In-Line Coating Application 17.09.2018 In-Line Coating Application Presented by: Thies Janczek COCASO - Thies Janczek - President

In-Line Coating Application 17.09.2018 Content Introduction Technology Advantages Economical Technological Current Applications Summary 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Introduction Laminated card In-Line Coating Application 17.09.2018 Introduction Laminated card Overlay Print Print on Mono-Core Print Material (PVC) in thicknesses of 200 to 760 µm in a special grade of white. split core with 2 printing sheets or mono core – 1 sheet printed both sides Core Core Print Overlay Printing multi color litho, UV curing Overlay - special adhesive coating. Core only in 6-layer constructions 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Introduction Laminated card In-Line Coating Application 17.09.2018 Introduction Laminated card Print Overlay The printing is creating a layer between the PVC (or other thermoplastics), therefore an adhesive is mandatory for a good lamination result. Today this adhesive is applyed On the overlay in web coating by the material supplier. On the print sheet, in screen printing by the card manufacturer Alternatively: Apply with the coater on the litho press! 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Technology Flexo Coater on litho press In-Line Coating Application 17.09.2018 Technology Flexo Coater on litho press Typical Anilox system of the OEMs Tresu, DK Harris and Bruno, USA Typically used for top coats (< 20% utilization at most card manufacturer) 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Technology Flexo Coater on litho press In-Line Coating Application 17.09.2018 Technology Flexo Coater on litho press Scheme of a flexo coater. Advantage in a thicker material layer that can be transferred. Anilox characteristics should be carrying a volume of >20bcm ADHESION IS A FUNCTION OF ADHESIVE THICKNESS AND UNIFORMITY 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Technology Water based on a litho press In-Line Coating Application 17.09.2018 Technology Water based on a litho press Main point: The coating has to be dry as it is delivered to the stack. Water based adhesive dries by air flow across the coated surface. Air knife – low investment, easy to achieve. Blow units are standard in many machines. Transparent coating does not interfere with the final curing of colors. 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Technology Dry versus Wet adhesive In-Line Coating Application 17.09.2018 Technology Dry versus Wet adhesive Printsheet Overlay Hard meets Hard The hard adhesive is pressed onto the cured litho colors in the laminating press. As the temperature increases the adhesive melts, flows and performs the bond to color and substrate. Liquid meets Soft The liquid adhesive is applied onto the pre-cured litho colors. Instant wetting of the whole surface and a leveling out effect. Good penetration into micro-crevices and voids increase even the bond between UV color and substrate 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Technology Adhesion after Lamination In-Line Coating Application 17.09.2018 Technology Adhesion after Lamination Overlay Printsheet Effect exaggerated Bond to inconsistent print sheet surface Need for good flow properties cause distortion effects Hot melt  melt-temp does not change Bond to consistent overlay surface Only low flow properties are needed Heat started x-linking raise melt-temp  permanent bond 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Advantages - Ecological In-Line Coating Application 17.09.2018 Advantages - Ecological Material cost saving Just uncoated overlay needed Artwork with low ink coverage w/o adhesive, i.e. just text artworks w/o bleeding over the card edge do not need adhesive. Higher utilization of Equipment Longer value-added chain Pigmented adhesive for special effect w/o additional silk screen step 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Advantages - Ecological In-Line Coating Application 17.09.2018 Advantages - Ecological Example calculation per laminate: Conditions (most probable) 50µm standard PVC Overlay 5µm coating thickness 48 cards per sheet (size 620x520mm) SAVE more than 17 cent per laminate Calculation considerations: For a repeat of 2 x 3x8 a sheet size of 620 x 520mm is considered Weight for a 50µm OV sheet with a density of 1,33 g/cm³ is 21,44 gramm Weight for OV like above with 5 g/m² adhesive coating is 23,05 gramm Cost estimated for uncoated OV 3,00 €/kg Coated OV 6,60 €/kg 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Advantages - Calculate your numbers In-Line Coating Application 17.09.2018 Advantages - Calculate your numbers Enter your numbers into the table to do your calcultions. 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Advantages - Technological In-Line Coating Application 17.09.2018 Advantages - Technological Process under own control Utilization of existing Equipment Low investment for air knife (< € 5000) Neglect able process costs Higher bond strength Increased adhesion of the litho color to the substrate Environmental friendly material/process 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Advantages - Technological In-Line Coating Application 17.09.2018 Advantages - Technological Decreasing lamination time and/or temperature When all interfaces are coated, e.g. mono core with inline adhesive coating or in split core one print sheet coated on the center side. Increased output Better adhesive uniformity Overlay independent 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

In-Line Coating Application 17.09.2018 Current Application WINK Adhesive application on Litho presses with an Anilox coating station (OEM either TRESU or Harris & Bruno) Same WINK formulation for screen application is employed as a primer and as adhesive (back up solution) Pearl effect pigment dispersed in adhesive matrix for adding value to the cards 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

Scenario ROI on a stand alone coater In-Line Coating Application 17.09.2018 Scenario ROI on a stand alone coater Simple calculation for an overview: Estimated invest: 130.000 € Saving per card: 0,36 €cent Annual production: 200 Mio cards ROI is under 2 years (22 months) 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

In-Line Coating Application 17.09.2018 Summary On existing coating capacity very low investment. High cost savings compared to other material/process options Established process in the industry High reliability, good process control, and high bond strength Added-value chain for card producer 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

In-Line Coating Application 17.09.2018 In-Line Coating Application ANY QUESTIONS ? CONTACT US ! COCASO – Thies Janczek – Moewenstrasse 5a – 24113 Molfsee – Germany Phone: +49-(0)4347-703526 – Email : janczek@cocaso.com www.cocaso.com OR FUNCTIONAL MATERIALS INC. – Josef Feldman – 150 Route 17 - Sloatsburg, NY 10974 USA – Phone: +1-845-753-6000 – Email: info@functionalmaterials.com www.functionalmaterials.com 17/09/2018 Customer Presentation COCASO - Thies Janczek - President

In-Line Coating Application 17.09.2018 17/09/2018 Customer Presentation COCASO - Thies Janczek - President