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## aveNaNthraMides - Our flagship i NgredieNt 

Avenanthramides are a largely unknown group of therapeutic molecules found exclu- sively in oats, yet when it comes to our customers, it is how we are best recognized. Ceapro is the only commercial manufacturer of avenanthramides worldwide. Given their potent anti-inflammation, anti-histaminic, and anti-oxidant properties, these molecules are responsible for the therapeutic benefits and relief of symptoms in skin conditions resulting from eczema, chicken pox, and insect bites. 

Recent findings from third parties are also of the highest interest to Ceapro. Their data suggest that avenanthramides, when taken orally, could be beneficial in serious con- ditions like inflammatory bowel syndrome, atherosclerosis, colon cancer, and joint in- flammation. These findings led to the idea that avenanthramides could be developed as an active pharmaceutical ingredient (API). In order to achieve this, we need to produce them in adequate quantities to allow for a bioavailable formulation that will enable us to conduct clinical trials to demonstrate their safety and efficacy in targeted indications. So far, Ceapro has developed a robust process to extract avenanthramides from oats and this product has been sold exclusively to the personal care market. Due to the scarcity of suitable oats to extract, there have only been sufficient quantities available to serve the personal care market even though tremendous opportunities may exist in the func- tional food and pharmaceutical markets. We expect to change that in the near future. 

## Agriculture and Agri-Food Canada (AAFC) Alliances 

During 2012, Ceapro entered into two key agreements with Agriculture and Agri-Food Canada (AAFC) that have the potential to be transfor- mative for Ceapro and allow for the exploitation of huge opportuni- ties not possible otherwise. The first was a form of patented malting technology and the second was a new variety of oats (non-GMO) with very unique characteristics. When these two technologies are used to- gether, Ceapro will have the ability to increase the content and con- centration of avenanthramides from typical very low, non-commercial levels to levels far in excess of the best commercial oats on the market and that Ceapro has used to date. Studies conducted at two Univer- sity hospitals in the United States have determined that oats will need higher levels of avenanthramides in order to obtain a dose with signifi- cant beneficial effects. The positive implications of these technologies are very substantial and include: 

1. A large increase in extraction yield and gross margin for the exist- ing business. 

2. The ability to consider avenanthramide-rich oat products as a ther- apeutic food or a nutraceutical as a solution to some of the medical indications. 

3. The possibility to get into the trendy “botanical drugs” area to ad- dress unmet medical needs, especially with our new purification techniques currently being scaled up. 

Avenanthramides are a good illustration of Ceapro’s innovative capac- ity that, when combined with other technology advancements, can be- come a multi-platform product in large unmet health sectors. 

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