Executive Summary

Sense Technologies Inc. is a developer and marketer of driver aids for the automotive industry. The Company’s original product, the GuardianAlert®, is a highly versatile, cost effective and extremely user- friendly backing awareness system. It alerts a vehicle operator to the presence of obstacles in blind spots that exist behind virtually all vehicles. The ScopeOut® product is a system of specially designed mirrors in an aerodynamic, high-tech design which are placed at specific points on automobiles and SUVs to offer drivers more complete protection from vehicle blind spots while backing out, changing lanes or merging in traffic flows.

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Products

Guardian Alert®

The Guardian Alert® product notifies an operator when he is approaching an obstacle in a defined three-dimensional area behind the vehicle. The Guardian Alert® added awareness zone extends from the rear of the vehicle outward nine feet (twelve for commercial vehicles) for the width of the vehicle. Vertically, the coverage area begins at ground level and rises approximately five feet. The product provides the most comprehensive coverage area available. Only Doppler radar-based systems are capable of providing reliable coverage all of the way to the ground without persistent false alarms. As a single sensor system, GuardianAlert® provides ease of installation and can be installed as either original equipment or in the aftermarket. Importantly, the Guardian Alert® system also distinguishes itself by operating under all weather conditions and lighting condition. It is impervious to dirt, snow or ice, and fully functions in all types of lighting conditions. The product is also maintenance-free and extremely durable.

ScopeOut®

Drivers with ScopeOut® are able to see a much wider, unobstructed rear view of approaching traffic and pedestrians, including small children. Looking into the vehicle’s own rear view mirror, ScopeOut® eliminates blind spots by providing drivers with a clear and expansive behind-the-car view that is especially helpful when parking next to large vehicles or buildings. ScopeOut® also enables drivers to have a more complete view of traffic in adjacent-lanes, providing the necessary split-second visibility to make safer lane changes and merge more easily into traffic from an on-ramp.

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Technology

The Guardian Alert® awareness system employs microwave radar technology that applies the Doppler Shift Principle to detect the presence of a moving target within a predefined range. The system consists of a planar (flat) antenna, Doppler radar transceiver, signal processor, and audio-visual display. The transceiver and antenna are enclosed in epoxy resin potted housing and may be mounted inside the rear bumper.

With ScopeOut®, a driver can install a “second set of eyes” that increases visibility while backing or when driving in traffic, and, accordingly, reduces chances of accidents. The systems incorporate the highest quality mirrors available, are easily installed using 3M™ acrylic form tape, and fit most SUV’s minivans, and passenger cars.

Sourcing

Sense management has determined that its products can be produced by outsourcing to ISO 9000- certified manufacturers more cost effectively than by developing its own manufacturing capability.

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Market Opportunity

A.T. Kearney, a globally recognized management consulting firm, estimates that the collision warning market, including parking/blind spot awareness and distance warning systems, will grow to be a $1.7 billion industry by 2006. Since the Guardian Alert® cost-effectively offers obstacle awareness and distance warning, management believes that Sense is poised to capture significant share.

Sense views the market for its products in three macro categories including:

• Original equipment cars, light trucks, and heavy trucks (“OEM”)
• In-service commercial and government fleet vehicles
• Aftermarket cars and light trucks

Each of these markets presents a distinct and significant opportunity to successfully commercialize Guardian Alert® and ScopeOut® backing awareness products. Taken together, they provide investors a compelling opportunity to invest in a business capable of providing the powerful combination of near-term cash flow and long-term sustainable growth.

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Management Summary

BRUCE E. SCHREINER , CPA. Mr. Schreiner has been a Director of Sense since August 10, 1993 and the President and Chief Executive Officer of Sense since March 4, 2004 . Mr. Schreiner is responsible for all financial matters customarily related to Sense’s operations and serves as the general manager of Sense. Mr. Schreiner received a Bachelor of Arts Degree, from Hastings College in 1975, graduating magna cum laude, with majors in Economics and Business Administration with an emphasis in accounting. Mr. Schreiner has been a certified public accountant since November 1976, to the present. Mr. Schreiner is presently a partner in Schroeder & Schreiner, P.C., a certified public accounting firm.

JAMES R. IMAN. Mr. Iman is currently associated with Corporate Finance Consulting Services of Fort Worth, Texas. He studied Business and Economics at Midwestern State University in Wichita Falls Texas . He has extensive experience in business, and has had past associations with First DFW Bankers Investment Banking Group, HRM (Division of Halliburton), and NCR, among others.

ROBERT DOVIAK, Director. Mr. Doviak is a management consultant whose clients have included oil and gas companies, technology companies, and software support and consulting companies.  He assists with capital architecture, business development, overall strategy with particular emphasis on growing the business, and establishing a dominant market position in the selected segment.

Mr. Doviak maintains an extensive network of contacts in North America, South and Central America, and the UK.

He holds a B.B.A. in Accounting with concentration in Finance from Texas Tech University.  He is a past president and vice president of The 100 of Dallas, Inc., and a member of the National Association of Corporate Directors, the Institute of Management Accountants, and Ernst Young Alumni.

BEV HUMMEL, Secretary. Bev Hummel has practiced in the professional field of accounting three years as a private accountant and ten years as a business owner.  She is currently a staff accountant for Campbell, Higgins & Associates PC, CPA Firm, in Spencer, Iowa.

Bev has been involved with financial statement preparation, business and individual tax preparation, general ledger and payroll preparation, and quarterly and yearly payroll tax reports.

Bev graduated from Spencer High School in Spencer Iowa, and with honors from the American Institute of Business in Des Moines, Iowa with an Associates Degree in Computer Programming and Accounting.