Nurture the Body, Indulge the Mind

5 Million Executive Summary

Spa

Ailanto is located in Fortuna de Bagaces, about 50 kilometers from the Liberia International Airport,(45 Minutes by car) right at the foothills of the inactive Miravalles Volcano.

Although on a clear day the ocean can be seen from Ailanto, the nearest beach is located around 1hour away by car but just minutes by helicopter.

Bagaces is known as the “Cradle of Ecology” and we have taken advantage of such a wonderfullocation to create The Ailanto Recreation Area within the Miravalles Volcano protected area, aNational Preserve.

The Ailanto Recreation Area includes the Wellness Resort and Spa, a 33 hectare private gatedcommunity with Private Residences, Condominiums, a 120 suite hotel, the 30 hectare Adventurecamp is for the eco-tourists where they enjoy a canopy tour and hike all the way up to the Volcanocrater or simply ride our horses for a wonderful experience. The 25 hectare Activity Center adds toour package offering a close and personal view of the Miravalles Volcano with its walking tour, wherethe thumping heart of this wondrous work of nature can be heard, enjoy the mud baths or simply seethe earth boiling and rocks melting in front of your eyes.

Complement this experience with a hike to the waterfalls, across beautiful natural trails and hangingbridges.

Ailanto is a green development, with much care being taken to respect and only disturb what isabsolutely necessary to build our wonderful retreat. Ailanto uses less than 16% of its land area forbuilding.

Ailanto is a resort spa designed to help accomplish the total wellness of Body, Mind and Soul.

Ailanto Wellness Resort and Spa is more than just a destination. It’s an experience that can impactquality of life, from the arrival moment to long after the return home. Ailanto Wellness Resort andSpa is a place to learn, relax, enjoy and explore the potential for a happier, healthier, less stressfullifestyle.

Ailanto Wellness Resort and Spa is a pilgrimage to healing the body and soul and learning to takecare of the “Heavenly Body”.

Time at Ailanto Wellness Resort and Spa is spent in many ways.

Choose from a variety of classes, workshops and consultations, covering a variety of wellnessconcerns from diabetes to male menopause, from nutrition to cosmetic surgery.

Tailor-made fitness workouts, meditation, reflection, relaxation, and self-pampering in our tranquilrainforest settings.

There’s an experience to fit every lifestyle, vacation, health goals, beauty and the nurturing of bothbody and soul.

In Ailanto Wellness Resort and Spa, we are a physical health partner as well as life counselors for abetter tomorrow.

We have chosen the ideal environment for an active lifestyle, a body and soul repair destinationgeared towards the enhancement of well-being.

We are in the paradise of a peaceful and quiet rainforest yet close to the beaches and the Ecoactivities that seem to be the magnet to the world.

At Ailanto, it’s easy to stay active and keep in touch with nature.

With cool nights, bright stars, and the serenity of the rainforest surrounding the luxury of Ailanto, whatmore could one ask for?

Ailanto features some of the best accommodations ever. One can enjoy their stay in one of ourhomes, starting at 2200 square feet all the way up to nearly 5000 square feet featuring 4 to 5separate lock-out suites.

Our Condos begin at 818 square feet and feature a minimum of two lock-out suites. If one wishes tostay at our Tramonto Villas Hotel, they will find themselves nestled in an authentic Italian Village, withBaristas, Gelaterias, Forni, and much fun.

For those looking to go beyond our massages, facials, and spa treatments, we can help the return ofyounger days through the expert hands of our cosmetic surgeons. For those have long desired thatsuper smile, let our Cosmetic Dentist work their magic.

Our project features a completely natural spa where the only music that one hears is that of MotherNature.

The ancient art of Yoga is practiced while perched 12 feet up on platforms between the magnificentFichus trees that dot Ailanto.

Guests in search of a more indigenous experience are encouraged to try our Temescales and let ourShaman chant them into the best healthy time of their lives.

In keeping with our relaxed atmosphere, cars are parked atthe entrance and are not permitted on site. Upon entrance,one must either walk or use our electric car transportation.Cell Phones and Smoking are not allowed in the public areas.

We provide a complete tour package to our sister facilitiesincluding the Volcanic Activity Center, where one can enjoya mud bath in the most unusual place in Costa Rica, andour adventure camp with zip lines, hiking paths, animals,horseback rides, and even a tour to the Volcano’s crater.

Ailanto is a true Costa Rican experience, both revolutionary in concept and healing in nature.

Ailanto Wellness Resort and Spa is a way of life as well as an idyllic location. The purchase of Ailantobrings a sense of discovery, joy, curiosity and boundless energy.

Wellness is the effect of living optimally, and it is an integral aspect of today’s most sought-afterhealthy lifestyle.

Living well is rewarding and exciting, and at Ailanto, we recognize that being fully engaged with liferequires an environment in which personal goals are set and met and ambitions are realized, a placewhere each day is a new experience and every tomorrow holds another adventure.

Linking health and fitness with expansive, first-class fitness facilities and medical services, Ailantois about to introduce to the world a progressive yet practical way to achieve lifelong health and well-being.

Our unique approach designed to engage themind, body and spirit toward vitality and healthincludes:

Wellness training

Menu of fitness classes

Massage and spa services

Personal care services

cooking and nutrition

Disease management

Anti-aging

Yoga and meditation

Thermal waters

Volcanic mud baths

Cosmetic Surgery

Cosmetic Dentistry

Alternative Medicine

We have tailor-made lifestyle programs and personalized solutions not only to improve health butalso to enrich quality of life - not just for the moment or for a few years but for a lifetime.

Other amenities include:

Amphitheater

Gym and Body Training Center

Tennis Courts

Club House with full Conference facilities

Theater

Thermal waters

Canopy Tours

Hiking Trails

Horseback riding

Restaurants and Cafes

Language Center, learn Spanish or teach English

Juice and Wine Bars

Temescales

Saunas

Hot, warm and cold Lagoons

Lake stocked with Tilapia and Catfish

A Rain Forest filled with Toucans, Monkeys, Iguanas and other exotic animals

Gift Shops

Convenience Store

Spa and Recreational Clothing Store featuring Ailanto’s own brands

Spa and Cosmetic shop

Whether one is looking to enjoy a week, a month at Ailanto or make it their permanent home, they canrest assured that they have made the right decision because there is no place like Ailanto... anywhere.

For those who wish to make Ailanto their permanent home, we offer all the comforts of an upscalegated community.

Guests can vacation and then lease their home for others to enjoy, using our Optional RentalManagement program. In many instances the cost of ownership is totally covered by this revenue.

For the investor who wants to buy and resell, now is the time. With our 2 bed / 2 bath Condosbeginning at $136,000 or our Villas for under $120,000 one could not ask for a better deal. Ourhomes begin at $386,000 for a 4-bedroom 4-bath luxurious masterpiece.

We have a Club House for community activities, an amphitheater for concerts and music, a Surgeryand Medical Center to take care of your health needs, and a Spa Center that handles everything frommassages to nails and hair. Throughout the project are thermal water lagoons, where one can batheand enjoy a naturally medicinal experience. We have a gift shop, a convenience store, 24/7 securityand a shopping area where you could purchase your spa and sports clothing, cosmetics, souvenirs,and local artisans. Our helicopters are available for you to use for your touring or transportationneeds as well as our limos and busses.

At Ailanto we have thought of everything that would help you Live Well.

Costa Rica enjoys three types of tourism and Ailanto aims at satisfying all of these segments.

Health Tourism

Health tourism is an old concept. People have been traveling from their home countries to otherparts of the world for centuries in search of new personal medical treatments. The reasons for thisformof tourism are as varied as the travelers. People choose Costa Rica medical services for two mainreasons: high quality and reasonable prices.

Rising healthcare costs in the United States and Canada have been the greatest boost tointernational health tourism, but are by no means the only factor driving this new industry. The mainengine driving the new wellness revolution is the baby boomers, the population born between 1945and 1964. One billion baby boomers turn 60 this year and are looking for effective strategies to stayhealthy, young-looking, and more active. This population represents only 16% of the world populationbut controls 65% of its wealth and resources. Baby boomers are considering the higher quality andwider spectrum of health care services offered in Costa Rica and other Latin American destinations.

Some important trends guarantee that the market for medical tourism will continue to expand in theyears ahead. By 2015, the health of the vast Baby Boom generation will have begun its slow decline,and with more than 220 million Boomers in the United States, Canada, Europe, Australia and NewZealand, this represents a significant market for high-quality medical care.

The primary goal of Ailanto is to address the physical, emotional and spiritual needs of internationalvisitors. To establish balance and health, guests are encouraged to spend extended periods of timeat the facilities. Some may visit for only a few days while others may choose their healing holidays toseveral weeks. When they are not busy undergoing treatments at the centers, they can join friendsand family members to partake in the many social, cultural and sport activities available at theResort. Activities at our health community or nearby include nature walks, tennis, swimming, fishing,horseback riding, hiking, cooking, painting, gardening, bird watching and sightseeing.

Costa Rica is easily accessible by air from all parts of the world. It has an open health care system,well-equipped modern clinics and hospitals, and medical personnel trained in the finest internationalteaching centers. In 1995 the World Health Organization ranked Costa Rica amongst the top twentymedical systems in the world.

Conventional Tourism

At 50,895 square kilometers, Costa Rica is the second-smallest Central American nation after ElSalvador. While occupying only .06% of the planet’s land mass, it boasts 6% of the world’sbiodiversity. At its narrowest point in the south, only 119 km separate the Caribbean from the Pacific.One can savor a leisurely breakfast on the Caribbean and take an ambling five-hour drive to thePacific for dinner. At its broadest point, Costa Rica is a mere 280 km wide.

Lying between 8 and 11 degrees north of the equator, Costa Rica sits wholly within the tropics; itboasts more than a dozen distinct climatic zones. Atop the highest mountains in cooler months, evenice and snow aren’t unknown.

Costa Rica sits astride a jagged series of volcanoes and mountains, part of the great Andean-SierraMadre chain, which runs the length of the western littoral of the Americas. From the Pacific coast ofCosta Rica, great cones and domes dominate the landscape, and you’re usually in sight ofvolcanoes in the northern part of the country.

Beaches are a major calling card of Costa Rica’s Pacific coast, which is deeply indented withbays, inlets and two large gulfs, the Golfo de Nicoya (in the north) and Golfo Dulce (in the south).Ailanto Recreation Area is located right at the foothills of the Miravalles Volcano surrounded by a7500-acre protected area, with its own micro-climate; it enjoys warm days and cool nights. It is theideal place for a relaxing and restoring vacation.

Eco-Tourism

Eco-tourism, also known as ecological tourism, is a formof tourism which appeals to the ecologically and socially

conscious. Generally speaking, Eco-tourism focuses on localculture, wilderness adventures, volunteering, personal growth,and learning new ways to live on the planet. Eco-tourismusually involves travel to destinations where flora, fauna, andcultural heritage are the primary attractions. Responsible Eco-tourism includes programs that minimize the negative aspectsof conventional tourism on the environment, and enhance thecultural integrity of local people. In addition to enjoying theenvironmental and cultural aspects, an integral part of Eco-tourism is in the promotion of recycling, energy efficiency, waterconservation, and creation of economic opportunities for thelocal communities.

We adhere to the rules of Eco-tourism by:

1.Conserving the biological and cultural diversity through ecosystem protection2.Promoting the sustainable use of biodiversity by providing jobs to local populations3.Sharing of socio-economic benefits with local communities and indigenous people4.Increasing the environmental & cultural knowledge5.Minimizing the environmental impact of tourism6.Featuring the local culture, flora and fauna as main attractions

For many countries, Eco-tourism is not simply a marginal activity to finance protection of theenvironment but a major industry of the national economy. In Costa Rica Eco-tourism represents asignificant portion of the gross domestic product and economic activity.

It is estimated that there are more than five million Eco-tourists worldwide, with the majority of theEco-tourist population coming from the United States, with others from Western Europe, Canada, andAustralia. Costa Rica is a world-renowned Eco-tourism destination, with millions of tourists comingand continuing to come to enjoy this country’s bounty.

1% of Ailanto’s operating revenue has been earmarked forimprovement of the local roads, village and services for theresidents of Fortuna and Bagaces.

Ailanto will establish a free training center to teach theEnglish language to those who wish to learn and to trainits workers in the Ailanto culture of service and customersatisfaction. In exchange, our residents teaching Englishcan receive Spanish lessons so that they can also learnhow to communicate with their neighbors.

Our marketing strategy is a three level plan.

1. Sales through Brokers and Agents2. Trade shows and Seminars3. Promotions and Bulk Sales

Sales through Brokers and Agents

To achieve this step, we have established an office in San JoseCosta Rica and have manned it with an experienced Sales Director.We have developed a full line of electronic and print media,brochures, flyers, CD’s and all supporting materials. Currently wehave signed up quite a few offices of International Brokers, such asCentury 21, Coldwell Banker, ReMax and more. We have presencein the USA, Canada, Colombia, England and Venezuela. Ourcommission structure is outstanding.

Trade Shows and Seminars

We have attended shows such as the NAR show in Las Vegas, Nevada, Resort Properties Showsin many countries, Expo and Investor shows. We present our Resort to either direct purchasers orinvestors and collect leads to share with our sales group. We are beginning a series of Seminars inconjunction with Robb and Stucky, our furniture manufacturer. These seminars are to be held in theRobb and Stucky Locations throughout the USA. We are also setting several seminars in Canada.

Promotions and Bulk Sales

We offer promotions to assist our sales group to sell our development.Our Fly and Buy Program encourages potential buyers and their agentsto visit our site.

We offer the most exciting Development Participation Program in theindustry, where Realtors and investors actually share the profits of thedevelopment for their involvement in the sales of Ailanto Condos andVillas. Given its fantastic response we are studying expanding thisconcept to the sales of the homes.

We have a Charitable Donation Program, where Charities are givenlots for them to auction to their Donors. All proceeds are donated to thecharity and we even match the bid price as an additional donation forthe charity. The high bidder must then build a home on this land withintwo years of the purchase.

The front wall has been completed, the gates and guardhouse are being built now, and the roads arebeing cleaned. We have received full permits and approval of Setena, the environmental agency.

The first home (Lot 9) is completed and opened as a Bed & Breakfast Reservations for newpurchases are taken with a $10,000 refundable deposit wired directly to Chicago Title Costa Rica,where the deposit remains in Escrow for up to 60 days to give the buyer the opportunity to performdue diligence of the project and visit Costa Rica.

Once the sales contract is signed, or the money goes hard, we will reimburse (up to $1,000) theexpenses of the trip. Same for Realtors, we will reimburse their expenses (up to $500) if theyaccompany the client on the trip.

All major and some charter airlines fly into either San Jose or Liberia Airports, flying from the UnitedStates, Canada and Europe. Service to Costa Rica is provided by United Airlines, Air Canada,American Airlines, US Airways, Frontier Airlines, Air Martinique, TACA, Delta Airlines, Spirit, Condor,and others.

We are open for tours and enjoyment. Limited accommodations are available.

Homes

Model Lot Size Lot Size Home Size Home Size Home Price Home Price Monthly

Sq. Meters Sq. Feet Sq. Meters Sq. Feet Furnished Unfurnished HOA

Siena

Firenze

Capri

Venezia

Bari

Padua

1000 10760 220 2367 $454,502 $386,327 $125.00

1000 10760 250 2690 $516,480 $439,008 $125.00

5593 60181 300 3228 $619,776 $526,809 $250.00

5000 53800 350 3766 $723,072 $614,611 $250.00

5800 62408 400 4304 $826,368 $702,412 $250.00

7600 81776 450 4842 $929,664 $790,214 $250.00

CondominiumsCondo

Model Size in Sq.Meters

MonthlyHOA

PriceUnfurnished

PriceFurnished

CondoSize inSq. Feet

15.00%

VentoFuocoTerraVitaBagatzi

76 818 $157,320.00 $136,800.00 $100.00

118 1,270 $244,260.00 $212,400.00 $100.00

130 1,399 $269,100.00 $234,000.00 $100.00

171 1,840 $353,970.00 $307,800.00 $100.00

376 4,043 $777,699.00 $676,260.00 $100.00

HotelVillas

Model Villa Size inSq. Meters

PriceUnfurnished Price Monthly

Furnished HOA

Villa Sizein Sq.Feet

SognoCielo

56 603 $119,306.88 $137,202.91 $100.00

70 753 $149,133.60 $171,503.64 $100.00

The prices listed above are but a small sample of what is possible with Ailanto. For a comprehensive list including pricesfor all of our units, please visit our website at www.AilantoResort.com. Prices subject to change.

Ailanto Financing Projections Spa plus InfrastructureTotal Q1 Q2 Q3 Q4

Sales Assumptions (Condos)

Condo Units sold per quarter 16168 16Cumulative units sold 4832168

ReceiptsPayments Scheduled 2,321,460$4,642,920$4,642,920$2,321,460$13,928,760Sales Cost 20.00% $2,785,752 $464,292$928,584$928,584$464,292

Net Sales Proceeds 1,857,168$3,714,336$3,714,336$1,857,168$11,143,008

Profit per Building (6 Buildings) $5,744,646

Use of FundsEquipment/Inventory $600,000

Construction, Base Building Cost $4,000,000

Operating Capital $300,000

Engineering $100,000

Total Hard Costs $0$2,684,225 $550,000$600,000$5,000,000

Total Development Costs before Interestt

Total Project Cost / Cumulative

Loan Balance Calculation

$5,000,000

n

Total Costs w/ InterestCumulative Cash Flow

Draws including interest (& payoff)Loan amount Request $5,000,000

Proforma Use of Funds Estimate

Use of Funds Source of Funds

Equity Land$3,740,000Construction Costs $4,000,000 Loan Amount EST. $5,000,000

Total uses of funds Total sources of funds3,200,000 5,200,000

Medical Spa - AmenitiesAssumptions

Advertising 10%

Dental patients per year 2000

Average per patient $800

Medical Patients per year 3000

Average per patient $900

Spa Treatments per year 10000

Average per treatment $450

Cosmetic Procedures 1000

Average per procedure $1,200

Product purchase (average) $150

Increasingat 10%

Guest Management 1%

Cost ofgoods 25%

Supplies 1%

Medical Doctors 2$95,000 $190,000

Naturopathic Doctors 2$70,000 $140,000

Nurses (RN, MA, LPN) 2$40,000 $80,000

Dentist 1$70,000 $70,000

Receptionists 2$25,000 $50,000

Aestheticians 2$35,000 $70,000

Massage/Physical Ther. 4$35,000 $140,000

Director of Operations 1$85,000 $85,000

Total $825,000

Assumed Cost of Equipment: Cost of Amenities

Golf Carts

Maintenance equipment

Furniture

Dental

Autos (10)

Hobby Equipment

Medical equipment

Audio/ Phones

Computers/Software/Monitoring

Total

Yearly payment at 10% - 5 year lease

$ 50,000 4 Tennis Courts $ 250,000.00

$ 50,000 10 Therapy Gazebos $ 20,000.00

$ 50,000 Thermal Waters $450,000.00

$ 25,000 Beauty Center $ 750,000.00

$ 500,000 Yoga-Meditation $ 10,000.00

$ 15,000 Temescales $ 10,000.00

$ 500,000 Roads $250,000.00

$ 200,000 Architect $100,000.00

$ 250,000 Lake Improvement $35,000.00

Electric $350,000.00

$ 1,640,000 Gate-Wall-Fence $75,000.00

$ 418,140 Amphitheater $50,000.00

Ponds $150,000.00

Guard Shack $25,000.00

Permits $35,000.00

Travel and Expenses $50,000.00

Misc. $100,000.00

Total $2,710,000.00

Yearly payment at

10% - 20 year loan $ 313,824

Year7 Year8 Year9 Year 10Revenue Year1 Year2 Year3 Year4 Year 5 Year 6

Medical/Spa Revenue

Patient Fees

Dental Fees

Spa

Procedures

NETMEDICAL/SPAINCOME

Additional Revenue

Day Spa

Spa Products

TOTAL GROSS REVENUE

$2,700,000 $2,970,000 $3,267,000 $3,593,700 $3,953,070 $4,348,377 $4,783,215 $5,261,536 $5,787,690 $6,366,459

$1,600,000 $1,760,000 $1,936,000 $2,129,600 $2,342,560 $2,576,816 $2,834,498 $3,117,947 $3,429,742 $3,772,716

$4,500,000 $4,950,000 $5,445,000 $5,989,500 $6,588,450 $7,247,295 $7,972,025 $8,769,227 $9,646,150 $10,610,765

$1,200,000 $1,320,000 $1,452,000 $1,597,200 $1,756,920 $1,932,612 $2,125,873 $2,338,461 $2,572,307 $2,829,537

$10,000,000 $11,000,000 $12,100,000 $13,310,000 $14,641,000 $16,105,100 $17,715,610 $19,487,171 $21,435,888 $23,579,477

$1,125,000 $1,237,500 $1,361,250 $1,497,375 $1,647,113 $1,811,824 $1,993,006 $2,192,307 $2,411,537 $2,652,691

$1,500,000 $1,650,000 $1,815,000 $1,996,500 $2,196,150 $2,415,765 $2,657,342 $2,923,076 $3,215,383 $3,536,922

$11,500,000 $12,650,000 $13,915,000 $15,306,500 $16,837,150 $18,520,865 $20,372,952 $22,410,247 $24,651,271 $27,116,398

OPERATING EXPENSES:

Administrative Expenses

Guest Management

Utilities-sewer,garbage,electric,water

Interest on Loans

Seminar presentations - Book

Insurance (Fire, quake, malpractice)

Legal & Accounting

Maintenance and Upkeep

TOTALADMINISTRATIVEEXPENSES

Medical/Spa Expenses

Supplies for Clinic & Spa

Inventory for Product Sales

Salaries for Clinic & Spa staff

Clinic Equipment Lease

Sales Comm.

Advertising

TOTAL MEDICAL SPAEXPENSES

TOTAL GROSS REVENUE

TOTAL OPERATINGEXPENSES

NET OPERATING INCOME

$115,000 $126,500 $139,150 $153,065 $168,372 $185,209 $203,730 $224,102 $246,513 $271,164

$575,000 $632,500 $695,750 $765,325 $841,858 $926,043 $1,018,648 $1,120,512 $1,232,564 $1,355,820

$313,824 $313,824 $313,824 $313,824 $313,824 $313,824 $313,824 $313,824 $313,824 $313,824

$10,000 $11,000 $12,100 $13,310 $14,641 $16,105 $17,716 $19,487 $21,436 $23,579

$50,000 $55,000 $60,500 $66,550 $73,205 $80,526 $88,578 $97,436 $107,179 $117,897

$65,000 $71,500 $78,650 $86,515 $95,167 $104,683 $115,151 $126,667 $139,333 $153,267

$575,000 $632,500 $695,750 $765,325 $841,858 $926,043 $1,018,648 $1,120,512 $1,232,564 $1,355,820

$1,703,824 $1,842,824 $1,995,724 $2,163,914 $2,348,923 $2,552,433 $2,776,294 $3,022,541 $3,293,412 $3,591,371

$45,000 $49,500 $54,450 $59,895 $65,885 $72,473 $79,720 $87,692 $96,461 $106,108

$375,000 $412,500 $453,750 $499,125 $549,038 $603,941 $664,335 $730,769 $803,846 $884,230

$825,000 $907,500 $998,250 $1,098,075 $1,207,883 $1,328,671 $1,461,538 $1,607,692 $1,768,461 $1,945,307

$418,140 $418,140 $459,954 $505,949 $556,544 $612,199 $673,419 $740,761 $814,837 $896,320

$200,000 $220,000 $242,000 $266,200 $292,820 $322,102 $354,312 $389,743 $428,718 $471,590

$1,150,000 $1,265,000 $1,391,500 $1,530,650 $1,683,715 $1,852,087 $2,037,295 $2,241,025 $2,465,127 $2,711,640

$3,013,140 $3,272,640 $3,599,904 $3,959,894 $4,355,884 $4,791,472 $5,270,619 $5,797,681 $6,377,450 $7,015,194

$11,500,000 $12,650,000 $13,915,000 $15,306,500 $16,837,150 $18,520,865 $20,372,952 $22,410,247 $24,651,271 $27,116,398

$4,716,964 $5,115,464 $5,595,628 $6,123,808 $6,704,807 $7,343,905 $8,046,913 $8,820,222 $9,670,862 $10,606,566

$6,783,036 $7,534,536 $8,319,372 $9,182,692 $10,132,343 $11,176,960 $12,326,038 $13,590,024 $14,980,409 $16,509,833

Home Projections

Assumptions

Homes

Home Building Cost Sq Ft

Home Sales Price Sq Ft

Furnishings

Siena

Firenze

Capri

Venezia

Bari

Padua

55

$80.00

$160.00

15% Build Cost Sales price Furnishings Total Price

14 2,266 $181,280 $362,560 $54,384 $416,944

12 2,575 $206,000 $412,000 $61,800 $473,800

9 3,090 $247,200 $494,400 $74,160 $568,560

7 3,605 $288,400 $576,800 $86,520 $663,320

8 4,120 $329,600 $659,200 $98,880 $758,080

5 4,635 $370,800 $741,600 $111,240 $852,840

Income Expenses

Siena

Firenze

Capri

Venezia

Bari

Padua

Siena5,837,216 $5,837,216

6,633,200 Firenze $5,685,600

7,959,840 $5,117,040Capri

9,286,480 Venezia $4,643,240

10,613,120 Bari $6,064,640

11,939,760 Padua $4,264,200

Total Income $40,329,856 $ 31,611,936.00Total Expenses

Profit $ 8,717,920.00

Condo Projections

Assumptions ExpensesCondos 48

Land Purchase $1,000,000

Interest 10%

Avg. size Sq Ft. 120

Condo Building Cost $80.00

Condo Sales Price Sq Ft. $140.00

Furnishings 15%

Income

Terra $ 474,376.80

Vento $ 1,473,064.80

Fuoco $ 1,622,868.00

Vita $ 2,134,695.60

Bagatzi $ 2,345,044.26

Land $ 500,000.00

Total Expenses $ 8,550,049.46

Profit $ 4,282,207.60Terra $756,185

Vento $2,348,153

Fuoco $2,586,948

Vita $3,402,832

Bagatzi $3,738,140

Total Income $12,832,257

Hotel & Restaurant Financial Projections - Year 1-5Hotel/Villa Revenue Year 1 Year 2 Year 3 Year 4 Year 5

$ 4,082,400.00 $ 4,490,640.00 $ 4,939,704.00 $ 5,433,674.40 $ 5,977,041.84

$ 2,245,320.00 $ 2,245,320.00 $ 2,245,320.00 $ 2,245,320.00 $ 2,245,320.00

$ 1,306,368.00 $ 1,306,368.00 $ 1,306,368.00 $ 1,306,368.00 $ 1,306,368.00

Villa Revenue

Residences

Condos

$ 7,634,088.00 $ 8,042,328.00 $ 8,491,392.00 $ 8,985,362.40 $ 9,528,729.84Total Hotel Revenue

Restaurant Revenue

Guests Per Day 96 106 116 128 141

$ 1,555,200.00 $ 1,710,720.00 $ 1,881,792.00 $ 2,069,971.20 $ 2,276,968.32Restaurant Meal Revenue

$ 5,637,600.00 $ 6,201,360.00 $ 6,821,496.00 $ 7,503,645.60 $ 8,254,010.16TOTAL GROSS REVENUE

Administrative Expenses

$ 21,247.00 $ 21,247.00 $ 21,247.00 $ 21,247.00 $ 21,247.00

$ 103,257.00 $ 167,288.00 $ 167,288.00 $ 167,288.00 $ 167,288.00

$ 18,000.00 $ 19,800.00 $ 21,780.00 $ 23,958.00 $ 26,353.80

$ 563,760.00 $ 620,136.00 $ 682,149.60 $ 750,364.56 $ 825,401.02

$ 30,000.00 $ 33,000.00 $ 36,300.00 $ 39,930.00 $ 43,923.00

$ 15,000.00 $ 16,500.00 $ 18,150.00 $ 19,965.00 $ 21,961.50

$ 281,880.00 $ 310,068.00 $ 341,074.80 $ 375,182.28 $ 412,700.51

$ 100,000.00 $ 110,000.00 $ 121,000.00 $ 133,100.00 $ 146,410.00

Land Purchase Payments 60 Mo.

Construction Mort. Paymt. 240 Mo.

Utilities-sewer,garbage,electric,water

Marketing (Website, Publications)

Insurance (Fire, quake, malpractice)

Legal & Accounting

Maintenance and Upkeep

Real Estate Taxes

Hotel Expenses

$ 735,000.00 $ 1,060,000.00 $ 1,535,000.00 $ 1,535,000.00 $ 1,535,000.00Salaries for Hotel staff

Supplies for Hotel $ $ 80,423.28 $ $ $76,340.88 84,913.92 89,853.62 95,287.30

Restaurant Expenses

$ 405,000.00 $ 575,000.00 $ 770,000.00 $ 815,000.00 $ 815,000.00

$ 357,696.00 $ 393,465.60 $ 432,812.16 $ 476,093.38 $ 523,702.71

$ 2,707,180.88 $ 3,406,927.88 $ 4,231,715.48 $ 4,446,981.84 $ 4,634,274.84

Salaries for Restaurant staffFood Costs

Total Expenses

$ 5,637,600.00 $ 6,201,360.00 $ 6,821,496.00 $ 7,503,645.60 $ 8,254,010.16TOTAL GROSS REVENUE

TOTAL OPERATING EXPENSES

NET OPERATING INCOME

$ 2,707,180.88 $ 3,406,927.88 $ 4,231,715.48 $ 4,446,981.84 $ 4,634,274.84

$ 2,930,419.12 $ 2,794,432.12 $ 2,589,780.52 $ 3,056,663.76 $ 3,619,735.32

Construction Costs Perfoot Avg. Size SF Total FF & E Total Cost

$ $ $ $ 9,000,000.00Villas 100.00 500 50,000.00 25,000.00

$ $ 600,000.00 $ 200,000.00 $ 800,000.00Conference Center 80.00 7500

$75 $ 750,000.00 $ 150,000.00 $ 900,000.00Reception/gym etc. 10000

$ 10,700,000.00Total

Revenue Sharing 40% Residences and Condos

Hotel assumptions

Villas 120

Residences 165

Condos 96

Occ. Rate 70%

$Avg. room rate 135.00

Increasing at 10%

Days per year 360

$45.00Restaurant Avg. Bill

$1,000,000Land Purchase

Interest 10%

Restaurant food cost 23%

Hotel Supplies 1%

Annual Salaries for Hotel & Restaurant Staff

HOTEL Year 1 Year 2 Year 3 Year 4 Year 5

$ 95,000 1 $ 95,000 $ 95,000 1 $ 95,000 $ 95,000 2 $ 190,000 $ 95,000 2 $ 190,000 $ 95,000 2 $ 190,000

$ 50,000 1 $ 50,000 $ 50,000 1 $ 50,000 $ 50,000 4 $ 200,000 $ 50,000 4 $ 200,000 $ 50,000 4 $ 200,000

a$ 40,000 2 $ 80,000 $ 40,000 4 $ 160,000 $ 40,000 6 $ 240,000 $ 40,000 6 $ 240,000 $ 40,000 6 $ 240,000

$ 20,000 4 $ 80,000 $ 20,000 6 $ 120,000 $ 20,000 6 $ 120,000 $ 20,000 6 $ 120,000 $ 20,000 6 $ 120,000

t $ 15,000 2 $ 30,000 $ 15,000 3 $ 45,000 $ 15,000 3 $ 45,000 $ 15,000 3 $ 45,000 $ 15,000 3 $ 45,000

$ 50,000 2 $ 100,000 $ 50,000 3 $ 150,000 $ 50,000 4 $ 200,000 $ 50,000 4 $ 200,000 $ 50,000 4 $ 200,000

$ 20,000 10 $ 200,000 $ 20,000 15 $ 300,000 $ 20,000 20 $ 400,000 $ 20,000 20 $ 400,000 $ 20,000 20 $ 400,000

s$ 20,000 5 $ 100,000 $ 20,000 7 $ 140,000 $ 20,000 7 $ 140,000 $ 20,000 7 $ 140,000 $ 20,000 7 $ 140,000

Executive

Managers

Assistant ma

Receptionists

Personal Assi

Concierge

Housekeeping

Maint./Ground

$ $ 43 $ 1,535,000 52 $ 1,535,000 52 $ 1,535,000Summary 26 735,000 32 1,060,000

RESTAURANT Year 1 Year 2 Year 3 Year 4 Year 5

$ 70,000 1 $ 70,000 $ 70,000 1 $ 70,000 $ 70,000 2 $ 140,000 $ 70,000 2 $ 140,000 $ 70,000 2 $ 140,000

$ 45,000 1 $ 45,000 $ 45,000 2 $ 90,000 $ 45,000 3 $ 135,000 $ 45,000 3 $ 135,000 $ 45,000 3 $ 135,000

$ 45,000 2 $ 90,000 $ 45,000 3 $ 135,000 $ 45,000 3 $ 135,000 $ 45,000 4 $ 180,000 $ 45,000 4 $ 180,000

$ 20,000 2 $ 40,000 $ 20,000 4 $ 80,000 $ 20,000 6 $ 120,000 $ 20,000 6 $ 120,000 $ 20,000 6 $ 120,000

$ 20,000 8 $ 160,000 $ 20,000 10 $ 200,000 $ 20,000 12 $ 240,000 $ 20,000 12 $ 240,000 $ 20,000 12 $ 240,000

14 $ 405,000 20 $ 575,000 26 $ 770,000 27 $ 815,000 27 $ 815,000

Chef Sous-

Chef

Manager

Kitchen assi

Servers

Summary

Ailanto Summary of All Operations

Home Summary Year1

Total Income $40,329,856

Total Expenses $31,611,936

Total profit $8,717,920

Condo Summary Year1

Total Income $12,832,257

Total Expenses $8,550,049

Total profit $4,282,208

Hotel Summary Year1 Year2 Year 3 Year4 Year 5

TOTAL GROSS REVENUE

TOTAL OPERATING EXPENSES

NET OPERATING INCOME

Spa Summary

$5,637,600 $6,201,360 $6,821,496 $7,503,646 $8,254,010

$2,707,181 $3,406,928 $4,231,715 $4,446,982 $4,634,275

$ 2,930,419 $ 2,794,432 $ 2,589,781 $ 3,056,664 $ 3,619,735

Year6 Year 7 Year 8 Year 9 Year 10Year1 Year2 Year 3 Year4 Year 5

TOTAL GROSS REVENUE $27,116,398$24,651,271$22,410,247$20,372,952$18,520,865$16,837,150$15,306,500$13,915,000$12,650,000$11,500,000

TOTAL OPERATING EXPENSES $6,704,807$6,123,808$5,595,628$5,115,464$4,716,964 $7,343,905 $10,606,566$9,670,862$8,820,222$8,046,913

NET OPERATING INCOME $$ 14,980,409 16,509,833$ 13,590,024$ 12,326,038$ 11,176,960$ 10,132,343$ 9,182,692$ 8,319,372$ 7,534,536$ 6,783,036

Grand Total $16,509,833$14,980,409$13,590,024$12,326,038$11,176,960$13,752,078$22,713,583 $10,328,968 $10,909,153 $12,239,355

2Rental Factor

Price / Day Square Meters Unfurnished Cost Furnished Cost

Rental Rate V1 Sogno $112 56 $100,800 $115,920

Rental Rate V2 Cielo $140 70 $126,000 $144,900

Rental Rate A Vento $152 76 $136,800 $157,320

Rental Rate B Fuoco $236 118 $212,400 $244,260

Rental Rate C Terra $260 130 $234,000 $269,100

Rental Rate D Vita $342 171 $307,800 $353,970

Rental Rate E Bagatzi $751 376 $676,260 $777,699

Rental Rate F Siena $440 220 $396,000 $455,400

Rental Rate G Firenze $500 250 $450,000 $517,500

RentalRateH Capri $600 300 $540,000 $621,000

Rental Rate I Venezia $700 350 $630,000 $724,500

Rental Rate J Bari $800 400 $720,000 $828,000

Rental Rate K Padua $900 450 $810,000 $931,500

Days Per Year 360

Rental Class

Total

Revenue Management

OngoingMaintenance Reserve Fund Marketing

Owner'sShare

Rental Rate V1

Rental Rate V2

Rental Rate A

Rental Rate B

Rental Rate C

Rental Rate D

Rental Rate E

Rental Rate F

Rental Rate G

Rental Rate H

Rental Rate I

Rental Rate J

Rental Rate K

$24,192 $4,838 $1,210 $1,210 $2,419 $14,515

$30,240 $6,048 $1,512 $1,512 $3,024 $18,144

$32,832 $6,566 $1,642 $1,642 $3,283 $19,699

$50,976 $10,195 $2,549 $2,549 $5,098 $30,586

$56,160 $11,232 $2,808 $2,808 $5,616 $33,696

$73,872 $14,774 $3,694 $3,694 $7,387 $44,323

$162,302 $32,460 $8,115 $8,115 $16,230 $97,381

$95,040 $19,008 $4,752 $4,752 $9,504 $57,024

$108,000 $21,600 $5,400 $5,400 $10,800 $64,800

$129,600 $25,920 $6,480 $6,480 $12,960 $77,760

$151,200 $30,240 $7,560 $7,560 $15,120 $90,720

$172,800 $34,560 $8,640 $8,640 $17,280 $103,680

$194,400 $38,880 $9,720 $9,720 $19,440 $116,640

Rental Analysis

Model Cost Down Mortgage Owner's Share Minus Expenses Cash Flow %

Sogno

Cielo

Vento

Fuoco

Terra

Vita

Bagatzi

Siena

Firenze

Capri

Venezia

Bari

Padua

$115,920 $34,776 $81,144 $14,515 $8,114 $6,401 18%

$144,900 $43,470 $101,430 $18,144 $10,143 $8,001 18%

$157,320 $47,196 $110,124 $19,699 $11,012 $8,687 18%

$244,260 $73,278 $170,982 $30,586 $17,098 $13,487 18%

$269,100 $80,730 $188,370 $33,696 $18,837 $14,859 18%

$353,970 $106,191 $247,779 $44,323 $24,778 $19,545 18%

$777,699 $233,310 $544,389 $97,381 $54,439 $42,943 18%

$455,400 $136,620 $318,780 $57,024 $31,878 $25,146 18%

$517,500 $155,250 $362,250 $64,800 $36,225 $28,575 18%

$621,000 $186,300 $434,700 $77,760 $43,470 $34,290 18%

$724,500 $217,350 $507,150 $90,720 $50,715 $40,005 18%

$828,000 $248,400 $579,600 $103,680 $57,960 $45,720 18%

18%$931,500 $279,450 $652,050 $116,640 $65,205 $51,435

Assumptions

Occupancy Rate 60.00%

Owner Split 60.00%

Management Fees 20.00%

Maintenance Fee 5.00%

Repair/Repl. Fund 5.00%

Marketing Fee 10.00%

Down Payment 30.00%

Expense Rate 10.00%

Furniture 15.00%

Toque Del Cielo, S.A. project in Costa Rica is Ailanto Wellness Resort and Spa, this project hasreceived its permits

All studies have been completed.

We take fully refundable reservations for 30 days, then when we financing is completed and permitsare obtained we begin construction.

This is the procedure that we use:

1. Down payment is deposited in escrow with Chicago Title2. C l ien t fo rms a S.A.3. Once all the documents are in place and land is transferred to the new owner, down payment

is released to Toque Del Cielo S.A.

4. Chicago Title pays the Broker 50% of the total commission due5. Permi ts are obtained

6. We begin construction and request a first draw to pay for any advances7. The second 50% is paid on the commissions

8. We submit draws from the Bank as we complete each construction phase, i.e. Foundation,roofing etc.

9. Bank sends an inspector to verify that we have completed the work prior to releasing the funds

10. Lien waivers are issued11. Client inspects property and produces a punch list12. We hold 5% of the last draw until the punch list is completed13. We guarantee the construction for two years

Construction Features

All Custom construction

Upscale finishes

Travertine or Ceramic Tile Flooring

Granite Counters

Tuscan Treatments

(Required with the Optional Management Rental Program) Appliances are

included, range, refrigerator, microwave, dishwasher, oven, etc.

We are developing several proprietary products and will distribute such products through our Resortsand affiliates as well as other Spas (Worldwide) also through our website www.ailantowellnessresort.com

Ailanto by Mother Earth... Naturally Herbal Food Supplements

These products will address a series of food supplements designed to maintain a healthy bodyenvironment and will be sold in pill form. We will contract with a lab to manufacture these pills and sellthese under the name of Mother Earth Naturally by Ailanto. We expect the pricing to be comparableto products sold through GNC and other health oriented stores. These products will be offered at theResort’s stores and the Spa as well as in a form of a Catalog that include all of the Ailanto Products.

Ailanto Juice for Life by Makil

These are 100% natural exotic fruit juice products; these juices are frozen and served at the Resortsand through future franchises throughout the world. We have identified 12 juices to get started andwe have designed the stands and identified the initial locations, one in Miami Florida, New York andPhoenix. We will also package Ailanto water under this label.

Due to the nature of the product the juices will not be offered in the Catalog.

Ailanto Fashions by Green Frog

A complete line of designer spa clothing, including our exclusive “slimming” swimming suits and a fullline of Spa wear such as Tommy Bahamas-style shirts and shorts, bathrobes, sweats, sandals, togas,head gear, sunglasses and accessories.

We will contract with textile and accessories factories in Colombia for the manufacturing of theseproducts.

Ailanto Age-Defying Cosmetics by Rae

An entire line of hand and face creams designed to moisturize and to maintain a youthful appearance.These cosmetics will be sold at the Spa and will be offered through the Catalog and website.

These cosmetics will be packaged in Colombia as well.

Please Contact Dr. Hugo E. Ribadeneira for additional Information or for any questions relating toAilanto Wellness Resort and Spa. He may be contacted at 480-650-8144 (USA) or 506-8353-7386(Costa Rica). His E-mail is hugo@ailantoresort.com.

Company: Toque Del Cielo SA, a Costa Rican Corporation

Shareholders:

Edward Ribadeneira 34% Lawyer ed@wrlawfirm.net480-874-1313

William Ribadeneira 33% Manager william0106@msn.com480-585-7421Michelle Ribadeneira 33% Marketing mrib1@mac.com

480-227-6744

President and CEO Hugo E. Ribadeneira drinlawaz@msn.com 480-650-8144

Treasurer: Edward Ribadeneira

Bank: Banco Nacional

Lawyer: Alexander Lobo Costa Rica

Neither Toque Del Cielo SA nor any of its shareholders have any legal actions filed against them norare any expected.

Dr. Hugo E. Ribadeneira

Dr. Hugo served in the United States Air Force during the Vietnam era. His specialization wasPrecision Electronic Systems. After 5 1/2 years of service, he was honorably discharged. He continuedhis studies at the University of Tulsa, OK, where he earned his Bachelor in Science degree inComputer Science/Engineering.

He earned his Certified Financial Planner designation in 1983.

At La Salle University, he earned a Juris Doctor Degree (General Law) and a Doctor of Naturopathydegree.

He graduated from Washington School of Law with a LL.M (Masters of Law, Taxation with Honors)and a Doctor of Juridical Sciences (Taxation with Honors); Dr. Ribadeneira was a Professor of Law atthis School.

Dr. Ribadeneira has published 5 books and has been a guest speaker at many seminars andconventions around the world.

Dr. Ribadeneira has ample experience in real estate development having been involved in manymulti-million commercial and residential projects over the last 20 years.