Entry into a Material Definitive Agreement.

On or about July 11, 2016 we entered into a definitive agreement with the Zona Seca Inc. to be their exclusive Breath Alcohol Ignition Interlock Device partner. Zona Seca offers alcohol and drug education classes in their offices in Santa Barbara, California. The mission of Zona Seca, Inc. is to help Santa Barbara, California, in the struggle to become a drug-free community. Zona Seca believes that their participation in this effort provides the community of Santa Barbara with a safer environment in which to live and accomplishes their mission by providing professional and cost-effective substance abuse counseling, intervention, and prevention services for all people in need. Zona Seca, Inc. has served over 70,000 people in its 45 years of operation. Lives have been saved and families have reunited because of this agency’s efforts. Santa Barbara and its surrounding communities continue to benefit from the dedication of the Zona Seca staff. By partnering with us, Zona Seca is continuing to reduce driving while impaired (DWI), recidivism and related arrests as well as supporting positive changes in lifestyle and protect the public’s health on roadways and highways. Zona Seca will be referring their clients to exclusively use our BDI 747/1 devices. We will be paying Zona Seca a commission on every device leased by us to a customer that they refer. There is no stock agreements, warrants, or options of any kind involved in this transaction.