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## Step 3: Affirmative Disclosure Statement

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The total number of consumers who submitted new product ideas to Davison during the past five years is six hundred forty five thousand nineteen (645,019). Davison does not provide evaluation of commercial potential; thus, it has provided no positive or negative evaluation of this or any other product idea in the last five years. The total number of consumers who were offered a Pre-Development agreement (or similar contract for research services) is two hundred forty eight thousand three hundred thirty (248,330). The total number of consumers who were offered a Contingency Agreement (or other contract for licensing representation) is two hundred two hundred forty eight thousand three hundred thirty (248,330). The total number of consumers who purchased a Pre-Development Agreement or similar contract for research services is forty seven thousand two hundred eighty four (47,284). The total number of consumers who signed a Contingency Agreement or other licensing representation agreement is forty seven thousand two hundred eighty four (47,284). The total number of consumers who were offered a New Product Sample Agreement (or any other contract for design services for a virtual or a product sample) is thirty five thousand three hundred seventy seven (35,377). The number of consumers who signed a New Product Sample Agreement or similar agreement is seventeen thousand four hundred eighty (17,480). The number of consumers who obtained a written license with a company that is not affiliated with Davison is fifty eight (58). The total number of consumers in the last five years who made more money in royalties or sales proceeds than they paid to Davison, in total, under any and all agreements with Davison, is fifteen (15). This number includes people who first made a profit more than 5 years ago, if they continued to make additional profit during the past five years. The percentage of Davison’s income that came from royalties paid on licenses of consumers’ products is .001%.

September 24, 2020

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