Top Stories: Dassyloi Repairs Pipe in 17th

Century Monastery Pages 1-2

LMKTechnologies.comLMK Launches New Website

Page 2

Site Interview:LMK Crew Installs 10 Shorty Liners in

48 hoursPage 8-10

Schwalm & Stubby- The New “It” Tool for

Rehabilitation ContractorsPages 6-7

Legal Update:Federal Court Awards

Sanctions to LMK Enterprises in

Contempt Action Against Perma-Liner Industries

Page 3

T h e L M K P i p e l i n eJune 2012

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lmktechnologies.com

Dassyloi, Inc. Repairs Pipe in 17th Century Monastery

Once in a while in the trenchless industry, it is proven trenchless technology is not just a type of convenient pipe repair but can be used as a valuable method of preservation. This is especially true in cases where locations hold a religious or historical significance, places such as the Séminaire de Québec. Established in the 17th Century, Séminaire de Québec needed a pipe repair in its basement. LMK Technologies’ installer Dassyloi, Inc. of Québec took the unique opportunity to

repair the old seminary. In 1668, by request of King Louis the 13th who wanted to convert the Amerindians to the French culture and language, founder Bishop François de Laval inaugurated a residence for students studying at the Jesuit College. After the English Conquest of 1759, it became a college that taught humanities and philosophy. The histori-cal site of the Séminaire de Québec includes a vast number of buildings, some of which date back to the 17th century and are witnesses of the French occupation, while the others were constructed anywhere from the 18th to the 20th centuries.The seminary is laid out so the utilities, including the electrical, plumbing and HVAC, run through a 5-foot high vault under the seminary itself. The space in this vault is extremely limited, making it very difficult to access the utilities. Dassyloi was called in to rehabilitate an 8-inch cast iron pipe that had developed cracks and was subsequently leaking. The pipe to be repaired was a 92-foot long section remotely starting the liner 28-feet in from a clean out. Space was so constrained that the Dassyloi crew used the LMK Launch Tank with 80 ft. lay-flat launch hose attached in orderto invert the liner into the pipe. With LMK’s trenchless technology at their disposal, the Dassyloi crew was able to rehabilitate the leaking pipe without digging up so much as one square foot of the seminary grounds. The crew was able to complete the entire project in a day without causing any traffic disruption or even interrupting classes. Continued on page 2

“Although LMK materials and equipment are not the cheapest in the market, Dassyloi uses LMK because the quality is exceptional. Simply, you get what you pay for. The other reason we continue to work with

LMK is access to custom materials rather than having to use what any given supplier has on the shelf. Dassyloi is a solutions based

operation who gets into some pretty crazy jobs. With LMK’s continuing support and ingenuity, we have been able to pull these jobs off with

great success.”-A. Sherwin

Séminaire de Québec

Underground Utility Vault

Launch Tank Repairing Lateral

Andy Sherwin of Dassyloi was the crew leader on this project. Andy has more than 20 years of experience working with trenchless technology. When asked about how LMK’s products and technology helped him complete his repairs, Sherwin said, “It was important to us that this project proceed as smoothly as possible, and the Performance Liner® Technology by LMK Technologies helped us do just that.” Whether it is on top of Chicago’s Union Station, under the San Francisco Bay, within a 300-year-old monastery, or just a simple liner installation through a cleanout, LMK Technologies is the best choice for trenchless installers.

Cover Story (continued)

LMK Welcomes New Licensees

LMK Technologies announced the launch of its new website in Spring 2012. The new website contains all the information that LMK has always maintained on

the web along with added features that make this information easily accessible in convenient formats.

The new website also introduces exciting new elements such as the User Channels, the Licensee Dashboard, the

Installer Locator and the Resource Center, with the ultimate goal of these elements being to make the

website easily navigable while placing relevant information at the user’s fingertips. LMK will be

constantly working on not only keeping the website up-to-date, but adding features that we feel will not only

benefit our website users but also the trenchless sewer rehab industry in general. With the website launched,

the LMK Team is now working on adding new components to the website such as an academic

resource center for students and online catalogs for their licensed installers. Visit today and see how you can

benefit from these new features.

LMK Turns Over a Virtual Page With

Launch of New Website

LMK Technologies is growing at a pace that leaves our employees exhilarated and our competitors far behind. We are once again pleased to announce the names of the new installers who have joined LMK in the past quarter. These installers come to LMK with years of experience and receive intensive training in using LMK’s technology and products. Please join us in welcoming:

Perfect Home Services – Naperville, Ill.

Van Der Bosch, Inc. – Chicago, Ill.

Zeiters Septics Unlimited, Inc. – Morris, Ill.

Hoerr Construction, Inc. – Peoria, Ill.

Restoration Piping Technologies, Inc. – Cincinnati, Ohio

P.A. Atherton Construction, Inc. – Spring Bay, Ill.

All-American Drain, Inc. Manassas, Va.

Water Services, Co. – Elgin, Ill. Public Works Department Charlotte County FL.

Lateral Repair Location in Monastery

On March 9, 2012, the Federal District Court for the Middle District of Florida awarded LMK Enterprises, Inc, a total of $734,419.35 in sanctions, fees, and costs in a contempt action associated with the infringement of U.S. Patent 6,039,079. The award stems from a federal court ruling dating back to September 2010, finding the InnerSealTM lateral lining system offered by Perma-Liner Industries, Inc, infringed LMK’s patent rights and was in violation of an injunction previously entered by the court.

LMK initially filed suit against Perma-Liner in 2008 for infringement of U.S. Patent 6,039,079. After Perma-Liner admitted that use of its InnerSealTM system infringed the valid patent, the court entered an injunction to prohibit further acts of infringement. In November 2009, LMK asked the court to enforce the injunction, and find Perma-Liner’s continued sale of the InnerSealTM system was in violation of the injunction. Perma-Liner defended on the basis that it had modified its InnerSealTM system so as not to infringe. The court disagreed.

On September 30, 2010, the Federal District Court for the Middle District of Florida entered a contempt order, finding Perma-Liner’s sales of both the original and modified versions of the InnerSealTM system were in violation of the injunction. The same court entered an award of sanctions including costs and fees in the amount of $734,419.35 against Perma-Liner Industries, Inc. on Friday, March 9, 2012. Still pending before the same court is LMK’s claim to recover damages for sales of the InnerSealTM system prior to the initial suit for which Perma-Liner has admitted infringement.

“We were especially pleased with the court’s award of attorney’s fees and costs,” said Larry Kiest, president and founder of LMK. “We have worked hard to promote and protect our patented technology in the industry, and we are very gratified and pleased with this court’s award. LMK is focused on making the world a cleaner, greener place through technological innovation. The patent system gives LMK the opportunity to share our technological contributions with the world.”

LMK Enterprises is a technology provider for renewing underground pipelines without excavation or disruption to traffic and the environment by deploying a structural lining within a pipeline in accordance with ASTM F2561-06: “Standard Practice for Rehabilitation of a Sewer Service Lateral and Its Connection to the Main Using a One Piece Main and Lateral Cured-in-Place Liner.” LMK holds more than 100 issued or pending patents and patent applications worldwide and is headquartered in Ottawa, Ill., with numerous licensees. For more information, visit www.LMKTechnologies.com.

Federal Court Awards Sanctions to LMK Enterprises, Inc. in Contempt Action Against Perma-Liner Industries, Inc.

Perma-Liner’s InnerSealTM SystemInfringes on Patents

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Employee Profiles

Welcome, New Faces of LMK

LMK gives a warm welcome to Joanie Nichols. Joanie is our new office manager. She will be developing and enforcing policies and procedures, aiding

in project tracking and completion, and ensuring performance accountability for all employees. Joanie acts as a direct liaison for president/CEO for daily

operations. She is also the direct manager for accounting, human resources, IT and receptionist. Previously, Joanie has been in business administration,

newspaper advertising and radio broadcasting.

Joanie Nichols Office Manager

Rob ClausTechnical Advisor

Rob Claus comes to LMK with more than 30 years of inspection and engineering experience. Rob worked on federal, state, municipal and

residential projects and has more than 13 years of franchise operational and technical support. He has created several training manuals and procedure

products and was the former lead instructor for Kaplan Professional Schools-Home Inspection Sector, Chicago. Rob is excited about being a part of the team

and working toward helping LMK gain more market share and educating the industry through training.

Peter joins the LMK Team as the new CAD specialist. Peter comes to LMK with a wide variety of experiences. He concentrated on learning Solidworks

CAD because he is passionate about using 3-D software to enhance productivity in designing and fabricating new products. Peter looks forward to learning in-depth about LMK’s products and methods in order to use his skills

in designing and manufacturing a safe and efficient product.

Peter SprostyCAD Specialist

Jon Anderson joins the LMK team with a plethora of sales experience and sales management experience in mostly the automotive sector. Jon received

his commodities license in order to trade futures at a brokerage house in downtown Chicago at the board of trade. Jon has owned an automotive

repair shop as well as managed a large dealership. Looking for a progressive, growing company where he could use his experience to build a

career, he joined LMK.

Jon Anderson Sales Coordinator

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Dan EngelContract Supervisor

Dan Engel is LMK’s new contract supervisor. Dan will be leading the LMK Shorty Crews on a national basis. Dan has 25 years of experience in the

construction industry, managing nearly 200 laborers in Chicago. Dan saw a great career opportunity in LMK and looks forward to aiding in LMK’s continued

growth.

Pete Dannenberg is LMK’s new technical trainer. Pete previously worked for LMK’s licensee, First Response. With four years of field experience, Pete special-ized in performing CIPP repairs. Pete is glad to be part of the LMK team and looks forward to continuing opportunities to further his career in the future.

Pete Dannenberg Technical Trainer

Dan Read is another addition to the LMK Technical Training Crew. Dan has nearly six years experience with LMK products in the field. Dan was a crew leader with one of LMK’s previous licensees. He saw the growth and innovation at LMK Technologies and put his experience to good use by coming onboard to teach others how to properly install LMK Products.

Dan Read Technical Trainer

Corey O’Brien is LMK’s new media production specialist. As such, he isresponsible for building LMK’s media libraries and providing top quality animations and video in order to further our educational efforts. Corey holds a Bachelor of Art degree from Northern Illinois University and a Masters of Science degree in digital cinema production from DePaul University. Corey has more than five years experience as a professional video producer and animator and looks forward to building a quality library of media assets.

Corey O’Brien Media Production

The gleam of that shiny red multi-tool Swiss cross engraved across the front, with its pop out knives that so conveniently slide in and out of the tool with ease, evokes that feeling of endless opportunities in the palm of your hand. As a field installer, it is possible to experience that reminiscent feeling again, with the first and most sophisticated sewer rehabilitation multi-tool we have seen yet. For the short answer, ask what the Schwalm & Stubby™ System doesn’t do. Unwrapping the Schwalm & Stubby™ System for the first time seems to open up a world of possibilities with this one multi-functional tool. Our installers can’t wait to get out in the field because the Schwalm has a feature for every scenario, whether it’s performing maintenance (grinding, cutting, brushing, cleaning, cutting turn-backs and preparation) or installing lateral connection liners. The rehabilitation technology the Schwalm robot performs is in a class all its own. The Schwalm cannot only per-form full-circle structural lateral and sectional repairs using the Stubby™ or Performance Liner® Sectional systems, but it can also install mul-tiples of these at the same time in the same line. This allows the robot,

Using this tool makes contractors truly multi-versed trenchless rehabilitation specialists. Apart from the many features of the robot itself and the countless benefits of installing the liners that work in seamless conjunction with it, the true appeal of this machine is in the versatility of the entire system. The system is even offered with a fully outfitted trailer to navigate you through those situations in the field, where you never know what you are going to need next. The Schwalm & Stubby Systems Trailer is the mobile rehabilitation shop designed by installers for installers. The trailer is equipped with a fully functional climate controlled office for pre and post inspection videos and remote robot operation. The trailer possesses the latest camera operating and recording technology featuring DVD burners and USB drives for machine-to-machine

integration. If the engineer appears on the job site, it is the perfect place to meet and view inspection videos to verify the installer’s success on the project. The work portion of the trailer in the back end offers a 12-foot workbench, providing plenty of space for preparing liners and robots for maintenance. The opposite side of the workbench provides ample storage space for parts, materials and resin kits. The back doors of the trailer are barn-style doors, offering the advantage of easy unloading and loading of personnel and equipment.

Schwalm & Stubby Rehabilitation Trailer System becomes New “It” tool for Rehabilitation Contractors Nationwide

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upon installation of these repairs, to disconnect from the air-inflated device and move on to the next repair location. As many as five complete lateral connection liners have been installed in just one day using the Schwalm and Stubby™system.

Schwalm Lateral Repair Packer

Truck Layout Top & Side View

The trailer boasts other features for added convenience to the installer, such as a crane for lifting the robots in and out of the sewer line as well as a 450-foot cable reel. The rear left of the trailer features a 25-gallon water tank to ensure the installer is fully prepared for any high pres-sure cleaning needed. It also houses a generator for all power needs. With this set-up, installers can now be better prepared than ever in the field, resulting in top-quality job execution.

The capabilities of the equipment are not the only noteworthy mention in the arsenal of the Schwalm system. Material known for its ability to renew the connection with a full-circle structural liner, LMK’s Stubby™ systems are often a preferred alternative to T-Liner®. In cases where the contractor needs to only rehabilitate the connections, doesn’t have access to a cleanout, or just needs an economical solution to sealing the services, LMK’s Stubby™ is a solution. The material is made of a glass-reinforced liner much stronger than a regular felt. Beyond the carrier for the resin, the resin itself is custom tailored to fit the needs of your installation. Whether it’s for warm or cold weather or more or less working time, LMK can tailor your installation to fit your needs, from polyester to an epoxy for a structur-al connection. LMK’s Stubby also features add-ons such as Insignia™ hydrophilic gaskets for a structural and water-tight connection that seals the main/ lateral connection and prevents inflow and infiltration from compromising the service. Stubby is offered in both a TEE and a WYE connection and can be installed in pipe sizes from 6-24 inches in diameter.

With the quality of the Stubby™ systems and the versatility of the Schwalm robots, it is possible to maintain a city’s infrastructure systems with one trailer system. The Schwalm can also do routine cutting and grinding, trimming lateral taps, reinstating services and fixing turn-backs in otherwise unsatisfactory liner installations. Both sizes of robots feature a self-cleaning full zoom camera lit by adjustable LEDs for high quality pre and post inspection video.

LMK offers this system to our installers to help them gain the most out of their time in the field. But with all of the possibilities provided by using this rehabilitation kit, one cannot help but be excited to unwrap their new system. Just remember what your parents told you when that familiar feeling hits; it is a tool, not a toy... but that doesn’t mean you can’t have fun with it anyway.

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Truck Layout Rear View

Schwalm Robots

Site Interview with Jeremiah Mettille:LMK Technical Crew Uses LMK Technology to the fullest and

Renews10 Lateral Connections with T-Liner® Shorty™ in under 48 Hours

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Earlier this summer one of the LMK T-Liner® crews were working on a sewer rehabilitation project in New Castle County, Delaware. One facet of this project included the renewal of more than 300 sewer service lateral connections and a continuous CIPP that extended up the lateral pipe with lengths up to 80+ feet. Cleanouts allowed the crew to efficiently clean and measure the lateral in preparation for the liner insertion.

Another facet of the project also included the renewal of 96 service lateral connections and a CIPP that extended 3-feet up the lateral pipe without the use of a cleanout. This technology is known as T-Liner® Shorty™, and just like the 80-foot long liners, the Shorty™ also includes a full circumference lining that extends 6-inches on each side of a 6-inch service opening. Both the standard and Shorty™ T-Liners were designed based on ASTM F1216 appendix X1 while the materials and installation practice conformed to ASTM F2561. The engineering required for building a structural liner for both the main connection and the lateral pipe is essential to obtaining a minimum design life, and having an engineered service life that meets the design life was just as important as the intent of the lining process was to not only renew the structural capacity of the lateral pipe, but also to form a leak-free lining for the lateral pipe and the main connection. This was accomplished by the inclusion of compression gaskets positioned at the service connection providing a flexible long-term seal that is compatible with all types of mainline linings. Regardless of the liner length, both the short and long liners were engineered to be comparable to that of new pipe. So what makes the crew’s success an interesting read? It really relates to the process combined with the conditions and the crew’s capabilities without ever stepping foot on a homeowner’s property. LMK has invested a major amount of time and money on research and development to create this revolutionary process that has led to a thorough understanding of the best installation methods and equipment for renewing a lateral connection and the first three feet of a lateral pipe.

The process, training and knowledge base of the crew on all of the intricacies associated with “Blind Shot Liners” is

an absolute for success. Being prepared to troubleshoot and manage unexpected circumstances while working in the field is priceless and with LMK’s extensive history in

renewing lateral pipes since 1993, we expect nothing less than a story that describes quality and success. In order

to set the stage for the crew’s site conditions, we bring you to New Castle County Delaware where the owner

demands nothing less than the best technology and materials available in their system along with a 10-year

warranty for the materials and workmanship of the renewed lateral pipes.

The engineering and inspection is under Arcadias Engineers. The conditions already sound a bit difficult for starters, but add to that the site locations where the

collection system is located in backyard easements. Well that’s not enough; the crew also had to bypass

pump more than 1,600-feet of the mainline pipe. The crew needed to be prepared for nothing less than

successful renewal of the main connection and several feet of the lateral pipe by performing all of the work

remotely from the main pipe. The crew had an expectation of 5 lateral renewals per day. The process

started by hydro jetting the lateral pipes from the main pipe.

T-Liner ® Shorty

The loaded launcher assembly was then placed into the mainline pipe where it is attached to the Schwalm robot and robotically positioned into place. Once the opera-tor had the launcher positioned properly, the assembly was pressurized with air. It then expanded the mainline full wrap portion against the host pipe and inverted the lateral portion into the lateral line without dropping pressure. The liner was allowed to cure and the bladder was removed, leaving a fully structural and watertight seal in the mainline to lateral connection. Nothing is perfect every time as much as we all would like to say it is. For the record, the LMK crew had a couple of installations that did not go as planned where the finished liner did not meet LMK or the engineer’s expectations. The good news is the crew was able to use robotic cutters to remove any unacceptable portion followed by a repair method that did meet both LMK and the engineer’s requirements.

The following is taken from an interview with crew leader Jeremiah Mettille as he explains his point of view on how the crew was successful using this cutting edge technology in difficult conditions.Q: What allowed your crew to be so effective in tough conditions?A: I would say the most important thing is the planning of the jobs. The preparation work and setting up jobs are really what makes it possible to run smoothly as a crew. When everyone has their own job and is running as a team, production and quality is always improved.For Jeremiah Mettille, preparation meant preliminary and intuitive site set-up. The process starts with ensuring that lines are cleaned and inspected by the engineer who is on site verifying the pipe is properly prepared for the liner. We must first obtain the engineer’s authorization before the liner is installed. In addition, we have to provide a 48-hour notice to the homeowners so the community is properly informed.

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This was accomplished by using the Schwalm Robot to robotically position a rotary cutter into the lateral pipe. Some of these laterals were completely impacted with tree roots, and this greatly added to the crew’s prep time. After the hydro jetting process, the crew inserted a state of the art lateral launch camera from IBAK outfitted with a pan/tilt camera and laser profiling. Many of these lateral pipes transition pipe diameters that ranged from 4” 5” and 6-inches and obtaining the correct size of the pipe allowed LMK Technologies to manufacture the appropriate matching liner. Once the pipe was prepped, the crew proceeded to saturate the liner assembly as described in ASTM F2561. With the liner assembled on an

air-inversion launching device, the Schwalm robot was used to transport the assembly through the main pipe to a point where the liner was aligned with the lateral

pipe opening. Air pressure was applied causing the liner and an inflation bladder to invert into the lateral pipe. The liners were cured at ambient temperatures which took an average of 2-hours. Just as soon as the liners where inserted into the lateral pipe, the Schwalm robot was robotically disconnected from the launching device. It was retried at a manhole and another liner was assembled on the launcher and inserted into an adjacent line, resulting in a sufficient number of installations while maintaining quality.

Site Interview with Jeremiah Mettille:LMK Technical Crew Uses LMK Technology to the

fullest and Renews10 Lateral Connections with T-Liner®

Shorty™ in under 48 Hours (Continued)

Once the lateral and mainline connections were thoroughly cleaned and prepped, the Shorty™ liner was prepared and placed onto a custom launcher.

Mainline Portion of Shorty Liner

Q: What was your biggest challenge on this job?A: The biggest challenge on this job was cleaning laterals compacted with roots, identifying the pipe diameter changes so we could order the right liner to match the pipe configuration, and the backyard access and bypass pumping. All the work was accomplished with no cleanouts available. We definitely understand the benefits of having a cleanout for future access, and it really makes lateral rehabilitation that much easier, but sometimes there are cases where a cleanout is not practical for whatever reason. In this case our Shorty™ system really shined. It allowed us to renew the lateral/main connection and extend up the lateral 3 feet. All of these liners incorporated the hydrophilic compression gas-kets as described in ASTM F2561. At the end of the day the quality of the work and the product installed depends quite a bit on the installation crew, especially on how the crew communicates, prepares, operates, and executes the job. I was

proud to be part of this project and this crew, and I understand that LMK provided a 10-year warranty on the product and workmanship for the owner.

Q: How has the equipment in particular helped you to be productive?A: You have to have proper planning in advance and proper equipment. Our crew bypassed three manholes at once to eliminate additional bypass set-ups. It really is a fine-tuned coordination of bypass pumping, cleaning, inspecting, jet-ting, installing, and traffic control whenever you’re in the streets. In this case, most [cleanouts] were in the backyards, which really exaggerated the difficulty factor of this proj-ect. We have many different length sections of bypass hose, which really helps with productivity and setting up the bypass. Our crew also utilizes the Schwalm robot for cleaning the lateral pipes and the IBAK lateral launch camera system for pre and post inspection and for ensuring the right size liner is being used for the right pipe diam-eter. What really helps is that the Schwalm robot allows us to dis-connect and install a second liner while the first one is curing. Sometimes we have to do a reverse set up due to mainline pipes that have obstructions preventing our lateral equipment from passing through. In some cases, the mainline pipe may be 8 inches in diameter, but due to existing conditions we use the small Schwalm robot designed for 6-inch pipe and it gets the job done.The crew includes Jeremiah Mettille and three others-Pete Dannenberg, Kyle Mucci and Brandon Stange. Jeremiah said one of the most important components is having a streamlined, highly trained team. Each technician has a specific position and responsibility. Typically there are two technicians positioned upstream where the robot control station is located. The other two are at the downstream manhole where a motorized hose reel and air compressor along with an inversion control rope reel is located. This inversion rope reel allows the technicians to control speed of inversion and pressure; but even a perfectly in-sync crew and great planning aren’t immune to challenging situations in the field.

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Site Interview with Jeremiah Mettille:LMK Technical Crew Uses LMK Technology

to the fullest and Renews10 Lateral Connections

with T-Liner® Shorty™ in under 48 Hours (Continued 2)

CIPP Before

CIPP After

I had to make sure everything was done right, we did a good job, and that our repair works

and can stand the test of time.

Has your crew completed a tough repair in the field?

We would like to hear about it!Send your stories to

Marketing@lmkenterprises.com and we may feature it in our next newsletter!