ColoURoseS is developing a disruptive technology to engineer new color variants in roses in less than 2 years, compared to the typical 20+ years for traditional breeding. Their goal is to acquire 10% of the $450 million global cut rose flower market by offering a wider range of colors. Their competitive advantage is a technology using bacterial color genes, transcription factors, and SWITCH genes to reproducibly create any color combination in roses quickly. They will sell plants and license their technology to breeders and propagators, aiming for revenues of $45 million annually from rose sales alone.

1. ColoURoseS Business Decision Making –Business Plan Team: Andrew Nov.2010

3. Focus roses

4. Create disruptive technology to engineer new color variants

5. Breeding takes > 20 yrs, our technology <2 yrs

6. Current and future potential buyers of the company's product(s) or service(s).

7. US market is $3.83B (2009)

8. Cut flowers: $1B

9. World flower market is >$100B

10. Market is flat currently ( recession) but long term growth is estimated at 6% yearly

11. Mass market

12. Market exists of top-level specialty firms (new products), propagators and sale channels

13. Our goal: Specialty firm delivering new technology, new breedsCEO J. Doe, MBA CFO J. McCLoskey VP R&D R.E. Everts, PhD VP Sales & Marketing L. Zhao VP Operations T. Suseberry Board of Directors J. Doe, MBA (Chairman) N. Blue, CEO Florigene Pty (Suntory Ltd subsidiary) M.J.T. van Eijk, SVP Keygene D. Austin, David Austin Roses S. Korban, Profesor UIUC W. Parrott, Professor UGA

15. The floral industry has grown six percent annually, while the global trade volume in 2003 was US$101.84 billion. It consists of cutting flowers, pot plants, and bedding plants.

16. The worldwide cut flower market is estimated at $30B/annum

17. Roses

18. Cut Flower Market size is >$30B globally. The rose is rapidly gaining in market share, account for approx 15% of that market ($450M).

19. New entrants into the cut flower trade concentrate on the rose, its favourable value-to-weight ratio and high sales volumes being the main attractions (ITC, 1997).

20. We choose roses as our enter market, target is to acquire 10% of the market, 45million revenue/year.

23. We have IP for this new technology.

24. Can have access to growers, as well as wholesales, retailer and individual consumers.

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27. Market segments Breeders & Propagators

29. All other roses are artificial

30. Cut Flower Market size is >$30B globally

31. US market is $1B

32. Roses account for approx 15% of that market ($450M)

33. Rainbow roses ~10% of that market ($45M/annum)

34. 50% of roses get imported

35. Our technology has potential to enter any market segment and take up 5-10% share

38. Gene delivery is performed after routine subculture in Embryo Proliferation Medium

41. Reduces time to market from 20+ years to <5 years now and <2 years in the near future

42. DISRUPTIVE technology to current breeder schemes!How do we do it? -822 - +1 -651 - +41 WHITE PINK YELLOW PacC Nac-domain CAH1-domain BLUE RED GREEN Cre/lox Cre/lox pH regulated transcription factor O2 regulated transcription factor CO2 regulated transcription factor COLOUR genes

43. Time frame for results Rooting takes approx. 3 weeks Flower buds appear 12 weeks later Flowers fully developed 3 weeks later. From transfection to flowers <20 weeks! When transfecting, many calli created Thus many opportunities Can do multiple combinations simultaneously!

44. Time frame year 1 - 5 Year 1: create gene constructs for transfection; perform transfections Year 2: Propagate multiple “perfect” flowers to create many plants and observe flower color behavior. Can create new generation every 10 weeks Year 3-5: Sell stock to US growers Sell small plants (100,000/year) for $100.00/each Royalty payments ($0.01) for every stem sold to mass market (100M stems/year US) Royalty payments ($1.00) for each plant sold at nurseries/garden centers to consumers Gain access to other markets (Europe, Asia)

45. Requirements Needs: Cost 2 Scientists, 2 technicians $300,000* Laboratory space, 1,000 sf $500,000* Growth chambers (37°C) $ 100,000 Molecular biology equipment $ 200,000 Green house, 2,000 sf $1,000,000 Farmland, 2 acres $30,000 Total $2,130,000 *yearly recurring cost

46. Exit strategy II: *buyout by Florigene if successful Exit Strategy I: License our technology to others Use our technology to enter other flower segments (Chrysantemum, pansies)