Assumptions:

Plant Tonnage
Number of Chillers
Start-up Fee / Plant
Quarterly Fixed Fee
Quarterly / Ton Fee
% Needing Equipment
Equipment Charge / Chiller
Attrition Rate

4,000
4
$15,000
$1,500
$0.75
40%
$25,500
25% On EffTec Lite and Engineered Sol

Refrigerant Sales
Plant Assesment %
Assesment Charge
Chemistry Test %
Chemestry Test Charge
Refrigerant Services
Refrigerant Services revenue
Small Plant Size %
Small Plant Frequency %

$1,500
15%
$12,000
30%
$600
15%
$10,000
50%
30%

Plants per Entry Engineer

Entry Engineer Annual Wage
Entry Eng. per Advanced Engineer
Annual Assesments per Advanced Eng.
Advanced Engineer Annual Wage
Benefits %

30
$65,000
4
15
$90,000
25%

Equipment Cost / Chiller

Chemestry Test Cost
Refrigerant % Cost
Plant Assesment Cost
Refrigerant Services Cost
Commission Cost Upfront %
Commission Cost Ongoing %
Channel Manager Cost
Plants per Channel Manager
Customer Initiation
Retention Bonus Pool
Fall Back Sales

Annual Amount per Plant

Per Year for larger systems
Done Quarterly
Per Year for larger systems

$9,500
$200
70%
8 Days of Advanced Engineer
50%
15%
7%
$80,000
40
$4,000
2%
20%

Customer Assumptions:
Price per kwh
Starting kw/ton
Starting Utilization
Savings Assumption
Roll Out Assumptions:

e and Engineered Solutions, two years no attrition on full EffTec

unt per Plant

arger systems

arger systems

nced Engineer

Closing % s
Recurring Fee Model
Fall Back Sales
Ongoing ChillSmart

20%
15%
15%

EffTec Stand Alone

Single Plant Proforma
QTR 1
Attrition Adjustment

Revenues
Upfront
Setup Fee

$102,000
$-

Total Upfront Revenues

$102,000

Ongoing
Quarterly Fixed Fee
Quarterly Tonnage Fee

Total Recurring Revenues

Total Revenues

$-

$1,500
$3,000

$$102,000

Costs
Upfront
Initiation
Commissions
Channel Manager

$38,800
$4,000
$15,300
$2,500

Total Upfront Costs

$60,600

Ongoing
Engineering Analysis
Commissions + Retention
Total Ongoing Costs

QTR 2
100%

$4,500
$4,500

$-

$1,302
$405
$-

$1,707

Total Costs

$60,600

$1,707

Company Perspective
Margin Upfront
Margin % Upfront
Margin Ongoing

$41,400
40.6%
$-

$#DIV/0!
$2,793

Margin % Ongoing
Total Margin
Total % Margin

#DIV/0!
$41,400
40.6%

10%

$148,858
$70,482
$65,063

62.1%
$2,793
62.1%

14400
0.524
7545.6
25830
33375.6
16.6878

QTR 3
100%

QTR 4
100%

QTR 5
100%

QTR 6
100%

QTR 7
100%

QTR 8
100%

QTR 9
94%

$-

$-

$-

$-

$-

$-

$-

$1,500
$3,000

$1,500
$3,000

$1,500
$3,000

$1,500
$3,000

$1,500
$3,000

$1,500
$3,000

$1,406
$2,813

$4,500

$4,500

$4,500

$4,500

$4,500

$4,500

$4,219

$4,500

$4,500

$4,500

$4,500

$4,500

$4,500

$4,219

$-

$-

$-

$-

$-

$-

$-

$1,302
$405

$1,302
$405

$1,302
$405

$1,302
$405

$1,302
$405

$1,302
$405

$1,221
$380

$1,707

$1,707

$1,707

$1,707

$1,707

$1,707

$1,600

$1,707

$1,707

$1,707

$1,707

$1,707

$1,707

$1,600

$#DIV/0!
$2,793

$#DIV/0!
$2,793

$#DIV/0!
$2,793

$#DIV/0!
$2,793

$#DIV/0!
$2,793

$#DIV/0!
$2,793

$#DIV/0!
$2,618

62.1%
$2,793
62.1%

62.1%
$2,793
62.1%

$64,800
37.9%
24582
60600
85182
10.64775

62.1%
$2,793
62.1%

62.1%
$2,793
62.1%

62.1%
$2,793
62.1%

62.1%
$2,793
62.1%

62.1%
$2,618
62.1%

QTR 10
88%

$-

QTR 11
82%

$-

QTR 12
77%

$-

$1,318
$2,637

$1,236
$2,472

$1,159
$2,317

$3,955

$3,708

$3,476

$3,955

$3,708

$3,476

$-

$-

$-

$1,144
$356

$1,073
$334

$1,006
$313

$1,500

$1,407

$1,319

$1,500

$1,407

$1,319

$#DIV/0!
$2,455

$#DIV/0!
$2,301

$#DIV/0!
$2,157

62.1%
$2,455
62.1%

62.1%
$2,301
62.1%

62.1%
$2,157
62.1%

EffTec Lite
Single Plant Proforma
Attrition Adjustment

100%

Revenues
Upfront
Setup Fee

$15,000

Total Upfront Revenues

$15,000

Ongoing
Quarterly Fixed Fee
Quarterly Tonnage Fee

Total Recurring Revenues

Total Revenues

$1,500
$3,000

$$15,000

Costs
Upfront
Initiation
Commissions
Channel Manager

$4,000
$2,250
$2,500

Total Upfront Costs

$8,750

Ongoing
Engineering Analysis
Commissions
Total Ongoing Costs

$-

$4,500
$4,500

$-

$1,302
$405
$-

$1,707

Total Costs

$8,750

$1,707

Company Perspective
Margin Upfront
Margin % Upfront
Margin Ongoing

$6,250
41.7%
$-

$#DIV/0!
$2,793

Margin % Ongoing
Total Margin
Total % Margin

Cost of Capital

Total Revenues
Total Margins
NPV of Cash Flows

#DIV/0!
$6,250
41.7%

10%
EffTec
Lite
Small Plant
$148,858
$51,599
$45,251
$70,482
$28,965
$22,786
$65,063
$25,569
$20,683

62.1%
$2,793
62.1%

94%

88%

82%

77%

72%

68%

64%

60%

$-

$-

$-

$-

$-

$-

$-

$-

$1,406
$2,813

$1,318
$2,637

$1,236
$2,472

$1,159
$2,317

$1,086
$2,173

$1,018
$2,037

$955
$1,910

$895
$1,790

$4,219

$3,955

$3,708

$3,476

$3,259

$3,055

$2,864

$2,685

$4,219

$3,955

$3,708

$3,476

$3,259

$3,055

$2,864

$2,685

$-

$-

$-

$-

$-

$-

$-

$-

$1,221
$380

$1,144
$356

$1,073
$334

$1,006
$313

$943
$293

$884
$275

$829
$258

$777
$242

$1,600

$1,500

$1,407

$1,319

$1,236

$1,159

$1,087

$1,019

$1,600

$1,500

$1,407

$1,319

$1,236

$1,159

$1,087

$1,019

$#DIV/0!
$2,618

$#DIV/0!
$2,455

$#DIV/0!
$2,301

$#DIV/0!
$2,157

$#DIV/0!
$2,023

$#DIV/0!
$1,896

$#DIV/0!
$1,778

$#DIV/0!
$1,667

62.1%
$2,618
62.1%

62.1%
$2,455
62.1%

62.1%
$2,301
62.1%

62.1%
$2,157
62.1%

62.1%
$2,023
62.1%

62.1%
$1,896
62.1%

62.1%
$1,778
62.1%

62.1%
$1,667
62.1%

56%

52%

$-

$-

$839
$1,678

$787
$1,573

$2,517

$2,360

$2,517

$2,360

$-

$-

$728
$227

$683
$212

$955

$895

$955

$895

$#DIV/0!
$1,562

$#DIV/0!
$1,465

62.1%
$1,562
62.1%

62.1%
$1,465
62.1%

Combination of Hudson and EffTec

Single Plant Proforma
QTR 1
Attrition Adjustment

Revenues
Upfront
Setup Fee
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services
Total Upfront Revenues
Ongoing
Quarterly Fixed Fee
Quarterly Tonnage Fee

Total Recurring Revenues

Total Revenues

Costs
Upfront
Initiation
Commissions
Channel Manager
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services

Total Upfront Costs

Ongoing
Engineering Analysis
Commissions + Retention
Total Ongoing Costs

QTR 2
100%

$40,800
$9,000

$$$1,500
$450
$720
$375

$49,800

$3,045

$$-

$1,500
$3,000

$-

$4,500

$49,800

$15,520
$4,000
$7,470
$2,500

$7,545

$213
$1,050
$141
$240
$188

$29,490

$1,831

$$-

$1,302
$405

$-

$1,707

Total Costs

$29,490

$3,538

Company Perspective
Margin Upfront
Margin % Upfront
Margin Ongoing
Margin % Ongoing
Total Margin
Total % Margin

$20,310
40.8%
$#DIV/0!
$20,310
40.8%

$1,214
39.9%
$2,793
62.1%
$4,007
53.1%

$20,310
$-

$2,793
$1,214

10%

$27,542
$10,978
$9,366

QTR 3
96%

QTR 4
93%

QTR 5
89%

QTR 6
86%

QTR 7
83%

QTR 8
81%

QTR 9
76%

QTR 10
71%

$$$1,444
$433
$693
$361

$$$1,391
$417
$668
$348

$$$1,342
$402
$644
$335

$$$1,295
$389
$622
$324

$$$1,252
$376
$601
$313

$$$1,211
$363
$581
$303

$$$1,135
$341
$545
$284

$$$1,064
$319
$511
$266

$2,931

$2,824

$2,723

$2,629

$2,541

$2,458

$2,305

$2,161

$1,444
$2,888

$1,391
$2,782

$1,342
$2,683

$1,295
$2,590

$1,252
$2,504

$1,211
$2,422

$1,135
$2,271

$1,064
$2,129

$4,331

$4,173

$4,025

$3,886

$3,755

$3,633

$3,406

$3,193

$7,262

$6,997

$6,748

$6,515

$6,296

$6,092

$5,711

$5,354

$205

$198

$191

$184

$178

$172

$161

$151

$1,011
$135
$231
$180

$974
$130
$223
$174

$939
$126
$215
$168

$907
$121
$207
$162

$876
$117
$200
$156

$848
$114
$194
$151

$795
$106
$182
$142

$745
$100
$170
$133

$1,763

$1,698

$1,638

$1,581

$1,528

$1,478

$1,386

$1,299

$1,253
$390

$1,207
$376

$1,165
$362

$1,124
$350

$1,087
$338

$1,051
$327

$986
$307

$924
$287

$1,643

$1,583

$1,527

$1,474

$1,425

$1,378

$1,292

$1,211

$3,406

$3,281

$3,165

$3,055

$2,953

$2,857

$2,678

$2,511

$1,168
39.9%
$2,688
62.1%
$3,856
53.1%

$1,126
39.9%
$2,590
62.1%
$3,716
53.1%

$1,086
39.9%
$2,498
62.1%
$3,583
53.1%

$1,048
39.9%
$2,412
62.1%
$3,460
53.1%

$1,013
39.9%
$2,331
62.1%
$3,344
53.1%

$980
39.9%
$2,255
62.1%
$3,235
53.1%

$919
39.9%
$2,114
62.1%
$3,033
53.1%

$861
39.9%
$1,982
62.1%
$2,843
53.1%

$2,688
$1,168

$2,590
$1,126

$2,498
$1,086

$2,412
$1,048

$2,331
$1,013

$2,255
$980

$2,114
$919

$1,982
$861

QTR 11
67%

QTR 12
62%

$$$998
$299
$479
$249

$$$936
$281
$449
$234

$2,026

$1,899

$998
$1,996

$936
$1,871

$2,994

$2,807

$5,019

$4,706

$142

$133

$699
$94
$160
$125

$655
$88
$150
$117

$1,218

$1,142

$866
$269

$812
$253

$1,136

$1,065

$2,354

$2,207

$807
39.9%
$1,858
62.1%
$2,665
53.1%

$757
39.9%
$1,742
62.1%
$2,499
53.1%

$1,858
$807

$1,742
$757

Combination of Hudson and EffTec

Single Plant Fall Back Proforma
QTR 1
Attrition Adjustment

Revenues
Upfront
Setup Fee
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services
Total Upfront Revenues

QTR 2
100%

$1,500
$450
$720
$375
$-

$3,045

Ongoing
Quarterly Fixed Fee
Quarterly Tonnage Fee

Total Recurring Revenues

$-

Total Revenues

$-

Costs
Upfront
Initiation
Commissions
Channel Manager
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services

Total Upfront Costs

$$3,045

$213
$1,050
$141
$240
$188

$-

$1,831

Ongoing
Engineering Analysis
Commissions + Retention
Total Ongoing Costs

$-

$-

Total Costs
Company Perspective
Margin Upfront
Margin % Upfront
Margin Ongoing
Margin % Ongoing
Total Margin
Total % Margin

$-

$#DIV/0!
$#DIV/0!
$#DIV/0!

$1,831

$1,214
39.9%
$#DIV/0!
$1,214
39.9%

QTR 3
94%

QTR 4
88%

QTR 5
82%

QTR 6
77%

QTR 7
72%

QTR 8
68%

QTR 9
64%

QTR 10
60%

$1,406
$422
$675
$352

$1,318
$396
$633
$330

$1,236
$371
$593
$309

$1,159
$348
$556
$290

$1,086
$326
$521
$272

$1,018
$306
$489
$255

$955
$286
$458
$239

$895
$269
$430
$224

$2,855

$2,676

$2,509

$2,352

$2,205

$2,067

$1,938

$1,817

$-

$-

$-

$-

$-

$-

$-

$-

$2,855

$2,676

$2,509

$2,352

$2,205

$2,067

$1,938

$1,817

$200

$187

$176

$165

$154

$145

$136

$127

$984
$135
$231
$180

$923
$130
$223
$174

$865
$126
$215
$168

$811
$121
$207
$162

$760
$117
$200
$156

$713
$114
$194
$151

$668
$106
$182
$142

$627
$100
$170
$133

$1,731

$1,637

$1,549

$1,466

$1,389

$1,316

$1,234

$1,157

$-

$-

$-

$-

$-

$-

$-

$-

$1,731

$1,637

$1,549

$1,466

$1,389

$1,316

$1,234

$1,157

$1,124
39.4%
$#DIV/0!
$1,124
39.4%

$1,039
38.8%
$#DIV/0!
$1,039
38.8%

$960
38.3%
$#DIV/0!
$960
38.3%

$886
37.7%
$#DIV/0!
$886
37.7%

$816
37.0%
$#DIV/0!
$816
37.0%

$751
36.3%
$#DIV/0!
$751
36.3%

$704
36.3%
$#DIV/0!
$704
36.3%

$660
36.3%
$#DIV/0!
$660
36.3%

QTR 11
56%

QTR 12
52%

$839
$252
$403
$210

$787
$236
$378
$197

$1,703

$1,597

$-

$-

$1,703

$1,597

$119

$112

$587
$94
$160
$125

$551
$88
$150
$117

$1,085

$1,017

$-

$-

$1,085

$1,017

$619
36.3%
$#DIV/0!
$619
36.3%

$580
36.3%
$#DIV/0!
$580
36.3%

Combination of Hudson and EffTec

Small Plant Proforma
QTR 1
Attrition Adjustment

Revenues
Upfront
Setup Fee
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services
Total Upfront Revenues
Ongoing
Quarterly Fixed Fee
Quarterly Tonnage Fee

Total Recurring Revenues

Total Revenues

Costs
Upfront
Initiation
Commissions
Channel Manager
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services

Total Upfront Costs

Ongoing
Engineering Analysis
Commissions + Retention
Total Ongoing Costs

QTR 2
100%

$20,400
$4,500

$$$750
$225
$360
$188

$24,900

$1,523

$$-

$750
$1,500

$-

$2,250

$24,900

$7,760
$2,000
$3,735
$1,250

$3,773

$107
$525
$70
$120
$94

$14,745

$916

$$-

$651
$203

$-

$854

Total Costs

$14,745

$1,769

Company Perspective
Margin Upfront
Margin % Upfront
Margin Ongoing
Margin % Ongoing
Total Margin
Total % Margin

$10,155
40.8%
$#DIV/0!
$10,155
40.8%

$607
39.9%
$1,396
62.1%
$2,003
53.1%

$10,155

$1,396

10%

$45,251
$22,786
$20,683

QTR 3
96%

QTR 4
93%

QTR 5
89%

QTR 6
86%

QTR 7
83%

QTR 8
81%

QTR 9
76%

QTR 10
71%

$$$722
$217
$347
$180

$$$696
$209
$334
$174

$$$671
$201
$322
$168

$$$648
$194
$311
$162

$$$626
$188
$300
$156

$$$606
$182
$291
$151

$$$568
$170
$272
$142

$$$532
$160
$255
$133

$1,465

$1,412

$1,362

$1,315

$1,271

$1,229

$1,152

$1,080

$722
$1,444

$696
$1,391

$671
$1,342

$648
$1,295

$626
$1,252

$606
$1,211

$568
$1,135

$532
$1,064

$2,166

$2,087

$2,012

$1,943

$1,878

$1,817

$1,703

$1,597

$3,631

$3,498

$3,374

$3,257

$3,148

$3,046

$2,855

$2,677

$103

$99

$95

$92

$89

$86

$81

$76

$505
$68
$116
$90

$487
$65
$111
$87

$470
$63
$107
$84

$453
$61
$104
$81

$438
$59
$100
$78

$424
$57
$97
$76

$397
$53
$91
$71

$373
$50
$85
$67

$881

$849

$819

$791

$764

$739

$693

$650

$627
$195

$604
$188

$582
$181

$562
$175

$543
$169

$526
$163

$493
$153

$462
$144

$822

$792

$763

$737

$712

$689

$646

$606

$1,703

$1,641

$1,582

$1,528

$1,476

$1,428

$1,339

$1,255

$584
39.9%
$1,344
62.1%
$1,928
53.1%

$563
39.9%
$1,295
62.1%
$1,858
53.1%

$543
39.9%
$1,249
62.1%
$1,792
53.1%

$524
39.9%
$1,206
62.1%
$1,730
53.1%

$506
39.9%
$1,165
62.1%
$1,672
53.1%

$490
39.9%
$1,127
62.1%
$1,617
53.1%

$459
39.9%
$1,057
62.1%
$1,516
53.1%

$431
39.9%
$991
62.1%
$1,422
53.1%

$1,344

$1,295

$1,249

$1,206

$1,165

$1,127

$1,057

$991

QTR 11
67%

QTR 12
62%

$$$499
$150
$239
$125

$$$468
$140
$225
$117

$1,013

$950

$499
$998

$468
$936

$1,497

$1,403

$2,510

$2,353

$71

$66

$349
$47
$80
$62

$327
$44
$75
$58

$609

$571

$433
$135

$406
$126

$568

$532

$1,177

$1,103

$404
39.9%
$929
62.1%
$1,333
53.1%

$378
39.9%
$871
62.1%
$1,249
53.1%

$929

$871

Combination of Hudson and EffTec

One Channel Mgr Proforma
Distributors
Sales Calls
Single Plant Success
Ongoing ChillSmart
Fall Back Success

QTR 1
2
12
1.68
0.54
1.8

Attrition Adjustment

100%

Revenues
Upfront
Setup Fee
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services
Total Upfront Revenues

QTR 2
6
36
5.04
1.62
5.4

$79,560
$17,550

$-

$97,110

Ongoing
Quarterly Fixed Fee
Quarterly Tonnage Fee

Total Recurring Revenues

$-

Total Revenues

$-

$$97,110

Costs
Upfront
Initiation
Commissions
Channel Manager
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services

$40,000

$29,640
$4,680
$14,567
$40,000

Total Upfront Costs

$40,000

$88,887

Ongoing
Engineering Analysis
Commissions + Retention

$58,125

$58,125

Total Ongoing Costs

$58,125

$58,125

Total Costs

$98,125

$147,012

$(40,000)
#DIV/0!
$(58,125)
#DIV/0!
$(98,125)
#DIV/0!

$8,223
8.5%
$(58,125)
#DIV/0!
$(49,902)
-51.4%

Company Perspective
Margin Upfront
Margin % Upfront
Margin Ongoing
Margin % Ongoing
Total Margin
Total % Margin

QTR 3
10
60
8.4
2.7
9

QTR 4
14
84
11.76
3.78
12.6

QTR 5
14
84
11.76
3.78
12.6

QTR 6
14
84
11.76
3.78
12.6

QTR 7
14
84
11.76
3.78
12.6

QTR 8
14
84
11.76
3.78
12.6

96%

93%

89%

86%

83%

81%

$238,680
$52,650
$5,625
$1,688
$2,700
$1,406

$397,800
$87,750
$22,222
$6,666
$10,666
$5,555

$556,920
$122,850
$47,470
$14,063
$27,318
$11,719

$556,920
$122,850
$80,866
$23,726
$52,413
$19,772

$556,920
$122,850
$112,463
$32,849
$76,645
$27,374

$556,920
$122,850
$142,376
$41,467
$100,068
$34,556

$302,749

$530,660

$780,341

$856,546

$929,102

$998,236

$2,925
$5,850

$11,590
$23,181

$25,783
$51,567

$45,305
$90,610

$64,119
$128,237

$82,268
$164,536

$8,775

$34,771

$77,350

$135,915

$192,356

$246,804

$311,524

$565,431

$857,691

$992,462

$1,121,457

$1,245,040

$88,920
$14,040
$45,412
$40,000
$3,938
$527
$900
$703

$148,200
$23,400
$79,599
$40,000
$15,555
$2,090
$3,566
$2,786

$207,480
$32,760
$117,051
$40,000
$33,127
$4,414
$7,533
$8,832

$207,480
$32,760
$128,482
$40,000
$56,299
$7,464
$12,738
$18,792

$207,480
$32,760
$139,365
$40,000
$78,213
$10,386
$17,726
$28,582

$207,480
$32,760
$149,735
$40,000
$98,947
$13,189
$22,509
$38,212

$194,440

$315,196

$451,196

$504,015

$554,512

$602,832

$58,125
$790

$58,125
$3,129

$58,125
$6,962

$58,125
$12,232

$58,125
$17,312

$71,413
$22,212

$58,915

$61,254

$65,087

$70,357

$75,437

$93,626

$253,355

$376,450

$516,283

$574,372

$629,949

$696,457

$108,308
35.8%
$(50,140)
-571.4%
$58,169
18.7%

$215,464
40.6%
$(26,483)
-76.2%
$188,980
33.4%

$329,145
42.2%
$12,264
15.9%
$341,409
39.8%

$352,532
41.2%
$65,558
48.2%
$418,089
42.1%

$374,590
40.3%
$116,919
60.8%
$491,509
43.8%

$395,404
39.6%
$153,178
62.1%
$548,583
44.1%

QTR 9
14
84
11.76
3.78
12.6

QTR 10
14
84
11.76
3.78
12.6

QTR 11
14
84
11.76
3.78
12.6

QTR 12
14
84
11.76
3.78
12.6

76%

71%

67%

62%

$556,920
$122,850
$174,267
$51,034
$115,376
$42,529

$556,920
$122,850
$204,604
$60,135
$129,938
$50,113

$556,920
$122,850
$233,338
$68,756
$143,730
$57,296

$556,920
$122,850
$260,422
$76,881
$156,730
$64,067

$1,062,976

$1,124,560

$1,182,890

$1,237,870

$99,795
$199,590

$116,665
$233,331

$132,774
$265,547

$148,022
$296,043

$299,385

$349,996

$398,321

$444,065

$1,362,361

$1,474,556

$1,581,211

$1,681,935

$207,480
$32,760
$159,446
$40,000
$121,271
$16,349
$27,902
$42,425

$207,480
$32,760
$168,684
$40,000
$142,507
$19,390
$33,093
$46,480

$207,480
$32,760
$177,433
$40,000
$162,620
$22,294
$38,049
$50,353

$207,480
$32,760
$185,681
$40,000
$181,579
$25,043
$42,741
$54,018

$647,633

$690,394

$730,990

$769,302

$86,628
$26,945

$101,272
$31,500

$115,255
$35,849

$128,491
$39,966

$113,572

$132,772

$151,104

$168,457

$761,205

$823,166

$882,094

$937,759

$415,343
39.1%
$185,813
62.1%
$601,156
44.1%

$434,166
38.6%
$217,224
62.1%
$651,390
44.2%

$451,900
38.2%
$247,217
62.1%
$699,117
44.2%

$468,568
37.9%
$275,608
62.1%
$744,176
44.2%

Combination of Hudson and EffTec

Three Channel Mgr Proforma
Distributors
Sales Calls
Single Plant Success
Small Plant Success
Fall Back Success

3
6

QTR 1
6
36
5.04
1.62
5.4

Attrition Adjustment

100%

Revenues
Upfront
Setup Fee
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services
Total Upfront Revenues

QTR 2
18
108
15.12
4.86
16.2

$238,680
$52,650
$$$$$-

$291,330

Ongoing
Quarterly Fixed Fee
Quarterly Tonnage Fee

Total Recurring Revenues

$-

Total Revenues

$-

$$291,330

Costs
Upfront
Initiation
Commissions
Channel Manager
Refrigerant Sales
Assesment Charge
Chemestry Test Charge
Refrigerant Services

$$$$120,000
$$$$-

$88,920
$14,040
$43,700
$120,000
$$$$-

Total Upfront Costs

$120,000

$266,660

Ongoing
Engineering Analysis
Commissions + Retention

$174,375
$-

$174,375
$-

Total Ongoing Costs

$174,375

$174,375

Total Costs

$294,375

$441,035

$(120,000)
#DIV/0!
$(174,375)
#DIV/0!
$(294,375)
#DIV/0!

$24,671
8.5%
$(174,375)
#DIV/0!
$(149,705)
-51.4%

Company Perspective
Margin Upfront
Margin % Upfront
Margin Ongoing
Margin % Ongoing
Total Margin
Total % Margin

QTR 3
30
180
25.2
8.1
27

QTR 4
42
252
35.28
11.34
37.8

QTR 5
42
252
35.28
11.34
37.8

QTR 6
42
252
35.28
11.34
37.8

QTR 7
42
252
35.28
11.34
37.8

QTR 8
42
252
35.28
11.34
37.8

96%

93%

89%

86%

83%

81%

$716,040
$157,950
$16,875
$5,063
$8,100
$4,219

$1,193,400
$263,250
$66,665
$19,999
$31,999
$16,666

$1,670,760
$368,550
$142,411
$42,189
$81,955
$35,158

$1,670,760
$368,550
$242,598
$71,177
$157,239
$59,315

$1,670,760
$368,550
$337,390
$98,547
$229,935
$82,123

$1,670,760
$368,550
$427,127
$124,400
$300,204
$103,667

$908,246

$1,591,979

$2,341,024

$2,569,639

$2,787,306

$2,994,708

$8,775
$17,550

$34,771
$69,542

$77,350
$154,701

$135,915
$271,830

$192,356
$384,711

$246,804
$493,608

$26,325

$104,313

$232,051

$407,746

$577,067

$740,412

$934,571

$1,696,292

$2,573,074

$2,977,385

$3,364,372

$3,735,120

$266,760
$42,120
$136,237
$120,000
$11,813
$1,582
$2,700
$2,109

$444,600
$70,200
$238,797
$120,000
$46,665
$6,269
$10,699
$8,358

$622,440
$98,280
$351,154
$120,000
$99,381
$13,241
$22,598
$26,495

$622,440
$98,280
$385,446
$120,000
$168,898
$22,391
$38,215
$56,375

$622,440
$98,280
$418,096
$120,000
$234,639
$31,158
$53,177
$85,745

$622,440
$98,280
$449,206
$120,000
$296,840
$39,566
$67,527
$114,635

$583,321

$945,588

$1,353,589

$1,512,044

$1,663,535

$1,808,495

$174,375
$2,369

$174,375
$9,388

$174,375
$20,885

$174,375
$36,697

$174,375
$51,936

$214,240
$66,637

$176,744

$183,763

$195,260

$211,072

$226,311

$280,877

$760,065

$1,129,351

$1,548,848

$1,723,117

$1,889,846

$2,089,372

$987,435
42.2%
$36,791
15.9%
$1,024,226
39.8%

$1,057,595
41.2%
$196,674
48.2%
$1,254,268
42.1%

$1,123,771
40.3%
$350,756
60.8%
$1,474,527
43.8%

$1,186,213
39.6%
$459,535
62.1%
$1,645,748
44.1%

$324,925
35.8%
$(150,419)
-571.4%
$174,506
18.7%

$646,391
40.6%
$(79,450)
-76.2%
$566,941
33.4%

QTR 9
42
252
35.28
11.34
37.8

QTR 10
42
252
35.28
11.34
37.8

QTR 11
42
252
35.28
11.34
37.8

QTR 12
42
252
35.28
11.34
37.8

76%

71%

67%

62%

$1,670,760
$368,550
$522,802
$153,103
$346,128
$127,586

$1,670,760
$368,550
$613,813
$180,406
$389,813
$150,339

$1,670,760
$368,550
$700,014
$206,267
$431,190
$171,889

$1,670,760
$368,550
$781,266
$230,642
$470,190
$192,202

$3,188,928

$3,373,681

$3,548,669

$3,713,610

$299,385
$598,770

$349,996
$699,992

$398,321
$796,642

$444,065
$888,130

$898,155

$1,049,988

$1,194,963

$1,332,194

$4,087,083

$4,423,669

$4,743,632

$5,045,805

$622,440
$98,280
$478,339
$120,000
$363,813
$49,046
$83,706
$127,275

$622,440
$98,280
$506,052
$120,000
$427,521
$58,171
$99,278
$139,441

$622,440
$98,280
$532,300
$120,000
$487,861
$66,883
$114,147
$151,058

$622,440
$98,280
$557,042
$120,000
$544,738
$75,130
$128,222
$162,054

$1,942,899

$2,071,183

$2,192,970

$2,307,906

$259,883
$80,834

$303,816
$94,499

$345,765
$107,547

$385,473
$119,898

$340,717

$398,315

$453,312

$505,370

$2,283,616

$2,469,498

$2,646,282

$2,813,276

$1,246,029
39.1%
$557,438
62.1%
$1,803,467
44.1%

$1,302,498
38.6%
$651,673
62.1%
$1,954,171
44.2%

$1,355,699
38.2%
$741,652
62.1%
$2,097,351
44.2%

$1,405,704
37.9%
$826,824
62.1%
$2,232,528
44.2%