TPF Thermoplastic Flowforming™ is a revolutionary, proprietary process which makes possible the fully automated manufacture of true long-fiber-reinforced, large, structural, thermoplastic parts. The Process utilizes recycled or virgin resins and readily reprocesses process scrap. The TPF Thermoplastic Flowforming™ process is patented.
Historically, advanced composite materials were utilized almost exclusively by the military and aerospace industries due to the inordinate cost of the materials and processing. TPF Thermoplastic Flowforming™ provides a cost-effective alternative for the production of many larger, long-fiber reinforced thermoplastic composite parts. The Process has key advantages over many manufacturing processes currently in use such as compression molding, injection molding and rotational molding. Advantages include significantly lower cost materials and the reduced labor required to create larger parts made using the TPF Thermoplastic Flowforming™ process. The component consolidation and insertion molding of attachments or fasteners dramatically reduces labor required to assemble multiple smaller components in current process environments. Use of recycled material, reuse of its own process scrap and in-line compounding all contribute to the cost-effectiveness of TPF Thermoplastic Flowforming™.

The TPF Thermoplastic Flowforming™ process has potential application in a broad range of industries including: agriculture, automotive, material handling, transportation, marine, medical, waste management and aerospace. Management believes that TPF Thermoplastic Flowforming™ composite products will be a natural choice to replace many wood, aluminum, steel, other metal alloys, concrete and fiberglass products, by providing products that have corrosion resistance, are lighter and cost less to manufacture. As a thermoplastic process, TPF Thermoplastic Flowforming™ also has an additional advantage in that it does not emit any VOCs. Processing of thermoset composites does emit VOCs.

In summary, the TPF Thermoplastic Flowforming™ process has the capability of producing medium to large-sized, structural parts at costs projected to be well below the cost of current materials and processes. The production cost advantage include: Economies of scale as a result of the mechanical reproduction of large structural parts, rather than fabricating and assembling smaller components. Reduced labor costs of a fully automated process. Reduced labor costs resulting from consolidated component assembly. Reduced cost of materials, due to in-line compounding, use of recycled materials and the elimination of process scrap.

Envirokare believes that its specialization in the field of long-fiber-reinforced thermoplastic composites will give it a competitive advantage. Until recently, thermoplastic composites were not considered commercially viable substitutes for thermoset composites, wood, aluminum, steel, and other metal alloys. However, the key TPF Thermoplastic Flowforming™ technology innovation of long-fiber reinforcing thermoplastics has dramatically increased the mechanical and physical properties of this category of polymers and has made such composites a viable commercial alternative for numerous traditional materials.

Metis Design Corporation Review of the TPF Thermoplastic Flowforming™ Technology

During the second quarter of 2002, the Company engaged the Metis Design Corporation to conduct a review of the TPF Thermoplastic Flowforming™ technology. Metis Design, based in Cambridge, Massachusetts, is a design consulting firm specializing in advanced structural concepts, composite material analysis and optimization, and failure prediction and monitoring schemes.

In the third quarter of 2002, Metis Design Corporation presented management with its findings regarding the TPF Thermoplastic Flowforming™ technology. In the report Metis notes that, as the utilization of advanced thermoplastic composite materials has extended into market segments such as military and aerospace, commercial manufacturers are increasingly demanding lower cost, quicker and more flexible reinforced thermoplastic processing techniques. Metis Design finds that the TPF Thermoplastic Flowforming™ process has significant potential to address this need. In addition, Metis Design reports that the TPF Thermoplastic Flowforming™ process could represent a solution to a long-standing need in the long-fiber reinforced composite manufacturing process. The TPF Thermoplastic Flowforming™ process enables manufacturers to mass produce at high volumes with substantial labor efficiencies compared to many current production techniques, while retaining accuracy and ability to utilize low molding pressures.

In the report Metis Design notes that there are four major areas in which the TPF Thermoplastic Flowforming™ process adds value to reinforced thermoplastic component production:

• Materials flexibility - Offers savings in material costs through in-line compounding, as well as additional material property flexibility achieved through customized reinforcing
• Deposition process - Allows for complicated shapes and ribs, minimal material flow paths, and the ready insertion of other components
• Low pressures - Reduced molding pressures significantly reduce mold costs, lessen wear on both molds and machines and produce stress-free parts
• Machine efficiency - TPF Thermoplastic Flowforming™ adds value by allowing manufacturers to use two or more different molds at the same time, greatly improving efficiency and reducing the number of machines required.

The report also notes that the TPF Thermoplastic Flowforming™ process provides economic advantages over other thermoplastic composite molding methods through reduced labor, material, tooling and machine costs.

In order to further validate the TPF Thermoplastic Flowforming™ method, a series of tests were independently conducted in the Technology Laboratory for Advanced Composites (TELAC) at MIT, testing to ASTM standard. The test results demonstrate that the material properties exhibited in material formed by the TPF Thermoplastic Flowforming™ process are comparable to those from products of traditional processes, and are similar to those properties published by commercially available precompounded materials.