From: Allen Bishop [email protected] Subject: Contract Termination Date: May 22, 2015 at 5:38 PM To: [email protected] Cc: [email protected], Don Hume [email protected], Constantin Diehl [email protected], Gary Bishop [email protected]

Dan McShan Syzygyx, Inc. 2585 W Main Street Suite 204 Littleton, CO 80120 22 May 2015 Dear Dan, This email will serve as written notice of termination of our contract executed on 19 Feb 2015, for reasons of Syzygyx’s non-performance. As of today’s date, we have not received the deliverables in Appendix B in a form acceptable to Reference Technologies. This is despite having paid Syzygyx invoices totaling over $121,000, as detailed in your status presentation at our facility on 15 May 2015. Specifically, for items listed under Phase I of Appendix B: -

Flight Control, PixHawk Auto Pilot – we are not in possession of an acceptable version of this deliverable. Your 15 May 2015 status stated “Should be ready to hover...” Hover capability is one of the most basic functions of the Auto Pilot, yet this has not been demonstrated or accepted, not even on the Hummingbird I prototype.

-

Flight Control, Manual Parachute Control – we are not in possession of an acceptable version of this deliverable.

-

Ground Control Station, Mission Planning – we are not in possession of an acceptable version of this deliverable.

-

Ground Control Station, H2 Widget – your presentation showed a mockup of a “concept,” but we are not in possession of an acceptable version of this deliverable

-

Simulation, H2 Simulation - we are not in possession of an acceptable version of this deliverable. I have been consistent in my feedback that the software installed for AUVSI was unacceptable in function, performance, and appearance.

We have discussed, with you, our desire to have these items delivered in acceptable form by the end of May 2015, without any additional funds from Reference Technologies, but we were unable to reach agreement. We are terminating the contract as of today, and will not consider payment of any current or future invoices until acceptable deliverables are given to Reference Technologies in consideration of the funds expended to date.

Regards, Allen Bishop President, CEO Reference Technologies, Inc. 1724 Majestic Drive, Suite 104 Lafayette, Colorado 80026

NOTICE: This e-mail and any files transmitted with it are the property of REFERENCE TECHNOLOGIES. All rights, including without limitation copyright, are reserved. The proprietary information contained in this e-mail message, and any files transmitted with it, is intended for the use of the recipient(s) named above. If the reader of this e-mail is not the intended recipient, you are hereby notified that you have received this e-mail in error and that any review, distribution or copying of this e-mail or any files transmitted with it is strictly prohibited. If you have received this e-mail in error, please notify the sender immediately and delete the original message and any files transmitted. The unauthorized use of this e-mail or any files transmitted with it is prohibited and disclaimed by REFERENCE TECHNOLOGIES. Nothing herein is intended to constitute the offering or performance of services where otherwise restricted by law.

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