Company Factsheet

TOMI Environmental Solutions, Inc. was founded in 2007 by its President and CEO Dr. Halden S. Shane. Like many Los Angeles residents, Dr. Shane had always assumed that his long standing allergy problems were caused by smog in the Los Angeles Basin. But then, Dr. Shane learned that his allergy problem may in fact be caused by polluted indoor air rather than smog. After extensive research, he decided to focus on oxidizers and ROS (reactive oxygen species)  as a possible remedy.

Further investigation into governmental and medical literature revealed that up to 90% of an average person’s life is spent indoors and many medical associations, including the AMA (American Medical Association), feel that 50% of all illnesses could be attributed to indoor air pollutants. Environmental Protection Agency has stated that concentrations of indoor air contaminants in homes can sometimes reach as much as 200 times the same contaminants found outside. Because of these findings, an idea was born.

Dr. Shane decided to investigate companies that produced the cleanest, purest form of Ozone (Nitric Oxide Free) by way of ultraviolet ozone generators, along with technology that activated hydrogen peroxide into a small droplet mist . The reason he decided on ultraviolet generators over Corona Discharge ozone generators is because some Corona Discharge generators are known to produce harmful byproducts and residues, particularly when operated using ambient air containing moisture (relative humidity). After finding the source for this state-of-the-art ultraviolet ozone generators, Dr. Shane tested it in his own home. His allergic symptoms disappeared almost immediately. In fact, the results were so dramatic, that Dr. Shane decided to buy the company, a short time after that Dr. Shane partnered with a leading defense company for its Steramist product and formed TOMI Environmental Solutions.

TARGET MARKET

TOMI Environmental Solutions targets the domestic and international markets for the Steramist Products, Cleaning ,disinfection and decontamination of Indoor space for infectious disease and asthma allergens in commercial, hospitals and residential settings is in excess of tens of billions s of dollars annually. According to a 2005 report by California Air Resources Board (CARB) estimates that indoor air pollution costs at least $45 billion each year, The EPA states that direct costs from Sick Building Syndrome are in excess of $1 billion, with another $60 billion in annual lost productivity. A recent hospital report states that a single MRSA infection adds $61,000 in costs to a hospital bill. By comparison, our estimates can be considered conservative. If this figure merely represents how many homes, automobiles, boats, RV’s, planes, trains, buses, schools, hospitals and offices have reached a critical level of indoor air pollution, we believe it is reasonable to assume that twice as many would require annual preventative maintenance. These older structures may have taken decades to reach these critical pollution levels. As we all should know and what WHO (World Health Organization) has shown us is that 30 percent of all new building have toxic levels of indoor pollution at the time of completion. These high levels are due to VOC’s (Volatile Organic Compounds) formation, secondary to toxic off gassing. Either way, TOMI ES has the answer to all your indoor pollution solutions.

CUSTOMERS – COMMERCIAL

Homeland Security: Elimination of Infectious Disease  or other agents as a result of a bio-terrorists attack on  the homeland. Along with sterilizing  the air and surfaces of indoor environments of Hospitals, Schools, Athletic facilities, transportation vehicles, Government and Commercial buildings. Along with being used by the Civil Defense for the protection and treatment of its citizens property.

Victims of: Fire, Smoke and Water Damage. These customers will come typically by way of remediation companies that now rely on high tech efficient way of removing odors and contaminants completely using UV ozone and activated Hydrogen Peroxide treatment.

Sales Professionals: Real Estate, Residential & Commercial, Autos, Boats, Mold Remediators, Insurance Companies.

Operators: REITs, Rental Communities, Cruise Ships, Bus Lines, Hotels, Landlords, Banks and all Financial Institutions who deal with Real Estate Repossessions of Homes & Offices, especially ones that were used for Drug labs or Marijuana growing operations, and all indoor space that has or had fire and /or smoke damage. Also: Pet Kennels, Dog & Cat Breeders, and Veterinarian Offices.

Customers - Residential
Owners of: Home, Condominiums, Apartments, Automobiles, Recreational Vehicles, Boat & Yachts, Pet owners.

Customers in the Public Sector
Public Institutions: Government Agencies overseeing low-income housing, Schools, Hospitals, Subways, Mass Transits, Airplanes, Police, Fire and all Emergency vehicles and Government Facilities.

KEY MANAGEMENT BIOS

Dr. Halden S. Shane - Chairman of the Board & CEO

Halden (Doc) Shane has been our Chairman since the company’s inception. Past CEO of Tiger Management International: a Large-Cap Management company that deals in business management of private and public equity companies as a business negotiator and facilitator. In 2002, Dr. Shane created Geo-Political hedge fund: an equity fund specializing in oil, gold and large cap companies that are affected by geo-political issues. Dr. Shane also served as President, Founder, and CEO of Integrated Healthcare Alliance, Inc. (1988) a Medical Management Company, which had operations in 7 states with 493 Physicians and ancillary personal. Dr. Shane was also Founder and General Partner of Doctors Hospital West Covina, California. Prior to 1988, Dr. Shane practiced Podiatric Surgery specializing in ankle arthroscopy.

Andrew Leong - President of Singapore Subsidiary

Mr. Leong is the former head of the counter-hacking unit in Singapore’s Internal Security Department (ISD). He began his career with the ISD as a systems engineer and quickly climbed to become the head of the counter-hacking unit. In 2001 he joined PCS Security Pte Ltd, as its Information and Communications Technology Security Manger. Within two years, Mr. Leong rose to become the Chief Technology Officer of the company. In this capacity, he saw the successful roll-out of the island-wide border control solution – as part of Singapore’s homeland security initiative. Concurrently, he was appointed as the director of CSSI Pte Ltd, a systems integration company wholly owned by PCS. While in this role, he won and implemented the FAST project (Fully Automated Seamless Travel), a biometric (facial and fingerprint) automated travel and immigration solution for Singapore Airlines (SIA), the Civil Aviation Authority of Singapore (CAAS) and Immigration and Checkpoints Authority (ICA). This project won international recognition and was featured as one of the “Breakthrough Ideas for 2005” in the Harvard Business Review.

Mr. Leong was also an executive director of Astrata Singapore Pte Ltd, a joint venture between PCS and Astrata (OTCBB:ATTG) Mr. Leong successfully bided for and won the tender to implement an island wide HAZMAT tracking solution for the Singapore Civil Defense (SCDF). This telemetric solution tracked all hazardous material vehicles coming into Singapore from the border checkpoints and is an integral component in the island nations’ counter-terrorism and total defense efforts. Mr. Leong bided for and won the contract to provide consulting services to the Ministry of Home Affairs (MHA) and was appointed as their consultant for the National Authentication Infrastructure (NAI) project. Mr. Leong holds a B.S in Computer Engineering from Nanyang Technology University in Singapore.

Irv Kraut - Sr. Vice President & Director of Environmental Services (Industrial Hygienist)

Irv Kraut is a medical Hygienist with over 30 years experience in Environmental Health and Safety. Mr. Kraut has worked as a consultant the USEPA and is a published writer for both EPA and the American Chemical Society. Mr. Kraut also provides training and consulting on Infectious Disease issues and has designed training seminars for the Department of Defense, Department of Energy and numerous fortune 500 companies such as Monsanto, Abbot Labs and Johnson & Johnson.

Tim Barden - V.P. of Operations

Mr. Barden has held various senior management roles with the private sector as well as publicly traded companies. Mr. Barden has a strong background in Business Operations and Management, as well as a keen sense for marketing and public relations. During his tenure with Churchill Downs Inc. he was instrumental in developing a high end customer base and managing one of the premier racetracks in the America. Most recently, as V.P. of Operations with a publicly traded internet company, he oversaw the daily operations of the leading internet wagering company in the U.S. He is a graduate of the University of Wisconsin-Madison, with a Bachelor of Science Degree and a graduate of the University of Arizona Race Track Industry Program.

BOARD OF DIRECTORS AND KEY ADVISORY CONSULTANTS

Harold W. Paul-Director, SEC Counsel

Harold Paul is an Attorney and has been engaged in private practice specializing in securities matters for more than 25 years. He has been securities counsel for numerous public companies during that time. He served as President of RPS Group Inc. He served as President of The Ozone Man, Inc. from August 2002 to October 17, 2007. He serves as Director of TOMI Environmental Solutions, Inc. He has been a Director of Zen Holdings Corp. (Kirlin Holding Corp.,) since July 1999. He served as Director of Ariel Corporation from June 1995 to June 2001. He served as Director of RPS Group Inc. since August 2002 and of The Ozone Man, Inc. from August 2002 to October 17, 2007. He specialized in Securities Law in 1985. He holds a BA degree from SUNY at Stony Brook and a JD from Brooklyn Law School and is admitted to practice in New York and Connecticut.

Richard L. Johnson - Senior Vice President and Director, Corporate Counsel

Mr. Johnson serves as Secretary at The Ozone Man, Inc. Mr. Johnson served as Chief Operating Officer of The Ozone Man, Inc. until January 2009. He served as a Business Manager/Attorney and Consultant to a variety of individuals and companies. He is active in private practice in Los Angeles, California. Mr. Johnson has been Director at The Ozone Man Inc. since October 2007. He was admitted the California State Bar Association in 1961.

Willie L. Brown, Jr. - Director

Mr. Brown Is a Distinguished San Francisco Attorney. Mr. Brown provides advice and oversight for all aspects of MV Transportation, Inc.'s business operations. He was elected as a member of the California Assembly in 1964 as one of only four African American members. In 1980, he was elected Speaker of the Assembly and became one of the most powerful politicians in the history of California. In 1995, he was elected as Mayor of San Francisco and served two terms. He has been a Director of The Ozone Man, Inc. since October 2007. Mr. Brown serves as a Director of MV Transportation, Inc. He served as a Director of California State University and Calpers.

Dr. Rip Rice - Executive Advisor

Dr. Rice co-founded the International Ozone Institute, now the International Ozone Association. He has served as IOA’s International President (1982-1983), he was Editor-in-Chief of Ozone: Science & Technology (the peer reviewed Journal of the IOA), and he was also Editor-in-Chief of Ozone News (the newsletter of the IOA during the 1990s). He has authored more than 100 papers dealing with various aspects of Ozone technology, and has edited or co-edited 20 books, proceedings or monographs in the field of Ozone technology. In 1995, Dr. Rice received the Morton J. Klein Memorial Award for outstanding service to the IOA. In 2004, he received the Leadership Award of the IOA’s Pan American Group.

VALUE PROPOSITION

TOMIES Suite of equipment the UV Ozone Generators and the Steramist Mister safely kills mold spores, dust mites, bacteria (including MRSA and C-Diff), eliminates most odors, inactivates viruses (including “Swine Flu”- H1N1), destroys allergens, pet dander and other Bio aerosols found in your indoor environments. With a single treatment we have successfully treated indoor spaces that suffered from cigarette smoke, bacteria, cooking odors, mold, pet odors, poor air quality and even that “New Home” smell (VOC’s -Volatile Organic Compounds) along with the elimination of all bacteria and viruses.

The proprietary TOMI UV Ozone Generators provide the deep cleaning. Safe deployment of next generation ozone technology is only conducted by our highly trained technicians when people, pets, and plants are not present. This revolutionary equipment produces the cleanest ozone south of the stratosphere without any of the residues produced by older technology. Our Steramist products create transient sterilization of all indoor spaces ideal for hospitals, medical offices, ambulances, cruise ships, and schools. This equipment is available both in a mobile and portable unit.

TOMI has recently formed TOMI ENVIRONMENTAL SOLUTIONS-SINGAPORE PTE. LTD.

GROWTH STRATEGY

• Expand in new industry verticals
• Build industry partnerships with companies specializing in disaster remediation
• Continue to educate consumer about ozone and hydrogen peroxide safety and efficacy
• Initiate advertising campaign
• Worldwide opportunities-Penetrate the Singapore market through our subsidiary.
• In China and Korea air inspection is mandatory before any home/property is sold – a policy that likely will be adopted in other countries
• Capitalize on recent industry trends
• Medicare ends reimbursement for some hospital-acquired infections, inactivates viruses including swine flu.

DEMAND DRIVERS

GOING GREEN: Cleaning the Environment for a Healthier Sustainable Life

The spread of airborne and surface contaminates, which can translate to hospital-acquired infections (HAI), is the leading concern of healthcare institutions. Over 100,000 people die a year as a result of HAI. Every day 271 people die equal to a major airline crash

Investigation into governmental and medical literature revealed that up to 90% of an average person’s life is spent indoors and many medical associations, including the AMA (American Medical Association), feel that 50% of all illnesses could be attributed to indoor air pollutants. EPA has stated that concentrations of indoor air contaminants in homes can sometimes reach as much as 200 times the same contaminants found outside. Because of these findings, an idea was born.

* Increase in global health outbreaks, like H1N1 and avian flu, have placed additional emphasis on improving indoor conditions.

* The increasing demand put on the healthcare industry to prevent and curve the high HAI (Hospital Acquired Infection) rate.

* Countries in Asia and the Middle East, who understand the effects of unstable air quality, are likely to pave the way for Eastern countries to adopt remediation tactics, such as those offered by TOMI Environmental Solutions

U.S. Hospital Acquired Infections (HAIs)

Currently, 271 people a day - the equivalent of one airline crash - will die from healthcare-associated infections (HAIs) such as Methicillin-resistant Staphylococcus aureus (MRSA) infections.

According to the Centers for Disease Control:

• About 1.7 million patients suffer annually from care-related infections
• HAIs are the fourth leading cause of death in the U.S.
• HAIs will kill 99,000 people this year
• HAIs kill more people than AIDS, breast cancer and auto accidents combined.

KEY INVESTMENT DRIVERS

• An Enormous (and rapidly growing) worldwide clean air industry solution
• Growing awareness of indoor air solutions
• Strategy to protect downside risk with cash flow from long-term contracts
• Active development in our most important industry – Clean Air
• Conservative operating strategy
• Established growth strategy
• Seasoned management team with exceptional skills, experience, and industry partners

REASONS TO CONSIDER TOMI

The Problem

Sick Building Syndrome (SBS) - Building occupants experience acute health and comfort effects that appear to be linked to time spent in a building, but no specific illness or cause can be identified due to inadequate ventilation

• 90% of an average person’s life is spent indoors
• 50% of all illnesses could be attributed to indoor air pollutants, 39% of all asthma could be eliminated by clean air.
• Concentrations of indoor air contaminants in homes can sometimes reach as much as 200 times the same contaminants found outside
• Today’s homes contain an estimated 1,500 hazardous compounds from ~3,000 man-made products
• SBS creates over $1 billion in direct healthcare costs. HAI’s cost the government and healthcare industry over 30 billion a year.
• SBS costs $60 billion in lost productivity annually

The Solution

• Our advanced technology: state-of-the-art, proprietary Ultra Violet ozone generators, UltraViolet Germicidal Irradiation & Filtration, and our Steramist Aerosol Mister makes up our Advanced Oxidation Systems.
• Kills bacteria (including MRSA & C-Diff), dust mites, thousands of varieties of mold spores and allergen
• Destroys volatile organic compounds (VOC’s)
• Permanently removes odors caused by smoke, cooking, cleaning products, cigars, pets and urine
• Reduces illnesses associated with poor air quality
• Removes possible objections to sale or lease of property
• Inactivates known viruses including H1N1

Industry Outlook for the Clean Air Environmental Initiative

The Market

TOMI Environmental Solutions believes that the domestic and the international market for the Steramist Mister and other UV Ozone generation products and services in commercial and residential settings is in excess of tens of billions of dollars annually. A 2005 report from California Air Resources Board (CARB) estimates that indoor air pollution costs at least $45 billion each year, The EPA states that direct costs from Sick Building Syndrome are in excess of $1 billion, with another $60 billion in annual lost productivity. By comparison, they state their estimates can be considered conservative. If this figure merely represents how many homes, automobiles, boats, RV’s, planes, trains, buses, schools, hospitals and offices have reached a critical level of indoor air pollution, we believe it is reasonable to assume that twice as many would require annual preventative maintenance.

Information Sources:

www.tomiesinc.com
www.medicalnewstoday.com/articles/87452.php
www.skinisthesource.org/pdf/Skin%20is%20the%20Source%20Backgrounder.pdf
www.cdc.gov/hiv/topics/surveillance/basic.htm#ddaids%20Accessed%20October%2016%202007
www.cancer.org/downloads/STT/CAFF2005BrF.pdf
www.car-accidents.com/pages/fatal-accident-statistics.html