7.0. EDSR 03-09-1998 - Laserfiche WebLink

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Products (cont.) The Watercam product satisfies a definite need in the swim training market segment, as indicated from a market survey conducted by Watermark in December of 1995. In this survey, 100%of American Swim Coach Association(ASCA)members agreed that underwater video during training enhances swimmers' performance. Video from the remote camera head reveals important details about swimming technique that cannot be seen from above the water. Improvements in performance are accelerated by the coach's review of recorded video with the student. The resulting improvements are an important key to why Watermark has received so much praise from their customers. The purchase price for a Watercam with color output is$1,690 US dollars and with monochrome output is $1,297 US dollars. The cost of manufacturing the Watercam in quantities under 10 is$921 per color unit, and$805 per monochrome unit. These values are determined using low volume component prices and out of house labor estimates. All components and subassemblies are maintained in minimum quantities necessary to provide product on demand. Currently two units are kept in inventory. Only long lead items are ordered in quantities greater than 10 units. The longest lead time item is a custom made cable which takes 4 to 8 weeks to produce by our current vendors. With higher volumes,production cost would be greatly reduced. • Assembly of most of the product is currently done in house. Our manufacturing facilities include an 800 square foot light assembly area. Currently it takes an average of 4 hours to produce one unit in house. Procedures include: electronic panel soldering and assembly, enclosure and cable assembly,mount fabrication and welding, product testing, documentation preparation,product packaging, and shipping. Assembly houses have been identified to assist with production when volumes mandate. Fishcam: The Fishcam will be a new and unique product for the sport fishing market that will allow fishermen to remotely view and record underwater environments. Like Watercam, it will feature three main components. A new camera head that can be made through less expensive means, while having more features designed specifically to suit sport fishing. A power-viewer that will provide 12 volts DC to the camera head through a suitable length cable, and also contain an integral viewer to monitor the camera output. The third component will be a camera head mount or mounts that will assist the fisherman in obtaining the underwater view they desire depending on the type of fishing or activity the they are undertaking. Fishing activities that could be enhanced with use of the Fishcam include trolling, casting, scouting new locations, ice fishing, and many other activities. This product will be designed specifically for fishermen. For example,the Fishcam will have the capability of using power from the boat or trolling motor battery, and still provide • an output should the user want to record the video with their camcorder. 5