2X Incandescent

Dec 10, 2012

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Advanced Lighting Technologies: Enabling ‘2X Incandescent’

IR Coating• Coating machines• Coating services• Development

IR Capsule• Turnkey equipment• Capsule manufacturing• Development

LightingMaterials

2XBulbs

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What is ‘2X Incandescent’?

Visible light is transmitted

Thin-film coatings reflect infrared energy back to the filament to ‘recycle’

into light energy

Narrow legs reduce end losses

Filament based – just like incandescent An Advancing Technology

• The LpW of the 60 Watt, 120V, 1000 hr incandescent lamp has increased exponentially over its lifetime

• ADLT launch schedule includes:• 32 LpW Q1, 2013• 35 LpW Q3, 2013• 45 LpW Prior to 2017

• 45 LpW, 1000 hr life has been proven

* 1879-1989 data taken from GE Corp R&D report 98CRD027, Feb. 1998

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Why ‘2X Incandescent’?

To date, many consumers have not embraced CFL for varying reasons

LED A-line lamps currently have a high initial cost and are not available in higher lumen packages

Legislation compliant A-line halogen provides low initial cost but minimum energy savings and compromised light output

Incandescent is the lamp of choice for residential applications

• Warm color, best color rendering (100 CRI)• Fully dimmable • Compatible with timers and motion sensors• Same lamp size lamp and shape• Instant light• Safe (no mercury, RoHS compliant)

2X Incandescent provides significant energy savings

• 50% energy savings vs. incandescent• 30% energy savings vs. legislation compliant halogen• 32 lumens per watt moving to 45 lumens per watt• Reduced heat

43W=60W and 72W=100W LC halogen30W=60W and 50W=100W 2X incandescent

100W Incandescent

50W 2X Incandescent

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2X Incandescent: A-Line Products (2013 Launch)

100W

(1) No longer manufactured beginning Jan 2011 (CA) , Jan 2012 (US)(2) No longer manufactured beginning Jan 2013 (CA), Jan 2012 (US)(3) Based on 821 hours/year residential, Navigant Consulting, 2011(4) Independently tested by EPRI (Document #1025779 at EPRI.com)

2X Incandescent provides increased energy savings, longer life

60W150W

Incandescent 100W A19 (1) 150W A21 60W A19 (2)

Watts 100 150 60 Typical Life (hrs) 750 750 750 Lumens 1,600 2,440 800 kWh per year (3) 82 123 49

LC Halogen 72W A19 N/A 43W A19 Retail Price Watts 72 - 43 $1.17 - $1.75 Life (hrs) (2) 1,000 - 1,000 Lumens 1,490 - 750 kWh per year (3) 59 - 35

2X Incandescent 50W A19 (4) 70W A21 30W A19 Retail Price Watts 50 70 30 $3.49 Initial Watts saved vs LC Halogen 22 80 13 $2.49 rebated Life (hrs) 1,500 1,500 1,500 $1.25 - $1.50 target Lumens 1,600 2,440 800 kWh per year (3) 41 57 25 kWh saved vs. Incandescent 41 66 25 kWh saved vs. LC Halogen 18 - 11

Standard Halogen (1) 120W PAR38 90W PAR38 75W PAR30 Watts 120 90 75 Typical Life (hrs) 1,500 3,000 3,000 Lumens 1,800 1,350 1,100

LC Halogen (same lumens) 90W PAR38 72W PAR38 61W PAR30 Watts 90 72 61 Life (hrs) (2) 1000 1000 to 1500 1000 to 1500 Lumens 1,800 1,350 1,100 kWh per year (3) 80 64 54

Retail PriceCurrent LC Retail Offering (e.g.) 90W PAR38 90W PAR38 53W PAR30 $9.00 - $12.50 Watts 90 90 53 Watts saved vs LC Halogen 0 (18) 8 Life 1,500 1,500 1,100 Lumens 1,790 1,790 920 kWh per year (3) 80 80 47 kWh saved vs. LC Halogen 0 (16) 7

2X Halogen 60W PAR38 45W PAR38 37W PAR38 Retail Price Watts 60 45 37 $9.00 - $10.00 Watts saved vs. LC Halogen 30 27 24 Life (hrs) 2,000+ 2,000+ 2,000+ Lumens 1,800 1,350 1,100 kWh per year (3) 53 40 33 kWh saved vs. LC Halogen 27 24 21

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2X Incandescent: Residential PAR Products (Mid 2013)

(1) Not manufactured after July 2012(2) Projected(3) Based on 889 hours/year, Navigant Consulting, 2011

2X PAR Halogen provides increased energy savings, longer life

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The Market

Residential Installed Base (US) 133 million 1.7 billion 228 millionEnergy inefficient

- Incandescent- Halogen

Top 3 Market Barriers1. First manufacturing cost - requires initial rebate support 2. Consumer awareness – selling ‘energy savings’ while proving quality of light3. Manufacturing capacity – financing the scale from low to high million units

2X Sales Objectives (2013)4. Launch A-line, PAR and BR ‘2X’ lamp configurations5. Build upon ‘2X incandescent awareness’6. Establish sales channels:

• Ecommerce, traceable by zip code• Regional retail, targeting territories with rebate support• Direct marketing (kits, promotions)

2X Sales Objectives (Next 5 years)7. Support mass distribution via big box retail 8. Launch ‘3X’ designs

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Chicken or Egg?

Rebate support typically requires scale and established channelDeveloping channel and scale initially requires rebate support

ADLT is seeking manufacturing rebate support for ‘2X incandescent’

Channel will be developed by rebated territory

Traction will support• Scale of manufacturing • Cost reduction• 3X development

ADLT is exploring capital investment as well as ‘Made in US’ opportunities

Thank You

2X Incandescent

General Information: 2XBulb.comE-commerce: 2XLightDirect.com (Jan 2013)

Steve Stockdale440-836-7614

steve_stockdale@adlt.com

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