urban barns foods inc. investor outlook

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Urban Barns Foods Inc. Cubic Farming TM An Agricultural Evolution OTC QB – URBF 56,769,024 Issued & Outstanding

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Urban Barns is the next generation of agriculture. We use advanced farming methods to grow fruits and vegetables in a controlled indoor environment, and our crop yields are much greater than a traditional greenhouse. We plan to put an Urban Barn in every major urban centre, so that our food can be on the shelf within 48 hours of being picked, for an unprecedented level of freshness and quality. http://www.urbanbarns.com/lp1/

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Page 1: Urban Barns Foods Inc. Investor Outlook

Urban Barns Foods Inc.

Cubic FarmingTM

An Agricultural Evolution

OTC QB – URBF56,769,024 Issued & Outstanding

Page 2: Urban Barns Foods Inc. Investor Outlook

Worldwide Landscape:

•70% of our fresh water and 20% of our energy is used for agriculture that is recognized as being unsustainable•80% of the world's population will live in urban areas by 2050 •3 billion more people by mid-century •2 billion people currently lack food security

OTC QB – URBF56,769,024 Issued & Outstanding

Food security exists when all people, at all times, have physical, social and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preferences for an active and healthy life. - UN Food and Agriculture Organization

“We need the World Bank, the IMF, all the big foundations, and all the governments to admit that, for 30 years, we all blew it, including me when I was president. We were wrong to believe that food was like some other product in international trade, and we all have to go back to a more responsible and sustainable form of agriculture.”—Former U.S. president Bill Clinton, Speech at United Nations World Food Day, October 16, 2008

Page 3: Urban Barns Foods Inc. Investor Outlook

Urban Barns (URBF.QB) is building a network of specially equipped buildings (“Urban Barns”) with a combination of both patented and propriety growing machines and environment control technologies to grow fruit and vegetables. The technologies deployed allow produce to be grown with high yields and fast growth cycles in any location and in any climate.

The growing facilities will be located in close proximity to thedistribution warehouses of major retailers servicing densely populated urban communities, where fresh produce is in highest demand. Each Urban Barn requires production costs of little more than seedlings, factory over heads (FOH) and minimal labor.

This dramatically reduces shipping times and production costs, resulting in a superior freshness and affordable prices for the end consumer. By growing locally, Urban Barns can provide food security in any major urban center by supplying fresh produce 365 days offering a sustainable form of agriculture.

The URBF Solution

OTC QB – URBF56,769,024 Issued & Outstanding

Page 4: Urban Barns Foods Inc. Investor Outlook

URBF’s Cubic FarmingTM

OTC QB – URBF56,769,024 Issued & Outstanding

Page 5: Urban Barns Foods Inc. Investor Outlook

Picture 1; Patent Pending Single Stack URBF Cubic Farming Growing Machine. 3,000 plants per cycle.

Urban Barns FoodsPatent Pending Technology

OTC QB – URBF56,769,024 Issued & Outstanding

Page 6: Urban Barns Foods Inc. Investor Outlook

OTC QB – URBF56,769,024 Issued & Outstanding

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Outdoor farmers face challenges: � 20% of crop loss due to damage caused by repetitive machine

application of fertilizers and chemical agents

� 17% loss during harvesting, processing, and packaging

� 30% from Shipping through Consumer sales process

� URBF’s Cubic FarmingTM break through system has solved the 50% industry rate loss of produce due to spoilage during harvest, long haul shipping/transportation and inventory stages before and during retail sales.

URBF’s cubic farming spoilage rates are negligible.

Why Invest?Competitive Advantages

URBF Forecast Only – Please see Safe Harbor Statement at http://www.urbanbarns.com/lp1/statement.htm

Page 7: Urban Barns Foods Inc. Investor Outlook

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Can we grow more than just lettuce?

� We can grow� Herbs� Strawberries� Tomatoes� And much more…

However, as determined by sheer weight consumed*, lettuce is second only to potatoes and is tied with tomatoes, as the worlds most popular vegetable– the low hanging vegetable so to say = uncaptured market

(*source: USDA & Australian Farmers Association)

Yes We Can!

OTC QB – URBF56,769,024 Issued & Outstanding

Page 8: Urban Barns Foods Inc. Investor Outlook

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Lettuce consumptionOur Target Markets:

� How Much Do We Consume Now? � Average Annual per Capita Consumption

�9.18 Kg/ Person per Year (International Stat)�5.2 Kg/ Person per Year (Turkey)

� Average Weight per URBF Plant Grown� 140 g� 1,176,000 Kg- Annual Production per Barn

� Total Population Base supported from output per Barn� 225,000 People – 100% Usage

OTC QB – URBF56,769,024 Issued & Outstanding

Page 9: Urban Barns Foods Inc. Investor Outlook

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Lettuce Production Select Countries:

China 12,000,000 9,152 United States 5,105,980 16,484 Spain 1,070,000 23,816 Italy 850,078 14,456 India 790,000 728 Japan 560,000 4,420 France 471,000 7,696 Turkey 382,034 5,200 Mexico 275,000 988 Australia 185,000 8,892 T

otal

Ann

ual P

rodu

ctio

n in

Met

ric T

ons

Ann

ual P

er C

apita

C

onsu

mpt

ion

in G

ram

s

Source: United Nations Economic and Social Department, The Statistical Division, 2007

OTC QB – URBF56,769,024 Issued & Outstanding

Page 10: Urban Barns Foods Inc. Investor Outlook

Business ModelWhy Invest?

OTC QB – URBF56,769,024 Issued & Outstanding

Page 11: Urban Barns Foods Inc. Investor Outlook

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Food Safety & Security

Fig 1; Grown in URBF R&D Facility in Vancouver, British Columbia Canada August 2011. (32 days from seedling)

Food security is the ability of a population to have a supply of safe food at all times. A secure food supply requires food to be grown or imported on a continuous basis in large quantities.

Food security involves more than the actual quantity of food produced; if a population is isolated in a desert or on an island, a shutdown of a major road or port will threaten the population’s ability to access food.

Urban Barns grows locally making the food supply secure to the populace at all times.

OTC QB – URBF56,769,024 Issued & Outstanding

Page 12: Urban Barns Foods Inc. Investor Outlook

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� URBF’s patent pending cubic growing system allows us to grow produce within close proximity to consumers.

� Our growing systems function and produce throughout the four seasons of the year.

� URBF uses a fraction of space of traditional farms preferring to use discarded or abandoned warehouses. These spaces areinexpensive and plentiful in virtually all urban populated centers.

� Growing Cube can produce yields of 88 times that of conventionalindustrial farming per square foot of area with a 32 foot high ceiling or 66 times in a 24 foot high ceiling

Urban Barns FoodsCubic Farming satisfies urban demand

OTC QB – URBF56,769,024 Issued & Outstanding

Page 13: Urban Barns Foods Inc. Investor Outlook

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� URBF uses less than 10% of the water used in traditional farming

� URBF uses a fraction of the overall energy used in traditional farming

� URBF contributes far less greenhouse gases than land based farmsbecause of our shortened shipping cycle

� URBF virtually eliminates environmental damage from chemical run-off caused by traditional outdoor farming

Green lean technology leading to environmental sustainability and greater consumer loyalty.

URBF Forecast Only – Please see Safe Harbor Statement at http://www.urbanbarns.com/lp1/statement.htm

OTC QB – URBF56,769,024 Issued & Outstanding

Environmental Benefits

Page 14: Urban Barns Foods Inc. Investor Outlook

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Value Priced Premium Products

Consumer Benefits:

� Locally Grown = Traceability� No long distance shipping = High Nutrition

� No Use of Chemicals� No Fungicides� No Pesticides

� No Insecticides

� No Herbicides

OTC QB – URBF56,769,024 Issued & Outstanding

Cubic Farming Benefits

Page 15: Urban Barns Foods Inc. Investor Outlook

URBF Facilities

OTC QB – URBF56,769,024 Issued & Outstanding

Page 16: Urban Barns Foods Inc. Investor Outlook

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Machine Stack

8’ wide by40’ long by

24’ high

8,800+ Plantsper 35 days

88,500 Plants Per Year

Enough to feed2.650 people

their typical salad consumption

Three Height Stack- 24’ Roof height

Typical Configuration Would Equal 80 of These Units.

OTC QB – URBF56,769,024 Issued & Outstanding

Page 17: Urban Barns Foods Inc. Investor Outlook

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Typical URBF Facility~8.4 Million Plants per Year

Width 1 2 3 4 5 6 7 8 9 10Ft 8 8 4 8 4 8 4 8 4 8 4 8 4 8 4 8 4 8 4 8 8 8 8 4 8 4 8 4 8 8 8 8 8 8 8 8 8 8 8

840 1 2 3 4 5 6 7 8 9 10 N1 N2 N3

88

40 21 22 23 24 25 26 27 28 29 30

840 31 32 33 34 35 36 37 38 39 40

840 41 42 43 44 45 46 47 48 49 50

840 51 52 53 54 55 56 57 58 59 60

840 61 62 63 64 65 66 67 68 69 70

88

15 16 17 18 19 20

79 80

Mac

hine

& R

ow L

engt

h

1140 12 13 14

132' Wide by 392' Deep = 51,744 Sq Ft

40 Loading

Dock 4

272' Wide by 392' D

eep - Total C

ombined S

quare Foot

age 106,624

Drive In Coolers

10,000 Sq Feet

Packaging Machines

78 Loading

Dock 1

Loading

Dock 2

Loading

Dock 3

48'

32'

Office Space71 72 73 74 75 76 77

140' Wide by 392' Deep = 54,880 Sq Ft

Equipment Storage

8

Processing Machines

Waste & Composting Area

Forklift

Charging

Stations

Picture 2; Plant Design and Layout based on 105,000 Square Feet

OTC QB – URBF56,769,024 Issued & Outstanding

Page 18: Urban Barns Foods Inc. Investor Outlook

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Typical URBF FacilitySize, Configuration, and Output:

� 9,850 Square Meters (106,000 sq ft)

� Machines Stacked 3 high (7.5 meters or 24 ft)

� 35 Days per Growing Cycle� 10 Cycles Annually� 10.5 Direct Full-Time Equivalent Jobs� 24,000 plants Shipped per Day� Plants shipped per Year

OTC QB – URBF56,769,024 Issued & Outstanding

Page 19: Urban Barns Foods Inc. Investor Outlook

Financial ProjectionsUAE model

OTC QB – URBF56,769,024 Issued & Outstanding

Page 20: Urban Barns Foods Inc. Investor Outlook

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Financial ProjectionsRevenues and Earnings In the UAE.

URBF Forecast Only – Please see Safe Harbor Statement at http://www.urbanbarns.com/lp1/statement.htm

OTC QB – URBF56,769,024 Issued & Outstanding

� Target Annual Revenue per barn: $3,528,000� Target Earnings before EBITDA per barn: $2,010,960� United Arab Emirates Population: 8.3 Million� Annual Consumption per Capita 5.2Kg� Total Consumption 43.16 Million Kg� Annual Output per Urban Barn 1.2

Million Kg� Total Potential Urban Barns for 100% of UAE 40� Potential Annual Wholesale Revenue from 40 Barns $140 Million� Potential Annual EBITDA from 40 Barns $80

Million� EBITDA Percentage of Gross Revenue 57%

Page 21: Urban Barns Foods Inc. Investor Outlook

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Target Market Projections

�Worldwide Annual Wholesale Market Lettuce………………………… ~$75 Billion

Total Potential Worldwide Market for Barns: ………………………………….......~21,000+ �URBF 1% Target Market 210 Barn Network, built ove r 3 years

�Projected Gross Annual Operating Revenue :……………..…………………………~$735 Million�Projected Annual EBITDA: ..…………………………………..……………………….~$420 Million

OTC QB – URBF56,769,024 Issued & Outstanding

URBF Forecast Only – Please see Safe Harbor Statement at http://www.urbanbarns.com/lp1/statement.htm

If URBF CAPTURES ONLY 1% OF TOTAL TARGET MARKET:

Page 22: Urban Barns Foods Inc. Investor Outlook

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Summary Key Benefits Locally Grown:

� Water Savings� Fuel Savings (Shipping Reductions)� Improved Nutrition� No Chemicals� Local Jobs� Food Source Security� Food Source Safety� Traceability

Logistics supporting outdoor farming methods today are grossly inefficient.

OTC QB – URBF56,769,024 Issued & Outstanding

Page 23: Urban Barns Foods Inc. Investor Outlook

Management Highlights(See Complete Resume at http://www.urbanbarns.com/v 3/index.php?id=49)

� Mr. Daniel Meikleham, Calgary, Canada� 35+ Years, Business Management

� Former CFO & Senior Financial Advisor to Red Sea Housing� Saudi Exchange Symbol 4230 1+ Billion Market Cap

� Mr. Jacob (Jack) Benne, Vancouver, Canada� 40+ Years, Grower & Plant Propagator

� CEO & Chairman Bevo Farms – 24 years in business� TSX Venture Exchange Symbol BVO 15 million annual revenue

� Mr. Mark Hanson, London, England� 25+ Years Corporate Finance

� Former Deputy Chief Executive, Hong Kong Stock Exchange� HSBC, Saudi Hollandi Bank, etc

� Mr. Cesar Montilla Jr., San Juan, Puerto Rico� 35+ Years, Corporate Finance

� Former Chairman & CEO Clark Melvin Securities Corporation� Former Managing Director, Merrill Lynch

� Mr. Robyn Jackson, Calgary, Canada� 35+ Years, Transport & Distribution

� Former Chairman & CEO Robyn’s Trucking� 17 million in Revenues, long haul refrigerated trucking between Mexico & Canada

23 OTC QB – URBF56,769,024 Issued & Outstanding

Page 24: Urban Barns Foods Inc. Investor Outlook

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Contact Us

� Investor Relations� [email protected]

� Mr. Dan Meikleham Chairman of the Board � [email protected]

� Mr. Mark Hanson, VP Business Development� [email protected]

� Mr. Talal Thabet, Head of Middle East Investment� [email protected]

� Mr. Mazen Thabet, Head of Corporate Communication, GCC & MENA Region.� [email protected]

Suite 2107 | Level 21 | Concord Tower | Al Sufouh Road | POB 213217 Dubai | United Arab EmiratesT. +971 444 69 808 F. +971 444 69 870

www.urbanbarnsfoods.com

OTC QB – URBF56,769,024 Issued & Outstanding