PILOT Application

Who is LSI?

• LSI helps manufacturers make their products

faster, cheaper, and better, safer, and more

efficiently by automating their processes or

assembly lines by using modern industrial

electronics and computers

• LSI offers complete services to manufacturers

including engineering, design, fabrication,

programming, construction and installation

management, and commissioning services

Who is LSI?

We turn something like this: Into something like this:

Who is LSI?

• LSI is by far the largest control system

integrator within 200 miles of Memphis (you

have to travel to Nashville, St. Louis, or Dallas

to find comparable size and capability).

• LSI has the controls capability of a 1300

engineer engineering firm (most have ~10%

Controls engineers)

Who is LSI? Branch Locations

• Bartlett, TN (Headquarters)

• Jackson, TN

• Rossville, GA

• Golden, CO

• Decatur, AL

• Guangzhou, China ** helped build

Fedex hub

LSI is an established system integrator

founded in 1985 and now employs over

130 people located in 6 offices around the

U.S and in China.

LSI and Memphis and Midsouth

Expansions

LSI has played a critical role (we are the prime contractor for our scope of work)

in building plants or expanding capabilities in plants in Memphis since 2008, and

many of these were PILOT projects:

o Riviana Foods (new) – LSI customer [PILOT]

o KTG (expansion) – LSI customer [PILOT]

o Mitsubishi Electric (new) [PILOT]

o Nucor Steel (expansion) – LSI customer [PILOT]

o Electrolux (new) – Future LSI customer [PILOT]

o American Snuff (move and expansion) [PILOT]

o Candle Lamp (expansion) – LSI customer

o Lucite (Mitsubishi Rayon expansion) – LSI Customer [PILOT]

o City Brewing Company (re-opening of Coors plant) – LSI Customer

[PILOT]

o Cargill (expansion) – LSI Customer [PILOT]

Plants in the Memphis area, but outside of Memphis:

o Schulz (Tunica) – LSI customer

o Green Tech Automotive (Hernando) – LSI customer

o Soladigm (Olive Branch) – LSI customer

LSI has grown in sales…

Based on the average growth rate achieved from 2004 to 2011, LSI will

surpass the $100MM mark in 7 years

$-

$5,000,000.00

$10,000,000.00

$15,000,000.00

$20,000,000.00

$25,000,000.00

$30,000,000.00

2004 2005 2006 2007 2008 2009 2010 2011 2012

Sale

s i

n D

ollars

2004 2005 2006 2007 2008 2009 2010 2011 2012

Sales $5,565,500. $9,293,000. $10,439,000 $10,918,000 $14,717,000 $20,616,000 $16,362,000 $21,850,000 $27,000,000

Sales by Year

And in the number of employees…

2005 2006 2007 2008 2009 2010 2011 2012

Employees 54 56 63 63 76 86 102 127

0

20

40

60

80

100

120

140

Em

plo

yees

Employees by Year

Hiring has kept pace with sales!

What is fueling our growth?

• Re-shoring of manufacturing operations from

places like China and Mexico is driving demand

for automation to make manufacturing in the

US more globally competitive

• Engineering staffs at our clients’ sites have

been reduced by the economic downturns in

2001-2003 and 2008-2010

• We are excellent at what we do

Local and Global Strength

LSI has received a commitment within the last month for a large project with

an international company with operations in North America, South

America, Europe, and Asia. LSI will be performing process control and

automation projects globally for this new client.

Project management functions will be served out of Colorado and

Memphis, and engineering functions will be done at a minimum of 3 locations

– Colorado, Memphis, and Guangzhou.

LSI will be compensated in the $8MM-$12MM range for this effort over the

next 12-18 months. Very few integrators have the staff, breadth, and depth of

application and management talent to execute a project of this magnitude in

this timeline across the globe.

Local Customers

Local Customers

Local Customers

LSI’s first customer in 1985, and they are

still a customer!

Local Customers

Local Customers

Local Customers

Local Customers

Local Customers

Global Customers

LSI’s National and Global

Customers

LSI asks for participation in the

PILOT program

LSI respectfully asks for approval of its

participation in the PILOT program.

We appreciate your time and attention!!

Questions?