Business Model


Intelligent Beverage Technology, Inc. will contract manufacture PUSH Machines and initially
place them in high volume U.S. and Canadian health clubs and operate the machines in
cooperation with the clubs. In return, Intelligent Beverage Technology, Inc. will share 15%-20%
of the revenue with the club, as well as promote the club through advertising for the club on the
PUSH Machine’s full-length touch screen display. Consumers will have the option to purchase
individual drinks with their credit card or mobile phone or create a personal account which will
have a pre-charged balance of typically $25 - $100. They can then use the PUSH Machine in the
gym simply by using their personal identification number (PIN) or by selecting the facial
recognition option. Once identified, the PUSH Machine displays their current balance and asks
them if they want “The Usual?” Or, if they desire something different that day, they can recustomize
their drink specification. (A PUSH Machine can store up to 100 different drink
combinations for each user.) The price to the consumer for a sports drink will typically be
$1.50 - $2.50 and the cost to IBT for the ingredients is approximately $0.15. Protein shakes will
sell for $2.50 - $3.50 and the ingredients will cost $0.85 per shake. Likewise, for energy and
weight loss beverages.


Intelligent Beverage Technology, Inc. forecasts having 300 machines generating revenue in the
first 12 months of operations, 1,500 machines by the end of the second year, 7,500 by the third
year and 28,000 fielded machines in operation by the end of the fourth year, which by then will
be generating $47 million in revenue per month. ($570 million in annualized revenue.)

CONTACT US:

1223 Wilshire Blvd., #950

Santa Monica, CA 90403-5400

Tony Materna CEO:  818-613-7600

tony_materna@hotmail.com

Andrea Morara President & COO:  941-284-9827

andreamorara@hotmail.com

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