EcoloCap Solutions Inc. (fka ECOS)

[deal guy]

Guys guys

Let's state some uncontroverted facts here.

1) ECOS does not have any patents on file or pending with respect to the digester. You can all check this with the US Patent and Trademark Office.

2) ECOS owns no trademarks for anything (whether or not related to the digester). Again this can be validated with the US patent and Trademark Office.

4) ECOS isn't even qualified to do business in the fine State of Illinois. The name Ecolocap in Illinois is owned by a lawyer on the Northshore of Chicago who has nothing to do with Ecolocap. I actually found him through a Secretary of State search. He confirmed he had nothing to do with Ecolocap or the Kwak's. You can confirm who owns the name Ecolocap by calling the Illinois Secretary of State in Springfield.

3) Certain aspects of the technology are patented in Korea by the manufacturer. They don't have a patent on aerobic digestion, just some of the methods used by their machine to facilitate digestion. They are not owned by ECOS and ECOS has no ownership stake in them.

4) The LRS agreements provide that LRS has a protected area. However, if you read the agreements the right is more in the form of a right to participate in new installations within the protected area. I would read this as ECOS needing to offer LRS the right to participate in any non-LRS digester sales in the protected area, not an absolute bar on any competitive sales.

5) Kenny you and DS are talking by each other. The monthly fees that LRS collects from residents in certain communities to participate in their organics program are paid to LRS and kept 100% by LRS. LRS and ECOS share in the net profits from the output (fertilizer) of the system. These are two separate income streams.