Subject: Roboteam Update
From: "Neil Callahan" <[email-masked]>
To: "William Lee" <[email-masked]>, "John DeLoche" <[email-masked]>, "Rob Walker" <[email-masked]>, "Hunter Biden" <[email-masked]>, "Eric Schwerin" <[email-masked]>, "Devon Archer" <[email-masked]>
Date: Mon, 20 Oct 2014 00:22:33 -0400

Hi guys,

Below are few links to news stories on recent market activity at Roboteam.

They are participating in the "Culvert Challenge" run by the Army Research
Lab and the Joint IED Defeat Organization (JIEDDO).  The field of vendors
went from 20 to 2 - Roboteam and QineitQ (who acquired a robot system from
Carnegie Mellon's Robotics Institute whom we have met with).  Both Roboteam
and QineitQ have beaten our iRobot and Lockhead Martin so far.  Roboteam
thinks the worst case is that the split two $49m contracts that are deemed
3-5 years, starting in November 2014.  So potentially a $2m increase to
2014 revenue for Roboteam.

We have also negotiated much better terms in the past 2 weeks:  We went
from a $35m pre money to a $25m pre money, a 1X liquidation preference to a
2X liquidation preference, and from a $10m investment to as little as $3m
up to $5m.  We still have an 8% cumulative dividend - so worst case we do a
1.5-2X on this investment based on terms, upside could be 3-20X.

Let's review and discuss on tomorrow's 2pm call.

http://www.unmannedsystemstechnology.com/2014/10/roboteam-to-launch-command-and-control-system-with-all-user-real-time-isr-feed-sharing/

http://www.defensenews.com/article/20141017/DEFREG02/310170025

Best,

Neil
-- 
Neil Callahan
Rosemont Seneca Partners
917-945-951