[IMG] Legislative Momentum Dear Shareholders, I am pleased to...

Legislative Momentum

Dear Shareholders,

I am pleased to report on some exciting developments in the United States Congress.

Beginning tomorrow, the House of Representatives is expected to begin debate on the National Defense Authorization Act of 2017, legislation which authorizes all military funding for the next calendar year. We have been working closely with policy makers to educate them about the dangerous effects of existing flame retardant (FR) treatment of military uniforms and the benefits of utilizing Alexium’s environmentally friendly, cost effective chemistry. The report accompanying this legislation speaks to this very issue and includes the following language:

"The committee directs the Secretary of the Army, Secretary of the Navy, Secretary of the Air Force, and the Commandant of the Marine Corps to provide a joint briefing to the House Committee on Armed Services by August 15, 2016, that outlines the plan and process, including costs, for providing FR uniform protection postures for all military personnel.”

Our influence and close working relationships with Congressional leaders has been instrumental in the development of this legislation. When the House passes this legislation as expected this week, Alexium will be in a tremendous position to fulfill the Committee’s goal of outfitting all soldiers with FR treated uniforms in an environmentally friendly and cost effective way. I look forward to working with the Department of Defense on this important issue and will keep you updated on other developments here in Washington as they occur.

Nicholas (Nick) Clark
Chief Executive Officer