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– Formal requests by three US based DC-9 / MD-
80 operators to approve specific CVM
applications are being progressed by Boeing.
– First trial installation on Boeing aircraft.
– Another Boeing aircraft operator is actively
pursuing 737 and 767 CVM applications.
7
• Airbus
– Joint Development Agreement - CVM retrofit
system acknowledged as “Technology Ready”.
– CVM installed on an Airbus A320 Flight Test
aircraft.
– Airbus agree to introduce CVM to airline
operators of their aircraft as a means of
improved maintenance.
• Regional Aircraft Manufactures
– CVM being evaluated for retro-fit maintenance
improvement applications by Bombardier and
Embraer.
Progress In The Military Aircraft Retrofit Sector -
SMS is working closely with major air forces in the US, Europe and Asia
• Australian Defence Force
– CVM accredited for use on ADF aircraft.
– Selected for monitoring of joint UK /
Australian C-130 wing test program.
• Royal Air Force / Royal Navy
– In principal agreement for monitoring
primary structure on Nimrod aircraft.
– Positive assessment of specific applications
on Sea King helicopters.
– Three SMS staff (ex-RAF) based in the UK
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supporting the introduction of CVM into the
RAF and RN, and European operators.
• US Air Force
– Evaluation of major application on large
fleet of C-130 in progress.
– Firm interest for applications on a trainer
aircraft fleet.
– Opportunities on other aging fleets.
• Other Air Forces
– Evaluation equipment and sensor orders
from Chinese and Polish Air Forces.
– Quotation provided to European air force for
installation on trainer fleet.
Progress In The Aircraft New Build Sector
• Airbus
– CVM used in the full scale fatigue test
qualification of the A380 and the GLARE
material used extensively in its fuselage.
– Joint Development Agreement - Firm
commitment to a CVM licence. Extended to
the end of 2008 to align with revised Airbus
aircraft development schedule.
– Agreements signed for Airbus to evaluate the
incorporation of CVM technology into the
designs of two new aircraft.
9
• Regional Aircraft Manufactures
– CVM equipment ordered by Embraer and
Bombardier for evaluation and use on a full
scale fatigue test programs, leading to
incorporation into new-build aircraft.
– Embraer program worth $1,200,000 over three
years.
• EADS Military Air Systems
– SMS invited to include in-flight CVM system in
the Barracuda UAV Integrated Vehicle Health
Monitoring demonstrator program.
New Products & Markets For CVM™ Technology
• CVM Switch
– 2nd production run in-progress.
– Now a standard SMS product.
– Being incorporated into further new
products.
• Automotive Test
– CVM Switch pilot production program
on going with PBR.
– Order from PBR’s new parent Bosch.
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– Evaluated by GM and large German
Automotive supplier.
• Bridge Infrastructure & Mining Equipment
– CVM remote bridge monitoring system
demonstrated to the US Federal
Highway Administration.
• CVM On-Board System
– Prototype on-board CVM system
demonstrated to Airbus, EADS MAS
and Embraer.
– In-Flight installation during 2009.
New CVM Market Opportunity - Bridge Infrastructure
• SMS has worked with Sandia National Labs in the
US to evaluate the use of CVM on thick steel
structures for bridge and mining equipment
applications.
• Sandia noted in the report that contained the CVM
evaluation results that “K30% of the 600,000
bridges in the US are structurally deficient”.
• Since the catastrophic Minneapolis I-135W bridge
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collapse in 2007, SMS has been working closely
with Sandia and potential US partner company to
demonstrate a CVM bridge monitoring system
combined with mobile phone technology.
• Demonstration to the US Federal Highway
Administration and discussions with potential US
distributor with bridge monitoring experience.
• This represents a significant new market
opportunity for CVM.
CVM Order Intake Has Increased As A Direct Result
Of Intensive Global Marketing Activities.
• Two existing and three new Military Air
Force customers are evaluating CVM for
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