Lightwave Logic Inc (LWLG)

[prototype_101]

very important from year-end 2012 update letter

Commercialization Efforts

On the commercialization front, we have made significant advances in our next generation non- linear optical polymer material platform including the ability to purify Perkinamine NRTM, achieving a crystalline structure with 98.9% purity, which is vital to be able to manufacture commercial quantities of our materials. In addition, in order to alter the molecule’s properties for expanded commercial uses, we needed to know exactly what molecular structures we were changing. We will follow the same process with the balance of our PerkinamineTM Family of chromophores later.

Through our collaboration with Dr. Alan Mickelson at the University of Colorado Boulder, we have significantly advanced our microelectronics effort using Perkinamine IndigoTM, which has given us the ability to make exceptional quality polymer films at specified thicknesses that are almost 50% thinner than what we have previously been able to achieve. We are presently testing the electro-optical activity and experimenting with different chromophore loading percentages to determine the effect on the electro-optic activity before we coat proprietary devices. It is critical for us to establish repeatability in our process prior to final testing by our potential customer.
The ability to make quality films was one of the problems that that we identified as a common denominator impacting our progress. We now believe that we have solved this and should reignite progress in some of our other prototype projects like the spatial light modulator that has been delayed for the same reason.

It is important for you to understand that in the process of commercializing our technology, there are various processes that we must master and I caution you to not misconstrue comments that can easily be taken out of context. For example, being done with the initial synthesis of a material does not mean we are done testing its characteristics and does not mean we are done with fabricating a device with it. Each device has its own particular specifications that can generate numerous engineering hurdles to overcome.

http://lightwavelogic.com/pdf/Shareholder_Letter_12-31-2012_Final.pdf

again, I emphasize the shift in focus now being on the devices, not on the thin films