Aestis has exclusive rights to all medical applications of patents owned or licensed by CAT. CAT pursues an aggressive and comprehensive patent strategy that has resulted in a strong patent portfolio that provides broad protection and contains the earliest patent in the field. The Company’s patent portfolio covers the three primary elements required for the use of controlled hypoxia for the treatment of obesity:

• Creation of a hypoxic environment in an enclosed space;
• Controller system; and
• Use of a hypoxic environment to produce physiological changes, which includes weight loss.

The following outlines the specific U.S. patents licensed to Aestis:

U.S. Patent 5,860,857

Method and apparatus for controlling or adjusting the atmosphere of an essentially closed space by introducing nitrogen or a mixture of nitrogen and oxygen to the space. Issued January 19, 1999 with priority date of November 9, 1993. This patent provides broad and general protection for CAT’s technology of introducing hypoxic air into a closed space such as a room or a tent. CAT is the exclusive licensee of this patent and has rights to sublicense.

U.S. Patent 6,565,624

An altitude simulation method and system for an enclosure, wherein a prediction capability is provided for predicting at least one of: a future oxygen concentration, a future CO2 concentration, and/or a future simulated altitude within the enclosure. Issued to CAT May 20, 2003 with priority date of September 6, 2001. This patent protects the fundamental elements required for an automatic control system for hypoxic air and altitude simulation.

U.S. Patent 6,827,760

An altitude simulation method system for providing a desired atmosphere within an enclosure, wherein a prediction capability is provided for predicting at least one of: a future oxygen concentration, a future CO2 concentration, and/or a future simulated altitude within the enclosure, and additionally, an oxygen concentrator is used for simulating an altitude within the enclosure. Issued to CAT in December 2004. The specification of this patent also describes the treatment of obesity and other medical conditions by means of controlled hypoxia.

U.S. Patent 7,018,443

An altitude simulation method and system for providing a desired atmosphere within an enclosure for reducing the body weight of a user who periodically resides in the enclosure. “Predictive data” is obtained for use in predicting a future gas composition in the enclosure, wherein the predictive data is dependent upon various combinations of measurements important to predicting such a future gas composition; i.e., (i) expected gas exchange rate between the interior and exterior of the enclosure, (ii) approximate volume of the enclosure, and (iii) expected performance of enclosure atmosphere modifying devices.