Uncertain, page-4

I'm not sure KIST is going to be a major short term catalyst - I'm expecting $1-3m revenue and it to be announced as part of the 3Q report...unless there has been a further roadblock. If I recall correctly, sounded like the KIST delay was QHL not doing their export approvals due diligence so a technical delay.

I'm of the opinion, based on my reading of the tea leaves that, the lift for this stock will be:

- LRIP 11 and the current rumor of a larger defined FRP order by US DOD for Lockheed's F-35 (should result in a massive increase in part orders from QHL)

- Something concrete in the DCNS, Thales, Porsche, Futuris, DRX Nano Xray, or any other number of dangled carrots...any will do really as long as it is actually doing something rather than the promise of doing something

Personally, I'm in a holding pattern and will revisit 3Q CY 2017...or if (snort), management actually show their confidence in the stock by buying some.

I'll admit I was disappointed to see David Marino go - I suspect he had a lot to do with our automotive efforts, especially Thales and almost certainly Futuris.

Our new CEO will need some time to settle in, rebuild...so settle back, enjoy the show. There cant be much further to the bottom so a fairly safe place to park some money. Just dont overcommit as it could be sitting in that drawer awhile

GLTAH