1. Threshold Capital Corp. January 23, 2009

2. 1Q 2008 March 17 – Bear Stearns Collapse

3. September 2008 September 7 – US Govt Seizes Fannie Mae and Freddie Mac September 15 – Lehman Brothers Files for Bankruptcy September 15 – Merrill Lynch Bought by Bank of America September 16-19 – Reserve Primary Fund ($62 B MM Fund) “Breaks the Buck”

4. September 2008 (cont.) September 16 – AIG Rescue by US Govt September 21 – Goldman Sachs & Morgan Stanley Granted Bank Holding Company Status September 26 – Washington Mutual Inc. Files for Bankruptcy

5. October 2008 October 2 – Congress Passes TARP October 3 – Wells Fargo and Wachovia Agree to Merge October 9 – Iceland’s Financial System Collapses

6. November/December 2008 November 21 st – Dow hits low of 7449 November 24 – Citigroup on the Brink, US Treasury Steps In December 8 – Madoff Fraud and Arrest December 19 – GM/Chrysler Auto Industry Bailout (loans) December 31 – Year Ends with Worst Performance since Great Depression

7. 2008 Broad Market Performance Trillions Have Been Lost All Asset Classes Have Been Effected Hedge Funds – Sophisticated Investors saw Huge Losses Private Equity and Venture Funding

8. Threshold Capital Strategy Conduct intense fundamental research on individual ideas Strive to invest in companies that are well managed with high insider ownership, track record of internal growth, dominant in their niche market Ideas may be inefficiently priced due to lack of awareness or misperceptions of the business Great opportunities in distressed, turnaround, or special situations

9. Core Portfolio Positions

10. General Electric Makers of Jet engines, locomotives, power turbines, consumer appliances, light bulbs GE Capital – 40-50% of overall GE business Strong Infrastructure Backlog Buffett invests $3 Billion CEO – Jeff Immelt – reiterates 2009 guidance

11. Unilever Plc Global Diversified Products – Consumer Goods, Home Goods, & Personal Care 2006 – 2008 Hit with Rising Commodity Prices 2008 – Began cost cutting Program with Non- Core Diversification, Price Increases Great Global Brands – Hellman’s, Wishbone, Knorr, Ragu, Ben & Jerry’s, Breyers, Slim-Fast, Ponds, Suave, Vaseline New CEO – Paul Polman

12. Whole Foods Market Inc Chain of Natural & Organic Food Supermarket Currently Characterized as a Value & Turnaround Situation 2 New Investors –Leonard Green & Partners – 17% –Ron Burkle – Yucaipa Cos. – 7%

13. Lorillard Inc 3 rd Largest US Tobacco Company Newport Brand - #1 menthol, Ranked #2 overall in US with 33.7% Market Share Committed to Paying out 70-75% of Earnings to Shareholders – Yield 6.10% Takeover Candidate?

14. Altria Group Philip Morris USA, US Smokeless Tobacco, John Middleton, 28.5% stake in SAB Miller January 6, 2009 – Completed Purchase of UST for $11.7B Current Yield of 7.6%

15. Philip Morris International World’s Largest & Most Profitable Publicly Traded Cigarette Maker August 2008 – Began Selling Marlboro in China November 2008 – Re-affirmed EPS of $3.32 Current Yield of 5.10%

16. China Opportunities Still Compelling Situations Despite Slowing GDP Growth 2007 GDP of 13% - Now Ranked 3 rd Worldwide after the US & Japan 2008 GDP Expected in 8-9% Range Even With Contraction in Q4 Cutting Interest Rates Aggressively Implementing Massive Stimulus Package Worth $584 Billion

17. China BAK Battery Inc One of the Largest Manufacturers of Lithium Base Battery Cells 2008 – Record Revenues - $245.3 Million – Up 68.2%; Return to Profitability in Q4 Improving Margins Continued Success in Transition from Replacement Market to OEM Market

18. China Yuchai International Ltd Founded in 1951 – CYI is the Largest Independent Diesel Engine Maker in China The “Cummins Engine” of China 2007 EPS - $2.00; 2008 EPS 1.75 Est New Letter to the Board of CYI sent on Dec 30 2008

19. Lingo Media Corp Michael P Kraft - CEO

20. Current Domestic Environment US Economy US Federal Government’s Final “Guarantee” Crisis of Confidence Combined with Crisis of Capital New Administration Any Good News?

21. Strategy for 2009 Continue with In-depth Fundamental Research – Buy the “Brands” & Special Situations New Ideas – Beaten Down Technology, Gold, Oil (other commodities) Continue to Avoid Financials

22. Disclaimer – This presentation is for the exclusive use by Threshold Capital Corp. It expresses the opinions of Peter A Delgado II and Threshold Capital Corp and in no way constitutes a solicitation of business or investment advice. It is intended for informational purposes of the reader and the author.