Disclaimer / Safe Harbor Statement Disclaimer This document is based - - PowerPoint PPT Presentation

Dais Corporation (OTC:DLYT)

Corporate Presentation – January 2019

Confidential 12 January 2019

Disclaimer This document is based on information provided by Dais Analytic Corporation (the “Company”) and other sources that the Company believes are reliable. Nothing in this document is, or may be relied upon as, a promise or representation by the Company as to the past or the future information or results. This is not an offer or the solicitation of an offer to buy any securities of the Company, and readers should not construe the contents of this document as investment, legal or tax advice. The information contained in this document is made as of the date hereof, and does not reflect any events that may occur subsequent to the date hereof. The Company undertakes no duty or obligation to update or revise the information included in this presentation. Closing on target funding in a reasonable timeframe is required in order to meet or exceed projections of all types contained herein. Safe Harbor Statement This presentation may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements may be identified by the use of words such as “anticipate,” “believe,“ “plan,” “estimate” “expect,” “intend,” “may,” “will,” “would,” “could,” “should,” “might,” “potential,” or “continue,” and variations or similar expressions. Readers should not unduly rely on these forward-looking statements, which are not a guarantee of future performance. There can be no assurance that forward- looking statement will prove to be accurate. As all such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual results or future event to differ materially from the forward-looking statements. Such risks include, but may not be limited to: general economic and business conditions; our ability to obtain financing; technology changes; competition; changes in strategy or development plans; governmental regulations and the ability or failure to comply with governmental regulations; the timing of anticipated results; and other factors referenced in Dais Analytic Corporation’s filings with securities regulators. For a discussion of further risks and uncertainties related to our business, please refer to our public company reports filed with the US Securities and Exchange Commission. All forward-looking statements are made as of the date hereof and are subject to

• change. Except as required by law, we assume no obligation to update such statements. This presentation does not constitute an offer or solicitation of an
• ffer for sale of any securities in any jurisdiction.

Disclaimer / Safe Harbor Statement

Confidential

2 18 January 2019

▪ Executive Summary ▪ Market Drivers ▪ Core Technology & Products ▪ Commercial Product Descriptions ▪ Business Model/ Strategy and Sales Channels ▪ Intellectual Property ▪ Implementation Plan ▪ Executive Management Team ▪ Financial Information ▪ Summary Highlights ▪ Awards and Recognition ▪ Appendix

Fist Nanoclear ME305 Shipment

Table of Contents

12 January 2019

Confidential

3

The Business and Targeted Markets

• DLYT is generating growing revenues and profits

from sales of products including (a.) cleaning contaminated industrial waste water; and (b.) high efficiency Heating, Ventilation and Air- Conditioning/Refrigeration (HVAC/R): two multi- billion dollar world-wide markets.

• The products are built around the management
• f features inherent in a proven, proprietary,

disruptive nano-structure polymer called Aqualyte™.

The Technology and Products

▪ Aqualyte™ is a proven “smart plastic” membrane with key features being solid yet allowing the passage of moisture molecules, being inherently anti-fouling, and having high molecular selectivity. ▪ Managing these features creates highly efficient products in demanding, growing markets. ▪ Strong intellectual property portfolio - 24 patents (issued and/or pending). ▪ Received a 2018 Best Practices Award from Frost and Sullivan.

Aqualyte™ Material made in the USA. Industrial HVAC Systems Industrial Waste Water Systems

Executive Summary

Confidential - Not for Disclosure

4

Revenue Information

▪ Revenue and Gross Margin has increased over last five consecutive quarters. ▪ 4Q 2018 revenues up over 300% from 4Q 2017. ▪ Revenue for 2018 up over 350% compared to 2017. ▪ Projecting trend expected to continue into 2019 and beyond.

18 January 2019

Market Development ▪ Strong emphasis on revenue generation, and achieving cash-flow breakeven in 2019. ▪ 3 major value-added, premium products/ applications providing energy efficiency and clean water. ▪ Grow existing agreements with key OEM’s or partners: ▪ China: ▪ The Haier Group ▪ Menred ▪ State Grid (SPIC) ▪ Vontron (a China Rail subsidiary) ▪ Fengdu Environmental Group ▪ North & South America/Europe: ▪ Polybloc (Switzerland) ▪ Trane (US) ▪ Regional HVAC distributors (US) ▪ Aires Chile ▪ ATREA s.r.o., Czech Republic

Aqualyte™ Material made in the USA. Industrial HVAC Systems Industrial Waste Water Systems

Executive Summary

Confidential - Not for Disclosure

5 18 January 2019

▪ Progress to Date: ▪ 33 industrial waste water pilots. ▪ Agreement with State Power Investment Corporation (SPIC) entity for 2 water pilots in ‘19. ▪ 1 PolyCool pilot. ▪ 1 Chiller Membrane Evaporator Cooler (Haier) ▪ 210,000+ Haier Refrigerators (moving up to an estimated 17M in 2019). ▪ Over 24,000 Energy Recovery Ventilators and components in field use. ▪ New ConsERV catalog containing better pricing and product improvements.

• DLYT is growing revenue in two multi-billion

dollar markets:

• Industrial Waste Water Re-Use and

Treatment Systems.

• HVAC/R (Heating, Ventilation and Air-

Conditioning/Refrigeration).

• Combined, these markets account for over

30% of all the energy consumed on the planet - 50% more than transportation.

Market Drivers: Global Multi-Billion Dollar Opportunity

12 January 2019

Confidential - Not for Disclosure

6

• Products being demanded by the

markets having:

• Higher performance.
• Newer features.
• Longer life.
• Better CAPEX and OPEX numbers
• Improved environmental impact.
• What problems are we solving?

Water Re-Use and Treatment Systems (NanoClear) ▪ Every drop counts - according to U.N. Department of Economic & Social Affairs, around 1.2 billion people live in areas of water scarcity, and 1.6 billion people, face economic water shortage (1).

▪ Frost & Sullivan: The global equipment for water and

waste water technology segment exceeds $150 Billion (Total Available Market) (2).

▪ NanoClear : ▪ Payback period ~ 1 to 3 years. ▪ Product replacement ~ 3 – 5 years.

HVAC – Ventilation (ConsERV) ▪ Enclosed spaces need to breathe - according to U.S. EPA, indoor air pollution levels are 5x greater than outdoors – ensuring air exchange & maintaining energy efficiency is a major challenge (1).

▪ Markets and Markets: The global energy recovery

ventilator market is expected to grow from $1.97 Billion in 2017 to $3.37 Billion by 2022 (Total Available Market) (2).

▪ ConsERV: ▪ Payback period ~ immediate to 3 years. ▪ Product replacement ~ 8 years.

ConsERV Enthalpy Core Rooftop Cabinet

Industry: HVAC - Ventilation

(1) U.S. Department of Energy - Energy Efficiency Trends in Residential and Commercial Buildings (2015) (2) Markets and Markets - https://www.marketsandmarkets.com/Market-Reports/energy-recovery-ventilator-market-242565927.html

Market Drivers: Global Multi-Billion Dollar Opportunity

ConsERV TAM = Total Available Market ($1.97 B – 100%) SAM = Serviceable Available Market ( $1.52 B - 77%) Industry: Water Re-Use & Treatment Systems

Waste Water & Treated Water

(1) United Nations - Human Development Report 2015, (UNDESA). (2) Frost & Sullivan “2016 Global Water Market Outlook” - http://www.britishwater.co.uk/Media/Download.aspx?MediaId=1055

NanoClear TAM = Total Available Market ($150 B – 100%) SAM = Serviceable Available Market ( $74 B - 49%)

HVAC Ventilation

12 January 2019

Confidential - Not for Disclosure

7

Description:

• The Company’s disruptive platform (and key product) is based on a

revolutionary plastic called Aqualyte™ which has been developed and refined over the course of a decade, is patent protected and has a myriad

• f applications and benefits in targeted markets.

Summary:

• The plastic membrane enables transport of moisture molecules through a

patented solid piece of plastic. Function:

• Self-assembling plastic material comprised of two alternating layers of

plastic.

• Dark colored layer: Solid plastic layer providing a typical rugged

plastic structure (‘hydrophobic’ – that repels water molecules).

• Light colored layer: A special water molecule attracting

(‘hydrophilic’) layer permitting bi-directional water molecule transfer.

• These two layers form the cornerstone of Aqualyte’s disruptive

capabilities.

Core Technology: Overview

12 January 2019

Confidential - Not for Disclosure

8

Aqualyte™ Moisture Transfer Nanomaterial Membrane

Product Manufacturing ▪ China: ▪ DLYT currently assembles ConsERV and NanoClear cores and modules while Aqualyte fabrication is

• subcontracted. For future expansion and high-volume scale-up, the Company has made progress to

establish a robust supply chain with strategic partners having existing multiple channel access to markets – or with qualified outsourced firms. ▪ North America: ▪ DLYT uses a blended “Out-Sourced – in-house” model for material, component and assembly needs, with focus on increasing out-sourcing to China.

Aqualyte™

“Smart” Plastic Membranes

NanoClear™

Modules for Waste Water Treatment

ConsERV™

Cores for HVAC – Energy Recovery Ventilators

Aqualyte™ -

“Smart” Plastic Membrane Other Applications

• PolyCool
• NanoAir
• NanoCoatings
• NanoCap

Commercializing/Current Sales

In product development phase

Core Products - Overview

12 January 2019

Confidential - Not for Disclosure

9

Aqualyte™ is a non-porous nanomaterial that selectively and efficiently transports moisture through a solid membrane bi-directionally.

• Aqualyte ™ is a product “Enabler” material:
• Analogy is the ‘chip’ to a phone/laptop.
• Sell Aqualyte ™ material only.
• Opportunities with water/HVAC OEMs, clothing, many forms of

moisture removal (gas, foods, etc.), and electronics.

• Follows industry trend of using advanced materials to improve or

create new products. Value Proposition ▪ Non-porous

▪ No pores to clog. ▪ Holds a vacuum: gases do not

transfer. ▪ Low pressure operation

▪ Simplified plant design. ▪ Low cost components.

▪ Biofouling resistant. ▪ Produced in commercial volumes.

Aqualyte Membrane. Roll form – Aqualyte Nanomaterial

Commercial Product Description: Aqualyte™

12 January 2019

Confidential - Not for Disclosure

10

ConsERV™ is a fixed plate energy recovery ventilator useful in meeting building indoor fresh air requirements while saving energy and lowering emissions for most forms of (HVAC) equipment.

▪ In summer, reduces temperature/water content in ventilation air to deliver cooler, drier air. ▪ In winter, increases temperature/water content in ventilation air to deliver warmer, humidified air. ▪ Lowers CO2 emissions. ▪ +24,510 units sold since inception (~2,000+ in China).

ConsERV C500 Core

Value Proposition ConsERV is a premium product that provides better indoor air quality and a higher level of comfort than other ERV products. ▪ Outperforms competing technologies - validated by third parties. ▪ Longer service life (>8 years) compared to heat recovery wheels ▪ Stands up to the most aggressive environments. ▪ Lower system CAPEX compared to wheels ▪ Lower OPEX – almost no maintenance compared to wheels and other flat plate enthalpy products ▪ Resists biofouling. ▪ Does not freeze during the winter.

ConsERV Rooftop System

Commercial Product Description: ConsERV™

12 January 2019

Confidential - Not for Disclosure

11 ConsERV – China partner’s Newest offering

ConsERV Other Plates Wheels Technology Summary Membrane Based Flat Plate Enthalpy Heat Exchange Flat Plate Enthalpy Heat Exchange Wheel Enthalpy Heat Exchange AHRI Certified Performance Highest Fixed Plate Latent Effectiveness Zero Leakage Lower Effectiveness Most Leakage High Effectiveness All Leakage Reliability No moving parts to fail If air moves, energy transfers No moving parts to fail If air moves, energy transfers Moving parts – requires maintenance If air stops moving, no energy transfers Cost Savings Reliably downsize Air Handling Unit Reliably downsize Air Handling Unit Can’t downsize Air Handling Unit Long Life Simple Filter and Core Maintenance Superior Cold Weather Durability No bacterial or fungal growth Simple Filter and Core Maintenance Most require cold weather conditioning Bacterial or fungal growth common Moving parts require maintenance Most require cold weather conditioning Bacterial or fungal growth common ConsERV V vs. Other r ERV V Products s (Plate and Wheel l based Sys ystems) s)

Competitive Advantage: ConsERV™

12 January 2019

Confidential - Not for Disclosure

12

NanoClear™ is a water clean-up process useful to create potable water from most forms of aggressively contaminated industrial waste water, i.e. petrochemical, pharmaceutical, steel, etc., as well as sea, brackish or other types of waste water. Value Proposition ▪ Technical ▪ Treat 3X saltier water.

▪ Concentrate to 25% versus ~

8%.

▪ Wastewater volume reduced

up to 2/3. ▪ Product water ~100 times cleaner. ▪ Scaling and biofouling resistant. ▪ Economics ▪ Cost per metric ton (M3).

▪ NanoClear™ $0.28 - $0.54 ▪ Others: $0.73 - $1.73.

▪ Certain Configurations:

▪ “One membrane system”

replaces multiple membrane systems.

NanoClear ME303 Membrane Evaporator NanoClear Membrane Evaporator Units readied for shipping.

Commercial Product Description: NanoClear™

12 January 2019

Confidential - Not for Disclosure

13

NanoClear Reverse Osmosis (RO)

Technology Summary

Crossflow; water evaporates because of vapor pressure differential Water forced through membrane by overcoming

• smotic pressure

Runs at lower pressures

Required only to circulate water < 0.035 MPa Required to overcome osmotic pressure 1 – 7 Mpa

Produces cleaner water Total Dissolved Solids

Higher concentrate waste water to cleaner water 250,000  0 – 10 60,000 (single-stage) 90,000 (two-stage)  100 – 1,000

Requires less pretreatment

Filter to 20 μm suspended solids Multiple stage filtration, including UF pH regulation, anti-scalant Remove dissolved gases, disinfect

Thermal Energy Input [MJ/m3]

Energy required to replace energy of evaporation None required

Electrical Input [MJ/m3]

10 7 – 25

Recovers more water

86% 42% (single-stage) 61% (two-stage)

Comparable Transfer rates [L/m2-hr]

23 – 38 20 – 30 Na Nano noCl Clear r vs. RO Sys ystems fo for Water r Treatment

Competitive Advantage: NanoClear™

12 January 2019

Confidential - Not for Disclosure

14

Aqualyte™

OEMs

DISRUPTIVE PLATFORM TECHNOLOGY

Energy Recovery Ventilators Waste Water Treatment Cooling Towers

OEMs BUSINESS TO BUSINESS DIRECT TO CUSTOMER

SHORT TERM

SERVICE PROVIDERS OEMs

LONG TERM

POWER PLANTS MULTI FAMILY HOUSING HOSPITALS SCHOOLS

ConsERV™ NanoClear™ PolyCool™ Aqualyte™ Goal: Accelerate revenue growth by selling value-added-components or products/systems using disruptive technology through Multiple Sales Channels and Business Partnerships.

Polymer Substrate Roll-to-Roll Coating

SUPPLY CHAIN AQUALYTE VALUE ADDED COMPONENTS APPLICATIONS/ SYSTEMS CHANNELS TO MARKET END-USERS/ CUSTOMERS

Business Model: Commercial Products

12 January 2019

Confidential - Not for Disclosure

15

ConsERV™ NanoClear™ Aqualyte™

Target Markets ▪ Industrial Facilities | Hotels | Office buildings | Mines. ▪ Power Companies offering incentives. ▪ Healthcare Facilities| Schools and Universities. ▪ Ventilation Equipment OEM 2019 - 2021 Revenue Growth Strategy ▪ China ˗ Multi-year license agreement with MENRED, to vastly increase market for ConsERV in China. ▪ North America ˗ Work with North American OEMs who manufacture ERV systems to provide full systems to sales reps. Target Markets ▪ Semiconductor Industry. ▪ Pharmaceutical Industry. ▪ Petrochemical Industry. ▪ Material Concentration / Zero Liquid Discharge. ▪ Food Industry. 2019 - 2021 Revenue Growth Strategy Currently 19 trials under evaluation in the field. ▪ China

▪ Build and operate a fully functional, Dais owned and operated NanoClear test

facility.

▪ Signed contract with SYJD Company/State Power Investment Corporation (SPIC). ▪ Create in-country JV with Umore Consulting.

▪ North America

▪ Focus on sales to industrial turnkey solution providers and end-users.

Target Markets ▪ Water Treatment and HVAC OEM’s that incorporate membranes in their equipment. ▪ Other applications that benefit from Aqualyte’s unique features. 2018 – 2020 Revenue Growth Strategy China: ▪ Signed exclusive license arrangement with Haier for a new refrigerator feature. Negotiating second product agreement with Haier. ▪ Entered into an agreement with Aperia for its “Halo” automatic truck tire inflator product - Part of the Michelin “AutoInflate” program in N. America and Europe. North America: ▪ Negotiate ‘first of a kind’ OEM accounts (e.g Baltimore Air Coil, EVAPCO, Nortek, Renewaire) and others.

Business Strategy in Target Industry

12 January 2019

Confidential - Not for Disclosure

16

Halo Truck HUB Automatic Tire Inflator “Making It Possible: Aqualyte“

Partnership agreement with The Haier Group: ▪ Aqualyte ramped up to be sold in refrigeration products with a projected revenue impact in 2018 of $1.0 million and when fully implemented as planned by 3Q 2019 will account for over $10M in sales annually. ▪ Second agreement (HVAC) changes the cooling process used in HVAC forever. It is the first implementation of the Company’s PolyCool process and is projected to provide for substantial increases in revenues beginning as early as 1Q 2020 (est. $22M - $73M+ annually). ▪ Third Project under discussion uses an existing Dais product in the existing refrigeration line. If implemented revenues could begin as early a 3Q 2019 (on full implementation est. $26M - $104M+ annually) ▪ Additional discussions are underway with The Haier Group to provide further increases in revenues for 2019 and beyond. Partnership with The Menred Group: ▪ ConsERV sales in Greater China are projected to yielded approximately $300K, and over $1.2M in 2019. Agreement with Aperia: ▪ Provide Aqualyte nanomaterial to Aperia for “Halo” automatic truck inflator product – part of Michelin “Autoinflate” program in N. America and Europe. Contract with Sun Yang Jiayuan Deshian Environmental Protection Company, a contractor for the State Power Investment Corporation (SPIC): ▪ NanoClear applications for waste water cleaning systems for coal fired power plants expected to yield $75,000 in 2018, a minimum of $2 million in 2019, and minimum of $6 million in 2020.

With these projected revenues - DLYT is estimating breakeven and profitability during 2019.

Dais has the product, initial relationships, market(s), and initial supply chain in place with expansion aggressively underway. Dais is positioned for solid growth in 2018 and rapid growth in 2019 and beyond.

Revenue Growth

12 January 2019

Confidential - Not for Disclosure

17

The Company has a strong IP portfolio:

▪ 19 Patents (US and China). ▪ 5 Patents pending (Global Use). ▪ 14 patents contribute towards license fees and royalties (non-grayed from list). ▪ Independent 3rd party valuation > $50M USD.

Patent Number Description Issued Expires on or about

U.S. Patent No. 6,841,601

Cross-linked polymer electrolyte membranes for heat and moisture exchange devices 11-Jan-05 12-Mar-22

U.S. Patent No. 6,413,298

Water and ion-conducting membranes and uses thereof 2-Jul-02 27-Jul-20

U.S. Patent No. 6,383,391

Water and ion-conducting membranes and uses thereof 7-May-02 27-Jul-20

U.S. Patent No. 6,110,616

Ion-conducting membrane for fuel cell 29-Aug-00 29-Jan-18

U.S. Patent No. 7,179,860

Cross-linked polymer electrolyte membranes for heat, ion and moisture exchange devices 20-Feb-07 11-Mar-22

U.S. Patent No. 7,990,679

Nanoparticle Ultra Capacitor 2-Aug-11 22-Nov-29

U.S. Patent No. 8,222,346B2

Novel Coblock Polymers and Method for Making Same 17-Jul-12 28-Sep-27

U.S. Patent no. 8,500,960B

Multi Phase Selective Transport Through A Membrane 6-Aug-13 23-Feb-30

U.S. Patent No. 8,586,637

Stable and Compatible Polymer Blends 19-Nov-13 28-Oct-29

U.S. Patent No. 8,470,071

Enhanced HVAC Systems and Methods 25-Jun-13 25-Sep-27

U.S. Patent No. 9,293,269

Ultracapacitor Tolerating Electric Field of Sufficient Strength 22-Mar-16 20-Aug-21

U.S. Patent No. 9,283,518

Fluid Treatment Systems and Methods Using Selective Transfer Membranes 15-Mar-16 10-Jun-21

U.S. Patent No. 9,013,155

Energy storage devices including a solid multilayer electrolyte 21-Apr-15 7-Jan-31

U.S. Patent No. 9,393,557

Anionic Exchange Electrolyte Polymer Membranes 19-Jul-17 10-Feb-32 China Patent No. ZL2008009211.4 Multi Phase Selective Transport Through a Membrane 27-Mar-13 22-Jan-28 Hong Kong Patent No. HK1139888 Multi Phase Selective Transport Through a Membrane 10-Jan-14 22-Jan-28 China Patent No. ZL201310052408.9 A Dryer Having a Drying Chamber Comprising Heated Air 13-Jan-16 22-Jan-28 Hong Kong Patent No. HK1187300 A Dryer Having a Drying Chamber Comprising Heated Air 10-Mar-17 22-Jan-28 China Patent No. ZL2014102001793.3 Fluid Treatment Systems and Methods Using Selective Transfer Membranes 11-May-18 7-Sep-31 WO/2011/085917 - Energy Storage Devices Including a solid Multilayer Electrolyte WO/2008/089484 - Multiphase Selective Transport Through a membrane WO/2009/002984 - Stable and Compatible Polymer Blends WO 2017062812 A1 - Evaporative chilling systems and methods using a selective transfer membrane US Application #15/969,449; also filed in China, no number issued yet - Compact Membrane-Based Heat and Mass Exchanger

Issued Patents Patent Applications

Intellectual Property

12 January 2019

Confidential - Not for Disclosure

18

Implementation and Growth Plans

Marketing, Sales & Business Development

• Support applications Engineering for increased sales for

ConsERV and NanoClear (in China and North America)

• Build in-country pilot for NanoClear in China with strategic

partner

• Position PolyCool for commercial launch in collaboration with

Haier and other OEM’s

• Add distribution channels for Aqualyte with new OEMs to

aggregate higher volume product sales

• Create increased brand awareness through targeted trade

shows, exhibits, print brochures, website, social media, public and investor relations Operations

• Finalize “Valued Supplier” agreements for Aqualyte
• Strengthen subcontractor relationships for assembly of

ConsERV and NanoClear components in China

• Pre-order fulfilment process for Aqualyte to existing

customers Haier, Polybloc and other new strategic OEM customers

• Increase production capacity of Aqualyte to >2M SF to enable

cost reduction of 25%

2019: Scale-up and Marketing 2019+: Expansion and Distribution

Marketing, Sales & Business Development

• Continue customer and vendor education/promotion for

Aqualyte, ConsERV and NanoClear

• Expand representative networks for ConsERV and NanoClear

in China, US, SE Asia, Australia and EU with OEM partners

• Expand distribution channels for Aqualyte with new OEMs
• Identify new revenue opportunities in air/water industry with

existing partners (e.g. Menred, Haier in China)

• Full scale commercialization of in NanoClear in China –

increase sales through distribution channels

• Market expansion and commercialization of new product:

PolyCool with OEM partners Operations

• Expand “Valued Supplier” Agreements for Aqualyte
• Establish partners and new subcontractors for assembly of

PolyCool components

• Increase Production Capacity of ‘environmentally friendly’

Aqualyte to >20M SF to enable 50% cost reduction.

• Increase inventory to meet increased demand for Aqualyte,

ConsERV and NanoClear

DLYT has moved from product development phase to commercialization into full blown revenue generation in 2019 and beyond.

12 January 2019

Confidential - Not for Disclosure

19

Timothy N. Tangredi | Chairman & Chief Executive Officer

▪ Responsible for corporate strategy including business development initiatives with JV partners in China. ▪ Former Large Project Management Leader with AT&T, Inc. (NYSE:T). Responsible for commercializing new innovations throughout the company, and selling it to end-user clients of AT&T. ▪ Holds a BS from Siena College, an MBA from Rensselaer Polytechnic Institute, and 3 US Patents.

Pradeep Haldar, PhD.| President & COO

▪ Responsible for North American business development, marketing, sales, finance, operations, engineering, manufacturing and technology development. ▪ Former Executive, Vice President, GM, COO and CTO at SuperPower (Intermagnetics: now Philips), Albany Nanotech/SUNY. Responsible for innovation, clean energy programs and creation of multiple startups. ▪ Holds a Ph.D. from Northeastern University, MBA from Rensselaer Polytechnic Institute, 10 US patents and disclosures.

Brian Johnson | Chief Technology Officer

▪ Responsible for Technology Development, Product Management and Commercialization. ▪ Former Product Engineer at Pratt & Whitney, a division of United Technologies Corporation (NYSE:UTC). Former Director of Product Development for DLYT; lead the design of the ConsERV product line. ▪ Holds degrees in Mechanical Engineering (Thermal Science emphasis) from the University of Florida (BSME 1995, MSME 1997) and holds 3 US Patents and 1 Chinese patent.

Management has significant experience commercializing new technologies, at some of the largest and most innovative firms in the world.

Executive Management Team

12 January 2019

Confidential - Not for Disclosure

20

ConsERV Cores set for delivery from Dais’s Chengdu manufacturer.

▪ Growing Worldwide Market Needs: Worldwide water treatment/re-use, and HVAC/R markets are seeking products having higher performance, lower operating cost, similar capital cost, and vastly improved environmental impact.

▪ Breakthrough Enabling Technology:

▪ Aqualyte™ : Patented, ‘platform’ nanomaterial with rich feature set (Non-porous, Non-fouling, Highly Selective) composite plastic membranes. ▪ Using the “Platform”: The company is selling desired products into the needs of the multi-billion dollar water treatment/re-use and HVAC industries. ▪ Relationships: Growing number of partnerships, and more coming, with leading OEMs (Haier Group, SPIC, Menred). ▪ Strong Intellectual Property Portfolio: Patents, “Know-How”, and trade secrets creating barriers to entry for others. 24 patents with more coming. ▪ Team: Strong “Core” Leadership team and Board: Knowledgeable /Experienced Management Team each having 20+ years in business. ▪ Future: Significant growth opportunity in new applications with innovative product and unique properties, Aqualyte™.

Recent shipment of ME305 NanoClear Module to China

Summary Highlights

12 January 2019

Confidential - Not for Disclosure

21

Award for superior leadership, technological innovation, customer service, and strategic product development NanoAir – including use of ConsERV - Awarded Advanced Research Projects Agency-Energy (ARPA-E) Phase I and Phase II Projects ConsERV performance certified by AHRI rated since 2006. Congressional Recognition for Innovation International trade exhibition innovation Award for heating, ventilation, air conditioning, 2011. International Air-conditioning, Heating, Refrigeration Expo Innovation Award In A Navigant Study for the DOE NanoAir – including use of ConsERV - was one of just two, out of 22 HVAC technologies, to be rated “Most Promising” Performance Award 2015, 2016 Swiss Ventilation and Volatile Organic Compound Testing. 2016

Awards and Recognition

12 January 2019

Confidential - Not for Disclosure

22

Selected by the Editors of Scientific American for “New Technologies Aim to Save Energy--and Lives-- with Better Air Conditioning”. Selected by the Editors

• f Forbes for “12

Energy Projects to Watch” One of twenty nine US companies, Xi Jiping/Trump Presidential Trade Mission

Appendix

12 January 2019

Confidential - Not for Disclosure

23

Appendix

World of Coke ConsERV™ Installation First Commercial NanoClear™ Shipment

Financial History (2018)

Revenue and Gross Profit Growth Over Last Five Quarters (Q4, 2018: Unaudited) Confidential - Not for Disclosure

24 18 January 2019

Aqualyte™ Nanomaterial Moisture Transfer Membrane

• Innovative, “Smart” Plastic

Membrane

• Solid polymer layer that is

not microporous.

• Holds vacuum - gases do

not penetrate.

• Selectively permeable:
• ‘Tuned’ to the transport
• f water molecules.

▪ Rapid transfer offering stable,

high performance.

▪ Fouling resistant: Aqualyte

resists surface deposition.

▪ Proven performance in water

and HVAC industry uses.

Industrial wastewater pollutants Sources Note

Acid Chemical, mining, steel, non-ferrous metal smelting, machinery, electroplating

√

Alkali Chemical fiber, alkali, paper, printing and dyeing, leather, electroplating, petrochemical √ Mercury and its compounds Chlor-alkali, explosives, mercury pesticides, chemicals, chemicals, electroplating, mercury refining industry √ Cadmium and its compounds Mining, smelting, electroplating, chemical, metal processing, batteries, special glass √ Hexavalent chromium and its compounds Mining, smelting, electroplating, chemical, metal processing, batteries, special glass √ Arsenic and its compounds Ore processing, pharmaceutical, smelting, chemical, glass, coatings, pesticides, fertilizers X Phenols Coking, gas, kerosene, synthetic resin, chemical, dye, pharmaceutical industry √ Cyanide Coking, gas, kerosene, electroplating, metal cleaning, plexiglass, acrylonitrile synthesis, gold O Lead and its compounds Smelting, chemical, pesticide, gasoline explosion-proof, lead-containing, especially enamel industry √ Oil Kerosene, machinery, food processing, oil field, natural gas processing √ Sulfide Chemical, leather, gas, coking, dyeing, viscose, kerosene, oil field, natural gas processing √ Free chlorine Paper, fabric bleaching, chemical √ Organic phosphorus, organic chlorine Pesticide, chemical industry √ Polychlorinated biphenyl Electricity, plastics, lubricants √ Radioactive material Atomic energy industry, radioisotope laboratory, hospital, weapons production, etc. √

Note: √ indicates that Aqualyte can be used, O indicates it can manage most of these pollutants, and x means that effectiveness depends on the specific composition.

Core Technology: Capabilities

12 January 2019

Confidential - Not for Disclosure

25

William “Bill” McCullum Senior Attorney – Dacheng Denton Independent Board Member Bill is a partner in the Public Policy and Regulation practice of Dacheng Denton. He served as Attorney General of Florida from 2007 to 2011, and in the US Congress as a 10 term member of the United States House of Representatives, from 1981 to 2001. On Judiciary Committee chairing Subcommittee on Banking, and Intelligence. Bill earned his bachelor’s degree and law degree from the University of Florida. Thomas E. Turner Chairman – Cabo Vida Group Independent Board Member

• Mr. Turner is Chairman of Cabo Vida Group, a company

that is developing a custom community in Costa Rica. He serves as a consultant to Golden Gate Capital, a director

• f Qylur Security Systems and Host.net BroadbandOne.

During his career he has been President and/or CEO of Wang Canada Limited, Datamax Corporation, and Itronix. He held senior management positions at The City of New York, Graphic Systems, Wang Laboratories, Symbol Technologies, WhereNet, and General Dynamics. Mr. Turner’s expertise in advising and operating small technology businesses. Timothy N. Tangredi Chairman and CEO Responsible for corporate strategy including business development initiatives with JV partners in China. Former leader of New Projects with AT&T, Inc. (NYSE:T). Responsible for commercializing new innovations throughout the Company, and selling it to end-user clients

• f AT&T. At Dais led two acquisitions, created five foreign

relationships, and led efforts raising over $24M. He holds a BS - Finance from Siena College, and an MBA from Rensselaer Polytechnic Institute. Tim holds 3 US Patents. Robert W. Schwartz Managing Director of Schwartz- Heslin Group Independent Board Member Former roles include President ad CEO of Windsource, Inc., President & CEO of Coradian Corporation (AMEX listed), CFO of Troy Built Products, management consultant with KPMG and IBM. Mr. Schwartz holds a BS from Cornell University and serves on the Board of Golub Corporation. Bob joined the Dais Board in December of 2000. Eliza Xuan Wang Managing Director – The Meridian Law Independent Board Member

• Ms. Wang is licensed to practice law in the States of

California & New York. She holds a Bachelor of Law degree from China University of Political Science and Law (Beijing, China) and L.L.M. degree from Hastings College of The Law, University of California. She is the Managing Director

• f The Meridian Law since 2009 handling general, civil and

commercial litigation, immigration, and venture capital transactions.

Board of Directors

12 January 2019

Confidential - Not for Disclosure

26

World of Coke ConsERV™ Installation First Commercial NanoClear™ Shipment

Financial History

Revenue and GP Growth Over Last Five Quarters Revenue and GP Growth Q4 2018 vs. Q4 2017 Revenue and GP Growth FY 2018 vs. FY 2017

12 January 2019

Confidential - Not for Disclosure

27

Q4 2018: Unaudited

Capitalization / Ownership Table

Insiders own more than 60% of the Company’s equity on a fully diluted basis.

Ownership Table Holder # of Shares % Of CSO Fully Diluted Shares (#) Fully Diluted Shares (%) Timothy N. Tangredi (CEO and Chairman) 1,192,130 0.80% 37,974,688 19.16% John Herrin (COO) 100,000 0.07% 940,000 0.49% Brian Johnson (CTO) 1,250 0.00% 1,426,250 0.72% Robert W. Schwartz (Director)

• 0.00%

2,595,000 1.31% Thomas E. Turner (Director) 39,000 0.03% 5,101,500 2.57% Ira William McCollum Jr. (Director) 10,000 0.01% 1,510,000 0.76% Eliza Wang (Director)

• 0.00%

900,000 0.45% Soex (Hong Kong) Industry & Investment Co., Ltd. 37,500,000 25.22% 37,500,000 18.92% Green Valley International Investment Management Co. 19,491,430 13.11% 19,866,218 10.02% Hong Kong SAGE Technology Investment Co., Limited 13,304,348 8.95% 13,304,348 6.71% Hong Kong JHSE 4,695,652 3.16% 4,695,652 2.37% Zan Investment Advisory Limited 3,750,000 2.52% 3,750,000 1.89% Total Insiders 80,083,810 53.86% 129,563,656 65.38% Public Float 68,616,372 46.14% 68,616,372 34.62% TOTAL 148,700,182 100.00% 198,180, 028 100.00% Capitalization Table * Security Common Stock Equivalent Held Weighted Average Conversion / Exercise Price Common Stock ** 148,700,182 Stock Options *** 26,042,558 $0.17 Warrants **** 27,337,288 $0.03 Fully Diluted Shares Outstanding 202,080, 028 * Table as of May 7, 2018. ** Not included in Fully Diluted Shares Outstanding are 90.6M common shares at $.03/share to be issued if a $939,250 variable rate notes are not repaid when due. *** Options held by Employees and Board of Directors. **** Majority of warrant shares held by secured note holder.

12 January 2019

Confidential - Not for Disclosure

28

12 January 2019

Confidential - Not for Disclosure

29

Thank You

Tim Tangredi tntangredi@daisanalytic.com (727) 375-8484 X205 (813) 817-8531 +86 185 1524 1280 Pradeep Haldar Pradeep.haldar@daisanalytic.com (727) 375-8484 X230 (518) 461-