TWST: Please begin with a brief introduction to Telkonet, including some key highlights from its history, and an overview of the primary services and technologies the company offers.

Mr. Tienor: Telkonet (TKOI)is a clean technology company located in Milwaukee, Wis., and its stock is traded on the over-the-counter bulletin board under the symbol TKOI. Early in its history, Telkonet began as a developer of PLC, or power-line communications technology. In early 2007, we acquired two companies named EthoStream and Smart Systems International. These acquisitions were the catalyst for Telkonet's market repositioning and strategic development. In early 2008, the current management team was brought to execute on the company's vision and strategy and to grow it as a profitable enterprise.

Based on these acquisitions, Telkonet is now is comprised of two distinct divisions, the EthoStream Hospitality Network and EcoSmart Energy Management, and we specialize in intelligent networked energy-management solutions.
Our EthoStream division designs, develops, installs and services high-speed Internet access networks in more than 2,300 hotels, and provides access to more than 4.2 million monthly users, making EthoStream the most trafficked HSIA network in the U.S. The EthoStream Hospitality Network also provides marketing opportunities through its EthoStream Network Portal that is utilized by entities including Google, JiWire, iPass and others. EthoStream's business is comprised of installation and marketing revenue, as well as a significant recurring base of support revenue.

EcoSmart, our intelligent energy management products, have been installed in more than 200,000 rooms throughout the hospitality, military, education, health care and public housing markets. Telkonet's EcoSmart products are developed around a patented algorithm called Recovery Time that a) maximizes savings through efficient HVAC controls, b) increases existing HVAC equipment life through effective use of capacity, and c) increases occupant comfort through the efficient implementation of HVAC control with minimal occupant impact. These controls allow us to provide a 30% to 45% energy savings and return on investment of three years or less.

Building on this same platform of controls, we've continued to expand our competitive leadership through the deployment of our mesh-networked EcoSmart platform that allows real-time monitoring and management of savings and efficiency as well as extensive integration with third-party controls, including existing building automation systems, such as Johnson Controls or Siemens, and property management systems throughout the hospitality market. This same platform has added features including an artificial intelligence module that is able to monitor room trends, and dynamically, schedule HVAC controls as well as process traditional room scheduling features.

Finally, we've demonstrated our market leadership in this space through our commercial deployment of demand/response capabilities partnered with utilities. Existing deployments have demonstrated as much as 50% load reduction during a load-shed event. This capability shows the enormous value that this type of energy management system holds in reducing the need for new power generation.

TWST: To the extent a layperson would need to understand, please tell us how the technology works and how it saves customers' money?