Innovative solutions for flexible packaging and agriculture markets

Innovative solutions for

flexible packaging and

agriculture markets

$CDN unless otherwise indicated

April 16, 2020

Safe Harbour

2

Certain information included in this presentation constitutes "forward-looking" statements within the meaning of Canadian securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the management of the Corporation, are inherently subject to significant business, economic and competitive uncertainties, risks and contingencies. The Corporation cautions the reader that such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual financial results, performance or achievements of Imaflex to be materially different from the Corporation's estimated future results, performance or achievements expressed or implied by those forward-looking statements and that the forward-looking statements are not guarantees of future performance. These statements are also based on certain factors and assumptions. For more details on these estimates, risks, assumptions and factors, see the Corporation's most recent Management Discussion and Analysis filed on SEDAR

at www.sedar.com. The Corporation disclaims any obligation to update or revise any

forward-looking statements, whether as a result of new information, events or otherwise, except as expressly required by law. Readers are cautioned not to put undue reliance on these forward-looking statements.

Imaflex (TSX-V: IFX)

Established in 1994 and

headquartered in Montreal, Quebec

Warehouse facility in Thomasville, NC

Operate three manufacturing facilities: two in Quebec (Montreal and Victoriaville) and one in Thomasville, North Carolina

4

facilities

252,000

square feet

total area covered

̴235

Employees

Thomasville

Victoriaville

MONTREAL

3

2019 sales of ~$81 million

Portfolio Overview

Polyethylene film for converters who process film into finished product:

primarily packaging industry

CONVERTER

FILMS

Compostable bags, bags on rolls, gaylord bags and in-house PE-recycling as raw

material for garbage bags

INDUSTRIAL

PRODUCTS

Food packaging, commercial uses and specialized metalized mulches for insect

repellency, growth & yield acceleration

METALIZED

FILMS

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Thin, heavy‐duty, mulch, solarisation and fumigation films (TIF), compostable

and active ingredient release films

AGRICULTURAL

FILMS

(NON-METALIZED)

~US $29B

North American industry North America market projected to grow at

~3-4% CAGR

2

Resilient

to economic downturns

Top 100

North American film and sheet manufacturer by sales

~US $3.5B

Global mulch film market3

Global mulch market projected to grow at

~ 8.3% CAGR

3

Leader

in agricultural film development with revolutionary patented film:

• multi-million dollar market potential

for ADVASEAL® once commercialized

Imaflex Serves Two Key Markets

FLEXIBLE PACKAGING

1

MULCH FILMS

IMAFLEX REVENUE CONTRIBUTION

BY MARKET

5

1_{Plastic News Annual Ranking: NA Film and Sheet Manufacturers (September 2019)} 2_{Smithers Pira}

3_{ResearchandMarkets (August 2017). The Mulch Film market is expected to grow from $3.30 billion in 2016 to reach $5.75 billion by 2023 with}

Agricultural Films Portfolio Overview

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MULCH & BARRIER FILMS UV-REFLECTIVE FILMS

Can-Grow

Used for better weed control, increased and earlier harvests, higher quality produce and more efficient use of water

Can-Block

Barrier mulches for pre-plant soil fumigation: mitigate evaporation and reduce nuisance odors

• UV-reflective metallized mulch for insect and disease control in fruit, vegetable and citrus production

• UV rays also stimulates plant growth, yield and quality

• Compostable plastic mulches providing the same advantages and benefits as traditional mulches

• Mineralization triggered after season by disking and

ploughing

• Revolutionary multilayered film capable of releasing active ingredients

• Simplification of agriculture practices—combines pest control with plastic mulch

Can-Grow XSB

• 30% thinner and lighter, yet as strong as common mulch films

• 30% less plastic consumption

• Reduced purchase/disposal costs Can-Block EVOH

• Qualified for highest US-EPA buffer zone credits (60%)

• Lower fumigant rates and costs

• Immediate protection faster and more efficient earlier on than chemicals

• Accelerates growth, yield, & quality

• XL film ensures high UV reflectivity for >3 years

• Metalized film not only deters pests, but attracts honey bees

• Save $100‐200 removal and disposal costs per acre compared to traditional mulches

• Complete conversion into biomass, H2O and CO2

• Fully compostable – unlike oxo-biodegradable films

• Eliminates working steps and reduces costs

• Safe, easy to apply & precise applications of crop chemicals

• Environmentally safer, with no spray drift

COMPOSTABLE FILMS INTELLIGENT ACTIVE INGREDIENT FILMS

ADVANTAGES ADVANTAGES ADVANTAGES ADVANTAGES

COMMERCIALIZED IN DEVELOPMENT1

Shine N’ Ripe XL

Shine N’ RIPE XL

•

Advanced heavy duty film to control insect vectored disease

by solar reflection

•

Solar UV-light disorients insects, accelerates plant growth,

enhances fruit coloration and shortens time to market

Citrus Greening Threatens Global Citrus Production

Bacterial disease

transmitted by the

Asian

Citrus Psyllid (ACP)

while feeding on

citrus

trees

Effects:

early fruit drops, low yields, deformed

off-flavored fruits,

eventual tree death

and

large economic loss.

3

to

5

Yea

rs

Citrus Greening

is one of the most significant

threats to global commercial and sustainable

citrus production. There is

no cure,

aside from

replacing an infected tree – but it takes 5 years for new tree to produce fruit

Our Solution – Shine N’ Ripe XL

ABOUT SHINE N’ RIPE XL

BENEFITS OF SHINE N’ RIPE XL

1_{PAR: Photosynthesis Active Radiation to IR: heat}

• Heavy-duty, walkable, highly-reflective

• Mirror-like, hair-thin metal layer reflects

more than 80% of incident solar radiation

from UV, over PAR1_{to IR}1

• Proprietary coating prevents metal layer

from corrosion – maintains outdoor stability & high sunlight reflectivity for minimum of 3 years

• Immediate protection faster and more

efficient earlier on than chemicals

• High reflection of solar UV-radiation from

ground repels insects

• Repels pests & attracts ̴2X as many

beneficial insects (e.g. honey bees) versus bare soil

• Increases plant growth and yield

Environmentally friendly crop protection and growth/yield enhancement

Shine N’ Ripe XL

PLANTING TO HARVEST IN ˂3 YEARS “In my entire professional career, I haven’t seen anything comparable to the positive benefits of Shine N’ Ripe XL on citrus production, in terms of both growth and yield and the bottom-line”

Normal orange

Citrus Transplants

after 20 months

Transplants on Imaflex’s

Metalized Mulch Film

After 20 months

2x GROWTH

Intercepts ACP while increasing growth

and yields

2

, making it an

environmentally-friendly integrated

pest management tool

1_{Mr. Robert C. Adair, Jr., the Executive Director of Florida Research Centre for Agriculture Sustainability (FLARES): March 2017} 2_{3.5 year University of Florida – Institute of Food and Agriculture Science test trial found 44% increase in yields using combination of IFX}

metalized film and insecticides: Citrus Magazine March 2016

~ Robert C. Adair, FLARES

ADVASEAL®

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INTELLIGENT ACTIVE INGREDIENT FILM

Revolutionary patent protected multi-layered film capable of

releasing active ingredients (pesticides, fungicides and/or

herbicides) in safe & precise manner

Today, Fumigants Used to Control Pests & Weeds

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Currently pesticides, typically at high concentrations, are used on fields to disinfest the soil for the undisturbed growth of new crop seedlings. Agriculture films are applied once soil concentration levels are met

Most farmers treat soil (pre-plant) with fumigants – an expensive & ecologically wasteful practice

Under/overdosing is common, reducing crop quality and/or yield

Farmers need a new approach that is more efficient, cost effective and environmentally friendly

CURRENT APPROACH EXPENSIVE &

Complete non-fumigant alternative for pre-plant soil disinfestation

: Intelligent Active Ingredient Film

1_{Nematicide, Herbicide and Fungicides}

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ADVASEAL® APPLICATION

• Environmentally friendly, cost- and time-saving alternative to current pre-plant soil disinfestation practices to support undisturbed growth of new crop seedlings

• Active ingredients (nematicide, herbicide and fungicides) coated on a mulch film

• Once film applied to ground, non-volatile crop protection products released into soil under controlled conditions

• Catalyst for activating release is soil moisture

• Worked with FUJIFILM Manufacturing U.S.A. Inc. to coat active ingredients on the film

(ADVASEAL®)

ENABLES SAFE & PRECISE APPLICATION

• CLEAN TECHNOLOGY – environmentally friendly

• Allows for safe and precise application of crop protection products

• EXACT dosing improves crop quality: ↑ yields, ↓ chemicals, ↓ grower costs

• SAFE to handle, transport and apply

• Patent protected until 2032

ADVASEAL® BENEFITS

ADVASEAL® BENEFITS

1_{Cost savings vary depending on crop grown and chemicals required} 2_{Efficacy Trial currently underway}

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ADVASEAL®: Lower growing costs & environmental benefits1

• Efficacy trial2_{used 95%+ less pesticides than}

current grower standard with fumigants

• No fumigant emission or drift

• Potential to reduce / eliminate buffer zones

• Meets growing demand for sustainable farming – helps growers do more with less

Benefits

ADVASEAL® Efficacy Trial

1

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Objectives

• Evaluate ADVASEAL®’s ability to release crop protection products into soil and achieve soil disinfestation prior to planting tomato seedlings

• Concurrently, monitor plant growth, yield and quality, compared to crop grown under current best Florida grower standard for tomato production using fumigants

Crop Chosen

• Tomato plant – one of most widely grown vegetables worldwide

• If high tomato yields achieved using ADVASEAL® – can likely produce high yields for most fruits and vegetables requiring pre-plant soil disinfestation with fumigants

Independent Results Indicate ADVASEAL® Releasing Active Ingredients

• Independent analytical lab results of ADVASEAL® samples collected at trial site, in the 3-week period following film being laid on the ground, indicate active ingredients releasing into soil in desired manner

• If Efficacy Trial successful, ADVASEAL® can likely be used to produce high yields for most fruits and vegetables currently requiring pre-plant soil disinfestation with fumigants

Full trial results available at end of growing season

1Efficacy Trial currently underway

Focused on ADVASEAL’s timely registration

2. Continue EPA Discussions



Continue pre-registration EPA discussions



Review Efficacy Trial results to date & next

steps for ADVASEAL’s® timely registration



Includes discussion on design of a new trial to

determine exact timing for release of each active ingredient



New trial required to show compliance with

pre-harvest interval set by EPA – essentially wait time between ADVASEAL®’s use and when crop can be harvested for safe human consumption

1. Continue Trial



Given positive results to date will continue

trial, monitoring plant growth, yield and quality of both ADVASEAL® test crop and grower reference



Full trial results available once growing

season is complete and independent report available

ADVASEAL® Efficacy Trial – Next Steps

ADVASEAL HSM: Field Trial

1

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ADVASEAL HSM

UNTREATED

MULCH (VIF) + HSM SPRAY

2

The EPA accepted ADVASEAL HSM, in July 2015, as a selective herbicide film to control certain broadleaf - the sedge weeds - in selected crops (Asparagus, Cucumber, Melons, Squash and Tomatoes). Can be used to reduce fumigant emissions.

1_{ADVASEAL HSM was approved by the EPA in 2015 and only included a herbicide. The new ADVASEAL includes an herbicide, nematicide and fungicides} 2_{Mulch + common herbicide spray application}

Imaflex Stock info: one year

Note: Stock price and market cap as of April 16, 2020. Average daily volume is for past 3 months

52 week Low/High $0.36 / $0.72

Closing Price $0.52

Market Cap $26 million

Average daily volume 14 thousand

Shares O/S (basic) 50 million

Insider Ownership 56%

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Charting for Imaflex: 1 Year Analyst Coverage:

Solid Track Record: 2015 – 2019*

19 69.2 73.5 88.3 _86.3 81.0

Sales

EBITDA

10.3%11.4% 15.8% 12.5%13.5% 2.5 3.8 6.5 7.1

Gross Margin

8.9 $ M CDN $ M CDN % of Sales % of Sales 10% 5% 4% 15 16 17 15 16 17 15 16 17

EBITDA

3.8 _3.5 7.8 6.3 7.8 $ M CDN % of Sales 9% 5% 5% (excl. FX) 19 18 15 16 17 18 9% 8% 18 18 19 19 8% _9% 19 19

*For years ended December 31

• Solid performance driven by strong line-up of innovative products

• Future growth supported by major equipment purchases now on-line, along with ADVASEAL® (next

Financial Results

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For quarters and years ended December 31

Effective January 1, 2019, Imaflex adopted IFRS 16, Leases. Under the transition method chosen, prior periods were not adjusted.

• Continuing to hold our own in a dynamic operating environment

• Revenues down yr/yr due to competitive pressures and lower resin prices

• Not only maintained but improved margins yr/yr (excluding impact of FX)

Major capital projects strengthening the core

New

5-Layer

Blown Film Line Now Operational

•

Increases multi-layer film production capacity & broadens

extrusion capabilities

‒ Permits more complex barrier packaging options,

including excellent gas and moisture barrier

protection to extend shelf life and reduce spoilage

‒ Increases extrusion capacity by 4.0M+ pounds year

‒ well positioned to leverage fixed cost structure /

workforce

Experienced Leadership Team

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Joe Abbandonato

President and CEO

LEADERSHIP TEAM

EXPERIENCE

Tony Abbandonato

Vice President Manufacturing and Corporate Secretary

Gerry Phelps, B.Eng.

Vice President Operations

Ralf Dujardin, Ph.D.

Vice President Marketing and Innovation

John Ripplinger, MBA

Vice President Corporate Affairs

Giancarlo Santella, CPA, CA

Chief Financial Officer

40+ years

Founder/entrepreneur

Deep industry experience working in extrusion and converting business Formerly with JT Packaging, Tecsyn International and Leco

35+ years

Founder

Deep industry experience working in extrusion and converting business Formerly with JT Packaging (bought by St Johns Packaging), Logo Packaging and independent manufacturer’s sales agent

50+ years

Founder, Chemical Engineer

Deep industry experience working in extrusion and converting business Formerly with DuPont

30+ years

Chemist

Over 75 patents to his name (with Bayer) Formerly with Bayer, BASF, GE

25+ years

Formerly withBCE, Bell, Bell Nordiq, Miranda Technologies

11+ years

Delivering Sustainable Growth

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• Recognized industry leader, in recession-resistant sectors

• Serving growing multi-billion dollar markets

• Macro environment working in our favour: sustainability & “intelligent farming”

• Profitable with healthy capital structure and positive cash flows

• Unique business model

- Strong core, helping to fund growth initiatives

- Next-generation crop protection & yield enhancement products offer significant upside potential - Equipped with stronger set of offerings than at any time in our history

Committed to

EXCELLENCE

Thank you!

For more information,

contact johnr@imaflex.com

visit imaflex.com