1. Copyright ©2006, Prima Luci Inc. Business & Technical Overview Non-Confidential Version Version 1.7

2. Copyright ©2006, Prima Luci Inc. Page 2 This document is a business and high level technical overview intended for a presentation without the requirement for a non- disclosure agreement Copyright ©2006, Prima Luci Inc. – All Rights Reserved - Proprietary. Disclaimer

3. Copyright ©2006, Prima Luci Inc. Page 3 The Company  Founded 2001  Based in Harrison, NY  Designer of Photonic Technology & Components  Licensing of Technology  Ready Market

4. Copyright ©2006, Prima Luci Inc. Page 4 Accomplishments  Formation and startup funding.  Prepared documentation on prospective devices.  Built working prototypes which have been independently tested and verified.  Currently have over eighty (80) inventions covered in five (5) patents and twenty- one (21) patent pending applications.  First round customer discussions.  Augmentation of startup financing.  Finalizing field prototypes for major optical system providers that have requested a “test unit”.  Prepared for implementing prototypes onto chip technology for miniaturization and mass production.  Second round customer discussions.  First prototype to be delivered to Mahi Networks by August 2005.  Alcatel and Tellabs are waiting completion of second prototype.  Formulated “Go to market and funding” strategy.  Market ready.

5. Copyright ©2006, Prima Luci Inc. Page 5 About The Technology  A breakthrough technology for direct light manipulation  Uses the light’s own energy to operate  Does not require adulterating controls, electronics or state change  Processes light pulses on-the-fly  Pulse-by-pulse processing and routing  True OOO transmission

6. Copyright ©2006, Prima Luci Inc. Page 6 Core Technology Characteristics  “Light controls light”  Extremely fast, small, solid-state, and rugged.  No control devices needed to operate.  O-E-O conversion is not necessary.  No overheating and near-zero power dissipation.  Highly scalable.  Integrated optical chip capable.  Requires little hardware maintenance.  Easily integrated into current environment.

7. Copyright ©2006, Prima Luci Inc. Page 7 Uses for Technology  Within An Integrated Circuit  Within A Printed Circuit Board  Among Computer Boards  Among “Boxes” Within A Computer System  Local Area Networking  Last-Mile Networking  Broadband Access  Metropolitan Area Networks  Long Haul And Ultra Long Haul Networks

8. Copyright ©2006, Prima Luci Inc. Page 8 Intellectual Property  Seven (7) issued patents  Eighteen (18) patent pending applications Patent numberPatent name US 6,603,904All optical narrow pulse generator and switch for dense time division multiplexing and code division multiplexing US 6,795,626Optical Threshold Devices and Method US 6,892,016Optical Threshold Devices and Method US 6,990,281All Optical Logic Gates US 6,956,998Compact Optical Delay Lines Issued – UnpublishedAll Optical Data Selection Element Issued - UnpublishedPhase and Polarization Insensitive Gates and Switches

9. Copyright ©2006, Prima Luci Inc. Page 9 Products  Initial Devices Wavelength Converter Dispersion Corrector 1x2 Ultra-fast Switch

10. Copyright ©2006, Prima Luci Inc. Page 10 Ready Market  Inertia 1970’s – 1980’s: Analog to Digital 1990 – 2005: Copper to Fiber 2005 – 2020: OEO to All-Optical  Lack of standards and practices.  Embedded investment Cost of ownership / Writedowns New service revenue applications  Ongoing maintenance – management Multi-vendor network Vendor = multi-function OSS’s = multi-vendor  No one out there yet Component vs. product Part of multi-function product Economics of OEO

11. Copyright ©2006, Prima Luci Inc. Page 11 Ready Market  Mahi Networks  Alcatel  Tellabs  Nortel  Lucent  Cisco  Fujitsu  JDSU

12. Copyright ©2006, Prima Luci Inc. Page 12 Go to Market/Funding Strategy  License, Royalty, Component device, Product manufacturing.  Parallel sectors, Parallel devices, Serial sectors, Serial devices.  Service company, Large manufacturer, Medium manufacturer, small manufacturer.  Partner, Alliance.  Joint venture, Joint marketing.  M&A, IPO  Funding Early funds = accelerator Speed to market (parallel) Speed in market

13. Copyright ©2006, Prima Luci Inc. Page 13 Strategy  Launch with Wavelength Converter in mid-tier vendor and high-end service company endorsed vendor telephony market.  Follow immediately with Dispersion Corrector in same manner.  Attack the chips sector as soon as possible in parallel.  Use early funding to rewrite Business Plan and obtain excellent supporting research data and forecast.  Create early customer support and endorsement.

14. Copyright ©2006, Prima Luci Inc. Page 14 Roadmap

15. Copyright ©2006, Prima Luci Inc. Page 15 Proven Technology All Applications Are Based on Core Technologies All Core Technologies are Under Patent Coverage, Have Been Tested and Verified via Working Prototypes All Core Technologies Are Based on Same “Blueprint”

16. Copyright ©2006, Prima Luci Inc. Page 16 Core Technologies All-photonic Threshold All-photonic Switch All-photonic Header Reader All-photonic Passive Code-responsive Gate All-photonic Pulse Chopper

17. Copyright ©2006, Prima Luci Inc. Page 17 Discriminates higher than threshold amplitude signals from noisy environment Properties Sharp turn on Phase insensitive Ultra fast – up to 160Gbps Wavelength insensitive Small footprint Optical chip manufacturability Excellent extinction ratio Low cost All-photonic Threshold

18. Copyright ©2006, Prima Luci Inc. Page 18 Threshold Transmission Function Experimental Results Tunable Threshold Point All-photonic Threshold Input Output

19. Copyright ©2006, Prima Luci Inc. Page 19 Directs an input signal to one of two outputs Properties Ultra fast – up to 160Gbps Photonic or electronic control Small footprint Optical chip manufacturability Phase insensitive Wavelength insensitive Excellent extinction ratio Low cost All-photonic Switch

20. Copyright ©2006, Prima Luci Inc. Page 20 1x2 Switch Functionality Experimental Results Switch OFFSwitch ON Input Reflecting Output Input Reflecting Output All-photonic Switch Input Reflecting Output Through Output

21. Copyright ©2006, Prima Luci Inc. Page 21 Outputs a signal only if a matching code (header) is supplied at the gate input Properties Excellent code resolution Ultra fast – up to 160Gbps Phase insensitive Small footprint Optical chip manufacturability Wavelength insensitive Low cost All-photonic Header Reader

22. Copyright ©2006, Prima Luci Inc. Page 22 Header Reader Functionality Experimental Results No code Partial Matching code Input Reflecting Output Input Reflecting Output Non Matching code Input Reflecting Output Matching code Input Reflecting Output  All-photonic Header Reader

23. Copyright ©2006, Prima Luci Inc. Page 23 A passive device that outputs a signal only if a matching code is supplied at the gate input Properties Passive Excellent code resolution Limitlessly fast Extremely low cost Small footprint Optical chip manufacturability Reliable Zero power dissipation All-photonic Passive Code-responsive Gate

24. Copyright ©2006, Prima Luci Inc. Page 24 Passive Code-responsive Gate Operation All-photonic Passive Code- responsive Gate Matching Code Non-Matching Code

25. Copyright ©2006, Prima Luci Inc. Page 25 Passive Code-responsive Gate Functionality Experimental Results Matching Code Input Output Non-Matching Code Input Output All-photonic Passive Code- responsive Gate

26. Copyright ©2006, Prima Luci Inc. Page 26 Chops an input signal into a narrower output signal Properties Self chopping Sharp chopping Ultra fast – up to 160Gbps Phase insensitive Small footprint Optical chip manufacturability Wavelength insensitive Low cost All-photonic Pulse Chopper

27. Copyright ©2006, Prima Luci Inc. Page 27 Reflecting Port Chopping Experimental Results Input narrower than 2T Constant chopping #3 Input Reflecting Output Input Reflecting Output Constant chopping #1 Input Reflecting Output Constant chopping #2 Input Reflecting Output  All-photonic Pulse Chopper

28. Copyright ©2006, Prima Luci Inc. Page 28 Transmitting Port Chopping Experimental Results Constant output #1 Input Transmitting Output Constant output #2 Constant output #3 Input Transmitting Output Input Transmitting Output Input narrower than 2T Input Transmitting Output  All-photonic Pulse Chopper

29. Copyright ©2006, Prima Luci Inc. Page 29 Wavelength Converter Ultra-fast 1x2 Switch Dispersion Compensator Secured PON SNR Enhancer Fast Modulator Optical Packet Router Optical Packet OXC Optical Packet Drop Optical Logic Gates Devices & Applications

30. Copyright ©2006, Prima Luci Inc. Page 30 A device that can change the carrier wavelength of its modulated pulses Properties All-photonic 10/40 Gbps Phase, wavelength and polarization insensitive High extinction ratio Improved OSNR Low bit-error-rate Low cost Wavelength Converter

31. Copyright ©2006, Prima Luci Inc. Page 31 Wavelength Converter Images Ultra-Fast 1x2 Switch Yellow signal: data output of a CDR Blue signal: unfiltered modulated λ 2 optical output

32. Copyright ©2006, Prima Luci Inc. Page 32 Wavelength Converter Data Sheet Ultra-Fast 1x2 Switch ParameterMinTypicalMaxUnits Data rate9.95328Gbps λ 1 Data formatNRZ λ 1 Data patternPRBS 2 31 -1 λ 1 Wavelength [1] [1] 1550.67nm λ 1 Input power [2], [3] [2][3] -11-3dBm Dynamic range [3] [3] 8dB λ 2 Data formatCW λ 2 Wavelength [1] [1] 1549.32nm λ 2 Input powerdBm Output formatInverted Output power [2] [2] +1dBm Extinction Ratio [4] [4] 1415dB SOA current550mA [1] [1] Wavelength can be selected over all C-Band [2] [2] CW equivalent [3] [3] BERT error free for a period of 15 minute test [4] [4] Back-to-back

33. Copyright ©2006, Prima Luci Inc. Page 33 A device that restores distorted signals to be as good as the original pulses Properties Simultaneous CD and PMD compensation Has both NRZ and RZ compensating ports Protocol transparent No external control Inline device Ultra fast response time – down to 10ps Phase and wavelength insensitive Small footprint Low cost Dispersion Compensator

34. Copyright ©2006, Prima Luci Inc. Page 34 For a 10Gb/s NRZ system with 1db OSNR margin, we find almost no difference between: Fixed-delay PMDC Dual-fixed-delay PMDC Variable-delay PMDC Simultaneous CD/PMD Compensating Source: Comparison of Different PMD Configurations Based on Outage Probability JDSUniversity, March 2002 In a head-to-head comparisons, it appears that: Fixed-delay is good Dual-fixed-delay is better Variable-delay is best PMD could be a problem in about: 25% of installed fiber at 10Gb/s 65% of fiber over 80km span at 40Gb/s Dispersion Compensator

35. Copyright ©2006, Prima Luci Inc. Page 35 Compensation Method Dispersion Compensator PLDC

36. Copyright ©2006, Prima Luci Inc. Page 36 NRZ Port - Constant Chopping Experimental Results 1 bit wide output Input Output 2 bits wide output 4 bits wide output Input Output Input Output bit bits bits Dispersion Compensator

37. Copyright ©2006, Prima Luci Inc. Page 37 RZ Port - Constant Output Width Experimental Results Wider input Input Output Even wider input Input Output Wide input Input Output RZ Port demonstrates perfect dispersion compensation bit Dispersion Compensator

38. Copyright ©2006, Prima Luci Inc. Page 38 A device that allows to switch pulses at its input to either one of two outputs Properties Ultra fast response time – down to 10ps Optic or electronic control 0 dB attenuation Small footprint Excellent reliability Low cost Ultra-Fast 1x2 Switch Ultra-Fast 1x2 Switch

39. Copyright ©2006, Prima Luci Inc. Page 39 1x2 Switch Operation Switch Off Switch On Ultra-Fast 1x2 Switch

40. Copyright ©2006, Prima Luci Inc. Page 40 A passive device that adds information security to last mile (FTTH) networks Properties All-photonic Embedded security at optical layer Allows multi-layers structures Passive Limitlessly fast Extremely low cost Reliable Small footprint Zero power dissipation Secured PON

41. Copyright ©2006, Prima Luci Inc. Page 41 Secured PON Network Secured PON

42. Copyright ©2006, Prima Luci Inc. Page 42 A device that removes noise and improves the quality of the data pulses Properties All-photonic Excellent noise discrimination Small footprint Phase and wavelength insensitive Low cost Signal to Noise Ratio Enhancer SNR Enhancer

43. Copyright ©2006, Prima Luci Inc. Page 43 Signal to Noise Ratio Enhancer OSNR Enhancer Input Output No ASE noise accumulation (at ‘0’) over amplified spans Ultra long-haul application Breaking the OSNR degradation bottleneck

44. Copyright ©2006, Prima Luci Inc. Page 44 A device that can modulate more information than existing devices Properties All-photonic High speed modulation using low cost devices Up to 160Gbps High extinction ratio Low chirp Monolithically Integrated on a chip Low power dissipation Phase insensitive Fast Modulator

45. Copyright ©2006, Prima Luci Inc. Page 45 A device that can intelligently route packets of information to various targets Properties All-photonic Self packet filtering Up to 160Gbps No delays between headers and payloads Phase insensitive Covers the whole C band Low cost Low power dissipation Optical Packet Router

46. Copyright ©2006, Prima Luci Inc. Page 46 An intelligent switchboard that can route packets of information Properties M-by-n non blocking packet filter All-photonic Phase insensitive Simple structure On chip manufacturability Low cost Low power dissipation Optical Packet Cross-Connect Optical Packet Cross Connect

47. Copyright ©2006, Prima Luci Inc. Page 47 A logic gate which is a basic block to build all- optical computers Properties All-photonic Complete logic functions – NAND, AND Ultra fast Phase insensitive On chip manufacturability Low power dissipation Low cost Optical Logic Gates