1. SEONHAK Non-flammable Material Seonhak Trading Corp Business Presentation

2. Non-flammable Material SEONHAK Contents Company Introduction - - - 1 Business Plan - - - - - - - 3 Product Information - - - - 7 Investment Relations - - - 12 Contact Us - - - - - - - - 17

3. Seonhak Trading Corp SEONHAK Introduction “The best Non-Flammable Insulating material(Antane)” “Seonhak(korean alphabet)” is a leading company in korea that specializes in non-flammable material(Antane) and also holds a patent for this product. Company Introduction - 1 -

4. Seonhak Trading Corp SEONHAK History Seonhak trading corp. 1994 Development of Non-Flammable Insulating material “ Antane ( Cerafoam)” Completed. 2004 Applied for Patent (developer Sanghak Nam) Title of invention ‘Non-flammable material and how to manufacture the product using recyclable Styrofoam’ 2007 Registered Patent by the Korean Intellectual Property Office : (Patent number : 0710044) 2008 Seonhak trading corp. Established ‘Non-flammable material and how to manufacture the product using recyclable Styrofoam’ Transferred all patent registration rights to Seonhak trading corp. All patent rights with Seonhak trading corp. Established the first Seonhak trading corp factory in Young cheon. The release of Cerafoam Non-Flammable Insulating material and the Sandwich Panel. Company Introduction - 2 -

5. Seonhak Trading Corp SEONHAK Overview Non-Flammable Insulating material Non-Flammable Styrofoam(EPS) Non-Flammable Sandwich Panel Non-Flammable cable Non-Flammable wooden board Revolutionary non-flammable material Development project Eco-Recyclable project - Use of recyclable Styrofoam. - Create a higher value for product due to recyclable Styrofoam. - No poisonous gas caused by the fire. - Product is biodegradable. - Development of non-flammable insulating material. - Development of the lightest foam of non-flammable material - Prevention of mass fire using Cerafoam - Maximum protection of human life using Cerafoam - Prevention of property loss using Cerafoam Revolutionary non- flammable material development project Eco-recyclable project Overview Business Plan - 3 -

6. Seonhak Trading Corp SEONHAK Market Situation Non-flammable insulating material Is essential for fire prevention. Lightweight insulating material necessary for reduced Carcinogen. High Performance durability And heat-resistance is crucial for non-flammable insulating material. - The demand for non-flammable material is increasing in order to reduce use of heat- energy in various industries. - There are many types of insulations such as plasterboard, asbestos, rock wool, Styrofoam and urethane - But problems occur More than 90% of human/property loss is due to asphyxiation by poisonous gas. No poisonous gas caused by the fire! Prevention of mass fire! The development of a lightweight Non-flammable insulating material is urgent!! Type of materialProblem PlasterboardHeavy weight! Low water resistance asbestos, rock woolLimited use due to carcinogen. Styrofoam, urethaneLow for heat-resistance! Possibility of mass fire. Market Situation Market Situation Business Plan - 4 -

7. Seonhak Trading Corp SEONHAK Vision Sandwich panel building made from flammable styrofoam on fire. No poisonous gas caused by the fire! Prevention of mass fire! Seonhak can develop non-flammable Styrofoam(Antane). Maximum protection of human life and prevention of property loss. We have developed the latest non-flammable insulating material. The risk factor of mass fire in Sandwich panel buildings will be reduced. Leading eco-recyclable project for using a recyclable Styrofoam (Green new-deal policy) Create a higher value for product due to recyclable Styrofoam Product is biodegrades. Government supported project Laws related to construction materials will be substantiated. Don’t give your life for economic theory! Business Plan - 5 -

8. Seonhak Trading Corp SEONHAK Excellence - Recyclable Styrofoam - Product is biodegradable. - Can be used as compost. - Simple production process! - Use of recyclable resources. - Development of lightweight product. - High performance in heat-resistance!! - No poisonous gas caused by fire! - High performance insulation and water resistance! - High performance heat structure : melting point 2000 ℃ - No dust when in use! - No exhaust gas fumes! - Harmless to human life! - Easy to use, High performance construction! Outstanding stability - Low production costs due to use of recyclable materials - Competitive prices. Patent registered technology High Value! High Technology! The latest Non-flammable material! (Antane) Business Plan - 6 - Environmentally Friendly Product

9. Seonhak Trading Corp SEONHAK Products Unlike Styrofoam on the current market, HF has The latest patent registered technology that enables Recyclable Styrofoam to be made into a light-weight Insulating material to be used actively in fires. Non-flammable styrofoam(Antane) With the use of the non-flammable insulating material (Cerafoam), it will be possible to prevent human, property loss by fires in Knockdown buildings and Sandwich Panel buildings. * It will become a substitute for plasterboard and glass fiber. Non-flammable Sandwich Panel This product will be used to make fire walls, fire doors and partition walls which are essential for fire areas. It can also be used to make safer insulators and pipes for oil refineries. Insulation, Lagging Material Main Products Product Information - 7 -

10. Seonhak Trading Corp SEONHAK Products Seonhak can produce a variety of non-flammable insulating materials and products From Antane ( Cerafoam.) PS Insulating Material Sandwich Panel Non-flammable construction materials A cold storage warehouse Home appliances Container Storage Pipe Insulators Fire wall & door Non-flammable E P S (Styrofoam) Packing material Partition wall And more… Practicable Lager ship Construction material Product Information A general type A fire-resistant Formation - 8 -

11. Seonhak Trading Corp SEONHAK Simple Process Start Pulverize used Styrofoam(Antane) Mix crushed Styrofoam and non- flammable adhesive Pressurize and mold mixture Allow to dry Finish Product Information - 9 -

12. Seonhak Trading Corp SEONHAK Comparison Product More than 10 min. Of heating Within 1 min heating modification Level of Fire Resistance Materialistic damage in case of Fire CerafoamDoes now generate flame.None or weaknessYesMinimum or None Competitor’s Product Spontaneous combustionWill melt and crush downNone Ignites fire and exhausts poisonous gas General flammable Styrofoam Spontaneous combustion Will melt and crush downNone Ignites fire and exhausts poisonous gas * The product will maintain its non-flammable form for more than 50 years. 1. Comparison with Non-flammable (Antane) Comparison Type Combustion Level 2000 ℃ Heating formation constructioninsulation Water proof Waste Disposal Melting point CerafoamNone Yes (Does not melt) Easy construction No dust particles Excellent Biodegradable 2000 ℃ Glass fiberNone (Melts) Difficult to construct! Needs protective equipment! Emits carcinogen! Lower Than EPS Lower than EPS Must dispose according to law. 350 ℃ 2. Comparison with glass fiber Product Information - 10 -

13. Seonhak Trading Corp SEONHAK Certificate Product Information Title of invention ‘Non-flammable material and how to manufacture the product using recyclable Styrofoam’ Registered Patent by the Korean Intellectual Property Office (2007) * Patent number : 0710044 - 11 -

14. Seonhak Trading Corp SEONHAK Business Goal I nvestor R elations Business Goal 2016 2014 2009 Corporate Dominate domestic market within 5 years New Product Release and Company Stability Development of High-Tech Insulating Material Eco-Recyclable Project Push into Overseas Market Push into the Domestic Market - 12 -

15. Seonhak Trading Corp SEONHAK Marketability I nvestor R elations Marketability I nvestor R elations - High-Performance fire-resistance. Easy construction. - Exceptional insulation, fire-resistance & water-resistance. - Remarkable Product performance. - Highly efficient but low cost. - A new recyclable non-flammable material. - No poisonous gas!! No harmful substances!! - Prevention of human life and property loss. Organic insulation Inorganic insulation Low cost, excellent insulation Easy construction Highly incombustible Non-Flammable Materials Maximize the advantages of organic and inorganic material. Antane( Cerofoam ) invented. KCC 벽산 한국 하니소 수입 부천수지 재현 대흥대흥 부옥부옥 ETC Inorganic insulation material Organic insulation material Market analysis of Domestic Insulating Material. - The demand for insulating material will gradually increase due to the need to reduce heat energy. - The predicted annual turn over in this industry is expected to be approximately ONE TRILLIONUS dollars, and will increase rapidly. - Organic Insulating Material is a perfect competitive market. The market share is rapidly decreasing due to risk of fire. - Inorganic insulating material is in the spotlight and the market is gradually increasing but, the initial cost of equipment and production cost was too high and resulted in low price competition and made it hard to manufacture. Also, due to poisonous gas exhaustion, enhancing the product or developing new products is crucial. - In the current insulation material market, the ratio between organic and inorganic material is 7:3. However, the inorganic material market is on the rise and the organic material market is decreasing. It is necessary to develop insulating material which have the advantages of organic material. Currently, there is no company that has developed such product. High-Foam is the first. - 13 -

16. Seonhak Trading Corp SEONHAK Marketing Plan I nvestor R elations Marketing Plan - Direct sales from factory to consumers. - Establish exclusive sales (in one or more states) - Manufacture factory panel for small enterprises. (product within 10m) - Start to Distribute to Construction companies. - Complete list of national SP Panel distributors. - Sales promotion, sales, sales attempt Short Size production and release (3m~5m) - Select distributing agency location. - order production. - Exclusive Sales at national standard. (All states and provinces) - Distribute to big-scale factories, Public Procurement Services, general construction companies and government suppliers. - Maximize export. Step 1Step 2Step 3 Production release Middle stages for domestic market domination. Dominate more than 60% of Whole Market. - 14 -

17. Seonhak Trading Corp SEONHAK Marketing Strategy Marketing Strategy I nvestor R elations Cost strategy Use of recyclable goods. Low production costs. Simple Production Line. Low labor force and Labor costs. Outstanding price competitiveness. Develop New Material Promotional strategy Distribution strategy Develop incombustible EPS Cerafoam Develop new products from recyclable material. Develop non-flammable insulation material Develop non-flammable cables and wooden boards. Develop other non- flammable products. Direct head office sales. Regional agencies and exclusive sales. Strategic partnership with lager scale construction companies. Target domestic and international market. Consistent Investment Capital Constant research and development PR through mass media. Extensive online PR. Gain a variety of Quality Guaranteed products. Hold business presentations and seminars. Actively participate in domestic an international exhibitions. - 15 -

18. Seonhak Trading Corp SEONHAK Prospective Sales Prospective Sales I nvestor R elations S t e pSales figureSales TargetSales FormProduct size 1 Step 550 - Small scale panel companies. - Small scale housing and warehouse companies. - Partition installation companies. - Direct sales - Agency sales 2-3m 2 Step 1,650 - Small-Middle scale factories. - Construction companies. - Direct sales - Agency sales - Exclusive sales in selective locations. 4-6m 3 Step 3,300 - Large factories - Develop overseas market. - Direct sales - Agency sales - Exclusive sales at national standard. More than 10m Standard unit:1 million WON Sandwich Panel and Non-flammable Products - 16 -

19. Seonhak Trading Corp SEONHAK Contact Information Head office Address Office: Na-25,Ironshop area, 663-8, Jeonpo2 Dong Busanjin-Gu, Busan City.612-042, Korea Factory: 405-17 Ga-Su-Ri Go-Gyeong Myeon, Yeong-cheon City, Gyeong-Sang Province, Korea Telephone No. & E-mail Tel : 051) 746-8284, 809-0502 Fax : 051) 808-1164 E-mail: kdyacht@hanafos.comkdyacht@hanafos.com Website : http://www.koreanwebcast.com Busan city Map Contact Us Busanjin-gu station City library Kyungnam high school Millioraeu market Seonhak trading corp 3F - 17 -