EnerLume Energy Management Corp
EnerLume Energy Management — Host America — Investor Presentation (October 2007)
24 slides from EnerLume Energy Management's investor presentation, Oct 10, 2007
Slide 1: Host America Corporation
Host America Corporation Two Broadway Hamden, CT 06518 (203) 248-4100 www.hostamericacorp.com www.enerlume.com
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT This Presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. “Forward-looking statements” are those statements that describe management’s beliefs and expectations about the future. Although we believe these
Slide 3: Host America Corporation current organization chart
Host America Corporation & Corporate Dining Division Current Organization Chart RS Services (Energy Management Services) Wholly Owned Subsidiary Of Host America Corporation EnerLume | Corp. (Energy Management Products) Wholly Owned Subsidiary Of Host America Corporation Lindley Food Service Wholly O
Slide 4: Proposed future organization
RS Services (Energy Management Services) Wholly Owned Subsidiary Of EnerLume Energy Management Corp. EnerLume Energy Management Corp. Proposed Future Organization EnerLume | Corp. (Energy Management Products) Wholly Owned Subsidiary Of EnerLume Energy Management Corp.
Slide 5: Mission Statement
Our mission is to lead the marketplace to the new levels of efficient utilization of utilities demanded by the economic cost of energy and the global demand for conservation. We will research, develop and provide the customized products, services and responsible information expected of a business co
Slide 6: Why Look At Lighting?
Why Look At Lighting? Lighting accounts for 40%-80% of electricity used in most facilities Fluorescent lighting with T8 ballasts and lamps is cost effective and reliable EnerLume | EM™ reduces consumption when added to existing T8 fluorescent lighting systems Electric rates are skyrocketing
Slide 7: Commercial and Industrial Cost
* Source: www.eia.doe.gov ** Source: Management Estimates 2005 Commercial and Industrial Cost Total Commercial and Industrial Space Nationwide kWh Consumption * 2,294,235,085,000 Sq. Ft of Comm. & Industrial Space * 71,658,000,000 Lighting Percentage * 40% Estimated % Fluorescent Lighting ** 80% 200
Slide 8: The Product
The Product
Slide 9: EnerLume EM
ENERLUME) EM™ ENERLUME | EM” tien) Tere pant (sured othe)
Slide 10: How It Works
How It Works Algorithm tells ballast when to draw power— when voltage is right Maintains full, peak voltage for maximum light output Ballasts draw when it’s efficient to do so Increases ballast efficiency Increases lighting system efficacy—more lumens per watt consumed
Slide 11: Beat the Rate Hikes
Beat the Rate Hikes Save Energy Maintain Light Great ROI Facility Needs Survive crippling electric rate increases Maintain lighting levels in work areas • Create an affordable solution
Slide 12: Meeting the Needs
Meeting the Needs Programs Lights for Extra Savings – Windows based software allows programmable events: Three phases programmed separately – All three on with savings during work hours – Turn off two and program third for max savings at night Turns all lights off when not needed—doesn't count on la
Slide 13: Marketing Plan
Marketing Plan Develop Best Practices by Working with MCP’s & DCP’s – MCP / DCP Requirements Install/survey force Sales requirements Inventory requirements – Marketing Materials Brochures PowerPoint presentation Installation manual Sales training manual Trade shows / publications
Slide 14: Marketing Plan
Marketing Plan Direct MCP’s / DCP’s to End User Account Types With Maximum Simplicity and Greatest Chance of Success: – Parking garages – Distribution centers & warehouses – Retail stores – Schools
Slide 15: Low Hanging Fruit
Low Hanging Fruit Previous lighting retrofit clients—T12’s to T8’s Previous or new clients with T12’s – Tie breaker for retrofit work – Door opener New clients with “recent” T8’s = Door opener Clients in the “high rate” areas: – Northeast – Florida – Texas – California
Slide 16: Marketing Plan
Marketing Plan Develop Next “EM” Product(s) – Complete specification and market study – Issue development contract – Continue to look for new product opportunities Trade shows MCP / DCP / CP sales staff RS Services observations Magazines, newspapers, trade journals
Slide 17: Key Benefits
Key Benefits Saves Energy Needs No Special Ballasts Maintains Light Levels Allows Programmable Changes Extends Ballast Life Reduces A/C Loading Listed by UL/CUL
Slide 18: ROI
ROI Break-Even Point is Nearly Always Less Than 24 Months – Add utility rebates − Often drops to 18 months – Add tax deductions from EPACT Tax Act of 2005 − Often drops to less than 12 months – Add tomorrow’s electric rates − Who Knows?
Slide 19: Case Studies
Case Studies Dean Warehouse Chain (Rhode Island)— Savings of 18% • Pepsico Bottling Plant (Rhode Island)— Savings of 15% • Medway High School (Massachusetts)— Savings of 18% UCONN (Connecticut)—Savings of 17%
Slide 20: Anticipated Margins
- Anticipated Margins • Each MCP Agreement Requires an Upfront Inventory Purchase Requirement and to Maintain Annual Inventory Levels • EnerLume Pricing to MCP Wholesale Pricing to CP’s is Governed by the MCP Retail Pricing to End User Varies Upon Market Conditions Our Margin is Anticipated at 50% -
Slide 21: Anticipated Profitability
- Anticipated Profitability Given That Estimated Margin is Anticipated at 50% - 55%… – Anticipate monthly positive cash flow from operations by end of fiscal year (June 30, 2008) – Anticipate overhead costs fully absorbed after approximately $5.5M in EnerLume | EM™ sales
Slide 22: Forecast - Fiscal 2008 + Opportunities
FORECAST - FISCAL 2008 + OPPORTUNITIES Sign on 4 MCP’s by Calendar Year End Each MCP Agreement Requires Upfront Inventory Purchase Requirement Pricing to MCP: – Amp unit = $2,395 - Cost to EnerLume = $ 895 = Margin of 62% – Amp unit = $3,195 - Cost to EnerLume = $1,125 = Margin of 65% – Amp unit = $
Slide 23: Energy Product Forecast 2008
Actual Forecast F2007 F2008 EnerLume | EM Amp Amp Amp Total Product Sales - Units 1,600 EnerLume | EM Amp Price to MCP $2,395 31,135 1,278,930 Amp Price to MCP $3,195 271,575 2,511,270 Amp Price to MCP $4,995 124,875 1,398,600 Freight & Other 17,415 224,000 Total Product Sales - $ $445,000 $ 5,412,8
Slide 24: Host America Corporation - Thank You
HOST AMERICA CORPORATION THANK YOU OTCBB: CAFÉ.OB