Ann: June Shareholder Newsletter, page-26

Highlights:

1. By the end of the current quarter, Alexium will realize margins, on a runrate basis, exceeding our target average of 40% across all sales.
2. In the month of May alone, Alexium chemical shipments in [the mattress] market equaled what we did in the entire first quarter.
3. [The] Company [received] its single biggest one-day specialty chemical order exceeding A$750,000.
4. In short, Alexium is well on target toward runrate cash neutrality during this quarter.
5. Our customers are gearing up for additional product launches at the July Furniture Market, and our sales staff recently attended Interzum (read below) to officially launch our Alexicool product overseas.