1. Score IP update Paul H. Riley Score Project Director

2. WP8 highlights l Inventor assignment agreement now signed l Telecon meeting with IP committee 1 Dec 09 Discuss setting up new Score entity Patent cover and IP assignment costs Review Viveik’s (PTS) proposal for trading entity in HK l Three collaboration agreements signed, Mark Loweth, Dai- Ichi and PTS motors Proposed £20k funds from PTS and GTZ (SA) Cost reduction underway at Dai-ichi Good start but some “treacle” with PTS l Two Patents: Heat exchanger manufacturing Linear Alternator (all Notts inventions) l New Radiant Heat exchanger patent application, Nott and one claim from City.

3. Commercial requirements l Need to ensure impact in developing country motivate developing country protect from corruption etc. make profit in developed world l Investors need return how to ensure only from developed world? l Low central management overhead Simple rules, easy to maintain, difficult to breach l Policing Prevent low cost bypass IP protection l Incentive to drive down costs Competitive element

4. Score Commercial Entity Score trading entity Non profit Developing country Developed country Suppliers Open book accounts Protect investment/ with competition Employees minimise number going rate salary Shareholders minimal number holding ∞ investment return to Universities License Orders. Std pricing Finished goods or kit of parts Kit of parts + subsidy + plans Profit Web based trading and financial control. Open book

5. Supply Chain l Design authority with Score team until 2012 l Manufacturing Engineering with Dai-ichi and possibly PTS motors for short term l Trading entity as central place to take orders, it then organises delivery of parts. l Deliver through Local Universities NGO’s Local Distributors Large corporations

6. Phases l Testing 2010, Funding required £350k (about 50k raised so far) »£150k for 150 off prototypes, –Target unit price is £1k with £800 cost –£200/ unit returned to cover central costs (Patents etc.) »£150k to retain key staff over 1- 2 years »£50k for travel, manufacturing evaluations, tooling etc. l Cost reduction and roll out 2011 - 2012, Funding required £3M (to cover 5 years) » £500k capital costs (tooling etc) » £1M to retain key staff for 5 years »£250k central costs (Patents, Lawyer, accountants etc) »£250k manufacturing trials »£750k initial production manufacture »£250K marketing etc. Income generation starts in this phase l Volume Manufacture After 2013 income builds to > £10M pa Funded by a mixture »micro-finance (income from target households) »International development agency subsidy for very poor regions »Profit from sales to developed countries Rate of penetration (developing) depends on manufacturing cost and amount of subsidy »At £60 per unit, total market = £300M (excluding subsidies) to 14m Households »At £20 per unit, total market = £30B to 500M households Developed country market not yet determined

7. Entity questions l Location, HK. UK? l Management make up, PHR, Viveik Saigal, Pablo? l Investment protection Dai-ichi exclusivity for a period PTS motors exclusivity for a period l Company control Make up of shares and shareholding Shares proportioned to investment? Initially value Score at £2M? (research grant total) »Possible JV with University having minority share »Controlled by PHR