What's Next, page-2

My apologies. Below is my letter to the board -

Gregory Hooper
432 Pine Forest Rd
Tomerong, NSW 2540
Australia
Email: [email protected]
Phone: +61 403 048 875

11/04/2025

The Board of Directors
LaserBond Limited
2/57 Anderson Rd
Smeaton Grange, NSW
Australia

Re: Request for Clarification on Strategic,Operational, and Governance Matters

Dear Members of the LaserBond Board,

I am writing to formally request clarificationon several matters of importance, which I believe are critical to LaserBond’sgovernance, strategic alignment, and the continued integrity of its operations.

1. Declined Opportunity with AML3D

I would like to seek further clarificationregarding the Board’s decision to decline the opportunity presented by NovusCapital to acquire a significant shareholding in AML3D. This decision appearsboth unexpected and unclear, particularly in light of the strong strategicalignment between AML3D’s advanced wire-arc additive manufacturing capabilitiesand LaserBond’s long-established expertise in laser cladding and surfaceengineering.

Notably, AML3D’s recent establishment of afacility in the United States represents a significant strategic milestone. ForLaserBond, which has been exploring pathways into the U.S. market for severalyears, this facility could have offered a well-positioned and accelerated entrypoint, potentially reducing the time, cost, and complexity required toestablish a similar footprint independently.

Given the evident synergies in technology,market reach, and geographic expansion, the Board’s decision to decline thisopportunity raises several questions. Could the Board please elaborate on therationale behind this decision? In particular, it would be helpful tounderstand:

• The evaluation criteria and metrics applied during the assessment.
• Any risks, limitations, or concerns that were identified.
• Strategic or financial considerations that informed the final decision.
• And whether any independent advice or consultation was sought as part of the process.

Clarity on these matters would support transparencyand help stakeholders better understand how this decision aligns withLaserBond’s long-term strategic objectives.

2. Leadership Training Provider – PotentialConflict of Interest

Secondly, I wish to raise concerns regardingthe recent appointment of a company to provide leadership training services,where there appears to be a potential conflict of interest. To that end, Iwould appreciate clarification on the following points:

• What process was undertaken in selecting the provider, and what evaluation or procurement criteria were applied?
• Was the Board fully informed of any existing relationships or affiliations between this provider and any current Board member or senior executive?
• What governance measures or conflict-of-interest policies does LaserBond currently have in place to ensure transparency and fairness in such appointments?

Proper oversight in such matters is essentialto maintaining stakeholder confidence and ensuring consistency with LaserBond’sstated values of integrity and accountability.

3. Recruitment Expenditure Transparency

Thirdly, I am seeking clarification on thereported expenditure of $644,506.00 in recruitment costs, as disclosed in thecompany’s most recent report. Given that public reporting indicates LaserBondemployed 147 staff as of 31 December 2023, the scale of thisexpenditure in the first half of 24/25 is deeply concerning and raises issuesregarding transparency and potential misclassification of costs.

Could the Board please provide a detailedbreakdown of this expenditure, including:

• A clear itemisation of recruitment-related expenses.
• An explanation of any other associated costs grouped under this heading.
• And assurance that these costs accurately reflect recruitment activity alone, rather than broader human resources, consulting functions, or other expense categories.

4. Technical Support and Brand Integrity

In addition to the above matters, I would liketo formally reiterate concerns I raised in a recent phone discussion with theCEO regarding dissatisfaction and eroding trust expressed by one of LaserBond’sLicensees. The issues presented are deeply concerning and reflect what appearsto be a critical gap in the technical competency of the personnel tasked withsupporting Licensees.

After being contacted directly by the Licensee,who was struggling with unresolved technical issues, I engaged in severaldiscussions and reviewed relevant images. Based on this, I was able to identifythe problem and provide effective technical guidance that successfully resolvedtheir immediate concerns. I want to state unequivocally that I did not receive,nor did I seek, any financial benefit for providing this assistance.

It became apparent that the root cause oftheir difficulties stemmed from incorrect technical information they hadreceived from LaserBond, specifically relating to a critical process parameter.This misinformation had significantly contributed to the problems experiencedand understandably undermined the Licensee’s confidence in the support theywere receiving.

This incident calls into question the adequacyof current training, oversight, and technical capability within Laserbond, andspecifically the team members supporting Licensees. Given the importance ofthese relationships to LaserBond’s expansion and reputation, I stronglyrecommend the Board review the current support framework and considerimprovements to training, supervision, and accountability in this area.

In raising these matters, my sole intention isto encourage greater clarity, transparency, and alignment with LaserBond’scorporate values and strategic aspirations. I remain committed to the successof the company and look forward to your considered response.

Yours faithfully,

Gregory Hooper