© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
NeracResearch & Advisory Services
For the Food and Nutraceuticals Industries
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Agenda
Introduction to Nerac, Inc.
Nerac Service Offerings
The Nerac Difference
Engaging Nerac
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Who Is Nerac?
Global research and advisory firm
for companies developing innovative
products and technologies
COMPANY TYPE: PRIVATELY HELD ESOP
Founded 1966
Employees 95 / National & International
Analysts 48 Ph.D.s, Masters, MBAs, Attorneys
Clients ~1500 Worldwide
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
How We Serve Our Clients
Unique provider
of rapid-response research
for smaller, mission- critical
engagements that require
highly experienced
expert advisors.
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
What We Do Expert Research & Advisory Services
Research and Product Development Process
— Perform opportunity vetting to accelerate critical go/no-go decisions
— Expedite regulatory filings and vigilance requirements
Business Development Process
— Identify portfolio and alliance opportunities
Technical Products & Services Marketing Process
— Understand the size and financial potential of market opportunities
Intellectual Property Management Process
— Protect and leverage IP assets through portfolio management
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
What We Do Food and Nutraceutical Chemistry
Research and Product Development Process
—Analyze agrichemical fate, transport, efficacy
and toxicology research
—Determine the safety, efficacy and bioactivity of new ingredients
—Obtain background and overview information on new fields or
innovative technologies via peer reviews and research studies,
explore new technology areas
—Supply the research required for solutions and alternatives
for day-to-day technology challenges
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
What We Do Food and Nutraceutical Chemistry
Regulatory Process
—Support US, Canadian and European regulatory submissions
with safety and efficacy determinations
—Prepare Food Additive Petitions, GRAS determinations,
assessments of health effects, validation of structure function
claims, nutritional labeling claims and food safety assertions
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Food & Nutraceutical ChemistryExamples of Recently Completed Projects
Developed health and structure-function claims for nutritional beverage
— Nerac reviewed the formulation of the client’s nutritional beverage, identified
ingredients for which FDA approved Health Claims were applicable, and drafted
FDA compliant structure-function claims for other ingredients, enabling a marketing
campaign leveraging those claims.
Identified functional ingredients supporting new pasta product development
— Nerac identified candidate functional ingredients suitable for pasta formulations that
supported satiety, digestive health and cardiovascular health claims that saved
client’s R&D staff valuable time on a time-critical project.
Intellectual property overview of ruminant feed additives delivering Iodine
— Nerac provided the client with a complete map of the intellectual property around
feed additives intended to supplement ruminant’s diet with iodine in support of client
patent counsel’s claim drafting efforts for patent protection of their new product line.
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Issue: The SVP at an international beverage company is tasked with
developing line extensions leveraging the addition of functional ingredients
to existing products. Marketing to diverse cultures with vastly different
preferences for taste and appearance of beverage products makes this a
complex challenge.
Analyst Approach: Based on Nerac’s analysis of available functional
ingredients, their safety and efficacy data, solubility and bioavailability,
availability and cost per serving, regulatory status and IP encumbrances,
Nerac identified and ranked suitable alternatives for the spectrum culturally
driven new products from among the thousands of available alternatives.
Client Benefit: Nerac’s comprehensive assessment was data driven and
ingredient focused. The client was spared considerable development time
and expense, and was able to quickly bring new line extensions to market.
Food & Nutraceutical ChemistryClient Impact Case Study
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
What We Do Food Packaging
Research & Product Development Process
— Familiarize clients with the fundamentals of food and pharmaceutical
packaging regulation, and monitor regulatory developments
— Provide early stage vetting of technology, products and companies and
provide support to make go/no-go decisions
— Identify barriers to market entry early in the development process, and
match new markets for existing technology
— Supply the necessary research and due-diligence required to provide
solutions and alternative approaches for day-to-day technology
challenges
— Obtain background and overview information on new fields or innovative
technologies via peer reviews and research studies, explore new
technology areas
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
What We Do Food Packaging
Regulatory Process
— Determine the compliance status of existing products
— Advise clients regarding regulatory implications of changes in
composition, formulation or structure of existing products
— Develop and manage comprehensive programs to bring regulated
products to market, vetting product formulation alternatives for their
regulatory impact at the earliest possible stages of the development
process
— Prepare and submit Food Additive Petitions, Food Contact Notifications,
Type III Drug Master Files and EFSA Dossiers to obtain regulatory
approval, or demonstrate exemption from regulation
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Food PackagingExamples of Recently Completed Projects
Regulatory analysis of thermolabile colorants
— Nerac reviewed the formulation of a polymer masterbatch containing thermolabile
colorants, particularly colorant synthetic byproducts and residual solvents,
determining compliance with applicable FDA food contact regulations, and allowing
client to market thermolabile children’s drinking straws that change color as cold
liquid beverages are drawn through them.
Identified suppliers for critical elements of client’s new product
— Nerac identified FDA and EU food contact compliant injection moldable
thermoplastic rubber chemistries suitable for over-molding with polyolefins, saving
the client’s engineering staff valuable time on a time-critical project.
Regulatory overview of antimicrobial plastics additives intended for food contact
use in EU member states
— Nerac provided the client with a complete map of the various EU level and member
state regulations governing antimicrobial plastics additives to facilitate European
market entry for an existing FDA approved product.
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Issue: A corporate R&D Manager at a US polymer manufacturer is interested
in introducing their eco-friendly rigid polymer foam to the food contact
market for use in insulation of food-holding refrigeration units.
Analyst Approach: Based on Nerac’s analysis of the product formulation and
its intended use, all but one of the formulation components was determined
to be compliant with existing laws and regulations. The one non-compliant
formulation component was determined to be GRAS, and thus exempt from
regulation by FDA. Nerac Analyst staff prepared appropriate documentation
of the GRAS status for that formulation component.
Client Benefit: Nerac’s comprehensive assessment allowed direct
introduction of an existing product into an entirely new market with no
reformulation and no additional development cost.
Food PackagingClient Impact Case Study
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Case Study Example Functional Beverage Product Development
An SVP at an international beverage company is tasked
with developing product line extensions leveraging the addition
of functional ingredients to existing products. Marketing to diverse
cultures with vastly different preferences for taste and appearance of
beverage products makes this a complex challenge. Nerac was engaged
to evaluate the various key drivers for ingredient selection including:
a. Safety and efficacy
b. Allowable health claims
c. Regulatory status
d. IP encumbrances
e. Taste, palatability, consumer appeal
f. Ingredient availability and cost per serving
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Case Study Example (continued)
Functional Beverage Product Development
Approach: Nerac’s analysis of available data elucidating
the key drivers for all available ingredients allowed the palate of options
to be reduced from thousands of ingredients to just 19 that were safe,
functional, cost effective, unencumbered by IP and appealing to consumers
from diverse cultural and national backgrounds.
Result:― Based on Nerac’s data driven and ingredient focused
approach, viable options were quickly identified from
among thousands of alternatives.
― Nerac provided a scoring and ranking system to visualize
the data and facilitate decision making.
― The client was spared considerable development time
and expense, and was able to quickly bring new line
extensions to market.
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Case Study ExampleFunctional Beverage Product Development
Brenda Van GoethemB.S., Bacteriology,
University of Wisconsin-Madison
Andrea BoccacinoM.A. Nutrition & Food, New York
University, New York City
Jeff EberhardPh.D., Environmental Health,
University of Cincinnati College of Medicine
Shahana JahangirM.S., Food Science, Virginia Polytechnic
Institute and State University
Shanon TruemanM.S., Microbiology,
University of Massachusetts
Nerac Analyst Bios
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Case Study Example GRAS Exemption of Food Contact Polymer
A corporate R&D Manager at a US polymer manufacturer
is interested in introducing their eco-friendly rigid polymer foam to the food
contact market for use in insulation of food-holding refrigeration units.
Nerac Analysts assessed the key factors driving the regulatory status of the
client’s product:
a. Formulation components and use levels
b. Intended use scenario
c. Regulatory status of components and
impurities, byproducts, residual solvents
d. Toxicology of formulation components
that lack appropriate status
e. Potential for exposure to formulation
components that lack appropriate status
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Case Study Example (continued)
GRAS Exemption of Food Contact Polymer
Approach: Based on Nerac’s analysis of the product formulation
and its intended use, all but one of the formulation components was
determined to be compliant with existing laws and regulations. The one
non-compliant formulation component was determined to be GRAS, and
thus exempt from regulation by FDA. Nerac Analyst staff prepared
appropriate documentation of the GRAS status for that formulation
component.
Result: Nerac’s comprehensive assessment allowed direct introduction of
an existing product into an entirely new market. ― No reformulation
― No development cost (other than Nerac engagement)
― No involvement of FDA’s Center for Food Safety and
Applied Nutrition
― Product marketed on the basis of Nerac’s GRAS
determination, and resulting exemption from regulation
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Case Study ExampleGRAS Exemption of Food Contact Polymer
Irene ZajacM.S., Biochemistry, University of North Carolina
at Chapel Hill
Jeff EberhardPh.D., Environmental Health,
University of Cincinnati College of
Medicine
Richard HendriksPh.D., Neuroscience, University
of Melbourne, Australia
Mark PolaskyPh.D., Chemical Engineering, University of
Akron
Richard LeavittPh.D., Biochemistry, University of Pittsburgh
School of Medicine
Nerac Analyst Bios
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
The Nerac Experience
In Just Days
Nerac can move from
scoping client need to
project execution
A Turn-Key Research Operation
Confidential Collaboration
with highly skilled research
staff as an extension
of your team
High Impact Results
tailored to client scope,
timing and budget
Seamless
Partnership.
Rapid
Progress.
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
The Nerac DifferenceRapid Response, Highly-Skilled Expert Advisors
• Seamless teaming with client staff to form a trusted partnership
• Flexible engagements which offer rapid, impactful results
• Custom research services tailored to client scope, timing and budget
• Unique blend of Nerac Analysts’ keen insights and industry experience
• Unwavering integrity and relentless protection of client information
• Nerac researchers, analysts and IP advisors bring four decades experience
serving thousands of food & nutraceutical companies
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Engaging Nerac Simple & Flexible Agreements
EXPERT RESEARCH
REQUEST SERVICES
Source and synthesize relevant information
from many sources
Administer and manage alerts
Research key resources, including
scientific, technical, medical and patent
sources
Contact industry, commercial, academic, or
government facilities
Discuss research or business challenges
and needs
Designed for individuals who prefer
to conduct their own synthesis and
analysis
RESEARCH & ADVISORY
SERVICES
Expert analysis of business and
technical information to produce
actionable insights
Data-driven evaluation of technical,
business and intellectual property
trends
Designed for individuals who
want expert analysis and opinion
in addition to sourcing and
synthesis
SPECIAL PROJECT SERVICES
Scope of work to be defined under a
specific agreement
Designed for large engagements
executed for a fixed price
© 2010 All Rights Reserved. Nerac Inc. | 1 Technology Drive, Tolland, CT 06084
Next Steps
Define Need
Assign and Introduce Analyst or Team of Analysts
Schedule Scoping Meeting
Distribute Agreement for Review and Sign-off
Project Launch Meeting/Discussion