Ann: Investor Presentation - Shaw and Partners Webinar, page-5

Interview was interesting. Approx $5M Capex for Mexicali which will be funded through ocf. Dodged the question about Capex required to meet HP renew targets but I guess no firm decisions have been made yet.

They actually still have significant capacity at the Texas facility (2-3 times current intake). The move to Mexicali relates to itad work - expanding the range of equipment that can be economically repaired/refurbished. These devices are typically 2-3 year old off lease equipment. Some of the devices are also very large which makes shipping the greatest cost - so they want facilities located for east coast and west coast receipts.

When questioned about margins for itad, said they expect margins on a percentage basis should be similar to 30 day returns based on the economics of the Mexicali facility.

When asked about competitive advantage compared to large global itad companies they referred to being nimble and bring a trusted partner - so sounds like nothing which is easy to point to, but the addressable market is very large. Will be interesting to see this play out as the business will be taking on an extra dimension.

When asked about working with other OEMs for refurbishment, they said the natural starting point is through the relationships developed through cartridge collection, working towards establishing refurbishment of large format printers for such OEMs, with hopes of then expanding to laptops etc, whether this be done directly or through itad.