PROGRESS REPORT

###AUTHORS OF BTPS DEPOSITS: PROGRESS REPORT

ip07051304-bike_camper, 20.7.07

'Yesterday I registered a company (sole trader status) and have my registered office in the Ljubljana Technology Park. I have already drawn up my business plan, prepared with the help of ep07021901-mol, and today I will go over it with my mentor. Next week I will be signing an assistance contract and I am in the middle of preparations for my first promotion at the EUROBIKE 2007 fair at the end of August.

My deposit was selected as a promising deposit and I have also completed my financial plan (loan) with the help of ep07041701-Hypo, which will help me with the start-up of the company. I am looking for a business angel to provide me the loan-guaranty.'

### DEPOSITS LINKING

Links established between deposits: 20

Flow of resources between deposits:

835 € - (€ deposit) ep07021901-mol >>> ip07031407-digital (maj '07)

20.000 € - (€-deposit) ep07052101-mok >>> selection in progress

50.000 - 300.000 € - ep07102301_business_angels >>> selection in progress

Flow of services between deposits:

mentorship for realization of five BTPS ideas - (€ deposit) ep07021901-mol >>>
ip07031410-tourist valet_LJ
ip07031407-digital
ip07031412-hostel_agency_LJ
ip07051304-bike_camper
ip07031501-cafe_LJ

Success of our clients in other tenders:

first prize: Enterprising Primorska 0607 - ip07031408-urban cycling
4.173 EUR, 6 month usage of a car Opel Astra

### PROMISING DEPOSITS

See PROMISING DEPOSITS

### ACCEPTED DEPOSITS

10.11.2007

Idea deposits: 77
Energy deposits: 7

Promising BTPS deposits

In accordance with the General operating conditions the BTPS Council has evaluated the deposits published on our website in the first collection or evaluation period (from the founding of the BTPS up to 25 May 2007).

As stated by Article 16, the criteria for being awarded 'promising deposit' status are the following:

1 - Does the deposit have sustainable tourism potential?
2 - Can it bring added value (economic, social, environmental, etc.)?
3 - Is it clearly presented and convincing?
4 - Does it coincide with the strategies and interests of the environments in which it falls?

The evaluation covered 56 idea deposits and 5 energy deposits. In the opinion of the members of the Council, the 18 submissions listed below deserve 'promising deposit' status. Some of them may not be fully comprehensible to readers. The reason for this is that the authors of deposits have the option not to publish the full content of their deposit but to limit access to the BTPS board and Council. If you require more detailed information about any of the deposits, write to BTPS @ slovenia.info so that we can put you in contact with the authors. The promising deposits from the first collection period (up to 25 May 2007) are:

1. (€-deposit) ep07052101-mok
   
2. ip07052001_austro-hungary
3. (€ deposit) ep07051305-toomodern
4. ip07051304-bike_camper
5. (€ deposit) ep07041901-houses_land
6. (€ deposit) ep07041701-Hypo
7. ip07031412-hostel_agency_LJ
8. ip07031410-tourist valet_LJ
9. ip07031409-boatmans way LJ
10. ip07031408-urban cycling
11. ip07031302-audio_LJ
12. (€ deposit) ep07021901-mol
13. ip07020801-alpine_thermal_water_park
14. ip07020202-travel_design
15. ip07020105-product_development
16. ip07020102-targeting
17. (€ deposit) ep07013001-consultants
18. ip07011601-tourist_train

Second evaluation period: from 26 May 2007 to 31 October 2007

The evaluation covered 21 idea deposits and 1 energy deposit. In the opinion of the members of the Council, the 13 submissions listed below deserve 'promising deposit' status. If you require more detailed information about any of the deposits, write to our address so that we can put you in contact with the authors. The promising deposits from the second collection period (up to 31 October 2007) are:

1. ip07102401_catering with a heart
2. ep07102301_business_angels
3. ip07102201_istrian_treasury
4. ip07080101_town_coin
5. ip07072401_manor
6. ip07071502-wine cellars and olive presses
7. ip07071501-istrian_TA
8. ip07071402-istrian_specialities
9. ip07071401-supplemented_istrian_itineraries
10. ip07071201-istrian_cuisine
11. ip07062101_pink_tourism
12. ip07060601-Adventure Park
13. ip07052801-sloveniaexplorer
    

Third evaluation period: from 1 November 2007 to 1 July 2008

The evaluation covered 24 idea deposits and 2 energy deposits. In the opinion of the members of the Council, the 12 submissions listed below deserve 'promising deposit' status. If you require more detailed information about any of the deposits, write to our address so that we can put you in contact with the authors. The promising deposits from the third collection period are:

1. ip08060601-underground_adventure_park
2. ip08052909-wilderness_within_reach
ip08052906-the_kingdom_of_green_theme_park
ip08052904-eco_villages
ip08052905-sales_of_hotel_capacities_through_ the_ auction
ip08052903-camp_of_yurts
ip08050601_waterfalls_of_Slovenia_and_energy_points
ip08031303_secrets_from_ears_istria_to_sea
ip08031302_museum_gallery_centre_hrastovlje
ip08022601_wireless_network
ip08012801_european_cultural_village
ip07121401-e-salesperson

As well as receiving more intensive promotion from the BTPS, these deposits are entitled to participate in € deposit ep07041701-Hypo.

BTPS General operating conditions

On the basis of Article 41 of the statute of the Slovenian Tourist Board of 21.4.2005, the Director of the STO adopted the following

GENERAL CONDITIONS OF OPERATION

of the Bank of Tourism Potentials in Slovenia (BTPS) project

I. AREAS COVERED

1. The general conditions govern:

• the status of the BTPS project
• definition of the BTPS client
• definition of a deposit in the BTPS
• criteria for selection of deposits
• provisions on the Council and administration of the BTPS
• provisions on the protection of business secrets

II. THE PROJECT

2. The BTPS project officially commenced on 7.12.2006 at the 9th Slovenian Tourism Forum in Maribor with the following priority task: Promoting a controlled flow of information about promising tourism ideas in order that the right people and the right funds for the realisation of these ideas can meet.

3. The BTPS project shall be run by the Slovenian Tourist Board (hereinafter: STO).

4. The project shall be implemented by the bodies of the BTPS: the governor, the vice-governor, the board and the Council of the BTPS The Director of the STO shall appoint and dismiss the persons working in the bodies of the BTPS.

5. Persons working in the bodies of the BTPS (hereinafter: members of the project group) can be: STO employees, representatives of partner organisations or independent experts in specific fields.

6. The holder of liabilities connected with the contents and consequences of the project shall be the project leader, where the level of liability is described in more detail in the chapter on the protection of business secrets.

III. THE CLIENT

7. Any natural or legal person who completes and submits the electronic form "Application to open a bank account" (btps_bancni_racun.doc) to BTPS@slovenia.info or the address of the STO may become a BTPS client, provided he accepts the "General operating conditions" presented in this document and published on the website www.BTPS.si.

8. A client may send electronic or written applications for the realisation of idea deposits and energy deposits to BTPS@slovenia.info or to the address of the STO. These applications shall be registered by the BTPS board. In the electronic forms clients may if they wish describe their desposit in detail, define provisions on the protection of their business secrets and approve a brief description by means of which the entry of a new deposit is publicly recorded.

9. The BTPS may accept or refuse the client's application for the realisation of a deposit. The BTPS may grant accepted deposits the status of promising deposit.

10. Proposals to accept or refuse deposits and the designation "promising" are prepared by the BTPS board, while the decision is taken after the vote of the BTPS Council at the end of the collection period (which shall last a minimum of 2 weeks and a maximum of 6 months). The BTPS can invite the authors of deposits to supplement the documentation submitted.

11. A client shall suspend cooperation with the BTPS by requesting in writing the closing of its BTPS account. At the same time it shall give the BTPS instructions regarding its deposits.

IV. BTPS DEPOSITS

12. The idea deposit is an entry in the BTPS database describing new products in the sphere of tourism and activities indirectly connected with tourism, in the following forms: idea; outline; plan; prototype; existing product/service that can be built on, etc.

13. An energy deposit is an entry in the BTPS database through which the owner of the deposit contributes to the realisation of one or more idea deposits. It can include, for example, an offer of financial, material and other resources or services, etc.

14. A BTPS deposit is not patent protection or similar protection of intellectual property. With the provision on the protection of business secrets, the client may only stipulate, in the form for the realisation of the deposit, how the BTPS should protect business secrets or how openly the BTPS may communicate information about the deposit to other persons.

V. CRITERIA

15. The decision to accept or refuse a deposit and the decision on the eventual granting of the status of "promising deposit" are based on the conformity of the assessed deposit with the criteria described in Article 16.

16. Criteria for the acceptance of a deposit in the BTPS database and for the granting of the status of "promising deposit":

• 1 - Does the deposit have sustainable tourism potential?
• 2 - Can it bring added value (economic, social, environmental, etc.)?
• 3 - Is it clearly presented and convincing?
• 4 - Does it coincide with the strategies and interests of the environments in which it falls?

VI. THE BTPS COUNCIL AND BOARD

17. The BTPS board is responsible for communication with clients and other sections of the pulic and the bodies of the BTPS; it sees to the processing of deposits; it proposes connections to the authors of idea deposits and establishes connections between them and prepares proposals on dealing with deposits received for the BTPS Council.

18. A proposal on dealing with deposits received from an individual collection period can include:

• 1 – A proposal to accept or refuse individual deposits and a proposal to grant "promising" status.
• 2 – A proposal of selected idea deposits to receive financial and other resources from energy deposits (in cases where the owner of an energy deposit wishes the BTPS to select recipients).

19. The BTPS Council grants promising deposit status, evaluates and comments on deposits, proposes connections between them, selects the recipients of energy deposit funds from among idea deposits, and votes on the acceptance/refusal of the board's proposals on dealing with deposits. It bears professional liability for its decisions; liability for damages is defined in the chapter on the protection of business secrets.

20. At all evaluations and votes of the BTPS Council, decisions are adopted on the principle of a simple majority of votes received. A meeting is always followed by voting via e-mail with a 3-day deadline in which members of the Council who did not attend the meeting can submit their vote.

21. The BTPS Council also gives proposals on the further development of a project. The STO, as the body responsible for the project, studies the proposals and adopts final decisions and responsibilities with regard to the further development of the project.

VII. PROTECTION OF BUSINESS SECRETS

22. During the implementation of all the activities defined in Article 2 (promotion of deposits, connection of deposits, communication of deposits, etc.) the BTPS will treat every deposit as a business secret except to the extent stipulated by the client in the application for the realisation of the deposit.

23. The body responsible for the project shall be liable for damages for infringements of Article 22 up to a maximum of EUR 500 for an individual deposit unless otherwise agreed with the individual client. This obligation shall cease 36 months after the date of receipt of the application for the realisation of the deposit at BTPS@slovenia.info or the address of the STO, unless otherwise agreed with the individual client.

24. The following legal provision shall apply to all members of the BTPS project group.

• The BTPS database of idea deposits and energy deposits (to which members of the BTPS project group have free access) contains business secrets which the members of the BTPS project group shall handle in accordance with Article 22 and neither they nor their organisation shall put them into effect within a period of 36 months of the date of receipt of the application for the realisation of a deposit at BTPS@slovenia.info or the address of the STO. This provision also applies to the systems administrators of the information environments in which the database is located.

• The project implementers shall be liable for damages with regard to this Article as defined in Article 23, but for half the amount stated there.

25. In the establishing of contacts between the owners of idea deposits, a legal principle shall apply with regard to the contents of each communication, according to the following model:

• Current levels of development of the idea deposits mentioned in the communication (hereinafter: I-DEPOSITS) are kept in the Bank of Tourism Potentials in Slovenia (hereinafter: BTPS). The owners of I-DEPOSITS (hereinafter: OWNERS) have in previous correspondence with the BTPS expressed their agreement with the mutual exchange of contact details. The exchange of information between OWNERS is from this moment no longer in the domain of the BTPS. Thus the BTPS bears no liability for the transfer and use of information between them and their colleagues. In all other cases the BTPS shall continue to follow instructions for the protection of business secrets in I-DEPOSITS as stipulated by the OWNERS on submission. If the recipient of a communication does not agree with this Legal Notice, he should communicate this to the BTPS and may not establish contact with OWNERS. If he establishes contact with any of the OWNERS, it shall be considered that he agrees in full with this Legal Notice.

• The owners of idea deposits shall in relation to this Article be liable for damages as set out in Article 23.

26. In the case of the owner of an energy deposit making his own selection of idea deposits for his energy deposit, the following legal principle shall apply to him and to other external parties taking part in the selection.

• Persons who receive a communication containing a list of idea deposits suitable for an energy deposit for evaluation (hereinafter: EXTERNAL ASSESSORS) must act in accordance with the provisions described by the authors of the attached deposits with regard to the protection of their business secrets and assume liability for any incorrect and unauthorised use or communication of information with which the authors of the deposits do not agree. Unless otherwise agreed, EXTERNAL ASSESSORS may only use the content of idea deposits received for the purpose of selecting those idea deposits that are to receive funds from their energy deposit.

• The owners of energy deposits and EXTERNAL ASSESSORS shall in relation to this Article be liable for damages as set out in Article 23.

27. Any infringements of the "BTPS General rules of operation" may be additionally punished by removal of BTPS client status or member of project group status.

VII. FINAL PROVISIONS

28. The "BTPS General rules of operation" shall be confirmed by the governor, the vice-governor, members of the BTPS Council, the BTPS board and the director of the STO at an ordinary session or correspondence session. The standing orders shall enter into force on the third day after they are adopted.

29. The authors of deposits already submitted shall be sent a link to the "BTPS General rules of operation" (stored on the website www.BTPS.si). If they do not agree with them, they may withdraw their deposits and suspend their membership.

Dimitrij Piciga
Director STO

Ljubljana, 28 March 2007

Prepared by: Dejan Križaj, March 2007

Reviewed and supplemented by: BTPS Council, March 2007

About BTPS

You are welcome at the Bank of Tourism Potentials in Slovenia (BTPS) if you believe in the potentials of tourism in Slovenia!

We invite everyone who has i-deas to offer ("i-deas" because without good ideas tourism is missing the dot on the i). Your "i-dea deposits" in your BTPS bank account help make tourism in Slovenia better, more successful, more original... We welcome tourism potentials at all levels: from the whole country, to an individual destination, to the smallest link in the tourism chain. You are welcome if:

• you are offering your i-deas free of charge or are only asking a symbolic amount for them
• you are asking a commercial price for an i-dea or a share in profits
• you are seeking help in the realisation of your i-dea

We invite everyone who has €-nergy to offer (= financial resources but also material resources and labour). You can make "€-nergy deposits" in your BTPS bank account in order to support originality, excellence and the development of tourism in Slovenia. You are welcome if:

• you are offering donations or €-nergy loans (also interest-free) for the realisation of i-deas.
• you wish to share in the profit from an i-dea whose realisation will be (co-)financed with funds from your €-nergy deposit.

We invite everyone who is looking for i-deas. Owners of bank accounts at the BTPS can take out an "i-dea loan" under prescribed conditions if:

• you are seeking i-deas to improve your tourism product.

We invite everyone who is looking for €-nergy. Owners of bank accounts at the BTPS can take out an "€-nergy loan" under prescribed conditions if:

• you have an unrealised i-dea deposit in your bank account for which you need €-nergy in order to realise it.

Connections between clients and the flow of i-deas and €-nergy among them are monitored by the BTPS. Representatives of the bank decide to accept or refuse deposits and discreetly look for connections between clients. The BTPS operates under the aegis of the Slovenian Tourist Board (STO

The Bank of Tourism Potentials in Slovenia (BTPS) is a project created on the basis of an outline proposal from UP Turistica, College of Tourism (an idea by Dejan Križaj).

The Tourism Directorate at the Ministry of the Economy and the Slovenian Tourist Organisation decided that the self-initiative proposal of project activities to increase the innovative potential of tourism in Slovenia was promising and decided to realise it. The BTPS operates under the aegis of the Slovenian Tourist Organisation and consists of the following bodies.

GOVERNOR
Marjan Hribar, Director General of the Tourism Directorate, Ministry of the Economy

VICE-GOVERNOR
Dimitrij Piciga, Director of the Slovenian Tourist Board

CHAIRMAN OF THE MANAGEMENT BOARD
Dejan Križaj, author of the BTPS idea, UP Turistica – College of Tourism

THE BOARD
Dejan Podgoršek, Slovenian Tourist Board
Livija Kovač Kostantinovič, Slovenian Tourist Board


THE BANK COUNCIL

Helena Cvikl, Director of the College of Catering and Tourism Maribor and lecturer at Turistica, University of Primorska.
Sonja Sibila Lebe, senior lecturer at the Faculty of Economics and Business Maribor, University of Maribor.
Dr Tanja Mihalič, professor of tourism at the Faculty of Economics, University of Ljubljana.
Dr Marija Ovsenik, Dean of Turistica - College of Tourism, University of Primorska.
Peter Florjančič, world-class inventor, winner of the IENA international exhibition of innovation in 2006.
Dr Andrej Kitanovski, Director General of the Enterprise and Competition Directorate at the Ministry of the Economy.
Rok V. Klančnik, until recently Director of Communications at the World Tourism Organisation (UNWTO) in Madrid, currently a represntative of Slovenian tourism in Brussels.
Dr Bojan Pretnar, professor of intellectual property and innovation at the Faculties of Economics, Social Sciences and Mechanical Engineering at the University of Ljubljana, senior official of the World Intellectual Property Organisation (WIPO).
Nenad Savič, expert in the sphere of guaranteeing business excellence and the intoduction of strategies and renovation of business processes.
Branko Marinič, author and co-author of numerous realised ideas in the sphere of tourism product design.
Božidar Špan, Chairman of the Management Board of Hypo Alpe-Adria-Bank.