Waterstone Master Deck / July 2010

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WaterstoneSmart 3D Geospatial Software

July 2010

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US Air Force — 13 Bases / $5M Contract Award

• DOD needed to make more accurate environmental science, management and tactical decisions — faster

• Highly-interactive Smart 3D Geospatial Software increases speed of cognition and decision-making

• Waterstone was contracted to virtualize 13 USAF bases in 3D during wartime in order to operate and manage facilities more efficiently.

• Waterstone built its reputation solving complex environmental issues with advanced data-modeling

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USAF manages Environmental Risks withWaterstone's Smart 3D Geospatial Software

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• Smart 3D Geospatial Software accesses all GIS layers and global coverage real time:

Geology / Vegetation / Surface Water / Flora / Soils / Faults / Energy Resources / Groundwater / Weather / Fauna / Facilities & Roads / Utilities / Endangered Species / Contaminant Plumes / Land Ownership / Emergency Response

• Delivers private and public data at any scale

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USAF manages Environmental Impacts of its operations on adjacent offsite housing

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• All documents geo-referenced and available with a click

• Documents and decisions archived for perpetuity

• Contract and contractor management tools

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• Communication, social networking, collaboration

• Automated report preparation and schedule features

• Highest security features

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USAF manages Environmental Impacts with accurate, real time risk analysis

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Waterstone granted 5 software patents in 2010

Triple-layered software architecture designed and implemented

Patents and Smart 3D Geospatial Software owned by Waterstone

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Software ArchitectureTriple-Layered Smart Architecture

Smart Core Platform

Smart Tools

Smart Interface (GUI)

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Our Earth — The Most Natural User Interface

The world's data, real time information, media feeds, social networks, and user-generated content are ‘scraped then draped' onto commercial or custom globes leveraging the natural, intuitive, human… 'power of where.'

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Big Market OpportunitiesWhere Smart 3D Geospatial Software Makes Money

1. Energy, Environmental, Business Intel

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2. Commercial 3D Websites2.1.

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2. Commercial 3D Websites

3. Themed .com Playgrounds

2.1.

3.

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1. Energy, Environmental, BI How Smart 3D Geospatial Software Makes Money

$75K - $1M /yr/clientCustom Software Solutions

Service Contracts

O&M Contracts

13 - 20% Net Profit

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1. Energy, Environmental, BI Markets

Environmental Protection

Renewable Energy

Clean Green Tech

Telecommunications

Transportation

Mining/Oil & Gas

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1. Energy, Environmental, BI On-Going Clients

Union Pacific Rail Road

Enviro Protection Agency

US Air Force

Global Cooperative Forum

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UPRR manages Environmental Risks with layered visualization

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UPRR manages Environmental Risks with operational impact assessments

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UPRR manages Environmental Risks with real-time ecological awareness

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Global Cooperative Forum

GCF/A-Sphere tracks global food shortageswith Waterstone's Smart 3D Geospatial Software

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1. Energy, Environmental, BI New Clients

Level 3

Tartoosh

Recovery.gov

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TelecommunicationsSmart 3D Tools layer video and data via a click on the landscape

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Recovery.govMaking Economic Recovery smarter at large and local scales by improving public accountability and transparency

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Commercial Investments BIShop international real estate markets virtually

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TransportationMonitor live traffic and weather conditions, emergency routes, major corridors, and alternative roads

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1. Energy, Environmental, BI Renewable Energy Customer Needs

Ampt

GeoEnergi

Natural Capitalism Solutions

Green Advantage

Main Street Power

EEMAP

NESCO

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Ampt

An engineering manufacturing company that has developed optimization technology for photo voltaic systems monitoring of system performance.

“Our market has been large corporations and governments. We see a way to expand our market and gain a competitive edge by displaying our system function visually. We want to meet quickly to see how we change our current software coding to include a 3D user dashboard developed with Waterstone.”

NewClient

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GeoEnergi

Provides clean energy to local communities and companies by constructing small-scale micro utilities producing geothermal energy for heating and cooling, utilizing wind or solar resulting in a true zero-emission concept. by charging for the future energy used for a fixed term, typically 10 years.

"Our product has been extremely successful in Europe and we could introduce it in the US with a clear visual dashboard that shows our system operation on a virtual landscape. We have never seen a better way than Smart 3D to demonstrate our systems capabilities."

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Educates senior decision-makers in small and large businesses, governments and civil society about the principles of sustainability, and then recovers that capital cost by charging for the future energy used for a fixed term, typically 10 years.

“The key words for us are ‘SUSTAINABILITY in 3D.’ We love your ability to show how communities work to create sustainable alternatives by visually presenting deep data about the business environment on the virtual globe. We see partnerships between Waterstone, Natural Capitalism Solutions and our non-profit funding sources.”

NewClient

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Smart Energy Management Tools help environmental assessment decision makers and stake holders

Energy Management Tool can be re-skinned for many renewable projects and industries

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Green Advantage

Developing a certification program for contractors involved in remodeling for energy efficiency to upgrade contractor skills and talents.

"Infrared fly-overs and other energy audits provide leads for us to sell to construction companies. If we could display this data on a visual platform and include training for the industry, we greatly enhance our entire business model.”

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Develops tools and training programs for energy audits of homes and small business.

“We can show big box retailers an intuitive easy way to sell to homeowners by displaying data from home energy audits on 3D virtual homes. We will provide an interactive visually exciting way to display this information and promote their products using kiosks in their stores. We will help them sell energy efficient products in a way that makes cost sense to their customers.”

EEMAP

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NESCO

Creates community energy plans for public entities and large private industry. Enables financing, provides technical design and project manages local vendors during construction.

“We need a way to clearly demonstrate energy plans for communities by showing data overlaid on the actual streets and buildings. This will enable decision-makers in government to better understand our audit tools, training programs and funding options.”

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Main Street Power

Provides funding and management for public sector and non-profit entities for sustainability through the deployment of solar energy. Management of engineering, procurement, construction, and power output for all its solar installations.

“The available technology is not visually intuitive and does not display energy system data on solar developments. We want a turnkey system that is a visual learning and educational tool for us to include in our proposals to schools and government. With your platform we can show mayors of cities, planners and budget departments a way to manage solar energy data with their own city on display. We think you could take enormous market share away from companies like Fat Spaniel, who want to charge us $250,000 for a flat user interface.”

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1. Energy, Environmental, BI 6 Month Funding Ask

$100K forSales and Marketing

Generates $1M new contracts1.

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2. Commercial 3D Websites How Smart 3D Geospatial Software Makes Money

$10K - $250K /yr/clientTemplate Software Solutions

Custom Upgrades

Sponsorship/Ad Revenue Share

Advertise on Landscape

20 - 40% Net Profit

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2. Commercial 3D Websites Markets

Sports

Charities

Travel

Real Estate

Healthcare

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2. Commercial 3D Websit3 Google Endorsement

“The best application of Google Earth we have ever seen.”

B. Polderman VP, Director of 3D modeling, Google Earth, 2010

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2. Commercial 3D Websites Google Partnership

Google Earth provides high- resolution satellite imagery and 3D modeling at no cost to Waterstone in a unique partnership.

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2. Commercial 3D Websites New Clients and Prospects

PGA Tour

Sports Illustrated

US Equestrian Federation

American Tennis Professionals

US Olympic Committee

Tour de France

Virgin

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PGA Tour

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Creates a rich and immersive golfing experience, a new way to advertise, and a 3D web interface for live events

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Sports Illustrated / Golf.com

Waterstone’s sports division – EarthgamZ – provides 3D fly-throughs of the Top 100 Golf Courses in the US

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US Equestrian Federation

USEF dynamically engages its memberswith Waterstone's Smart 3D Geospatial Software

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Tour de France

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Versus combines the power of place with racing passion using Waterstone's Smart 3D Geospatial Software

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Global CharitiesA site that personalizes smart global giving

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Real EstateSmart 3D landscapes reveal all real estate property datain context with key local information at your fingertips

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2010 Winter OlympicsSmart 3D is dramatically being there, connecting to people and place

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VirginVirgin makes the world's Extreme Festivals vivid with the reality of where and what it's about

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2. Commercial 3D Websites 6 Month Funding Ask

$100K forTemplate Development

Tools Development

Marketing Demos

Generates $1M in new business

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3. Themed .com Playgrounds How Smart 3D Geospatial Software Makes Money

$8M Avg Y4 Revenue

Advertising on the landscape

Licensing, revenue share

e-comm, merchandising

Sponsors

Subscriptions

Mobile Apps

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3. Themed .com Playgrounds

EarthgamZ.com global and local sports

EarthNews.com world and local news

CitiesIn3D.com global 3D marketplace

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EarthgamZ.comEarthgamZ is the first one-stop-shop web application to show information such as teams, players and events on a Smart 3D landscape.

This realization of Web 3.0 unites the most fundamental aspects of human behavior— geography (a sense of place), the need for social interaction, a passion and interest in a specific sport or team, and the excitement of purchasing around that passion.

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EarthgamZ.comBy combining a Smart 3D virtual globe with sports and a social network, EarthgamZ creates an immersive online experience of being as close as possible to being there live.

EarthgamZ displays and organizes public, personal, and live content, social networking, location-aware devices, and self posting of local teams and players — as well as relevant e-commerce for major sports activities on the Earth.

Viral trading cards and other games promote playful interaction and competition around the world.

EarthgamZ.com connects people to their passion of sports — through the power of place.

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EarthGamZ.com

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EarthNews.com is a next generation news network. EarthNews aggregates all of the worlds news, sports and entertainment on a Smart 3D virtual earth. The user navigates to news and stories by place — unlike any other news site.

EarthNews.com

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EarthNews.com

Top news is pinpointed on the globe enhanced by HD video, high resolution pictures and compelling text.

Global, national and local news populates on the globe based on the level of zoom.

Headline news is presented in its native format resulting in reduced production costs unlike competition.

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EarthNews.com

Content includes general world news, business, sports, arts, technology and environment etc.

The user can choose any news topic to create their own personal globe (e.g. sports, arts, travel pages).

Users can upload their own video and pics from live events on the ground without the distraction of traditional network commentary.

EarthNews will meet the social demands of all generations.

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CitiesIn3D.com

An revenue generating machine for Waterstone and for our customers, CitiesIn3D leverages the relationships of cities with the businesses in those cities to generate large viewership and income from a new way to advertise.

“This could be the greatest economic development tool I have ever seen. The Chamber would promote this site to all of our members and create advertising partnerships to fund it if we could brand it as a Chamber partnership with Waterstone” Susan Graf President Boulder Chamber of Commerce

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Zoom around any city on earth and learn all you need to know about any place in that city by clicking on WHAT YOU SEE:

• Real estate — including homes, buildings and neighborhoods in context with the surroundings (location, location location the motto of all realtors).

• Businesses — including descriptions, year founded, employment opportunities

• Sports venues, hiking trails, bike paths

CitiesIn3D.com

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CitiesIn3D.com

• Non profits, local governments, schools and universities

• Energy, sustainability, transportation, water and environmental impacts

• Health care facilities and services, retail, arts and entertainment

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Content rich city sites organized and displayed with deep data, news, user generated content, photography, video, social media, and 3D imagery all available with a click on any place.

CitiesIn3D.com

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3. Themed .com Playgrounds 6 Month Funding Ask

$100K for EarthNews.com

Website Launch

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Total 6 Month Funding Ask

$100KGenerates $1M Energy, Environ, BI Sales

$100KLaunch EarthNews.com

$100KCommercial Website and Marketing Tools completedGenerates $1M sales3.

1.2.

$ 300K for 1, 2, 3

$ 200K for Staff/OH

$ 500K Total

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Waterstone

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Place Matters

Waterstone Master Deck / July 2010

Technology

environmental risks

contract award smart

environmental impacts

d geospatial software3

d geospatial software21

d geospatial softwarejuly

us air force

waterstone smart