Combined Company Presentation, January 2014

North Shore Mining Group

Combined Company Presentation, January 2014 VMS OWNS 23.9% OF NAN

TSX.V:VMS TSX.V:NAN

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TSX-V : VMS

Forward Looking Statements:

Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward-looking statements that involve various risks. The following are important factors that could cause the Company’s actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. There can be no assurance that forward-looking statements will prove to be accurate as actual results and future events may differ materially from those anticipated in such statements. VMS Ventures Inc. and North American Nickel undertakes no obligation to update such forward-looking statements if circumstances or management’s estimates or opinions should change. The reader is cautioned not to place undue reliance on such forward-looking statements.

TSX-V : NAN

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VMS Ventures: Overview

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Reed Copper Deposit discovered 2007

June 2010: Joint Venture signed with HudBay

Minerals as operator(T.HBM); 70% HBM & 30%

VMS carried to production.

Reed Copper Deposit Prefeasibility Mineral Reserves:

2.16M tonnes of 3.83% Cu, 0.48 g/t Au, 6.02 g/t Ag

Underground development continues; Full

production to begin 2014; cash flow expected in

2015

Well funded; over $6M in the treasury

Market Cap: ~ $30M

Other assets :

VMS owns 23.9% of North American

Nickel (NAN.TSX.V) (current value ~

$10M)

Large 100% owned land package in the

Snow Lake-Flin Flon Greenstone Belt in

Manitoba, Canada;

CAPITAL STRUCTURE

(as at January, 2014)

Issued & Outstanding: 129,730,899

Warrants: 163,333

Options: 8,692,500

Fully Diluted: 138,586,732

52 Week High/Low $0.28/$0.15

YTD Performance 29.0%

Current Price $0.245

www.vmsventures.com

Reed Copper Project

www.vmsventures.com 4

Reed Copper Project

VMS owns 30% of the project and is financed to production

Borehole Pulse Electromagnetic targets indicate the deposit remains open at depth.

First production of 7000 tonnes completed in September

4500 tonnes of ore milled during the month of September

Full production to begin 2014

Cash flow expected in 2015

Open Down Plunge

VMS-HudBay Reed Project Mine


Reed Copper Mine: Cash Flow Expected In 2015

The high grade nature of the Reed Copper deposit gives the project strong leverage to

copper prices.

The following table shows a copper price sensitivity analysis based on the operating parameters

set out in the Prefeasibility Study Published in May 2012:


PFS VMS Ventures VMS Ventures Inc. VMS Ventures Inc. VMS Ventures Inc. VMS Ventures Inc.

Cu = $3.25/lb USD Cu = $3.00/lb USD Cu = $3.30/lb USD Cu = $3.50/lb USD Cu = $4.00/lb USD

Prices and Exchange Rate

Copper (USS/lb) $3.25 $3.00 $3.30 $3.50 $4.00

Gold (US$/oz) $1,500.00 $1,300.00 $1,300.00 $1,300.00 $1,300.00

Silver (US$/oz) $30.00 $22.00 $22.00 $22.00 $22.00

US$/CDN$ 1 1 1 1 1

Pre-tax

VMS Reed Cash Flow $43,228,000 $29,530,000 $44,278,000 $54,110,000 $78,691,000

Assets and Opportunities

The Reed Copper Mine

Cash flow expected to commence 2015

Underground drill stations will explore for additional ore bodies and further define the size of the deposit.

Full production 2014.

$6M and cash flow coming = New Opportunities

We are actively seeking an advanced stage project and are continuously reviewing prospective projects. The

current business climate is favorable for high value acquisitions as companies struggle to raise money and

finance projects.

North American Nickel (VMS owns 23.9% of NAN Shares)

The world’s next nickel sulphide camp? NAN is exploring a camp scale property near Maniitsoq, on the S.W

coast of Greenland.

Why Own VMS


Acquired the (Sudbury Basin sized) Maniitsoq

property in Greenland in August, 2011; 100% owned.

High grade nickel sulphide mineralization (locally

over 7% nickel at Imiak Hill) intersected in 2013

drilling

Over 100 conductive target zones identified

through Helicopter EM (VTEM) geophysical surveys

Extensive prospective belt (15km x 75km) hosting

mineralized intrusions within a large meteor impact

structure

$8M invested to date; Cash position today $6.2M

VMS Ventures holds 23.9% of NAN shares

Sentient Group holds 39.04% of NAN shares.

(the Sentient Group manages over $2.7B in quality

metal, mineral and energy assets across the globe.)

CAPITAL STRUCTURE

(as at January, 2014)

Issued & Outstanding: 140,576,584

Warrants: ($0.21 - $1.00) 25,431,144

Options: 7,887,500

Fully Diluted: 173,895,228

52 Week High/Low $0.47/$0.12

YTD Performance 87.5%

Current Price $0.30

www.northamericannickel.com

North American Nickel: Overview

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Nickel Supply/Demand: In Our Favor

The Nickel market is likely to face large deficits in 2nd half of this decade – only a doubling of NPI output could

balance it (difficult given Indonesian ore constraints combined with Chinese cost pressures) Nickel prices, as in

2005‐2007, will likely have to rise to force demand in line with available supply.

China is going to need 1+ MILLION tonnes more nickel annually during this decade and ROW will

also need more.

Supply response will be structurally insufficient as current projects under construction only

provide half this requirement (at best, as many are struggling) and “project cupboard” is largely

empty ‐ underpinned by 35+ years of underdevelopment.

Limited interest in new HPAL projects, no new high grade (>2%) FeNi projects in 30 years.

Few sulphide projects discovered/developed.

www.northamericannickel.com 9

Courtesy of Royal Nickel

Presentation Jakarta, Sept. 2013

Website: www.royalnickel.com/presentations.php

http://www.royalnickel.com/presentations.php







TSX-V : NAN

Maniitsoq Project

Sulphide Hosted Nickel Copper Cobalt & Precious Group Metals

Southwest Greenland

100% Owned


Location

Maniitsoq harbour looking east towards the Maniitsoq project on the mainland

Located on the southwest coast of Greenland, which is pack ice free year-round.

Maniitsoq’s mild climate allows for all year round mining & shipping of concentrate.

Greenland is a democratic, pro-mining country with a transparent regulatory system, competitive mining tax regime and no land claims issues.

Maniitsoq Ni-Cu-Co-PGM Project

South West Greenland


Property

Greenland’s capital, Nuuk, is 30 minutes by helicopter and provides European standard coastal re-supply and logistics facilities 4 to 6 hours shipping time to Maniitsoq coastline.

Maniitsoq is a greenfields nickel sulphide exploration project with valuable by-products,

NAN owns 100% of Maniitsoq via two contiguous exclusive mineral exploration licences covering 3,336 km2 *.

Maniitsoq has the scale and the potential metal endowment to be the world’s next nickel sulphide province.






Project Geology

Nickeliferous Noritic Intrusions

Concentrated in a 75 x 15 km curvilinear belt known as the Greenland Norite Belt.

Range in size from small dykes and plugs to elongated bodies covering up to 8 km2. (Fossilik intrusion, new discovery Sept. 26, 2013)

Xenoliths of crushed orthogneiss and fluidised microbreccia indicate they post date impact.

Believed to represent open ended magma conduits.




Distinct Appearance

Rounded hills covered with brownish-grey, often rusty, coarse gravel.

Multi-phase: compositions range from quartz diorite, through norite, to lherzolite. Gabbronorite is most common.

Magmatic and cumulus textures often well preserved. Locally pyroxenes are partially or completely replaced by hornblende.

Post Kinematic

Massive, little or no foliation except at margins.

Contacts often crosscut country rock foliation.

Norite Intrusions




Consists of monoclinic pyrrhotite, pentlandite, chalcopyrite and pyrite.

Often coarse-grained.

Likely to produce a clean concentrate.

Inclusion-bearing sulphide (i.e. solid sulphide matrix with fragments of host rock) is a common texture.

Disseminated, blebby, net texture and vein sulphides are also common.

Sulphide

Mineralization




Historical Work

Kryolitselskabet Øresund, 1962 to 1973: extensive mapping, prospecting defining the trend and shallow diamond drilling (average hole length <55 m), no subsurface geophysical modelling to orientate drilling but some success: Imiak Hill: 9.85 m @ 2.67% Ni and 0.60% Cu

Cominco & Falconbridge, 1993 to 2000: Cominco flies extensive fixed wing time domain EM unsuited to undulating terrain and hampered by flight path

Falconbridge completed surface magnetic and EM surveys, plus extensive high quality re-analysis of historical core that confirmed historical high-grade assays and establish Maniitsoq nickel tenor.

Neither Cominco nor Falconbridge did any drilling.




Ni vs. S for Historical GNB Drill Core

Nickel tenor is the amount of nickel in pure sulphide and it tends to be consistent on a deposit scale.

Falconbridge studied core from 119 drill holes around the entire 75km Greenland Norite Belt.

The norite hosted sulphides have a remarkably consistent nickel tenor of 6 to 8% Ni recalculated to 100% sulphide.

Nickel Tenor

The Nickel Calculator


Maniitsoq Project

2011 / 2012 Advancements




Total of 5,746 line-kilometers of helicopter borne SkyTEM / VTEM covering approximately 860km2 mainly focused on the Greenland Norite Belt (GNB) but small survey also flown over the Pingo showing (about 15 km to the northwest of the GNB).

Nominal flight line spacing of 200 to 100 meters.

102 conductive zones recognized to date.

Map shows total magnetic intensity reduced to pole and electromagnetic anomaly picks over the GNB.

The resulting identified conductors are 3 dimensionally modeled, providing low risk sub surface drill targets that returned significant drill intercepts

Helicopter TDEM

New Technology in an Old Camp

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2012 Drill Program

1,551 METERS in 9 HOLES in 3 AREAS

Spotty Hill VTEM conductor P-55 tested intercepts:

123.94 m at 0.81% Ni, 0.21% Cu, 0.03% Co and 0.26 g/t PGM*

incl. 24.20 m at 1.75% Ni, 0.34% Cu, 0.06% Co and 0.52 g/t PGM*

Imiak Hill VTEM Conductor P-54 tested intercepts:

26.98 m at 0.98% Ni, 0.44% Cu and 0.04% Co

incl. 16.64 m at 1.36% Ni, 0.52% Cu and 0.05% Co

Fossilik II VTEM conductors P-58 & P-59 tested:

Anomalous mineralization and off hole BHEM conductors (future drill

target: see Sept. 26, 2013 results)




2012 QEMSCAN Mineralogical Study

HIGHLIGHTS:

To identify and quantify nickel and copper-bearing minerals in

three high-grade samples from Imiak Hill and Spotty Hill and to

determine the liberation and association characteristics of nickel

and copper sulphides in the samples. The study was performed

by SGS Canada Inc.

Sample Zone Hole # From (m)

To (m) Length

(m) Ni (%) Cu (%) Co (%)

L163163 Imiak Hill MQ-12-001 15.39 16.00 0.61 4.35 0.14 0.10

L163164 Imiak Hill MQ-12-001 16.00 16.94 0.94 3.28 1.69 0.14

L163593 Spotty Hill MQ-12-005 119.41 120.57 1.16 3.50 0.20 0.11

Samples selected by NAN that were used in the study (assays by ActLabs)

All three samples show high potential nickel

recovery. Mineralogically limiting grade-recovery

curves indicate maximum potential nickel grades of

35% at recoveries of 84 to 87%.

Pentlandite is the main nickel-bearing mineral and

contains 95.5 to 96.3% of all the nickel in the

samples. Silicate hosted nickel comprises less than

1% of all the nickel.

Pentlandite P80 grain sizes range from 53 to 65 μm.

Total potentially floatable pentlandite ranges from

96.3 to 97.6%.

Entirely hosted by chalcopyrite.

Chalcopyrite P80 grain sizes range from 30 to 40 μm.

Mineralogically limiting grade-recovery curves indicate

maximum potential copper grades of 34% at

recoveries of 52 to 77%.

Total potentially floatable chalcopyrite ranges from

87.1 to 95.4%.

Nickel

Copper




Nickel Deportment

Elemental Deportment (Mass % Ni)

Mass (

% N

i)

Legend

Pentlandite is the main nickel-

bearing mineral and contains 95.5 to

96.3% of all the nickel in the

samples.

Pyrrhotite hosts 2.71 to 4.03% of

the nickel

Silicates host < 1% of the nickel.

Sample


Maniitsoq Project

2013 Advancements




2013 Drill Program

25 holes totaling 4,266 meters completed.

Four significant intersections at Imiak Hill

(Aug 23, Sept 4 and Nov 5 news releases).

New zone of near solid to solid sulphides

intersected at Imiak North

(Sept 12 and Oct 23 news releases).

Fossilik: Potential for tonnage, 9km from Imiak

Hill (Sept 26, 2013 news release).

Spotty Hill: additional disseminated

mineralization intersected (October 23 news

release)

Recognition of the Imiak Hill Conduit Complex

Results released to date:


IMIAK HILL

IMIAK NORTH

SPOTTY HILL



Imiak Hill Conduit Complex (IHCC)


12 km2 area at north end

of the Greenland Norite

Belt

Three mineralized

norites within a 2 km

radius

Imiak Hill

Imiak North

Spotty Hill

Only 25 km from nearest

tide water at Kangia

Fjord



Mantle melting in response to a giant impact.

Hot ultramafic magma flows to surface through a

“conduit system” comprised of restricted conduits

and larger magma chambers.

Hot magma assimilates country rock (locally sulphidic)

resulting in sulphur saturation and production of a

sulphide liquid.

Ni+Cu+Co±PGE sulphide collects in zones of lower

velocity within the conduit system.

Continual magma flow upgrades the nickel tenor of

sulphide already deposited.

Magmatism eventually ceases and conduit system is

preserved as noritic rock.

Over time, uplift and erosion expose parts of the

magma conduit system and some of the

Ni+Cu+Co±PGE sulphides.

Modified after Maier et al., 2001

Deposit Model


J. Mungall, Ni Short Course Fig 4

Potential Sulphide

Accumulation Sites

in a Magma Conduit



Imiak Hill Conduit Complex: 3 Mineralized Intrusions




Imiak Hill Longitudinal Section

NAN’s 2013 drilling has intersected Zones 10 and 30 at

depth. Deepest intersection is 185m vertically below

surface.

Zone 30 sulphide mineralization is increasing in intensity

with depth.

2013: Oct. 10, 2013 News


MQ-13-023 (Zone 10) 10.33m (5.94m) @ 1.10% Ni, 0.38% Cu

MQ-13-028 (Zone 30) 24.75m (11.08m) @ 3.19% Ni, 1.14% Cu

MQ-13-026 (Zone 30) 25.51m (11.94m) @ 3.25% Ni, 0.48% Cu

MQ-13-019 (Zone 30) 8.68m (5.58m) @ 1.53% Ni, 0.43% Cu

MQ-13-024 (Zone 30) 14.90m (8.33m) @ 2.67% Ni, 0.39% Cu

MQ-13-019: 8.68m (5.58 m)* @ 1.53% Ni, 0.43% Cu, 0.06% Co

MQ-13-024: 14.90m (8.33 m)* @ 2.67% Ni, 0.39% Cu, 0.09% Co

MQ-13-026: 25.51m (11.94 m)* @ 3.25% Ni, 0.48% Cu, 0.11% Co

Incl. 18.62m (8.70 m)* @ 4.31% Ni, 0.62% Cu, 0.14% Co

MQ-13-028: 24.75 m (11.08m)* @ 3.19% Ni, 1.14% Cu, 0.11% Co

Incl. 17.91m (8.10 m)* @ 3.80% Ni, 1.42% Cu, 0.13% Co

And 2.40 m (1.10 m)* @ 4.44% Ni, 1.13% Cu, 0.15% Co

BHEM response is also increasing with depth.

Open at depth.

*Estimated true width is shown in brackets



Intersection is hosted in noritic

rock.

Textures, such as inclusion-

bearing massive and semi-

massive sulphide, are similar

to those seen in 2012 holes

MQ-12-001 and 002.


IMIAK HILL DIAMOND DRILL HOLE MQ-13-026

156.70 TO 175.32 Meters

(18.62 meters)

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55.75 m @ 1.28% Ni, 0.36% Cu, 0.04%Co, 0.06 g/t TPM

Incl. 9.99 m @ 4.65% Ni, 0.33% Cu, 0.13% Co, 0.14 g/t TPM

Imiak North Discovery – Assay Results


64.11 m @ 0.44% Ni, 0.20% Cu, 0.01%Co, 0.04 g/t TPM

Incl. 24.98 m @ 0.71% Ni, 0.31% Cu, 0.01% Co, 0.07 g/t TPM

2013 ADDITIONAL DRILLING:

2012 DISCOVERY:



Spotty Hill

123.94 m of high grade sulphides in hole MQ-12-005.

119 m of anomalous mineralization in MQ-12-009.

Significant 2012 Drill intersections from Spotty Hill


123.94 m @ 0.81% Ni, 0.21% Cu, 0.03% Co, 0.26 g/t PGM

Incl. 24.20 m @ 1.75% Ni, 0.34% Cu, 0.06% Co, 0.52 g/t PGM

Incl. 8.20 m @ 2.39% Ni, 0.21% Cu, 0.07% Co, 0.60 g/t PGM

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MQ-13-022

Collared 53 m southeast of MQ-12-005.

Intersected 20.07 m grading 0.68% Ni, 0.28% Cu,

0.02% Co and 0.32 g/t TPM.

Including 2.07 m assaying 2.03% Ni, 0.11% Cu,

0.07% Co and 0.78 g/t TPM.

Size of the Prize: Some Context

“To date, core analysis (2012 assay data) suggests an admixture of 100 percent iron sulphide

(pyrrhotite - pyrite) - nickel sulphide (pentlandite) could carry 6 to 8% nickel - this is a guessing

game, but 2012 data provides some substance to this qualitative view:”

In Situ Metal Value: What is Nickel Worth in the Ground?

10Mt Deposit at 2% Ni (7lb) = $2.8B

15Mt Deposit at 1.2% Ni (7lb) = $2.5B

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Three intrusions comprising the Imiak Hill Conduit Complex (IHCC) all with significant sulphide mineralization and open at depth. The 3 conduits may converge into a single larger source deposit at depth!

Additional mineralization and target zones within 10 km of IHCC.

Very large, underexplored, new area with potential to host multiple deposits.

Sulphide nickel deposits are the high value source for the worlds nickel and are in decline as a source.

Summary


What’s Next Spring 2014 commence deep penetrating ground geophysical surveys to develop deeper targets at the Imiak Hill

Conduit Complex.

Begin focused drilling to expand and define mineralized zones.

Test down plunge of near solid to solid sulphide and disseminated mineralization at Imiak North, Spotty Hill, Imiak North and Fossilik zones

Drill test priority regional target zones across the belt along with additional helicopter geophysical surveys to explore targets throughout the project area.

NAN’s holds 100% exclusive rights to explore the Greenland norite Belt and significant nickel occurrences in the area.

VMS/NAN Management

Rick Mark, M.Ed (Admin) CEO & Chairman VMS & NAN: Rick has over 25 years experience in the public market

place. He is also CEO & Chairman of Harvest Gold Corporation (HVG-TSX.V), a December 2005 "spin off" from VMS,

and is the President and CEO of Pancontinental Uranium Corp. (PUC-TSX.V).

Neil Richardson P. Geo. COO, VMS & NAN: Neil has a long history of mineral exploration and mining experience

with HudBay Minerals and others. As the COO of both companies, Neil is responsible for developing and implementing

exploration programs .

John Pattison, P. Geo., B.Sc. Chief Geologist VMS and NAN: John worked with Falconbridge Limited and

associated companies for 19 years managing base metal, PGE and gold exploration projects throughout Canada and

southern Africa. He is the lead project geologist for the Maniitsoq, Greenland nickel project.

Mark Fedikow, HBSc., M.Sc., Ph.D., P.Eng., P. Geo., C.P.G. : President & Director NAN, VP Exploration VMS: Mark

has 35 years of industry and government experience including Chief Geologist of the Mineral Deposits Section in

Manitoba. He is a recipient of the Canadian national award for outstanding geoscientific achievement.

John Roozendaal B.Sc, President of VMS, Director of NAN: John was the founding director of VMS Ventures Inc.

He has 20 years of Mineral Exploration experience and was directly involved in the Reed Copper discovery.


Independent Directors & Advisory Boards Independent Directors

Gilbert Clark, Director, NAN: Mr. Clark is a European based Geologist with more than 13 years of industry experience; principally in mining

and international resource developments. He is currently an Investment Advisor with The Sentient Group, an independent private equity

investment firm specializing in the global resources industry.

Don Whalen, Director & Audit Committee Chair, VMS: Don was Executive Chairman and Director of High River Gold Mines. Before

joining High River, he held numerous marketing, technical and management positions over a 29 year career with IBM Canada Ltd.

Jim Clucas, Director & Audit Committee Member, NAN: Jim was Chief Financial Officer of Inco’s Canadian operations and has been

involved in the development of several mineral deposits, including the Snow Lake Mine (High River Gold Mines), Montana Tunnels (Pegasus

Mining) and the Fenix Project in Guatemala. He was the founder of International Nickel Ventures Inc. which acquired and developed the Santa

Fe/Ipora Nickel Laterite deposit in Brazil. Jim is currently President and CEO of Search Minerals.

Advisory Board

Dr. Tony Naldrett: Tony is an internationally recognized expert in the field of nickel sulphide mineralization and was Professor of

Geology at the University of Toronto from 1967 to 1998. He has authored or co-authored over 240 refereed papers and 8 books and has

supervised 15 M.Sc. and 16 Ph.D. students and 15 Postdoctoral Fellows with focus on magmatic nickel, copper and platinum-group element

sulphide deposits, worldwide.

Mr. Alex Balogh: Alex is the former Chairman and CEO of Falconbridge Ltd., Deputy Chairman of Noranda Inc. and CEO of Noranda

Minerals Inc. He has served as Chairman and Director for various mining organizations, sits on The Sentient Council and is a current member

of the Advisory Board of Hatch Associates. Mr. Balogh is a metallurgical engineer and has more than 40 years of experience in the mining and

metallurgical industry.

Dr. James M. Patterson , P.Geo., Ph.D. , Technical Advisor: James is the former Geological Consultant, Vice President Exploration

and VP & Executive Consultant with FNX Mining Company Inc. He was instrumental in the revival and building of the company from a

market capitalization of $20 million to $2.5 billion. Dr. Patterson has over 40 years experience in mineral exploration globally. Dr. Patterson

received his Ph.D. Mining Geology from the University of London, England, Diploma of Imperial College from Imperial College, London,

England, BA (Honours) in Natural Sciences – Geology from Trinity College, University of Dublin, Ireland, and has over 25 publications on

mineral exploration.


Why Buy NAN?: World’s Next Nickel Camp

Investor Risk Mitigation: These “boxes” are already ticked

Greenland is a secure political jurisdiction supported by pro-mining government;

Significant historic exploration data and drill core analyzed and interpreted by NAN

Maniitsoq’s geology is exemplary for district scale nickel potential:

Abundance of Ni-Cu sulphide occurrences at surface & in drilling;

High Nickel tenor – consistent across 7KM belt

Major, long lived structures; and

Large-scale mafic igneous event associated with meteorite impact

QEMSCAN testing suggests good recoveries expected

Modern helicopter “terrain hugging” surveys optimal for Maniitsoq’s topography and mineralization immediate success >100 EM anomalies

Access to ice free tide water, 12 month of the year: Moderate climate

Low cost power potential, (hydro electricity generation) and near by access to deep water shipping

Management has a discovery track record;

NAN has a strategic investor: The Sentient Group; owns 39.04% (VMS Owns 23.9%)

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Combined Company Presentation, January 2014

Business

Transcript of Combined Company Presentation, January 2014