The Executive will be entitled to four weeks of paid vacation per calendar year in accordance with the Company’s vacation and paid time off policy, inclusive of vacation days and sick days and excluding standard paid Company holidays, in the same manner as paid time off days for employees of the Company generally accrue. The Executive and his dependents will be entitled to participate in all medical insurance and other benefit programs in effect from time to time and available to senior executives of Reed’s at levels commensurate with Executive’s position as CEO and a member of the Board. Reed’s will reimburse the Executive for the cost of maintaining any current medical and dental insurance coverage for himself and his dependence from the Effective Date through the date he transitions himself and his dependents to Reed’s medical and dental insurance coverage (but not for periods beyond December 31, 2017 if coverage is then provided to the Executive and his dependents through Reed’s medical and dental insurance benefit programs at levels commensurate with the position of an executive officer). Reed’s will provide Executive with a car allowance initially at $600 per month and subject to increase in the discretion of the Board. Executive shall be entitled to reimbursement for expenses incurred in connection with performance of services to Reed’s, including, without limitation, mobile phone and other communications equipment and travel expenses, in accordance with Reed’s expense reimbursement policies as in effect from time to time. Upon submission of invoice, Reed’s will reimburse the Executive for or pay directly all costs up to $3,500 incurred in connection with the negotiation and preparation of this Agreement.. During the period from the Effective Date through December 31, 2017 (or such earlier date as the Executive may establish a permanent residence in the Los Angeles area), Reed’s shall provide the Executive furnished executive housing for the Executive and his family not to exceed $5,000 per month at a location selected by him in the Los Angeles area and a company car or rental or leased car satisfactory to the Executive (without regard to the $600 per month car allowance above, but without duplication so that the Executive shall not have both the $600 per month car allowance and the company or rental or leased car for overlapping periods). To the extent any benefits provided under this Agreement are includible in the Executive’s taxable income, Reed’s will pay the Executive an additional amount such that he shall be in the same after-tax position as if no such amounts were included in his taxable income. The Executive will be entitled to indemnification and advancement of expenses to the fullest extent permitted by law.