Vanguard Utility Service, Inc Leading Full Service Provider to the Metering Industry

Why a Full-Service Metering Provider?

Bill Sommerville Director of Marketing and Sales Director of Marketing and Sales

Central Location Owensboro, KY Vanguards Corporate center is near the center of our nations population We are within a days drive to many major cities. Can work anywhere as a prime contractor or sub contractor

Vanguard is Proud to be a 2 nd Generation Company Vanguard Utility Service, Inc. was incorporated in 2002, making us nearly 8 years old. Vanguard Utility Service, Inc. was incorporated in 2002, making us nearly 8 years old. First generation was incorporated approximately 50 years ago. First generation was incorporated approximately 50 years ago. Staff still consists of First Generation Directors Staff still consists of First Generation Directors

Changes In the Past 20 Years Direct Read Systems Direct Read Systems Drive By Systems Drive By Systems Touch Pad Touch Pad Fixed and Smart Systems Fixed and Smart Systems

The One Constant Large Meters (Commercial & Industrial) Large Meters (Commercial & Industrial) -Huge financial impact on loss and revenue Was true 50 years ago and is still true today Was true 50 years ago and is still true today

Lessons of the Day Why work with a Full Service Provider? Why work with a Full Service Provider? Revenue impacts of large meters Revenue impacts of large meters Identify some large meter problems Identify some large meter problems How can we reduce costs? How can we reduce costs? How can we HELP? How can we HELP? Beyond today in AMR Beyond today in AMR

Large Meter Facts 2% of meters yield 50+% of revenue 2% of meters yield 50+% of revenue Most large meters are rebuildable over and over again Most large meters are rebuildable over and over again Large meters can be retrofitted Large meters can be retrofitted New meters will under register within 6 months New meters will under register within 6 months

Water Losses from Bad Decisions Increase revenue by test & repair program Increase revenue by test & repair program Wrong sizing Wrong sizing Wrong type Wrong type Location Location High Cost to Change or “ignore” High Cost to Change or “ignore” Replace rather than rebuild Replace rather than rebuild

Vanguards Expertise Handle any project Handle any project Residential Residential Retrofit Retrofit Commercial Commercial Test & Recalibrate Test & Recalibrate Large Meter Modifications Large Meter Modifications Gas, Water and Electric Gas, Water and Electric

What can Vanguard do? Engineer projects from waterworks point of view Engineer projects from waterworks point of view Survey Large Meters Survey Large Meters Test Meters During Survey Test Meters During Survey Propose the fixes – rebuild/replace Design settings – forecast cost Rebuilding can save 10’s of thousands per project

Advantages for JCI Much of Data for forecasting is complete. Much of Data for forecasting is complete.

Why Rebuild Meters? New or rebuilt meters under register within 6 months. New or rebuilt meters under register within 6 months. Test & recalibrate every year Test & recalibrate every year Every 6 months in high flow situations Every 6 months in high flow situations

Contract is Accepted Vanguard provides turn key management Vanguard provides turn key management Large meter test & repair program Large meter test & repair program

Big Project – Lots of Details Every meter gets touched Every meter gets touched Tried and true management techniques Tried and true management techniques All system data is changed All system data is changed New procedures in customer/billing department New procedures in customer/billing department

Vanguard’s Data System Advantages Works with owners CIS information Works with owners CIS information Maintains all project details Maintains all project details Points to work Points to work Points worked and problems logged Points worked and problems logged Digital pictures; old and new Digital pictures; old and new UPC scanning – New data UPC scanning – New data Windows – No handwritten entries Windows – No handwritten entries Appointment management Appointment management Inventory management Inventory management Site/Setting Survey Site/Setting Survey Cell phone technology Cell phone technology Instant transfer to Corporate audit team Instant transfer to Corporate audit team Next day reloading to owner Next day reloading to owner Internet appointment setting Internet appointment setting Internet transfer of data Internet transfer of data

Vanguards Management Plan Engineer a plan begin project Engineer a plan begin project Account for all required steps Account for all required steps Assign right manager Assign right manager Train and assign technicians Train and assign technicians Full back up from Senior Corporate Managers Full back up from Senior Corporate Managers

Large Meter Project Design team is installation team Design team is installation team Control of time and cost Control of time and cost Maximized revenue Maximized revenue

Why Vanguard? Full-Service – every facet of project Only need one subcontractor to manage entire project 200+ years of combined direct management All technicians – tested and certified Never failed on any project Have worked with all major products Water, Gas and Electric Work directly with JCI Development Engineers Assist in design and proposal Solution team – vs- sub responding to RFP Our experience makes us EXPERTS

Beyond Now AMR movement spreading AMR movement spreading Future is consumer control Future is consumer control Smart Grid utilization Smart Grid utilization HANS and product controls HANS and product controls Vanguard’s total commitment to the future Vanguard’s total commitment to the future

Our history of success, professional attitude, and our dependability proves that Vanguard is the best FULL SERVICE PROVIDER

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Thank You Any Questions?