1. Copyright © 2010 Miltel Communications Ltd. Wireless Enabling Technology for Middleware January 2011 Copyright © 2011 Miltel Communications Ltd.

2. Copyright © 2010, 2011 Miltel Communications Ltd. 1 Presentation Contents Concept DAT Advanced Water Management District Heating StreetSmart Miltel Company Overview Summary

3. Copyright © 2010, 2011 Miltel Communications Ltd. 2 Concept

4. Copyright © 2010, 2011 Miltel Communications Ltd. 3 From physical assets to valuable data There is valuable information locked inside existing physical assets To unlock that value, data from the assets must be connected to the information management network Many of these assets are challenging to connect Too remote, or in harsh environments No access to power IT backhaul inaccessible

5. Copyright © 2010, 2011 Miltel Communications Ltd. 4 1 A Layered Approach Water & Sewage Garbage & Recycling Fire Hydrants Public Lighting Parking 6 Energy & Heating

6. Copyright © 2010, 2011 Miltel Communications Ltd. 5 The Keys to Value In a smarter city, valuable physical assets need to be networked Each city layer should be monitored Status of assets (e.g. parking spots, level of garbage in bins) Flow (e.g. traffic, water, sewage) Data acquisition and aggregation from multiple network layers Bringing it all together Not all sensors are created equal The interconnect technology must be able to capture differing kinds of data and aggregate them effectively Data are accumulated in a network control center for analysis, reporting, and interface to external systems

7. Copyright © 2010, 2011 Miltel Communications Ltd. 6 DAT as an Enabling Technology Miltel DAT unlocks the value in physical assets Endpoints that can connect to almost any kind of sensor and relay the information back to where it can be used Designed to withstand the pressures of city life Effective service life ensures that information can be reliably relayed for many years Designed to work in outdoor environment Cost efficient to deploy and operate

8. Copyright © 2010, 2011 Miltel Communications Ltd. 7 Extracting value from physical assets Cellular Mesh (Zigbee) RFID Radio Technology Cost Transmission Range 10m100m1000mno range limit Miltel’s DAT Radio Transceivers Operating Cost Power Consumption Negligible powerExternal power required WiFi Bluetooth

9. Copyright © 2010, 2011 Miltel Communications Ltd. 8 Miltel DAT Architecture Water Energy Electricity Gas One and Two Way Operating Frequency 150Mhz to 500Mhz AC or Battery Powered 5 to 20 year battery life Highly efficient infrastructure Up to 2,000 endpoints per gateway Multiple backhaul options GPRS LAN/IP WiFi Network Management System Meter Data Management Open Data Output Multiple formats CSV, Excel, XML CRM Billing Analytics Operations General Purpose Environmental

10. Copyright © 2010, 2011 Miltel Communications Ltd. 9 DAT Architecture Cell-like Distribution System Structure Centralized Control Center Water Electricity Gas Energy Data Gateways (public/private networks) Multi-port Transceivers

11. Copyright © 2010, 2011 Miltel Communications Ltd. 10 DAT Architecture Control Center Gateways are configured and deployed… Transmissions received at the Gateway are verified and sent to the Control Center Transmissions from the Gateway can take place over LAN or GPRS Range of Transmissions to the Gateway can reach 1.5Km

12. Copyright © 2010, 2011 Miltel Communications Ltd. 11 Comparative Analysis – Metrics Cost per Endpoint (Customer Price) Monthly Operating Costs Power Source Cellular (GPRS)HighExpensiveExternal WiFiMediumModerateExternal 2.4 GHz.MediumNoneBattery 868/900 MHz. Spread Spectrum/Freq. HoppingMediumNoneBattery/External Miltel’s DAT (150 – 500 MHz.)MediumNoneBattery/External ZigBeeMediumNoneBattery BluetoothLowNoneBattery RFIDLowNoneNone/Battery High$150 – 300 Medium$40 – 120 Low$10 - $20

13. Copyright © 2010, 2011 Miltel Communications Ltd. 12 Comparative Analysis – Radio Performance End Point Location Above GroundEnd Point Location Below Ground Reception Point Height LowMediumHighLowMediumHigh Cellular (GPRS) n/a e unreliable WiFi aan/aunreliable n/a 2.4 GHz. bbbaab 868/900 MHz. bbca bb?b Miltel DATcddccd ZigBee bbbaa bb? Bluetooth an/a a?n/a RFID an/a a?n/a a< 30m b< 100m c< 500m d<1,000m eLong range LowLess than 8m (24ft) Medium8m to 30m (24 to 90ft) HighOver 30m (90ft) Range Reception Point Height

14. Copyright © 2010, 2011 Miltel Communications Ltd. 13 Miltel DAT: Technological Advantages Fixed-network architecture Provides near real-time data acquisition Extends management abilities Minimizes infrastructure expenditures Robust and Proven Technology 150 – 500 MHz RF spectrum means better coverage/reach Licensed/Unlicensed frequencies around the world Radiated power 10mW to 2 Watts A/C or battery powered Effective service life (battery) of 5 to 20 years Adaptable Sensor connectivity Pulse Encoder Digital interface Analog interface 1 to 4 channels per transceiver One or two-way radio communications Multiple types of sensor networks can coexist within the same system

15. Copyright © 2010, 2011 Miltel Communications Ltd. 14 Advanced Water Management

16. Copyright © 2010, 2011 Miltel Communications Ltd. 15 DAT Advanced Water Management Network Advanced Water Management for consists of multiple network layers – each can be independently implemented – yet all utilize the same DAT network infrastructure. AMR/AMI Data Analytics Leak Detection Fire Hydrant Management Pressure/Flow Management Waste Water Management Non-Revenue Water Data from and to all network layers are managed by the Miltel DataSense Control Center

17. Copyright © 2010, 2011 Miltel Communications Ltd. 16 DAT for Advanced Water Management Overview Monitoring and management of all aspects of the water delivery and collection system Advanced capabilities including event detection, tamper alerts, etc. Data and alerts transmitted over Miltel’s radio network and onto public networks Back office database management and analysis applications Interface with other IT systems (billing, asset management, CRM, etc.)

18. Copyright © 2010, 2011 Miltel Communications Ltd. 17 DAT for Advanced Water Management DAT System Implementation The municipal decision-making process can be notoriously slow (measured in years) With DAT, system implementation can be partial and is scalable, implementing AWM solution components on a priority basis Thus, municipal decisions can be made with respect to most pressing issues, resulting in a shorter decision-making process Once the DAT Gateway infrastructure has been installed, AWM solution components can be installed selectively (~2 Gateways per square mile)

19. Copyright © 2010, 2011 Miltel Communications Ltd. 18 The City’s Water at a Glance DataSense Control Center Dashboard

20. Copyright © 2010, 2011 Miltel Communications Ltd. 19 DAT Advanced Meter Infrastructure Control Center Site List

21. Copyright © 2010, 2011 Miltel Communications Ltd. 20 DAT Advanced Meter Infrastructure Alert Flags Control Center—Consumption

22. Copyright © 2010, 2011 Miltel Communications Ltd. 21 DAT AMI Data Analytics The Issues Fixed network AMR/AMI systems generate huge volumes of data (example: 5 years of daily data from 28,000 meters = more than 50 million data points) The volume of data presents significant challenges to the customer:  Effective use of the data  Interpretation of the collected data AMR/AMI control systems provide rudimentary reporting and analysis based upon the limited ability of the utility to classify its consumers

23. Copyright © 2010, 2011 Miltel Communications Ltd. 22 DAT/IBM AMI Data Analytics The Solution – Miltel’s DAT with IBM Analytics Dynamic grouping of consumers Base pattern identification and evolution (learning algorithms) Complex logic for suspected leakage (bulk meter alerts, frequent suspected leakage resolution, etc.) Dynamic identification of high or unusual consumption Changes in consumption patterns Correlation of calendar/events to consumption patterns Dynamic classification of non-advancing meters Low priority alert/notification aging

24. Copyright © 2010, 2011 Miltel Communications Ltd. 23 DAT/IBM AMI Data Analytics

25. Copyright © 2010, 2011 Miltel Communications Ltd. 24 Distribution System Leakage Detection The Issues Leakage in fresh water distribution systems can cause up to 50% water loss (non-revenue water) Unaddressed underground leakage can result in destruction of property and environmental damages Identification of distribution system leakage usually occurs only after a major event Major events can result in water contamination Existing solutions are time-consuming, labor intensive, and require professional analysis Existing solutions provide only a short-term, localized response

26. Copyright © 2010, 2011 Miltel Communications Ltd. 25 Distribution System Leakage Detection The Solution – Functional Requirements Identify problematic distribution system segments before they become “events” Eliminate the need to replace segments on a statistical basis (e.g. age of pipe) Timely identification of external causes of breaches in the distribution system Continuous monitoring of segments after repair ensure the problem has not been “relocated” down the line

27. Copyright © 2010, 2011 Miltel Communications Ltd. 26 Distribution System Leakage Detection The Solution – Miltel’s DAT, Acoustic Sensors, and Analytical Software Installation of acoustic sensors (typically every 100 yards of system) equipped with DAT transceivers Collection of acoustic data via DAT Gateways Analysis of captured data with alerts generated based upon derived results

28. Copyright © 2010, 2011 Miltel Communications Ltd. 27 Distribution System Leakage Detection The Solution – Miltel’s DAT, Acoustic Sensors, and Analytical Software Prevention of pipe bursts through early detection and repair Continuous monitoring of repaired distribution system segments Cost effective solution

29. Copyright © 2010, 2011 Miltel Communications Ltd. 28 Fire Hydrant Monitoring and Management The Issues Key municipal asset located throughout the city (typically one fire hydrant every 100 – 300 yards) Provides access to another significant municipal asset – the city’s water system Locking mechanisms exist but create their own set of issues:  Master keys with wide distribution  Risk of authorized access being blocked (e.g. fire fighters arrive without the master key)  Fire hydrants remain unlocked after authorized use

30. Copyright © 2010, 2011 Miltel Communications Ltd. 29 Fire Hydrant Monitoring and Management Readily accessible fire hydrants permit usage of water resources in an unauthorized and unlimited manner Fire hydrant connection design allows for the unintentional and intentional introduction of poisonous/toxic materials into the fresh water system (Homeland Security issues) Police blame landscaper for water contamination The Providence Journal - Providence, R.I. Meaghan Wims Journal Staff Writer Date: Oct 19, 2003 On Saturday, a landscaper accidentally contaminated about 150 Coventry residents' water when he hooked up a hydroseeder a grass seed-spraying machine to a fire hydrant. "Here I am trying to grow grass, and this happens," said the landscaper, who refused to give his name. "I was under the assumption that the hydrant belonged to [The Crossroads]. Somehow, some hydroseed got in the water.“ The people at … have been asked not to drink or cook with their water, but showering and flushing toilets are permitted.

31. Copyright © 2010, 2011 Miltel Communications Ltd. 30 Fire Hydrant Monitoring and Management The Solution – Functional Requirements Hermetically secured fire hydrants Quick and easy unlocking of fire hydrants during emergencies Limited access for authorized users Control and monitoring of access to the fire hydrant network Eliminate the ability to “duplicate” access keys Ability to block access to stolen or lost electronic keys Remote monitoring of all “events” with remotely controlled access to the fire hydrant network

32. Copyright © 2010, 2011 Miltel Communications Ltd. 31 Fire Hydrant Monitoring and Management The Solution – Miltel’s DAT with Red Cap Device Fire hydrants are secured with the Red Cap device, which incorporates an electronic locking mechanism and a DAT transceiver DAT Gateways receive periodic updates of fire hydrant status DAT transceivers transmit “events” as they occur (authorized access, unauthorized access, tampering, unlocked fire hydrants, etc.) Authorization of electronic keys and/or remote unlocking

33. Copyright © 2010, 2011 Miltel Communications Ltd. 32 District Heating

34. Copyright © 2010, 2011 Miltel Communications Ltd. 33 District Heating Management and Measurement The challenges of modern district heating are complex Multiple measurements, from thousands of buildings must be delivered in near real-time and on-demand when necessary All this, reliably, and with a low Total Cost of Ownership (TCO) Miltel’s District Heating DAT Lowest TCO of any comparable solution Does not rely on costly cellular connectivity Works with almost any meter brand, so different meters can be integrated into a single network Allow individual building metering as well as unit-level submetering

35. Copyright © 2010, 2011 Miltel Communications Ltd. 34 Connectivity with industrial and residential energy meters Scheduled and on-demand reads 2-Way radio from local energy center to each house WAN communications (TCP/IP) from/to main office Software for remote monitoring from energy company offices District Heating Highlights Solutions for a complex environment Metering the delivery of heat to residences depends on multiple factors beyond just temperature Market demands and governmental regulation often dictate real time and/or synchronized reads across large areas A simple metering solution will not suffice, it must address other needs including maintenance and service dispatch

36. Copyright © 2010, 2011 Miltel Communications Ltd. 35 System Description  Bi-directional fixed radio network  All system nodes are managed by the NMS  Interface with Oracle data base Legend: NMSNetwork Management System EPEndpoint RPRepeater BTSBase Transceiver Station  Remote Management of Resource Supply Points  Building Energy Supply  Building Submeters  Full integration with Utility/Municipality WAN

37. Copyright © 2010, 2011 Miltel Communications Ltd. 36 District Heating Endpoint Features  Easy installation using a laptop application (via standard USB port)  The installer utilizes a mobile Endpoint for best antenna location determination  RF reception level indication displayed on laptop screen  On-site test of meter, detector and door switch, using the laptop application  Internal log file for failure analysis and maintenance  External antenna for coverage extension  Auto-identification of meter models  On-line monitoring of steam leakage using sensor detector  On-line monitoring and reporting of basement door intrusion  On-line AC power monitoring and reporting of outages

38. Copyright © 2010, 2011 Miltel Communications Ltd. 37 Base Station Features  Installed within an IP68 enclosure  Multi-mode fiber connection to the hub-switch location  Standard LAN connection  Unlimited managed Endpoints  Immediate reporting to NMS on any received alarm message UPS backup

39. Copyright © 2010, 2011 Miltel Communications Ltd. 38 StreetSmart

40. Copyright © 2010, 2011 Miltel Communications Ltd. 39 Universal Parking Locator 30% of the time driving in the city is spent by drivers searching for parking Most of the problem is not caused by lack of enough spaces But by not knowing where those spaces are Parking notification systems usually fail at one or more of the following:  Cannot provide data from street parking  Depend on information gathered by the parking meters; and  Are limited to those spaces that are actually metered (cannot notify about illegally parked cars)

41. Copyright © 2010, 2011 Miltel Communications Ltd. 40 Two Interrelated Challenges  Information failure on open parking spaces  It is the ‘cruising’ for a space that causes inefficiencies  Timely and relevant notification of availability is crucial  Some information on parking structures is available but is very limited  The key is information about street parking  Efficient enforcement  Similar challenges as finding parking  Most cars overstay their welcome  Enforcement personnel lack timely information to enforce parking rules  The better the rules are enforced, the more spaces will open up

42. Copyright © 2010, 2011 Miltel Communications Ltd. 41 System Features  Sensor/transmitter can be deployed everywhere people park, including on the street (pavement, sidewalk, or meter)  Different alerts for various modes of parking  Time constrained free parking  Time constrained for fee parking  Loading and unloading  No parking (for enforcement)  Data is relevant and timely  Immediate notification  Can integrate with turn-by-turn programs  Alert parameters are time-of-day, day-of-week defined

43. Copyright © 2010, 2011 Miltel Communications Ltd. 42 Advantages Increase road availability by 20% - 30% without new road construction  Modular deployment  Can be activated in localized deployments, providing benefits immediately  Street parking first, parking lots/structures can join in later  Minimal investment in infrastructure  Alternative systems depend either on existing meters and/or large deployments of infrastructure  Deployed DAT infrastructure can serve other applications

44. Copyright © 2010, 2011 Miltel Communications Ltd. 43  Command  Dimming  On/Off—differing times, in small groups or individually  Expected reduction in operating expenses of at least 25%  Monitor  Malfunction – failed lamp, faulty power factor, etc.  Outage  Energy metering Street Lighting

45. Copyright © 2010, 2011 Miltel Communications Ltd. 44 Garbage & Recycle Bins  For bins above or below ground  Relaying levels in different bins  Optimize pickup times (just-in-time)  Prevent overflow

46. Copyright © 2010, 2011 Miltel Communications Ltd. 45 Landscape Irrigation The Issues Inefficient and unnecessary irrigation of public landscape areas such as parks, traffic islands, golf courses, etc. Additional capital costs due to repeated landscaping of poorly maintained public areas The Value Proposition DAT system with landscape endpoints utilizing standard DAT collection infrastructure Continuous reporting of ground moisture levels Collection of local weather data Monitoring and management of irrigation controllers via the operations center In-ground Landscape unit with moisture sensors and DAT endpoint Weather station with DAT endpoint atop a light standard

47. Copyright © 2010, 2011 Miltel Communications Ltd. 46 Miltel Company Overview

48. Copyright © 2010, 2011 Miltel Communications Ltd. 47 Founded in 1991 Israel-based technology company U.S.-based marketing/sales subsidiary Shareholders include Badger Meter, Plasson, Eurocom Investments Current management and controlling shareholders joined company in 1999 Experience in R&D, software, radio, and cellular technology Has developed and successfully marketed telemetry solutions that have been utilized in different applications in many countries AMR experience and evolution 1 ST wireless AMR deployment in 1995 Over 1,000 sites Over 500,000 meters read in the US alone Deployed in every continent Technology Evolution Miltel Communications AMR for Utilities Generic, Multi-purpose Data Acquisition & Transport

49. Copyright © 2010, 2011 Miltel Communications Ltd. 48 Miltel: Business Advantages Fully developed, robust product line Global application On-going new product development and existing product enhancement programs; joint development with 3rd parties Exploration of other telemetry applications for the company’s core technology Flexible business model Indirect product sales through alliances and system integrators OEM sales of data acquisition and transport technology Direct sales for submetering via U.S. subsidiary Direct sales via joint participation in international tenders

50. Copyright © 2010, 2011 Miltel Communications Ltd. 49 Summary The road to the interconnected city can start with any of the many applications described here While endpoints will vary according to the sensor needed, the infrastructure can serve them all For almost all applications deployment can be modular, minimizing risk and making the ‘go’ decision easier Field-proven technology, global applicability

51. Copyright © 2010, 2011 Miltel Communications Ltd. 50 Contact Miltel Communications Ltd Gush Etzion 7, Givat Shmuel, Israel 54030 +972 (3) 737-1333 www.miltelcom.com www.cereniti.com