PELS Prospectus

Patent # 6,222,484

PELS™
Personal Emergency Location System

Improved man overboard tracking system offering
faster and more precise location coordinates

Table of Contents

I Product Opportunity Summary 1

II Competitive Landscape

Competitive Advantages / Breakthrough Opportunity 5
Product Features and Benefits 7
Market Comparison 9
Comparable Established Products 10
Referenced Patented Products 13

III Industry & Market Analysis

Industry Size and Trends 14
Target Market Analysis 16
Distribution Channels 18

IV Product Analysis

Product Specifications 19
Estimated Manufacturing Cost 20
Expected Pricing 20
Patent Value Enhancement 20

V Financial Forecast
Five-Year Pro Forma 21

VI Licensing Opportunities & Patent Information

Patent Information 23
Exhibit Summary 24
Disclosure Statement 28

COPYRIGHT ©2008 MILLENNIUM MARKETING GROUP, LTD. ALL RIGHTS RESERVED.

I Product Opportunity Summary

This prospectus introduces the Personal Emergency Location System or PELS™, a
newly patented technology available for licensing. PELS™ is a dynamic new
emergency notification system specifically designed for immediate alert, location and
identification of a man overboard. This system employs small, battery-powered units
worn by individuals at risk of falling overboard. These personal units are equipped with
a GPS receiver and processor for determining the person’s GPS coordinates and an RF
transmitter for sending an RF emergency signal with the GPS coordinate data to a
nearby vessel. This improved tracking system is ideal for recreational boaters,
commercial fishermen, military personnel, cruise ships and more. Use of PELS™
means quicker reaction time which is critical in executing a successful man overboard
(M.O.B.) rescue.

Having a crew overboard incident represents a nightmare emergency for anyone at sea.
Every person that works or plays on a marine vessel is at danger of falling overboard.
M.O.B is the worst of marine catastrophes as it accounts for 80% of all deaths at sea.
Prevention of man overboard incidents is a major priority for seamen. Getting a
crewmember out of the water quickly after a fall overboard is a huge priority and time is
not on the side of the operation. Exhaustion, fatigue, cold water, and injury literally make
recovery a race against death.

PELS™ aids in the quick recovery of a M.O.B as it immediately alerts all nearby
GMDSS equipped vessels and aircraft that someone has fallen overboard and
effectively transmits a victim’s position to them, allowing for timely location and
ultimately, successful rescue. PELS™ uses a GPS receiver to process the person’s
location and then broadcasts the distress signal and GPS position using standard VHF
GMDSS radio and an identification string.

1

Transmission of location coordinates is extremely important because it takes a
substantial amount of time to slow a ship, especially a large ship such as a cruise ship,
and conduct a maneuver to put the ship back on the reciprocal course. The ship could
be thousands of yards away before beginning the approach back to where the M.O.B.
incident took place. By this time, the person overboard is out of sight and difficult to find.
PELS™, unlike other M.O.B tracking systems in use today, facilitates an immediate
signal to the vessel they have fallen from that someone is overboard and ID’s that
person. In addition, this emergency signal can be received by any SOLAS equipped
vessel and SAR equipped aircraft. This immediate signal not only provides instant alert
of a M.O.B. event but allows the captain and crew to focus on rescue efforts instead of
beginning what can be an exhaustive search procedure. Knowing the exact location of a
M.O.B. is crucial for successful recovery because individuals lost overboard are
extremely hard to see, even when close.

2

Any vessel equipped with GMDSS can accept a distress call from a PELS™ device and
receive the RF emergency signal and the person’s GPS coordinate data. The base
vessel is equipped with a GPS system that can be updated with the most current GPS
data which allows for accurate calculation of an approach vector to the person’s
position. All communications are handled in the GMDSS/DSC signal format which is
standard and considered preferred by the International Maritime Organization (IMO).

Everyone at sea should wear PELS™ so that in the event that person is lost overboard
at sea they can be easily located. The personal unit being worn by the M.O.B is
equipped with a GPS receiver and processor which determine the person’s location and
an RF transmitter that broadcasts an RF signal with the GPS data. This unit sends an
emergency signal until an acknowledgment signal is received from any nearby GMDSS
radio, after which the personal unit goes into a “receive-only” mode to reserve battery
power. The unit is equipped with an indicator which tells the M.O.B. that their distress
signal has been received. This indicator can be a light and/or sound. This feature is
important as it fulfills the critical function of letting the person in distress know that help
is on the way. When not in active use the personal units can be updated with up-to-date
almanac-ephemeris data, to quicken the GPS processing.

The RF format that is sent with the GPS coordinates is formatted as a digitized data
packet transmitted at 156.525 MHz, meeting all IMO specifications for digital emergency
radio communications (DSC/GMDSS).

The target market for PELS™ is extremely large and encompasses virtually every
recreational boater as well as every person and every company who work on marine
vessels. This market includes, but is not limited to:
• Commercial Marine Industry
• Recreational boating
• Oil and gas
• Ports, Wharfs and loading facilities

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• Coast Guard
• Military
• Airmen

With an expected low manufacturing cost, the margins are good for both the
manufacturer and retailer. Financial projections are contained in Section V.

Millennium Marketing Group, Ltd. has been retained by the patent owner to secure a
licensing or sales agreement in order to bring the unique features, quality, effectiveness,
and value of this technology to the marketplace. The first firm to bring this exciting
design to the market will capitalize with a favorable return on investment and enjoy the
commercial benefits well into the future. Currently, we are seeking a partner that can
fully and profitably exploit this rare and lucrative licensing opportunity.

PELS™ at a Glance
Patent Number: United States Patent No. 6,222,484
Industry: Marine/Safety
Target Market Size: 17,047,040 vessels
Primary Use: Personal Emergency Location Device for
man overboard situations
Key Benefits:
GPS and RF technologies


Personal unit small enough to wear on person


Facilitates immediate locating of man overboard


4

II Competitive Landscape
Competitive Advantages / Breakthrough Opportunity
M.O.B. instances are extremely dangerous and the more time the victim spends in the
water the more likely they are to sustain severe injuries or to never be found. Many
products are on the market and in use that are operable by the M.O.B, such as mirrors,
lights, flares and the like. An individual who is injured or unconscious is not able to
operate these devices, rendering them useless in many life-threatening circumstances.

Immediately finding a M.O.B is of the utmost
importance and PELS™ is the first technological
advance in M.O.B. tracking devices which provides
the base ship and other vessels on an RF
frequency an immediate signal someone is
overboard and provides their actual location.
PELS™ substantially improves the chance for a successful rescue. Many products
being used provide a signal of location within a general area that might span the course
of miles, or simply provide the location of the vessel at the time of impact into the water,
not accounting for the M.O.Bs potentially swift stray off course.

The use of Global Positioning Systems (GPSs) has more recently been used to locate
lost persons. These systems typically require the person who has fallen overboard to
have a GPS receiver and a radio to send their latitude and longitude coordinates over
the radio. Having both devices on person when lost is certainly not the norm for
recreational boaters and for few commercial mariners as well.

Yet another not uncommon approach is to carry an RF emergency signal device that
transmits to the base vessel when tossed overboard. In turn the ships crew can
broadcast an alert, giving the location of the vessel when the overboard incidence

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happened. When adrift the victim is at the mercy of the current which can swiftly pull
them away from the vessel, making knowledge of the original position virtually useless.

EPIRB and VPIRB technology provide mariners with the only products comparable to
PELS™. PELS™ effectively overcomes the disadvantages associated with these
systems while offering exciting new features with lifesaving benefits.

Use of Emergency Position Indicator Radio Beacons (EPIRBs) is typical and
widespread throughout the maritime industry but have a myriad of disadvantages that
PELS™ effectively improves upon. The EPIRB system has saved many thousands of
lives over the years, however its principal shortcoming is that it relies on a remote shore
infrastructure to process and then re-broadcast the alert message to ships in the vicinity
of the person in distress. Depending on the location of the EPIRB, this could involve
delays in the order of hours. Even though their use is common maritime safety practice,
small and fully effective units that can be easily and comfortably worn by individuals
have yet to be marketed. Additionally, while newer versions of EPIRBs embed GPS
location data into their 406MGz signal it has to go through the EPIRB ground-based
reporting system. These units can only be used by the Coast Guard as this marine
safety fleet continually monitors for EPIRB emergency broadcasts and have the ability
to locate the signal with satellite receivers. An EPIRB-determined location is only
accurate within several square miles and can be off as much as thirty miles.

A VPIRB is a combination of the terms VHF (radio) and EPIRB. A VPIRB is essentially
an EPIRB operating in the marine VHF radio band rather than the COSPAS-SARSAT
406 MHz channel, utilizing DSC technology to broadcast a distress signal to all VHF
DSC radio-equipped vessels in the vicinity, including the parent vessel. A VPIRB
comprises a small DSC beacon, which is attached to the user's clothes or lifejacket. If
the user falls overboard, the beacon activates and sends a distress message via VHF
DSC. Reception of the distress message from the beacon will sound an alarm on all
VHF DSC radios within range. If fitted with a GPS receiver, a VPIRB can also
automatically transmit its position as part of the distress alert message, which will also
be received on all VHF DSC radios in range. The VHF DSC and VHF voice messages

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are repeated at 5 minute intervals for the first 30 minutes, updating the GPS position of
the person in the water with each transmission, then the repetition period will change to
ten minutes. This will continue until the device is switched off, or the batteries expire.

The patented technology of PELS™ offers all of the important features of a VPIRB and
includes added features such as the use of GDMSS which rapidly alerts SAR authorities
ashore, as well as shipping in the immediate vicinity of the ship or persons in distress.
This provides immediate reaction time. PELS™ also offers the first ever “turn-off battery
saving feature”, which will extend the battery life of the personal units adding life saving
time for rescue as well as the all important “green light” rescue is on the way feature. In
addition the PELS™ system offers a balloon feature that works to extend the RF
coverage area that current products do not. PELS™ technology will add better features,
extend operation, provide more up to date positional data and faster recovery
opportunity.

PELS™ offers an improved technology with a tracking device that uses GPS technology
in combination with a common RF emergency signal to provide the location coordinates
for a lost individual to the base vessel and/or any vessel or air craft in the vicinity
equipped to receive a DSC/GMDSS signal, which is mandatory for all SOLAS ships.
Faster and more precise M.O.B. tracking means an increased chance for survival. The
PELS™ offers the benefit of providing a device that is good for either professional
mariners or recreational boaters. The licensee first to market with PELS™ will have the
unique opportunity of bringing this much needed safety product capability to the
marketplace and will reap the financial and branding benefits for years to come as they
introduce newly patented technology with the following unique features and benefits:

Product Features and Benefits
Extremely portable personal unit worn by those in potential danger of a man
1.

overboard emergency
Equipped with a GPS and RF (GMDSS) transmitter for sending an RF signal with
2.

location data

7

Personal unit is battery powered
3.

Personal unit has a “distress signal received” indicator for lost individuals peace
4.

of mind
Personal unit automatically switches to “receive data” status when it receives
5.

confirmation that a distress signal has been received in order to reserve battery
power
System can be re-awakened by any station for an updated position.
6.

Personal unit updates to the latest GPS information to ensure proper coordinates
7.

are transmitted
Vessel equipped with a base unit that receives and sends distress signals and
8.

location coordinates
Provides immediate location signal and personal ID when a person falls
9.

overboard
Offers faster location coordinates if kept updated with the most current almanac
10.

and ephemeris data downloaded from base station
Offers more reliable location coordinates
11.

Perfect for use in the recreational boating industry
12.

Perfect for use in the commercial maritime industry
13.

Large established target market
14.

This device has the ability to deploy a small balloon to increase the RF range and
15.

help to locate the MOB.

PELS™ is also ideal for scuba divers and other
recreational boaters who are at risk of getting
separated from their boats

8

PELS™
Market Comparison

Raymarine VPIRB
PELS™ EPIRB AquaFix™ ResQFix™
Feature
Lifetag (Mobilalarm)

1 YES
Yes Yes Yes Yes Yes
2 YES
Yes No Yes Yes Yes
3 YES
Yes Yes Yes Yes Yes
4 YES
No No No No No
5 YES
No No No No No
6 YES
No No No No No
7 YES
No No No No No
8 YES
No No Yes No No
9 YES
No No No No No
10 YES
No No No No No
11 YES
No No Yes Yes Yes
12 YES
NO Yes NO Yes Yes
13 YES
Yes Yes Yes Yes Yes
14 YES
Yes Yes Yes Yes Yes

Comparable Established Products

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Rescue Strobe Light
Typical EPIRB Raymarine Lifetag

The products shown above are typical M.O.B. safety products. The disadvantages of
these units have been outlined previously. The image on the right is a wrist worn system
that causes an audible alarm to sound when the RF link between the unit and the base
unit is broken, typically when either out of range or when submerged. This product does
not provide any sort of beacon signal nor does it provide any location coordinates
helpful in finding the M.O.B.

Pictured here is the Magellan EPIRB RB3S
Emergency Location Beacons with Strobe
and the RB3 without Strobe. This pocket-
size beacon transmits on both the 121.5
MHZ and 243 MHZ international distress
frequencies simultaneously, giving a
satellite alert and position to search for
rescue authorities. The strobe version n is fitted with a high
intensity strobe light, which incorporates the multiple flash sequence, can be seen at
night for more than 4kms.

In February 2009 Garmin phased out the old
analog EPIRB and phased in a new generation
digital EPIRB. This new generation is reportedly
more accurate, easier to detect and ID’s the
user.

10

At present there is only one VPIRB model available,
the Mobilarm V100 VPIRB. It is designed to use
existing industry standard VHF marine radio
networks. It uses GPS technology to lock onto a
M.O.B.’s location but, it does not update the
personal units on GPS satellite almanac and
ephemeris data. It does not have the PELS™
automatic battery saving function. It also does not
provide the M.O.B. with an indication that his/her location has been pinpointed and that
help is on the way. PELS™ units plug into its base system between uses and are
updated with the latest GPS almanac and ephemeris data; this greatly reduces the time
it takes for the handheld unit to process GPS satellite signals when activated. No other
product can claim that.

The AquaFix™ 406 transmits a personally registered,
digitally coded distress signal on 406 MHZ via the
COPAS-SARSAT satellite system. It acquires the
M.O.B.’s GPS position within 100 meters and broadcasts
this position along with the distress signal. The ResQFix™

ResQFix™ 406 GPS PLB is a smaller more streamlined AquaFix™

unit that when activated transmits an emergency signal to
rescue authorities with a unique digitally encoded distress message on 406MHz via
COSPAS-SARSAT satellites and/or 121.5MHz. It transmits for a minimum of 24 hours
before the battery runs out. This unit also advertises location within 100 meters and
sends the location along with the distress signal. Once again, these two advanced units
do not provide individual units with GPS satellite almanac and ephemeris data. It has no
automatic battery saving function nor does it provide the M.O.B. with an indication that
his/her location has been pinpointed and that help is on the way. In addition to lacking
important features that are included in the design and function of PELS™ the
AquaFix™ and ResQFix™ are cost prohibitive at $500 to $600 per unit.

11

Referenced Patented Products
The United States Patent and Trademark Office referenced the following patents when
issuing the patent for PELS™:

U.S. Patent No. 5,815,126, issued to Fat et al., September 1998
U.S. Patent No. 5,862,511, issued to Croyle, January 1999

12

None of the above referenced patented products offer all the features and benefits of
PELS™.

Man overboard emergencies are
responsible for at least 80 percent of
maritime fatalities.

III Industry & Market Analysis

Industry Size and Trends

Marine Transportation Industry

The US marine transportation system encompasses a national and global network of
navigable ocean, lake, river, and inland waterway routes. The system includes over
3,500 bulk oil transfer facilities, 10,000 marinas, a network of locks and dams, over

13

97,000 aids to navigation, commercial vessels making over 70,000 port calls annually,
110,000 fishing vessels and nearly 20 million recreational vessels.

As the world’s largest trading nation, the U.S. exports and imports about one-fourth of
all global merchandise trade ($1.9 trillion in 2001). The largest parts of this merchandise
trade – over one billion tons of cargo – are moved by water. Another billion tons of
cargo is carried in domestic waterborne movements, which serve over 90 percent of the
U.S. population. By the year 2020, US foreign trade in goods is expected to grow by
more than half of its current tonnage, and inland waterways traffic is expected to
increase as well. As ships and transportation systems become more complex, training
requirements will increase, and crews are currently required to be trained and qualified
to operate in accordance with international standards (STCW). Marine Transportation is
an integral component of the US transportation system and is essential to our nations
economy. The entire US transportation infrastructure, including ports and waterways
and maritime training schools, are expected to be able to handle and provide this
projected increase. As of 31 December 2004, there were over 250,000 mariners with
Merchant Mariner Documents, Merchant Marine Officers License or both, issued by the
United States Coast Guard.

Recreational Boating

The recreational boating industry represents a significant investment of consumer
dollars. The recreational boating industry revenues were 15.7 billion in 2007 and are
expected to grow 5.3 percent annually through 2011(www.NMMA.org). This figure
includes boating accessories and safety products. Nearly one-third of U.S. adults went
boating in 2006, up nearly 2 percent from the previous year. The number of boats in use
increased slightly to nearly 18 million in 2006, an increase of nearly 60,000 from 2005

14

The number of boats in use has grown steadily over the past few years and boating
participation increased for the second consecutive year, rising to 72.6 million in 2006
from 67.5 million in 2005.

Aircraft, Marine & Railroad Transportation Equipment Wholesaling Industry
This industry comprises establishments primarily engaged in wholesaling transportation
equipment and supplies (except marine pleasure craft and motor vehicles). This
industry wholesales aircrafts and aircraft parts, boats and marine equipment, railroad
cars and railroad equipment, military tanks. There are over 400,000 establishments
involved in the manufacture and/or sale of the products defined within this industry with
annual revenues of $4.6 billion.

Target Market Analysis
According to the 2006 Recreational Boating Statistical Abstract, conducted by the
National Marine Manufacturers Association (NMMA), there were just under 18 million
boats in the United States in 2006. The study also indicates there were approximately
72.6 million people involved in boating in 2006. Overall, this number has remained

15

relatively stable since 1995 with the exception of a slight dip in the market from 1999 to
2001.

Boat Owner Facts (NMMA, 2007):
o Boat owners spent an average of 31 days on the water in 2006
o Three out of four current boat owners have an average household income under
$100,000
o More than one in six U.S. households own a boat
o Nearly 69 percent of boat owners are married
o The median age of boat owners is 45 to 49 years

According to a recent survey by the NMMA, boat owners are a happy group, living life to
the fullest. They participate in an average of 4.6 leisure activities, nearly twice as many
as non-boat owners (2.4). In addition to water-related activities, they are also more likely
to participate in other outdoor activities such as camping, skiing, tennis and golf. More
boat owners (48 percent) than non-owners (39 percent) regularly travel. When not on
the water the same survey indicated that boaters enjoy spending their weekends
engaged in cooking, gardening, playing sports and traveling, compared to non-owners,
who are more likely to spend their weekends relaxing, doing household chores and
attending movies, concerts, and sporting events.

In addition to the recreational boating industry target market an enormous market exists
in the commercial marine industry which includes commercial fishing, oil and gas, ports,
wharfs and loading facilities and cruise ships. Also included in our target market are
U.S. Navy and Coast Guard fleets.
Commercial Marine Numbers
• Commercial Fishing: 3.5 million fishing vessels globally (10,000 large scale
ships, 160,000 U.S. employed)
• Oil and Gas: 3500 vessels
• Ports, wharfs and loading facilities: 300

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• Cruise ships: 130 (1,200 to 3,500 passengers each, 12 million passengers per
year)
• Coast Guard: 1400 vessels, 42,000 active duty, 7,000 civilian employees, 8,000
reservists and 34,000 volunteer auxiliarists
• Navy: 282 ships, 3700 aircraft, 331,682 active duty, 124,000 reservists

The inventor would like to stress the fact that it is a distinct possibility that the Coast
Guard will make these personally worn units mandatory items for many classes of
vessels carrying people. It is almost a certainty that the U.S. Navy will make them a
requirement to be worn at all times. The savings in mustering (an all hands muster is
required when anyone is suspected of falling overboard) alone will quickly pay for the
units, which will probably cost less than $100 each. In addition these units can be used
as an excellent method to contact individuals on ships, a function that can easily be
added to the device. All of these features will significantly increase the target market.

The PELS™ system is an important advancement for sailing and cruising vessels
where many people are lost by falling overboard while the crew is below. This system
alerts crew members that someone has fallen overboard and ID’s the loss crew or
passenger. This feature is of particular importance on large vessels where one person
missing out of thousands on board, might go unnoticed until it is too late for rescue.

The commercial fishing industry is in need of improved safety
devices as it is considered the world’s most dangerous job.
With 142 deaths for every 100,000 workers annually,
commercial fishing leads the nation by far in deaths on the
job. They regularly brave the most turbulent ocean waters and weather to bring home a
bigger catch. Pounding waves, merciless winds, loose rigging, and few safety features
make commercial fishing the most unfriendly work environment imaginable. Commercial
fishing employs more than 160,000 people in the U.S. alone.

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Distribution Channels
PELS™ will be primarily distributed in the United States through an extensive network
of 5,262 boat dealers, 6,080 sporting and recreational goods and supplies wholesalers,
and 952 marine machinery, equipment and supplies wholesalers. There were
approximately 12,073 marinas in operation in the U.S. in 2006 that might also potentially
distribute PELS™. The PELS™ system can also be distributed in bulk directly from the
Original Equipment Manufacturer (OEM) to fishing fleets, military buyers, cruise ship
companies, etc…

IV Product Analysis

Product Specifications
A small battery powered personal device is worn by a M.O.B. and a GPS-equipped
transceiver system on board the base vessel or any nearby vessel with a standard

18

marine GMDSS radio. Once overboard the personal unit is activated to initialize the
GPS receiver. In an alternate embodiment, activation could also inflate and deploy a
balloon which holds an antenna above the water. The antenna may be carried within a
plastic sleeve line and on the inside of the balloon, which may be dyed a fluorescent
color to serve as a visual marker to rescue personnel. This approach will further
increase the range of the device by increasing the horizon.

The personal unit receives the available GPS satellite transmission signals and its
processor determines the person’s GPS location coordinates. Immediately after
activation the unit starts emitting an initial “distress call”. The transmitter sends an RF
emergency signal with the GPS location data. Depending on placement of the antenna
(balloon mode or unit integrated antenna) this could range from 3-15 miles. For an
aircraft this distance could be over a hundred miles. Any vessel within range can
receive the standard GMDSS and forward a broadcast signal over a longer range
frequency and at higher power to other rescue vessels or to a satellite receiver for relay.
The concept of this device is to alert the vessel immediately that someone has fallen
overboard

GPS-equipped transceiver system

Small battery
powered personal
unit

This is considered a broad description of PELS™ and should not limit suitable
modifications which fall within the scope of its patent. More specifics and further
embodiments are described in great detail within the text of the patent for the Personal
Emergency Location System.

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Estimated Manufacturing Cost
The estimated manufacturing cost goal would be less than $50/unit and this cost is
largely the GPS chip, RF transceiver and batteries. This technology is not expected to
cost any more than comparable M.O.B. tracking systems.

Expected Pricing
Pricing is expected to vary but remain in competition with current products on the
market. The logical way to market this technology is to package it with a full GMDSS
Class A radio for use on the operating vessel. It could also include enhanced features
such as:
• Locating individuals by querying their uniquely addressable PELS™ unit for
emergency and non-emergency functions
• Proprietary protocols for PELS™ GPS position
• Almanac and ephemeris updates
• Centralized control of battery charge and battery verification for assigned units
• More…
The financial outlook will be based on the potential number of PELS™ to be sold as well
as the base units capturing a market share of the marine equipment industry which
reports year revenues of $4,634,755,112.

Patent Value Enhancement
A working prototype of PELS™ can be made available to demonstrate the design and
functionality of the product.

V Financial Forecast
Five-Year Pro Forma 85,306,682
Assumptions:
$50.00 Estimated production cost
2.0 Estimated manufacturer's mark-up to wholesale
$100.00 Average wholesale price per unit
85,306,682 Primary target market*

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0.100% First year market share (innovators)
1 Number of units purchased per year
85,307 First year sales
14% 2nd year annual growth (early adopters)
34% 3rd year annual growth (early majority)
34% 4th year annual growth (late majority)
16% 5th year annual growth (laggards or non-adopters)
Financial Summary
(Amounts in $ 000s)
Revenues Year 1 Year 2 Year 3 Year 4 Year 5

8,53 9,72 13,03 17,46 20,25
Total revenue to manufacturer 1 5 1 2 6
4,26 4,86 6,51 8,73 10,12
Cost of sales 5 2 6 1 8
4,26 4,86 6,51 8,73 10,12
Gross profit to manufacturer 5 2 6 1 8
Gross profit percent 50% 50% 50% 50% 50%
Units sold:
85307 97250 130314 174621 202561

The preceding financial projections are based on a target market of 85,306,682
estimated number of people on the water in the U.S. alone. This pro forma assumes
that an extremely conservative one-tenth of one percent of this target market will
purchase one PELS™ with first year sales of over 80,000 units and over $4 million in
revenue.

Five-Year Pro Forma 85,306,682
Estimated
Market: 4,634,755,112
Projected Share: 0.0500%
Annual Growth: 5%

Year 1 Year 2 Year 3 Year 4 Year 5
$2,317,378 $2,433,246 $2,554,909 $2,682,654 $2,816,787
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This pro forma is based on the PELS™ system capturing a conservative percentage of
the marine equipment industry from sales of base units, offering the licensee of this
incredible technology an additional first year revenue of $2.3 million.

It will be important to make the units affordable and available to everyone at sea. In the
future this type of system may be required for certain sized crafts, this means virtually
millions of seamen would drive production costs down and revenues up. Currently
certain types of EPIRBs are required on most vessels, depending on their size. The
phenomenal technology of the PELS™ system is the next level in the evolution of these
personal safety products.

VI Licensing Opportunities & Patent Information

Millennium Marketing Group, Ltd. is the exclusive agent to represent the licensing or
transfer of the patent and trademark rights. Millennium is a well-respected international
firm dedicated to the marketing of patented technologies. Our team has over a hundred
years of combined experience in the fields of technology transfer, licensing, and
marketing consultation. Millennium represents dozens of product lines and has

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successfully represented numerous award-winning products. With a shared risk
philosophy, Millennium strives to develop mutually beneficial financial arrangements
with manufacturers and/or distributors.

Currently, we are seeking a licensing arrangement involving the patent to make, use,
manufacture, market, and distribute PELS™. Please contact Scott A. Norman,
President, Millennium Marketing Group, Ltd. at (913) 317–9114 ext. 102 or e-mail him at
snorman@patentmovers.com to discuss this rare and lucrative new product opportunity.

Patent Information
Ronald L. Seiple holds United States Patent No. 6,222,484 filed on June 16, 1999, and
issued on April 24, 2001. This patent for PELS™ expires in 2019, commensurate with
the filing date. This patent has 20 claims that protect the exclusive design and function
of PELS™.

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Exhibit Summary

Exhibit A - Trade Show Information

Exhibit B - Trade Publication Information

24

Exhibit A -Trade Shows

Licensing International National Manufacturing
Week

Date and Time: Dates and Location:
June 15 - 18, 2009 September 15 – 17, 2009
Jacob J. Javits Convention
Donald E. Stephens
Center
New York, NY Rosemont, IL

The tradeshows and trade publications listed are possible marketing tools that we include in the prospectus
because of our belief in the complete marketing program. Although Millennium represents products at
numerous tradeshows and in certain publications, we do not guarantee representation at all of the listed
shows or publications.

25

Exhibit B - Trade Publications
Safety at Sea International
Marine Business Journal
Marine Business Magazine
National Fisherman
Pacific Fishing
Boating
Soundings
Motorboating
Boating Industry
Seaworthy
Sea

26

27

Disclosure Statement
Millennium Marketing Group, Ltd. (the “Company”) has prepared the attached business Prospectus (the
“Plan”) based upon its current understanding of the industry, expansion plans, markets, technology and
other pertinent indicators. The plan contains information to provide prospective investors with a foundation
on which to base meaningful discussion with management of the Company. The projected financial
information is management’s projection of possible future results and is dependent on many factors over
which they are derived. Neither the Company nor any of its representatives makes any express or implied
representation or warranty as to the attainability of these projections or the accuracy, completeness or
reasonableness of the assumptions. Neither the company nor any of its representatives makes any express
or implied representation related to any past, current or future patent infringement claims the Plan
represents.

THE COMPANY MAKES NO EXPRESS OR IMPLIED REPRESENTATION OR WARRANTY
AS TO THE ACCURACY OR COMPLETENESS OF THE INFORMATION CONTAINED IN
THIS PLAN INCLUDING BUT NOT LIMITED TO PATENT INFRINGEMENT CLAIMS OR
OTHER PERTINENT INFORMATION. STATEMENTS IN THIS PLAN ARE MADE AS OF THE
DATE HEREOF AND ARE SUBJECT TO REVISION AT THE SOLE DISCRETION OF THE
COMPANY’S MANAGEMENT. SOME OF THE REVISIONS MAY BE MATERIAL. IN ALL
CASES AND NOTWITHSTANDING THE USE OF WORDS SUCH AS “WILL” OR “SHALL” OR
ANY DISCUSSION OR CHARACTERIZATION OF FUTURE ACTIONS OR EVENTS, THIS
PROSPECTUS IS INTENDED TO BE AN INDICATION ONLY OF THE COMPANY’S
CURRENT INTENTIONS. THE DELIVERY OF THIS PLAN SHALL NOT CREATE, UNDER
ANY CIRCUMSTANCE, ANY IMPLICATION THAT THERE HAS BEEN NO CHANGE IN THE
AFFAIRS OF THE COMPANY AND OTHER INFORMATION CONTAINED HEREIN SINCE
THE DATE HEREOF.

THE COMPANY MAKES NO EXPRESS OR IMPLIED REPRESENTATION OR
WARRANTY AS TO THE ATTAINABILITY OF THE FINANCIAL PROJECTIONS OR
THE ACCURACY OR COMPLETENESS OF THE INFORMATION HEREIN OR ANY
OTHER WRITTEN OR ORAL COMMUNICATION TRANSMITTED OR MADE
AVAILABLE. THE PROJECTIONS OF FUTURE PERFORMANCE ARE
NECESSARILY SUBJECT TO A HIGH DEGREE OF UNCERTAINTY AND MAY VARY
MATERIALLY FROM ACTUAL RESULTS. ONLY THOSE REPRESENTATIONS AND
WARRANTIES THAT ARE MADE IN A DEFINITIVE AGREEMENT WHEN AND IF
EXECUTED, AND SUBJECT TO ANY LIMITATIONS AND RESTRICTIONS AS MAY
BE SPECIFIED IN SUCH DEFINITIVE AGREEMENT SHALL HAVE ANY LEGAL
EFFECT. THE INFORMATION PROVIDED HEREIN DOES NOT CONSTITUTE AN
OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY ANY SECURITIES,
ASSETS, OR PROPERTIES, INCLUDING WITHOUT LIMITATION, ANY PRODUCTS,
PROCESSES, RESEARCH, OR INTELLECTUAL PROPERTY.

28

Opportunity at a Glance

New Technology: PELS™
Patent: U.S. Patent Number 6,222,484

We are seeking a long-term arrangement with a company to manufacture, market, and/
or distribute this new technology based on the acquisition of the intellectual property
rights.

For additional information and potential terms to acquire this innovative technology
contact Scott A. Norman, President, Millennium Marketing Group, Ltd.

Scott A. Norman
President
Millennium Marketing Group, Ltd.
10550 Marty Street
Overland Park, KS 66212

Phone: 913-317-9114
Fax: 913-338-1251
Email: snorman@patentmovers.com

PROFESSIONALLY PREPARED AND REPRESENTED BY

______________________________________________________

___________________________________________________________________________
10550 Marty Overland Park, KS 66212-9946 USA Phone: 913-317-9114 Fax: 913-338-1251

PELS Prospectus

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