Tz Limited · ASX:TZL
Tz — Shareholder Meeting (November 2006)
45 slides from Tz's shareholder meeting presentation, Nov 30, 2006
Slide 1: CEO Address and Shareholder Presentation
30 November 2006 Lodged by ASXOnline — 45 pages The Manager Announcements Company Announcement Office Australian Stock Exchange Ltd Dear Sir CEO ADDRESS AND SHAREHOLDER PRESENTATION Attached please find a copy of an address to be given by Chris Kelliher, the CEO of Telezygology Inc, to the annual ge
Slide 2: CEO address: progress and opportunities
TZ LIMITED Welcome everyone. It is my pleasure to be able to address you today albeit by phone conference. Commitments here in the USA make it difficult to be with you in person. John Wilson the TZ Inc COO is with you and together we will provide an overview of the progress made in the past year and
Slide 3: CEO address: costs and highlights
work and making it to the final stages of the process was a big task ~ it was also a distracting time for us and we did incur unbudgeted cost undertaking it. In the spirit of the relationship we were sympathetic to the loss of Intevia focus by TFS that inevitably resulted. As a result of this we wen
Slide 4: CEO address: Futurewall and revenue
consider what is contained in the E~Kit that is a significant achievement. Continued development of the Future wall fit out system resulted in a resurgence of interest in the product that led to additional territory licenses early this year. An in principal agreement with an Asian company has been r
Slide 5: CEO address: convertible note and FY2007 plan
The funds we are seeking approval for today by way of a convertible note are essential to achieving these goals. It is indeed a highlight that a global fund of the calibre of DKR Oasis has identified the potential in TZL and has placed their vote of confidence in our future plans. Further it is plea
Slide 6: CEO address: share price and NASDAQ goal
The Board and Management are aware and concerned by shareholder frustration at the current share price. We do consider a new agreement with Acument that better contemplates our commercial needs and future objectives, if achieved will be a significant step forward for the company. And ultimately our
Slide 7: CEO address: closing thanks
directors made the decision to go beyond our contractual obligations during the course of fast year by investing in the technology, engineering resources and product development and as a result we now have the technological and product platform to take the business forward and maximize its commonly
Slide 8: TZ Limited
tzlimited leaders in ard technology
Slide 9: Financials, infrastructure and technology
Financials YEJ 08 Revenue: $30.5M YEJ 06 Net Assets: $48.0M Market Cap: $87.8M issued Shares: 157.2M Infrastructure Over 160 employees. US-based operations Offices in: + Chicago / Lincolnshire (iL) + Boston (MA} + Plymouth (MIN) + Austin (FX) + Coral Springs (FL) + Oxford (UiK} + Lviv (Ukraine) IP a
Slide 10: Impact of the TFS divestiture
The unexpected TFS divestiture, announced in November last year and closed in August this year did have a negative impact on Intelligent Fastening Technology (IFT) commercialization momentum. Our bid to purchase TFS, secure a credible equity partner, appoint third party advisors and conduct a due di
Slide 11: Year highlights
0 As part of the process we forged positive relationships with major financial institutions and funds that will prove valuable to our future growth plans. a We overcame significant technology impediments and developed new product engineering competencies that are important to our future. 0 We establ
Slide 12: Priorities for the coming year
a Finalize the new relationshio and commercial terrns with Acurnent Global Technology (Acument). Appoint advisors for move to NASDAQ and potential strategic acquisitions. Focus on reducing Internal costs and maximizing near term revenue and earnings. Our FY 2007 plan is dependant on the sale of lice
Slide 13: Share price and NASDAQ commitment
0 The Board end Management are aware and concerned by shareholder frustration at the current share price. 0 We consider a new agreement with Acument that belter contemplates our commercial needs and future objectives, if achieved will be a significant step forward for the company. a Our cornmitment
Slide 14: Opportunity not diminished
BE Rse tive 0 Despite the challenges of last year we believe our opportunity is not diminished. 0 Prior to the TFS divestiture, we held the cornmon view with the management of TFS that Intevia® had the potential to contribute in excess of US$250 Million of gross annual revenues (to TFS) by 2010. a A
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Slide 17: Fasteners | Tools
: i | FASTENERS | TOOLS i . : © ee a io tn i A Ae a i a a Aik:
Slide 18: Intevia commercialization strategy
The Intevia commercialization strategy comprises six stages covering development of operational competencies, generating customer traction to securing pull-through product sales: LS . Exploit e i Maturing Market ut i £ Opportunities & : i 5 © © ® : Expand | pA i Engagement i i | Medel | > : i i Prol
Slide 19: Commercialization stages timeline
Exploit Segment Niches Pursue Application Opportunities Establish Operational G) Competencies 2004 2005 2006 2007 | page 12
Slide 20: Major cost threshold achieved
major cost threshold achieved asian-based low volume production Fastener Cost 500 — 100,000 Units 500,000+ Units ! 1,600,000+ H Units i r : t i i i t L t t ‘ i L t i t fl fi t ‘ | page 13
Slide 21: Technology and opportunity development
Technology Development Opportunity Development FT Enabling ‘Technology ae Participation Strategy Opportunity Discovery Product Development Market Value Drivers. s > Yeehnicat Specification I Business Alignment l ‘ i i i i ‘ ¢ ¢ § w it 2 8 g oo a fo « g ba ‘3 S oa $ ei: | 3 é A z 3 2 fd g Hl e & 3 s
Slide 22: Opportunity discovery process
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Slide 23: Opportunity discovery approach
ful fed approach — Undertake Opportunity” Discovery, Vv ., Wentify Deep-Dive Application Opportunities _ Applicalion | Opportunities ¥ Quantify Value Drivers Segment identification Potential Applications Competitive Benchmark Benefits Analysis Value Quantification & Market Opportunity Segment Struct
Slide 24: SMA actuation mechanism
P. : are | Overh ng Engages witty IP Molding Pre-load Spring i Pushes IP Forward | page 17
Slide 25: SMA profile and return spring
SMA Profile Pulls Molding a and Return Spring Forward a Full Rest Position Actuated Position | page 18
Slide 26: Economic value per vehicle
Program Life: 3 years $ 8 Economic Value (Per Vehicle}: Capital SavingsiCost: Program Life Economic Value: ‘Supporting Information: Program Volume: 190,000 annually Etiminate separate finish panel, integrate trim Med/Large Finish Panel Increased Cluster Tooling Housing extended with snap fit lans. E
Slide 27: Technology adoption
ster @& Technology CEG ee EL Ey . Vy Sourcing a Pattern Quality a : Price a Ce oo og ae : Ce a oe Ls 400K Slow Follower Fast Follower Early Adopter Technology Adoption | page 20
Slide 28: Platform volumes and value by supplier
Platforms: Volume Market |TFS Value | Next MY | Sourcing |Tier Supplier |Tier Supplier |Revenue {009} Vatue | Created | Sourcing | Timing |(Most Likely) |(First Opportunity (Qir!y: Qte/¥r} 6G $15.62 $13.75 Nippe Sieki Vistecn 3 825,000 55 giza7 [$11.00 Nippo Sieki Visteon | 605,000 Nps sient sien ’
Slide 29: Solutions relationship
Solutions Relationshio » Business Dev. Dir. ° Sales Dir. > Apo. Eng. Dir, Tier 2 Cluster Suoplier Bus. Dev. Mgr. ~ Target OEM Design Studio Dir. Product Development Dir. Pragram Mgr ~ Target OEM Purchasing Product Director ~ Product Line « Calsonic + Nippo Sieki « Siemens « Visteon « Faurecia « JCti
Slide 30: Automotive instrument panel cluster opportunity
ns Fastener Family Application Opportunity Target Customers OEMs Automotive Variant HONDA. ‘Tha Povear of Dress Beam Clip Tier Suppliers instrurnent Panel Cluster faurecia Addressable Opportunity S16M per annurn | page 23
Slide 31: Automotive airbag housing opportunity
ons Fastener Family Application Opportunity Target Customers Automotive j Variant P peecnnnnannannnnnnanny “s ‘Td Airbag Housing Attachment i Addressable Opportunity : S4Mi per annum | page 24 \.
Slide 32: Commercial aviation latch opportunity
Fastener Family Target Customers commercial Aviation Aerospace Variant Wi atlantic Emirates Latch Business Jet ML, wy || DASSAULT BOT ETT ON + First Class Stowage Unit > Business Jet Cabinets Addressable Opportunity S2M per annum | page 25
Slide 33: Aerospace overhead bins opportunity
Target Customers Aerospace 4 Variant : MELDED Forever Hew Frontiors AIRBUS, Radial Addressable Opportunity $10M per annurn Overhead Bins | page 26
Slide 34: Aerospace seat locking opportunity
Fastener Family Application Opportunit Target Customers Agrospace — ‘ / Variant HEATH TSG : » AALOAAL EIR RELATES Radial First and Business Class Seat Locking Addressable Opportunity S3M per annum | page 27
Slide 35: Aerospace seat attachment opportunity
Fastener Family Application Opportunity Target Customers Agrospace é Variant een A Radial Seat Attachment Addressable Opportunity $30M per annurn | page 28
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Slide 37: Gaming console tamper proof clips opportunity
Fastener Family Application Opportunity Target Customers | Automotive Micresott : : Variant i aE Beam Clip SONY Gaming Console Tamper Proof Clips Addressable Opportunity $40M per annurn | page 30
Slide 38: Secure enclosures opportunity
Fastener Family Latch commercial Variant [rennet Target Customers » Pentair = Secure Enclosures iY ingersoll Rand Addressable Opportunity $35M per annurn | page 34
Slide 39: Customer logos
faurecia | PINSON y LGCK HEED MARTIN » Pentair Sangre CONTRELS seg ) atlantic United Defense RENAULT rieugtries PHILIPS Tochricnt perfention, autamative pasaion, @HermanMiller AVIATION BOMBARDIER \ APLPLER ASAE” a Forever Mew Frontiers @ @ | page 32
Slide 40: Intelligent packaging, actuators, closures, valves
Intelligent Packaging Intelligent Actuators Intelligent Closures Intelligent Valves and Couplings
Slide 41: Materials research
Materials Research + Device Developme + Embedded intollige + Sion Materials Actuation iy + Software System Architecture = = oO = a 2 2 o. o > oo oO. oO. Ss 6 a oO oO © S Ss page 34
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CC ee ee : : iy Lo We Lo yo Ae iy ee 2 HD 2 ae a | page 35
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Slide 44: Glazing system and glass sliding door system
K glazing system: ici lass Sliding Door System @ a | page 37
Slide 45: Herman Miller testimonial
OP @HermanMiller “TZ will serve as strategic partners, helping us develop a new paradigm for the office of the future ... ... Together, we are reinventing the office environment through interactive communications that intuitively understand and seamlessly respond to the needs and habits of employees