LOGO Argonne National Lab Presentation 3 Yong Ding Nuttavutt Intarode Ibrahim Iskin Thien Tran 06/12/2009

Outline  Project Overview: –Siam company introduction –Transfer Grancrete to Siam Corp.  Porter’s five force analysis (focus on competition)  Gap analysis  Market size; target markets  Financial analysis  Potential applications  Project Plan  License negotiation  Commercialization Plan Worksheet by Argonne Natl. Lab.  Export Control regulations (ITAR)  Royalty Negotiation  Implementation Plan  Project Team formation  Market development plan; roll-out plan  Product Development Plan  Acquiring formula from Argonne Natl. Lab.  Prototype product  Developing production process of the Grancrete technology  Facility Plan  Machinery Purchase  Suppliers  Production plan  Procurement plan  Marketing and distribution plan  Training program Work Breakdown Structure (WBS) Gant Chart

Company Background

Porter’s five force analysis

Gap Analysis

Market Overview  UN estimates new 740 million homes are needed in developing countries. That requires 100,000 new homes a day in 20 years (1).  Half of them live in areas susceptible to earthquakes, floods, and hurricanes.  In Asia alone, about 1/3 of population. i.e. 1 billion people, live in rural areas that needs better shelters. (1)

Target Market Tons 1. Knock-down house 2. Repairing works 3. Special wall-floor works

Cost of production Investment in new equipment: $18000 Raw materials: 10$/unit Labor, Marketing & admin: $28000/year Patent royalty fee: Upfront $10000 Running2%/sales

Financial Analysis Sales ($) Production (ton) Production (bags) Unit Price ($/bag) Number of houses built Costs Upfront Investment Cost of materials Labor, Admin, Marketing (increased at 10%/year) Licensing fee upfront running Net profit NPV (discount rate 15%) $18,039,745

Potential Applications 1. Non-Shrinkage floor 2. High Strength floor 3. Repairing surface road 4. Industry floor 5. Rapid repairing wall-floor

 Project Overview:  Project Plan  License negotiation  Commercialization Plan Worksheet by Argonne Natl. Lab.  Export Control regulations (ITAR)  Royalty Negotiation  Implementation Plan  Project Team formation  Market development plan; roll-out plan  Product Development Plan  Acquiring formula from Argonne Natl. Lab.  Prototype product  Developing production process of the Grancrete technology  Facility Plan  Machinery Purchase  Suppliers  Production plan  Procurement plan  Marketing and distribution plan  Training program Work Breakdown Structure (WBS) Gant Chart

License Negotiation (1)Commercialization Plan worksheet :  Required by Argonne Laboratory from all its prospective licensees before licensing its intellectual property.  Enables the Laboratory and the prospective licensee to determine and characterize the business fit between their interests.  Provides the Lab input on its calculation of value of the intellectual property to both Parties.

Commercialization Plan worksheet

1) General Company Information: – Name, Place of Incorportion, Age, etc. 2) Product Licensing and Sales Information – Exclusive or non-exclusive – Manufacturing location. – Potential applications, estimated sales,… 3) Equity Licensing Information. – Cash Flows, debt structure, exit strategy, etc.

 Royalty offer: – Upfront fee: $10000 – Running rate : 2% / revenue  Export Control regulation: –ITAR : International Traffic in Arms Regulations. –ITAR regulations dictate that information and material pertaining to defense and military related technologies (for items listed on the US Munitions List) may only be shared with US Persons unless authorization from the Department of State is received or a special exemption is used

Project Team Formation Engineering & Project Planning Division 2.Marketing Division 3.R&D Company 4.Mortar Company Cross-functional Team for TT

Market Development and Roll-Out Plan

Product Development Plan  Acquiring formula from Argonne Natl. Lab.  Get license from Thai Industrial Ministry  Prototype product  Developing production process of the Grancrete technology  Facility Plan  Machinery Purchase  Suppliers  Production plan  Procurement plan  Marketing and distribution plan  Training program

Work Breakdown Structure

Q&A