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Welcome to InteliCoat Technologies

July 2010

It's hard to believe but we're approaching the mid point of 2010. Sales this quarter have exceeded the same quarter last year, and indications predict that the coming months will be better than last summer - a true sign that the economic downturn is behind us! Although a large amount of organizational change typically follows difficult economic periods, we here at InteliCoat have diligently worked to preserve customer value and ensure the long-term viability of our company.

Coming off the heels of a successful trip to Munich for Europe's largest sign and graphics show FESPA, we're extremely pleased with the positive reception for the many new products showcased at the show. In addition to highlighting STICK 2TM by Magic® and Magic POS PRO+ 400TM, we displayed our wide array of HP latex approved media and grand format offerings. Attendees also caught a sneak peak of the newest addition to the Magic product line - GFPHOTO 240.

We haven't just been traveling for tradeshows either. We've been working in tandem with our dealer partners to inform the printer community about new products via sales blitzes. So far this year, we've been all over the country making stops in Chicago, New York, Milwaukee, Los Angeles, Houston, Detroit, Indianapolis and Dallas, as well as worldwide with trips to Toronto and Düsseldorf Germany. Visit the onsite visit calendar section of our Magic Ink Jet website to view our upcoming travel plans or to schedule a visit.

On the Museo® front, we are gearing up for the busy fall season by doubling production of the most popular Museo grades and working with master resellers to stock adequate products for the summer and fall onslaught of orders. If you are a Museo customer, you can feel confident that products are readily available thanks in large part to our valued dealer partners, who have been actively working with us to increase inventory to better serve our customers.

From an organizational perspective, our employees were recently treated to a visit by a race car sponsored by R&L Trucking. Everyone got a chance to tour the two-story race car hauler, including its on-board maintenance shop where the pit crew gets the car ready to race. It's a great parallel to InteliCoat's own lean manufacturing practices in which efficiency is key. Not only have we achieved huge gains in productivity and eliminated millions of dollars in waste, but there has been an improvement in virtually every aspect of the company - on time performance has gone up, quality has gone up, the service level overall has gone up in all areas. Learn more about the event and see photos at www.magicinkjet.com/pages.php?name=lean_race_car_event.

As the year moves on, we look forward to continuing to deliver the highest-quality, highest-value products and services. We encourage your input and thoughts on a daily basis. Whether it be a phone conversation, a tweet on our InteliCoat, Magic, Magiclée® or Museo Twitter pages, or an instructional video on InteliCoat's YouTube channel, we strive to serve you, our valued customers, dealers and partners, with the utmost satisfaction.

Sincerely,

Joseph A. Lupone
President & CEO