exactearth Ltd. XCT-TSX: $1.30 Speculative Buy Industry Leader in a Growing Market with a Favourable Risk/Return Trade-off $2.

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1 12 July 2016 Special Situations exactearth Ltd. Industry Leader in a Growing Market with a Favourable Risk/Return Trade-off XCT-TSX: $1.30 Speculative Buy $2.00 Target Company Thesis: exactearth Ltd. ( XCT or the Company ) is the undisputed industry leader for satellite-based AIS detection with a leadership position supported by its proprietary technology for high quality detection of AIS transmissions from space. Our thesis is based on the Company s ability to acquire market share in the largely underserviced maritime information and AIS markets. Specifically, the Company s technological advantage rests with its ability to offer a high quality, low cost alternative for vessel detection in high density areas and its unique technology for detecting small vessels such as those used by fishing fleets. A transformational deal with Harris Corporation (HRS-US, NR) ( Harris Agreement ) will allow exactearth to attain real-time continuous global coverage through access to the Iridium (IRDM- NYSE, NR) NEXT constellation and provide a significant competitive advantage versus peers and new entrants. The Company s competitive advantage, market opportunities, and near-term catalysts support our view that the current share price represents an exceptional entry point with limited downside risk and strong upside potential. We note that XCT shares have 91 cents of cash and only 39 cents of enterprise value for a business that we expect will generate 88 cents of sales per share. Rough Start in FH116: XCT became a public company last February as result of an acquisition and spinout transaction when its parent company COM DEV got acquired by Honeywell (HON- NYSE, NR). FH116 was a challenging half for the Company even after winning a bid from the Government of Canada ( GoC ) that surprisingly required a small percentage of XCT s S-AIS capabilities. The contract represented a $6.6M drop in projected annual revenues. In our opinion, the ensuing 50% decrease in the share price is overdone and does not reflect the value of XCT s technology and the continued traction of its products and services. Forward Catalysts: We are bullish on the market opportunities to implement S-AIS for maritime situational awareness and in applications ranging from maritime security to combating Illegal Unreported and Unregulated Fishing (IUUF) activity. Catalysts for the stock in the near term include the roll-out of data analytics tools for the SaaS platform in FH216 and booking revenues from these tools by F2017; expanding into the Chinese market with the EV Image exclusivity distribution agreement that should begin contributing to the top line in a meaningful manner in F2017; the launch of the first patch of Iridium NEXT satellites with four XCT S-AIS payloads, increasing XCT s space assets from 9 to 13, ahead of attaining real-time AIS detection capability by the middle of 2017 after a few more launches; and signing the first customer for small vessel detection by late F2017 to address the IUUF activity. Valuation: Our one-year target price of $2.00 is based on a five-year DCF with an 18% discount rate and 4.0x terminal EV to EBITDA multiple. Our projections assume 30% organic growth in Subscription Service revenues excluding the impact from the GoC contract, and it also excludes growth opportunities from China and IUUF. We do not account for nonsubscription based sales. Recommendation: We have XCT as our Top Pick for 2016 with a Speculative BUY rating and $2.00 target price. At the current share price we see an attractive risk/reward trade-off for this technology leader that is well positioned in a growing industry. We anticipate these catalysts to take place as F2017 rolls in and shifts investor perspective of XCT. Projected Return: 53.8% Discount Rate: 18.0% Terminal Year: 4.0x EV/EBITDA Market Data Market Capitalization 28.1 Net Debt Enterprise Value 8.5 Basic Shares O/S 21.6 Fully Dil. Shares O/S 21.6 Avg. Daily Volume (M) Week Range $ $4.00 Dividend Yield Financial Metrics FYE - Oct 31 Revenue Adj. EBITDA EPS FCF Net Debt:EBITDA FCF Yield Valuation Data DCF - Current/Target EV/ Adj.EBITDA EV/ Revenues Quarterly Data Current Peers Target Current Peers Target Revenues Adj.EBITDA Company Description 0.0% 2015A 2016E 2017E ($0.09) ($1.53) ($0.22) (6.5) (11.1) (1.7) -2.1x -34.7x x (23.2%) (39.6%) (5.9%) $2.35 $2.84 $ x 15.0x 56.7x 18.4x 2.6x 18.7x 41.7x 13.1x 158.1x 0.3x 0.4x 0.5x 3.6x 3.1x 3.1x 0.9x 1.2x 1.3x Q1 Q2 Q3 Q (0.2) (0.5) (0.2) 0.2 (0.1) (0.2) 0.3 exactearth Ltd. is a leading provider of global maritime vessel data for ship tracking and maritime situational awareness by detecting AIS transmissions from Space via a satellite base maritime surveillance method (Satellite-AIS) across all regions of the world's ocean and unrestricted by terrestrial limitations. The Company's supply chain include owned and operated LEO satellite constellation, receiving ground stations, data processing and distribution centers, and patented decoding algorithms. The Company was established in 2009 and is headquartered in Cambridge Ontario May-16 Volume (M) Price $4.0 $3.0 $2.0 $1.0 $0.0 Source: FactSet Page 1 of 7

2 Aug-14 Sep-14 Oct-14 v-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 v-15 Dec-15 Jan-16 May-16 Aug-14 Sep-14 Oct-14 v-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 v-15 Dec-15 Jan-16 May-16 Jul-16 Stock Price ($) exactearth Ltd. (XCT-TSX, $1.30) - Data Sheet Spec BUY PT: $2.00 $4.00 $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 $0.50 $0.00 Last Sale Price 50-Day MA 200-Day MA Volume (M Shares) Company Description Consensus 3 Mths Ago Current Return exactearth Ltd. is a leading provider of global maritime vessel data for ship tracking and maritime situational awareness by detecting AIS transmissions from Space via a satellite base maritime surveillance method (Satellite-AIS) across all regions of the world's ocean and unrestricted by terrestrial limitations. The Company's supply chain include owned and operated LEO satellite constellation, receiving ground stations, data processing and distribution centers, and patented decoding algorithms. The Company was established in 2009 and is headquartered in Cambridge Ontario. Rating: Buy Hold Target: $4.75 $ % Median: $5.00 $ % High: $5.00 $ % Low: $4.25 $1.40 8% Consensus Distribution Sector Outperform/Buy 1 Sector Perform/Hold 3 Sector Underperform/Sell 0 # Est 4 Historical Valuations FactSet - CONSENSUS BASED NTM EV/EBITDA FactSet - CONSENSUS BASED NTM EV/Sales 19.5x exactearth Ltd. ORBCOMM Inc. Numerex Corp. Class A 30.0x 25.0x Numerex Corp. Class A ORBCOMM Inc. exactearth Ltd. 14.5x 20.0x 15.0x 9.5x 10.0x 5.0x 4.5x 0.0x Key Financial Metrics Financial Summary/Key Metrics 2015 Q116 Q216 Q316E Q416E 2016E 2017E 2018E 2019E 2020E Key Statistics Value Segments 52-Week High $ % Subscription Services Week Low $1.22 (6%) Growth y/y 62.6% 6.5% 6.5% 6.5% 6.5% (18.6%) 12.0% 30.0% 30.0% 30.0% Avg Vol (3-Mo)(000) 67.1 Data Products Shares Outstanding 22 Growth y/y 162.8% 424.1% 424.1% 424.1% 424.1% (67.8%) (100.0%) NA NA NA Market Cap 28.1 Other Products & Services Net Debt Growth y/y 24.4% 127.5% 127.5% 127.5% 127.5% (56.6%) (100.0%) NA NA NA Enterprise Value 8.5 Consolidated Div Yield 0.0% Revenues FYE Oct 31 Growth y/y 68.0% 17.8% (12.1%) (58.4%) (45.2%) (28.8%) (0.8%) 30.0% 30.0% 30.0% Consensus Cons. 3 Mts. Ago Top Inst. Ownership M Shares 6 Mnths % Held Adjusted EBITDA (0.2) (0.5) (0.2) Hisdesat Servicios Estrategico % Growth y/y 407.8% 68.1% NA NA NA (93.9%) (73.6%) NM 30.6% 30.5% Management % Margin 34.6% 22.8% (3.9%) (16.2%) (3.9%) 3.0% 0.8% 14.7% 14.8% 14.8% Consensus (0.2) (0.8) (0.7) (0.2) (0.2) Cons. 3 Mts. Ago EPS ($0.09) ($0.09) ($1.39) ($0.06) ($0.04) ($1.53) ($0.22) ($0.09) ($0.04) $0.02 Growth y/y (71.5%) 4.9% % NA NA % (85.7%) (59.7%) (54.8%) NA Consensus ($0.09) ($0.08) ($1.39) ($0.10) ($0.09) ($1.74) ($0.26) ($0.15) ($0.04) $0.02 Cons. 3 Mts. Ago ($0.09) ($0.04) ($0.05) ($0.04) ($0.03) ($0.18) ($0.00) $0.19 $0.00 $0.00 FCF (6.5) (2.2) 0.4 (7.8) (1.5) (11.1) (1.7) Growth y/y 314.3% (56.1%) (84.7%) 73.3% NA 70.2% (85.0%) NA 27.9% 49.4% D&A Valuation E 2017E Capex (14.2) (3.3) (1.8) (1.5) (1.5) (8.1) (2.0) (2.0) (2.0) (2.0) Revenue Cash Adj. EBITDA Net Debt (19.6) (11.8) (10.2) (10.2) (8.3) (10.8) (14.0) (18.9) Depreciation Capex (14.2) (8.1) (2.0) Unlevered FCF (6.5) (11.1) (1.7) Discount Rate 18.00% Terminal EBITDA Multiple 4.00x Current 1-Yr TGT % Total PV FCF (1.6) % PV of Terminal Value % Equity Value % DCF Value $2.35 $2.84 Comparables Comparables Return Revenue EBITDA EPS Price Target Div Yield Return and Peer Analysis 1 Week 1 Month 3 Month YTD 1 Year 2016E 2017E 2016E 2017E 2016E 2017E exactearth Ltd. $1.30 $ % (3.7%) (13.3%) (53.1%) ($1.53) ($0.22) ORBCOMM Inc. $9.94 $ % 3.9% 6.3% (3.6%) 37.3% 50.4% ($0.11) ($0.02) DigitalGlobe, Inc. $21.90 $ % 10.7% 4.5% 29.1% 39.8% (19.0%) $0.24 ($0.17) UrtheCast Corp. $0.95 $ % 2.2% (15.9%) (19.5%) (37.1%) (76.4%) ($0.19) ($0.08) Kinaxis, Inc. $51.57 $ % 3.8% 0.4% 18.3% 9.9% 92.5% $1.05 $1.28 FleetMatics Group Ltd. $43.28 $ % 10.0% 1.0% 9.7% (14.8%) (7.0%) $1.75 $2.12 Descartes Systems Group Inc. $24.61 $ % 1.2% (8.8%) (3.1%) (11.6%) 21.2% $0.45 $0.56 Numerex Corp. Class A $7.46 $ % 4.8% 0.8% 18.6% 16.2% (12.2%) ($0.17) $0.14 I.D. Systems, Inc. $4.91 $ % 3.3% (1.7%) 5.5% 6.6% (15.1%) $0.12 $0.44 Peer Average % 4.0% (3.0%) 0.2% 5.8% 4.3% Comparables Enterprise FCF Yield EV/EBITDA EV/Sales P/E P/CFPS Multiples Analysis Value E 2017E E 2017E E 2017E E 2017E exactearth Ltd x 15.0x 56.7x 0.3x 0.4x 0.5x NM NM NM NM NM NM ORBCOMM Inc x 16.6x 14.0x 4.7x 4.2x 3.7x NM NM NM 19.6x 14.3x 10.8x DigitalGlobe, Inc. 2, % 4.9% 6.9x 7.1x 6.6x 3.5x 3.6x 3.4x 84.2x 89.9x NM NM NM NM UrtheCast Corp x 38.5x 4.2x 2.5x 1.3x 0.9x NM NM NM NM NM NM Kinaxis, Inc. 1, % 3.2% 28.5x 30.3x 24.3x 9.4x 8.2x 6.8x 55.4x 49.2x 40.3x 24.7x 35.0x 29.5x FleetMatics Group Ltd. 1, % 4.8% 16.2x 13.5x 11.1x 5.5x 4.5x 3.8x 27.4x 24.7x 20.4x 18.7x 15.6x 13.5x Descartes Systems Group Inc. 1, % 4.7% 21.6x 20.3x 17.7x 7.1x 6.9x 6.2x 22.2x 54.9x 44.0x 24.3x 22.7x 19.7x Numerex Corp. Class A x 34.6x 13.3x 1.7x 2.1x 1.9x NM NM 54.3x NM NM NM I.D. Systems, Inc x 46.0x 10.0x 1.4x 1.3x 1.1x NM 41.7x 11.2x NM NM NM Peer Average 4.8% 4.4% 10.5x 24.6x 17.5x 4.0x 3.6x 3.1x 47.3x 52.1x 34.0x 21.8x 21.9x 18.4x * exactearth is based on Echelon Wealth Partners Inc. forecasts, all other comparables are based on FactSet consensus estimates Source: Echelon Wealth Partners Inc., Company Reports and Filings, FactSet Page 2 of 7

3 DISCOUNTED CASH FLOW VALUATION Fiscal Year Ending October A 2016E 2017E 2018E 2019E 2020E 2021E CAGR % All Amounts in thousands of Canadian Dollars Revenues $26,600 $18,929 $18,777 $24,410 $31,733 $41,254 $53, % EBITDA 5,609 (28,073) 149 3,587 4,685 6,113 18,695 NA EBIT 571 (31,455) (4,612) (1,881) (908) ,907 ( - ) Cash Taxes Paid EBIAT 571 (31,455) (4,612) (1,881) (908) ,907 ( + ) Depreciation and Amortization 5,476 4,198 4,762 5,468 5,593 5,524 5,788 ( + ) Share-based Compensation ( - ) Capital Expenditures (14,195) (8,108) (2,000) (2,000) (2,000) (2,000) (5,666) ( - ) Increase in n-cash Working Capital 1,059 (4,282) (2,102) Unlevered Free Cash Flow ($6,529) ($11,112) ($1,667) $2,500 $3,196 $4,775 $10,927 PV of UFCF (11,438) (1,454) 1,848 2,002 2,535 4,917 Cumulative PV UFCF (11,438) (12,893) (11,045) (9,042) (6,507) (1,591) VALUATION ASSUMPTIONS Discount Rate 18% Exit Year EV/EBITDA 4.0x Terminal Enterprise Value 74,781 Implied Prepetuaty Growth Rate 3.0% Implied Terminal FCF Multiple 6.8x Implied FCF Yield 14.6% EBITDA Multiple Valuation Current 1-Yr Target 2-Yr Target Total PV of UFCF (1,591) 12,478 14,451 Exit Year EBITDA 18,695 18,695 18,695 Terminal Value 74,781 74,781 74,781 PV of Terminal Value 32,688 38,571 45,514 Enterprise Value 31,097 51,050 59,965 ( - ) Debt (1,955) (1,675) (1,125) ( - ) Preferred Securities ( - ) n-controlling Interest ( + ) Cash 21,581 11,899 9,469 ( + ) Market Value of Equity Investments - - Equity Value 50,723 61,274 68,309 Fully Diluted Shares Outstanding Basic 21,606 21,606 21,606 DCF Value/ Share $2.35 $2.84 $3.16 Target Share Price $1.30 $2.00 $3.00 Discount to DCF Value 44.6% 29.5% 5.1% Discount Rate $ % 17.0% 17.5% 18.0% 18.5% 19.0% 19.5% 5.5x $3.66 $3.61 $3.55 $3.51 $3.46 $3.41 $3.36 Terminal EV/EBITDA 5.0x $3.42 $3.37 $3.33 $3.28 $3.24 $3.19 $3.15 Multiple 4.5x $3.19 $3.14 $3.10 $3.06 $3.02 $2.98 $ x $2.95 $2.91 $2.87 $2.84 $2.80 $2.76 $ x $2.72 $2.68 $2.65 $2.61 $2.58 $2.55 $ x $2.48 $2.45 $2.42 $2.39 $2.36 $2.33 $ x $2.25 $2.22 $2.19 $2.17 $2.14 $2.12 $2.09 Source: Echelon Wealth Partners Inc. Page 3 of 7

4 SUMMARY INCOME STATEMENTS Fiscal Year Ending October A 1Q16A 2Q16E 3Q16E 4Q16E 2016E 1Q17E 2Q17E 3Q17E 4Q17E 2017E 1Q18E 2Q18E 3Q18E 4Q18E 2018E 2019E 2020E 2021E Thousands of Canadian Dollars, except per share data Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Oct 31 Oct 31 Oct 31 Subscription Services 20,592 5,382 4,052 3,241 4,087 16,761 4,981 4,270 4,213 5,313 18,777 6,476 5,551 5,477 6,907 24,410 31,733 41,254 53,630 Revenues 26,600 6,380 5,222 3,241 4,087 18,929 4,981 4,270 4,213 5,313 18,777 6,476 5,551 5,477 6,907 24,410 31,733 41,254 53,630 Growth y/y 68.0% 17.8% (12.1%) (58.4%) (45.2%) (28.8%) (21.9%) (18.2%) 30.0% 30.0% (0.8%) 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% Cost of revenue 10,114 2,628 2,554 1,458 1,839 8,479 2,242 1,922 1,896 2,391 8,450 3,238 2,776 2,738 3,453 12,205 15,867 20,627 21,452 Gross Margin 16,486 3,752 2,668 1,782 2,248 10,450 2,740 2,349 2,317 2,922 10,327 3,238 2,776 2,738 3,453 12,205 15,867 20,627 32,178 Gross Margin % 62% 59% 51% 55% 55% 55% 55% 55% 55% 55% 55% 50% 50% 50% 50% 50% 50% 50% 60% Operating Expenses Research and development Selling, general and administrative 8,953 1,941 2,133 1,900 1,900 7,874 1,900 1,950 2,000 2,000 7,850 1,295 1,110 1,095 1,381 4,882 6,347 8,251 9,385 Product development 1, , , ,036 3,662 4,760 6,188 4,022 Depreciation and amortization 5,476 1,377 1, , ,069 1,385 1,380 4,762 1,374 1,369 1,364 1,360 5,468 5,593 5,524 5,788 Earnings from Operations 571 (29) (1,367) (1,211) (862) (3,468) (705) (1,202) (1,592) (1,114) (4,612) (422) (555) (562) (342) (1,881) (908) ,907 Foreign exchange loss Other expense (income) 28-28, , Interest expense 1, (3) (6) (3) (58) (118) (173) Income Tax expense ,466 Net Income (Loss) (1,055) (1,001) (29,512) (1,223) (879) (32,615) (721) (1,216) (1,604) (1,123) (4,664) (427) (556) (559) (336) (1,878) (849) 520 9,614 EPS - Basic ($0.09) ($0.09) ($1.39) ($0.06) ($0.04) ($1.53) ($0.03) ($0.06) ($0.08) ($0.05) ($0.22) ($0.02) ($0.03) ($0.03) ($0.02) ($0.09) ($0.04) $0.02 $0.45 EPS - Diluted ($0.09) ($0.09) ($1.39) ($0.06) ($0.04) ($1.53) ($0.03) ($0.06) ($0.08) ($0.05) ($0.22) ($0.02) ($0.03) ($0.03) ($0.02) ($0.09) ($0.04) $0.02 $0.45 Adjusted EBITDA 9,197 1,456 (204) (525) (161) (133) (207) ,017 3,587 4,685 6,113 18,695 Adjusted EBITDA Margin % 34.6% 22.8% (3.9%) (16.2%) (3.9%) 3.0% 4.5% (3.1%) (4.9%) 5.0% 0.8% 14.7% 14.7% 14.7% 14.7% 14.7% 14.8% 14.8% 34.9% Free Cash Flow (6,529) (2,209) 415 (7,782) (1,536) (11,112) (143) (717) (737) (70) (1,667) 1, ,500 3,196 4,775 10,927 Adjusted FCF Margin % (24.5%) (34.6%) 7.9% (240.2%) (37.6%) (58.7%) (2.9%) (16.8%) (17.5%) (1.3%) (8.9%) 19.4% 2.4% 4.3% 12.6% 10.2% 10.1% 11.6% 20.4% Growth Rates Adj_EBITA Growth Rate 407.8% 68.1% NA NA NA (93.9%) (84.7%) (35.0%) (60.5%) NA (73.6%) 326.8% NA NA 282.7% NM 30.6% 30.5% 205.8% EPS Growth Rate (71.5%) 4.9% % NA NA % (62.3%) (95.9%) 31.2% 27.8% (85.7%) (40.8%) (54.3%) (65.2%) (70.1%) (59.7%) (54.8%) NA % FCF Growth Rate 314.3% (56.1%) (84.7%) 73.3% NA 70.2% (93.5%) NA (90.5%) (95.4%) (85.0%) NA NA NA NA NA 27.9% 49.4% 128.8% Source: Company reports, Echelon Wealth Partners Inc SUMMARY BALANCE SHEETS Fiscal Year Ending October A 1Q16A 2Q16E 3Q16E 4Q16E 2016E 1Q17E 2Q17E 3Q17E 4Q17E 2017E 1Q18E 2Q18E 3Q18E 4Q18E 2018E 2019E 2020E 2021E Thousands of Canadian Dollars, except per share data Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Oct 31 Oct 31 Oct 31 Cash and Equivalents 2,365 1,676 21,581 13,621 11,899 11,899 11,568 10,661 9,732 9,469 9,469 10,537 10,498 10,633 11,400 11,400 14,200 18,919 30,019 Trade Account Recievables 3,865 4,581 1,207 2,113 2,665 2,665 3,249 2,879 2,747 3,465 3,465 4,223 3,742 3,572 4,504 4,504 5,856 7,612 9,896 Unbilled Revenues 1,954 1, ,138 1,138 1,383 1,226 1,170 1,475 1,475 1,798 1,594 1,521 1,918 1,918 2,494 3,251 4,214 Other Current Assets Total Current Assets 8,860 8,796 24,407 17,337 16,402 16,402 16,900 15,466 14,350 15,110 15,110 17,259 16,534 16,425 18,523 18,523 23,249 30,482 44,829 Property Plant and Equipment 48,538 48,484 30,271 31,415 32,544 32,544 32,445 32,205 31,970 31,741 31,741 31,517 31,298 31,084 30,875 30,875 30,084 29,362 28,702 Intangible Assets 24,646 26,622 17,518 17,189 16,860 16,860 16,530 16,201 15,551 14,900 14,900 14,250 13,600 12,949 12,299 12,299 9,497 6,695 7,232 Total Assets 82,044 83,902 72,196 65,940 65,805 65,805 65,875 63,872 61,871 61,751 61,751 63,026 61,432 60,459 61,697 61,697 62,830 66,539 80,764 Accounts Payable 10,966 9,672 7,281 2,853 3,598 3,598 4,386 3,886 3,709 4,678 4,678 6,335 5,614 5,358 6,757 6,757 8,784 11,419 11,875 Deferred Revenue 1,037 1,305 1, ,054 1,054 1,285 1,138 1,086 1,370 1,370 1,781 2,322 3,010 Other Current Liabilities , Total Current Liabilities 12,659 60,381 9,112 4,116 4,972 4,972 5,877 5,206 4,929 6,054 6,054 7,879 6,957 6,628 8,289 8,289 10,636 13,776 14,921 Government Loan 1,436 1,342 1,244 1,223 1,149 1,149 1, Deferred Tax Liability ,654 Other n-current Liabilities 44, Total Liabilities 58,978 61,825 10,752 5,719 6,464 6,464 7,254 6,466 6,070 7,074 7,074 8,775 7,737 7,323 8,897 8,897 10,880 14,069 18,680 Total Shareholder Equity 23,066 22,077 61,444 60,221 59,342 59,342 58,621 57,405 55,801 54,678 54,678 54,250 53,694 53,136 52,799 52,799 51,950 52,470 62,083 Total Liabililites and Shareholder Equity 82,044 83,902 72,196 65,940 65,805 65,805 65,875 63,872 61,871 61,751 61,751 63,026 61,432 60,459 61,697 61,697 62,830 66,539 80,764 Net Debt 44,528 49,070 (19,626) (11,816) (10,224) (10,224) (10,026) (9,256) (8,466) (8,344) (8,344) (9,556) (9,654) (9,895) (10,771) (10,771) (14,026) (18,919) (30,019) Source: Company reports, Echelon Wealth Partners Inc SUMMARY CASH FLOW STATEMENTS Fiscal Year Ending October A 1Q16A 2Q16E 3Q16E 4Q16E 2016E 1Q17E 2Q17E 3Q17E 4Q17E 2017E 1Q18E 2Q18E 3Q18E 4Q18E 2018E 2019E 2020E 2021E Thousands of Canadian Dollars, except per share data Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Jan 31 Apr 30 Jul 31 Oct 31 Oct 31 Oct 31 Oct 31 Oct 31 Net Income (1,055) (1,001) (29,512) (1,223) (879) (32,615) (721) (1,216) (1,604) (1,123) (4,664) (427) (556) (559) (336) (1,878) (849) 520 9,614 Depreciation & Amortization 5,476 1,377 1, , ,069 1,385 1,380 4,762 1,374 1,369 1,364 1,360 5,468 5,593 5,524 5,788 Other non-cash items , , ,466 Changes in non-cash working capital accounts 1,059 (1,036) 2,385 (5,757) 126 (4,282) 134 (84) (30) (182) (65) (2,102) Cash Flows from Operating Activities 5,867 (380) 1,610 (6,249) (12) (5,031) 379 (196) (218) , ,391 4,579 5,292 6,898 16,766 Cash Flows from Investing Activities (14,195) (3,307) (1,801) (1,500) (1,500) (8,108) (500) (500) (500) (500) (2,000) (500) (500) (500) (500) (2,000) (2,000) (2,000) (5,666) Cash Flows from Financing Activities 8,188 2,877 20,288 (211) (211) 22,744 (211) (211) (211) (211) (842) (211) (191) (123) (123) (647) (492) (179) - Net Change in Cash (140) (810) 20,097 (7,960) (1,722) 9,605 (331) (907) (929) (263) (2,429) 1,068 (39) ,931 2,800 4,719 11,100 Source: Company reports, Echelon Wealth Partners Inc Page 4 of 7

5 Important Information and Legal Disclaimers Echelon Wealth Partners Inc. is a member of IIROC and CIPF. The documents on this website have been prepared for the viewer only as an example of strategy consistent with our recommendations; it is not an offer to buy or sell or a solicitation of an offer to buy or sell any security or instrument or to participate in any particular investing strategy. Any opinions or recommendations expressed herein do not necessarily reflect those of Echelon Wealth Partners Inc. Echelon Wealth Partners Inc. cannot accept any trading instructions via as the timely receipt of messages, or their integrity over the Internet, cannot be guaranteed. Dividend yields change as stock prices change, and companies may change or cancel dividend payments in the future. All securities involve varying amounts of risk, and their values will fluctuate, and the fluctuation of foreign currency exchange rates will also impact your investment returns if measured in Canadian Dollars. Past performance does not guarantee future returns, investments may increase or decrease in value and you may lose money. Data from various sources were used in the preparation of these documents; the information is believed but in no way warranted to be reliable, accurate and appropriate. Echelon Wealth Partners Inc. employees may buy and sell shares of the companies that are recommended for their own accounts and for the accounts of other clients. Research Dissemination Policy: All final research reports are disseminated to existing and potential clients of Echelon Wealth Partners Inc. simultaneously in electronic form. Hard copies will be disseminated to any client that has requested to be on the distribution list of Echelon Wealth Partners Inc. Clients may also receive Echelon Wealth Partners Inc. research via third party vendors. To receive Echelon Wealth Partners Inc. research reports, please contact your Registered Representative. Reproduction of any research report in whole or in part without permission is prohibited. U.K. Disclosures: This research report was prepared by Echelon Wealth Partners Inc., a member of the Investment Industry Regulatory Organization of Canada and the Canadian Investor Protection Fund. ECHELON WEALTH PARTNERS INC. IS NOT SUBJECT TO U.K. RULES WITH REGARD TO THE PREPARATION OF RESEARCH REPORTS AND THE INDEPENDENCE OF ANALYSTS. The contents hereof are intended solely for the use of, and may only be issued or passed onto persons described in part VI of the Financial Services and Markets Act 2000 (Financial Promotion) Order This report does not constitute an offer to sell or the solicitation of an offer to buy any of the securities discussed herein. U.S. Disclosures: This research report was prepared by Echelon Wealth Partners Inc., a member of the Investment Industry Regulatory Organization of Canada and the Canadian Investor Protection Fund. This report does not constitute an offer to sell or the solicitation of an offer to buy any of the securities discussed herein. Echelon Wealth Partners Inc. is not registered as a broker-dealer in the United States. The firm that prepared this report may not be subject to U.S. rules regarding the preparation of research reports and the independence of research analysts. ANALYST CERTIFICATION Company: exactearth Ltd. XCT:TSX I, Fadi Benjamin, hereby certify that the views expressed in this report accurately reflect my personal views about the subject securities or issuers. I also certify that I have not, am not, and will not receive, directly or indirectly, compensation in exchange for expressing the specific recommendations or views in this report. IMPORTANT DISCLOSURES Is this an issuer related or industry related publication? Does the Analyst or any member of the Analyst s household have a financial interest in the securities of the subject issuer? If Yes: 1) Is it a long or short position? Yes; and, 2) What type of security is it? Common shares Does the Analyst or household member serve as a Director or Officer or Advisory Board Member of the issuer? Does Echelon Wealth Partners Inc. or the Analyst have any actual material conflicts of interest with the issuer? Does Echelon Wealth Partners Inc. and/or one or more entities affiliated with Echelon Wealth Partners Inc. beneficially own common shares (or any other class of common equity securities) of this issuer which constitutes more than 1% of the presently issued and outstanding shares of the issuer? During the last 12 months, has Echelon Wealth Partners Inc. provided financial advice to and/or, either on its own or as a syndicate member, participated in a public offering, or private placement of securities of this issuer? During the last 12 months, has Echelon Wealth Partners Inc. received compensation for having provided investment banking or related services to this Issuer? Has the Analyst had an onsite visit with the Issuer within the last 12 months? Has the Analyst been compensated for travel expenses incurred as a result of an onsite visit with the Issuer within the last 12 months? Has the Analyst received any compensation from the subject company in the past 12 months? Is Echelon Wealth Partners Inc. a market maker in the issuer s securities at the date of this report? Issuer Yes Page 5 of 7

6 RATING DEFINITIONS Buy Speculative Buy Hold Sell Under Review Tender Dropped Coverage The security represents attractive relative value and is expected to appreciate significantly from the current price over the next 12 month time horizon. The security is considered a BUY but in the analyst s opinion possesses certain operational and/or financial risks that are higher than average. The security represents fair value and no material appreciation is expected over the next month time horizon. The security represents poor value and is expected to depreciate over the next 12 month time horizon. While not a rating, this designates the existing rating and/or forecasts are subject to specific review usually due to a material event or share price move. Echelon Wealth Partners recommends that investors tender to an existing public offer for the securities in the absence of a superior competing offer. Applies to former coverage names where a current analyst has dropped coverage. Echelon Wealth Partners will provide notice to investors whenever coverage of an issuer is dropped. RATINGS DISTRIBUTION Recommendation Hierarchy Buy Speculative Buy Hold Sell Under Review Restricted Tender Number of recommendations % of Total (excluding Restricted) 46% 34% 12% 1% 6% Number of investment banking relationships % of Total (excluding Restricted) 40% 35% 10% 0% 15% PRICE CHART, RATING & PRICE TARGET HISTORY exactearth Ltd. (XCT - TSX) $4.00 $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 $0.50 $0.00 Feb 16 Mar 16 Apr 16 May 16 Jun 16 Price Price Target Revisions Date Target (C$) Rating 13 May 2016 $2.00 Speculative Buy Coverage Initiated: May 13, 2016 Data sourced from: FactSet Page 6 of 7

7 Toronto Wealth Management 1 Adelaide Street East, Suite 2000 Toronto, ON M5C 2V Montreal Wealth Management and Capital Markets 1501 McGill College Ave., Suite 1450 Montréal, Québec H3A 3M Vancouver Wealth Management and Capital Markets 1055 Dunsmuir St. Suite 3424; P.O Box Vancouver, BC V7X 1K Toronto Capital Markets 130 King Street West, Suite 2500 Toronto, Ontario M5X 2A Ottawa Wealth Management 360 Albert Street, Suite 800 Ottawa, ON K1R 7X Victoria Wealth Management 730 View Street, Suite 210 Victoria, BC V8W 3Y Montreal Wealth Management 1000 De La Gauchetière St. West, Suite 1100 Montréal, QC H3B 4W Calgary Wealth Management 350-7th Avenue SW, 19th Floor Calgary, AB T2P 3N Oakville Wealth Management 1275 rth Service Road, Suite 612 Oakville, ON L6M 3G Tokyo Capital Markets Holland Hills Mori Tower ; RoP # Toranomon, Minato-Ku, Tokyo, , Japan Page 7 of 7