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Founded in 2000 by Nathan Jones & Blaine Yates Leading manufacturer of high-quality, all-natural xylitol products since 1999, including Xlear Nasal Spray, an award-winning, patented saline and xylitol solution Sponsor of extensive xylitol research and education

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Company Overview

The Xlear Mission

We are committed to providing consumers with the health benefits of xylitol by manufacturing all-natural products.

Xlear Sinus Care

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XLEAR SINUS CARE

XLEAR SINUS CARE

Why Xlear is Different

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All Xlear nasal care products contain a unique, key ingredient – xylitol Not another “me too” saline spray Hyper-osmotic xylitol and saline solution helps pull moisture towards it to keep nasal passages and sinuses moist for longer than saline alone Xylitol is clinically-proven to prevent bacteria, contaminants, and irritants from adhering to nasal passages* Our pharmaceutical grade xylitol is derived from natural sources and is made from non-GMO corn fibers

*Antiadhesive Effects of Xylitol on Otopathogenic Bacteria. By: T. Kontiokari, M. Uhari, and M. Koskela

Xylitol Case Studies

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• S. pneumo, H. flu & M. catarrhalis have a

reduced ability to adhere to nasal epithelial

• cells. –Tero Kontiokari, Univ. Oulu, Finland (BMJ

Nov., 1996)

A 17 month clinical study using an 11% xylitol/saline solution. Data collected for 6 months prior to application. A 92% reduction in ear infections for the next 11 months.

–Dr. A.H. Jones (Clinical Practice of Alternative Medicine V. 2, N. 2, 2001)

“Using a xylitol nasal wash may be of value in decreasing the airway surface liquid salt concentration and enhancing the innate antimicrobial defense at the airway surface.” –Joseph Zabner, Univ Iowa,

(Proc. Natl. Acad. Sci. USA, Oct. 2000)

10 20 30 40 50 0% 2.50% 5%

• S. pneumoniae
• H. influenzae
• M. catarrhalis

Bacteria per epithelial cell Concentration of Xylitol Incident of ear infection 0.00% 0.50% 1.00% No solution: .86 p/mo With xylitol solution: .06 p/mo

Category Information

A leader in the Natural market Xlear is growing the nasal/sinus care category

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• f 2014 nasal/sinus care

category growth in the Natural market was due to the Xlear brand!

Source: SPINS data 52 weeks ending 12/28/2014

0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00%

52 week $ share

60.2% 11.8% 8.4% 7.6% 4.7% 1.7% 1.6% 1.2% 1.1% All others less than 1%

Category Information

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The Xlear brand has the strongest share in the Natural market

Source: SPINS data 52 weeks ending 12/28/2014

Category Information

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Brand X dollar growth is strong

total category growth

Xlear growth

0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 52 week $ share PY 52 week $ share CY

Nasal Care

Brand X has shown continued steady and stable growth in share

All Others All Others Source: SPINS data 52 weeks ending 12/28/2014

Category Information

Poised to grow the category at Drug, Grocery, and Mass Offer shoppers a natural saline solution with the added benefit of an efficacious, clinically-proven ingredient, xylitol. In Drug, Brand X outperforms its closest “natural” competitor, in both dollars and units (chart represents dollars)

9 BRAND 1 Brand A 2 Brand X 3 Brand C 4 PRIVATE LABEL Source: IRI Drug 52 weeks ending 12/28/2014

Xlear Nasal Spray

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Cleanses, moisturizes, soothes, and protects delicate nasal and sinus tissue; Washes away pollutants, irritants, and airborne contaminants Xylitol, non-addictive, fast-acting, BPA-free “Xlear seems to be almost a miracle for me. It’s been one year since I had any upper respiratory infection and it’s because the xylitol in the Xlear is keeping anything from colonizing.”

BENEFITS FEATURES CONSUMER FEEDBACK RETAILER BENEFITS

Invigorates a flat nasal market with a brand that

• ffers unique consumer features and benefits

Product Size UPC Unit Cost MSRP % Gross Margin

Xlear Nasal Spray .75 fl oz 7 xxxxx 00001 8 $x.xx $x.xx XX% Xlear Nasal Spray 1.5 fl oz 7 xxxxx 00000 1 $x.xx $x.xx XX% Xlear Nasal Spray 3 Pack .75 fl oz x 3 7 xxxxx 00002 5 $x.xx $x.xx XX%

THE XLEAR DIFFERENCE

Xlear Sales Growth

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$X,XXX,XXX $X,XXX,XXX $X,XXX,XXX $X,XXX,XXX $X,XXX,XXX $X,XXX,XXX 2010 2011 2012 2013 2014 2015

projected

Product Ingredients

Simply Saline Nasal Mist 1.5 oz

No

NeilMed NasaMist 4.2 oz Ocean Complete 1.5 oz

Water (purified), Sodium Chloride (0.9%), Sodium Bicarbonate Water (Purified), NaCl (27mg/mL), Sodium Bicarbonate (Baking Soda) up to 3mg/mL Water (Purified), Glycerin, NaCl, Monobasic Sodium Phosphate, Potassium Chloride, Calcium Chloride, Magnesium Chloride No No

Ayr Nasal Mist 50 mL

Deionized Water, Sodium Chloride, Sodium Hydroxide Buffer, Potassium Phosphate, Disodium EDTA, Benzalkonium Chloride No No No No No Purified Water, Xylitol, Saline, Grapefruit Seed Extract 100% NATURAL Average Retail $6.09* $7.99* $5.09* $4.82* $X.xx MSRP Xylitol

Nasal Spray .75oz Similasan Sinus Relief Nasal Mist .68 oz

Water (Purified), Sodium Chloride, Kali Bichromicum 6X, Luffa Operculata 6X, Sabadilla 6X No Yes $7.64*

Competitive Comparison

13 *Range based on retail prices from 3 prominent online retailers captured 2/4/2015

A XLEAR VISION

Planogram Rationale/Placement

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Nasal Care

Placing Xlear to the left of NeilMed keeps netis and kits together while maintaining strong brand blocks. Xlear is also strategically placed to encourage shopper trade-up.

Children’s Nasal Care

Lead the children’s saline segment with Kid’s Xlear which offers the added benefits of xylitol.

2015 Marketing & Promotional Spend

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Q1

Print Radio & TV Conventions Sampling Online Promotions Promotions Sponsorships Education

Q2 Q3 Q4

Why Stock Xlear?

No current nasal sprays offer the clinically- proven health benefits of xylitol Top ranking and continued sales growth in the Natural market Despite newer entry into the Drug market, Xlear outperforms its closest “natural” competitor in share of both dollars and units

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A Xlear Recommendation

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Add Xlear Nasal Spray to your 2015 Nasal Saline assortment. Add Xlear Kid’s Nasal Spray to your Children’s Cold & Allergy set with cross-placement in Baby Care.

THANK YOU!

Founder p: xxx.xxx.xxxx email: XXX@brandx.com CEO p: xxx.xxx.xxxx email: XXX@brandx.com VP of Sales p: xxx.xxx.xxxx email: XXX@brandx.com

xlear.com