(1) articulate a strategic vision for their company (in a few sentences), (2) set performance targets for EPS, ROE, stock price appreciation, credit rating, and image rating for each of the next three years, (3) state the competitive strategy the company will pursue, (4) cite data showing that the chosen strategy either is currently on track or requires further managerial actions, and (5) develop a projected income statement for the each of the next three years based upon expected unit sales, revenues, costs, and profits.

ACTION-CAPTURE CAMERA DESIGN UAV DRONE DESIGN Decisions / Reports Menu Built-In Camera Company's Best Model + GPS / WIFI / Bluetooth Significant Upgrade - Image Sensor Size LCD Display Screen Image Quality (maximum resolution) Number of Photo Modes (video / still) 11mm - diagonal 1040k - pixels 2704x2028 - pix. Battery Pack (maximum flight time) 8/3- modes DECISION ENTRIES - YEAR 6 Enhanced - Product Design AC Camera Marketing UAV Drone Marketing 12 minutes 6- rotors Number of Rotors Rotor Performance / Flight Controller Body Frame Construction Obstacle Sensors Enhanced - Compensation & Facilities Special Contract Offers Corporate Citizenship $ 10- Camera Housing Product Enhancements per camera g10/FR4 Fiberglass $ 10 - Editing/Sharing Capabilities per camera Front/Rear - Included Accessories $ 11 - per camera Camera Stabilization Device Enhanced - Finance & Cash Flow Extra Performance Features |features Extra Performance Features features CAMERA & DRONE JOURNAL 2- models Number of AC Camera Models Number of UAV Drone Models 1- models Page 1 (Scoreboard) $ 15000 $ 20000 - $ 65,000 Product R&D Expenditures (Y5 was $20,000) Cumulative R&D Expenditures (all years) Product R&D Expenditures (Y5 was $15,000) Cumulative R&D Expenditures (all years) J(so00s) (so00s) Page 2 (EPS, ROE, Stock Price) Page 3 (Credit Rating, Image, CSRC) 45,000 (S000s) (SO00s) 4.7 * Performance / Quality Rating (P/Q Rating ranges from 1-10 stars) Performance / Quality Rating (P/Q Rating ranges from 1-10 stars) 4.5 * Projected Y6 Performance $000s $/unit Projected AC Camera Production Costs $/unit $000s Projected UAV Drone Production Costs Investor Year 6 Expect. Image Sensor LCD Display Screen Image Quality Photo Modes 36,194 8,745 12,243 6,996 2,973 7,871 3,148 15,741 93,911 206.94 50.00 9,690 14,535 7,752 8,721 10.00 Built-In Camera GPS / WIFI / Bluetooth Battery Pack Rotors / Performance / Controller Body Frame Construction Obstacle Sensors Scoring Measures 15.00 $1.25 19.7% $1.25 Earnings Per Share Return On Equity Credit Rating Image Rating 8.00 70.00 17.5% 9.00 40.00 B+ B+ Camera Housing Editing / Sharing Capabilities Included Accessories Extra Performance Features 9.690 10.00 17.00 79 70 45.00 18.00 9,690 10,659 8,721 10.00 Change from 5 11.00 Camera Stabilization Device Other Measures Year 6 Extra Performance Features 9.00 90.00 Net Revenues (S000s) Net Profit so0s) 409,617 +22.6% 82.00 Total Cost of Components and Features 79,458 Total Cost of Components and Features 536.94 24,961 +66.4 Assembly Labor Costs Product R&D Expenditures Allowance for Warranty Repairs Maintenance of Plant and Equipment Depreciation of Plant and Equipment Total Camera Production/Assembly Cost Assembly Labor Costs Product R&D Expenditures Allowance for Warranty Repairs Maintenance of Plant and Equipment Depreciation of Plant and Equipment Total Drone Production/Assembly Cost 11,378 15,000 3,810 10,560 5,175 139,834 65.05 85.76 21.78 60.38 29.59 31,567 20,000 4,600 14,588 7,675 157,888 32.58 Ending Cash (so0s) 15,117 +10,117 20.64 4.75 15.05 7.92 Sa 1 itayan A. 1S TIUW UI IIe. Rayan A. is now online. 162.94 799.51 Rayan A. is now online. Total Total Regular Overtime Regular Overtime UAV Drone Unit Assembly (000s) Rayan A. is now online. AC Camera Unit Assembly (o00s) 900.0 69.0 969.0 156.0 18.9 174.9 Ravan A is now online ACTION-CAPTURE CAMERA MARKETING North America Europe-Africa Asia-Pacific Latin America Decisions / Reports Menu $ 255 $ 230 $ 250 $ 205 Average Wholesale Price to Retailers ($/unit) DECISION ENTRIES - YEAR 6 Buyer Appeal Variables Generated -P/Q Rating from Product Design Decisions 4.7 4.7 4.7 4.7 Product Design AC Camera Marketing UAV Drone Marketing No. of Models 2 models 2 models 2 models 2 models Retailer Support Budget (so00s) Projected Support Expenditures Per Unit Sold Advertising Budget (so00s) Website Displays/Info (so00s) $ 1710 $5.63 per unit $ 1200 $6.42 per unit $ 1500 $5.59 per unit 780 $3.71 per unit Compensation & Facilities Special Contract Offers Corporate Citizenship $ 1400 $ 3000 $ 2000 $ 1100 $ 900 $ 750 $ 600 $ 1200 Sales Promotions (number of weeks | % discount) 2 wks - 10% - 2 wks - 15% - 2 wks - 15% - 1 wk - 10% - Finance & Cash Flow Warranty Period (60 days, 90 days, 120 days, 180 days, 1 year) Expected Claim Rate (%) | Repair Cost (so00s) 90 days - 10.3% $960 90 days - 10.3% $1,555 90 days - 10.3% $1,375 60 days - 6.8% $710 CAMERA & DRONE JOURNAL Page 1 (Scoreboard) Year 5 Actual Projected Year 5 Actual Projected Year 5 Actual Projected Year 5 Actual Projected Year 6 Year 6 Year 6 Year 6 Market Segment Statistics Page 2 (EPS, ROE, Stock Price) Page 3 (Credit Rating, Image, CSRC) AC Camera Demand and Market Share Unit Demand (000s) Market Share (%) 240.0 285.0 303.9 268.1 185.0 186.9 130.0 12.5% 18.5% 210.1 11.5% 12.5% 12.6% 12.5% 13.2% 12.5% Year 5 Year 6 Year 5 Year 6 Year 5 Year 6 Year 5 Year 6 Projected Y6 Performance 0 Multi-Store Chains Online Retailers Local Retail Shops Retail Outlets (number willing to cary the company's product line) 36 36 30 30 24 24 18 18 Investor Year 6 Expect. 72 72 60 60 48 48 36 36 Scoring Measures 3,000 2,500 2,500 2,000 2,000 1,000 1,000 3,000 Eamings Per Share Return On Equity Credit Rating Image Rating $1.25 $1.25 19.7% 17.5% $ Per Unit Price-Cost-Profit Breakdown (S per unit sold) $ Per Unit $ Per Unit $ Per Unit B+ B+ 255.00 250.00 Wholesale Price 230.00 205.00 -0.40 0.00 Revenue Projections 79 70 - Promotional Discounts * Exchange Rate Adjustment -1.47 -1.33 -0.96 Change from Y5 0.00 0.00 0.00 Other Measures Year 6 228.67 204.61 253.53 249.04 Net Revenues Net Revenues (S000s) Net Profit ($000s) Ending Cash ($000) 409,617 +226% 163.31 6.00 161.57 Operating Cost Projections 163.32 163.33 24,961 Cost of Units Assembled +66.4 21.00 17.12 Delivery Costahipping / import duties) Marketing Costs Administrative Expenses 15.20 15.29 18.30 15,117 +10,117 22.08 10.14 8.46 8.46 8.46 8.46 199.85 202.28 209.92 198.47 Total Operating Costs Rayan A. IS TIUW UI IIIE. 53.68 6.14 Operating Profit 26.39 39.12 Rayan A. is now online. 3.0% Operating Profit Margin (operating profit - net revenues) 21.2% 11.5% 15.7% Rayan A. is now online. North America Latin America Competitive Assumptions Europe-Africa Asia-Pacific Rayan A. is now online. 225 - per unit $ 4.0 - * $ 225 - per unit 4.0 a 3.0 - models $( 6.00 - per unit $( 750 - Js000s) $ 225 - Jper unit 4.0 - * Anticipated Industry Average Marketing $ 225 - -Price to Retailers Rayan A. is now online. per unit P/Q Rating Number of Models Retailer Support Advertising Budget Website Displays 4.0 - * Rayan A. is now online. Efforts in Year 6 3.0 - 3.0 - 3.0 - models models $( 6.00 - per unit $ 1,400 -so00s) $ 1,200 -s000s) models $( 6.00 - $ 6.00 - $ 2,500 -s000s) $ 1,500 -s000s) per unit per unit $ 1,000 -s000s) Send message... $ 900 - $ 600 - ($000s) ($000s) 10.00/ UAV DRONE MARKETING North America Europe-Africa Asia-Pacific Latin America Decisions / Reports Menu $ 1100 $ 1100 15% - $ 1050 15% - $ 1050 15% - Average Retail Price (S/unit to direct online customers) Discount Offered to 3rd-Party Online Retailers DECISION ENTRIES - YEAR 6 15% - Product Design AC Camera Marketing UAV Drone Marketing Compensation & Facilities Special Contract Offers Corporate Citizenship Buyer Appeal Variables Generated P/Q Rating from Product Design Decisions 4.5 4.5 4.5 1 models 4.5 No. of Models 1 models No. of 1 models 1 models Website Product Displays / Info (so00s) Search Engine Advertising ($o00s) Retailer Recruitment / Support Budget (s000s) Retailer Recruitment / Support (per 3rd-party unit sold) $ 1200 1200 $ 600 $ 300 $ 900 $ 600 $ 1500 $ 1500 $ 1144 $64.27 per unit $ 944 $63.78 per unit $ 616 $63.51 per unit $ 376 $63.73 per unit Finance & Cash Flow Warranty Period (60 days, 90 days, 120 days, 180 days, 1 year) Expected Claim Rate (%) | Repair Cost (soo0s) 60 days - 7.3% $1,410.0 60 days - 7.3% $1,170.0 60 days - 7.3% $450.0 60 days - 7.3% $781.0 CAMERA & DRONE JOURNAL Page 1 (Scoreboard) Year 5 Actual Projected Year 5 Actual Projected Year 5 Year 5 Actual Projected Year 6 Year 6 Year 6 Year 6 Market Segment Statistics Page 2 (EPS, ROE, Stock Price) Actual Projected Page 3 (Credit Rating, Image, CSRC) -Direct (thru company website) 3rd-Party (thru online retailers) 12.3 UAV Drone Demand and Market Share 37.7 46.8 17.8 31.2 11.8 39.0 20.3 25.5 15.4 14.3 14.8 7.7 9.7 4.7 5.9 28.0 12.5% Total Unit Demand (000s) Market Share (%) 52.0 64.6 43.0 53.8 35.2 17.0 21.3 Projected Y6 Performance 13.5% 13.5% 12.5% 12.5% 13.3% 12.5% 13.3% Investor Year 6 Expect Year 5 Year 5 Year 6 Year 5 Year 6 Year 5 Year 6 Year 6 Scoring Measures Online Retailers (willing to carry the company's product line) 36 36 30 30 24 24 18 18 $1.25 $1,25 Eamings Per Share Return On Equity Credit Rating Image Rating Direct 3rd-Party Online Sales 19.7% 17.5% Direct 3rd-Party Online Sales Direct 3rd-Party Online Sales Direct 3rd-Party Online Sales Price-Cost-Profit Breakdown ($ per unit sold) Online Retailers Online Retailers Online Retailers Online Retailers B+ B+ 79 70 1,100.00 935.00 0.00 1,100.00 935.00 0.00 1,050.00 892.47 1,050.00 892.54 0.00 Revenue Projections Selling Price * Exchange Rate Adjustment Change from Y5 Other Measures 0.00 0.00 0.00 0.00 0.00 Year 6 1,100.00 935.00 1,050.00 892.47 1,100.00 935.00 1,050.00 892.54 Net Revenues Net Revenues (S000s) Net Profit ($000s) Ending Cash ($000s) 409,617 +226% 24,961 +66.4 799.76 62.50 64.10 10.88 799,39 799.16 799.49 800.16 799.28 799,55 796.95 Operating Cost Projections Cost of Units Assembled 15,117 +10,117 Delivery Cost (shipping / import duties) Marketing Costs Administrative Expenses 12.47 106.51 49.93 125.53 65.98 125.52 66.10 64.27 61.54 63.78 58.82 63.51 58.44 63.73 es 1 10.84 10.88 10.87 10.90 10.82 10.91 10.85 886.74 994.42 937.24 978.41 923.99 995.41 939.59 937.63 IS TIOW UII le. Total Operating Costs itayan A. 11.01 Operating Profit 162.76 48.26 121.59 54.59 -47.11 55.58 -45.08 Rayan A. is now online. 5.2% 12.4% 11.1% 5.3% -5.1% 2.8% 14.8% 1.2% 8.6% 5.2% -5.3% 2.6% Rayan A. is now online. Operating Profit Margin (operating profit + net revenues) Rayan A. is now online. Latin America Competitive Assumptions North America Europe-Africa Asia-Pacific Rayan A. is now online. $ 1,100 - per unit 15.0 - % 4.0 - * $ 1,100 - per unit 15.0 - % $ 1,050 - per unit $ 1,050 -per unit 15.0 a % 4.0 - Anticipated Industry Average Marketing Efforts in Year 6 Average Retail Price Rayan A. is now online. 15.0 - Retailer Discount 4.0 - * P/Q Rating 4.0 - 2.0 - 2.0 - 2.0 - Imodels 2.0 - models 1,200 -so0s) Number of Models models models Send message.. 1,500 $ 900 - $ 600 - e( 200 Website Displays |($000s) ($000s) ($000s) 0 us.com/users/program/decisions/uav-marketing 1 600 (1200 . foouoh Engino Odueutining SeoneL UAV DRONE WORKFORCE COMPENSATION AC CAMERA WORKFORCE COMPENSATION Decisions / Reports Menu Ind. Avg. (last year) Company Ind. Avg. Company (Year 6) Compensation Decisions Compensation Decisions (Year 6) (last year) DECISION ENTRIES - YEAR 6 $20,604 1,800 800 2,000 +1% - change $ 4,80 $ 800 $20,604 1,800 $20,400 Base Wage (per PAT member) Assembly Quality Incentive $20,400 Base Wage (per PAT member) Assembly Quality Incentive Attendance Bonus Fringe Benefit Package Total Compensation ($ per worker per year) +1% Product Design AC Camera Marketing UAV Drone Marketing Jchange $ 2.40 - per unit $ 800 - $ 2000 1,800 1,800 per unit Attendance Bonus 800 800 800 Iper worker $1 2000 - per worker per worker 2,000 $25,204 Fringe Benefit Package Total Compensation ($ per worker per year) 2,000 $25,000 2,000 Compensation & Facilities Special Contract Offers Corporate Citizenship per worker $25,204 $25,000 $ 1000 - $ 1000 - Best Practices / Productivity Improvement Training ($/PAT) Best Practices / Productivity Improvement Training (SPAT) Finance & Cash Flow 3,213 Projected PAT Productivity (AC Camera units per PAT per year) Projected PAT Productivity (UAV Drone units per PAT per year) 1,561 CAMERA & DRONE JOURNAL AC CAMERA ASSEMBLY FACILITY UAV DRONE ASSEMBLY FACILITY Page 1 (Scoreboard) Page 2 (EPS, ROE, Stock Price) Workstation Spaces Workstation Spaces Installed Workstations Installed Workstations Page 3 (Credit Rating, Image, CSRC) 300 spaces 280 workstns 110 spaces 100 workstns At the End of Year 5 At the End of Year 5 At the End of Year 5 At the End of Year 5 0- s400ken 110 spaces Expansion hewspaces) 0, $400k ea 300 spaces $125kea Expansion newspaces) Installed for Y6 Installed for Y6 $175kea 100 workstns 280 workstns Available for Year 6 Available for Year 6 Available for Year 6 Available for Year 6 Projected Y6 Performance Additional Workstations Needed to Avoid Overtime Assembly Additional Workstations Needed to Avoid Overtime Assembly 22 13 Investor Year 6 Expect Scoring Measures 156.0 w/o OT Assembly Capability (000s of unita) Projected Camera Demand (000s of units) Expected ACC Unit Shortfall (unsatisfied demand) 900.0 wo OT 1,080.0 at maximum OT 969.0 Assembly Capability (000s of units) Projected Drone Demand (000s of units) 187.0 at maximum OT Eamings Per Share Retum On Equity Credit Rating Image Rating $1.25 $1.25 17.5% 174.9 19.7% 0.0 (000s of units) Expected UAV Unit Shortfall (unsatisfied demand) 0.0 (p00s of units) B+ B+ 79 70 Labor Costs Labor Costs $/unit Units (000s) Units (000s) Unit Assembly and Labor Costs Unit Assembly and Labor Costs Change from 5 $000s $/unit $000s Other Measures Net Revenues ($000s) Net Profit $0s) Year 6 900.0 69.0 Regular-Time Overtime 62.41 81.59 ACC Assembly Regular-Time Overtime UAV Assembly 28,466 2,820 281 31. 40.87 0.29 156.0 9,736 1,542 100 409,617 +226% 18.9 +66.4 24,961 Training Training 0.57 Ending Cash ($000s) 15,117 +10,117 32.58 65.05 Total 969.0 31,567 Total 174.9 11,378 No Upgrade - No Upgrade - Robotics Upgrade for All ACC Workstations (to reduce the number of persons per PAT from 4 to 3) Robotics Upgrade for All UAV Workstations (to reduce the number of persons per PAT from 4 to 3) Hayan A. IS TIUW UIIE. $000s $000s is now online. Depreciation (5% of $0k capital cost of upgrade) Labor (total savings in wages and incentive pay) Maintenance (additional cost of $9.0k per workstation) Interest (if financed 100% with a 10-Year Loan | Net Annual Cost Impact of Robotics Upgrade Cost Impact of-Depreciation (5% of $0k capital cost of upgrade) Rayan A. Cost Impact of Upgrade ($000s) Upgrade (S000n) Labor (total savings in wages and incentive pay) Maintenance (additional cost of $9.0k per workstation) Interest (if financed 100% with a 10-Year Loan Net Annual Cost Impact of Robotics Upgrade is now online. Rayan A. Rayan A. is now online. is now online. Rayan A. Robotics Capital Expenditures Workstns Expansion Upgrade Facility Total Outlays $0 Robotics Capital Expenditures Workstns Expansion Upgrade Facility Total New New Outlays Rayan A. is now online. $0 $0 Y6 Capital Outlays ($000s) $0 $0 Y6 Capital Outlays ($000s) $0 $0 $0 Sond ACTION-CAPTURE CAMERA DESIGN UAV DRONE DESIGN Decisions / Reports Menu Built-In Camera Company's Best Model + GPS / WIFI / Bluetooth Significant Upgrade - Image Sensor Size LCD Display Screen Image Quality (maximum resolution) Number of Photo Modes (video / still) 11mm - diagonal 1040k - pixels 2704x2028 - pix. Battery Pack (maximum flight time) 8/3- modes DECISION ENTRIES - YEAR 6 Enhanced - Product Design AC Camera Marketing UAV Drone Marketing 12 minutes 6- rotors Number of Rotors Rotor Performance / Flight Controller Body Frame Construction Obstacle Sensors Enhanced - Compensation & Facilities Special Contract Offers Corporate Citizenship $ 10- Camera Housing Product Enhancements per camera g10/FR4 Fiberglass $ 10 - Editing/Sharing Capabilities per camera Front/Rear - Included Accessories $ 11 - per camera Camera Stabilization Device Enhanced - Finance & Cash Flow Extra Performance Features |features Extra Performance Features features CAMERA & DRONE JOURNAL 2- models Number of AC Camera Models Number of UAV Drone Models 1- models Page 1 (Scoreboard) $ 15000 $ 20000 - $ 65,000 Product R&D Expenditures (Y5 was $20,000) Cumulative R&D Expenditures (all years) Product R&D Expenditures (Y5 was $15,000) Cumulative R&D Expenditures (all years) J(so00s) (so00s) Page 2 (EPS, ROE, Stock Price) Page 3 (Credit Rating, Image, CSRC) 45,000 (S000s) (SO00s) 4.7 * Performance / Quality Rating (P/Q Rating ranges from 1-10 stars) Performance / Quality Rating (P/Q Rating ranges from 1-10 stars) 4.5 * Projected Y6 Performance $000s $/unit Projected AC Camera Production Costs $/unit $000s Projected UAV Drone Production Costs Investor Year 6 Expect. Image Sensor LCD Display Screen Image Quality Photo Modes 36,194 8,745 12,243 6,996 2,973 7,871 3,148 15,741 93,911 206.94 50.00 9,690 14,535 7,752 8,721 10.00 Built-In Camera GPS / WIFI / Bluetooth Battery Pack Rotors / Performance / Controller Body Frame Construction Obstacle Sensors Scoring Measures 15.00 $1.25 19.7% $1.25 Earnings Per Share Return On Equity Credit Rating Image Rating 8.00 70.00 17.5% 9.00 40.00 B+ B+ Camera Housing Editing / Sharing Capabilities Included Accessories Extra Performance Features 9.690 10.00 17.00 79 70 45.00 18.00 9,690 10,659 8,721 10.00 Change from 5 11.00 Camera Stabilization Device Other Measures Year 6 Extra Performance Features 9.00 90.00 Net Revenues (S000s) Net Profit so0s) 409,617 +22.6% 82.00 Total Cost of Components and Features 79,458 Total Cost of Components and Features 536.94 24,961 +66.4 Assembly Labor Costs Product R&D Expenditures Allowance for Warranty Repairs Maintenance of Plant and Equipment Depreciation of Plant and Equipment Total Camera Production/Assembly Cost Assembly Labor Costs Product R&D Expenditures Allowance for Warranty Repairs Maintenance of Plant and Equipment Depreciation of Plant and Equipment Total Drone Production/Assembly Cost 11,378 15,000 3,810 10,560 5,175 139,834 65.05 85.76 21.78 60.38 29.59 31,567 20,000 4,600 14,588 7,675 157,888 32.58 Ending Cash (so0s) 15,117 +10,117 20.64 4.75 15.05 7.92 Sa 1 itayan A. 1S TIUW UI IIe. Rayan A. is now online. 162.94 799.51 Rayan A. is now online. Total Total Regular Overtime Regular Overtime UAV Drone Unit Assembly (000s) Rayan A. is now online. AC Camera Unit Assembly (o00s) 900.0 69.0 969.0 156.0 18.9 174.9 Ravan A is now online ACTION-CAPTURE CAMERA MARKETING North America Europe-Africa Asia-Pacific Latin America Decisions / Reports Menu $ 255 $ 230 $ 250 $ 205 Average Wholesale Price to Retailers ($/unit) DECISION ENTRIES - YEAR 6 Buyer Appeal Variables Generated -P/Q Rating from Product Design Decisions 4.7 4.7 4.7 4.7 Product Design AC Camera Marketing UAV Drone Marketing No. of Models 2 models 2 models 2 models 2 models Retailer Support Budget (so00s) Projected Support Expenditures Per Unit Sold Advertising Budget (so00s) Website Displays/Info (so00s) $ 1710 $5.63 per unit $ 1200 $6.42 per unit $ 1500 $5.59 per unit 780 $3.71 per unit Compensation & Facilities Special Contract Offers Corporate Citizenship $ 1400 $ 3000 $ 2000 $ 1100 $ 900 $ 750 $ 600 $ 1200 Sales Promotions (number of weeks | % discount) 2 wks - 10% - 2 wks - 15% - 2 wks - 15% - 1 wk - 10% - Finance & Cash Flow Warranty Period (60 days, 90 days, 120 days, 180 days, 1 year) Expected Claim Rate (%) | Repair Cost (so00s) 90 days - 10.3% $960 90 days - 10.3% $1,555 90 days - 10.3% $1,375 60 days - 6.8% $710 CAMERA & DRONE JOURNAL Page 1 (Scoreboard) Year 5 Actual Projected Year 5 Actual Projected Year 5 Actual Projected Year 5 Actual Projected Year 6 Year 6 Year 6 Year 6 Market Segment Statistics Page 2 (EPS, ROE, Stock Price) Page 3 (Credit Rating, Image, CSRC) AC Camera Demand and Market Share Unit Demand (000s) Market Share (%) 240.0 285.0 303.9 268.1 185.0 186.9 130.0 12.5% 18.5% 210.1 11.5% 12.5% 12.6% 12.5% 13.2% 12.5% Year 5 Year 6 Year 5 Year 6 Year 5 Year 6 Year 5 Year 6 Projected Y6 Performance 0 Multi-Store Chains Online Retailers Local Retail Shops Retail Outlets (number willing to cary the company's product line) 36 36 30 30 24 24 18 18 Investor Year 6 Expect. 72 72 60 60 48 48 36 36 Scoring Measures 3,000 2,500 2,500 2,000 2,000 1,000 1,000 3,000 Eamings Per Share Return On Equity Credit Rating Image Rating $1.25 $1.25 19.7% 17.5% $ Per Unit Price-Cost-Profit Breakdown (S per unit sold) $ Per Unit $ Per Unit $ Per Unit B+ B+ 255.00 250.00 Wholesale Price 230.00 205.00 -0.40 0.00 Revenue Projections 79 70 - Promotional Discounts * Exchange Rate Adjustment -1.47 -1.33 -0.96 Change from Y5 0.00 0.00 0.00 Other Measures Year 6 228.67 204.61 253.53 249.04 Net Revenues Net Revenues (S000s) Net Profit ($000s) Ending Cash ($000) 409,617 +226% 163.31 6.00 161.57 Operating Cost Projections 163.32 163.33 24,961 Cost of Units Assembled +66.4 21.00 17.12 Delivery Costahipping / import duties) Marketing Costs Administrative Expenses 15.20 15.29 18.30 15,117 +10,117 22.08 10.14 8.46 8.46 8.46 8.46 199.85 202.28 209.92 198.47 Total Operating Costs Rayan A. IS TIUW UI IIIE. 53.68 6.14 Operating Profit 26.39 39.12 Rayan A. is now online. 3.0% Operating Profit Margin (operating profit - net revenues) 21.2% 11.5% 15.7% Rayan A. is now online. North America Latin America Competitive Assumptions Europe-Africa Asia-Pacific Rayan A. is now online. 225 - per unit $ 4.0 - * $ 225 - per unit 4.0 a 3.0 - models $( 6.00 - per unit $( 750 - Js000s) $ 225 - Jper unit 4.0 - * Anticipated Industry Average Marketing $ 225 - -Price to Retailers Rayan A. is now online. per unit P/Q Rating Number of Models Retailer Support Advertising Budget Website Displays 4.0 - * Rayan A. is now online. Efforts in Year 6 3.0 - 3.0 - 3.0 - models models $( 6.00 - per unit $ 1,400 -so00s) $ 1,200 -s000s) models $( 6.00 - $ 6.00 - $ 2,500 -s000s) $ 1,500 -s000s) per unit per unit $ 1,000 -s000s) Send message... $ 900 - $ 600 - ($000s) ($000s) 10.00/ UAV DRONE MARKETING North America Europe-Africa Asia-Pacific Latin America Decisions / Reports Menu $ 1100 $ 1100 15% - $ 1050 15% - $ 1050 15% - Average Retail Price (S/unit to direct online customers) Discount Offered to 3rd-Party Online Retailers DECISION ENTRIES - YEAR 6 15% - Product Design AC Camera Marketing UAV Drone Marketing Compensation & Facilities Special Contract Offers Corporate Citizenship Buyer Appeal Variables Generated P/Q Rating from Product Design Decisions 4.5 4.5 4.5 1 models 4.5 No. of Models 1 models No. of 1 models 1 models Website Product Displays / Info (so00s) Search Engine Advertising ($o00s) Retailer Recruitment / Support Budget (s000s) Retailer Recruitment / Support (per 3rd-party unit sold) $ 1200 1200 $ 600 $ 300 $ 900 $ 600 $ 1500 $ 1500 $ 1144 $64.27 per unit $ 944 $63.78 per unit $ 616 $63.51 per unit $ 376 $63.73 per unit Finance & Cash Flow Warranty Period (60 days, 90 days, 120 days, 180 days, 1 year) Expected Claim Rate (%) | Repair Cost (soo0s) 60 days - 7.3% $1,410.0 60 days - 7.3% $1,170.0 60 days - 7.3% $450.0 60 days - 7.3% $781.0 CAMERA & DRONE JOURNAL Page 1 (Scoreboard) Year 5 Actual Projected Year 5 Actual Projected Year 5 Year 5 Actual Projected Year 6 Year 6 Year 6 Year 6 Market Segment Statistics Page 2 (EPS, ROE, Stock Price) Actual Projected Page 3 (Credit Rating, Image, CSRC) -Direct (thru company website) 3rd-Party (thru online retailers) 12.3 UAV Drone Demand and Market Share 37.7 46.8 17.8 31.2 11.8 39.0 20.3 25.5 15.4 14.3 14.8 7.7 9.7 4.7 5.9 28.0 12.5% Total Unit Demand (000s) Market Share (%) 52.0 64.6 43.0 53.8 35.2 17.0 21.3 Projected Y6 Performance 13.5% 13.5% 12.5% 12.5% 13.3% 12.5% 13.3% Investor Year 6 Expect Year 5 Year 5 Year 6 Year 5 Year 6 Year 5 Year 6 Year 6 Scoring Measures Online Retailers (willing to carry the company's product line) 36 36 30 30 24 24 18 18 $1.25 $1,25 Eamings Per Share Return On Equity Credit Rating Image Rating Direct 3rd-Party Online Sales 19.7% 17.5% Direct 3rd-Party Online Sales Direct 3rd-Party Online Sales Direct 3rd-Party Online Sales Price-Cost-Profit Breakdown ($ per unit sold) Online Retailers Online Retailers Online Retailers Online Retailers B+ B+ 79 70 1,100.00 935.00 0.00 1,100.00 935.00 0.00 1,050.00 892.47 1,050.00 892.54 0.00 Revenue Projections Selling Price * Exchange Rate Adjustment Change from Y5 Other Measures 0.00 0.00 0.00 0.00 0.00 Year 6 1,100.00 935.00 1,050.00 892.47 1,100.00 935.00 1,050.00 892.54 Net Revenues Net Revenues (S000s) Net Profit ($000s) Ending Cash ($000s) 409,617 +226% 24,961 +66.4 799.76 62.50 64.10 10.88 799,39 799.16 799.49 800.16 799.28 799,55 796.95 Operating Cost Projections Cost of Units Assembled 15,117 +10,117 Delivery Cost (shipping / import duties) Marketing Costs Administrative Expenses 12.47 106.51 49.93 125.53 65.98 125.52 66.10 64.27 61.54 63.78 58.82 63.51 58.44 63.73 es 1 10.84 10.88 10.87 10.90 10.82 10.91 10.85 886.74 994.42 937.24 978.41 923.99 995.41 939.59 937.63 IS TIOW UII le. Total Operating Costs itayan A. 11.01 Operating Profit 162.76 48.26 121.59 54.59 -47.11 55.58 -45.08 Rayan A. is now online. 5.2% 12.4% 11.1% 5.3% -5.1% 2.8% 14.8% 1.2% 8.6% 5.2% -5.3% 2.6% Rayan A. is now online. Operating Profit Margin (operating profit + net revenues) Rayan A. is now online. Latin America Competitive Assumptions North America Europe-Africa Asia-Pacific Rayan A. is now online. $ 1,100 - per unit 15.0 - % 4.0 - * $ 1,100 - per unit 15.0 - % $ 1,050 - per unit $ 1,050 -per unit 15.0 a % 4.0 - Anticipated Industry Average Marketing Efforts in Year 6 Average Retail Price Rayan A. is now online. 15.0 - Retailer Discount 4.0 - * P/Q Rating 4.0 - 2.0 - 2.0 - 2.0 - Imodels 2.0 - models 1,200 -so0s) Number of Models models models Send message.. 1,500 $ 900 - $ 600 - e( 200 Website Displays |($000s) ($000s) ($000s) 0 us.com/users/program/decisions/uav-marketing 1 600 (1200 . foouoh Engino Odueutining SeoneL UAV DRONE WORKFORCE COMPENSATION AC CAMERA WORKFORCE COMPENSATION Decisions / Reports Menu Ind. Avg. (last year) Company Ind. Avg. Company (Year 6) Compensation Decisions Compensation Decisions (Year 6) (last year) DECISION ENTRIES - YEAR 6 $20,604 1,800 800 2,000 +1% - change $ 4,80 $ 800 $20,604 1,800 $20,400 Base Wage (per PAT member) Assembly Quality Incentive $20,400 Base Wage (per PAT member) Assembly Quality Incentive Attendance Bonus Fringe Benefit Package Total Compensation ($ per worker per year) +1% Product Design AC Camera Marketing UAV Drone Marketing Jchange $ 2.40 - per unit $ 800 - $ 2000 1,800 1,800 per unit Attendance Bonus 800 800 800 Iper worker $1 2000 - per worker per worker 2,000 $25,204 Fringe Benefit Package Total Compensation ($ per worker per year) 2,000 $25,000 2,000 Compensation & Facilities Special Contract Offers Corporate Citizenship per worker $25,204 $25,000 $ 1000 - $ 1000 - Best Practices / Productivity Improvement Training ($/PAT) Best Practices / Productivity Improvement Training (SPAT) Finance & Cash Flow 3,213 Projected PAT Productivity (AC Camera units per PAT per year) Projected PAT Productivity (UAV Drone units per PAT per year) 1,561 CAMERA & DRONE JOURNAL AC CAMERA ASSEMBLY FACILITY UAV DRONE ASSEMBLY FACILITY Page 1 (Scoreboard) Page 2 (EPS, ROE, Stock Price) Workstation Spaces Workstation Spaces Installed Workstations Installed Workstations Page 3 (Credit Rating, Image, CSRC) 300 spaces 280 workstns 110 spaces 100 workstns At the End of Year 5 At the End of Year 5 At the End of Year 5 At the End of Year 5 0- s400ken 110 spaces Expansion hewspaces) 0, $400k ea 300 spaces $125kea Expansion newspaces) Installed for Y6 Installed for Y6 $175kea 100 workstns 280 workstns Available for Year 6 Available for Year 6 Available for Year 6 Available for Year 6 Projected Y6 Performance Additional Workstations Needed to Avoid Overtime Assembly Additional Workstations Needed to Avoid Overtime Assembly 22 13 Investor Year 6 Expect Scoring Measures 156.0 w/o OT Assembly Capability (000s of unita) Projected Camera Demand (000s of units) Expected ACC Unit Shortfall (unsatisfied demand) 900.0 wo OT 1,080.0 at maximum OT 969.0 Assembly Capability (000s of units) Projected Drone Demand (000s of units) 187.0 at maximum OT Eamings Per Share Retum On Equity Credit Rating Image Rating $1.25 $1.25 17.5% 174.9 19.7% 0.0 (000s of units) Expected UAV Unit Shortfall (unsatisfied demand) 0.0 (p00s of units) B+ B+ 79 70 Labor Costs Labor Costs $/unit Units (000s) Units (000s) Unit Assembly and Labor Costs Unit Assembly and Labor Costs Change from 5 $000s $/unit $000s Other Measures Net Revenues ($000s) Net Profit $0s) Year 6 900.0 69.0 Regular-Time Overtime 62.41 81.59 ACC Assembly Regular-Time Overtime UAV Assembly 28,466 2,820 281 31. 40.87 0.29 156.0 9,736 1,542 100 409,617 +226% 18.9 +66.4 24,961 Training Training 0.57 Ending Cash ($000s) 15,117 +10,117 32.58 65.05 Total 969.0 31,567 Total 174.9 11,378 No Upgrade - No Upgrade - Robotics Upgrade for All ACC Workstations (to reduce the number of persons per PAT from 4 to 3) Robotics Upgrade for All UAV Workstations (to reduce the number of persons per PAT from 4 to 3) Hayan A. IS TIUW UIIE. $000s $000s is now online. Depreciation (5% of $0k capital cost of upgrade) Labor (total savings in wages and incentive pay) Maintenance (additional cost of $9.0k per workstation) Interest (if financed 100% with a 10-Year Loan | Net Annual Cost Impact of Robotics Upgrade Cost Impact of-Depreciation (5% of $0k capital cost of upgrade) Rayan A. Cost Impact of Upgrade ($000s) Upgrade (S000n) Labor (total savings in wages and incentive pay) Maintenance (additional cost of $9.0k per workstation) Interest (if financed 100% with a 10-Year Loan Net Annual Cost Impact of Robotics Upgrade is now online. Rayan A. Rayan A. is now online. is now online. Rayan A. Robotics Capital Expenditures Workstns Expansion Upgrade Facility Total Outlays $0 Robotics Capital Expenditures Workstns Expansion Upgrade Facility Total New New Outlays Rayan A. is now online. $0 $0 Y6 Capital Outlays ($000s) $0 $0 Y6 Capital Outlays ($000s) $0 $0 $0 Sond