Introductory Presentation Sobriety Assurance Solutions...

Confidential and Proprietary Information. Any reproduction, disclosure, or other use is prohibited. © 2008 TruTouch Technologies, Inc.

Introductory Presentation

Sobriety Assurance Solutions

Non-invasive Alcohol Concentration Measurement

Technology and Biometric Products

TruTouch Platform Solution

• Accurate Measurement Of Blood Alcohol at the Touch of a

Finger

– TruTouch employs near infrared (NIR) spectroscopy

– Skin illuminated with harmless light – similar to a flashlight

• Completely noninvasive

– No body fluids - No biohazards

• Rapid results – low cost

– Only passive contact with skin required

– Fast scan < 10 seconds, < 2 seconds in solid state device

– No consumables

• Integral Biometric Identity Verification

– No buddy punching - Allows for self administered tests

• First Solution for broad deployment and daily use

– Systems can be networked – tied to Time/Attendance if

needed

• Platform – allows us to pursue several markets

– Core sensor adapted into multiple form factors

The Perfect Sobriety Assurance Solution

With our patented detection technology we are uniquely

capable of deploying:

• Automated, self administered, low cost, no consumable,

biometric, easy to use alcohol screening tools…

• Test employees at point of need, test daily/frequently.

• System can be deployed across multiple sites, on a

global basis – global data dashboard

• Quickly modify alcohol behavior in your organization and

obtain the benefits

• High throughput - ~ 180/hr – integrate into turnstiles,

time and attendance clocks etc Confidential and Proprietary Information. Any reproduction, disclosure, or other use is prohibited. © 2008 TruTouch Technologies, Inc.


1. Work Force Safety

2. Medical

3. Auto

• OEM

• After Market

Sequential & Interconnected

OEM

TruTouch

Takata

Core

Detection

Engine

• Companies seeking ways to reduce costs

resulting from on duty impairment from

alcohol (liability, worker comp, productivity

and healthcare)

• would like to test more but can’t

• Existing technologies are cumbersome

and expensive and therefore used strictly

for infrequent testing

• Questionable effectiveness – limited

deterrence value

• Can’t be seamlessly integrated into

workflow

Breathalyzer • Accuracy declines as blood

alcohol rises

• Requires Test Supervision

• Not efficient for multi-testing

Blood Test • Can take 40 minutes, Invasive

• Performed off site

• High Costs, test/productivity

Urinalysis • Cumbersome with time delay

• Not tamper-proof

• Requires skilled lab tech

Work Force Testing

Unmet Market Need

CDC data shows heavy drinkers cost the US economy over $220 Billion/yr in

lost productivity, higher healthcare costs and crime.

http://ep.yimg.com/ip/I/breathalyzer-net_2049_0

TT 2500 – available Dec 1


Specifications

• Fast Scan (8 secs.) and Full quantification (+12 secs.)

– High throughput clients set up one unit in Fast Scan and a

separate unit in quantification mode

– Alarm resolution scan

• Realistic throughput of 180 people per hour

• Walk up or enroll (biometric identification)

• Data and Biometric database reside on network

• Units can be networked together, across a network in same or multiple

sites

• Data output – ethernet/USB – to reporting management tool, in Q2

2013 available dashboard tool


Deterrence Impact

Value Proposition

• Reduce worker comp and general insurance costs

• Reduce accidents and liability

• Improve productivity – measure by shift by day –

after weekend and holidays

• Brand impact

• Reduced healthcare costs

• Improved retention – happier employees

Concept of Operations

• Pre-employment

• Test on land/sea oil rigs – before/during/after shifts

• Test at natural choke points

– Access gates

– Heli Pads

– Dispatch office

• Test safety sensitive employees and contractors

• Test drivers at point of departure, point of arrival or both

• Test everyone or randomly

• Deploy selectively (remote locations, problem locations) or use

broadly. Test using mobile concept

• Ask sub contractors to test their employees more often Confidential and Proprietary Information. Any reproduction, disclosure, or other use is prohibited. © 2008 TruTouch Technologies, Inc.

FIRST 60 Days

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Behavior Modification

This is what you want - deterrence

Behavior Modification

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“Interferants”

• Hand sanitizer – if put on less than approximately a

minute before scan

• Same with perfume, after shave

• In both cases – follow alarm resolution protocol

• Dirty hands, grease etc. – sensor needs to have clean

contact with skin – will display “poor contact, please

reinsert finger”

• Sensor will have to be cleaned with non alcoholic wipe


Reference Customer: Coca-Cola

• Customer Challenge

51 employees operating heavy

machinery/vehicles. Positive image of

Coca-Cola brand important.

• TruTouch Solution

Truck drivers, forklift operators and others

test daily at start (and end) of shift. Keys

are released only with “pass” result.

• Results

1,000 tests performed in first 35 days.

Employee measured 0.07% BAC within 5

days. Second employee measured 0.26%

BAC Friday after Thanksgiving.

Next steps – larger pilot on Oklahoma –

1,500 drivers

Example Customer: Silver Oak

• Customer Challenge

Operating 11 drilling rigs. High cost (human

and equipment) of incidents. Industry

leadership for zero tolerance important.


TTT forearm device “ruggedized” for rig

environment. All rig workers test as they

come on shift.

• Results

3 workers intercepted attempting to come

on-site intoxicated and sent home without

pay. Strong supervisor and co-worker

support.

Reference Customer: Silver Oak

62% of employees in the oil and gas drilling industry do not

intervene when observing an unsafe action or condition. Source: The RAD Group, LLC

Reference Customer:

Lackawanna County

Total Tests 115,441

Days in Use 1,169

Clients Tested 721

Avg. Tests/Day 99

Avg. Tests/Month 2,940

Testing Statistics

• Customer Challenges

– Cost of mouthpieces limited their program to

random testing

– Hit or miss nature was not serving as an

effective deterrent to inmates


– 100% of clients perform daily 1 min self-test

– Program is managed using the TruTouch

integrated reports

• Results

– TruTouch offers a greater deterrent than

random testing and is the primary testing tool

at Lackawanna County Work Release

Work Flow

• Designate internal thresholds and notification process on

system

• Employees enroll (1 minute) + assigned ID number and/or ID

card

• Employees tested daily/frequently

• Non Negative – designated/trained safety manager meets

with employee and has them (a) wash hands and (b) perform

alarm resolution scan (usually 15 minutes has transpired –

eliminate “interferents”) – determine if confirmatory testing is

needed

• Send employee to third party testing for drug and alcohol

confirmatory tests. Some companies (remote will discipline

on spot and or use evidentiary breathalyzer)

• Company uses independent third party results to discipline

employee Confidential and Proprietary Information. Any reproduction, disclosure, or other use is prohibited. © 2008 TruTouch Technologies, Inc.

Technology Overview

NIR Spectroscopy: Molecular ‘Ringing’

A molecule’s NIR spectrum is uniquely related to its structure

• Energy in the NIR region excites molecular vibrations

– Similar to the ringing of a bell, the frequencies of the vibrations come from

a molecule’s structural characteristics

– The “frequencies” are unique for each type of molecule

• Different bells Different “rings”

NIR regionNIR energy (light)

NIR Spectrum

H

H H

HH

HC C O

Inte

nsity

Frequency of Vibration

H

H H

HH

HC C O

frequency of vibration

inte

nsity

• The Beer-Lambert Law states that while the fingerprint for a molecule

is rigidly fixed by its structure, the intensity of that fingerprint depends

on the number of molecules vibrating

H

H H

HH

HC C O

H

H H

HH

HC C O

Quantitative Measure of Concentration

inte

nsity

TruTouch Clinical Studies

• Extensive Clinical Testing

– >400 Alcohol dosing study participants

• Range of age, gender, BMI, ethnicity

• Variation in temperature, humidity

– IRB approved protocols (UNM Human Research Review

Committee)

– Executed by Clinical Staff

• Physician supervision

– Contemporaneous to blood and breath measurements

• >30,000 sets of breath, blood, and TruTouch measurements

Clinical Validation

0

20

40

60

80

100

120

140

160

180

200

Venous Alcohol (mg/dL)

0 20 40 60 80 100 120 140 160 180 2000

20

40

60

80

100

120

140

160

180

200

Venous Alcohol (mg/dL)

Bre

ath

Alc

oh

ol(

mg

/dL

)

0 20 40 60 80 100 120 140 160 180 200

Fin

ge

r A

lco

ho

l(m

g/d

L)

TruTouch Breath

•750,000+ tests performed in real-world environments

TruTouch Biometric

• All people are comprised of the same

chemical building blocks

– Water, proteins, etc.

• However, each person has unique:

– Tissue Structure – skin layer thicknesses

– Tissue Chemistry – the concentrations of the

building blocks

• Both contribute to the TruTouch biometric

measurement

– They just contribute in different relative amounts

stratum corneumstratum corneum

epidermisepidermis

dermisdermis

subcutaneoussubcutaneous

Many properties can be extracted from a

TruTouch measurement

These properties form the basis of the biometric

Example to the right shows 3 properties

Skin has multiple layers with different

thicknesses and chemistry

Each ellipsoid encompasses the properties

extracted from multiple measurements of a person

Each ellipsoid encompasses the data from only one

individual

Intellectual Property – Key Know How

• TruTouch Intellectual Property

– 8 Issued US Patents

– 7 Pending US Patent Applications

– 5 Pending International Patent Applications

– Exclusive, Royalty Free License to 74 US and International Patents

and Patent Applications

• Know How

– Robust analytical instrument design focused on tissue measurements

– Regression and classification algorithms for alcohol and biometric

measurements

Regulatory - USA

• Companies can deploy under company authority – safety sensitive

employees (whether DOT or “simply” safety sensitive

• Appropriately amended D&A policy

• Some state by state considerations

• At this point cannot be used to comply with DOT mandates (TruTouch can

run apart from or in addition to DOT program)

• TruTouch in discussions with DOT for screening certification – key issue is

in vitro samples (different group within DOT has approved as part of the

down select and award of $2.5M for in vehicle system

• FDA submission in Q2/Q3 2013

• International varies by country – we are pursuing projects in Norway

(Statoil), Canada (Surecore), Chile (various mines), Australia and PPNG

(Oil/Gas/mines – Clough, Rio Tinto, others)

• Please refer to hand out Confidential and Proprietary Information. Any reproduction, disclosure, or other use is prohibited. © 2008 TruTouch Technologies, Inc.

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