Helnet - May 2014

Established ; –Painting and stores divested to Flügger –Turnover; 150 mNOK + paint sold in own stores Aquaculture; 121 mNOK / approx 4,5 mill l (concentrated products) Industry; 29 mNOK/ ca 1,3 mill l 2012 –Factory Bergen; high capasity facilities –Managing Director; Svein Ove Rabben No 3 in SH’s 80 years history –Strategy Expansion through product development and taking market shares in close co-operation with key partners Develop new products in accordance with new technology / practices net cleaning 2013/ 2014 –Repositioning started/ major branding drive –AquaNet and NetCoating launched –Strengthening of FoU/ biology (Boggi) –Revamp of facilities in Bergen –Launch and tremendous success of the Little Anti-fouling Book (Den lille Groeboken)(7000+) –Consolidation of markedposition in Norway –Bringing the new drive into internatonal markets…

– new focus and drive - driving forces Increasing fouling-problems world-wide Increasing anti-fouling costs world-wide Anti-fouling products increasingly viewed as generic products Growing concern for environmental effects of biocide Need for more aquaculture-industry knowledge about fouling-organisms Need for stronger international partnerships building on the new philosophy Room for a heavily branded expert Need to take a stronger position in the market through knowlede, biology and products – and possibility to take out higher prices based on this

– what we have done so far (mostly Norway) New profile in place, including «new name» (Steen-Hansen Aquaculture) Two new product series launched (AquaNet and NetCoating) Den lille Groeboken («The little Fouling Book») (7000 copies distributed so far) [UK version – Book on Fouling to be launched end of May 2015, Aquaculture UK) Attended Aqua Nor with own stand (with plans for many more tradeshows) Manager to focus on Aquaculture only hired (Boggi) Long-term partnership with our marketing/ branding capacity (Rolf) Partnerships with various aquaculture institutes initiated Massive press-coverage in Norwegian aquaculture media Applied for additional funds from Norwegian export authorities

– what we have done so far (mostly Norway)

AND

Salesarguments AquaNet Mediterranean (USP) Supplier with 30 years experience in aquaculture Major focus on R&D Strict HMS-focus Product adapted to conditions in the Med Biocid quickly activated in sea-water Long active time in the sea User friendly: The net is easy to handle; during packing and transportation – and when launching it in the sea

(Salesarguments continued) Substantial effect on all fouling organisms Good UV-protection 3 alternatives with regard to strength: standard high ultra Non-sticky Minimal dust Minimal skin-reactions

AquaNet: What is the feedback from users in Norway? [ muntlig. Med oppdrettere nevnt med navn og selskap ]

Den lille Groeboken – a huge success in a small format

"...mycket väl balanserat mellan vetenskaplighet och brukarvänlighet." [Thomas Dahlgren, PhD/ Uni Research/SAM- marin (UiB)] "Groen har nå alltid vært en del av vår hverdag. Den lille Groeboken gjør det enklere å forstå mekanismene bak groe, og å vite hva vi snakker om mht artene. Bra tiltak!" [Per Helge Westermann, Midt-Norsk Havbruk AS] «Groen er fortsatt et problem, men nå har vi fått et redskap for å begynne å forstå den bedre. Takk for Den lille Groeboken. Den har vært etterlengtet.» [Tom Bjarne, Bremnes Seashore]

Hard facts about the book 7000 books distributed so far Daily requests for it We have hit a «nerve» and… Versions to be launched in UK (May 2014) -Chile (October 2014) 2014/2015 -Mediterranean 2016 (?) -Asia

Marked-mode; how do we want to work with our partners? Committed co-operation (long-term plans) Annual sales meetings and market plan for following 12 months Training program for all sales- and market personnel (products and biology) Common strategy Defined sales-area(s) Participation in developing biological material («The little Fouling Book») Both parties funding common marketing Common advertising Common participation on trade shows (particularly local ones, but also e.g. Aqua Nor) Contract underpinning the above (separate presentation)

Ways to act in a market Current situation (push) Current situation (pull) Push/ pull (active cooperation)) Customer/agent Steen-Hansen Fish farmer Customer/ agent Brand Steen-Hansen Fishfarmer Customer/ agent Push/ pull - system Customer/agent Brand Steen-Hansen Fish farmer Customer/agent Steen-Hansen Customer/agent Brand Steen-Hansen Fish farmer Customer/agent Steen-Hansen 17

Thanks for your attention! More detailed information and plans will follow