses (including, without limitation, the reasonable
fees and expenses of counsel) incurred by the Executive (in accordance with the
foregoing) in connection with any such claim, action, proceeding or
investigation, provided, however, that Executive shall repay such advances if
indemnification is found not to have been available hereunder. This Section
shall survive the termination of this Agreement for any reason. To the extent
that the Company obtains director and officers' insurance coverage for any

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period in which Executive was an officer, director or consultant to the Company,
Executive shall be a named insured and shall be entitled to coverage thereunder.

                  6. Protection of Confidential Information; Non-Competition.
                     -------------------------------------------------------

                     6.1     Acknowledgment.  Executive acknowledges that:

                            (a)   As a result of his current and prior
employment with the Company, Executive has obtained and will obtain secret and
confidential information concerning the business of the Company and its
subsidiaries (referred to collectively in this Section 6 as the "Company"),
including, without limitation, financial information, proprietary rights, trade
secrets and "know-how," customers and sources ("Confidential Information").

                             (b)   The Company will suffer substantial damage
which will be difficult to compute if, during the period of his employment with
the Company or thereafter, Executive should enter a business competitive with
the Company or divulge Confidential Information.

                             (c)   The provisions of this Agreement are
reasonable and necessary for the protection of the business of the Company.

                     6.2     Confidentiality.  Executive agrees that he will not
at any time, during the Employment Term and for a period of one year thereafter,
divulge to any person or entity any Confidential Information obtained or learned
by him as a result of his employment with the Company, except (i) in the course
of performing his duties hereunder, (ii) with the Company's prior written
consent; (iii) to the extent that any such information is in the public domain
other than as a result of Executive's breach of any of his obligations
hereunder; or (iv) where required to be disclosed by court order, subpoena or
other government process. If Executive shall be required to make disclosure
pursuant to the provisions of clause (iv) of the preceding sentence, Executive
promptly, but in no event more than 48 hours after learning of such subpoena,
court order, or other government process, shall notify, confirmed by mail, the
Company and, at the Company's expense, Executive shall: (a) take all reasonably
necessary and lawful steps required by the Company to defend against the

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enforcement of such subpoena, court order or other government process, and (b)
permit the Company to intervene and participate with counsel of its choice in
any proceeding relating to the enforcement thereof.

                      6.3    Documents. Upon termination of his employment with
the Company, Executive will promptly deliver to the Company all memoranda,
notes, records, reports, manuals, drawings, blueprints and other documents (and
all copies thereof) relating to the business of the Company and all property
associated therewith, which he may then possess or have under his control;
provided, however, that Executive shall be entitled to retain copies of such
documents reasonably necessary to document his financial relationship with the
Company.

                      6.4    Non-competition. During the Employment Term and for
a period of five years thereafter, Executive, without the prior written
permission of the Company, shall not, anywhere in the world, (i) be employed by,
or render any services to, any person, firm or corporation engaged in any
business ("Competitive Business") which is directly in competition with any
"material" business conducted by the Company or any of its subsidiaries at the
time of termination (as used herein "material" means the business generated at
least 10% of the Company's consolidated revenues for the last full fiscal year
for which audited financial statements are available); (ii) engage in any
Competitive Business for his or its own account; (iii) be associated with or
interested in any Competitive Business as an individual, partner, shareholder,
creditor, director, officer, principal, agent, employee, trustee, consultant,
advisor or in any other relationship or capacity; (iv) employ or retain, or have
or cause any other person or entity to employ or retain, any person who was
employed or retained by the Company while Executive was employed by the Company
(other than Executive's personal secretary and assistant); or (v) solicit,
interfere with, or endeavor to entice away from the Company, for the benefit of

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a Competitive Business, any of its customers or other persons with whom the
Company has a contractual relationship. Notwithstanding the foregoing, nothing
in this Agreement shall preclude Executive from investing his personal assets in
any manner he chooses, provided, however, that Executive may not, during the
period referred to in this Section 6.4, own more than 4.9% of the equity
securities of any Competitive Business.

                      6.5    Injunctive Relief.  If Executive commits a breach,
or threatens to commit a breach, of any of the provisions of Sections 6.2 or
6.4, the Company shall have the right and remedy to seek to have the provisions
of this Agreement specifically enforced by any court having equity jurisdiction,
it being acknowledged and agreed by Executive that the services being rendered
hereunder to the Company are of a special, unique and extraordinary character
and that any such breach or threatened breach will cause irreparable injury to
the Company and that money damages will not provide an adequate remedy to the
Company. The rights and remedies enumerated in this Section 6.5 shall be in
addition to, and not in lieu of, any other rights and remedies available to the
Company under law or equity. In connection with any legal action or proceeding
arising out of or relating to this Agreement, the prevailing party in such
action or proceeding shall be entitled to be reimbursed by the other party for
the reasonable attorneys' fees and costs incurred by the prevailing party.

                      6.6    Modification. If any provision of Sections 6.2 or
6.4 is held to be unenforceable because of the scope, duration or area of its
applicability, the tribunal making such determination shall have the power to
modify such scope, duration, or area, or all of them, and such provision or
provisions shall then be applicable in such modified form.

                      6.7    Survival. The provisions of this Section 6 shall
survive the termination of this Agreement for any reason, except in the event
Executive is terminated by the Company without "Cause, " or if Executive
terminates this Agreement with "Good Reason," in either of which events, Section
6.4 shall be null and void and of no further force or effect.

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                  7.  Miscellaneous Provisions.
                      ------------------------

                      7.1    Notices. All notices provided for in this Agreement
shall be in writing, and shall be deemed to have been duly given when (i)
delivered personally to the party to receive the same, or (ii) when mailed first
class postage prepaid, by certified mail, return receipt requested, addressed to
the party to receive the same at his or its address set forth below, or such
other address as the party to receive the same shall have specified by written
notice given in the manner provided for in this Section 7.1. All notices shall
be deemed to have been given as of the date of personal delivery or mailing
thereof.

                  If to Executive:

                           Arthur August
                           c/o CPI Aerostructures, Inc.
                           200A Executive Drive
                           Edgewood, New York 11717

                  If to the Company:

                           CPI Aerostructures, Inc.
                           200A Executive Drive
                           Edgewood, New York  11717
                           Attn: Chief Financial Officer

                  With a copy in either case to:

                           Graubard Miller
                           600 Third Avenue
                           New York, New York  10016
                           Attn: David Alan Miller, Esq.

                      7.2     Entire Agreement; Waiver.  This Agreement sets
forth the entire agreement of the parties relating to the employment of
Executive and is intended to supersede all prior negotiations, understandings
and agreements. No provisions of this Agreement, may be waived or changed except
by a writing by the party against whom such waiver or change is sought to be
enforced. The failure of any party to require performance of any provision
hereof or thereof shall in no manner affect the right at a later time to enforce
such provision.

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                           7.3    Governing Law.  All questions with respect to
the construction of this Agreement, and the rights and obligations of the
parties hereunder, shall be determined in accordance with the law of the State
of New York applicable to agreements made and to be performed entirely in New
York.

                           7.4    Binding Effect; Nonassignability.  This
Agreement shall inure to the benefit of and be binding upon the successors and
assigns of the Company. This Agreement shall not be assignable by Executive, but
shall inure to the benefit of and be binding upon Executive's heirs and legal
representatives.

                           7.5    Severability.  Should any provision of this
Agreement become legally unenforceable, no other provision of this Agreement
shall be affected, and this Agreement shall continue as if the Agreement had
been executed absent the unenforceable provision.

                  IN WITNESS WHEREOF, the parties have executed this Agreement
on the date first above written.

                               CPI AEROSTRUCTURES, INC.

                                /s/ Edward J. Fred
                               ---------------------------------------
                               By:  Edward J. Fred, Vice President and
                                        Chief Financial Officer

                                /s/ Arthur August
                               ---------------------------------------
                               ARTHUR AUGUST

                                       13Exhibit 10.17

                              EMPLOYMENT AGREEMENT

         AGREEMENT dated as of May 23, 2001 between THOMAS J. LIVELLI, residing
at 19 Tine Road, Lebanon, New Jersey 08833 ("Executive"), and CELL & MOLECULAR
TECHNOLOGIES, INC., a Delaware corporation having its principal office at 580
Marshall Street, Phillipsburg, New Jersey 08865 ("Company").

         WHEREAS, the Company is a wholly-owned subsidiary of Sentigen Holding
Corp., a Delaware Corporation ("Sentigen); and

         WHEREAS, Executive has been the Chief Executive Officer and President
of the Company under an Employment Agreement dated May 22, 1997 ("Prior
Agreement"), and

         WHEREAS, the Company desires to continue to avail itself of Executive's
expertise.

                  IT IS AGREED:

1.       Employment, Duties and Acceptance.
         ----------------------------------

         1.1    The Company shall continue to employ Executive as its Chief
Executive Officer ("CEO") and President for a period commencing on May 23, 2001
("Start Date") and terminating in accordance with the terms of this Agreement.
All of Executive's powers and authority in any capacity shall at all times be
subject to the direction and control of the Company's Board of Directors and the
Board of Directors of Sentigen. When used herein, the term "Board of Directors"
shall mean the Board of the Company. At the Company's request, Executive shall
serve as a member of the Board of Directors during the period in which he serves
as CEO and President. At the request of the Board of Directors given at any
time, Executive shall sign a letter resigning from the Board of Directors.

         1.2    The Board of Directors and/or the Chairman of Sentigen may
assign to Executive such general management and supervisory responsibilities and
executive duties for the Company or any subsidiary of the Company as are
consistent with Executive's status as CEO and President.

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         1.3      Executive accepts such employment and agrees to devote
substantially all of his business time, energy and attention to the performance
of his duties hereunder beginning on the Start Date. Nothing herein shall be
construed as preventing Executive from making and supervising personal
investments during the term of this Agreement, provided they will not (a)
require any substantial services on his part in the operation of the affairs of
the companies in which such investments are made, (b) interfere with the
performance of Executive's duties hereunder or (c) violate the provisions of
paragraph 5.4 hereof.

2.       Compensation and Benefits.
         -------------------------

         2.1       The Company shall pay to Executive a salary at the annual
rate of $150,000. Executive's compensation shall continue to be paid in equal
two week installments. Executive's salary shall be adjusted on each one year
anniversary of this agreement as set forth below, based on changes in the CPI
(as defined below). Executive may also be awarded merit increases in salary at
the sole discretion of the Board of Directors.

                   Executive's salary on each one year anniversary of this
Agreement shall be adjusted to an amount equal to the product obtained by
multiplying Executive's salary in the immediately preceding year by a fraction,
the numerator of which shall be the Consumer Price Index for All Urban Wage
Earners and Clerical Workers (CPI-W) Northeast Urban, as published by the U.S.
Bureau of Labor Statistics (reference base 1982-1984 = 100) ("CPI"), for the
month of May in which the adjustment occurs, and the denominator of which shall
be the CPI for the month of May in the immediately preceding year.

         2.2      As additional compensation for services to be rendered by
Executive hereunder:

                  (a)      Simultaneously herewith, the Company is issuing to
Executive options ("Options") to purchase 25,000 shares of Sentigen's common
stock ("Common Stock") at a price per share of $9.00. The Options are evidenced
by, and subject to, a Stock Option Agreement, dated as of May 23, 2001, between
Sentigen and Executive ("Stock Option Agreement"), the terms of which are deemed
to be incorporated herein by reference. The Options shall vest in accordance
with the terms of the Stock Option Agreement in five equal, annual installments
commencing on January 1, 2002.

                  (b)      Executive shall be entitled to participate in the
Company's bonus plan, which is based on the Company's net profits and allocated

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each year by the Board of Directors. Notwithstanding the Board's discretion in
allocating bonuses under the plan, Executive's minimum bonus shall be $20,000
for each full fiscal year of employment. If such payment exceeds Executive's
allocated bonus under the plan, the excess shall be credited against any future
allocated bonuses in excess of $20,000.

                  (c)      Executive shall be entitled to a car allowance of
$500 per month during the term of this Agreement.

         2.3      Executive shall be entitled to such medical, dental, life,
disability, insurance coverage and other employee benefits (or their
equivalents) as are currently being provided to him by the Company.

         2.4      Executive shall be entitled to four weeks of vacation in each
calendar year and to a reasonable number of other days off for religious and
personal reasons.

         2.5      The Company shall reimburse the Executive for all reasonable
and necessary travel and entertainment expenses, disbursements and other
incidental expenses incurred for or on behalf of the Company, in addition to any
fees, charges or costs for membership in business or professional organizations
reasonably approved by the Company, upon the presentation of appropriate
vouchers or other evidence of such expenditures. The Executive will not incur
any expense in excess of $2,000 without the prior approval of the Board of
Directors or an appropriate committee thereof.

3.       Term and Termination.
         --------------------

         3.1      The term of Executive's employment hereunder shall commence on
the Start Date and shall continue until the earlier of May 22, 2006 or the two
year anniversary of a "Change in Control" (as defined below), unless sooner
terminated as herein provided.

         3.2      Executive's employment hereunder shall terminate on the date
of his death, in which case the Company shall pay to the legal representative of
Executive's estate (i) the base salary due Executive pursuant to paragraph 2.1
hereof through the date of Executive's death, (ii) all earned and previously
approved but unpaid bonuses, (iii) all valid expense reimbursements through the
date of the termination of employment and (iv) all accrued but unused vacation
pay.

                                        3

<Page>

         3.3      The Company, by notice to Executive, may terminate Executive's
employment hereunder if Executive shall fail because of illness or incapacity to
render, for six consecutive months, services of the character contemplated by
this Agreement. Notwithstanding such termination, the Company shall pay to
Executive (i) the base salary due Executive pursuant to paragraph 2.1 hereof
through the date of such notice, less any amount Executive receives for such
period from any Company-sponsored or Company-paid source of insurance,
disability compensation or government program, (ii) all earned and previously
approved but unpaid bonuses, (iii) all valid expense reimbursements through the
date of the termination of employment and (iv) all accrued but unused vacation
pay.

         3.4      The Company, by notice to Executive, may terminate Executive's
employment hereunder for "Cause." As used herein, "Cause" shall mean: (a) the
willful and continued failure by Executive to substantially perform his duties
hereunder (other than any such failure resulting form Executive's incapacity due
to physical or mental illness) after demand for performance is delivered by the
Company specifically identifying the manner in which Company believes Executive
has not substantially performed his duties and the failure to correct such
failure within 30 days of Executive's receipt of such demand, (b) the willful
engaging by Executive in criminal misconduct which is injurious to Company,
monetarily or otherwise, (c) Executive is convicted by a court of competent
jurisdiction, or pleads guilty or nolo contendere to, any felony involving the
possession of a controlled substance, fraud or dishonesty, moral turpitude,
theft or larceny, or (d) the willful breach by Executive of any material
provision of this Agreement after demand to cure the breach is delivered by the
Company specifically identifying the manner in which Company believes Executive
has breached and the failure to cure such breach within 30 days of Executive's
receipt of such demand, provided, however, that a repeated failure or breach
after notice and cure of any provision of clauses (a) or (d) above involving the
same or substantially similar actions or conduct, shall be grounds for
termination for "Cause" without any additional notice. Notwithstanding such
termination, the Company shall pay to Executive (i) the base salary due
Executive pursuant to paragraph 2.1 hereof through the date of such notice, (ii)
all earned and previously approved but unpaid bonuses, (iii) all valid expense
reimbursements through the date of the termination of employment and (iv) all
accrued but unused vacation pay.

         3.5      The Executive, by notice to the Company, may terminate
Executive's employment hereunder if a "Good Reason" exists. For purposes of this
Agreement, "Good Reason" shall mean the occurrence of any circumstance set forth
below, unless such circumstance is fully corrected within 30 days of receipt by
the Company of written notice of such circumstance from Executive specifically
identifying the circumstance he believes creates "Good Reason":

                                        4

<Page>

                  (a)      the assignment to Executive of duties inconsistent
with the position of President and CEO of the Company, removal of the Executive
from the position of President and CEO of the Company, or a substantial
diminution in the nature or status of Executive's responsibilities from those in
effect as of the Start Date;

                  (b)      a reduction by the Company of the Base Salary as in
effect on the Start Date;

                  (c)      the deliberate failure by the Company to provide,
within two weeks of the date payment was required, the compensation, expense
reimbursement, or benefits specified in Section 2; provided Executive is not the
person responsible for payment of compensation, expense reimbursement or
benefits; and provided, further, that after the passage of two weeks from the
date payment was required, Executive shall have given written notice to
Frederick R. Adler and Joseph K. Pagano at their current addresses or fax
machines in New York and Aspen, respectively (or as changed by notice to
Executive), of such failure by the Company, Executive shall have called a
meeting of the Board of Directors and such failure shall not have been
completely cured by the close of business two business days after such meeting
of the Board of Directors;

                  (d)      moving the principal office of the Company to a
location more than 60 miles from its current location; or

                  (e)      the commission by the Company of a material breach of
the provisions of this Agreement.

         3.6      If Executive terminates his employment hereunder for Good
Reason, pursuant to the provisions of paragraph 3.5, or the Company terminates
his employment hereunder without "Cause," as defined in paragraph 3.4, the
Company shall pay to Executive (i) a lump sum payment equal to the base salary
due Executive pursuant to paragraph 2.1 hereof through the six-month anniversary
of the date of such notice, (ii) all earned and previously approved but unpaid
bonuses, (iii) all valid expense reimbursements through the date of the
termination of employment and (iv) all accrued but unused vacation pay; and, in
addition the Company shall continue to pay for Executive's insurance coverage
until the earlier of (a) the date the Executive becomes eligible to be covered
under a similar program by reason of employment elsewhere; or (b) the one-year
anniversary of the termination of employment.

                                        5

<Page>

         3.7      A "Change in Control" shall occur if any "person" (as such
term is used in Sections 13(d) and 14(d) of the Exchange Act of 1934 ("Exchange
Act")), other than Sentigen or an affiliate of Sentigen becomes the "beneficial
owner" (as referred in Rule 13d-3 under the Exchange Act), directly or
indirectly, of securities of the Company representing more than 50% of the
voting power of the Company's securities in one or more transactions (including
by way of merger or reorganization), or a sale of all or substantially all of
the Company's assets.

4.       Executive Indemnity
         -------------------

         4.1      To the maximum extent permitted by law, the Company agrees to
indemnify and defend Executive and hold Executive harmless against all claims,
causes of action, costs, expenses (including, without limitation, reasonable
attorneys' fees) and liabilities (other than settlements to which the Company
does not consent, which consent shall not be unreasonably withheld)
(collectively, "Losses") reasonably incurred by Executive in connection with any
claim, action, proceeding or investigation brought against or involving
Executive with respect to, arising out of or in any way relating to Executive's
employment with the Company or Executive's service as a director of the Company;
provided, however, that the Company shall not be required to indemnify Executive
for Losses incurred as a result of Executive's intentional misconduct or gross
negligence. Executive shall promptly notify the Company of any claim, action,
proceeding or investigation under this paragraph and the Company shall be
entitled to participate in the defense of any such claim, action, proceeding or
investigation and, if it so chooses, to assume the defense with counsel selected
by the Company; provided that Executive shall have the right to employ counsel
to represent him (at the Company's expense) if Company counsel would have a
"conflict of interest" in representing both the Company and Executive. The
Company shall not settle or compromise any claim, action, proceeding or
investigation without Executive's consent, which consent shall not be
unreasonably withheld; provided, however, that such consent shall not be
required if the settlement entails only the payment of money and the Company
fully indemnifies Executive in connection therewith and obtains a general
release with respect to Executive. The Company further agrees to advance any and
all expenses (including, without limitation, the fees and expenses of counsel)
reasonably incurred by the Executive in connection with any such claim, action,
proceeding or investigation, provided Executive first enters into an appropriate
agreement for repayment of such advances if indemnification is found not to have
been available. The Company shall, upon the settlement of a claim, action,
proceeding or investigation, grant Executive a release of liability if the
Company has obtained a release and if Executive was lawfully entitled to
indemnity. This Section 4 survives the termination of this Agreement.

                                        6

<Page>

5.       Protection of Confidential Information; Non-Competition;
         Non-Solicitation.
         -------------------------------------------------------

         5.1      (a)      The Company will suffer substantial damage which will
be difficult to ascertain if, during the term of this Agreement or thereafter,
Executive should enter a business competitive with the Company, or divulge
Confidential Information as defined below, or breach his obligations under
Section 6.

                  (b)      The provisions of this Agreement are reasonable and
necessary for the protection of the business of the Company.

         5.2      Executive acknowledges that:

                  (a)      As a result of Executive's employment with the
Company, he has obtained and will obtain secret and confidential information
concerning the business of the Company and its subsidiaries and affiliates
(referred to collectively in this Section 5 and in Section 6 as the "Company"),
including, without limitation, financial information, designs and other
proprietary rights, trade secrets and "know-how," customers and sources
("Confidential Information"). The obligations herein imposed shall not extend to
Confidential Information which: (i) is or lawfully becomes available to the
public without restriction and without breach of this Agreement by Executive; or
(ii) is previously known to Executive or which is independently developed by
Executive without reference to any Confidential Information and, in either case,
is so evidenced by written material in his possession.

                  (b)      Executive agrees that he will not at any time, either
during the term of this Agreement or thereafter, divulge to any person or entity
any Confidential Information obtained or learned by him as a result of his
employment with the Company, except (i) in the course of performing his duties
hereunder, (ii) with the Company's express written consent; (iii) to the extent
that any such information is in the public domain other than as a result of
Executive's breach of any of his obligations hereunder; or (iv) where required
to be disclosed by court order, subpoena or other government process. If
Executive shall be required to make disclosure pursuant to the provisions of
clause (iv) of the preceding sentence, Executive promptly, but in no event more
than 72 hours after learning of such subpoena, court order, or other government
process, shall notify, by personal delivery or by electronic means, confirmed by
mail, the Company and, at the Company's expense, Executive shall: (a) take all
reasonably necessary and lawful steps required by the Company to defend against

                                        7

<Page>

the enforcement of such subpoena, court order or other government process, and
(b) not object to the Company's intervention and participation with counsel of
its choice in any proceeding relating to the enforcement thereof.

         5.3      Upon termination of his employment with the Company for any
reason, Executive will promptly deliver to the Company all memoranda, notes,
correspondence, records, reports, manuals, drawings, blueprints and any other
documents (and all copies thereof) relating to the business of the Company and
all property associated therewith, including by not limited to any of its
Confidential Information, which he may then possess or have under his control;
provided, however, that Executive shall be entitled to retain copies of such
documents reasonably necessary to document his financial relationship (both past
and future) with the Company.

         5.4      During the period commencing on the date hereof and ending on
the second anniversary of the date Executive's employment hereunder is
terminated (provided, however, that if Executive's employment is terminated
without "Cause" or Executive terminates his employment with "Good Reason," such
period shall terminate on the one-year anniversary of the termination date), and
in consideration for Executive's employment hereunder, Executive, without the
prior written permission of the Company, shall not, (i) be employed by, or
render any services to, any person, firm or corporation engaged in any business
which is in competition with either (a) the business conducted by the Company on
the effective date of termination or (b) a business which the Company is
involved in as of the effective date of termination (either, a "Competitive
Business"); (ii) engage in any Competitive Business for his or its own account;
(iii) be associated with or interested in any Competitive Business as an
individual, partner, shareholder, creditor, director, officer, principal, agent,
employee, trustee, consultant, advisor or in any other relationship or capacity;
or (iv) solicit, interfere with, or endeavor to entice away from the Company,
for the benefit of a Competitive Business, any of its customers, employees or
other persons with whom the Company has a contractual relationship.
Notwithstanding the foregoing, this provision shall not preclude Executive from
investing his personal assets in the publically traded securities of any
corporation or other business entity which is engaged in a Competitive Business
if such ownership is in compliance with the requirements set forth in clauses
(a) and (b) of the last sentence of paragraph 1.3 hereof and if such investment
does not result in his beneficially owning, at any time, more than 1% of the
publicly traded equity securities of such Competitive Business.

         5.5      If Executive commits a breach, or threatens to commit a
breach, of any of the provisions of paragraphs 5.2 or 5.4, or of any of the
provisions of Section 6, the Company shall have the right and remedy to have

                                        8

<Page>

the provisions of this Agreement specifically enforced by any court having
equity jurisdiction, it being acknowledged and agreed by Executive that the
services being rendered hereunder to the Company are of a special, unique and
extraordinary character and that any such breach or threatened breach will cause
irreparable injury to the Company and that money damages will not provide an
adequate remedy to the Company.

                  Each of the rights and remedies enumerated in this paragraph
5.5 shall be independent of the other, and shall be severally enforceable, and
such rights and remedies shall be in addition to, and not in lieu of, any other
rights and remedies available to the Company under law or equity.

                  In connection with any legal action or proceeding arising out
of or relating to this Agreement, the prevailing party in such action or
proceeding shall be entitled to be reimbursed by the other party for the
reasonable attorneys' fees and costs incurred by the prevailing party.

         5.6      If Executive violates any covenant contained in paragraph 5.4,
the duration of such covenant so violated shall automatically extend for a
period of time equal to the period of such violation.

         5.7      If any provision of paragraphs 5.2 or 5.4 is held to be
unenforceable, the tribunal making such determination shall have the power to
modify such provision or provisions which shall then be applicable in such
modified form.

         5.8      The provisions of this Section 5 shall survive the termination
of this Agreement.

6.       Inventions, Patents and Copyrights.
         ----------------------------------

         6.1      All inventions and other creative works, including any patent,
copyright, trade secret, trademark or other intellectual property rights,
developed or produced by Executive either alone or jointly with others and which
relate to the Company's business or technology (collectively, "Intellectual
Property) shall be considered to have been prepared for the Company as a part,
and in the course, of Executive's employment with the Company. Any such
Intellectual Property shall be owned by the Company regardless of whether it
would otherwise be considered a work made for hire. Such Intellectual Property
shall include, among other things, software and documentation therefor.

                                        9

<Page>

         6.2      The Company shall have full ownership of the Intellectual
Property, with no rights of ownership vested in Executive. Executive agrees
that, if any Intellectual Property is determined by a court of competent
jurisdiction not to be a work for hire under the federal copyright laws, this
Agreement shall operate as an irrevocable assignment by him to the Company of
the copyright in the works, including all rights thereunder in perpetuity. Under
this irrevocable assignment, Executive hereby assigns to the Company the sole
and exclusive right, title, and interest in and to the Intellectual Property,
without further consideration, and agrees to assist the Company in registering
and enforcing all copyrights and other rights and protections relating to the
Intellectual Property in any and all countries. Executive agrees that in the
event of any dispute arising out of or concerning this Section 6, no actions by
the Executive undertaken for the purpose of securing, maintaining, or preserving
the copyright in the works shall be considered by any finder of fact or
determiner of law in determining the character of the work as work made for
hire, unless expressly authorized by the Company.

         6.3      Executive agrees to divulge to the Company promptly and fully
in writing, in such format as the Company may deem appropriate, all Intellectual
Property and to assign to the Company all Intellectual Property.

         6.4      Executive shall make and maintain adequate permanent records
of all Intellectual Property, in the form of memoranda, notebook entries,
drawings, printouts, or reports relating thereto, in keeping with then current
Company procedures. Executive agrees that these records, as well as the
Intellectual Property, shall be and remain the property of the Company at all
times.

         6.5      Executive shall cooperate with and assist the Company and its
nominees, at their sole expense, during the term of this Agreement and
thereafter, in securing and protecting patent, copyright or other similar rights
in the United States and foreign countries in the Intellectual Property. In this
connection, Executive specifically agrees to execute all papers which the
Company deems necessary to protect its interests including the execution of
assignments of invention and copyrights and to give evidence and testimony, as
the Company may deem necessary, to secure and enforce the Company's rights in
the Intellectual Property. Executive hereby appoints the Company as his agent
and attorney-in-fact to act for and in his behalf and stead to execute,
register, and file any applications, and to do all other lawfully permitted acts
to further the registration, prosecution, issuance, renewals, and extensions of
patents, copyrights or other protections with the same legal force and effect as

                                       10

<Page>

if personally executed by Executive. The Company agrees that, to the extent (i)
allowable by law and (ii) not affecting the Company's rights in any way, it will
include Executive's name as an "author" on all patents to which he has
substantially contributed.

         6.6      The provisions of this Section 6 shall survive termination of
this Agreement.

7.       Miscellaneous Provisions.
         ------------------------

         7.1      All notices provided for in this Agreement shall be in
writing, and shall be (i) delivered personally to the party to receive the same,
(ii) given by facsimile transmission, or (iii) mailed first class postage
prepaid, by certified mail, return receipt requested, addressed to the party to
receive the same at his or its address set forth below, or such other address as
the party to receive the same shall have specified by written notice given in
the manner provided for in this paragraph 7.1. All notices shall be deemed to
have been given as of the date of personal delivery, faxing (if evidence of
successful transmission is obtained by the sender) or mailing thereof.

                  If to Executive:

                           Thomas J. Livelli
                           19 Tine Road
                           Lebanon, New Jersey  08833

                  with a copy to:

                           John C. Maloney, Jr., Esq.
                           Pitney, Harden, Kipp & Szuch LLP
                           P.O. Box 1945
                           Morristown, New Jersey  07962-1945

                  If to the Company:

                           Cell & Molecular Technologies, Inc.
                           580 Marshall Street
                           Philipsburg, New Jersey  08865
                           Attn. Richard Malavarca, Vice President and
                                 Chief Operating Officer
                           Facsimile No. (908) 859-6437

                                       11

<Page>

                  with a copy to:

                           Graubard Miller
                           600 Third Avenue
                           New York, New York  10016
                           Attn. David Alan Miller, Esq.
                           Facsimile No. (212) 818-8881

         7.2      This Agreement sets forth the entire agreement of the parties
relating to the employment of Executive and is intended to supersede all prior
negotiations, understandings and agreements. The Prior Agreement shall terminate
and be of no further force and effect from and after the date hereof. No
provisions of this Agreement may be waived or changed except by a writing signed
by the party against whom such waiver or change is sought to be enforced. The
failure of any party to require performance of any provision hereof or thereof
shall in no manner waive or affect the right at a later time to enforce such
provision.

         7.3      This Agreement shall be governed by and construed under the
law of the State of New Jersey, disregarding any principles of conflicts of law
that would otherwise provide for the application of the substantive law of
another jurisdiction. Each of the parties (i) agrees that any legal suit, action
or proceeding arising out of or relating to this Agreement shall be instituted
exclusively in New York State Supreme Court, County of New York, or in the
United States District Court for the Southern District of New York, (ii) waives
any objection to the venue of any such suit, action or proceeding and the right
to assert that such forum is not a convenient forum, and (iii) irrevocably
consents to the jurisdiction of the New York State Supreme Court, County of New
York, and the United States District Court for the Southern District of New
York, and agrees in any such suit, action or proceeding. Each of the parties
further agrees to accept and acknowledge service of any and all process which
may be served in any such suit, action or proceeding in the New York State
Supreme Court, County of New York, or in the United States District Court for
the Southern District of New York and agrees that service of process upon it
mailed by certified mail to its address shall be deemed in every respect
effective service of process upon it in any such suit, action or proceeding.

         7.4     This Agreement shall inure to the benefit of and be binding
upon the successors and assigns of the Company, including any transferee of all
or substantially all of the Company's assets. This Agreement shall not be
assignable by Executive, but shall inure to the benefit of and be binding upon
Executive's heirs and legal representatives.

                                       12

<Page>

         7.5      Should any provision of this Agreement become, or be held to
be, legally unenforceable, no other provision of this Agreement shall be
affected thereby, and this Agreement shall continue as if the Agreement had been
executed absent the unenforceable provision.

         7.6      Executive represents that he is not prohibited or limited in
any way, pursuant to the terms of any employment, non-competition or similar
agreement, or otherwise, from entering into this Agreement and performing his
obligations hereunder.

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

                                      CELL & MOLECULAR TECHNOLOGIES, INC.

                                        /s/ Richard Malavarca
                                      -----------------------------------------
                                      By: Richard Malavarca, Vice President and
                                          Chief Operating Officer

                                        /s/ Thomas J. Livelli
                                      -----------------------------------------
                                      THOMAS J. LIVELLI, Executive

                                       13

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