2. Contents About KCI Chemical Company Mission Statement Who is KCI KCI Approach Industries Served KCI 80 Degree Cleaning and Phosphatizing Why Choose KCI 80 Degree System Advantages Disadvantages Technology Customers/Photos KCI Automation Control Equipment Process Controls KCI Support Lab Capabilities Lab Testing KCI Versus KCI vs. Competition Only Showing In Town Packaging Customers Thank You

3. This can be achieved through our customers by: Reducing Operating and ENERGY Costs Maintaining or Increasing Quality Achieving their environmental objectives Our Mission Supplying the highest quality ambient temperature products in the powder-coating industry that will reduce high energy costs while maintaining quality standards.

4. Who is KCI Chemical Company Leader in Room Temperature Cleaning and Phosphatizing. Reducing Energy Costs at a Minimum of $36,000 to $75,000 Annually. Founded in 1969. Serving the United States Market. ISO 9000 Compliant. SPC Charting and Troubleshooting QA Certificates of Analysis American Owned and Operated. Proactive and Responsive Company. Dedicated to Custom Formulating. Manufacture Our Own Products Blending and Warehousing Focused on Environmental Preservation R & D Environmentally Directed

6. Exceptional Service….  KCI Chemical Company provides a unique, innovative approach to solving customers problems --- ownership of our accounts.  Total system, engineering approach with increased service visits.  Daily service and technical support during system start-ups.  Dedicated service by a technically degreed service rep utilizing computer generated reports.  KCI Chemical Company takes a proactive approach designed to identify and correct potential problems before they occur.

7. Quality….  Unparalleled chemical technology for cleaning and phosphatizing.  5% of sales revenue is invested back into R & D to ensure KCI remains on the cutting edge of new technology.  Automation provides consistent bath chemistry 100% of the time for improved results.  Regular Business Review Meetings to ensure quality and consistency is maintained.  Guaranteed system performance.

8. Automation and Control  Prevents overfeed and underfeed conditions, improving line operations while minimizing cost.  Typically reduces usage by 5-15%.  KCI Chemical Company control package included in the program. ($10,000 in capital for standard application)  Improves plant safety by minimizing operator exposure to chemicals.

9. Training….  Conduct ON-SIGHT formalized training program.  Plant specific, hands-on training…customized to customers needs.  Annual regional pretreatment seminars.

10. Industries Served Appliance Automotive Display Drum Electronic Components Job Shops Metal Finishing Truck Components Utility Trailers Utility Trucks

12. Why Choose KCI u KCI has over 6 years experience with 80 degree cleaning technology. u R&D improvements in detergent organic chemistry over the past three years. u Environment friendly using organics which are non-pollutants. u Chlorate phosphates cannot contain cleaners. u Both phosphates with a non-chrome seal can achieve 1,000 to 1,500 salt spray hours. u Over 17 customers with various operations are currently using the 80 degree system and saving thousands of dollars without forfeiting quality.

13. ADVANTAGES  Decrease in ENERGY Consumption.  Natural Gas Savings can be in EXCESS of $70,000.00 annually.  Production can start almost immediately.  Two stages of cleaning versus one.  System attacks lubricants that react better to alkaline or acid cleaners.  Less time cleaning tanks and nozzles with organic versus chlorate or molly-phosphate.

14. DISADVANTAGES  Additives may be needed to enhance cleaning.  Defoamers may be needed.  May need to increase temperature under special circumstances.

16. Previous System u Stage #1 - Alkaline Cleaner u Concentration of 2% to 3%. u Temperature of 120 F. u Stage #2 - Monitored u Stage #3 - Chlorate Accelerated Iron Phosphate. u Concentration of 2 to 3%. u Temperature of 120 F. u Stage #4 Monitored u Stage #5 Non Chrome Seal. u Concentration of 0.5 to 1.0%. 5 Stage Low Temperature Pre-Treat System

17. New Technology u Stage #1 - Alkaline Cleaner u Concentration of 1.5 to 2%. u Temperature of 80 degrees. u Stage #2 - Monitored u Stage #3 - Detergent Organic Iron Phosphate u Concentration of 1.5 to 2%. u Temperature of 80 degrees. u Stage #4 - Monitored u Stage #5 - Non-chrome seal u Concentration of 0.5 to 1.0%. 5 Stage 80 Degree Pre-Treatment System

18. Product Proposal 1.Stage 1 - Spray Klene 5162 (Alkaline Cleaner) 2.Stage 2 - Rinse (Fresh Water) 3.Stage 3 - Liqua Phos 6906 (Iron Phosphate) 4.Stage 4 - Rinse (Fresh Water) 5.Stage 5 - Phos Rinse XL (Non-Chrome Seal) 5 Stage Washer

19. Technical Recommendations Stage 1 Spray Clean Spray Klene 5162 80 degrees F Iron Phos Liqua Phos 6906 80 degrees F Stage 3 LMI Pump Automated Chemical Feed System Controller Stage 2Stage 5Stage 4 Non-Chrome Seal Phos Rinse XL LMI Pump Controller

21. Control Equipment Electronic Controllers Stage 1 – Conductivity Stage 2 - TDS Meter Stage 3 – Conductivity Stage 4 - TDS Meter Stage 5 - pH Controller Conductivity, TDS and Ph Metering Systems u Foxboro u GLI u Endress + Hauser u Chemtrol u Myron L

22. Process Control Equipment Probe Pretreatment Bath Signal Feedback To Controller When chemical concentration is below set- point: - Controller signals pump to add chemical. - Based on Time-Proportional-Control (TPC) Improves bath consistency. Less Chemical Waste Chemical Feed Into Bath Chemical Feed Into Pump Chemical Pump

24. KCI Versus Competition KCI u KCI recommends a maximum of 80 degrees for cleaning. u KCI recommends 1.5% to 2% by volume. u Operating at 80 degrees with KCI Cleaner you get a nice blanket of foam. (Most operators like to see some foam because they know they have cleaner in the tank.) Competitors Recommendations of 125 to 140 degree cleaning Concentration of 2% to 3% by volume. Foam issues occur with competitors when used at temperatures below 115 degrees. Stage 1

25. KCI Versus Competition Stage 3 KCI u KCI organic phosphate must be maintained at 2.0% to 2.5% by volume. u KCI phosphate must be maintained at a pH of 4.3 to 5.5. u KCI phosphate is already pre- adjusted so no more consumption of phosphate is necessary with new Liqua Phos 6906. u KCI phosphate must be maintained at 80 degrees. u KCI phosphate must be maintained at 1.5% to 2%. Competitors Recommended concentration of chlorate iron phosphate at 2.5% to 3.5% by volume. Competition phosphate must be maintained at a pH of 4.5 to 5.2. Competition phosphate pH has to be adjusted. (If too much pH adjustment is added to tank it can affect quality of product.) Competition chlorate phosphate must be maintained at 90 to 140 degrees. Competitions product must maintain concentrations of 2% to 4%.

26. KCI is the only company that has proved to be successful with cleaning and phosphatizing at 80 degrees. Other chemical companies are still utilizing 30 year old technology and few are able to formulate a successful low temperature cleaning and phosphatizing system. Many companies are trying to formulate products that clean and phosphate at under 100 degrees, but can not compete with KCI’s 80 degree clean and phosphate system. Some companies are trying to increase their concentrations dramatically in effort to lower the temperature, while KCI is the only company able to not only reduce the operating temperature, but also lower the concentration of the tank. With the rise in the cost of Natural Gas there will be no choice but to find an alternative solution in replacing the chemical products of yesterday. Now is the time to see how other companies have saved in excess of $70,000.00 annually on operating costs by switching to KCI’s 80 degree technology. In addition to the energy savings, KCI will be able to save dollars on chemical costs due to being able to operate at lower concentrations. I know it sounds too good to be true, but feel free to contact any of our customers. We are that confident! KCI Is The Only Show In Town

28. Support  Technical Support Team  Electronic Controllers  Metering / Mixing  Titration Supplies  Washer Booklet

30. Quality Control and R&D Lab

31. Lab Analytical Capabilities Spectrophotometer Atomic Absorption (SCL) Fourier Transform Infrared Scanning Electron Microscope (SCL) Portaspec X-Ray Spectroscopy Analyzer (SCL) 3 Precision Portable Production Washer Simulators

32. Laboratory Testing Available u Filiform Corrosion u Cast Iron Chip u Surface Analysis u Specific Ion Analysis u Water Analysis u Conductivity u Compatibility u Metal Analysis u Suspended or Dissolved Solids u Oil Loading u pH u Microbiological u Lubrication u Salt Spray u (B-117) u Humidity u (D-2247-68 u Cross Hatch u (D-3359-74) u MEK Rub u Coating Weights u Film Thickness u (D-1186-53) u Pencil Hardness u (D-3363-74) u Impact u (D-3281-73 u Direct or Reverse

33. Monthly salt spray testing is available at KCI’s lab in McHenry, Illinois Portable Simulators Accelerated Environmental Testing Additional Equipment

34. Packaging Bulk Storage Tanks 330 gallon totes (returnable) 275 gallon totes (returnable) 55 gallon drums (returnable) 5 gallon pails

35. Customers ¯ Chicago Steel Container ¯ Core Finishing/Tech Finishers ¯ Dean Weld & Fab ¯ Gleason Industrial Products ¯ IA & L Coaters ¯ K-Display ¯ Milton Enterprises ¯ Quam Nichols ¯ RC Industries ¯ Shelf Kote ¯ Shidaker Manufacturing ¯ Sorini Ring ¯ Steel King ¯ Trend Technologies ¯ US Cargo/Plant 1 ¯ US Cargo/Plant 2 ¯ World Metal Finishing

36. PHOTOS (Current Customers)

37. Partnership Support Team u Jim Konzen - Senior Account Manager u Rod Tofte - Senior Account Manager u David Baughman - Senior Account Manager u John Affinito - Technical Director u Stacey Holman - Quality Control u Al Woods - Plant Manager