JEFFERSON MILLWORK & DESIGN

proposal 1200 Tulip Drive Gastonia, NC 28052 p 704.861.8239 f 704.867.4140 www.stilesmachinery.com PREPARED FOR: JEFFERSON MILLWORK & DESIGN 44098 Mercure Circle, Suite 115 Sterling, VA 20166-2016 ATTENTION: Mr. Matt Hancock P 703-260-3370 mhancock@jeffersonmillwork.com PROPOSAL: HZ-16355-A PROPOSAL DATE: September 21, 2009 SALES REPRESENTATIVE: Mr. David Brown D. S. Brown Machinery P 540-868-9894 EQUIPMENT: Holzma Panel Saw Model HPP 380-3800

HZ -16355-A PAGE 2 Panel Cutter Type HPP 380-3800, CADmatic 4.0 Holzma s HPP 380 is a flexible saw center. This CNC controlled machine features fast, simple programming coupled with high operating speeds to meet today s varied production requirements. Designed for clean and accurate cutting of finished and unfinished panels. Equipped with main saw and scoring saw. Run by a single operator, the saw is capable of cutting angles, grooves, rabbets, and dados as well as conventional ripping and cross cutting. The heavily built machine body provides a stable base for vibration free cutting. Holzma s patented frame leg for perfect alignment of the saw tables in reference to the material being cut. Positioning systems on both the saw carriage and the clamp-equipped, programmable fence are driven by brushless AC servomotors, solid-state drives, and rack and pinion. This system is the best solution for the quick positioning and fast cutting required in today s manufacturing environment. The machine cuts left to right to the right angle fence. Saw dust collection for pressure beam and saw carriage on the right side of the machine.

HZ -16355-A PAGE 3 Main saw motor 21 kw 28 HP Scoring saw motor 2.2 kw 3 HP Opening of clamps Max. 100 mm 3.9 Projection of main saw Max. 95 mm 3.7 blade Saw carriage speed 0-150 0-492 fpm forward m/min. Saw carriage speed Constant 150 m/min. 492 fpm reverse Program fence speed Forward/reverse 90 m/min. 295 fpm CADmatic 4.0 Controller with swiveling movement. This flexibility of positioning allows the greatest range of positioning for the operator. Hardware of the CADmatic 4.0 Control Computer: Industrial PC, Intel P-4 2.66 GHZ processor 512 DDR RAM (working memory) 40.0 GB Hard Drive 1.44 MB 3.5 Floppy Disk Drive DVD ROM Drive ATI Radeon 9700 video graphics card 4 serial interfaces 1 parallel interface 1 Ethernet interface 1 PCMCIA slot 19 Flat LCD Color Monitor (Touch Screen) Keyboard connection The CADmatic 4.0 is based on an industrial PC with Windows XP embedded operating system and is equipped with a 19 Flat LCD color monitor (Touch Screen), 3.5 disk drive, and DVD ROM. The PC provides real time machine control eliminating the need for a separate PLC. This allows the saw to operate quicker and optimize and control all machine functions. Holzma CADmatic 4.0 interface provides the most intelligent interface between the operator and the saw. The 3D graphics and intuitive menus make it easy for inexperienced people to learn how to be productive on the Holzma saw quickly. The control settings are personalized for each operator at log in. Each user s profile customizes such settings as language, measurement mode (decimal inch, fractional inch and millimeter) screen layouts and colors.

HZ -16355-A PAGE 4 Hardware of the CADmatic 4.0 Control (continued) The easy to understand menu gives the saw operator the tools necessary to perform the various jobs the panel saw can handle throughout the day. Single Part: Utilize this feature for quick and easy programming of a single part in a pattern Fixed Position: The panel saw becomes an electronically controlled cut off saw. This can be used with fixtures for specialty cutting needs. Cut-to-Length: This handy capability will measure the panel as it is pulled back and tell the operator how much is left after making each cut. Especially useful when processing strips. Edit pattern: A powerful graphic interface for manually entering complicated patterns. The graphic interface gives the operator a visual reference to his input, and eliminates the need for function codes. Select patterns: Allows the operator to view and select patterns for cutting. The operator can select a complete job of a series of patterns or random patterns from different jobs, to tailor the sequence to specific production needs. Characteristics of the CADmatic New cutting patterns can be entered or down loaded while the machine is in the process of cutting a previously entered pattern. A 40 GB hard drive memory capacity for cutting patterns is virtually unlimited. It includes simple utilities to maintain files. 3-D Moving Graphics-the 19 LCD flat screen monitor (Touch Screen) displays the cutting sequence in real time. As the cutting of each part is finished, the monitor displays the actual part information as a graphic, as well as such textual information as part description, size, and edgebanding information. This clearly displayed information allows a truly paperless operation. Parametrically controlled saw carriage speed for narrow front or rear trim cuts. This feature keeps the saw cutting at optimal speeds regardless of operator experience. The CADmatic speaks your language: multiple languages available: The control can be configured to have your language displayed when you log in. Stress-Fite - a patented Holzma advantage relieves internal stress from sheet stock material. Eliminates "banana bow", producing square components. Cutting patterns can be transferred to saw via network and USB memory stick from Holzma s Cut-Rite optimization program. Air conditioning in switch cabinet.

HZ -16355-A PAGE 5 Error Diagnostics Holzma machines are extremely reliable but even they can have a problem. To help find problems on the machine, Holzma has incorporated a comprehensive error diagnostic system in the CADmatic 4.0. Errors are first displayed in plain text. The CADmatic 4.0 maintains a file of the last 15 errors to occur on the machine. This feature helps to track and fix small problems before they become serious. Supplemental steps to correct the problem are displayed on the control monitor. Additional photo and videos show actual location of the errors. The ability to review in real time the actual status of inputs or outputs along with the status of the switches is available on the screen of the CADmatic. Additional screens show the status of the counters. Counters show the programmed position of such moving components of the saw as the saw carriage or the program fence, which can be compared to the actual position. With modem hardware for remote diagnostics. Maintenance display and tracking are standard. The machine prompts the operator when the saw needs maintenance. The operator logs in that it has been performed; so, there is an actual tracking system. Saw Carriage Solid construction of fabricated steel for long working life. Saw blade assembly guided on both sides by precision, hardened steel guides, unaffected by dust and dirt, no lubrication necessary. Saw carriage guided by chromed, hardened steel guide rods and hardened steel, precision V-groove rollers; Holzma s unique monorail locked-in guidance system. Over the last 25 years, Holzma s monorail saw carriage guide system has been proven world-wide to provide clean, accurate cuts in even the most difficult to cut, prefinished materials. Excellent saw blade life due to the monorail guide system. Precision machining guarantees absolute parallel positioning of the guide ways in relationship to the surface of the machine bed, hence to the panels being cut, which prevents the scoring saw from running untrue. Saw carriage guides are positioned closer to the cutline than on any other saw, eliminating any effect that the drive system vibrations could have on the cut quality.

HZ -16355-A PAGE 6 Saw Carriage (continued) Fully automatic continuous cutting height adjustment (provides optimal blade exposure, regardless of book height or operator experience). Automatic continuous cutting length control by sensor provides optimal saw carriage travel distance, regardless of strip width. Cutting speed infinitely variable; adjustable from control panel. Drive via AC servomotor and rack and pinion. Scoring saw adjustment from control panel during operation. Safe and fast for the operator. Extraction via sawdust channel. Pressure Beam Minimum opening for blade passage to exert pressure right at the cutting line, where it is needed. Guided equally on both sides by racks and pinions, which guarantee that the pressure beam remains parallel, even when cross cutting a single stack of narrow strips. Pressure beam design guarantees optimum extraction of sawdust by means of an extraction outlet and a separate extraction channel. Integrated dust curtain. Automatic Grooving Grooving position (length/crosswise), grooving width, distance to panel edge and grooving dept are all freely programmable. Allows grooving of ready cutwork pieces against fixed position. Symmetrical grooving or rabbet and intermittent grooving and cutting are all freely programmable Side Pressure Device Integrated into saw carriage. Precisely positioned by the saw carriage to reduce cycle times. Pressure infinitely adjustable. Automatic positioning via sensor, no pre-adjustment required. Quick alignment for single strips. Double alignment for multiple strips.

HZ -16355-A PAGE 7 Side Pressure Device (continued) Alignment width: Min. 0 mm - Max: cutting length of machine Heavy steel right angle fence is part of the machine frame leg for consistent, square cuts. Clamp-Equipped Program Fence End-guided, rack and pinion driven for parallel positioning. AC servo drive electronically controls the program fence for quick, accurate positioning, with minimal wear and tear. The saw control constantly drives the program fence at the optimal speed of travel, regardless of distance traveled for short cycle time. Strongest clamping pressure, regardless of book height; clamp jaws feature parallel motion which keeps material in clamp for better position accuracy. Holzma s unique clamp design keeps single panels or complete books of panels clamped and under control of the program fence until the rip or crosscut operation is completed. Clamps equipped with special hold-off device for cutting single or multiple sheets of material with over-hanging laminates or veneer by indexing off the core of the panel. Upper clamp jaw is covered with a special, non-marring pad, preventing any possible damage to the surface of the panel material. Easy access to all pneumatic and electrical switches to facilitate maintenance. Magnetically based measuring system, completely independent from the drive system of the program fence with no wear, or even touching parts for long working life. Tighter tolerance resolution, longer working life, less adjustment than with optical encoders. Machine Tables Rear support table consists of Combi-profile rails with narrow pitch rollers for friction-free panel movement and protection from scratches. Machine bed is covered with large, friction-free plates with gaps at the positions of the clamps. Because of these plates, machine bed remains at full thickness and strength, providing maximum stability. Air tables at the front of the machine for easy material handling.

HZ -16355-A PAGE 8 Cutting Length 3800 mm 149.6 Cutting Width 3800 mm 149.6 7 clamps (First 3 clamps with Clamp centers from right angle fence 2 fingers, all others one finger) 75 mm 275 mm 475 mm 1050 mm 1850 mm 2650 mm 3450 mm 2.95 10.8 18.70 41.33 72.83 104.3 135.8 Additional 2- finger clamps available for 175 mm 6.87 375 mm 14.86 Additional 1- finger clamp 650 mm (25.59 ) 2Air tables One fan with variable 600 mm x 2160 mm 23.6 x 85 1 Air table speed motor 800 mm x 2160 mm 31.5 x 85 Total connected load 27.5 kw 220 volts 480 volts 100 AMP 42 AMP Air pressure Required 6 bar 86 lbs. Total air volume Based on 6 bar 150 l/min. 5.3 cfm Extraction Minimum (Velocity) 5000 m3/h (26 m/sec.) 2950 cfm 85 f/s Diameter of dust Pressure beam 150 mm 5.9 Connectors Diameter of dust Connectors Saw carriage 200 mm 7.9 Price Total price of machine, FOB Gastonia, NC, installation $ 170,439.00 included, no rigging included. Included in the price: Laser light in the pressure beam Symmetric veneer trimming software Online Label Printing Software, Zebra Label Printer, Printer Stand Upgrade of customer s existing Cut Rite Software to V 8.1 Two SW030 Advanced Cut Rite Training Classes Variable speed motor for air floatation tables Air floatation in machine bed CADmatic 4.0 with touch screen Turbo Grooving Quote good for 30 days NO STATE OR LOCAL SALES TAXES IN PRICING.

HZ -16355-A PAGE 9 Delivery Note: One unit meeting the above specification is available for immediate delivery from our showroom in Gastonia, N.C. on a first come first serve basis. In all other cases, 16 18 weeks after receipt of order with down payment. Optional Equipment: Cut-Rite 2 Seat Network enabling 2 operators to work with Cut-Rite concurrently anywhere within the network. $ 4,600.00 2 Days on site Cut-Rite integration, including all travel and labor expense. $ 2,800.00 Angle cutting capability including angle calculation software for CADmatic 4.0, workpiece positioning pins, protective pin rack. Minimum length of side at 45 degrees: 245mm Angle accuracy at 1,000mm:.1 degrees Minimum cutting angle: 16 degrees $ 3,689.00 6 additional set of blades consisting of: main blade: (380mm x 4.4 x 60) scoring blade: (180mm x 4.4-5.4 x 45) $ 2,280.00 Dimensions All equipment offered is made to metric standards. Dimensions shown in English measure are approximate and for comparison purposes only. Terms of payment 30% upon placement of order 30% upon shipment from factory 30% upon arrival at customer 10% upon completion of installation

HZ -16355-A PAGE 10 Installation Installation by a Stiles field service representative is included in the price quoted. Stiles Machinery Inc. cannot be held responsible for any delays caused by Customs authorities. Stiles Machinery Inc. defines installation as the assembly and preparation of the machine to the ready to run state; it does not include any preparation of the site, floor, masonry work, running of electrical, pneumatic or dust extraction services to the site, or building alterations. Your Company is responsible for the off-loading and positioning by crane, forklift or other means, as well as supplying the necessary equipment to perform this task. At your Company s request and expense, a Stiles field service representative can be made available during the off-loading and positioning in order to act in an advisory capacity, but this is to be understood fully at your own risk. Moving and modifying existing machinery in your facility is not included in the installation. Once the machine is in the ready to run state and the necessary services have been provided, the field service representative will test run, adjust as necessary, demonstrate and instruct your personnel who are selected to operate and maintain this machine. The field service representative will also review the manuals supplied for this equipment. Unless specifically stated otherwise within the terms of this proposal, Stiles has no responsibility for staging, alignment or any other preparation of parts, panels or other materials fed into or otherwise introduced into the equipment covered by this proposal or for any unloading, stacking, routing, storing or any other disposition of parts, panels or other materials exiting such equipment.