ANTARES PHARMA, INC. JACK E. STOVER EMPLOYMENT AGREEMENT

         (a)        The Company shall employ the Officer, and the Officer shall accept such employment as its President and Chief Operating Officer (“COO”), during the term specified in Section 2. The Officer shall perform such duties and render such services consistent with his position as from time to time may be requested of him by the Chief Executive Officer (the “CEO”) or Board of Directors of the Company (the “Board”). The Officer shall report to the CEO.

         (b)        During the term of this Agreement, the Officer may not, without the prior written consent of the Company, operate, participate in the management, operations or control of, or act as an employee, officer, consultant, agent or representative of, any type of business or service (other than as an employee of the Company). It shall not be deemed a violation of the foregoing for the Officer to (i) act or serve as a director, trustee or committee member of any civic or charitable organization; (ii) manage his personal, financial and legal affairs; or (iii) serve as a director of an organization that is not a civic

or charitable organization with the consent of the Board, which consent shall not be unreasonably withheld, in all cases so long as such activities (described in clauses (i), (ii) and (iii)) do not interfere with or constitute a conflict of interest to the performance of his duties and responsibilities to the Company as provided hereunder. As of the Start Date, the activities listed on Schedule A are approved under this Section 1(b).

         (c)        During the term of this Agreement, the Officer shall be invited to meetings of the Board. The Officer may during the term of this Agreement be asked by the Board to assume the position of Chief Executive Officer (the “CEO”), reporting to the Board. The Board shall nominate him for a position on the Board as soon as reasonably practicable after he assumes the CEO position. Except as otherwise specifically set forth in this Agreement, all other terms and conditions of this Agreement shall remain in effect after such assumption.

         (d)        The Company shall indemnify, hold harmless and defend the Officer for his actions as an employee of the Company to the fullest extent possible under the laws of Minnesota.

         (a)        Base Salary. The Officer’s salary will be $250,000 per year, payable in accordance with the Company’s normal payroll practices (the “Base Salary”). During the term hereof, the Officer’s Base Salary shall be reviewed annually (by the CEO while the Officer serves as President and COO) and may be increased (but not decreased) with the approval of the Compensation Committee of the Board (“Compensation Committee”)

based upon the performance of the Officer and the Company. If and for any period during which the Officer assumes the position of CEO, the Officer’s Base Salary shall be at least $300,000 per year.

         (b)        Bonus. For each calendar year in which the Company employs the Officer, the Officer shall be eligible to receive a target annual bonus of at least 30% with a maximum of 45% of his Base Salary for the calendar year, the exact amount to be established (while the Officer serves as President and COO) by the CEO with the approval of the Compensation Committee (the “Annual Bonus”). The Annual Bonus shall be payable based upon achieving business objectives to be determined (while the Officer serves as President and COO) by the CEO in consultation with the Officer and approved by the Compensation Committee. The business objectives shall be made available to the Officer in writing before the beginning of each calendar year. Provided, however, for 2004 the Officer’s bonus shall be a guaranteed amount of a pro rata portion of $75,000, based on the number of days remaining in 2004 from and after the Start Date. Any Annual Bonus earned by the Officer shall be paid within 30 days following the completion of the certified audit of the Company for the year for which an Annual Bonus is earned.

         (c)        Stock Grant. Effective as of the Start Date, the Officer shall be issued: (i) 50,000 shares of Common Stock, $.01 par value (“Stock”) in which the Officer shall be 100% vested on issuance and (ii) an additional 50,000 shares of Stock in which the Officer shall become 100% vested on the first anniversary of the Start Date, but only if the Officer is still employed by the Company as of such date.

         (d)        Stock Options. Effective as of the Start Date, the Officer shall be granted an option to purchase 500,000 shares of Stock and effective January 2, 2005, an option to purchase 40,000 shares of Stock at an option exercise price equal to the fair market value of such Stock as determined by the Board on the date of grant (the “Options”). The Options shall have a term of no less than five years and shall vest over a period of four years from the Start Date with 18.50% of the grant vesting on the two hundred seventieth (270^th) day following the Start Date and the balance vesting pro-rata on a monthly basis thereafter, but only if the Officer is still employed by the Company as of an applicable vesting date. The

Options shall be incentive stock options to the extent that they so qualify and nonqualified stock options to the extent that they cannot so qualify.

         (e)        Additional Stock Grants. Subject to the Officer’s being in the employ of the Company as its President and COO (or CEO) at the time of the applicable event listed in this Section 3(e), the Company shall issue to the Officer the following number of shares of Stock on the following events, said shares to be 100% vested on issuance:

         (f)        “Stretch” Equity Grant. Subject to the Officer’s being in the employ of the Company as its President and COO (or CEO) at the time of the applicable event, the Officer will be granted an additional 200,000 shares of Stock based upon the achievement of a goal to be determined within six months of the Start Date by the CEO in consultation with the Officer and approved by the Compensation Committee, said shares to be 100% vested on issuance.

         (g)        Other Equity Grant Provisions.

    (i)        Any Stock issued under this Agreement will be subject to the terms of any plan under which it is granted. Any option will be subject to the terms of any plan under which it is granted and the option agreement to be executed by the Officer and the Company.

    (ii)        Except as expressly provided in this Agreement all unvested options shall be deemed immediately forfeited by the Officer upon any termination of the Officer’s employment pursuant to Section 4, other than Section 4(e) below.

    (iii)       Effective immediately upon the Officer’s becoming eligible for any payment under Section 4(e)(iii) below, the Company shall have no further obligations under this Section 3 to grant Stock to the Officer upon the occurrence of any of the Trigger Events under Section 3(e) or under the “Stretch” equity grant under Section 3(f).

    (iv)       The Officer shall also be entitled to participate in any other grants as determined by the Board or Compensation Committee, which grants shall be subject to the terms of any plan under which they are granted and the grant agreement to be executed by the Officer and the Company. All of the foregoing documents are hereby incorporated by reference.

    (v)        The Board shall be entitled to withhold the issuance of shares, including unrestricted shares otherwise payable under this Agreement unless and until the Officer has paid or provided for payment of any federal, state or local income or other tax withholding as the Company determines.

    (vi)       The number of shares of Stock subject to issuance under this Agreement shall be adjusted on the same events and in the same manner as shares of Stock are adjusted for similar events under the Antares Pharma, Inc. 2001 Incentive Stock Option Plan for Employees, as amended from time to time.

    (vii)       If at any time the Company proposes to register under the Securities Act of 1933 (the “1933 Act”) (except by a Form S-4 or Form S-8 Registration Statement or any successor forms) or qualify for a public distribution under Section 3(b) of the 1933 Act, any of its equity securities or debt with equity features, it will give written notice to the Officer of its intention to do so and, on the written request of the Officer given within twenty days after receipt of the notice, the Company will use its best efforts to cause the shares of Stock then held by him and not covered by an effective registration statement requested to be included in the registration (“Registerable Shares”) to be included in the registration statement proposed to be filed by the Company; provided, however, that nothing herein shall prevent the Company from, at any time, abandoning or delaying any registration. If any registration pursuant to this Section 3(g)(vii) is underwritten in whole or in part, the Company may require that the Registerable Shares be included in the underwriting on the same terms and conditions as the securities otherwise being sold through the underwriters. If a greater number of Registerable Shares is offered for participation in the proposed offering than in the reasonable opinion of the managing underwriter of the proposed offering can be accommodated without adversely affecting the proposed offering, then the number of Registerable Shares proposed to be offered for registration, as well as the number of securities of any other selling shareholders participating in the registration, shall be proportionately reduced to a number deemed satisfactory by the managing underwriter. The Company shall bear the following fees, costs, and expenses associated with the inclusion of Registerable Shares in a registration statement: all registration, filing and NASD fees, printing expenses, fees and disbursements of counsel and accountants for the Company, fees and disbursements of counsel for the underwriter or underwriters of such securities (if

the offering is underwritten and the Company is required to bear such fees and disbursements), all internal expenses, the premiums and other costs of policies of insurance against liability arising out of the public offering, and legal fees and disbursements and other expenses of complying with state securities laws of any jurisdictions in which the securities to be offered are to be registered or qualified. Fees and disbursements of special counsel and accountants for the Officer, underwriting discounts and commissions, and transfer taxes for the Officer and any other expenses relating to the sale of Registerable Shares by the Officer not expressly included above shall be borne by the Officer.

         (i)        Employee Benefits. The Officer will be entitled to participate in the employee benefit plans currently and hereafter maintained by the Company of general applicability to other senior executives of the Company, which may include, without limitation, group medical, dental, disability, life insurance, and flexible-spending account plans, to the extent that the Officer meets the eligibility and participation requirements of such plans. The Company reserves the right to cancel or change the benefit plans and programs it offers to its employees at any time.

         (j)        Expense Reimbursement. The Company shall promptly pay or reimburse the Officer for all reasonable business expenses incurred or paid by the Officer associated with the performance of duties described in this Agreement to the extent consistent with the Company’s policies as in effect from time to time.

         (k)       Automobile Allowance. Recognizing that the Officer will be required to drive in connection with his duties under this Agreement, the Company shall provide the Officer with an allowance of $800 per month which amount can be applied to a lease of an automobile of the Officer’s choosing or can be paid to the Officer as reimbursement for expenses and depreciation associated with the Officer’s ownership and maintenance of an automobile.

         (l)        Signing Bonus. The Officer shall receive a signing bonus of $20,000 as of the first payroll date occurring at least one week after the Start Date.

         (m)       Withholding. The Company shall be entitled to withhold from the Officer’s compensation, or otherwise provide for, all federal, state or local income or other taxes which the Company determines are required to be withheld on amounts payable to the Officer pursuant to this Agreement or otherwise.

         (a)        Termination for Cause. The Officer’s employment hereunder shall terminate immediately upon notice that Company is terminating the Officer for Cause (as defined herein). If the Officer’s employment with the Company is terminated for Cause, all compensation described in Section 3 of this Agreement shall terminate as of the Termination Date (except as to amounts already earned).

    (i)        For purposes of this Agreement, “Cause” shall mean:

         (b)        Voluntary Resignation Without Good Reason. The Officer may voluntarily terminate his employment at any time upon 30 days advance notice to the Company. If the Officer voluntarily resigns his employment without Good Reason (as defined herein), all compensation described in Section 3 of this Agreement shall terminate as of the Termination Date (except as to amounts already earned), regardless of whether sufficient notice of termination was given.

         (c)        Termination Without Cause or for Good Reason. If during the term of this Agreement the Company discharges the Officer without Cause or the Officer terminates employment for Good Reason, then, subject to Sections 4(f)(v)-(vii) and 5 and the Officer signing and not revoking a standard release of claims relating to the Officer’s employment with the Company and/or the termination of such employment in a form acceptable to the Company (among other claims, such release not to include claims the Officer may have in his capacity as a shareholder of the Company or any claim for indemnification based on the covenant set forth in Section 1(d) hereof), the Officer shall be entitled to (i) the compensation payable in accordance with the provisions of Section 3(a) of this Agreement for a period of 12 months following the Termination Date, (ii) the Company paying the Company-subsidized premiums for major medical and dental benefits that can be continued for the Officer during the period that compensation under Section 3(a) is paid following the Termination Date, but only if the Officer is permitted to and elects to continue such benefits; and (iii) for the 90-day period following Termination Date, the Officer shall be considered actively employed in good standing pursuant to this Agreement for purposes of the equity grants set forth in Section 3(e) and Section 3(f).

         (d)        Death or Disability.

    (i)        The term of employment of the Officer shall terminate on the death of the Officer. At the option of the Company, the Officer’s employment with the Company shall terminate upon notice to the Officer, if the Officer shall fail to render and perform the services required of him under this Agreement because of Disability (as defined herein). Upon a termination of the Officer’s employment with the Company because of death or Disability, the Officer shall be entitled to

receive the same benefits (subject to the same conditions) he would have received had he been terminated without Cause or for Good Reason as provided for in Section 4(c).

    (ii)        For purposes of this Agreement, “Disability” shall mean such physical or mental illness or incapacity of the Officer as shall (A) prevent him from substantially performing his customary services and duties to the Company, and (B) continue for periods aggregating more than three months in any 12-month period. The Company shall determine whether there is a Disability after consultation with a qualified, independent physician. The Officer shall cooperate with the Company, including making himself reasonably available for examination by physicians at the Company’s request, to determine whether or not he has a Disability. The Officer’s failure (other than a failure caused by the Disability) to cooperate with the Company in a determination of Disability shall be treated as the Officer’s voluntary resignation from the Company without Good Reason.

         (e)        Termination Following a Change in Control.

    (i)        If a Change in Control (as defined herein) occurs, and if the Officer voluntarily terminates his employment without Good Reason within 30 days following the closing of the transaction that constitutes the Change in Control, then the provisions of Section 4(e)(iii) below shall apply. If a Change in Control occurs and if the employer that survives the Change in Control requests the Officer to remain employed with the surviving employer for a transition period (not to exceed one year), then if the Officer remains employed as requested and voluntarily terminates his employment without Good Reason within 30 days following the close of the requested period of employment, the provisions of Section 4(e)(iii) below shall apply. If a Change in Control occurs, and if the surviving employer terminates the Officer’s employment without Cause within 30 days following the closing of the transaction that constitutes the Change in Control, then the provisions of Section 4(e)(iii) below shall apply. If none of the foregoing provisions of this subsection (i) applies, then the other provisions of

Section 4 (to the extent applicable) shall apply to terminations of employment that occur after a Change in Control.

    (ii)        If a Change in Control (as defined herein) occurs, then (A) all outstanding options held by the Officer shall immediately vest and become exercisable and (B) all restricted stock (other than the restricted stock issued under Section 3(c)(ii)) held by the Officer shall vest.

    (iii)       If the provisions of this subsection (iii) shall apply then, subject to Sections 4(f)(v)-(vii) and 5 and the Officer signing and not revoking a standard release of claims relating to the Officer’s employment with the Company and/or the termination of such employment in a form acceptable to the Company (among other claims, such release not to include claims the Officer may have in his capacity as a shareholder of the Company or any claim for indemnification based on the covenant set forth in Section 1(d) hereof), the Officer shall be entitled to (A) the compensation payable in accordance with the provisions of Section 3(a) of this Agreement for a period of 12 months following the Termination Date; (B) the surviving employer paying the employer-subsidized premiums for major medical and dental benefits that can be continued for the Officer during the period that compensation under this subsection (iii) is paid following the Termination Date, but only if the Officer is permitted to and elects to continue such benefits; and (C) that portion of the Annual Bonus otherwise payable under Section 3(b) for the year in which the Termination Date occurs based on the ratio of the number of days in the calendar year that occurs on or before the Termination Date to the total number of days in the calendar year in which the Termination Date occurs, as determined in good faith by the surviving employer.

    (iv)        If in connection with a Change in Control, as defined herein, the value of the Company is at least $75 million, as determined by the Board in good faith, then immediately before the closing of the transaction that results in the Change in Control (but contingent on the closing of that transaction), the Officer shall be issued the difference between (A) 260,000 shares of Stock, and (B) that

number of shares of Stock previously issued to the Officer under Section 3(e) or (f). All such issued shares shall be 100% vested on issuance.

    (v)        For purposes of this Agreement, “Change in Control” means (A) an acquisition by an individual, entity or group (excluding a corporation controlled by the existing shareholders of the Company as of such date) of 50% or more of the Company’s then outstanding voting stock or voting securities, but excluding any sale of stock directly by the Company to a third-party investor; (B) a merger or consolidation of the Company, other than a merger or consolidation in which the shareholders immediately prior to such transaction hold at least 50% of the common interests and voting securities of the resulting company after the merger or consolidation, but excluding a transaction effected merely to reincorporate the Company into another jurisdiction; or (C) a sale of all or substantially all of the assets of the Company to a purchaser other than an entity in which the existing shareholders immediately prior to the sale hold at least 50% of the common interests and voting securities after the sale.

    (vi)        The Company shall not consolidate with or merge into any other entity, or sell, transfer or dispose of all or substantially all of its assets to another entity, unless such other entity shall assume this Agreement in a signed writing delivered to the Officer. Upon such assumption, the successor entity shall become obligated to perform the obligations of the Company under this Agreement and the term “Company” as used in this Agreement shall be deemed to refer to the successor entity.

         (f)        Provisions Applicable to all Terminations.

    (i)        All payments made to the Officer or his estate after the Termination Date shall be subject to federal, state or local income or other tax withholding as the Company determines. All payments of Base Salary, Annual Bonus, and expense reimbursement made to the Officer or his estate after the Termination Date shall be made in accordance with the Company’s customary payroll and reimbursement practices with respect to such items.

    (ii)       The Officer shall be entitled to continue health and other benefits after the Termination Date to the extent and in the manner required by law and permitted under the terms of the particular benefit plan. The Officer shall be required to elect any such coverage and to pay the expense of such continuation coverage except to the extent provided in this Agreement.

    (iii)      The Officer shall be entitled to reimbursement for expenses incurred through the Termination Date, regardless of the reason for the Termination.

    (iv)      The Officer shall be deemed to have resigned from the Board of the Company and from any officer or comparable position with the Company as of the Termination Date, unless otherwise agreed to by the Board of Directors.

    (v)        Promptly after the Termination Date (and in all events within five days of the Termination Date), the Officer shall return to the Company all property of the Company, including but not limited to, any office, computing or communications equipment (e.g., laptop computer, facsimile machine, printer, cellular phone, etc.) that he has had or has been using, and any business or business related files that he has had in his possession. The Officer shall also remove from any personal computing or communications equipment all information relating to the Company.

    (vi)       The Officer will not make any disparaging or negative remarks, either oral or in writing, regarding the Company, or any of its current or former owners, partners, officers, agents, assigns, directors, employees or representatives, either individually or in any representative capacity. The Company will not make

any disparaging or negative remarks, either oral or in writing, regarding the Officer.

    (vii)      The Officer shall provide the Company with reasonable assistance after the Termination Date with respect to actual or threatened legal, administrative, or other proceedings involving the Company. The Officer shall be reimbursed for reasonable expenses, including reasonable attorneys’ fees associated with such assistance, but shall not be compensated for his time.

    (viii)      The Officer agrees and acknowledges that the Officer’s right to receive severance payments set forth in Section 4 (to the extent the Officer is otherwise entitled to such payments) shall be conditioned upon the Officer meeting the requirements of this Agreement, including the obligations under Section 4(f)(v)-(vii) and Section 5.

    (ix)        Payments under this Agreement shall be made without regard to whether the deductibility of such payments (or any other payments) would be limited or precluded by Section 280G of the Internal Revenue Code of 1986 (the “Code”) and without regard to whether such payments would subject the Officer to the federal excise tax levied on certain “excess parachute payments” under Section 4999 of the Code; provided, however, that if the Total After-Tax Payments (as defined below) would be increased by the limitation or elimination of any amount payable under this Agreement, then amounts payable under this Agreement will be reduced to the extent necessary to maximize the Total After-Tax Payments. The determination of whether and to what extent payments under this Agreement are required to be reduced in accordance with the preceding sentence will be made at the Company’s expense by an independent, certified public accountant selected by the Officer and reasonably acceptable to the Company. In the event of any underpayment or overpayment under this Agreement (as determined after the application of this Section 4(f)(ix)), the amount of such underpayment or overpayment will be immediately paid by the Company to the Officer or refunded by the Officer to the Company, as the case may be. For purposes of this Agreement, “Total After-Tax Payments” means the

total of all “parachute payments” (as that term is defined in Section 280G(b)(2) of the Code) made to or for the benefit of Officer (whether made hereunder or otherwise), after reduction for all applicable federal taxes (including, without limitation, the tax described in Section 4999 of the Code).

         (a)        The parties hereto hereby represent that they each have the authority to enter into this Agreement, and the Officer hereby represents to the Company that the execution of, and performance of duties under, this Agreement shall not constitute a breach of or otherwise violate any other agreement to which the Officer is a party.

         (b)        The Officer hereby represents to the Company that he will not utilize or disclose any confidential information obtained by the Officer in connection with any former employment with respect to his duties and responsibilities hereunder, and the Company covenants that it will not ask the Officer to do so.