DV Inspection Systems

8/6/2019 DV Inspection Systems

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Presented by:

Gary Rutledge, CEO

Garrut Manufacturing Corporation


2/21

What We Do

Design & Build Video Inspection Equipment

Provide Means for Seeing into the Unknown

Take the Guesswork out of the Water Well Industry

Save Firms Money, with Knowledge

Enable Decisions Based upon Facts


3/21

Mission

To Manufacture and Market Video Inspection Equipment

To Introduce a Truly Portable Model

To Price This Model at a level, to Enhance Availability to Drillers

To Create a Branded Identity (in a Market of Unbranded Manufacturers)


4/21

Most Important Commodity

In The World

75% of U.S. Cities Depend upon Groundwater

More than of all Americans rely on Groundwater

95% of all Rural Residents rely on Groundwater

AS THEIR PRIMARY SOURCE OF DRINKING WATER

2 Most Important Segments (Consumption & Irrigation)

Covers 97% of Useable Fresh Water Supply


5/21

22,892

18,068 17,47716,100 15,972

0

5,000

10,000

15,000

20,000

25,000

Wisc

onsin

NewYo

rk

Penn

sylvania

Indiana

N.Caroli

na

Source: U.S. EPA 1997

Public Supply Wellsin place

Top 5 States


6/21

122,000

80,00071,554

59,150

37,300

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

Texas Nebraska California Florida rkansas

Sour e: U S Farm Census 1994

Irrigation Wellsin Place

Top 5 States


7/21

Market

Several Hundred Year Old Market SegmentCamera Aided Mining only 50 Years Old

Increased Need due to Water Demand and Regulations

Miniature Video Technology has become Practical

Business Increases due to Immediate Feedback

Technology Provides a Competitive Advantage

Customers: Well Drillers, Contractors, Pump Setters, Work overServices, Municipalities & Commercial Farm Operations

Virtually Untapped Market


8/21

Ho sehold Irrigation P blic pply Co nity pply

Total wells in use 15,923,217

o rce: ational Gro nd ater Association

Market size

U.S. Water Wellsin Place - by End Use


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US* ForeignDrillers, pump setters, service

companies and commercial 12,000

10,000

farming

Municipalities and communitySupply systems ** 18,000 15,000

Total 30,000 25,000

*Includes Canada and Mexico **Largest of 200,000 publicsystems

Prospective

Number of Customers


10/21

Un-tapped markets

U.S Environmental Industry: Groundwater Protection

International Water Industry

Oil & Gas Industry

Pipelines, Tanks & Sewer Systems


11/21

Other Markets

Construction Sites

Plant Facilities

Equipment Trouble Shooting

Electrical & Plumbing Systems

Remote Monitoring

Inspection of Hazardous Areas

Underwater Construction

Various Consumer Applications


12/21

Product Development

Development Began 1997

First Units Shipped to Gould's Pumps, Inc.

100 Units sold Under Blue Vision Name

Designed New System: ViewMaster I

ViewMaster II in Early Design Stages


13/21

Viewmaster I


14/21

OEM Price End User PriceViewmaster ITwo CCD camera head $ 13,500 $ 18,500

Fiber optic cableDepth 1200 feet9" TV/VCR

Viewmaster II

Four CCD camera head $ 17,500 $ 22,500Converging image softwareFiber optic cableDepth 2500 feet9" TV/VCR or optional Remote Eyeglass Display

Product Specifications


15/21

Distribution Strategy

OEM Distributors (Bulk Purchases: Sales by their Team)

Independent Distributors (Smaller Purchases: Their Sales Force)

Manufacturer Representatives (Contract Marketing & Sales)

Direct Sales (From Us to End User)


16/21

Sales Strategy

Industry Tradeshows

Advertising: Publications & Journals

Promotion: Brochures, Product Sheets, Testimonials

Distributors Sales Programs

Financing Programs

Service & Maintenance Programs

Warranty Agreements

Training

Upgrades & Sales Assistance


17/21

United States MARKET (30,000)

CONV

ERSIONU

NITS DV

% SALES 5 YEARPERCENTAGE SOLD OF MARKET PER YEAR TOTAL

10% 3,000 25% 150 75015% 4,500 25% 225 1,12520% 6,000 25% 300 1,500

SalesProjections: US Market


18/21

Competition

GEO VISION LAVAL CVV CUES VM 1 VM 2

$18,650 $39, 000 $32,000 $49,000 $18,500 $22,750

Plastic HighCoaxialCable

S.Steel, High

PressureHousing

Coax Cable

S.Steel, High

PressureHousing

Coax Cable

Glass Dome

S.SteelHousing

Coax Cable

S.Steel, HighPressureHousingFiber OpticCable

S.Steel, HighPressureHousing

Fiber OpticCable

Optional SideView Mirror

Down Viewand 360Side View

Down Viewand 360Side View

HemisphereView

Down Viewand 360Side View -

Flat Lens

Down View,Multiple SideViews, 3-5x

Larger Image

1100 ft 1500 ft 1500 ft 1000 ft 1200 ft 2500 ft

4 LCD/8mm 9 VHS/VCR 9 VHS/VCR 9 VHS/VCR 9 TV/VCR 9 TV/VCROption:RemoteEyeglass

Display


19/21

Management & advisoryboard

MANAGEMENT

Founder & CEO: 30 Years of Experience

Operations: 20 years of Experience

Contract Engineer #1> 30 Years of Experience



ADVISORY

Legal, Financial, Administrative, Hi-Tech, Industryand Support Services to Complement the ManagementTeam.


20/21

723,000

1,450,000

2,173,000

2,900,000

3,623,000

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

2001 2002 2003 2004 2005

Projected

Revenue Growth


21/21

54,349

360,513

691,694

1,004,257

1,346,310

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

2001 2002 2003 2004 2005

Projected

net Income Growth

Documents

DV Inspection Systems