1 2 Marketing Purgex Purging Compounds in Portugal 3 Marketing - - PowerPoint PPT Presentation

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Marketing Purgex Purging Compounds in Portugal

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Marketing Purgex Purging Compounds in Portugal

• 1. Neutrex, Inc. background
• 2. What is purging?
• 3. Molding industry categories
• 4. Purgex purging compounds
• a. Concentrates
• b. Blends
• 5. Purgex performance case histories
• a. Consumer products
• b. Automotive
• 6. Purgex competition
• 7. CPC pricing strategy
• 8. Purgex benefits
• 9. Purgex features
• 10. Purgex representation opportunities

Agenda

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Neutrex, Inc. Background

• Founded
• Proprietary product
• Domestic market
• Foreign market
• Houston operations
• Purgex distribution
• Purgex marketing
• Neutrex objectives

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What Is Purging?

• Definition
• Applications
• Injection-machine purging
• Extruder purging
• Blow-molding purging

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Molding Industry Categories

Top 10 in U.S.

• Electrical and electronics
• Automotive
• Consumer products
• Industrial
• Medical and pharmaceutical
• Computers and business machines
• Telecommunications
• Appliances
• Recreational and sporting goods
• Lawn and garden

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Purgex Purging Compounds

• Basic composition
• Concentrate
• Blend
• Purgex concentrate grades
• Purgex 526
• Purgex 527
• Purgex blend grades
• Purgex 456 Plus
• Purgex 457 Plus
• Purgex 3056 Plus
• Purgex 3057 Plus

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Purgex Concentrates

• Six components
• Lubricants
• Foaming agents
• Viscosity-control agents
• Proprietary product
• Unique manufacturing process
• FDA approved
• Material Safety Data Sheet (MSDS)
• Raw material source

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Purgex Blends

• HDPE carrier
• Special grade
• Houston-specific
• Other special components
• Specialty polyolefin resin
• Glass-filled HDPE
• Custom blends
• High glass content
• Fluidity-control formulation

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Purgex Performance Case Histories

• Consumer product
• Automotive
• Tech Link – Hand out

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Waste Bin Case History Part One

Industry: Part description Part weight: Machine: Resin material: Original color: Next color: Machine time cost: CPC cost: Resin cost: Consumer product Waste bin 2 pounds 1500 ton Cincinnati injection molding machine HDPE Black White $70 / hour $2.30 / pound $0.62 / pound

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Waste Bin Case History Part One – Cont.

Purging material, # Next resin, # Number of rejected parts Rejected parts in pounds of resin Purge time in minutes HDPE 14 8 16 8 100 50 100 25 CPC

Comparison Material Balance

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Waste Bin Case History Part Two

Purging material cost, $ Next resin cost, $ Reject material cost, $ Machine time cost, $ Total cost, $ HDPE 32.20 0.00 9.92 9.93 51.45 62.00 0.00 62.00 29.16 153.16 CPC

Comparative Economics

Cost saving per purge: $101.71

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Automotive Door Panel Case History Part One

Industry: Part description Part weight: Machine: Auxiliary equipment: Resin material: Original color: Next color: Machine time cost: CPC cost: Resin cost: Automotive Door panel 10 pounds 3000 ton injection molding machine Hot runner Co-polymer PP Slate grey Light greystone $239 / hour $2.20 / pound $0.35 / pound

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Automotive Door Panel Case History Part One – Cont.

Purging material, # Next resin, # Number of rejected parts Rejected parts in pounds of resin Purge time in minutes PP Copolymer 45 50 9 90 15 300 30 300 40 CPC

Comparison Material Balance

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Automotive Door Panel Case History Part Two

Purging material cost, $ Next resin cost, $ Reject material cost, $ Machine time cost, $ Total cost, $ PP Copolymer 99.00 17.50 31.50 59.75 207.75 93.00 0.00 105.00 159.33 357.33 CPC

Comparative Economics

Cost saving per purge: $149.58

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Purgex Performance Case Histories

Tech Link Injection Molding Magazine

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Purgex Competition

• Asaclean
• Dynapurge
• Novachem
• Ultra Purge
• Klüberpurge

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Purgex vs Asaclean

Purging Efficiency

Total material cost

Time

MInutes

Avg CPC Cost

$ / #

Rejection Rate

Avg # Parts

Asaclean 10 12 2.15 5 8 17 3.00 10 Purgex

Rating System 10 = Perfect 0 = Worthless CPC = Commercial Purging Compound

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Purgex vs Dynapurge

Purging Efficiency

Total material cost

Time

MInutes

Avg CPC Cost

$ / #

Rejection Rate

Avg # Parts

Dynapurge 10 12 2.15 5 5 24 2.25 20 Purgex

Rating System 10 = Perfect 0 = Worthless CPC = Commercial Purging Compound

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Purgex vs Novachem

Purging Efficiency

Total material cost

Time

MInutes

Avg CPC Cost

$ / #

Rejection Rate

Avg # Parts

Novachem 10 12 2.15 5 8 20 3.50 20 Purgex

Rating System 10 = Perfect 0 = Worthless CPC = Commercial Purging Compound

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Purgex vs Ultra Purge

Purging Efficiency

Total material cost

Time

MInutes

Avg CPC Cost

$ / #

Rejection Rate

Avg # Parts

Ultra Purge 10 12 2.15 5 4 22 3.50 22 Purgex

Rating System 10 = Perfect 0 = Worthless CPC = Commercial Purging Compound

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Purgex Benefits

• Greater purging efficiency
• Faster
• Reduced rejects
• Reduced maintenance

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Purgex Features

• Better safety
• Neutralizes toxic and noxious gasses
• Composition specification
• Special multi-action

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Purgex Representation Opportunity

Purgex Sales Representative

• Neutrex provides support, representative makes the sale
• Neutrex invoices customer
• Rep receives commission upon invoice payment
• Exclusivity based on sales-volume commitment
• Commission negotiated
• Timing 2006

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Purgex Representation Opportunity

Purgex Sales Distributor

• Neutrex provides support
• Distributor buys Purgex for inventory
• Distributor pays Neutrex
• Distributor sells to and invoices customer
• Exclusivity based on sales-volume commitment
• Purgex price negotiated
• Timing 2006

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Purgex Pricing Strategy

European Competitors CPC Price Range € 6 / Kg to €15 / Kg U.S.A. Purgex Suggested Price Range $2 / lb to $2.50 / lb

Converted at $1.28 / €

€3.44 / Kg to €4.30 / Kg Recommended Portugal Price Range € 6 / Kg to € 7 / Kg

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