Innovative Ltd — Profile n n n Founded

Innovative Ltd. - Profile n n n Founded in 2006 by Ron Chen Privately owned Mission – Patents Development: n Tisteron© - Investment raised, Prototype & pilot tests finalized n Bumper. On© - Local electrical power manufacturing Innovative Ltd - Proprietary 1

Product Strength n n n Extremely low electricity production costs Local, “green” electrical power production High Return On Investment (ROI) Very high growth potential Win-win situation: Investors, city authorities, drivers Innovative Ltd - Proprietary 2

Problem 1 – Energy costs Crude oil prices over the last decade Innovative Ltd - Proprietary 3

Problem 2 – Traffic Volume Traffic volume constantly increase 1, 040 1, 020 1, 000 World Vehicles 960 940 920 Millions 980 900 880 860 2006 Moscow: 3 Million cars 2007 2008 2009 840 2010 Milan: 120, 000 cars Innovative Ltd - Proprietary 4

Problem 3 – Road Safety and Accidents prevention Country Fatalities per 100 k Vehicles Total Fatalities Injury Crashes 2010 USA 13 32, 900 1, 546, 000 Germany 7. 2 3, 650 288, 300 8 4, 090 211, 400 55. 3 26, 600 Italy Russia “We repair roads, fill the potholes, but accidents rise. You won't drive fast on a bumpy road , ” (Vladimir Fyodorov, former traffic police chief, Moscow) Innovative Ltd - Proprietary 5

Bumper. On© n n Bumper. On©: Several consecutive rotating flaps, each one is a self power-generating unit Installed as a regular bumper, flashed to road surface. Covered by a flexible cover, to withstand snow, rain, dust etc. Patented Technology. 6 m 2. 50 c m System depth – 70 cm Innovative Ltd - Proprietary 6

Electrical Block Diagram Flap & Mechanics (*n units) Alternator (*n units) Battery Grid connected Inverter Power Grid Innovative Ltd - Proprietary 7

Versatile Solution n Bumper can be installed in highways, that are crowded during rush-hours: n n Protrude surface when traffic is slow Flushed with surface when traffic is fast Innovative Ltd - Proprietary 8

Prototype in Action The piston simulates a passing car Accelerating alternator is heard Innovative Ltd - Proprietary 9

Patents n Bumper. On granted patents at: n n n United States Canada South Africa Israel Patents pending at: n European Union Innovative Ltd - Proprietary 10

Energy Production Analysis n Parameters and assumptions: n n Car/Lorry ratio: 90% / 10% Average weight – 3000 Kg Initial vehicle velocity – 40 km/h 5 consecutive flaps Innovative Ltd - Proprietary 11

Analysis Demonstration System Energy Production: 12 k. J per car 12 k. J (3. 3 Wh) per vehicle /5 flaps 13

Attractive Installation Sites n n Roads with high traffic volume Rings exits Left turns, crossroads/lights Shopping centers, parking lots Innovative Ltd - Proprietary 14

Transportation in Europe 80 No. of Traffic Jams 70 60 50 Copenhagen Hamburg 40 Berlin Vienna 30 Munich Milan 20 10 0 7: 00 10: 00 13: 00 16: 00 Hour of day 19: 00 22: 00 Conclusions: 12 hours of high traffic – good assumption Vienna, Copenhagen not attractive… Berlin, Hamburg, Milan, Munich – are! Innovative Ltd - Proprietary 15

Milan Attractive Sites - Example <40 40 -60 >60 Viale Marche 7: 30 -20: 00 Km/h Loreto 8: 00 -20: 00 Viale Murillo 8: 00 -19: 30 Viale Abruzzi 8: 00 -21: 00 Via Lorentegio 8: 00 -22: 00 A 7 7: 00 -19: 00 Conclusion: 12 hours of high traffic Innovative Ltd - Proprietary 16

How much money can it make? High traffic volume: cars at 40 Km/h or less, result a delay of 3. 5 sec between cars, that is 1100 cars per hour. Mid traffic volume: Same velocity, with 600 cars per hour Monday – Friday has higher volume of traffic 1100 cars of 24 k. J results 0. 73$ per hour, yields 268$ per year Mid traffic 600 Cars/h [hours] 4 4 4 6 6 A Annual income per hour High traffic 1100 Cars/h [hours] 12 Monday 12 Tuesday 12 Wednesday 12 Thursday 12 Friday 6 Saturday 6 Sunday [$] Income is calculated by multiplying number of hours of each volume a day [A], by yearly income per hour[B]. 400 350 300 268$ 250 200 146$ 150 B 100 50 0 0 200 400 600 800 1000 Cars / hour Innovative Ltd - Proprietary 1200 1400 1600 17

How much money can it make? Income = Σ ** = 5/7 days*(12 h*268+4 h*146) + 2/7 days*(6 h*268+6 h*146)= 2714+710 = 3424$/year System cost is ~5000$, thus ROI = 1. 5 Years Innovative Ltd - Proprietary 18

Power Production Cost n No variable costs, but: n n Maintenance, patent protection, fees Marketing, administration, service Suggested business model yield costs that are less than 1¢/k. Wh from the third year on. Government subsidy wasn’t taken into account, yet! Innovative Ltd - Proprietary 19

Summary n n n “Green” electricity production, at less than 1 cent per k. Wh. Very fast return on investment. Enormous growth potential. Innovative would license technology and patents to relevant group in Europe that is a significant player in the municipal energy market. Innovative Ltd - Proprietary 20

Thank You ! Innovative Ltd - Proprietary 21