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Canada Research Published by Raymond James Ltd.

Please read domestic and foreign disclosure/risk information beginning on page 36 and Analyst Certification on page 36. Raymond James Ltd. | 2100 – 925 West Georgia Street | Vancouver BC Canada V6C 3L2

Lumenpulse Inc. June 26, 2014 LMP-TSX Company Report - Initiation of Coverage Steven Li CFA | 416.777.4918 | [email protected]

Jonathan Lo (Associate) | 416.777.6414 | [email protected]

IT Hardware

Initiating Coverage of Lumenpulse with an Outperform rating

Recommendation By most estimates, lighting applications drive ~15% of global power consumption and ~30% of a building’s energy cost. The need to reduce energy consumption has clearly bolstered the case for LED. The commercial lighting market is undergoing a dramatic transformation and Lumenpulse is in the thick of it. Over the last 3 years, Lumenpulse has grown revenue at a 46% CAGR. We forecast Lumenpulse to continue growing faster than the market for several years to come as it expands its global footprint and lighting applications. We are initiating coverage at Outperform.

Analysis LED inflection point. The specification-grade (non-residential) LED market at ~$10.6

billion in 2013, is forecast to grow to $40.7 billion by 2020 (21% CAGR). Government regulations have certainly given a boost with many countries phasing-out incandescent. But, LED payback has been accelerating as well. ROI now runs at 35% (~3 years payback), but can be as high as 70-80% (~1.5 years) in a retrofit. Effectively, LED lighting solutions can pay for themselves in 1-3 years delivering another 10-15 years of pure profit.

Lumenpulse TAM growing even faster – at 59+% CAGR. Today, Lumenpulse is mostly North America focused (~90% of its revenues) and its lighting applications coverage was just about 20% in 2013. We forecast Lumenpulse to build out its European presence to manage the substantial opportunities that are emerging. The company is also adding new products to address more lighting applications. We forecast Lumenpulse to increase its lighting application coverage from 20% in 2013 to 50% in 2020. We estimate Lumenpulse TAM at $390 mln in 2013, growing to $10.1 billion by 2020 or a 59+% CAGR.

Unique Abilities, Differentiated Products. Many LED manufacturers leverage third-party technologies and parts to assemble a finished product. Lumenpulse prides itself on its ability to innovate ahead of the pack by designing its own electronics and lighting systems. Lumenpulse has 25 granted patents and more than 51 patents pending around LED technology that allows them to differentiate both from a qualitative (i.e., aesthetics and usability perspective), as well as from an ROI perspective.

Model. F2015 estimates include revenues of $94 mln (+51% y/y) and adjusted EBITDA of $6.4 mln (F2014: $0.4 mln). F2016 estimates include revenues of $136 mln (+45% y/y) and adjusted EBITDA of $16.5 mln (+159% y/y). F2017 estimates include revenues of $195 mln (+43% y/y) and adjusted EBITDA of $34.4 mln (+108% y/y).

Valuation Our $25.00 target price is based on a 25x F2017E/C2016E adjusted EPS. We typically do not factor M&A in our forecasts, and a potential transaction could represent upside to our forecasts and target price (see our Valuation & Recommendation section for details).Lumenpulse currently trades at 44.7x C2015E EPS and 27.5x C2015E adjusted EBITDA vs its lighting peers at 18.1x C2015E EPS and 8.6x C2015E EBITDA.

EPS 1Q 2Q 3Q 4Q Full Revenues EBITDA Jul Oct Jan Apr Year (mln) (mln)

2014A C$(0.02) C$(0.01) C$0.00 C$(0.10) C$(0.38) C$62 C$0

2015E (0.02) 0.01 0.04 0.09 0.11 94 6

2016E NA NA NA NA 0.47 136 17

2017E NA NA NA NA 0.98 195 34

Source: Raymond James Ltd., Thomson One

Outperform 2 C$25.00 target price

Current Price ( Jun-24-14 ) C$20.94 Total Return to Target 19% 52-Week Range C$21.65 - C$17.60 Suitability Aggressive Growth

Market Data Market Capitalization (mln) C$541 Current Net Debt (mln) -C$87 Enterprise Value (mil.) C$454 Shares Outstanding (mln, f.d.) 25.8 10 Day Avg Daily Volume (000s) 23 Dividend/Yield C$0.00/0.0%

Key Financial Metrics 2014A 2015E 2016E 2017E

P/E NA NA 44.7x 21.4x

EV/EBITDA NA NA 27.5x 13.2x

EV/Revenue NA 4.8x 3.3x 2.3x

Company Description Lumenpulse is a designer, developer, manufacturer and seller of specification-grade LED lighting solutions for commercial, institutional and urban environments.

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Table of Contents

Investment Thesis……………………….. ............................................................................................................. 3

Investment Risks……………………… ................................................................................................................. 9

Company Description & History……… .......................................................................................................... 9

Industry Overview & Opportunity……….. ..................................................................................................... 10

Customers & Markets Served………….. ......................................................................................................... 13

Geographic Breakdown……………. ................................................................................................................. 15

Products & Patents…………… ........................................................................................................................ 16

Competition & Industry Commentary………….. ............................................................................................ 23

Financial Model Highlights……….. ................................................................................................................ 26

Recent Financial Highlights……….. ................................................................................................................ 27

Financial Model Forecasts…………… .............................................................................................................. 27

Valuation & Recommendation………….......................................................................................................... 27

Appendix: Financial Statements………. ......................................................................................................... 29

Appendix: Management & Board of Directors………. ................................................................................... 31

Appendix: Share Ownership & Insider Holdings………… ............................................................................... 33

Appendix: Definitions…………. ...................................................................................................................... 34

Lumenpulse Inc. Canada Research | of 41


Investment Thesis

Fast-growing $12 billion LED (specification-grade) market Lumenpulse designs, develops, manufactures, and sells high-performance and sustainable specification-grade LED lighting solutions for commercial, institutional, and urban environments. Its primary customers are project specifiers (i.e., architects, engineers, landscape architects, and lighting designers) – not residential. Lumenpulse targets the high end of the market with customers like The Casino de Montreal, BC Place Stadium, The Carmelite Chapel, 230 Park Avenue NY, GM Renaissance Center, John A Blatnik Bridge, and TELUS World of Science. According to McKinsey estimates, the general lighting market (including light source, specifically, bulbs) was $85 billion in 2013 and is forecast to grow to $114 billion by 2020 (4% CAGR). The fixtures and controls market (F&C) is further broken down into stock and flow (commoditized lighting solutions – residential) and specification-grade lighting solutions (designed to comply with strict technical requirements imposed by specifiers in charge of lighting for particular projects). Mckinsey estimates the specification market makes up ~60% of F&C at ~$45.6 billion in 2013 and within that, LEDs are estimated at ~$10.6 billion in 2013 and expected to grow to $40.7 billion by 2020 (21% CAGR).

Exhibit 1: 2013 Market Size ($ billions)

Stock & Flow= Residential

Source: McKinsey - Lighting the Way: Perspectives on the Global Lighting Market Second Edition - 2012



Exhibit 2: 2020 Market Size ($ billions)

Stock & Flow= Residential

Source: McKinsey - Lighting the way: Perspectives on the Global Lighting Market Second Edition - 2012

Lumenpulse’s Actual TAM Is Expanding Even Faster While the specification-grade LED market is forecast to grow at a 21% CAGR to 2020, we forecast Lumenpulse to grow significantly faster than that. Why? Because Lumenpulse’s actual TAM is expanding much faster. Today, Lumenpulse is mostly North Americafocused (~90% of its revenues) and its lighting applications coverage was just about 20% in 2013. We forecast Lumenpulse to build out its European presence (and to a lesser degree, APAC) over the next five years (could be faster with potential acquisitions) to manage the substantial opportunities that are emerging in EMEA and APAC. By 2020, APAC and EMEA together are expected to make up 79% of the global market (5x larger than North America) according to McKinsey estimates. While Lumenpulse already offers a thoughtfully planned line of exterior and interior lighting solutions (linear, floods, coves, etc.), the company is adding new products and core technologies at a steady pace to address more lighting applications. For instance, outdoor (street lamps, parking lots, and stadiums) and office applications are expected to grow into the two largest LED market segment by 2020. We forecast Lumenpulse to increase its lighting application coverage from 20% in 2013 to 50% in 2020 (this could prove conservative, as management has discussed getting up to 80% coverage). At Lightfair in June 2014, Lumenpulse introduced 15 new products including Lumencove Nano and Lumenfacade Inground and a bigger Lumenbeam LBX HO which we estimate has increased Lumenpulse lighting application coverage to ~25%. Under these assumptions, we show that Lumenpulse’s actual TAM is forecast to grow at 59+% CAGR.



Exhibit 3: Lumenpulse’s TAM

Lumenpulse TAM ($ Billions) 2013 2020 CAGR 2013 to 2020

Global LED (Spec-Grade) Market 10.6 40.7 21.2%

North America Coverage 1.8 6.5

North America Penetration 100% 100%

EMEA Coverage 0.2 8.7

EMEA Penetration 5% 75%

APAC Coverage 0.0 5.2

APAC Penetration 0% 25%

Geographic Coverage 2.0 20.3

Application Coverage 20% 50%

Lumenpulse TAM 0.4 10.1 59.0%

Source: McKinsey - Lighting the Way: Perspectives on the Global Lighting Market Second Edition – 2012; Raymond James Ltd.

Drivers of LED Market Penetration According to the United Nations Environmental Programme (UNEP) Global Environmental Facility (GEF) en.lighten initiative, 15% of global power consumption is from lighting. Since 2008, there has been a secular trend towards a more broadly based adoption of LED lighting as government and commercial sectors look for lighting options which can reduce the environmental impact of energy consumption and lower operating costs. Government regulations have also been passed in several countries to phase-out incandescent lamp sales; specifically, sales have been banned since 2009 in the European Union, 2012 in China, and 2014 in Canada and the US. Exhibit 4: Timeline of Incandescent Bans By Country (GLS = Incandescent)

Source: McKinsey – Lighting the Way: Perspectives on the Global Lighting Market Second Edition, 2012.

LED lighting versus traditional and other lighting options (i.e., incandescent, CFL, Induction, HID, etc.) presents varying scales of medium- to long-term project economic benefits. Project economics are typically measured with total cost of ownership (TCO) and presented as return on investment (ROI). According to NextGen Partners, ROI can typically run at 35% (or ~3 years payback), but can sometimes be as high as 70-80% (~1.5 years payback) in a retrofit where the previous lighting is very inefficient. Effectively, LED lighting solutions can pay for themselves in 1-3 years, delivering another 10-15 years of pure profit.



Similarly, energy reduction has become a top priority for the commercial and industrial sectors, as lighting can account for as much as 30% of a building’s overall energy cost according to Lumenpulse. There is a growing theme around sustainable business practices which has given birth to green-building certifications such as BREEAM (Building Research Establishment Environmental Assessment Method), and LEED (US Green Building Councils - Leadership in Energy and Environmental Design). The energy cost savings and the brand value of environmentally sustainable business practices are compelling drivers of LED adoption in the commercial and industrial sectors. Exhibit 5: US Nonresidential Buildings – Green Building Breakdown

Source: McGraw-Hill – October 2012

Unique Abilities, Differentiated Products … Many LED manufacturers leverage third-party technology and parts to assemble a finished product and rely on others to supply control/drivers for their LED systems. Lumenpulse prides itself on its ability to innovate ahead of the pack by designing its own electronics (PCBs and LED modules) and lighting systems, as well as by constantly finding ways to add control to lighting. Lumenpulse has 25 granted patents and more than 51 patents pending around LED technology. Lumenpulse can differentiate its products both from a qualitative aspect (i.e., aesthetics and usability perspective – Lumenbin, Lumenoptiflex, Lumendim, and Lumendrive) while also dramatically improving the ROI with more obvious economically beneficial technologies (Lumentalk, Lumensmart, Lumendrive, Lumencool, Lumenlife). Below, we highlight three of Lumenpulse’s main trade secrets/intellectual properties (IP). Please see our “Products & Patents” section for more details. Lumenbin is one of Lumenpulse’s main trade secrets. It is a proprietary method of “binning” (categorizing) LEDs by colour temperature, to produce best-in-class colour consistency. Similar to wafer production, LEDs have different yields (colour variations). Manufacturers are sometimes forced to pay a premium to buy from one bin (yield) to ensure colour consistency. Lumenpulse’s binning process enables them to buy from different bins and yet still achieve consistency over linear length (board to board, 1 ft to 4 ft), over time (fixtures in 5 years, will match fixture today) and over product family (facade versus cove versus beam, etc.). Lumentalk represents the company’s cutting-edge lighting control technologies. While LED competitors use data wiring to transmit data between lighting fixtures and controllers – which requires cutting open walls for installation (disruptive and expensive) – Lumenpulse’s patented Lumentalk core technology enables lighting control without the need of additional data wiring. It is able to use new or existing power lines to transfer reliable digital data for lighting control commands. In a retrofit project, this can save up to 30% of the typical installation cost (according



to Lumenpulse). Other vendors may use a wireless connection, but connectivity can be unreliable especially when several walls exist between the fixtures and the controllers. Lumendrive, which was just introduced at the LightFair 2014 show in June, eliminates the need for a power supply on the fixtures, enabling a smaller design, increased efficiency, lower costs (higher margins for Lumenpulse) and an extended lifetime. An embedded ASIC (application specific integrated circuit) microchip eliminates the need for an onboard power supply. Exhibit 6: Lumendrive in the New Lumencove Nano

Lumencove

1.0Lumencove

Nano

Lumencove

2.0

Smaller with lumendrive

Source: Lumenpulse Inc., Raymond James Ltd.

… Leads to Margin Expansion While declining LED chip pricing (input cost) should help Lumenpulse, it is also available to all competitors which makes it difficult to predict to what extent lower LED chip pricing will be passed onto customers. What is a little clearer is that Lumenpulse has intellectual property (IP) that allows them to generate more margins on its products including Lumenbin (does not need to buy premium bins); Lumencool (patented chimney design and dual chamber design allowing Lumenpulse to make 40% lighter products at a lower cost and yet with an industry-leading LED life warranty); and, Lumendrive (removal of power supply lowers cost by 15%). Additionally, as manufacturing utilization improves (currently only 40% – management estimates that Lumenpulse can almost triple its production capacity with limited additional incremental fixed costs), gross margin could see as much as ~400bps improvement. We forecast gross margins to increase from 42% in the just concluded F2014 to closer to 50% over the next few years.



Exhibit 7: Historical and Forecast Margins


Impressive Team Lumenpulse is led by François-Xavier Souvay (Founder, Chairman, and CEO) who, we believe, successfully embodies the company’s innovative approach to architectural lighting, with his steadfast vision of what architects, engineers, and lighting designers are aiming to achieve. All combined, Mr. Souvay’s management team boasts 150+ years of industry experience and continues to attract top talent from competitors such as Color Kinetics and Philips. Management and other officers (and directors) of the company own more than 50% of the company. Management as a group owns ~30% of the company. Exhibit 8: Insider Holdings

Insider Holders Position with the Company Shares % of O/S Options DSU

François-Xavier Souvay Founder, Chairman, President,

and CEO

5,484,803 23.75%

Nicolas Bélanger Director 4,127,957 17.88% 2,336

Philippe Racine SVP Sales Operations 927,112 4.00% 35,714

Alexandre Taillefer Director 586,520 2.53% 1,168

Yvan Hamel SVP Product Development 445,797 1.92% 35,714

Michel Ringuet (Placements Mica 3 Inc) Director 225,031 0.97% 2,336

Brandon Siemion SVP Sales Americas 23,927 0.10% 562,893

Greg Campbell SVP CTO 22,503 0.10% 170,574

Pierre Larochelle Lead Director 20,469 0.09% 2,765

François Côté Director 14,668 0.06% 2,587

Pierre Fitzgibbon Director 8,813 0.04% 1,293

Robert Comeau EVP CFO 6,250 0.03% 392,857

Jean Clermont SVP Manufacturing Operations 625 0.00% 41,667

Nicolas Vanasse EVP Chief Legal Officer &

Corporate Secretary

107,143

Philip Alexander O'Donnell SVP Sales International 47,619

Yvon Roy VP Investor Relations 35,714

Julie Lamontagne SVP Human Resources 26,398

Jesse Nicholas Lilley SVP Marketing 26,398

11,894,475 51.47% 1,482,691 12,485 Source: Ink Research



Investment Risks

New technology risk: The lighting industry is continuously developing new products with greater functionality and performance; this may result in pricing pressure on existing products. Lighting technology also continues to improve rapidly. Should Lumenpulse fail to respond quickly, its competitive advantage could diminish over time. Macroeconomic risk: Lighting demand is reliant on the construction of new buildings and the renovation of existing buildings. Global macroeconomic health can have a significant effect, either positively or negatively, on Lumenpulse. Rapid growth risk: Lumenpulse grew at 46% CAGR from F2011 to F2014, and is forecast to maintain this rate of growth in the near to mid-term. To achieve this, Lumenpulse must continue to effectively scale its personnel, systems, and production at a similarly high rate. Any short-term hiccup in quarterly results could result in a selloff of the shares. Highly competitive industry: Many of Lumenpulse’s competitors are larger and have a longer history supplying the lighting industry. Volatility and liquidity risk: Lumenpulse has a market capitalization around $500 million and an average volume of 112,000 shares per day (~0.5% of shares outstanding). As a result, the market price may be volatile. We expect this risk to decline as earnings potentially turn positive and its book equity and subsequent valuation increase. Geographic expansion – barriers to entry risk: Lumenpulse is planning to build out its European presence and eventually its Asia Pacific presence. There is a significant barrier to entry with establishing relationships with project specifiers. While we believe Lumenpulse should gradually gain traction in these new markets by expanding its footprint through potential M&A transactions and a general increase in its brand awareness, an inability to penetrate these markets would dent Lumenpulse’s growth opportunities. Valuation: Lumenpulse is still in its early stages as a company with a modest level of profitability which results in a relatively high P/E ratio. This implies some valuation risk.

Company Description & History

Based in Montreal with offices in Boston and London, England, Lumenpulse designs, develops, manufactures, and sells specification-grade LED lighting solutions for commercial, institutional, and urban environments. Lumenpulse already offers a thoughtfully planned line of exterior and interior lighting solutions (linear, floods, coves, etc.) and offers various configurations for specifiers (i.e., architects, engineers, landscape architects, and lighting designers) for many verticals including architecture, offices, and hospitality, for example. Its LED lighting solutions are sold through direct sales, as well as through value-added resellers (VARs) and agents. In North America, Lumenpulse works with over 80 agents (representing 80-90% of Tier 1 agents) and VARs, which combined, makes for over 400 sales people. These agents work exclusively with Lumenpulse for specific lighting applications. The company has also started building a footprint in EMEA and APAC. Lumenpulse has approximately 278 employees – 233 employees in Canada, 37 employees in the United States, and eight employees in EMEA and APAC. In Québec, Lumenpulse also acts as a VAR for over 15 North American and European manufacturers to provide a complete project solution for its clients. Lumenpulse LED lighting solutions have been installed in over 5,000 projects, in settings ranging from the arts and education, commercial and public infrastructure, healthcare, hotels and restaurants, municipal, retail, sports and leisure, to the interior and exterior of work places. Founded in 2006, Lumenpulse has launched over 105 LED products spread across 10 distinct product families with over 25 patents, 51 patents pending, and trade secrets.



History of Lumenpulse

Lumenpulse was founded in 2006 by its current Chairman, President, and CEO, François-Xavier Souvay. From day one, Mr. Souvay’s vision has been to grow a company combining strong industrial design capabilities and innovative technology expertise to develop high performance and sustainable specification-grade LED lighting solutions.

In 1999, before Lumenpulse, Mr. Souvay acquired Luxtec, a value-added reseller of diversified specification-grade lighting solutions. In 2006, Lumenpulse was established as a dedicated R&D and manufacturing division of Luxtec, and in 2008, Lumenpulse Lighting Inc. was incorporated to absorb the growing R&D and manufacturing activities of Luxtec.

In 2008, Lumenpulse introduced its first products to the North American market (Lumenfacade and Lumencove).

In 2009, Lumenpulse introduced the first products from the Lumendome, Lumensub, Lumentube, Lumensign, Lumentask and Lumenedge families and started appointing agents to further penetrate the market.

In 2010, Lumenpulse expanded its product line by introducing the first products from the Lumenbeam family, introduced its first complete product catalogue, and strengthened its North American direct sales force to support its expanding agent network.

In 2011, Lumenpulse launched new products from the Lumenbeam and Lumenfacade families. Lumenpulse also continued its geographic expansion and established a new office in London, England to support growing sales in the EMEA and APAC regions and also formally opened its new office in Boston.

In 2012, Lumenpulse launched the Lumenline family to challenge traditional fluorescent technologies, and Lumentalk, a patented technology that allows digital control signals to be carried over electrical power lines without additional wiring.

In 2013, new products from the Lumenbeam, Lumenfacade, and Lumenline families were launched. Lumenpulse also entered into strategic agreements with VARs in the APAC region, thereby continuing its geographic expansion.

In 2014, Lumenpulse signed 6 VARs and 1 agent in Australia, New Zealand, Scandinavia, Northern UK, Netherlands, Germany, and Belgium. It also established new direct sales presence in Latin America and France. Lumenpulse now has over 90 VARs and agents in 9 international markets. Lumenpulse also completed its IPO of 7,187,500 shares on April 15 2014 at $16.00 per share.

Lumenpulse has received several awards and recognitions, including the International Red Dot Award, the LFI Innovation award, Next Generation Luminaires Design awards, and Product Innovation Awards.

Industry Overview & Opportunity

General Lighting Industry The global lighting industry is divided into three markets: general lighting where lighting in itself is the functional end-product; automotive lighting (car lights); and back-lighting screens (e.g., TVs, device displays, etc.). Lumenpulse operates within the general lighting market. McKinsey estimates the general lighting market for fixtures and controls (F&C) at $73.5 billion in 2013, and this is forecasted to grow to $104 billion by 2020. Within general lighting, Lumenpulse competes primarily in F&C, which include lighting apparatuses, sockets, fixtures, and control systems (not light sources; i.e., bulbs).



The F&C segment is further broken down into the specification-grade (high-grade) lighting solutions segment and stock and flow (commoditized lighting solutions – residential) segments. Specification-grade lighting is comprised of fixtures and controls designed to comply with strict technical requirements imposed by project specifiers. This high-grade segment is where Lumenpulse competes. If we exclude residential applications (which are mostly commodity grade), the F&C market in 2013 was ~$45.6 billion and is forecast to grow to $63.6 billion by 2020, a 5% CAGR, according to McKinsey estimates. While the F&C market is forecast to grow modestly, the key driver for Lumenpulse will be the market penetration of LEDs which is expected to grow from 23% penetration in 2013, to 64% penetration by 2020, which expands the 7-year CAGR to 21%, clearly presenting a huge opportunity through cannibalization of the non-LED market, which is expected to shrink at 6% CAGR over the same period. Factors Driving the Adoption of LEDs Government Intervention: According to the United Nations Environmental Programme (UNEP) Global Environmental Facility (GEF) en.lighten initiative, 15% of global power consumption is from lighting. Since 2008, there has been a secular trend towards a more broadly based adoption of LED lighting as government and commercial sectors look for lighting options which can reduce the environmental impact of energy consumption and lower operating costs. Incandescent lamps are on average one-sixth as efficient as LEDs (based on Lumenpulse efficacy levels), and fluorescent tubes (used mostly in offices) are on average one-quarter as efficient. Converting global lighting to LEDs would vastly reduce global energy demand. As a result, government regulations have been passed in several countries to phase-out incandescent lamp sales; specifically, sales have been banned since 2009 in the European Union, 2012 in China, and 2014 in Canada and the US. Improving ROI: The return on investment (ROI) of LEDs is improving with efficacy (lumens/Watt) and life expectancy (hours of life). LED lighting versus traditional and other lighting options (i.e,. incandescent, CFL, induction, HID, etc.) presents varying scales of medium- to long-term project economic benefits. Project economics are typically measured with total cost of ownership (TCO) and presented as ROI. According to NextGen Partners, ROI can typically run at 35% (or ~3 years), but can sometimes be as high as 70-80% (~1.5 years) in a retrofit where the previous lighting is very inefficient. Effectively, LED lighting solutions can pay for themselves in 1-3 years (through 75-90% energy savings) and deliver another 10-15 years of pure profit (20-year life). Smithsonian American Art Museum in Washington, D.C. A more detailed example comparing the total cost of ownership of LEDs versus halogen and incandescent lamps in a retrofit project at the Early Modernism Gallery, Smithsonian American Art Museum in Washington, shows the initial cost of installation (excluding labour costs) was 12 times greater for LEDs. However, the average annual electricity usage is 73% lower with LEDs. Given the energy-cost savings, the higher initial cost of installation for LEDs will be paid off within the second year according to the US Department of Energy (US DOE).



Exhibit 9: Smithsonian American Art Museum Case Study Results

Source: US Department of Energy – Demonstration of LED Retrofit Lamps June 2012

Environmental Certifications: Energy reduction has become a top priority for the commercial and industrial sectors, as lighting can account for as much as 30% of a building’s overall energy cost according to Lumenpulse. There is a growing theme surrounding sustainable business practices which has given birth to green building certifications such as BREEAM (Building Research Establishment Environmental Assessment Method), and LEED (US Green Building Councils – Leadership in Energy and Environmental Design). The energy-cost savings and the brand value of environmentally sustainable business practices are compelling drivers of LED adoption in the commercial and industrial sectors. Exhibit 10: US Nonresidential Buildings – Green Building Breakdown

Source: McGraw-Hill – October 2012



Intangible Factors While LEDs have several tangible benefits which result in energy-cost savings, less tangible benefits which enable greater versatility for specific project needs include: 1) The ability to dim to nearly 0%, which increases lighting control flexibility and optimized energy usage; 2) Inherent durability from external shock as LEDs have no filament or glass to break; 3) Greater directionality of light, focused where it is needed to reduce light pollution (i.e., wasted light energy); 4) Instant full-light intensity (unlike fluorescent and HID); 5) The ability to dynamically change the colour of light to create decorative moods; and, 6) The small size of LED chips (one square millimetre of surface area) enables new flat form factors.

Customers & Markets Served

Value Chain LEDs are solid-state electronic components that emit light in a variety of brightness levels and colours. The LED value chain is divided into three segments: upstream, midstream, and downstream. As Exhibit 11 summarizes, the upstream sector (chip manufacturers) produces the LED chips on a substrate (sapphire, silcon carbide, silcon, gallium nitride, or copper); the midstream (module assemblers) integrates the LED chips onto printed circuit boards (PCB) to make LED modules (the light source/lamp); and the downstream is where the LED modules are combined with lighting fixtures and integrated design services to achieve customized lighting solutions. There are also vertical integrators which produces everything from LED chips to lighting solutions. The LED value chain is typically more profitable downstream where Lumenpulse operates (with no intention to vertically integrate). Exhibit 11: LED Value Chain

Source: Lumenpulse Inc.

In recent years, the upstream LED industry has suffered from overcapacity (too many production lines in China) as LED backlighting demands have been sluggish (i.e., not selling enough LED TVs), according to McKinsey. The US DOE forecasts LED package prices to fall 22%-27% per year through 2020, and substrate prices to drop 10%-29% per year. While declining LED chip pricing (input cost) should help Lumenpulse, it is also available to all competitors which makes it difficult to predict to what extent lower LED chip pricing will be passed onto customers. What is clear and more sustainable, is that Lumenpulse has several IP that allow them to generate more margins on its products including Lumenbin (does not need to buy premium bins), Lumencool (patented chimney design and dual chamber design allowing Lumenpulse to make 40% lighter products at lower cost



and yet with industry-leading LED life warranty) and Lumendrive (removal of power supply lowers cost by 15%). Additionally, as manufacturing utilization improves (currently only 40%; management estimates that Lumenpulse can almost triple its production capacity with limited additional incremental fixed costs), gross margin could see as much as ~400bps improvement. Given multiple levers to increase margins, as Lumenpulse gains manufacturing efficiencies and realizes lower input costs, we forecast gross margins to increase from 42% in the just concluded F2014 to closer to 50% over the next few years. There is also more differentiation and higher barriers to entry in the downstream segment. For instance, one of the distinct features of the specification-lighting market is that the strict technical requirements from the specifiers would often limit the end-user’s ability to choose the lighting manufacturer – emphasizing the importance of relationships between solution providers and specifiers (i.e., architects, engineers, landscape architects, and lighting designers). In North America, Lumenpulse already works with over 80 agents (representing 80-90% of Tier 1 agents) and VARs, which combined makes for over 400 sales people. These agents work exclusively with Lumenpulse for specific lighting applications – creating barriers to entry. The company has also started building a footprint in EMEA and APAC. As we show in Exhibit 13, Lumenpulse has contributed to several high-profile projects in North America, as well as in Europe. Exhibit 12 outlines the process of a sale from Lumenpulse to specifiers. In most cases, Lumenpulse will indirectly assist project specifiers through agents and VARs. Once Lumenpulse has met the project specifications, the agent or VAR will bid on the project, and upon a winning bid will typically sell Lumenpulse products through electrical wholesale distributors. VARs and electrical wholesale distributors make a spread on the product, while agents are paid a commission for initiating the sale through an electrical wholesale distributor. Lumenpulse primarily employs agents in the US and VARs in international markets and Canada with exclusive territories. During F2014 ending April 30 2014, 81.8% of revenue was from electrical wholesale distributors (originating from agents) and 13.9% was from VARs. Exhibit 12: Typical Lighting Sales Process


Exhibit 13: Examples of Lumenpulse Projects

BC Place Stadium (Vancouver – Left), The Langham Hotel (Boston - Right)



TELUS World of Science (Vancouver – Left), 230 Park Avenue - The Helmsley Building (NYC - Right)

Bayview Village (Toronto - Left), Solvesborg Bridge (Solvesborg, Sweden - Right)

Maison symphonique de Montréal (Montreal - Left), NFOE Office (Montreal - Right)

Helsinki Cathedral (Helsinki, Finland - Left), Wellesley Hotel (London, UK - Right)


Geographic Breakdown

Lumenpulse generates ~90% of its revenue from the US and Canada. With Lumenpulse acting as a VAR in its home market the majority of its direct sales employees (42 of 75) are located in Canada, while the US market is targeted mostly through agents. In 2011, Lumenpulse opened its London, England office to support sales growth in EMEA (now eight employees). Outside North America, Lumenpulse has VARs in Northern UK, Netherlands, Germany, Belgium, Southeast Asia, the Middle East, Australia, New Zealand, and Scandinavian countries. $10 million of the IPO proceeds are earmarked for use in expanding its global reach over the next few years to



strengthen distribution and sales channels through hiring more sales professionals to assist VARs and specifiers in EMEA, APAC, and Latin America. A portion of the $72 million, allocated for working capital and general corporate purposes, will be available for strategic acquisitions for both broadening its product offering but also to expand its international footprint. Breaking down the specification-grade LED lighting market size by geographic region, Asia is a clear leader at $5.3 billion in 2013, well ahead of North America at $1.8 billion, and EMEA at $3.0 billion. By 2020, McKinsey estimates the Asia Pacific, North American, and EMEA markets will grow at 20%-21% CAGR to $20.7 billion, $6.5 billion, and $11.6 billion, respectively. By 2020, Asia and EMEA together are expected to make up 79% of the global market (5x larger than North America). In terms of concentration, excluding the business generated by its sales force in the province of Québec and in London, England, Lumenpulse’s top five agents and VARs accounted for 15.4% of total revenues in F2014. Exhibit 14: Geographic Revenue Breakdown

Source: Lumenpulse Inc. (F2014)

Products & Patents

Lumenpulse is a designer, developer, and manufacturer of high-performance LED lighting solutions, selling its own products directly to specifiers and through agents, value-added resellers (VARs), and electrical wholesale distributors. Additionally, in its home market of Québec, Lumenpulse acts as a VAR for over 15 North American and European lighting manufacturers – this is in order to be able to provide a complete end-to-end solution, given that its current product portfolio only addresses ~25% of the addressable lighting applications. Other manufacturer products it offers include: track lights, downlights, recessed spotlights, area lighting fixtures, and pedestrian street lighting fixtures. In F2014, 22% of revenue was from other manufacturer products, down from 58% in F2011. As Lumenpulse adds new products and other core technologies to address more lighting applications, we expect its VAR business to decline over time.

Growing into other applications Early on, Lumenpulse focused on architectural lighting applications as architecture has been an early adopter of LED lighting and is by far the most highly penetrated market segment for LED lighting at ~60% in 2013 (forecast to reach 87% by 2020 according to McKinsey estimates). The reason for the early adoption in architecture versus other segments is that specifiers in architectural projects have a mandate that is more about performance and design than absolute pricing. Architecture projects use LEDs for creating decorative moods, with the flexibility of RGB (red, green, blue) colour control. There is limited pricing pressure in specification-grade lighting projects.



Exhibit 15: LED Penetration by Application

Source: McKinsey - Lighting the way: Perspectives on the Global Lighting Market Second Edition – 2012

Exhibit 16: LED Market Size by Application

Source: McKinsey - Lighting the way: Perspectives on the Global Lighting Market Second Edition – 2012

As other vertical penetration catchs on, we believe Lumenpulse will continue to expand its lighting application coverage. In the days leading up to Lightfair 2014 earlier in June, Lumenpulse launched 15 new products. Lumencove Nano is a dimmable cove-lighting system that eliminates the need for a power supply, optimizing size, efficiency, and durability. The fixture debuts Lumendrive, a breakthrough application specific integrated circuit (ASIC) technology that powers LEDs directly from the AC mains, while still allowing full digital dimming and control. Lumenfacade Inground is an LED fixture designed specifically for ground-recessed lighting applications. Both products are expected to become among the big sellers (10+% of total revenue). There were also other additions to the Lumenbeam (Lumenbeam LBX HO – a high-output version of Lumenbeam LBX to reach very tall structures and spaces) and Lumenline families (especially lit corners as designers can tailor the shape of lighting schemes with squares, crosses, and tees that blend into interior architecture). Dynamic Warm now allows smooth variations at the warm end of the colour spectrum, ideal for indoor hospitality and heritage applications, mimicking the feeling of dimmed incandescent.



Unique Abilities, Differentiated Products Many LED manufacturers leverage third-party technology and parts to assemble a finished product and rely on others to supply control/drivers for their LED systems. Lumenpulse prides itself on its ability to innovate ahead of the pack by designing its own electronics (PCBs and LED modules) and lighting systems, as well as by constantly finding ways to add control to lighting. Lumenpulse has 25 granted patents and more than 51 patents pending surrounding LED technology. Lumenpulse can differentiate its products both from a qualitative aspect (i.e. aesthetics and usability perspective – Lumenbin, Lumenoptiflex, Lumendim, Lumendrive), while also dramatically improving ROI with more obvious economically beneficial technologies (Lumentalk, Lumensmart, Lumendrive, Lumencool, and Lumenlife). Lumenbin is one of Lumenpulse’s main trade secrets. It is a proprietary method of “binning” (categorizing) LEDs by colour temperature, to produce best-in-class colour consistency. Similar to other wafer production, LEDs have different yields (which leads to colour variations). Manufacturers are sometimes forced to pay a premium to buy from one bin to ensure colour consistency. Lumenpulse’s binning process/algorithm enables them to buy from different bins and yet still achieve consistency over linear length (board to board, 1 ft to 4 ft), over time (fixtures in 5 years, will match fixture today) and over product family (facade versus cove versus beam etc.). Lumentalk represents the company’s cutting-edge controls technologies. While LED competitors use data wiring to transmit data between lighting fixtures and controllers which requires cutting open walls for installation (disruptive and expensive), Lumenpulse’s patented Lumentalk core technology enables lighting control without the need of additional data wiring. It is able to use new or existing power lines to transfer reliable digital data for lighting control commands. In a retrofit project, this can save up to 30% of the typically installation cost (according to Lumenpulse). Other vendors may use a wireless connection, but connectivity can be unreliable especially when several walls exist between the fixtures and the controllers. Lumensmart is a patented technology that can automatically recognize the input signal (0-10V, Digital MultipleX, Remote Device Management, or Digital Addressable Lighting Interface) and adapt the fixture to be compatible with the dimming protocol to enable faster adoption of energy-saving LED lighting controls. Buckley Recital Hall (Amherst College) in Amherst, Massachusetts Buckley Recital Hall is a great example of the ROI from Lumenpulse lighting solutions and IP. Typically, by the end of the graduation year, 70% of the incandescent lamps would fail (burn out). Changing these lamps each year cost $50,000 and required the facility to close for 3 weeks, as scaffolding was erected and lamps were changed. This resulted in a loss of usage (5.5% per year) and the cost of changing the lamps ($50,000 per year). With Lumenpulse’s LED lighting and digital control solution, energy costs for the 158 Lumenbeam large pendants installed was 60% lower than the previous incandescent lamps and fixtures. Furthermore, Lumentalk technology enabled the use of existing wires greatly accelerating the ROI with the payback estimated to have been less than one year.



Exhibit 17: Buckley Recital Hall – During 3-Week Long Annual Lighting Maintenance


Lumendrive, which was just introduced at the LightFair 2014 show in June, eliminates the need for a power supply on the fixtures, enabling a smaller design, increased efficiency, lower costs (higher margins for Lumenpulse) and an extended lifetime. An embedded ASIC microchip eliminates the need for an onboard power supply. Exhibit 18: Lumendrive in the New Lumencove Nano

Lumencove

1.0Lumencove

Nano

Lumencove

2.0

Smaller with lumendrive


Lumenoptiflex enables a single fixture to combine various beam widths at different optical angles replacing the work of multiple fixtures. This increases optical options (width of the light beam) and improves flexibility and versatility of lighting functionality. The differently coloured LEDs on the same fixture enable multiple lighting designs with a single fixture. Thanks to this feature, Lumenpulse is able to use 2-3 times fewer beams compared to competitors (e.g., BC Place).



Exhibit 19: Lumenoptiflex in Lumenbeam LBX Colour Changing Fixture


Lumencool’s dual chamber design maximizes airflow enabling LEDs to last at L70 lifetimes (70% of the maximum light output – human eyes cannot differentiate a 30% light intensity difference) for an industry-leading 120,000 hours (where typical LEDs last between 25,000 and 50,000 hours; CFLs at 6,000 and 18,000 hours; fluorescent tubes at 20,000 and 36,000 hours; and incandescent at 750 and 1,000 hours). This greatly improves the lifetime economics of a lighting project, and saves maintenance downtime for businesses that do not have significant slow seasons. Exhibit 20: Lumencool Cross-Sectional Diagram


Lumendim enables smooth dimming of LEDs. Typically, 30% of light energy consumption is wasted when spaces/rooms are not in use. The combination of dimming and lighting control systems can further minimize wasted light energy consumption and improve the ROI further. Lumenlife adds a smart feature through patented onboard sensors which monitor the remaining life of the fixture by temperature readings, power readings, and the fixture clock. Coupled with Lumentalk, these measurements can be queried through specific commands. LumenID is a software/hardware package that provides a direct connection to a PC for quick and easy addressing, diagnostics and demonstration of Lumenpulse fixtures, reducing commissioning time and installation costs.



Exhibit 21: Lumenlife Monitors the Real Life of a LED


Core Technologies Benefits Description

Lumendrive • Greater efficiency

• Smaller size

• Longer lifetime, not restricted

by third-party components

Lumendrive removes the need for onboard power supplies. The ASIC

(Application Specific Integrated Circuit) technology directly powers, dims and

controls LEDs, providing greater efficiency, smaller size and a lifetime no longer

restricted by third-party components.

Lumentalk • Reduces installation costs

• Facilitates conversion to LED

lighting

• Compatible with all common

control standards

Lumentalk is a patented technology that enables digital control of LED lighting

over existing AC power lines, thus reducing installation costs and facilitating the

conversion to LED lighting. With Lumentalk, electrical wiring becomes a stable,

noise-free, high-speed communications link, enabling LED fixtures to be

controlled without additional wiring for data. The technology is protocol

independent, making it compatible with common dimmer and control

standards such as Triac, 0-10V, DALI, DMX and ELV.

Lumensmart • Adapts to all common control

standards

• Solves common incompatibility

issues

Lumensmart is a patented technology that enables LED fixtures to automatically

detect and adapt to common lighting control protocols such as DMX, RDM,

DALI, and 0-10V over a wired network. By making the fixtures automatically

adapt to whatever control protocol is planned or in place, Lumensmart

facilitates specification and enables faster adoption of smart, energy-saving LED

lighting controls. Lumensmart is being progressively implemented in its

products over the 2014 calendar year.

Lumenbin • Light quality

• Colour consistency

Lumenbin is a proprietary binning method that ensures colour temperature

consistency across all Lumenpulse fixtures – overcoming a typical challenge for

specifiers of LED lighting. Using a manufacturing and supply chain process,

Lumenbin technology guarantees a consistent colour temperature within

industry standards.

Lumendim • Smooth dimming Built into all Lumenpulse fixtures, Lumendim is a proprietary firmware that

allows smooth white light dimming. Lumendim produces a dimming response

curve that matches human eye perception, providing a more natural and

appealing dim and avoiding a stepped appearance that can be seen with linear

dimming.

Lumencool • Smaller size of fixture

• Extended life of product

An innovative dual chamber thermal design system, Lumencool is used in many

of Lumenpulse’s fixtures. The patented technology allows air to flow between

the driver and LED board, maximizing the surface area, increasing output and

resulting in L70 lifetimes of up to 120,000 hours. By separating the driver

components from the light sources, the technology also improves the

sustainability of the system, enabling simple component replacement extending

the life of the fixture.

Lumenoptiflex • Increases optical options,

improving flexibility and

versatility

• Allows the combination of

different beams in one fixture

Lumenoptiflex is an innovative technology that increases optical options,

improving flexibility and versatility. The patented technology combines optics

and LED boards within the same fixture, enabling segmentation and the

creation of distinctive photometric distributions. With Lumenoptiflex, a single

fixture can combine different beams, both narrow and wide, replacing the work

of multiple fixtures.

Lumenlife • Accurately predicts the life

expectancy of a fixture

• Alerts the user when a product

is reaching its life expectancy and

should be replaced

Lumenlife is a patented method of calculating the true life expectancy of a

fixture by taking into account the environmental factors that influence lifetime,

rather than merely the past hours of operation. Lumenlife can accurately

calculate when a luminaire reaches L70 and even issue alerts as the fixture

starts to approach the end of its useful lifetime.



Product Applications Descriptions

Lumenbeam • Architectural exteriors and

facades, including multi-story

facades and tall structures.

Interiors, including columns,

trees or other architectural and

landscape features.

High performance LED projectors for indoor and outdoor applications. The

Lumenbeam family is comprised of 27 products, including dynamic white and

colour changing projectors in various sizes. Lumenbeam fixtures are also

available as pendants.

Lumenfacade • Grazing, accenting and

floodlighting exterior and interior

walls and facades.

High performance linear LED fixtures for indoor and outdoor applications. The

Lumenfacade family is comprised of 21 products, including dynamic white and

colour changing fixtures.

Lumencove • Installed on ledges and in coves.

Ideal for soft, indirect lighting.

High performance fixtures designed to provide a more durable and flexible

alternative to fluorescent. The Lumencove family is comprised of 13 products,

including high output, exterior, dynamic white and color changing versions.

Lumenline • Discreet, flexible general lighting

for commercial and institutional

environments, including offices

and classrooms. Provides an

energy-efficient and cost-

effective alternative to

fluorescent.

High-quality linear LED fixtures for general illumination of architectural and

commercial interiors. The Lumenline family is comprised of 14 products,

including pendant, surface wall mounted and recessed versions.

Lumendome • Ideal for low-resolution screens

and media facades, low-density

video displays and environmental

graphic. Can also trace the

contours of buildings and

structures.

High performance, direct-view pixel fixtures for indoor and outdoor

applications. The Lumendome family is comprised of six products, including

different sizes and colour changing versions.

Lumensub • Designed for underwater

applications.

Submersible fixtures for underwater applications. The Lumensub is also

available in a colour changing version.

Lumensign • Designed for way-finding

applications, including hotels,

offices, schools and universities.

A customizable edge-lit architectural signage solution for way-finding

applications.

Lumentask • Designed for under cabinet,

cove and tight space lighting.

A linear LED task light for tight spaces. Available in a range of sizes.

Lumenedge • Designed for architectural

signage and poster display

applications.

A customizable double-sided, edge-lit architectural LED light panel.

Lumentube • Designed for use in cabinets,

closets, bookshelves, tabletops

and worksurfaces.

A linear task lighting system, providing a durable, low-energy alternative to

fluorescent. The Lumentube family is comprised of four products, including

pendant and table applications.



Control Systems Benefits Descriptions

Lumencue • Simplifies integration, with eight

relay ports

• Allows easy archiving with

removable mini SD card

Lumencue is a standalone USB-based DMX512 lighting controller that allows

dynamic lighting shows to be programmed quickly and easily. New lighting

scenes can be triggered based on a calendar or time clock, by external

controllers, or can run continuously.

LumenID • Live feedback allows quick and

easy addressing and diagnostics

• Memorizes progress, allowing

installations to be completed at a

later date

LumenID is a software/hardware package that provides a direct connection to a

personal computer for quick and easy addressing, diagnostics and

demonstration of Lumenpulse fixtures. LumenID is able to turn Lumenpulse

fixtures into a networked installation by locating and identifying each fixture for

quick, efficient addressing. LumenID’s intuitive approach results in a significant

reduction in commissioning time and installation costs.

Lumentouch • Simplifies integration with third-

party systems

• Allows quick and easy

installation

Lumentouch 2.0 is a DMX512 controller that provides an intuitive touch button

interface to program, modify and trigger dynamic lighting shows quickly and

easily.

Lumentone • Makes complex lighting effects

accessible

• Simplifies integration with all

industry junction boxes (gang

boxes)

Lumentone is a wall-mounted DMX controller that gives users access to

advanced lighting installations, by allowing them to dim, change colours,

increase the colour temperature, add effects, or alter the transition speed with

simple commands. Lumentone is suitable for either white or coloured light

installations.

Competition & Industry Commentary

The market for general lighting fixtures and controls is highly competitive with a few large players and some level of fragmentation. According to McKinsey, the 10 largest lighting fixture companies made up 64% of the US market in 2010 (74% when you consider only LED fixtures). The European market is more fragmented with the top 10 making up 43% in 2010 (48% for LED fixtures). As Lumenpulse enters these markets with highly differentiated product offerings, we believe it is poised to capture a sizeable share of the LED opportunity. Market-Leading Competitors Philips: Philips is the largest manufacturer of lighting globally. In June 2007, Philips acquired Color Kinetics, a leading innovator of LED lighting systems, for $791 million. At the time of acquisition, it had TTM revenue of $75 million and operated in three segments: lighting systems, OEM, and patent licensing. Philips products spans across the entire lighting market supplying both commodity-grade and specifier-grade lighting fixtures, controls, and lamps in new and traditional lamp technologies including LED, but also fluorescent, CFL, HID, halogen, incandescent and specialty lamps. In 2013, Philips generated 37% of its revenue from lighting. Lumenpulse licenses patents from Philips for its colour-changing products (which represents a declining 15% of its total revenues as Lumenpulse expands its offerings). OSRAM Licht: The second-largest manufacturer of lighting globally, OSRAM, was spun off from Siemens AG in 2013. In 2011, OSRAM acquired the remaining 49% of Traxon, a global leader in solid state lighting (SSL) and control systems. Similar to Philips, OSRAM’s product offering spans the entire lighting market supplying both commodity-grade and specifier-grade lighting fixtures, controls, and lamps in new and traditional lamp technologies including LED, but also fluorescent, CFL, HID, halogen, incandescent, and specialty lamps. Notably, on May 1, 2014, OSRAM separated its business segments into “classic lamps and ballasts” and “LED lamps and systems” – a strong indication of the significance OSRAM sees for LEDs going forward, as well as the differentiated dynamics the LED segment experiences versus other lighting solutions. In F2Q14, OSRAM generated 34% of its revenue from SSL (LEDs) up from 27% a year ago, growing 23% y/y. Cree: The third-largest manufacturer of LED semiconductors, Cree is vertically integrated from LED chips (upstream) to LED modules (midstream) to LED lighting products (downstream). 41% of Cree’s F9M14 (ending March 2014) revenue was from lighting products (all LED). Gross profit from lighting has seen a distinct drop from a 29%-31% range over the last 3 years to a F9M14 level of 27.4%, partially due to a reduction in new product ASPs (primarily consumer lighting products).



Cree has demonstrated many innovations recently with the first 200 lumen/Watt LED concept fixture, which has twice the efficiency of the best linear fluorescent fixtures. In lighting control, its one button SmartCast claims to be able to reduce energy consumption by more than 70% using a wirelessly networked lighting control system. Cree recently entered the architecture market with some downlight products. Acuity Brands: A leading provider of indoor and outdoor lighting solutions with operations in North America, Europe, and Asia, and similar to Lumenpulse, Acuity generated 98% of its 2013 revenue in North America. Its lighting offering includes both conventional lighting fixtures and LED (solid-state) technologies and lighting controls. Its product development has seen explosive growth with over 500 new product families introduced in the last 5 years. Acuity Brands is an industry consolidator adding 11 companies recently, now with 22 brands in its portfolio. LED fixtures made up 30% of sales in 2Q14. Hubbell: In 2013, Hubbell acquired Norlux for $14.9 million which gave it lighting and LED expertise in custom LED design, manufacturing, and lighting-control solutions. Hubbell had $3.2 billion of revenue in 2013 and has 21 lighting product brands in its portfolio with a full range of applications in architecture, industrial, commercial, office, institutional, hospitality, outdoor and residential lighting. Dialight: Dialight is an industrial (hazardous) and commercial (non-hazardous) application-focused custom LED manufacturer based in the UK (but with 63% of sales in North America). Its industrial lighting segment has grown at a 61% CAGR from 2011-2013, making up 52% of its revenue in 2013. Lumenpulse has minimal penetration in the industrial segment. Eaton/Cooper: In December 2012, Eaton acquired Cooper Industries for $13 billion. The combined lighting division is focused on indoor and outdoor lighting and control solutions serving customers in commercial, industrial, retail, institutional, residential, utility, and other markets. In 1Q14, LED lighting made up 37% of its overall lighting revenue. Revolution Lighting: Revolution Lighting provides LED lighting and signage products for indoor and outdoor lighting, signage and smart grid control systems, through its four subsidiaries Lumificient, Seesmart, Relume, and Sentinel. Best of Breed European Comps Zumtobel: Zumtobel has been providing lighting solutions and controls for over 60 years, covering applications in offices, institutions, retail, hospitality, art/culture, industrial, and architecture. 79% of its $1.65 billion F2013 revenue was from Europe. ERCO: ERCO (privately held) has been providing LED lighting solutions since 2000, with 2800 LED projects globally (over 60% in Europe) covering applications in public/community space, art/culture, retail, offices, hospitality and residential. Schreder: Schreder is an international lighting group specializing in outdoor lighting (roads, tunnels, pedestrian spaces, and sports lighting). Present in 33 countries and based in Europe, Schreder has refocused its lighting towards LEDs.

Industry Commentary OSRAM “The gross margin improvement in SSL and in SSL Forward is still visible in our books. We have now a positive SSL Forward gross margin trend, which also continued in the second quarter. And now we had the seventh quarter in a row with a year-over-year gross margin increase in our SSL Forward business.” – CFO Klaus Patzak of OSRAM 2Q14 transcript April 30 2014; note: SSL = solid state lighting (i.e., LEDs) and SSL Forward = SSL lighting products (i.e., LED lamps, light engines, luminaires/fixtures).



“We see that the capacity lowering and the LED area is getting better” (in response to a question about LED chip supply and demand situation) – CFO Klaus Patzak of OSRAM 2Q14 transcript April 30 2014. “…gross margin of our new products is actually higher than the gross margin of our traditional products … we are currently suffering from the sharp decline in the traditional business.” – CFO Klaus Patzak of OSRAM 2Q14 transcript April 30 2014. “OSRAM Licht AG is adjusting its revenue expectation against the background of an accelerated decline in the traditional general illumination business in the current fiscal year. The Managing Board now expects revenues on the last year's level, at best a modest revenue increase, on a comparable basis for the current fiscal year.” – OSRAM press release May 27 2014. Philips “By 2015, 2016, 45% of the lighting market will be LED. The market is on track to achieve that….In professional projects, the penetration of LED is already north of 50% and the good thing that in professional projects, our margin is better than in conventional.” - Chairman and CEO Frans van Houten of Koninklijke Philips Electrical Products Group Conference transcript May 20 2014. “The majority of LED professional projects is still retrofit and I dare say even here in the US when everybody talks about an uptake that is primarily residential, not so much non-residential market and the same applies to Europe. There are not yet that many new buildings being built and in China, the new construction market is also slower. So a lot of retrofit but that is a great market and where very often we can control the entire solution” - Chairman and CEO Frans van Houten of Koninklijke Philips Electrical Products Group Conference transcript May 20 2014. “About 30% of lighting is in applications, about 70% is still in bulbs so we need to continue to work that in order to get an even bigger proportion in lighting applications and services.” - Chairman and CEO Frans van Houten of Koninklijke Philips Electrical Products Group Conference transcript May 20 2014. “Through connected LED lighting, we foresee a future where lighting innovations connect seamlessly with smart controls, networks, devices and apps to positively benefit and improve lives and drive new business value.” - Chairman and CEO Frans van Houten of Koninklijke Philips 1Q14 transcript April 22 2014. Cree “We believe some opportunities may emerge over the next 24 months to leverage the Cree brand as the shift in new technology accelerates and the industry begins to go through a consolidation phase…. I think it's more of an indication that as we see LED adoption picking up pretty much across the industry, we -- I think there's a perspective that as that accelerates, that the landscape is going to change…those that can access the customers and build brand and have channel that there are opportunities to combine maybe product portfolios or use some deals to access new markets. With that being said, this is not an imminent thing, it's something that I thought that was important that we let people know we're starting to look at more seriously than we have for the last couple of years.” – Chairman and CEO Chuck Swoboda Cree 3Q14 transcript April 22 2014. “This quarter, Lighting is the fastest-growing segment, and we have both fixtures and bulbs growing.” – Chairman and CEO Chuck Swoboda Cree 3Q14 transcript April 22 2014. “Given the trends in the industry and the growth in LED lighting … the capacity is going to get tight.” – Chairman and CEO Chuck Swoboda Cree 3Q14 transcript April 22 2014. “We're fully utilized and we start to hear other people in the industry talk about rising utilization, there's an obvious semi cycle that you would think is coming. We don't see it yet, but I do think at some point we'll see that tightness that probably would do two things. We'll see the lead times move out first and then we'll see some pricing power shift to the suppliers.” – Chairman and CEO Chuck Swoboda Cree 3Q14 transcript April 22 2014.



Acuity Brands “The sale of LED-based fixtures at Acuity now accounts for 30% of our total revenues. In fact, each quarter for the last 3.5 years in a row, sales of LED products at Acuity have more than doubled compared with the year-ago periods. If the sales of our LED-based luminaires were measured as a separate business, we believe today, it would be the fourth-largest lighting company in North America, and remember, it's 30% of our total business.” – Chairman, President & CEO Vern Nagel Acuity Brands 2Q14 Transcript April 2 2014. “Excluding LED luminaires, we believe the puts and takes for product pricing, as well as material and component costs were, again, fairly benign this quarter. Looking at overall market conditions for the second quarter, we believe spending in the US nonresidential construction market, in which we participate, was up low to mid-single digits compared with a year ago, while residential construction was up almost 20%. Growth rate in these markets was hampered by the severe weather conditions.” – Chairman, President & CEO Vern Nagel Acuity Brands 2Q14 Transcript April 2 2014. General Electric “Lighting revenue was down 4%. Our traditional channels in Lighting were down 9%, partially offset by LED growth, up 33%.” – CFO Jeff Bornstein General Electric 1Q14 Transcript April 17 2014. Summary of Industry Commentary The outlook for the lighting market is for traditional lighting to continue to decline and even accelerate down as seen at OSRAM, while LED lighting solutions will continue to transform the market with double-digit, year-over-year revenue growth. Customers are looking for quality lighting solutions including lighting control systems to maximize efficiency. Higher margins are being seen in professional projects (specification-grade) with most of these projects being retrofits. Though gross margins continue to improve for LED lighting solutions, the LED chip and package capacity oversupply from recent years has begun to tighten. A few commented on the consolidation opportunities in the lighting industry, where over the next 24 months, the industry is expected to see many changes.

Financial Model Highlights

Seasonality Lumenpulse provides both indoor and outdoor lighting solutions. Outdoor products tend to see lower sales in F3Q ending January 31 due to seasonal weather conditions and less favourable outdoor construction and new installation programs. As the sales channels expand internationally, the seasonality should smooth out. Revenues Revenues are segmented into Lumenpulse products and other manufacturers’ products. Lumenpulse Product Revenues Lumenpulse product revenues are generated in all of Lumenpulse’s channels both directly sold in its home market of Québec, and sold through VARs and electrical wholesale distributors (through agents) around the world. Other Manufacturers’ Product Revenues Other manufacturers’ products are sold exclusively in Lumenpulse’s home market of Québec where it acts as a VAR for over 15 North American and European manufacturers. These revenues should decline as Lumenpulse launches more applications from its in-house Lumenpulse product line.



Recent Financial Highlights

F4Q14 Lumenpulse reported its inaugural quarterly results on June 19 2014, reporting revenues of $17 million (+51% y/y), adjusted EPS loss of $(0.10) and adjusted EBITDA of $0.1 million was the third consecutive quarter of positive adjusted EBITDA. Lumenpulse products revenues were up 92% y/y at $14.8 million. Other manufacturers’ products (OMP) revenue was down 51% y/y at $2.3 million; the large decline was attributed to the previous quarter (F3Q14) benefiting from pent-up demand in its direct sale market in Québec. Management does not expect this level of OMP to continue in the following quarters; however, long term they expect OMP to gradually decline as Lumenpulse products reach more applications. Lumenpulse saw strong results from international customers recording $3 million of revenue in 4Q (18% of revenue). $2.2 million came from 3 major projects in Asia Pacific and the Middle East, while the remaining $0.8 million came from projects across the UK and Scandinavia. Lumenpulse has focused on large projects in its initial expansion to international markets and we believe this focus will prove successful in developing the Lumenpulse brand and gaining visibility in these markets. Larger projects tend to make lumpy revenues quarter-to-quarter as they also have longer lead times, so the 4Q international revenue proportion is less indicative of Lumenpulse international penetration.

Financial Model Forecasts

F2015 Forecast (ending April 30 2015) We are modeling $94 million in revenue, representing 51% y/y growth. We are modeling $80.9 million in Lumenpulse product revenues up 67% y/y from $48.5 million in F2014, and $13.1 million in Other Manufacturers’ product revenues down 5% y/y from $13.8 million. We forecast adjusted EBITDA of $6.4 million in F2015 up from $0.4 million and adjusted EPS of $0.11. F2016 Forecast (ending April 30 2016) We are modeling $136 million in revenue, representing 45% y/y growth as we expect its geographic expansion in EMEA and APAC to accelerate. We are modeling $123.8 million in Lumenpulse product revenues up 53% y/y from $80.9 million in F2015, and $12.4 million in Other Manufacturers’ product revenues down 5% y/y from $13.1 million as the Lumenpulse product line grows and replaces applications formerly filled by Other Manufacturers’ products. We forecast adjusted EBITDA of $16.5 million in F2016 up from $6.4 million and adjusted EPS of $0.47. Long-Term Model Lumenpulse is still in its early growth stages. With a TAM that is expanding at 59+% CAGR over the next few years, we expect Lumenpulse to grow at a similar clip, if not better as it gains more mind share with customers. With multiple levers to increase margins, as Lumenpulse gains manufacturing efficiencies and realizes lower input costs, we forecast gross margins to increase from 42% in the just concluded F2014 to closer to 50% over the next few years. Under these assumptions we can see adjusted EBITDA margin of ~17-18%.

Valuation & Recommendation

Lumenpulse completed its IPO on April 15 2014, offering 7,187,500 common shares at C$16.00 per share for IPO net proceeds of $104 million recorded in F4Q14. As a young company, Lumenpulse’s still modest level of profitability results in a relatively high P/E ratio which would imply some valuation risk. However, you would be hard pressed to find another company in an industry that is at an inflection point and a TAM growing at a 59+% CAGR over the next few years. With strong IP, and more manufacturing efficiencies as they gain scale, we expect profitability to quickly expand with adjusted EBITDA margin accelerating to the target model of ~17-18% over the next few years. Our $25.00 target price is based on a 25x F2017E/C2016E adjusted EPS.



While management has made it clear that M&A in Europe would be the fastest way to build out its footprint, we do not factor in M&A in our forecasts. As an example, if we were to infer a $75 million transaction at these assumed metrics (@2.5x Rev, onboard at 10% EBITDA margin), we calculate an additional $3 million EBITDA and $0.10 EPS (potentially worth $2.00/share of equity value). Lumenpulse currently trades at 44.7x C2015E EPS and 27.5x C2015E adjusted EBITDA versus its lighting peers at 18.1x C2015E EPS and 8.6x C2015E EBITDA.

Exhibit 22: Comparable Companies

Lumenpulse Ticker Price Mkt. Cap. EV/Sales EV/EBITDA P/E Growth (2013A-15E)

Symbol 24-Jun-14 (US$ mlns) C13A C14E C15E C13A C14E C15E C13A C14E C15E Rev. EPS

Koninklijke Philips N.V PHIA EUR $30.88 $28,582 1.0 1.0 0.9 7.7 7.3 6.4 17.8 14.6 12.6 2% 19%

Cree, Inc. CREE USD $48.59 $6,010 3.1 2.6 2.2 15.8 12.1 10.1 n.m. 27.7 22.6 18% 49%

ROHM Co., Ltd. TSE:6963 JPY $57.59 $6,209 1.1 1.0 1.0 6.0 5.5 4.7 n.m. 27.2 23.6 4% n.m.

Sanan Optoelectronics Co., Ltd. SHSE:600703 CNY $3.64 $5,526 9.3 6.2 4.7 21.7 15.8 11.6 31.5 24.8 18.4 41% 31%

Acuity Brands, Inc. AYI USD $134.66 $5,804 2.6 2.4 2.2 18.5 16.1 13.7 n.m. n.m. 24.7 9% 27%

OSRAM Licht AG OSR EUR $46.44 $4,865 0.6 0.6 0.6 7.5 4.8 4.3 n.m. 14.6 12.2 0% n.m.

Seoul Semiconductor Co., Ltd. KOSDAQ:A046890 KRW $38.24 $2,230 2.3 2.1 1.8 12.8 12.1 10.1 n.m. n.m. 21.6 14% n.m.

EPISTAR corporation TSEC:2448 TWD $2.37 $2,200 3.1 2.4 2.2 14.5 9.3 7.8 n.m. n.m. 19.0 20% n.m.

Everlight Electronics Co. Ltd. TSEC:2393 TWD $2.46 $1,211 1.5 1.2 1.1 9.4 8.3 8.2 21.5 16.5 15.0 14% 20%

Zumtobel AG WBAG:ZAG EUR $21.21 $915 0.7 0.7 0.6 9.4 7.9 6.2 33.2 22.8 13.2 3% 59%

Beacon Lighting Group Limited ASX:BLX AUD $0.96 $206 1.6 1.4 1.3 15.1 11.1 10.2 19.1 18.2 16.5 12% 7%

Revolution Lighting Technologies, Inc. RVLT USD $2.35 $191 8.3 n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m. n.m.

Dialight PLC LSE:DIA GBP $5.20 $170 2.1 1.8 1.6 16.2 12.9 9.8 n.m. 22.8 17.1 16% 48%

Group Average 2.9 2.0 1.7 12.9 10.3 8.6 24.6 21.0 18.1 13% 32%

Lumenpulse TSX:LMP CAD C$20.94 C$541 7.3 4.8 3.3 n.m. n.m. 27.5 n.m. n.m. 44.7 48% n.m.

Note: Estimates for LMP are from Raymond James Ltd., all other estimates are from Capital IQ

Source: Raymond James Ltd., Capital IQ



Appendix: Financial Statements

Lumenpulse Apr-13 Apr-14 Apr-15 Apr-16 Apr-17 Jul-14 Oct-14 Jan-15 Apr-15

Income Statement F2013 F2014 F2015E F2016E F2017E F1Q15E F2Q15E F3Q15E F4Q15E

Revenues (mln) 42.33 62.21 93.99 136.23 195.04 19.70 22.65 25.05 26.59

Q/Q 16% 15% 11% 6%

Y/Y 34% 47% 51% 45% 43% 54% 48% 46% 56%

Cost of Sales 26.99 36.36 51.42 71.71 99.17 10.88 12.52 13.63 14.38

Gross Profit 15.34 25.86 42.58 64.52 95.87 8.82 10.13 11.42 12.21

% Gross Margin 36% 42% 45% 47% 49% 45% 45% 46% 46%

Operating Expenses:

Sales and Marketing 15.16 17.74 21.62 27.25 35.59 5.12 5.44 5.51 5.55

Research and Development 2.40 3.13 5.17 7.49 9.75 1.12 1.25 1.33 1.47

General and Administrative 6.83 8.95 12.22 16.35 19.50 2.95 3.06 3.26 2.95

Acquisition and Related Costs & Other Expenses 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

24.39 29.82 39.01 51.09 64.85 9.20 9.74 10.09 9.97

EBIT: Operating Income (Loss) (9.05) (3.96) 3.57 13.43 31.02 (0.38) 0.39 1.32 2.24

FX Gain (Loss) 0.00 0.00 0.00 0.00 0.00

Interest and Financing Costs (6.59) (44.48) 0.20 0.20 0.00 0.00 0.00 0.00 0.20

Other Income (Expenses) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

EBT: Income (Loss) Before Income Taxes (15.64) (48.44) 3.77 13.63 31.02 (0.38) 0.39 1.32 2.44

Income Taxes (Recovery) - Current and Deferred 2.45 0.74 1.20 2.04 6.20 0.30 0.30 0.30 0.30

Net Income (Loss) (18.10) (49.18) 2.57 11.59 24.81 (0.68) 0.09 1.02 2.14

Adjusted Net Income (Loss) (9.39) (4.50) 2.97 12.09 25.31 (0.58) 0.19 1.12 2.24

EPS (1.57) (4.17) 0.10 0.45 0.96 (0.03) 0.00 0.04 0.08

Reported EPS (0.81) (0.38)

Adjusted EPS (0.81) (0.38) 0.11 0.47 0.98 (0.02) 0.01 0.04 0.09

Basic shares 11.56 11.80 23.09 23.09 23.09 23.09 23.09 23.09 23.09

Diluted shares 11.56 11.80 25.83 25.83 25.83 25.83 25.83 25.83 25.83

Reconciliation

Net Income (Loss) (18.10) (49.18) 2.57 11.59 24.81 (0.68) 0.09 1.02 2.14


Income Taxes 2.45 0.74 1.20 2.04 6.20 0.30 0.30 0.30 0.30

Depreciation & Amortization 1.49 2.05 2.40 2.60 2.90 0.69 0.79 0.88 0.04

EBITDA (7.57) (1.91) 5.97 16.03 33.92 0.31 1.18 2.20 2.28

Offering Related Expenses 0.60

Non-Cash Share-Based Compensation 1.56 1.71 0.40 0.50 0.50 0.10 0.10 0.10 0.10

Adjusted EBITDA (6.01) 0.40 6.37 16.53 34.42 0.41 1.28 2.30 2.38

Depreciation & Amortization 1.49 2.05 2.40 2.60 2.90 0.69 0.79 0.88 0.04


Deemed Interest on Class A Preferred Shares and Net Change in

Fair Value of Related Financial Derivative Liability 5.04 42.37

Income Taxes 2.45 0.74 1.20 2.04 6.20 0.30 0.30 0.30 0.30

Deferred Tax Asset 2.11 0.00

Adjusted Net Income (Loss) (9.39) (4.50) 2.97 12.09 25.31 (0.58) 0.19 1.12 2.24

EBITDA Margin -18% -3% 6% 12% 17% 2% 5% 9% 9%

Adjusted EBITDA Margin -14% 1% 7% 12% 18% 2% 6% 9% 9%




Lumenpulse

Balance Sheet F2013 F2014 F2015E F2016E F2017E

ASSETS

Cash and Cash Equivalents 1.21 87.06 87.81 96.38 117.49

Accounts Receivable 8.97 13.49 25.75 35.46 48.09

Inventories 7.23 7.00 9.86 12.77 16.30

Prepaid Expenses and Deposits 0.32 0.69 0.69 0.69 0.69

Property, Plant and Equipment 4.09 4.02 4.44 5.25 6.64

Intangibles and Goodwill and Intellectual Property 4.94 5.13 5.13 5.13 5.13

Other Assets and Receivables and Shareholder Advance 0.75 0.45 0.45 0.45 0.45

Total Assets 27.50 117.84 134.13 156.13 194.79

LIABILITIES AND EQUITY

Debt (Overdraft, LoC, LT Debt and Finance Lease Obligations) 10.38 0.16 0.16 0.16 0.16

Accounts Payables + Accrued Liabilities 10.32 11.41 24.65 34.38 47.55

Income Taxes Payable 0.27 0.42 0.65 0.99 1.32

Deferred Tax Liability 0.11 0.01 0.02 0.03 0.04

Redeemable Shares and Financial Derivative Liabilities 31.83 0.00 0.00 0.00 0.00

Other Liabilities (Leasehold Inducements) 0.40 0.58 0.58 0.58 0.58

Total Liabilities 53.31 12.59 26.07 36.15 49.66

Total Equity -25.81 105.25 108.06 119.98 145.13

Total Liabilities and Equity 27.50 117.84 134.13 156.13 194.79

Lumenpulse

Cash Flow Summary F2013 F2014 F2015E F2016E F2017E

Net Income (18.10) (49.18) 2.57 11.59 24.81

+ Depreciation and Amortization 1.49 2.05 2.40 2.60 2.90

+ Finance Expense 0.18 (0.16) (0.16) (0.16) (0.16)

+ Unrealized FX Loss (Gain) 0.00 0.00 0.00 0.00 0.00

+ Income Taxes Expense 2.14 0.05 0.00 0.00 0.00

+ Share-Based Compensation 1.56 1.71 0.40 0.50 0.50

+/- Other 5.18 42.72 0.24 0.35 0.35

Operating Cash Flow (7.55) (2.82) 5.45 14.87 28.40

+ Change in W/C (2.33) (2.67) (1.88) (2.89) (3.00)

- Capex 1.64 1.91 2.82 3.41 4.29

Free Cash Flow (11.53) (7.40) 0.75 8.58 21.11

- Acquisitions (Sales) 1.22

- Common Dividends

+ Equity Raised 9.83 104.64 0.00 0.00 0.00

+ Debt Increase (Decr) 2.46 (10.64) 0.00 0.00 0.00

+ Prefs Increase

+/- Other (0.03) (0.74) 0.00 0.00 0.00

Change in Cash From Continued Operations (0.48) 85.85 0.75 8.58 21.11




Appendix: Management & Board of Directors

Management

François-Xavier Souvay

Founder,

Chairman,

President, CEO

Mr. Souvay is the founder, Chairman, President and CEO of Lumenpulse, overseeing the global vision,

corporate development and strategic planning. With over 20 years of experience in the lighting industry,

Mr. Souvay also has experience with large commercial real estate projects in Montreal, a specification-

grade outdoor lighting company where he established a network of agents and VARs in Canada and the

United States, and as a consultant for various lighting companies across North America. Mr. Souvay holds

numerous patents in his name and is a well-known thought leader in the LED lighting industry. In 2011, he

was a Québec finalist for Ernst & Young’s “Entrepreneur of the Year”.

Robert Comeau EVP - CFO

Mr. Comeau is a CPA with over 30 years of experience with financial planning and reporting, treasury and

financing, M&A, restructuring and information systems. Previously CFO of Emergis Inc. and Aveos Fleet

Performance Inc. and Matra, he was also VP of Finance at Nortel Networks. In addition, Mr. Comeau

served as CEO of Media5 Corporation.

Nicolas Vanasse

EVP - Chief

Legal Officer

and Corporate

Secretary

Mr. Vanasse has over 14 years of business experience in law, analyzing, structuring, negotiating and

closing sophisticated commercial and corporate transactions. Previously, Mr. Vanasse was VP Chief Legal

Officer and Corporate Secretary for Enerkem Inc. and for Aveos Fleet Performance Inc., and practised law

in the Business Law Group of Stikeman Elliott LLP, where he dealt with financing and M&A transactions for

large national and multi-national corporations. Mr. Vanasse holds a Bachelor’s degree in civil law from the

University of Ottawa and he also studied political science and industrial relations at Laval University. In

2010, he won the Tomorrow’s Leader Award at the Québec General Counsel Awards.

Greg Campbell SVP - CTO

Mr. Campbell oversees technology innovation, IP portfolio management and collaboration with the

Company’s product development team. Previously, Mr. Campbell helped manage the product

development roadmap and innovation strategy in his role as Electrical Engineering Manager at Philips

Color Kinetics. He also served as an embedded systems engineer at BNS. Mr. Campbell is the author of a

number of SSL patents and holds a Bachelor’s of Science in Electrical Engineering from Virginia Polytechnic

Institute and State University.

Jean Clermont

SVP -

Manufacturing

Operations

Mr. Clermont oversees manufacturing, logistics and the Company’s supply chain. With over 28 years of

experience in leading supply chain operations he has expertise in negotiations, demand planning, sales

and operations, logistics, project management, process enhancement and systems integration. Previously,

he was VP of Supply Chain Management at Aveos Fleet Performance Inc. and Director of Global Optical

Supply Chain Operations at Nortel Networks. Mr. Clermont holds a MBA from the Université de

Sherbrooke as well as a certificate in Operations Management from HEC Montreal.

Yvan HamelSVP - Product

Development

Mr. Hamel oversees the management of the product development program, product design, mechanical

and optical engineering with a view of testing and improving the full Lumenpulse line of products. Mr.

Hamel has over 25 years of experience in design and product development in the lighting industry.

Previously, he was Operations Manager at Lumec-Schreder and Senior Project Manager in Product

Development at Lumec.

Julie Lamontagne SVP - HR

Ms. Lamontagne is responsible for talent management, talent acquisition, performance management,

human resources policies and governance, and global executive compensation. She brings over 15 years of

experience in HR from Bell Canada, Brookfield Lepage Johnson Controls, Ceridian Canada and SIBN (a

subsidiary of National Bank). Ms. Lamontagne holds a Bachelor’s degree in Industrial Relations from the

University of Montreal and a CRHA professional designation with l’Ordre des conseillers en ressources

humaines agréés.

Jesse LilleySVP -

Marketing

Mr. Lilley leads Lumenpulse’s advertising, communications, branding, events and training activities.

Previously Mr. Lilley founded Marketburo, a consultancy firm specialized in promoting clients within the

lighting, architecture and design sectors, and held a senior marketing role at Martin Professional. He has

contributed to industry magazines and journals such as Professional Lighting Design, Lighting (UK) and

Lighting and Sound International. He has also spoken at industry events, including the Professional

Lighting Design Convention (PLDC). He holds a Master’s degree from Cambridge University.

Philip O'DonnellSVP - Sales

International

Mr. O’Donnell brings over 35 years of senior-level sales and leadership experience, and he has worked

extensively throughout the Asia Pacific region for Color Kinetics as VP of Sales (acquired by Philips) and

continued in a global role at Philips. Formerly, Mr. O’Donnell was CEO of Strand Lighting. He holds a BFA in

Technical Design from New York University and he attended Graduate School at Yale University.



Philippe RacineSVP - Sales

Operations

Mr. Racine is responsible for all global inside sales and application engineering. With nearly 20 years of

experience in the lighting industry, Mr. Racine brings knowledge and leadership in the fields of

specification and manufacturing. He is actively involved in product and business development, as well as

the continued expansion and performance of the inside sales channel and team.

Brandon M. SiemionSVP - Sales

Americas

Mr. Siemion is responsible for business development, developing the Lumenpulse brand and expanding

the Company’s footprint in the Americas. Mr. Siemion brings over 20 years of experience to the role, with

11 years in senior level positions at Philips Color Kinetics, as Director of Business Development, and also

as Director of Sales.

Yvon Roy VP - IR

Mr. Roy is a CPA with 14 years of financial control, responsible for the financial administration at

Lumenpulse. Previously, he served as VP of Finance at ProDrive Systems, Corporate Controller at Actional

Corporation (now Progress Software), senior positions at KPMG LLP in the corporate tax department, and

financial advisory services at PricewaterhouseCoopers LLP. Mr. Roy holds a Bachelor’s of Commerce in

Business Administration from the Université du Québec à Montreal (UQAM), and a Graduate Diploma in

accounting from HEC Montreal.

Directors

François-Xavier Souvay

Founder,

Chairman,

President, CEO

Mr. Souvay is the founder, Chairman, President and CEO of Lumenpulse, overseeing the global vision,

corporate development and strategic planning. With over 20 years of experience in the lighting industry,

Mr. Souvay also has experience with large commercial real estate projects in Montreal, a specification-

grade outdoor lighting company where he established a network of agents and VARs in Canada and the

United States, and as a consultant for various lighting companies across North America. Mr. Souvay holds

numerous patents in his name and is a well-known thought leader in the LED lighting industry. In 2011, he

was a Québec finalist for Ernst & Young’s “Entrepreneur of the Year”.

Pierre Larochelle Lead Director

Mr. Larochelle is President and CEO of Power Energy Corporation, a subsidiary of Power Corporation of

Canada. Previously he was President and CEO at Adaltis Inc., VP Business Development at Picchio Pharma

Inc. and VP M&A for Credit Suisse First Boston in London, England. Mr. Larochelle started his career as a

lawyer at Ogilvy Renault. Mr. Larochelle holds a law degree from Université de Montreal, a master’s

degree in international business law from McGill University and an MBA degree from INSEAD in

Fontainebleau, France. He sits on the boards of directors of Sagard Capital, Sagard SAS, Bellus Health,

Power Energy Corporation, Potentia Solar Inc. and Eagle Creek Renewable Energy, LLC.

Nicolas Bélanger Director

Mr. Bélanger co-founded and manages Groupe W Inc., a privately held growth and buyout investment

fund. He has led over 30 investments and is an active board member for several of these investments. He

co-founded DTI Software, as President DTI became a leader in the in-flight entertainment industry. In

2007, Ernst & Young named him “Entrepreneur of the Year”. Mr. Bélanger is also a founder and board

member of the not-for-profit organization La Fondation Noel Printemps.

François Côté Director

Mr. Côté is EVP of TELUS Corporation and Vice Chair of TELUS Québec, TELUS Health and TELUS Ventures.

Mr. Côté was formerly President and CEO at Emergis Inc. and also held several other senior positions at

TELUS. Previously he was also at Bell Canada for 17 years and spent two years working in the health sector.

Mr. Côté holds a Bachelor’s degree in Industrial Relations from Laval University. In 2007, Ernst & Young

named him “Entrepreneur of the Year” in the category of Turnaround Entrepreneur for Québec. In 2013,

the Canadian Forces named him Honorary Lieutenant-Colonel of the 34th Signal Regiment. Mr. Côté serves

on the board of the Montreal Heart Institute. He is a member of the Board of Governors for the Tolerance

Foundation and President of the Board for FitSpirit. He is also Vice Chair of the TELUS Fund, an

independent organization established to finance the creation of health and wellness content.

Pierre Fitzgibbon Director

Mr. Fitzgibbon is President and CEO of Atrium Innovations. Previously as the Vice Chairman and also

Senior VP, Finance, Technology and Corporate Affairs at National Bank Group, he brings a range of

expertise including corporate direction and finance, M&A and strategic planning in various industries. Mr.

Fitzgibbon also held senior positions at Telesystem International Group, New World Mobility, Domtar,

Peerless Carpet Corporation, and PricewaterhouseCoopers LLP. A member of the Ordre des comptables

professionnels agréés du Québec, Mr. Fitzgibbon holds a bachelor’s degree in business administration

from the École des hautes études commerciales of Montreal (affiliated with Université de Montreal) (HEC

Montreal) and a certificate in general management from Harvard Business School.

Michel Ringuet Director

Mr. Ringuet is CEO of The Master Group L.P. He previously held positions as VP Finance and CFO of Master

Group. Previously, Mr. Ringuet worked in corporate finance and venture-capital investment services at

National Bank of Canada. He is a member of the Investment Committees of Cycle Capital Fund I, a clean

technology venture capital fund management, and XPND Capital, a growth capital fund located in

Montreal focusing on media, entertainment and technology companies. He holds a Bachelor’s Degree in

Administration from Université Laval and an MBA from McGill University. Mr. Ringuet is President of the

Board of Directors of Fondation Tel-Jeunes, a non-profit organization dedicated to supporting young

people in Québec.

Alexandre Taillefer Director

Mr. Taillefer is the Managing Partner at XPND Capital. He is the co-founder and former CEO of Stingray

Digital, a media company based in Montreal that owns and operates Galaxie, The Karaoke Channel, and

Stingray360 (formerly Chum Satellite Services). An entrepreneur in the software and media industry, he is

the founder of Nurun (sold to Québecor) and Hexacto (sold to EA Mobile).




Appendix: Share Ownership & Insider Holdings

Insider Holders Position with the Company Shares % of O/S Options DSU

François-Xavier Souvay Founder, Chairman, President,

and CEO

5,484,803 23.75%

Nicolas Bélanger Director 4,127,957 17.88% 2,336

Philippe Racine SVP Sales Operations 927,112 4.00% 35,714

Alexandre Taillefer Director 586,520 2.53% 1,168

Yvan Hamel SVP Product Development 445,797 1.92% 35,714

Michel Ringuet (Placements Mica 3 Inc) Director 225,031 0.97% 2,336

Brandon Siemion SVP Sales Americas 23,927 0.10% 562,893

Greg Campbell SVP CTO 22,503 0.10% 170,574

Pierre Larochelle Lead Director 20,469 0.09% 2,765

François Côté Director 14,668 0.06% 2,587

Pierre Fitzgibbon Director 8,813 0.04% 1,293

Robert Comeau EVP CFO 6,250 0.03% 392,857

Jean Clermont SVP Manufacturing Operations 625 0.00% 41,667

Nicolas Vanasse EVP Chief Legal Officer &

Corporate Secretary

107,143

Philip Alexander O'Donnell SVP Sales International 47,619

Yvon Roy VP Investor Relations 35,714

Julie Lamontagne SVP Human Resources 26,398

Jesse Nicholas Lilley SVP Marketing 26,398

11,894,475 51.47% 1,482,691 12,485 Source: Ink Research

Top Holders % of O/S

QV Investors 4.60%

Pyramis Global Advisors (Canada) ULC 3.39%

Fidelity Management & Research Company 2.01%

Connor Clark & Lunn Investment Management 0.94%

CI Global Holdings 0.43%

Fiera Capital Corporation 0.45%

CIBC Asset Management 0.41%

Aston Hill Asset Management 0.22%

Matco Financial 0.17%

Standard Life Investments 0.12%

Schroder Investment Management 0.09%

1832 Asset Management 0.06%

RBC Global Asset Management 0.01%

Guardian Capital 0.01%

Brickburn Asset Management 0.00%

Wellington Management Company 0.00%

12.91%

100,000

19,783

Shares

1,064,725

785,000

465,000

217,900

2,987,952

99,464

95,480

50,000

40,000

28,900

13,400

3,400

3,200

1,000

700

Note: Holding list may not be complete due to timing of disclosures and time of publishing. Source: BD Vision



Appendix: Definitions

Application specific integrated circuit (ASIC) – An integrated circuit (microchip) used for a specific application rather than a wide range of applications. Efficacy –The light output of a light source divided by the total electrical power input to that source, expressed in lumens per watt (lm/W). Flux / Luminous Flux – Luminous flux is the measure of the perceived power of light, adjusted to reflect the varying sensitivity of the human eye to different wavelengths of light. IP – Intellectual Property. Light Emitting Diode (LED) – A Light Emitting Diode (LED) is a solid-state semiconductor device that converts electrical energy directly into light. On its most basic level, the semiconductor is comprised of two regions. The p-region contains positive electrical charges while the n-region contains negative electrical charges. When voltage is applied and current begins to flow, the electrons move across the n region into the p region. The process of an electron moving through the p-n junction releases energy. The dispersion of this energy produces photons with visible wavelengths. LED array or module – The light source, made up of LED chips mounted on printed circuit boards (PCBs), to be integrated on the LED lighting product. LED binning – The systematic categorization of LED chips into small finite groupings (bins) based on the specific colour of light emitted. During production, LEDs will vary in colour, flux, and forward voltage even within the same batch. Binning is essential for most LED applications as some industry and regional standards require a specific colour to be emitted (like in traffic lights in Europe); as a consequence, any replacement LEDs must come from the same bin. LED chip – The light producing semiconductor device. LED driver – An electronic circuit that converts input power into a consistent current source, protecting the LED from fluctuations in voltage. LED fixture (luminaire) – A complete lighting unit consisting of LED-based light emitting elements and a matched driver together with parts to distribute light, to position and protect the light emitting elements, and to connect the unit to a branch circuit. The LED-based, light-emitting elements may take the form of LED packages (components), LED arrays (modules), LED Light Engine, or LED lamps. The LED fixture is intended to connect directly to a branch circuit.

Source: Lumenpulse Inc., Raymond James Ltd. LED light engine – An assembly of one or more LED modules with an LED driver. LED package – An assembly of one or more LED chips that includes wire bonds or other type of electrical connections, possibly with an optical element and thermal, mechanical, and electrical interfaces. Light source – Also referred to as a lamp or bulb. Lumen (lm) – The international (SI) unit of luminous flux or quantity of light and equals the amount of light that is spread over a square foot of surface by one candle power when all parts of the surface are exactly one foot from the light source. For example, a dinner candle provides about 12 lumens. Lumen maintenance – The luminous flux at a given time in the life of the LED, expressed as a percentage of the initial luminous flux. Ex. “120,000 hours at L70” indicates the LED will emit 70% of its maximum lumens for 120,000 hours. Solid-state lighting – A description of the devices that do not contain moving parts or parts that can break, rupture, shatter, leak or contaminate the environment.



Company Citations

Company Name Ticker Exchange Currency Closing Price RJ Rating RJ Entity

A-Power Energy Generation Systems, Ltd. APWR NASDAQ NC Acuity Brands AYI NYSE NC Atrium Innovations Inc. ATB.T TSX NC BCE Inc. BCE NYSE NC Bellus Health BLU TSX NC Credit Suisse Group CS NYSE NC Cree, Inc. CREE NASDAQ US$ 47.79 4 RJ & Associates Dialight DIA LSE NC Domtar UFS NYSE US$ 43.98 2 RJ LTD. Eaton Corp. ETN NYSE NC Electronic Arts Inc. EA NASDAQ NC General Electric Company GE NYSE NC Hubbell Inc. HUB.B NC Koninklijke Philips Electronics NV PHG NC National Bank NA.T TSX NC PROGRESS SOFTWARE CORP PRGS NASDAQ NC Quebecor QBR.A TSX NC Revolution Lighting RVLT NASDAQ NC

TELUS Corp. T.T TSX NC

Notes: Prices are as of the most recent close on the indicated exchange and may not be in US$. See Disclosure section for rating definitions. Stocks that do not trade on a U.S. national exchange may not be registered for sale in all U.S. states. NC=not covered.



IMPORTANT INVESTOR DISCLOSURES Raymond James & Associates (RJA) is a FINRA member firm and is responsible for the preparation and distribution of research created in the United States. Raymond James & Associates is located at The Raymond James Financial Center, 880 Carillon Parkway, St. Petersburg, FL 33716, (727) 567-1000. Non-U.S. affiliates, which are not FINRA member firms, include the following entities which are responsible for the creation and distribution of research in their respective areas; In Canada, Raymond James Ltd., Suite 2100, 925 West Georgia Street, Vancouver, BC V6C 3L2, (604) 659-8200; In Latin America, Raymond James Latin America, Ruta 8, km 17, 500, 91600 Montevideo, Uruguay, 00598 2 518 2033; In Europe, Raymond James Euro Equities, SAS, 40, rue La Boetie, 75008, Paris, France, +33 1 45 61 64 90.

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ANALYST INFORMATION

Analyst Compensation: Equity research analysts and associates at Raymond James are compensated on a salary and bonus system. Several factors enter into the compensation determination for an analyst, including i) research quality and overall productivity, including success in rating stocks on an absolute basis and relative to the local exchange composite Index and/or a sector index, ii) recognition from institutional investors, iii) support effectiveness to the institutional and retail sales forces and traders, iv) commissions generated in stocks under coverage that are attributable to the analyst’s efforts, v) net revenues of the overall Equity Capital Markets Group, and vi) compensation levels for analysts at competing investment dealers.

Analyst Stock Holdings: Effective September 2002, Raymond James equity research analysts and associates or members of their households are forbidden from investing in securities of companies covered by them. Analysts and associates are permitted to hold long positions in the securities of companies they cover which were in place prior to September 2002 but are only permitted to sell those positions five days after the rating has been lowered to Underperform.

The views expressed in this report accurately reflect the personal views of the analyst(s) covering the subject securities. No part of said person's compensation was, is, or will be directly or indirectly related to the specific recommendations or views contained in this research report. In addition, said analyst has not received compensation from any subject company in the last 12 months.

RATINGS AND DEFINITIONS

Raymond James Ltd. (Canada) definitions: Strong Buy (SB1) The stock is expected to appreciate and produce a total return of at least 15% and outperform the S&P/TSX Composite Index over the next six months. Outperform (MO2) The stock is expected to appreciate and outperform the S&P/TSX Composite Index over the next twelve months. Market Perform (MP3) The stock is expected to perform generally in line with the S&P/TSX Composite Index over the next twelve months and is potentially a source of funds for more highly



rated securities. Underperform (MU4) The stock is expected to underperform the S&P/TSX Composite Index or its sector over the next six to twelve months and should be sold.

Raymond James & Associates (U.S.) definitions: Strong Buy (SB1) Expected to appreciate, produce a total return of at least 15%, and outperform the S&P 500 over the next six to 12 months. For higher yielding and more conservative equities, such as REITs and certain MLPs, a total return of at least 15% is expected to be realized over the next 12 months. Outperform (MO2) Expected to appreciate and outperform the S&P 500 over the next 12-18 months. For higher yielding and more conservative equities, such as REITs and certain MLPs, an Outperform rating is used for securities where we are comfortable with the relative safety of the dividend and expect a total return modestly exceeding the dividend yield over the next 12-18 months. Market Perform (MP3) Expected to perform generally in line with the S&P 500 over the next 12 months. Underperform (MU4) Expected to underperform the S&P 500 or its sector over the next six to 12 months and should be sold. Suspended (S) The rating and price target have been suspended temporarily. This action may be due to market events that made coverage impracticable, or to comply with applicable regulations or firm policies in certain circumstances, including when Raymond James may be providing investment banking services to the company. The previous rating and price target are no longer in effect for this security and should not be relied upon.

Raymond James Latin American rating definitions: Strong Buy (SB1) Expected to appreciate and produce a total return of at least 25.0% over the next twelve months. Outperform (MO2) Expected to appreciate and produce a total return of between 15.0% and 25.0% over the next twelve months. Market Perform (MP3) Expected to perform in line with the underlying country index. Underperform (MU4) Expected to underperform the underlying country index. Suspended (S) The rating and price target have been suspended temporarily. This action may be due to market events that made coverage impracticable, or to comply with applicable regulations or firm policies in certain circumstances, including when Raymond James may be providing investment banking services to the company. The previous rating and price target are no longer in effect for this security and should not be relied upon.

Raymond James Euro Equities, SAS rating definitions: Strong Buy (1) Expected to appreciate, produce a total return of at least 15%, and outperform the Stoxx 600 over the next 6 to 12 months. Outperform (2) Expected to appreciate and outperform the Stoxx 600 over the next 12 months. Market Perform (3) Expected to perform generally in line with the Stoxx 600 over the next 12 months. Underperform (4) Expected to underperform the Stoxx 600 or its sector over the next 6 to 12 months. Suspended (S) The rating and target price have been suspended temporarily. This action may be due to market events that made coverage impracticable, or to comply with applicable regulations or firm policies in certain circumstances, including when Raymond James may be providing investment banking services to the company. The previous rating and target price are no longer in effect for this security and should not be relied upon.

In transacting in any security, investors should be aware that other securities in the Raymond James research coverage universe might carry a higher or lower rating. Investors should feel free to contact their Financial Advisor to discuss the merits of other available investments.

Suitability Categories (SR): Total Return (TR) Lower risk equities possessing dividend yields above that of the S&P 500 and greater stability of principal. Growth (G) Low to average risk equities with sound financials, more consistent earnings growth, at least a small dividend, and the potential for long-term price appreciation. Aggressive Growth (AG) Medium or higher risk equities of companies in fast growing and competitive industries, with less predictable earnings and acceptable, but possibly more leveraged balance sheets. High Risk (HR) Companies with less predictable earnings (or losses), rapidly changing market dynamics, financial and competitive issues, higher price volatility (beta), and risk of principal. Venture Risk (VR) Companies with a short or unprofitable operating history, limited or less predictable revenues, very high risk associated with success, and a substantial risk of principal.

RATING DISTRIBUTIONS

Coverage Universe Rating Distribution Investment Banking Distribution

RJL RJA RJ LatAm RJEE RJL RJA RJ LatAm RJEE

Strong Buy and Outperform (Buy) 69% 55% 50% 46% 36% 22% 0% 0%

Market Perform (Hold) 28% 40% 50% 38% 20% 9% 0% 0%

Underperform (Sell) 3% 5% 0% 16% 40% 0% 0% 0%

RAYMOND JAMES RELATIONSHIP DISCLOSURES

Raymond James Ltd. or its affiliates expects to receive or intends to seek compensation for investment banking services from all companies under research coverage within the next three months.

Company Name Disclosure

Lumenpulse Inc. Raymond James Ltd - the analyst and/or associate has viewed the material operations of Lumenpulse Inc.

Raymond James Ltd. has managed or co-managed a public offering of securities within the last 12 months with respect to Lumenpulse Inc.

Raymond James Ltd. has provided investment banking services within the last 12 months with respect



Company Name Disclosure

to Lumenpulse Inc.

Raymond James Ltd. has received compensation for investment banking services within the last 12 months with respect to Lumenpulse Inc.

STOCK CHARTS, TARGET PRICES, AND VALUATION METHODOLOGIES

Valuation Methodology: The Raymond James methodology for assigning ratings and target prices includes a number of qualitative and quantitative factors including an assessment of industry size, structure, business trends and overall attractiveness; management effectiveness; competition; visibility; financial condition, and expected total return, among other factors. These factors are subject to change depending on overall economic conditions or industry- or company-specific occurrences.

Target Prices: The information below indicates our target price and rating changes for LMP stock over the past three years.

RISK FACTORS

General Risk Factors: Following are some general risk factors that pertain to the projected target prices included on Raymond James research: (1) Industry fundamentals with respect to customer demand or product / service pricing could change and adversely impact expected revenues and earnings; (2) Issues relating to major competitors or market shares or new product expectations could change investor attitudes toward the sector or this stock; (3) Unforeseen developments with respect to the management, financial condition or accounting policies or practices could alter the prospective valuation.

Technology & Communications - IT Hardware Companies in the Communication Technology sector face intense global competition, component supply issues, rapid technological change, patent infringement litigation, labour strife and macroeconomic pressures effecting demand.

Risks - Lumenpulse Inc. New technology risk: The lighting industry is continuously developing new products with greater functionality and performance; this may result in pricing pressure on existing products. Lighting technology also continues to improve rapidly. Should Lumenpulse fail to respond quickly, its competitive advantage could diminish over time. Macroeconomic risk: Lighting demand is reliant on the construction of new buildings and the renovation of existing buildings. Global macroeconomic health can have a significant effect, either positively or negatively, on Lumenpulse. Rapid growth risk: Lumenpulse grew at 46% CAGR from F2011 to F2014, and is forecast to maintain this rate of growth in the near to mid-term. To achieve this, Lumenpulse must continue to effectively scale its personnel, systems, and production at a similarly high rate. Any short-term hiccup in quarterly results could result in a selloff of the shares.



Highly competitive industry: Many of Lumenpulse’s competitors are larger and have a longer history supplying the lighting industry. Volatility and liquidity risk: Lumenpulse has a market capitalization around $500 million and an average volume of 112,000 shares per day (~0.5% of shares outstanding). As a result, the market price may be volatile. We expect this risk to decline as earnings potentially turn positive and its book equity and subsequent valuation increase. Geographic expansion – barriers to entry risk: Lumenpulse is planning to build out its European presence and eventually its Asia Pacific presence. There is a significant barrier to entry with establishing relationships with project specifiers. While we believe Lumenpulse should gradually gain traction in these new markets by expanding its footprint through potential M&A transactions and a general increase in its brand awareness, an inability to penetrate these markets would dent Lumenpulse’s growth opportunities. Valuation: Lumenpulse is still in its early stages as a company with a modest level of profitability which results in a relatively high P/E ratio. This implies some valuation risk.

Additional Risk and Disclosure information, as well as more information on the Raymond James rating system and suitability categories, is available for Raymond James at rjcapitalmarkets.com/Disclosures/index and for Raymond James Limited at www.raymondjames.ca/researchdisclosures.

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Raymond James Ltd. is not a U.S. broker-dealer and therefore is not governed by U.S. laws, rules or regulations applicable to U.S. broker-dealers. Consequently, the persons responsible for the content of this publication are not licensed in the U.S. as research analysts in accordance with applicable rules promulgated by the U.S. Self Regulatory Organizations.

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For clients of Raymond James & Associates (London Branch) and Raymond James Financial International Limited (RJFI): This document and any investment to which this document relates is intended for the sole use of the persons to whom it is addressed, being persons who are Eligible Counterparties or Professional Clients as described in the FCA rules or persons described in Articles 19(5) (Investment professionals) or 49(2) (High net worth companies, unincorporated associations etc) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended) or any other person to whom this promotion may lawfully be directed. It is not intended to be distributed or passed on, directly or indirectly, to any other class of persons and may not be relied upon by such persons and is therefore not intended for private individuals or those who would be classified as Retail Clients.

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RAYMOND JAMES LTD. CANADIAN INSTITUTIONAL EQUITY TEAM WWW.RAYMONDJAMES.CA EQUITY RESEARCH HEAD OF EQUITY RESEARCH

DARYL SWETLISHOFF, CFA 604.659.8246

CONSUMER

CONSUMER & RETAIL KENRIC TYGHE, MBA 416.777.7188 KRISZTINA KATAI (ASSOCIATE) 416.777.7060

ENERGY

OIL & GAS ENERGY SERVICES, HEAD OF ENERGY RESEARCH ANDREW BRADFORD, CFA 403.509.0503 TIM MONACHELLO (ASSOCIATE) 403.509.0562 MICHAEL BARTH (JR ASSOCIATE) 403.509.0511

OIL & GAS PRODUCERS KURT MOLNAR 403.221.0414 BRADEN PURKIS (SR ASSOCIATE) 403.509.0518 GORDON STEPPAN, CFA (ASSOCIATE) 403.221.0411

SR. OIL & GAS PRODUCERS | OIL SANDS CHRIS COX, CFA 403.509.0523 MATTHEW MURPHY (ASSOCIATE) 403.509.0534

INDUSTRIAL & TRANSPORTATION

INDUSTRIAL | TRANSPORTATION, HEAD OF INDUSTRIAL RESEARCH BEN CHERNIAVSKY 604.659.8244 THEONI PILARINOS, CFA 604.659.8234 GREG JACKSON (ASSOCIATE) 604.659.8262 EDWARD GUDEWILL (ASSOCIATE) 604.659.8280

INFRASTRUCTURE & CONSTRUCTION FREDERIC BASTIEN, CFA 604.659.8232 BRIAN HIKISCH (ASSOCIATE) 604.659.8470

TRANSPORTATION | AGRIBUSINESS & FOOD PRODUCTS STEVE HANSEN, CMA, CFA 604.659.8208 DANIEL CHEW (ASSOCIATE) 604.659.8238

MINING

BASE METALS & MINERALS | IRON ORE ADAM LOW, CFA 416.777.4943

BASE & PRECIOUS METALS ALEX TERENTIEW, MBA, P.GEO 416.777.4912 ROSS YAKOVLEV, CA, MBA (ASSOCIATE) 416.777.7144

PRECIOUS METALS PHIL RUSSO 416.777.7084 LUC TROIANI (ASSOCIATE) 416.777.7098

PRECIOUS METALS CHRIS THOMPSON, M.SC. (ENG), P.GEO 604.659.8439 BRIAN MARTIN, CFA (ASSOCIATE) 604.654.1236

URANIUM | JR EXPLORATION & DEVELOPMENT DAVID SADOWSKI 604.659.8255 MILTON-ANDRES BERNAL (ASSOCIATE) 604.659.8028

FOREST PRODUCTS

FOREST PRODUCTS DARYL SWETLISHOFF, CFA 604.659.8246 DAVID QUEZADA, CFA (ASSOCIATE ANALYST) 604.659.8257

REAL ESTATE

REAL ESTATE & REITS KEN AVALOS, MBA 727.567.1756 JOHANN RODRIGUES (ASSOCIATE) 416.777.7189

TECHNOLOGY & COMMUNICATIONS

TECHNOLOGY, ALTERNATIVE ENERGY & CLEAN TECH STEVEN LI, CFA 416.777.4918 JONATHAN LO (ASSOCIATE) 416.777.6414

EQUITY RESEARCH PUBLISHING SENIOR SUPERVISORY ANALYST

HEATHER HERRON 403.509.0509 HEAD OF PUBLISHING | SUPERVISORY ANALYST

CYNTHIA LUI 604.659.8210

TYLER BOS (SUPERVISORY ANALYST | EDITOR) 416.777.4948 INDER GILL (RESEARCH EDITOR) 604.659.8202 KATE MAJOR (RESEARCH PRINCIPAL | EDITOR) 416.777.7173 CHRISTINE MARTE (RESEARCH EDITOR) 604.659.8200 ASHLEY RAMSAY (SUPERVISORY ANALYST |EDITOR) 604.659.8226

INSTITUTIONAL EQUITY SALES HEAD OF SALES

MIKE WESTCOTT 416.777.4935 MICHELLE MARGUET (MARKETING COORDINATOR) 416.777.4951

TORONTO (CAN 1.888.601.6105 | USA 1.800.290.4847)

LAURA ARRELL (U.S. EQUITIES) 416.777.4920 SEAN BOYLE 416.777.4927 JEFF CARRUTHERS, CFA 416.777.4929 RICHARD EAKINS 416.777.4926 JONATHAN GREER 416.777.4930 DAVE MACLENNAN 416.777.4934 ROBERT MILLS, CFA 416.777.4945 DOUG OWEN 416.777.4925 BRADY PIMLOTT (ASSOCIATE) 416.777.4993 NICOLE SVEC-GRIFFIS, CFA (U.S. EQUITIES) 416.777.4942 NEIL WEBER 416.777.4931 ORNELLA BURNS (ASSISTANT) 416.777.4928 SATBIR CHATRATH (ASSISTANT) 416.777.4915

VANCOUVER (1.800.667.2899)

SCOT ATKINSON, CFA 604.659.8225 NICK POCRNIC 604.659.8230 TERRI MCEWAN (ASSISTANT) 604.659.8228

MONTREAL (514.350.4450 | 1.866.350.4455)

JOHN HART 514.350.4462 DAVID MAISLIN, CFA 514.350.4460 TANYA HATCHER (ASSISTANT) 514.350.4458

LONDON

JON DE VOS 0.207.426.5632 ADAM WOOD 0.207.426.5612

INSTITUTIONAL EQUITY TRADING

CO-HEAD OF TRADING BOB MCDONALD, CFA 604.659.8222 ANDREW FOOTE, CFA 416.777.4924

TORONTO (CANADA 1.888.601.6105 | USA 1.800.290.4847) PAM BANKS 416.777.4923 ANTHONY COX 416.777.4922 OLIVER HERBST 416.777.4947 ANDY HERRMANN 416.777.4937 ERIC MUNRO, CFA 416.777.4983 JAMES SHIELDS 416.777.4941 BOB STANDING 416.777.4921 PETER MASON (ASSISTANT) 416.777.7195

VANCOUVER (1.800.667.2899) NAV CHEEMA 604.659.8224 FRASER JEFFERSON 604.659.8218 DEREK ORAM 604.659.8223

MONTREAL (514.350.4450 | 1.866.350.4455) JOE CLEMENT 514.350.4470 PATRICK SANCHE 514.350.4465

INSTITUTIONAL EQUITY OFFICES

Calgary Suite 4250 525 8th Avenue SW Calgary, AB T2P 1G1 403.509.0500

Montreal Suite 3000 1800 McGill College Montreal, PQ H3A 3J6 514.350.4450 Toll Free: 1.866.350.4455

Vancouver Suite 2100 925 West Georgia Street Vancouver, BC V6C 3L2 604.659.8000 Toll Free: 1.800.667.2899

Toronto Suite 5400, Scotia Plaza 40 King Street West Toronto, ON M5H 3Y2 416.777.4900 Toll Free Canada: .888.601.6105 Toll Free USA: 1.800.290.4847

International Headquarters The Raymond James Financial Center 880 Carillon Parkway St.Petersburg, FL USA 33716 727.567.1000

canada research lumenpulse inc. - life well planned · canada research | page 2 of 41 ... lighting...

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