UNITED DMS of Tennessee, LLC, a United Resource Recovery Corp Company BOOSTING RECYCLING IN TENNESSEE

UNITED RESOURCE RECOVERY CORPORATION Develops PET Bottle to Bottle recycling technology Have 8 plants around the world utilizing URRC process for Bottle to Bottle Recycling of PET Have invested in IRG. They are taking low value non recylable plastics and making a replacement fuel for Coal Coke in the steel industry

UDMS COMMITMENT Founded in 1988 URRC Acquires DMS 2005 JV Purchase Gemark Film Recovery Assets 2011 Installing Thermo-Reduction Units 2012

The largest recycler of X-ray film in the US. 3 Plants – Knoxville, Dandridge & Exeter, PA Recycle 30 + million pounds per year of silver bearing materials Employ approximately 55 people UDMS COMMITMENT

We are a secure document destruction company We are NAID certified We source our material internationally We will be upgrading the value of the PET flake UDMS COMMITMENT

PLASTIC RECYCLING INDUSTRY

INDUSTRY COMMITMENT PET & HDPE continues to expand recycling capacity even though supply is not keeping up 90% plus of the PET & HDPE recycling capacity is in the Southeast 2 end users of Pet are in Tennessee

UNDERSTAND THE SUSTAINABILITY FACTOR There is a sea change in attitudes to create a more sustainable world. –Wal-Mart –Energy availability –Global warming –Carbon foot print –Scarce commodities –Pressures from Global Growth

WHAT DOES THIS MEAN TO YOU ? In total and every case the most frequently mentioned answer is RECYCLING. You will see increasing demand You will see increasing Value You will have to opportunity to deliver

WE ARE SENDING MONEY TO THE LANDFILL

THE MARKET SUPPLY SITUATION PET baled bottle supply is not keeping up with Market demand –PET bales collected in 2010 – billion pounds –719.6 mm pounds exported –775.9 mm pounds for US Reclaimers –61.7 mm pounds are component of mixed bales exported

PET

THE MARKET SUPPLY SITUATION HDPE baled bottle supply is not keeping up with Market demand HDPE Cleaning Capacity – 1,006 mm lbs –HDPE bales collected in 2010 – 984 million pounds –197 mm pounds exported –787 mm pounds for US Reclaimers

UNDERSTANDING PRICING Recycling is a substitution business. –The commodity cannot sustain net pricing different from the next choice for long. Recycling is a matter of freight. –Proximity to market and full loads matter. Recycling is not the trash business –Quality in terms of Yield is money

UNDERSTANDING YOUR MARKET Understand the economics of recycling as your municipality or county may not. If you use a middleman understand if he/she provides value. Meet your recycled plastics processors to help you make the case to expand markets and improve value. Find Them at

UNDERSTAND HOW TO DRIVE SUPPLY SMART legislation – Save Money And Recycle Trash ( aka PAYT) Tipping fees to fund infrastructure Contact Recycle Bank to drive curbside participation. Develop Grass Roots Support (such as SERDC) to drive incentive based programs

END USE DEMAND Bottle to Bottle demand is extremely strong. Thermoform industry has very strong demand for FDA PCR Domestic Fiber demand may start to strengthen due to the demand by major retailers for PCR content.

Disclaimer Any resemblance to real persons, living or dead, is purely coincidental. Some assembly required. Batteries not included. No warranty is made as to the accuracy of any prediction, opinion or conclusion. Contents may settle during shipping. Use only as directed. No other warranty expressed or implied. Do not use while driving a motor vehicle. No trans-fats. This is not an offer to sell or buy securities. Apply only to affected area. May be too violent for some viewers. For recreational use only. If condition persists, see your physician. Freshest if consumed before date on the carton. No postage necessary if mailed in Canada. For off- road use only. Colors may fade. One size fits all. Many suitcases look alike.

QUESTIONS?

CONTACT INFORMATION Steve Carreras ext 205