osi geospatial inc. ken kirkpatrick president & ceo tsx: osi otcbb: osiif

OSI Geospatial Inc.OSI Geospatial Inc.

Ken KirkpatrickPresident & CEO

TSX: OSIOTCBB: OSIIF

www.osigeospatial.com

http://www.osigeospatial.com/


FORWARD LOOKING STATEMENTS

Certain statements made in this presentation that are not based on historical information are forward-looking statements which are made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934 and Section 138.4(9) of the Ontario Securities Act. These forward-looking statements are subject to risks and uncertainties. Actual results may differ from these projections. The risks associated with the Company's business include risks related to its reliance on international government contracts; the number of large customer transactions and the related lengthy sales cycles in executing those opportunities; competitive bidding processes; uncertainties associated with contract negotiations; actions by government authorities; the effects of general economic and political conditions; changing foreign exchange rates; and challenges related to the company's ability to introduce, develop and implement new products and enhancements to existing products that respond to customer requirements in a changing, complex, technological market. A complete discussion of the company’s risk factors is presented in the company’s most recent annual reports, filed with the United States Securities and Exchange Commission (“SEC”) and the Canadian Securities Administrators (“CSA”), as well as other periodic reports filed with the SEC and the CSA. The Company does not undertake any obligation to update the forward-looking statements.

All amounts are in U.S. dollars


OSI Geospatial 2007 Highlights*

• Revenue of $17.1M ($14.1M in 2006)

• Signed contracts valued at $25M

• Awarded contracts valued $19M (sign by the end of the year)

• Backlog of $70M – fixed $45M – option $35M * 2006 ending backlog of $63M

• Established new Business Sector: $3.3 M to date

*As of August 31, 2007


VisionTo be a leading provider of geospatial products and

services that enable shared real-time situational awareness for military, security and safety markets.

“Our products enable our customers to integrate and visualize live data with any combination of imagery,

maps and charts.”


Our Markets

MILITARY: Land, Sea, & AirMarket Leader: Surface & Subsurface Navigation

Command, Control, Communications & Intelligence

Real Time Situational Awareness

Virtual Training: Land and Air


Our Markets

SECURITY & SAFETYCritical Infrastructure Protection

Port Security

Incidence Response Management

Real Time Collaboration


Naval Surface and Subsurface Navigation • Leader in emerging naval surface and subsurface navigation market

(WECDIS)– Fast, accurate displays of geospatial data for mission-critical operations– Systems improve efficiency, support mission completion and help prevent

collisions and loss

• ~ 20% of market has purchased– ~ 50% of those have chosen OSI Geospatial: Eight navies

• Initial deployment requires significant infrastructure and capital investment

– Creates competitive barriers to entry – Secures 15-20% annual repeat business based on initial procurement

• Leveraging our market and technology leadership position to enter adjacent markets

• Adjacent markets are substantially larger than the WECDIS market

• Our addressable markets have grown significantly over the last 18 months


Land & AirOSI has entered this market through our U.S. basedacquisition CHI Systems that was closed in Dec. 2005

Primary business focus on engineering consulting services for advancedresearch and development U.S. SSA board established to meet classified contract requirements andboard of directors in place to support development of U.S. business

Land• Command & Control technology has been under development for the U.S. Army for many

years

• Small unit situational awareness technology is now moving from R&D to operations and could lead to market leadership position

Air• Training simulation and cognitive agent technology has been under development for the

U.S. Air Force for many years

• Pilot communications training technology is now moving from R&D to operations and could lead to market leadership position


Mapping Market

Providing analysis, production and distribution of digital mapping data for

government and military applications

County & City Government • Progressing well with <$500k market (25 customers)• Plan to develop >$500k market in 2007

Federal Government• Starting to develop this market and experiencing some success with USFS and

USDA• Plan to develop this high margin market aggressively in 2007

Transition to Priority Markets • Leverage systems business units to access international military and security

mapping market


Security & Safety MarketUS: Homeland Security; Canada: Public Safety; UK: Home Office

AUS: Home Office – Critical Infrastructure Protection

Integrated Vulnerability Assessments (IVA)

Port Security SA Design technology solutions to address Port SA requirements

Leverage IVA and military capabilities to access market quickly

Port Security: Business Continuity Chemical and Hazmats

Transportation

Energy


Our Customers

Marine Land & Air

Air Force Research Laboratory Armaments Research Development & Engineering Center ARDEC Defense Advanced Research Projects Agency DARPA NAVSEA Warfare Centers U.S. Army Battle Labs U.S. Marine Corps U.S. Navy Space and Naval Warfare Center

Homeland Security

US Department of Homeland Security

Sabine Neches, Texas Port Authority

Australia

Canada

Denmark

New Zealand

Norway

Portugal

United Kingdom

United States


Our Customers

MappingUnited States Coast Guard

Canadian Hydrographic Services

United Kingdom Hydrographic Office

U.S. National Oceanic and Atmospheric

Administration

U.S. Forest Services

U.S. Department of Agriculture

All Levels of Government


Our Growth Strategy• Building on four fronts:

1. Diversifying technology

• Leverage market and technology leadership

Position into adjacent markets

2. Partnering with the best

• Use technology dominance to gain entry

into major programs

• Control Intellectual Property

3. Building on customer relationships

• Leverage strong existing customer base

4. Completing acquisitions

• Gain access to key markets: NATO & Allies

• Build critical mass

• Expand product and market focus


Our Financial Profile

$3.8 $5.1

$8.8 $8.1$10.4 $11.1

$24.1

$(2.7) $0.7$0.2$1.0 $0.3$0.3$0.2

$(5.0)

$-

$5.0

$10.0

$15.0

$20.0

$25.0

$30.0

2000 2001 2002 2003 2004 2005 2006

U.S

. Do

llars

(m

illio

ns

)

Revenue Profit

2007 • Revenue Forecast $26M• Ending Backlog Forecast $80M


Our Management Team

Kenneth Kirkpatrick

President and Chief Executive Officer

17+ years aerospace and defense market

experience; with OSI Geospatial for more

than five years, previously as COO

John Sentjens

Chief Financial Officer

25+ years of financial, consulting and operational

experience, primarily in the high-tech and

defense sectors; with OSI Geospatial for

more than four years

Wayne HoyleVice President and GM, International Operations 15+ in aerospace and defense market experience; with OSI Geospatial for more than twelve years

Wayne ZacharyVice President and GM, U.S. Operations 25+ years in aerospace and defense market experience; with OSI Geospatial for one year

Gary ManzerVice President and GM, Mapping Operations 25+ years in government mapping and services experience; with OSI Geospatial for more than five years


2007 Key Objectives

• Expect revenue between $28M to $32M• Current forecast is $26M• Two key contracts shifted to early 2008

• Secure significant U.S. Department of Defense and U.K. Ministry of Defence prime contracts

• Several projects under development and expect to show progress late ’07 or early ‘08

• Establish OSI as a creditable supplier in the Homeland Defense / National Security market

• Established new business unit based in Norfolk Virginia and secured $3.3M of US DHS business in first 6 months of operations

Positioned for Aggressive Growth in 2008


Thank you

TSX: OSI

OTCBB: OSIIF


osi geospatial inc. ken kirkpatrick president & ceo tsx: osi otcbb: osiif

Documents

security mapping market

wecdis market

technological market

market quick

air market leader

air slide

security safety market

markets military