INVESTORS : BACKGROUND Regenerative medicine – the use of products to restore, maintain, or improve tissue function – is still a relatively new industry.  When Tepha was formed, relatively few major companies had programs in this field.  Recently, the situation has begun to change with some medical device and pharmaceutical companies committing substantial resources to this area.  Varied approaches are being taken, and they include the use of cell seeding, growth factors, genetic engineering, special biomaterials, and combinations thereof. The active field of regenerative medicine is likely to become more competitive over the coming years, and Tepha's products and technology is expected to gain increasing attention.  The main competitive factors in the marketplace include safety, efficacy, cost-effectiveness, quality, reliability, pricing, and speed of product development.  We firmly believe that Tepha will continue to compete favorably by using its technology to tailor properties of its biomaterials to intended applications. Tepha stands to benefit from a number of strategic advantages. These include: Its position as an agile, early-stage company with a relatively developed, late-stage technology. A scientific platform that allows biomaterials to be tailored to a wide range of products. A technology to produce absorbable, elastomeric biomaterials that creates novel products and opens up new market opportunities. Robust intellectual property, including control of a very broad patent portfolio. Proven demonstrations of the Company’s technology in regenerative medicine. Ability to leverage its technology in multiple products for multiple markets. Demonstrated opportunities for partnerships, joint ventures, and other alliances for specific products. A highly talented management team with a diverse range of relevant experiences. A board of directors comprised of professionals seasoned in the medical device industry. An advisory group that includes top-thought leaders in multiple medical and scientific fields. The current movement of many medical device companies away from animal-derived biomaterials and toward synthetic solutions. The situation where the market for devices employing absorbable biomaterials is set for substantial growth in the near future. For more information regarding investment in Tepha Inc. please contact us at investors@tepha.com. Tepha is a privately held company, managed and directed by a team with significant experience in biotechnology, finance, and medical devices.  Tepha's financial statements are audited annually by PriceWaterhouseCoopers, and the Company retains the legal services of Testa, Hurwitz, & Thibeault in Boston, Massachusetts.  Tepha's chief patent counsel is Ms. Patrea Pabst of Holland & Knight.  Regulatory advice is provided by M.D.C.I. Consultants.