TREASURE MOUNTAIN HOLDINGS, INC.
2005 STOCK OPTION PLAN
PURPOSE AND ADOPTION OF THE PLAN
1.01 PURPOSE. The purpose of the Treasure Mountain Holdings, Inc. 2005 Stock Option Plan (hereinafter
referred to as the "Plan") is to assist the Company (as defined below) in attracting and retaining highly competent
employees and to act as an incentive in motivating selected officers and other employees of the Company and its
subsidiaries, and directors and consultants of the Company and its subsidiaries, to achieve long-term corporate
objectives. The purpose also is to provide for options initially granted by Vyteris, Inc. ("Vyteris") and assumed by
the Company pursuant to the Merger Agreement and Plan of Reorganization, dated as of July 8, 2004, as
amended, by and among the Company, a subsidiary of the Company and Vyteris.
1.02 ADOPTION AND TERM. The Plan has been approved by the Board of Directors and shareholders of the
Company. The Plan is effective from the date approved by the shareholders of the Company (the "Effective
Date") and shall remain in effect until terminated by action of the Board; PROVIDED, HOWEVER, that no
Option (as defined below) or Stock Purchase Right (as defined below) may be granted hereunder after the tenth
anniversary of the Effective Date.
For the purpose of this Plan, the following capitalized terms shall have the following meanings:
2.01 APPLICABLE LAWS means the requirements relating to the administration of stock option plans under
U.S. state corporate laws, U.S. federal and state securities laws, the Code, any stock exchange or quotation
system on which the Common Stock is listed or quoted and the applicable laws of any foreign country or
jurisdiction where Options or Stock Purchase Rights are, or will be, granted under the Plan.
2.02 BENEFICIARY means an individual, trust or estate who or which, by a written designation of the
Participant filed with the Company or by operation of law, succeeds to the rights and obligations