Søren Nielsen President
People First Delivering i on our promise Meeting the needs of a new generation of users with modern hearing care solutions based on the left side of our model: people insight, audiology, technology and empowering people. 2
Our People First promise 3
Our promise Creating impact and end-user satisfaction Beyond propelling speech intelligibility to greater heights, is setting new standards in sound quality, spatial awareness and connectivity. These are the areas where by providing extreme signal authenticity we can create the greatest impact in terms of end-user acceptance and satisfaction. 1. Sound Quality 2. Spatial Sound 3. Wireless Connectivity 4
Audiology A natural approach to hearing We believe in supporting the entire auditory system by utilising our strong wireless capabilities to keep sounds as natural as possible, for as long as possible. What we believe in Empowering users to get the best out of their residual hearing Supporting the entire auditory system with as much detailed auditory information as possible Keeping sound as natural and transparent as possible How we deliver Preserving signal fidelity for true-to-life sound quality Preserving naturally occurring cues to maximise spatial awareness Offering flexibility to address individual user needs What end-users achieve Maximum understanding di with minimum effort Extra energy for other activities iti A natural, 3-dimensional listening experience A stronger connection to people and places 5
Technology Wireless technology that t supports the way the brain works The best way to improve speech understanding in noisy and challenging situations is by utilising wireless capabilities to manage signal fidelity and sound quality simultaneously. Core Technologies Wireless processing Wireless connectivity RISE II next level of processing Spatial Sound: True wireless binaural With the solution, users only need one unit, the With increased calculating power and double the processing processing Streamer, to operate their mobile speed, this platform promises Spatial noise management or landline phone, TV or music more efficient signal processing Extended bandwidth player. The Streamer even acts than ever. RITE technology as a remote control for their Open fittings hearing instruments a benefit RISEII in Agil ( s no other solution on the market new Premium performance instrument) Speech Guard: can offer. with Speech Guard, Floating linear gain Spatial Sound 2.0 and Connect [+]. 6
Segments Four segments define the hearing care market The hearing care market can be divided id d into four distinct t segments: first-time ti users, experienced users, Power instrument users and paediatric users. First-time users Experienced users Power users Paediatric users 7
Portfolio One portfolio for all four segments 8
Portfolio One portfolio for all four segments Performance line for people who demand highest possible performance, authentic sound quality and extreme flexibility Design line for people who appreciate discreet, attractive designs Power line maximum audibility and reliability for people with severe to profound hearing losses Paediatrics line designed to help children and young adults achieve their full potential Drivers: Performance Natural sound Breakthrough technology Options Flexibility Customisation Discretion Drivers: Discretion Attractive design Ease of use Reliability Instant acceptance Speech clarity Natural sound Drivers: Speech intelligibility Audibility Reliability Functionality Connectivity options Design Drivers: Speech development FM and connectivity Reliability and durability Visual functionality Ease of use Size Colours 9
Agil Agil the new benchmark for natural hearing Agil reaches new heights in signal fidelity and speech understanding by implementing three innovative audiological concepts: Spatial Sound 2.0 Speech Guard Connect [+] 10
Update on clinical trial Final data from two-site international study and claim test data from internal tests 11
Two-site international study recap Oldenburg Hörzentrum and A/S Same protocol used at both sites 39 experienced hearing aid users Agil versus advanced reference hearing instrument Both labelled test hearing aid, respectively HA1 and HA2 Lab tests (speech in noise: intelligibility and listening effort) and questionnaires (reallife experiences) Balanced cross-over design Two weeks with each hearing aid At both sites, half of the test participants started with HA1, the other half with HA2; change of hearing aid after two weeks. 12
Questionnaires filled out at home HA1 You are sitting around a table or at a meeting with several people. You can t see everyone. Can you tell where any person is as soon as they start speaking? Not at all Perfectly 0 1 2 3 4 5 6 7 8 9 10 Not applicable HA2 You are sitting around a table or at a meeting with several people. You can t see everyone. Can you tell tllwhere any person is as soon as they start speaking? Comparing your ability now with your ability wearing the previous test hearing aids Much worse Unchanged Much better -5-4 -3-2 -1 0 +1 +2 +3 +4 +5 Not applicable References: Gatehouse S, Noble W (2004): Speech, Spatial and Qualities Of Hearing Scale (SSQ). International ti Journal of Audiology, 43(2),85-89. Jensen NS, Akeroyd M, Noble W, Naylor G (2009): The Speech, Spatial and Qualities of Hearing Scale (SSQ) as a Benefit Measure. National Centre for Rehabilitative Auditory Research, Portland, Oregon, October 2009. 13
Benefit in cocktail party situations SSQ-C SPEECH Agil compared to advanced instrument -5-4 -3-2 -1 0 1 2 3 4 5 ** In quiet one person ** In quiet, 5 persons around a table * * In a busy restaurant, 5 persons around a table * Constant noise one speaker ** Crowded room of speakers, follow one speaker * * Start of a sentence, more speakers 14
Organise and select localisation, direction, distance SSQ-C CSPATIAL Agil compared to advanced instrument -5-4 -3-2 -1 0 1 2 3 4 5 ** Localize where the speaker is in meeting w more people ** Between two persons. Know immediately who starts to speak ** Localize a dog barking loudly outdoors ** Direction of bus/truck in the street * * Distance in the street by sound of voice / footstep ** Distance of a bus/truck, sound only * * Direction of bus/truck, sound only ** Direction of person by the sound of voice/footsteps ** Sounds are rather outside in the surroundings than in your head ** Sounds are exactly where you expect them to be 15
Separation of sounds less effort and less concentration needed SSQ-C QUALITIES Agil compared to advanced instrument -5-4 -3-2 -1 0 1 2 3 4 5 ** Separate two present sounds * One muffled sound when more sounds present * Separate voice of speaker in the room and music in the radio Music clear and natural * Everydays sounds clear (not blurred) * Other peoples' voices clear and natural Own voice natural ** Concentration when listening ** Effort to hear what is being said in a conversation ** Ignore other sounds when listening to something specific 16
Internal Agil product test Internal study at R&D facility 35 experienced Epoq users, different styles Four weeks with Agil instead of Epoq Speech in noise lab tests with spatial speaker configuration (as in claim test): Dantale II 50% correct speech recognition 1.4 db improvement with Agil over Epoq (p < 0.01) Listening effort Rated effort on a visual analogue scale Less effort with Agil over Epoq: at the level of one category step (p < 0.01) 17
Better speech understanding Agil versus Epoq (N = 35) 1.4 db improved SRT (p < 0.01) 18
Smaller effort Agil versus Epoq (N = 35) smaller listening effort (p < 0.01) 19
Agil white papers 20
Safari Safari built for a life of adventure Our dedicated paediatric product family The most child-friendly hearing care available Three technology levels: 900, 600 and 300 FM flexibility Ideal for progressive hearing losses Adventure-proof design 21
ConnectLine Greater wireless opportunities let people communicate freely ConnectLine offers clients a bigger share of life Discreet, high-quality TV and phone adapters, easy to install and intuitive to use Hands-free operation for landline and mobile phones The Streamer turns the user s s hearing instruments into a genuine wireless headset Wireless connectivity reduces distortion and feedback and improves speech intelligibility 22
Genie Right on target, right away cordlessly Genie is designed for high-precision first fittings Business support including visual tools for client counselling Cordless fitting with nearcom for improved client comfort 23
Chili next major effort the smallest, most sophisticated and powerful Super Power BTE 13 ever! 24
The market The relevant market Traditional 675 SP BTE s are sold in smaller numbers Competition comes from two fronts: Cochlear implants in the profound range Powerful 13 solutions in the severe to profound range Super Power users are also looking for discreet modern design The ageing g of the population p is likely to increase hearing loss incidence in the moderate to severe categories Severe 35% HA distribution (Sergei Kochkin) Profound 4% Mild 7% Adult 18+ moderate 54% Chili adresses the market left of the dotted line 25
People insights Our key insights - Chili is based on a true understanding of challenges and possibilities In depth study of the lives and the challenges people with severe and profound hearing losses are facing In-depth facing. People with severe to profound hearing losses fight a constant battle every single day, every waking hour! They need: 1. New approaches in audiology to enable hearing-impaired people achieve what people with normal hearing take for granted: interaction, confidence, understanding, social life, personal relations, working, relaxing and just being themselves, but it offers huge challenges even with the best instruments available today 2. Looks are also important, and even more important is reliability 3. Connectivity is a revolution Chili offers more peace of mind than any other solution in the Super Power category. 26
The product Three strong areas of innovation Stay in touch ConnectLine Autophone FM, DAI, telecoil Designed for life The smallest, most discreet Super Power 13 instrument Onboard VC Nanocoating Reliable design Better understanding, better days The most powerful Super Power 13 instrument available Speech Guard Spatial noise management Binaural synchronisation Dedicated rationale (DSEsp) 27