New Architectural Coatings Technology Targeted At Stricter Hospital Infection Protocols

1. New Architectural Coatings Technology Targeted At Stricter Hospital Infection Protocols From Great Raw Materials Come Great Coatings

2. Agenda • Introduction to the Problem • Research and Input from Healthcare Decision Makers • The Technology: Durability Testing and Comparisons • Summary • Questions and Answers

3. Agenda • Introduction to the Problem • Research and Input from Healthcare Decision Makers • The Technology: Durability Testing and Comparisons • Summary • Questions and Answers

4. Hospital acquired infections are the fourth largest cause of death in U.S… Medicare Will Not Pay For Hospital Mistakes And Infections, New Rule (Source: http://www.medicalnewstoday.com/articles/80074.php) • Deadly Admissions: Hospital-Acquired Infections Are 4th-Largest Killer in U.S., But Ohioans Cannot Get Statistics to Compare Facilities • By Tracy Wheeler, The Akron Beacon Journal, Ohio • Jan. 9--But for 20 million Americans each year -- about one in every 10 to 20 patients -- a trip to the hospital results in dangerous, lingering infections, whether through surgery, dialysis, ventilators, IVs, or catheters. • At an estimated 90,000 deaths a year, these hospital-acquired infections kill as many people in the United States as AIDS, breast cancer and car accidents combined. • (Source:http://www.redorbit.com/news/health/351010/deadly_admissions_hospitalacquired_infections_are_4thlargest_killer_in_us_but/#) HOSPITAL-ACQUIRED INFECTIONS KILL 270 PEOPLE A DAY in NYC alone (Source:http://www.nyinjurytalk.com/2008/01/hospitalacquired_infections_ki_1.html) The issue is significant and actions are being taken Timing is right

5. The ProblemValue Proposition: Safety and Economics Healthcare related organizations develop more stringent standards: • The Center for Disease Control (CDC) puts out “Guidelines for Disinfection and Sterilization in Healthcare Facilities, 2008” outlining • Harsher disinfection chemicals • More frequent cleaning • The Joint Commission (TJC) incorporates tougher disinfection protocols in their guides for high risk environments in hospitals such as emergency and operating rooms, trauma bays, procedure rooms. • The Result: Traditional wall paints are not holding up long term to the increased scrubbing and harsher chemicals

6. The ProblemValue Proposition: Safety and Economics Meanwhile, insurers recognize the issue and take action: • Medicare changes their insurance protocols: • As of January 2009, will not pay for Hospital Acquired Infections (HAI) • Treatment costs will belong to the hospital • Soon after, most major medical insurers follow • The Result: Hospitals enact increased preventative measures to greatly reduce the chance for HAI for patient safety and economic viability

7. Agenda • Introduction to the Problem • Research and Input from Healthcare Decision Makers • The Technology: Durability Testing and Comparisons • Summary • Questions and Answers

8. Defining the ProblemMultiple Points in the Value Chain • To define the unmet need, we engaged stakeholders: • Hospital Facility Managers • Architect/Spec Writers • Hospital Administrators • Painting Contractors • Hospital Accreditation Organizations • And listened to how they defined the problem

9. Research from Key Hospital PersonnelGoal: Reduce repaint cycle, keep areas safe, save money • After listening, we heard that they wanted: • A more durable, scrubbable wall coating in the high risk areas • A very low odor coating that would not disrupt operations • ‘Warmer’ eggshell or matte coatings but still have durability • An easier to clean and seamless surface • Less downtime in these high operating cost areas • To use their in-house painters more on patient rooms and hallways

10. Research from Key Hospital PersonnelGoal: Reduce repaint cycle, keep areas safe, save money Values are Typical

11. Input from Healthcare CommunityHospital Facility Managers and Administrators The Preferred Attributes from Around the Country

12. The Value PropositionFrom the Hospital’s Point of View For the hospital administrator who is concerned with meeting the CDC protocols without sacrificing aesthetics and durability, a new high durability coating technology has been developed for rooms requiring frequent cleaning that offers improved durability and resistance to harsh cleaners and disinfectants without sacrificing appearance. • Compared with conventional wall paint: • 4x more durable and scrub-able • Same ease of use, color palette, and low gloss finish • Compared to tile: • 4-5x lower cost • Better design latitude for future color schemes

13. Agenda • Introduction to the Problem • Research and Input from Healthcare Decision Makers • The Technology: Durability Testing and Comparisons • Summary • Questions and Answers

14. The HD Wall Coating TechnologyArchitectural Wall Paint Alternative • Two Component Waterborne Polyurethane Technology • Built on Bayer’s HD Wall Coating Technology • Attributes: • High Durability even in an eggshell or flat finish • ‘Silky’ surface makes cleaning easier • Excellent chemical and disinfectant resistance • Very low odor during installation and drying • Ultra low VOC and solvent at 15g/l or less • Same color palette as traditional architectural wall paint

15. The Technology2K Waterborne Coatings Waterborne Technologies: • 2K chemistry with excellent overall properties “Water is Green” • Early “waterborne” coatings had as much as 300g/l of co-solvent • New commercial systems are now at 0-15 g/L • Offer viable replacement products to solventborneepoxy or polyurethane systems

16. OCN NCO OH OH OH The Technology2K Waterborne Coatings Chemistry: 2K aliphatic polyurethane based on polyurethane or polyacrylate dispersions and aliphatic isocyanates Polyurethane Dispersion Aliphatic Isocyanate React to form A Polyurethane Coating

17. Durability Testing and ComparisonTested with Typical Disinfection Chemicals **0= no stain 1= faint stain 2= yellow stain 3= brown stain *From published literature Values are typical

18. Durability Testing and ComparisonTested with Typical Disinfection Chemicals Picture 1: Typical Waterborne Acrylic Picture 2: 2K Waterborne Polyurethane

19. Comparison - Odor Testing“Sniff Test” Developed to Quantify a Qualitative Observation *values are typical

20. Additional TestingQuantitative Comparisons *values are typical

21. Agenda • Introduction to the Problem and Technology • Research and Input from Healthcare Decision Makers • Durability Testing and Comparisons • Summary • Questions and Answers

22. Summary • There is a real need for a high durability architectural wall coating due to new protocols related to Hospital Acquired Infection control • Bayer has developed a two component waterborne polyurethane technology has been developed that allows for: • High durability when exposed to harsh chemicals and repeated scrubbing • Low odor during application and drying needed in a healthcare environment • Meeting aesthetic requests for eggshell finish without compromising durability

23. Thank you!Questions?