LXE Channel Marketing

March 31, 2010

OPPORTUNITIES IN COLD STORAGE

Company Confidential

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COLD STORAGE• Cold storage is the low hanging fruit of the supply chain.

• The economic downturn has had limited impact on the food industry.

• Traceability regulations (the so-called “farm-to-fork” laws) demand real-time data management, it means there’s a need.

• Multiple targets

-Food processing, distribution, retail, 3PLs (the obvious suspects)

-Pharmaceuticals, Healthcare

-Ports

-Outdoor operations

A BIG MARKET OPPORTUNITY

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WHAT DOES IT MEAN?

COLD ENVIRONMENTS• Materials can become brittle

– Some plastics can become brittle– Keyboards– Rubber gaskets

• Liquid crystal displays can freeze

• Touch screens can malfunction as ice develops between screen and front bezel

• Connectors shrink and loosen

• Mounting brackets on fork-trucks loosen

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WHY IS IT SO SPECIFIC?

STANDARD MOBILE COMPUTERS WON’T LAST• Transitions between cold and warmer environments

– Condensation causes corrosion– Fogging– Frost

• Standard batteries fail

• Low-light conditions– Hard to see the display– Hard to read keyboard

• Operators are challenged physically– Gloves– Bulky, cumbersome clothing

• 23% of all US warehouse space is refrigerator / freezer / climate controlled storage.

• 78% of all cold space is freezer space

• Frozen foods represent 1/3 of total food service sales

• Cold Storage is growing 2.5% per year

• Typical warehouse temps

– Fresh cut produce: 4ºC (39ºF)

– Fresh meats: 0ºC (32ºF)

– Frozen foods storage: -18ºC (0ºF) to – 25ºC (-13ºF)

– Ice Cream: -28ºC (-18ºF)

– Blast freezing: -28º to -35ºC (-31ºF)

MARKET DATA

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LXE’S COLD STORAGE EXPERIENCE

OVER 20 YEARS

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CUSTOMER TESTIMONIAL

“Arctic Cold Storage has been converting our old freezer rated computers to the LXE MX7CS handheld.  Immediately the operators noticed how light and balanced the units are and productivity has increased.  With the help of Miles Data, LXE helped set up the MX7CS units with Stay-Linked and they are working well.  The service and support we have received has been phenomenal.” 

 Jay CondonGeneral Manager, Arctic Cold Storage

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“Kehe Food Distributors purchased LXE RF equipment with the heater option to work within our freezer environment.  The equipment has worked as advertised and it has been great to not have to deal with heater boots and extra batteries.  Everything packed into one unit has made it much easier to manage.  From the sales team to the service team, it is nice having a partner like LXE that understands my needs and executes on their promises.”

 Jay RogersDirector of Distribution Services, Kehe Food Distributors

CUSTOMER TESTIMONIAL

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LARGEST COLD STORAGE COMPUTER LINE

Handheld Vehicle Mount Hands-Free

HX3

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THE LXE DIFFERENCE

• Internal heaters– For display and scan window

– Fight fog, frost and condensation

– Heated boots and holsters are an inefficient workaround• Batteries must be replaced

• Must be worn, warm clothing is cumbersome enough

• They wear out

• Heater Controls− Thermostat or user controlled for energy conservation

• Military-grade conformal coating– Protects electronics against condensation

– Desiccant packs are unreliable and must be replaced regularly

• Specialized low-temp batteries– Normal batteries simply do not work

• Keyboard Options– Multiple keypad options and flexible key mapping

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MX7CS

• Operating Temperature -22º to +122ºF

• Heaters are thermostatically controlled-Shut off at 0ºC to conserve battery

• Specialized low-impedance Li-ion battery

-On-board battery instead of tethered

• Smallest and lightest cold storage handheld available

• Multiple backlit keypad options

-Large backlit, non-slip keys-Rugged epoxy coating

-Mappable keys

• Bright screen for easy viewing in low-lit areas

• Tough handle with non-slip grip- Large 2-finger scan trigger – Easy For gloved

hands

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MX9CS

• Operating Temperature -22º to +122º F

• Software controlled thermostat set points

-Heater on/off control

• Ultra-rugged IP67 Rating• Fully-mappable, 62- & 38-key backlit keypads • Fast Processors – PXA320, 800 MHz• WWAN/GPS options available • Longer battery life

-4.5 hours (half-shift) at -30ºC continuous

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VX6 & VX7

• Operating Temperature -22º to +122º F

• Used in cold storage facilities worldwide

• Rugged half-screen & full screen form factors

• Heater eliminates fog and frost

• Components and connectors protected by military-grade conformal coating

• Precision fit parts and thermoplastic elastomer (TPE) o-rings for maximum protection from ice, water and dust

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VX8 & VX9

• Operating Temperature -22º to +122º F

• Rugged full screen form factors

• Heater eliminates fog and frost

• Small footprint for safe driving

• High strength magnesium housing

• Windows® XP

• WWAN available

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HX3

• Operating Temperature

-40° to 122°F

• Hands-free/Eyes-free operation

• Certified by most major voice software providers

• Large buttons – Easy for gloved hands

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JOIN US TUESDAY APRIL 27, 12:00PM

• Cold Storage White Paper– LXE will co-brand our cold storage white

paper with you for you to promote to your own customers or prospects

• E-mail Template– Send a co-branded e-mail directing

customers/prospects to download the Cold Storage White Paper

• Direct Mail– LXE is producing a limited qty of co-branded

mail pieces - Available to only 4 Partners!

• MDF available to cover half the cost of any program

MARKETING RESOURCES AVAILABLE

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WARM UP YOUR REVENUE WITH LXE COLD STORAGE COMPUTERS

Contact your local VAR Account Manager or Steven Lane, Sr. Manager – Marketing & Communications, lane.s@lxe.com

www.lxe.com

800-664-4593