10x Technology, LLC Bringing Advanced Materials to Life

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1 0x Technology, LLC Bringing Advanced Materials to Life Continuous R2R Coating Methodology to Manufacture Precision Microstructures for Displays, High-Brightness LEDs, Traffic Signs, Solar Concentrators and other Light Management Products October 25, 2006

2 What is Micro-Replication? Micro-replication forms microscopic structures on the surface of a substrate such as plastic film Micro = smaller than unaided eye can see Replicate = to copy continuously and accurately Industry demands a high degree of precision, such as nano-scale accuracy for optical products. Typical tolerance specifications: Angles accurate to.0 minute of arc Surface flatness controlled to ¼ wavelength of light (0.07µm)

3 Examples of Micro-Replicated Products DISPLAYS TRAFFIC SIGNS DRUG DELIVERY SOLAR COLLECTORS MICROFLUIDICS

4 Example of Micro-Replication Reflective Sheeting In 986 the first micro-prismatic retro-reflective films for the traffic control market was commercialized by Stimsonite Corporation SEM showing micro-prismatic structures in reflective sheeting for road signs (22,000 Micro-Prisms per square inch)

5 Example of Micro-Replication Brightness Enhancing Film In 993 the same technology produce the first pre-production prototypes of Brightness Enhancing Film (BEF) for flat panel displays; now a $3.0 billion market annually Optically Precise BEF V-Grooves

6 The Two Recognized Commercial Micro-replication Platforms Hot Polymer Embossing Melt the polymer substrate then pressure Emboss on to a cylindrical mold Cast & Cure Liquid-casting of polymers on to a cylindrical mold then radiation cure

7 Embossing Technology Plastic film to be formed Flexible metal belt (Mold) Embossed film Polymer Film pressed into mold Mold 2 Mold 3 Mold 4 Mold

8 Liquid Cast & Cure Process Liquid Polymer Polymer Carrier Cured Polymer Cylindrical Mold Cure Source (UV EB Heat)

9 Hot Polymer Embossing Technology Advantages Uses low cost commercially available polymers Continuous and accurate process Disadvantages Slow processing speed Limited to thermoplastic polymers Expensive mold fabrication Long mold fabrication time from a master to production tooling. (Reduces the time to market)

10 Liquid Cast & Cure Process Advantages Disadvantages High process speed Continuous and accurate process High raw-material cost Expensive mold fabrication Long mold fabrication time from a master to production tooling Extensive Intellectual Property Coverage IP is generally unavailable for licensing

11 The New Process Technology The process enables the creation of entirely new classes of products outside the scope of existing technology by allowing for: Thicker substrates Higher performance polymers Unique geometries The ability to use material combinations rather than one substrate Reduces capital expense and footprint Disruptive, patent-pending manufacturing process to address current demands and new market opportunities

12 New Process Technology Powder-coating fills the mold from the bottom-up without air entrapment dramatically increasing manufacturing speed

13 Relative Advantages the New Technology Compared to the Cast and Cure Process Customers can use own selected polymers (Commercially Available polymers or custom formulations) Can work with thicker substrates Reduced material cost (50% savings) Ability to address smaller initial market size Clean IP Compared to the Embossing Process Ten times the speed advantage Can produce thicker and ridged designs Flexibility in choice of materials Reduced floor space, equipment cost, material cost

14 Emerging Markets Next-Generation Brightness Enhancing Films Reflector Arrays for Efficient LED Lighting Traffic-Control Products Other Applications RFID chip manufacturing Privacy screens for laptops Fiber optic light-guides Large display flat screens

15 Emerging Markets Semiconductor/Electronic Component fabrication Reflector arrays for LED lighting Micro-needles for drug delivery Micro-fluidics for medical diagnostics

16 Micro-Fuel Cell Components Emerging Markets Solar Collectors CMP (Chemical Mechanical Planarization) Other Applications Lighting (Light Pipe Guides) Thin film batteries Sky-lights

17 0x Technology, LLC Bringing Advanced Materials to Life Please feel free to contact us with specific questions regarding applications for this technology. Robert Pricone President 0x Technology LLC 205 Tempel Drive Libertyville, IL Phone: (847) Fax: (847)