1. MARK VII
KNOW YOUR COMPETITION

2. History Founded in 1966 by Harry Matthews
Sold car wash equipment manufactured by other companies
Mid-1980’s bought Livingston – self serve and automatic car wash equipment
Late-1980’s developed current style of automatic equipment

3. History
1988 – 1998 (claim) Market share increased from 1% to 35% of touch-free market
1996 Company sold to investment firm Goldner, Hawn, Johnson & Morrison, Inc., Minneapolis, MN
1999 Introduced Turbo nozzles (sides)

4. Mark VII Officers Phillip Mercorella, Pres & CEO
Larry Geiger, Secretary, CFO
Fred Grauer, VP
Dan Urban, VP
James Schneiders, VP
William Lowstuter, VP

5. Mark VII Directors Phillip Mercorella Mike Goldner Harry Mathews
Tim Zodsel

6. Mark VII Operations Approximately 200 - 250 employees
Leased manufacturing facility, approximately 100,000 sq. ft.
Two branch offices in Missouri
$60,000,000 (claim) sales 1998
$30,000,000 (EST.) sales 2000
(claim) 6,000 units in the field

7. CURRENT POSITION Dun & Bradstreet Information:
Rating of 4 (Highest Risk: 5; Lowest Risk: 1)
Financial Stress: Higher risk than other companies in the same industry
Credit: Higher risk than other companies in the same industry
LETTER TO DISTRIBUTORS: NO FRICTION PRODUCTS
CANCELLED THEIR ANNUAL DISTRIBUTOR MEETING IN DENVER THIS YEAR.

8. CURRENT POSITION CONOCO TETCO
GETTING AGGRESSIVE: GOING AFTER EXXON/MOBIL
WARNING WILL PROBABLY DO ANYTHING TO GET ORDERS

9. EQUIPMENT

10. EXAMPLE OF EARLY (1988) MARK VII (CURRENT MERCHANDISER)

11. AQUAJET

13. Aquajet Tunnel

14. COMPARISON
ULTRASONIC 2001 VS
AQUAJET

15. HI PUMP

16. HI PUMP INSIDE

17. CAT PUMP, OUTSIDE

18. CAT PUMP INSIDE

19. WARRANTY ULTRASONIC 2001 (PUMP) FIVE YEARS, PARTS AND LABOR AQUAJET
ONE YEAR PARTS
LABOR?

20. WARRANTY
DISCLAIMER:
DO NOT PUMP HARSH ACIDS, ALKALINES OR ABRASIVE FLUIDS
RECLAIM: 5 MICRON IF ABRASIVES ARE PRESENT, 20 IF NOT.

21. TURBO NOZZLES

22. TURBO NOZZLE ULTRASONIC 2001 NOT NEEDED AQUAJET SIX PER SIDE
$1,800 OPTION.
1200 PSI, CERAMIC, ZERO DEGREE, ROTATING AT 25 DEGREES, 1,000 RPM
COST: $120 EA.

23. TURBO NOZZLES OUTSIDE

24. TURBO NOZZLES INSIDE

25. HI HP COMPARISON

26. DUAL BAY PLATES ULTRASONIC 2001 YES AQUAJET NO ADVANTAGE:
IMPOSSIBLE TO ACTIVATE MACHINE UNLESS VEHICLE IS “TRAPPED” IN CORRECT LOCATION.
AQUAJET NO

27. ISO 9001
ULTRASONIC 2001
YES
GREATER RELIABILITY
AQUAJET NO

28. VF DRIVE MOTORS ULTRASONIC 2001 YES SMOOTHER OPERATION LONGER LIFE
AQUAJET NO

29. ULTRASONIC SENSING ULTRASONIC 2001 YES
MEASURES VEHICLE LEFT TO RIGHT FOR OPTIMUM LOCATION OF WASH ARM
AQUAJET NO
NO LEFT TO RIGHT ADJUSTMENT

30. LOW PRESSURE UNDERCAR WASH
ULTRASONIC 2001
YES
DOESN’T BLAST GREASE AND OIL INTO THE SAND TRAP
AQUAJET NO

31. COLD PRESOAK ULTRASONIC 2001
TESTING SHOWS LITTLE BENEFIT FROM THE INCREASED COST OF USING HOT PRESOAK
AQUAJET
WATER AND PRESOAK LOSE HEAT RAPIDLY WHEN SPRAYED THROUGH THE AIR

32. ACTIVATION SYSTEMS ULTRASONIC 2001 ONE SOURCE, RYKO AQUAJET
MIUST BE PURCHASED FROM OUTSIDE VENDOR

33. PRODUCTS RYKO MONARCH II HI ULTRASONIC 2001 SELECT-A-WASH
SOFTGLOSS X/S
VOYAGER II
ULTRACLEAN
VT2000
MARK VII
MERCHANDISER +
AQUAJET
AQUAJET TUNNEL

34. YOU MARKET ADVANTAGE RYKO MARK VII JIM NELSON HOLDING COMPANY
LARRY KLEIN
YOU
MARK VII
HOLDING COMPANY