STEMMED IMPLANT TECHNOLOGY INC. EXECUTIVE SUMMARY

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1 STEMMED IMPLANT TECHNOLOGY INC. EXECUTIVE SUMMARY

2 1 INVESTOR BROCHURE Safe Harbour / Disclaimer This presentation may contain forward-looking statements, which reflect the Company's current expectation regarding future events. These forward-looking statements involve risks and uncertainties that may cause actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward-looking statements. Such factors include, but are not limited to, changing market conditions, the successful and timely completion of clinical studies, the establishment of corporate alliances, the impact of competitive products and pricing, new product development, uncertainties related to the regulatory approval process or at standards acceptable to health regulatory authorities to complete clinical trials or to meet commercial demand, market value of products may vary, product launch dates and market utilization timetables may not be met, product launch dates and market utilization timetables may not be met; risks associated with the ability to license, royalty rates may not be achievable and other risks detailed from time to time in the Company's ongoing quarterly and annual reporting. Certain of the assumptions made in preparing forward-looking statements include but are not limited to the following: that S.I.T. s stemmed implant platform technology and its lead product, the stemmed dental implant, will generate pos.i.t.ive efficacy and safety data in future clinical trials, and that S.I.T. and its various partners will complete their respective clinical trials within the timelines communicated. Except as required by applicable securities laws, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

3 2 Executive Summary S.I.T. is a life sciences product development company that identifies and develops a diverse portfolio of promising implant products, technologies and processes that dramatically improve standard dental, medical, and veterinary implantology. The basis of S.I.T. s innovation is to imitate nature s design to achieve maximum stability. S.I.T. has been granted international patents on a platform ( disruptive ) implant technology that addresses products and processes for three substantial markets: The global orthopedic implant market is forecast to grow to $41.8 billion (US$) by 2016 at the CAGR rate of 7.8% during Joint reconstruction will remain the largest orthopedic implants category, which is expected to grow at 7.4% CAGR during to reach $22.9 billion (US$). S.I.T. s second major product and technology launch will target the joint reconstruction implant market The global dental implants market is being forecasted to grow at 6% Compounded Annual Growth Rate (CAGR) from $3.2 billion (US$) in 2010 to $4.2 billion (US$) in 2015 (Sandler Research, Nov. 2010). S.I.T. s initial product and technology launch will target the dental implant market. Veterinary implantology is a relatively new field and the global market is expected to reach $200M (US$) by S.I.T. s third product launch will target the veterinary implant market but at this point it is on speculation depending on how the veterinary implant market develops from Investment Opportunity - A summary S.I.T. s business model advances products through development, clinical and regulatory pathways to establish clinical efficacy, safety and commercial viability. As these key clinical and commercial factors are established, S.I.T. will seek appropriate licensees to further commercialize (produce, market and distribute) our products. One of the first breakthrough S.I.T. products with global impact is the revolutionary dental implant. There are many other implant applications, such as mandibular, and orthopaedic (hip, knee etc.) of the stemmed implant design. The global dental implant market demands innovation. S.I.T. has responded to this challenge. The internationally patented S.I.T. stemmed dental implant design, allows for lower costs, quicker placement is minimally invasive,reduces patient discomfort, and improves recovery time. S.I.T. is currently establishing the clinical trial protocol and plans to conduct a multi centric trial. The clinical trials will provide the data required on

4 3 safety and efficacy that will lead to regulatory approvals globally (Canada, USA, Europe, Australia, ). The Technology Stemmed Implant Technology uses nature s best design. S.I.T. technology can be used to revolutionize the way joint replacement implants integrate with the human body. S.I.T. Stemmed Implants are biomechanically designed to: use a novel, less invasive and simplified procedure be passively placed with minimal distortion or damage to the bone remove less body tissue provide maximum retention of the implant S.I.T. Stemmed Dental Implants are superior: in resisting torque and rotational forces in resisting luxation forces by requiring less body tissue to be removed in order to be placed (lab studies have shown the S.I.T. dental implant removes 33% less tissue when compared to current implant design) The Patented S.I.T. Family of Dental Implant Products S.I.T. has developed a unique family of internationally patented dental implant products and procedures that provides solutions to most of the current problems of dental implantology. The S.I.T. Dental Implant design offers the following improvements to modern implantology: Barb lock, screw-less implant placement anti-torque design Stronger resistance to the destructive forces exerted on a dental implant Single Precision Placement Displaces less natural tissue in the implementation process Does not damage the adjacent bone cells (osteoblasts) and promotes bone regeneration Accelerated healing Resists luxation forces Minimizes need for CAT scan Improved stability Allows implants to be placed by GP and Specialists

5 4 Cost effective Increased longevity These factors make the S.I.T. family of dental implant products superior to modern implantology. The technology offers cost and time savings through simplified implementation process and tools. This offers greater profit margin for the practitioner and the manufacturer/distributor of the S.I.T. Implant. In addition the simplified procedure of placing S.I.T. Technology will encourage the reluctant GP dentists to enter the dental implant placement market. S.I.T. Dental Implant

6 5 DENTAL MARKET The global dental implants market is being forecasted to grow at 6% Compounded Annual Growth Rate (CAGR) from $3.2 billion (US$) in 2010 to $4.2 billion (US$) in 2015 (Sandler Research, Nov. 2010). The Canadian market for dental implants is expected to experience double-digit growth rates during the forecast period. In 2005, the Canadian market for dental implants -- accounting the implants themselves and not other costs involved in the procedure -- was valued at C$29.4 million, representing an 18 percent increase over This market is estimated to grow to well over C$80 million in Dental implants already hold a substantial 18% share of the global dental device market; and are also expected to have one of the highest growth rates amongst all dental device submarkets. This is primarily because dental implants offer an effective treatment for edentulism and because of the rising demand for cosmetic dentistry worldwide across all age groups. The aging baby-boomer population in developed nations offers an especially highgrowth opportunity, as this consumer segment is characterized by high disposable income, and also by an increased need for dental care due to longer life expectancy. Tooth loss has been a major problem North America, Europe and others. About 6 to 10 per cent people in these regions are toothless, while about 240 million people have lost one or more teeth. DENTAL MARKET DRIVERS - CANADA Canada Market US Dollars (M) Market Years % of population over 65 The global dental implants market is expected to grow from $3.2 billion in 2010 to $4.2 billion in 2015 at an annual rate of 6% from 2010 to 2015.

7 6 DENTAL IMPLANT MARKET - GLOBAL Global Market US Dollars Dental Implant Global Market Growth $5.8B $4.2B $3.2B DENTAL IMPLANT MARKET UNITED STATES 6-20% CAGR Implant Sales (US$ Billions) Implant Sales Billions $ $1.5bln

8 7 DENTAL IMPLANT MARKET CANADA GLOBAL ORTHOPEDIC MARKET ( Billions of dollars )

9 8 Marketing and Sales Strategy S.I.T. Dental Implants S.I.T. s present business strategy is to promote and license use of the products and technology to large and small, established implant companies. S.I.T. is open to the concepts of joint venture and acquisition. By partnering with established implant companies, S.I.T. will enter the international market quickly. Since many of the established implant companies can utilize S.I.T. s technology quickly, it is the quickest way to generate revenue and enter the market in an efficient and timely manner. The planned partnership model will likely involve the licensing of S.I.T. technology and its incorporation into existing product lines. Competition Three companies represent over 50% of the market, Nobel Biocare, Biomet 3i and Zimmer. The balance is made up by companies selling products similar to the big three, with little or no innovation to their products. Since S.I.T. Inc believes in improving all of the competitive products by integrating S.I.T. technology into the competitions portfolios, S.I.T. is confident of quick adoption into the market. Production and Manufacturing Stemmed Implant will contract with an ISO certified medical device manufacturer. The manufacturer will be a high precision engineering development and manufacturing company certified by the major accreditation organizations in North America. S.I.T. has identified and has been in touch with a number of these fabricators that are willing and able to produce the implants. These companies subscribe to Good Manufacturing Practices (GMP) and to Quality Management Systems applying these throughout their organization. Management Team Christopher Ostrovski, H.BSc. M. Eng., President & CEO Dr. Michael Lococo, Founder, Chief of Innovation & Development Doug McNaughton, A.P.A. (Can), I.C.I.A., R.P.A., A.I.P.F.M. (UK.), CFO Martin Lococo, P.Eng. Chief, Marketing Diane Kalina,B.Sc., C. Dir., Director of Licensing and Business Development

10 9 Board of Directors Dr. Michael Lococo, Founder & Chairman Douglas McNaughton, Secretary Martin Lococo, Founder Christopher Ostrovski, Co- Chair Board of Advisors Wendy Hill Clinical and Regulatory ( Gap Strategies ) Alex Eisenberg Corporate, Gardiner-Roberts LLP Hans Schroeder, Ph.D. - IP, Gowling & Henderson Mark Zimny, P.Eng., Engineering & Manufacturing Scientific Advisors Dr. Greg Wohl, Ph.D. Biomedical Engineering, McMaster University Dr. Karl Stobbe, M.D., Regional Assistant Dean, Niagara Campus, Michael G. DeGroote School of Medicine McMaster University Dr. Robert Josefchak Orthopedic Surgeon, McMaster University Dr. Emmel Rajack, DDM International Accounting Scott Proctor, Ph.D., PG Business Growth Advisors LLC Accounting Deloitte Touche Sheri Penner, partner Banking Royal Bank of Canada ( RBC ) Investment committee Douglas McNaughton Alex Eisenberg Contact for Investors: Douglas McNaughton (CFO) Tel: Christopher Ostrovski Tel: (416)

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