Overview

EPI Environmental Technologies Inc. (“EPI”) develops, manufactures, distributes and sells: (a) degradable and biodegradable chemical additives to manufacturers of finished plastic products in the packaging, agricultural and composting industries, among others, and (b) degradable landfill cover and wrap systems to customers in the solid waste management industry. The principal chemical additives sold by EPI are proprietary oxo-biodegradable plastic additives, Totally Degradable Plastic Additives™ (“TDPA™”), and specialty chemical foaming and purging agents (“CFA™”).

TDPA™ is added in typically small quantities of 2 to 3% to commodity resins (polyethylene, polypropylene and polystyrene) during the manufacture of finished plastic products, using standard manufacturing equipment and processes. It causes the plastic to degrade at a controlled rate when the plastic is exposed to photo (sunlight), thermal (heat) and/or mechanical stress and, in the case of polyethylene products (such as grocery, shopping and garbage bags), TDPA™ causes the plastic to ultimately biodegrade. Plastic incorporating TDPA™ is cost-competitive. It is virtually indistinguishable in appearance and performance from traditional non-degradable plastics until degradation of the product is triggered in accordance with end-user requirements (following its “shelf” or “service” life).

TDPA™ is currently marketed in approximately 50 countries through a network of licensees, sales agents and distributors. Significant end-users of shopping and garbage bags manufactured with TDPA™ include: Tesco PLC, the world’s third largest supermarket retailer, the Cooperative Group (CWS) Limited (United Kingdom) and Soc. Coop. A r.l. (Co-op Italia). EPI's degradable landfill covers (Enviro™ Cover) and wraps (Enviro™ Wrap), which are manufactured using TDPA™, are sold to some of the largest landfills in the world. For example, Puente Hills Landfill in California, which is the largest landfill in the United States, is using Enviro™ Cover.