New Product Overview Homac STORM SAFE™ Connector Systems Presented by: Presented by: Roy Jazowski - Director of R&D Mark Hammer – Director of Marketing & Sales

New Homac STORM SAFE™ Device:

In 2005, Homac and the “Electric Power Research Institute” EPRI, entered into an agreement to jointly develop a family of connector devices which would break during hurricane/storm conditions when service entrance power lines are hit with trees, branches or flying debris Project Overview

The goal of the project was to design a family of products which would:  Mitigate damage to power line structures and systems  Restore power quickly  Eliminate damage to customer’s service entrance equipment Project Overview

 Improve SAIFI (System Average Interruption Frequency Index) and SAIDI (System Average Interruption Duration Index) for utilities using Storm Safe products during severe weather conditions Additional Project Goals

 Improve safety to the public and repair crews by insuring that the lines are de-energized when they fall to the ground  Improve utility reliability by restoring power quickly, with no costly repair charges to both the utility and the customer Additional Project Goals

Improve site safety during storm damage conditions Improve site safety during storm damage conditions The Challenge Find a way to mitigate damage to service wires, customer equipment & secondary performance Find a way to mitigate damage to service wires, customer equipment & secondary performance

Product Overview

Benefits  SAIDI improved – faster restoration time  SAIFI improved – secondary stays in as service clears without tripping primary mitigating additional downstream outages  O&M Costs – no damage to terminal pole and minimal exposure to service damage, faster restoration time  Customer satisfaction – avoids need for entrance repairs ($800 – $2,500), restoration faster, less transient exposure  Safety  Homeowner – mitigates transients  Public – wires are deenergized on the ground  Crews – wires are dead and clear

STORM SAFE w/ 3 Services Three months after proto installation, tree took one service down Second and third service drops remained intact Service mast survived Field Experience

Field KCP&L

STORM SAFE can be applied in any overhead service drop application. It is adaptable to any location:  Mechanical Breakaway sized to utility specification  Multiple drops served off 1 STORM SAFE (1-3 on one pole)  Single drop for low density or wide spread, such as opposite sides of the pole  New construction or retrofit; pre or post storm  Restore service with a new fuse link; plug and energize  Unique Homac, Patented Solution  Available 3 rd Quarter 2006 Project Results

 Founded in 1963  Private Company – 2nd Generation Family Owned  Florida Based Manufacturer Serving the Electric Utility  Leading Producer of Electrical Connectors and Cable Acc.  425 Employees  3 Manufacturing Locations □ Ormond Beach, FL Corporate Headquarters, Manufacturing and Distribution Facilities 140,000 sq. ft. □ Ormond Beach, FL Automated CNC and Plating Facilities 44,000 sq. ft. □ Corcoran, CA Manufacturing and Dist Facilities 38,000 sq. ft.  Manufacturer of the Year – Volusia County, FL About Homac

Ormond Beach, FL Headquarters

Serving the Power Distribution Sector of the Electric Utility Industry

Our Customers:  Investor Owned Utilities  Rural Electric Cooperatives  Municipal Electric Utilities Serving Customers Across the United States and in over 40 Countries World-Wide and in over 40 Countries World-Wide

In the early 1960’s, electric utility companies began to transition from overhead distribution lines to underground installations In the early 1960’s, electric utility companies began to transition from overhead distribution lines to underground installations In 1964, Homac’s founder invented and patented the 1 st connector designed specifically for underground residential distribution (URD) – the Homac “Hub” connector In 1964, Homac’s founder invented and patented the 1 st connector designed specifically for underground residential distribution (URD) – the Homac “Hub” connector Our History

Homac pioneered the use of EPDM rubber for insulating and Homac pioneered the use of EPDM rubber for insulating and waterproofing underground cable connectors Homac’s “Flood-Seal” ® technology provided a unique, cost- effective solution to the industry – and a preferred alternative to epoxy, tape and heat-shrink for underground cable joints Homac’s “Flood-Seal” ® technology provided a unique, cost- effective solution to the industry – and a preferred alternative to epoxy, tape and heat-shrink for underground cable joints Our History

Designing underground connectors with interference-fit rubber’s stretch and memory characteristics provides superior tension on the cable-connector interface resulting in indefinite waterproof integrity Our History

Today, Homac has grown to become the leader in the design and manufacture of electric power delivery connector solutions Today, Homac has grown to become the leader in the design and manufacture of electric power delivery connector solutions Homac is the industry’s largest manufacturer of secondary underground distribution connectors Homac is the industry’s largest manufacturer of secondary underground distribution connectors And a recognized leader in overhead distribution and substation connectors And a recognized leader in overhead distribution and substation connectors Our History

Complete Line of Quality Electrical Connectors & Accessories _______________ * Aluminum & Copper * Compression & Mechanical * Overhead & Underground * Flood-Seal ® Insulating Products Homac Products

Substation Connectors _______________ * Aluminum & Bronze * Bolted & Welded * EHV Homac Products

Underground Distribution Systems Facts:  Today, Less Than 15% of Distribution Cable is Currently U/G  Improving Electric System Reliability is Driving U/G Growth  Security Concerns May Help Drive Additional U/G Growth  U/G Cable Placement Growing 8 Times the Rate of O/H  Improving the Aesthetics of the Electric System is Driving U/G Growth  U/G Electric Systems Mitigate Outages Due to Severe Weather  Homac Supports National, State & Customer Initiatives That Focus On Improving the Electric Power Delivery Infrastructure, Electric System Reliability & Electric System Safety!

Thank You