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Managing Director's update - DataDot Technology

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Appendix A:<br />

Important Announcements to ASX<br />

(Australian Securities Exchange)<br />

• The formation of AgTechnix Pty Limited, with joint venture<br />

partner IPECO Pty Limited, to track and trace agricultural and<br />

horticultural seeds with both overt and covert authentication<br />

technologies.<br />

• Our partnership with Relegen Pty Limited, owner of a unique<br />

asset management software system called baseLINE, to create<br />

“assetDNA”, an asset management system that has already<br />

been accepted by Customs to track and trace their firearms<br />

in Australia.<br />

• Joint development through DataTrace DNA Pty Ltd with South<br />

African company Holomatrix in producing AuthentiCable, a<br />

patent pending cable protection solution combining metallic dots<br />

and DataTraceDNA ® in a linear asset management solution which,<br />

when combined with the baseLINE software from Relegen, is a<br />

powerful asset management system for utilities globally.<br />

• Successful commercialisation of the Verifi TT technology,<br />

incorporating DataTraceDNA ® , in a textile authentication project<br />

for Elders New Zealand and Primary Wool Co-operative.<br />

• AgTechnix Pty Ltd, entered into a commercial arrangement<br />

with GlaxoSmithKline Australia Pty Limited (GSK) to use<br />

IntelliSeed TM on a commercial quantity of poppy seed to be<br />

sown by GSK in the 2010 season.<br />

• Execution in July 2010 of a five year contract with a top three<br />

European pharmaceutical company, under which DataTraceDNA ®<br />

will be used to authenticate the entire production of one of its<br />

most successful drugs.<br />

• The announcement via our European subsidiary and Italian<br />

distributor that <strong>DataDot</strong> has entered into an agreement with<br />

Robert Bosch in Italy, increasing by 1,500 the number of service<br />

centres that will be equipped to fit <strong>DataDot</strong>s in our planned<br />

expansion of vehicle aftermarket sales in that country.<br />

• <strong>DataDot</strong> <strong>Technology</strong> Limited offered eligible shareholders the<br />

opportunity to participate in a Share Purchase Plan by<br />

subscribing for up to A$15,000 of <strong>DataDot</strong>’s ordinary shares<br />

without any brokerage costs or other transaction costs. Total<br />

capital raised under the Plan was $3 million, of which $2.098<br />

million was subscribed by shareholders and the balance of<br />

$902,000 funded under an underwriting agreement with KTM<br />

Capital Pty Limited.<br />

• <strong>DataDot</strong> <strong>Technology</strong> Limited placed 23,658,537 ordinary shares<br />

with Mr Collin Hwang, owner of <strong>DataDot</strong> <strong>Technology</strong> Taiwan<br />

Pte Limited (DDTw). DDTw has been the licensed distributor of<br />

<strong>DataDot</strong> <strong>Technology</strong> IP in Taiwan since 2002.<br />

• Further development funded by an Australian multi-national<br />

company of the DataTrace product authentication process<br />

announced in May, for which a patent application has been<br />

lodged in the US. There will be a commercial pilot from<br />

early 2011.<br />

10<br />

DATADOT YEAR IN REVIEW 2010

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