Good afternoon, ladies and gentlemen. Welcome to Research Frontiers Investment Conference Call to discuss the results for the First Quarter of 2015 and recent developments. [Operator Instructions] This conference is being recorded today. A replay of this conference call will be available starting at 12 PM on May 8, 2015 in the Investor Section of Research Frontiers website at www.smartglass.com and will be available for replay for the next 90 days. Please note that some of the comments made today may contain forward-looking information. The words expect, anticipate, plans, forecasts and similar expressions are intended to identify forward-looking statements. Statements that are not historical facts are forward-looking statements that are made pursuant to the safe harbor provisions that are part of the Securities Litigation Reform Act of 1995. These statements reflect the company's current beliefs and a number of important factors could cause actual results for future periods to differ materially from those expressed. Significant factors that could cause results to differ from those anticipated are described in our filings with the SEC. Research Frontiers undertakes no obligation to update or revise these forward-looking statements to reflect new events or uncertainties. The company will be answering many of these questions that were e-mailed prior to this conference call, either in their presentation or as a part of the Q&A session at the end. [Operator Instructions] I would now like to turn the conference over to Joseph Harary, President and Chief Executive Officer of Research Frontiers. Please go ahead, sir.

Thanks Daniele, and good afternoon everyone, and thanks for participating on today's conference call. Joining me today is Seth Van Voorhees, who is our CFO and also Heads up our VariGuard Division. I think that the numbers are well explained in the 10-Q and our cash position and balance sheet is solid, with no need to raise additional capital in the foreseeable future. While we’re focused today on questions that were emailed to us in advance of this conference call, I expect that my answers will everyone a better idea of what’s happening in each industry using our SPD-Smart glass technology. Seth and I will answer as many questions that were emailed to us in the course of my presentation or afterwards when we hope to have additional time for some more Q&A. Before we delve into the details about what has happened in each market, let me answer a few general questions that were emailed to us. Neil asked about dividends; do you expect to start paying dividends when revenues exceed expenses at some level of working capital, has the board discussed what level of cash would be required before dividends will be paid to shareholders and with the suggestion please do not buy back stock or use the cash to invest in other companies until you are paying dividends at a level of $2.00 or more per share. Yes, Neil, while speaking for myself I think I expressed the sentiment of the entire Board of Directors when I say that we expect to start paying dividends when cash levels permit it. Rich Cutter asked Joe, when can we expect the stock price to increase, I’ve been waiting for 10 years and getting closer to retirement. So I’d maybe I’d ask Seth to answer this question, just to help put things in context.

Thanks very much. Well, obviously we recognize the best thing to do in terms of influence in stock price is to execute our increase in our revenues and our profits, and everything else is pretty much out of our control right. However, I would say it’s not something, it is something that we closely monitor and if you observe our performance for various periods, it can vary from being ahead of the marketable or behind the market, but I would just – what we follow is terms of benchmarks are the NASDAQ as well as the Dow Jones, and for the year-to-date we’ve exceeded both those indices and for the trailing 12 months we're in the middle of the pack, with NASDAQ being ahead of us and Dow being behind us. I think the most important thing I would say though is in addition to those broader indices we also compare ourselves to companies that are similar IP focused entities. And this is by no means a comprehensive list, but we have five names that we track that are – some of which are significantly larger than us and some of which are a little smaller, but if you look at the IP index of companies that have the similar business model that are royalty generating and licensing businesses, the market performance that they’ve occurred over the last year-to-date, we’ve significantly outperformed. We’re up about 14% for the year versus decline of 8% for the IP index that we track and for – I’m sorry 11% versus negative 1% and for the trailing 12 months it’s even larger spread of 14% versus negative 8%. So I would say is that we recognize that there are – people have choices in their investments and we certainly monitor it, but we fully…

[Operator Instructions] Our first question comes from Michael Kay from Kay Associates. Please go ahead.

Hello Joe, by the way that was a tremendous example of fantastic theme work the way in which Research Frontiers and the licenses got together on a short notice to build the SPD Pavilion there.

Thanks Michael, if you figured out the time zone differences between Europe, the United States and Japan, the sun never set on our effort.

Yes. You know, initially it seemed that one factor inhibiting companies from adopting SPD was the course, now that the course have gone done considerably, on the one hand it means the royalties will be lower, but on the other hand do you envision that many companies that were inhibited from adopting SPD because of course, by the way, then sitting on the fence, will now come to board because the course has declined?

Right. And you know, you have the early adopting 2% that gets you the next level, which is 10% of your relevant market and then from there it takes you about the same amount of time to get the next 80% of your market. So moving up that early adopter curve is something that we’re really happy we’re doing now.

And is the company still trying to develop a black particle, have some potential customers indicated they prefer the black to the blue, or is that not a major factor?

No, it would be nice to have black, it’s not a necessary condition and when you consider the fact that our current SPD film has the widest light transmission of anything on the planet, people are pretty satisfied with the performance, but I think you know us and especially Bob Saxe were a determined bunch of people here and we are always striving to do better and better and better. So everything is certainly being worked on including that.

Thank you very much.

Thanks a lot.

[Operator Instruction] The next question comes from Ronald Rizado from Capital Securities. Please go ahead.

Hey, Joe how are you?

I’m well.

Good. Just a quick question Joe, on the cars overseas that are allowed to have dark windows on the sides, all around the sides, is that something that’s actually being worked on?

There is a number of automakers that are looking to develop side windows for the vehicles and as you alluded to in your question, in Europe the rules are a little bit different. In the US anything behind the B panel, that's on an SUV can be dark, but on a passenger car there is certain restrictions. In Europe anything behind the B panels, the B pillar rather can be any dark as you want, so the European market is a lot less regulated than the US market. And their privacy is one of the things that they value, so same thing in Asia, but I think that side window glass is something that you’ll see probably first in China and in Europe, and then it will come to the United States.

Terrific, well congratulations, that was great in Milan, really.

I hope you have a chance to visit it Ron, it really is amazing.

Terrific, thank you.

The next question comes from [indiscernible]. Please go ahead.

Good afternoon gentlemen, wonderful presentation. Having being involved with this sense of the early 70s, I’m glad to see it all finally come into fruition. I was like the other fellow there that is ready to retire on pass that, but I’m still working, but I’ve been with you the whole way, so it’s great to see it happening? And my question was going also be about the side curtains, but you just answered it. But I wanted to make the comment that it’s great to see this coming along at a fast pace and what you did between Europe and Japan and the United states was nothing more than unbelievable that it got done. Wouldn’t have gotten done in the United States.

Thanks. I appreciate it. And I do appreciate your patience and support. I do hope you have a chance to actually see the fruits of your labor by going to Milan and seeing what 10,000 square feet of smartglass above your head looks like especially when it’s dancing to the amazing animations that the architect can program into their screen.

That would be a wonderful thing. Well I’m sitting out here with an SUV made by Audi that has a lot of sunroof, and I'm in Florida and it gets extremely hot, so the 20 degree difference would make a very big difference.

Absolutely, I grew up in Florida where if you leave your car at the beach for two-hours, you can’t sit on it when you got back in, and now with the SPD roofs in these cars, the difference between being 90 degrees and 72 degrees.

And when you're working on the architectural thing, I assume you're working with some of the window manufacturers for homes, as well like an Anderson or somebody like that?

Yeah, although it’s not really lending itself to the very high-volume premium window companies because they tend to make 10,000 windows a day and when I have standard sizes, most architectural applications in where this is going into are the ones where there is – pretty custom requirements, magnificent views, panoramic views that you want to not have to shade or worry about, so it’s mostly actually the architects, the designers, and their window company that just like we did in Milan it’s a coordinated effort to make sure that everybody is happy with the results.

Yeah. Would come down here, I happen to have a red couch in my family room and I live right on the Bay in Sarasota, and I have lots of French doors and we have a little throw over one part of the sofa which is red and everything else is pink, and if we had your windows it all still be red.

It will all still be red, right. Thanks for your investment and also for your patience to get us to this point, we really appreciate it.

I’m waiting for the income next, so I’ll be there. Thank you gentlemen.

Next question comes from August Burman, a Private Investor.

Hi Joe, how are you doing?

Very good, how are you doing?

Good, good. So I just had a question on – so I’ve been kind of just following some news form BMW lately and just kind of get a sense from you I'm still a relatively new investor in Research Frontiers, so I’m trying to get a sense of when things come out, is the next big auto show the Frankfurt Auto Show?

Yeah, the next big one is Frankfurt in September.

Is it a tradition that OEMs release information about potential SPD-SmartGlass usage at those auto shows or is that kind one off, not necessarily drawing those auto shows?

Usually it’s at the auto shows that they will announce it, but it also depends on what their competitors are doing. So, for example when Mercedes announced the S-Class Sedan, they had a special event at the Airbus Hangar in Hamburg, and I think part of that was that they didn’t want to get their thunder stolen by an announcement of a new model or a new engine by one of their competitors, so it’s kind of a back and forth that goes on, I mean these guys are quite adept at figuring out what they want to say and when they want to say, but it’s typically at the show itself and when the cars is released. And I’ve attended press days on most of the auto shows, you can go there and they will not hand you the press packet until the press conference is over, so it literally is, if you look at the press conference schedule, you could see what time of day Mercedes for example or BMW is having their press conference, and typically right at the end of it you start seeing the flow of information come out.

Okay. Got it. Okay, well very good. Definitely getting excited about the story as I hear more and more every conference call.

Glad to have you on board. Thank you.

The next question comes from Alan Denzer from Stifel Nicolaus. Please go ahead.

Joe?

Hey, Alan.

How are you doing?

Doing great.

Very good presentation. We’re applauding your efforts, the one problem I have being that I’m a broker with over a 100 accounts with this stock in it. Is it we need to have some more representation out at about through a financial public relations firm, when and are you going to hire someone to help you with all the inquiries you’re undoubtedly going to get and to expose yourself more to institutional and other share – potential shareholders in the future?

Seth, you want to.

Sure. I think we take your point, and I think it’s a good suggestion. We are very appreciative of the fact that you know as we continue to evolve as a company going from you know what some describe as a story stock to a company now on the cusp of broad adoption with revenues in tow, those are fundamental changes that will attract hopefully a lot more interest in our company, to manage that we’ll take additional resources that we certainly are considering. I think there are different ways you can approach how you’re going to deal with that problem, however I think our view on the subject is that we want to actually have revenues have been posted as opposed we talking about revenues that will be in the future. Even if those revenues are in the near future. So I think it’s something that we are actively considering for the near-term, I should say in the intermediate term, but not in the very near-term. But we certainly appreciate your suggestion and we fully recognize it’s a nice problem to have, but we want to take advantage of it.

Maybe expand a little bit on what Seth had said. In preparation of that effort, we want to make sure that the investor relations professional that we retain are presenting our story in a very responsible way. So one approach is to basically ask our top institutional owners who they like and who they use, and who they welcome into their offices with good ideas on investments that made them money because we feel that that’s probably the best path to connect us with the right investors for Research Frontiers, so it’s something that we've already identified I think, some very good firms to work with.

I'm just anxious to see it happen because I’ll know that when you finally do take that step, you’ll make an announcement of that, and that will show us that you’re about to show an increase, maybe a dramatic increase in your royalty income, in your fee income. So I'm looking forward to hearing you make an announcement hopefully within the next six months on that score.

Thanks very much for your comments and your suggestion.

Alan, thanks a lot.

The next question comes from [indiscernible], a retired individual. Please go ahead.

Hi Joe, how are you doing?

I’m well, how are you doing?

Pretty good. I happen to listen to the gentlemen from Florida, and I spent last winter down there, and I have been to be in a Lakeland area and got behind a Mercedes van, I believe they call it a Sprint model?

A sprinter yeah, it’s very popular in the United States. It’s somewhat of a tall vehicle.

Well, it didn’t have regular license plates on it, it was some sort of a manufacturers plate or a vendor, but I did notice that the glass all the way around it had an unusual bluish tint?

It’s a highly customized vehicle, they use a lot for various utility vehicles, but also for airport, transport and things, it’s quite versatile and a good seller for Mercedes. That kind of a market is a good market for us because the very high end van.

Are they testing that glass on those panels?

Mercedes has already validated our glass, so it makes it a lot easier for them to adopt it on different applications. A lot of what they've done in the early years were on the Viano van, which is kind of the European equivalent of their luxury van, but here in the US, it’s the Sprinter.

Okay. I don't see a lot of that, I’m from Michigan, I don’t see a lot of those vans up here, but it really caught my eye it was all black with.

Very tall too.

Yes exactly. And I got online and it did seem to be airport shuttles was a major use for those. I was hoping to look and see if you could order one with the glass, but at this time no.

Right now they don’t operate with Magic Sky Control, but then again, it’s often customized in the aftermarket, they take it to these performance tuners that will put a new interiors, new seats, everything.

Okay. Well hopefully that'll be one of their newer options. So I just thought I would let you know.

I appreciate that, thank you.

Okay. Have a good day.

You too.

The next question comes from Alan Yakuboff from Wells Fargo. Please go ahead.

I was looking forward to the meeting, annual meeting next month, hopefully you could bring us some more good news out there, that should be interesting.

We hope there is lot of things to talk about.

Good, where are we on the Honda Jet? A couple of questions I think it was supposed to go through that approval process in the FAA, has it…

They got what’s called a preliminary type certificate, PTC that is basically kind of a notice from the FAA. I’m going to speak very generically and soft, and loosely, but basically it’s saying there is no problems you're about ready to get your full certification, get ready, ready to start delivering it. So that’s kind of where it is.

So it’s standard on that jet?

We’re talking about this year.

Okay. It is standard on the jet?

The SPD windows are standards on the Honda Jet, they’re produced by Vision Systems in their Melbourne, Florida plant and I got to tell you it was such a treat for me to visit the Melbourne facility and watch these windows getting produced, it really is a nice operation.

Any movement on the E-Class, any decision on that, any timeframe for that, because they’re going through their remodeling I would assume, and it’s somewhere along the line you think?

They haven’t informed us yet of that, but quite frankly, the way we learned about the SLK was the day they released it to the press. We knew they were working with us on it because obviously there was a lot of effort back and forth, but Mercedes tends to keep things very, very close to themselves until they're ready to say everything.

Alright so it’s, okay, so obviously it could be imminent, there could be several months down the road, it’s hard to tell is that what you’re saying?

They tell us about the same time we tell you.

Okay. Just one other question, the Lincoln, is that a prototype or is that baked or is that, because I also heard that their, I’ve been – going from 11 distributorships in China to 60 Lincoln or somewhere – New York next year?

Ford recently started making a major push in China. They realized that it’s an important market for them. If you think back to the early days of cars in China it used to be the GM Buick was the American car of choice, and I think what Lincoln is doing now is kind of brining back that nostalgic desire for American big cars like the Lincoln Continental in China because right now the Buick was surpassed by the Audi, with more of the European-style. So I think Lincoln is really playing to the nostalgic and wealthy audience in China, which is exactly I think.

Is there a price point on that car at this point?

They haven’t announced the price point, the Lincoln Continental concept that was shown at the New York and Shanghai auto shows was a luxury version because the focus was on the back seat and in China most cars are driven by somebody else, not the owner because for $500 you can hire a driver to take you around all month. So most people have someone driving a car for them and they sit in the back seat and use of SPD-SmartGlass glass is particularly useful there because it makes the working environment or the travelling environment so much more comfortable because of the ability to control the glare and the heat.

Thank you very much and good luck.

Thanks a lot.

The next question comes from Jared Albert, a Private Investor. Please go ahead.

Hi Joe, congratulations everything sounds very good.

Thanks Jared and thanks for the various questions that you asked and the way you phrased them I appreciate it.

Thanks for getting to so many of them. I may have misunderstood, but is the V222 still on track for the fourth quarter with MSC or are you withdrawing kind of old guidance of that?

We don’t know is the answer because Mercedes doesn’t make those make those decisions typically until a few months before they’re going to launch it. So while we hear general timeframes and things like that, until we know more, we are not giving further guidance on it. But we are seeing a lot of positive trends Jared, for example on the coupe the Magic Sky Control option, actually we’ve been told they’ve increased the allocation of Magic Sky Control on the S-Class coupe because its selling very well. They also want to make sure that Maybach has as much Magic Sky Control as they can, so that’s doing very well. And these are good things, the people – other than the chief engineer who referred to the aquarium effect for the side windows, everybody at Mercedes loves it on the roof, so it’s a good thing.

The 2013 10-K anticipated the Sedan’s having it last summer I think and then it was supposed to be this spring and the dealer ordering guides just came out for July and obviously wasn’t by the time the dealer ordering guides came out we didn’t expect it for the summer, but the time July builds, is it possible to slips into 2016?

There is a possibility. At the last conference call, we were throwing about a end of the year timeframe for the option, if you look at the typical production cycle on these things even though the S-Class, the V222 roof is easier than the coupe roof and easier than the Maybach roof in terms of production. They’re probably still going to give enough lead time so that Asahi could start building those maybe four months in advance. So may start to see the revenues later this year.

But it sounds like you don’t actually expect it in showrooms this year?

Jared, I honestly don’t know because they haven’t told us yet.

Okay, thank you very much, and continued success.

Thanks. I hope you come to Milan also.

The question comes from [indiscernible], a Private Investor. Please go ahead.

Hey Joe, can you give us an update on the lawsuit?

We have been asked by our council to not publicly comment on a lot of details. I guess if you look on the public docket in Delaware you can see that there is a motion for summary judgment on one of the three patents that you know normally would be heard later on, we didn’t have a problem with the judge hearing it early, so he basically said, we don't agree with it, but if you want to hear it now you can, and that’s basically one aspect of the lawsuit. The other is we’re in the midst of the discovery process now, so documents are being exchanged between lawyers and people are looking through microscopes and things.

Thanks much.

We have a follow up question from [indiscernible]. Please go ahead.

Sorry, I didn’t think on this one I heard you before. Having traded the stocks since the early time there, sometimes traded by appointment, and now all of a sudden getting pretty decent volume every day, and I'm seeing that our institutional holders are picking up, what’s the size of the institutional holding of the stock today?

Actually you’re correct that if you were to go back a couple of years ago and look at our average trading volume it was a fraction of what it is today, but having said that it’s still quite small compared to where we hope it will be in the future. As far as our institutional ownership, one of the reasons that we did the offerings that we have – that we've undertaken over the last several years was to raise our exposure with institutional investors and so as a consequence today we have two institutional investors in our – as owners that are more than 5% holders; Kevin Douglas and Neil Goldman from Goldman capital. And so while – the correct answer to your question about the percentage of institutional ownership is kind of hard depending on how you classify things, but I would certainly estimate that it will approximately 20% to 30% today.

It was like 6%.

That’s right, which was multiples of where we were just several years ago, so we expect over time that that will continue to increase, and with that we also expect the trading volume to increase as well. So that’s part and parcel with us becoming more mature as a company that as we develop our revenues and our profits and you'll increase interest for both retail and institutional owners wanting to invest in our company.

That's true. And of course, institutions can own it, plus it’s over $5 a share.

Those are certainly some of the factors that can limit trading.

Right, and so we’re over that now and with things picking up I don't expect we’re going to see that again, but in any event I just didn't know because I had only seen a couple of investors picked it up here lately and I see Goldman and BlackRock and Vanguard and Fidelity.

That’s very encouraging, you correctly pointed out, there are some notable institutional names that are starting to invest in our company, which we take as a sign of confidence of our business plan and where we see this company going in the future.

Do they visit you at your home office?

I’d probably not get into the specific details, but it's fair to say that when these institutions make investments they do their due diligence and they don’t do it lightly because to invest in a company like us is – it’s a new name for many of them, so they want to know what they’re investing in, and as you point out, while our liquidity has increased it still – it’s still a fraction of what other companies that are much larger than us have. So when you invest in us you want to make sure that you’re investing, you’re making a good decision. So they’ve done a lot of due diligence prior to making such a decision.

In the old days if you wanted to do due diligence on us you would come and you’d go, walk through our laboratories and see things in beakers bubbling, now a Mercedes pulls up in front of your door and shows them the roof and – or they go to Milan and see it and the due diligence is a little bit different.

Thank you for that information, I think we’ll just continue to see it go that way.

Sound great. Thank you.

This concludes the question and answer session. I would now like to turn the conference back over to Mr. Joe Harary for closing remarks.

Thank you, Danielle. Our mission has been to show the world how smart their glass could be. And we work with the best performing technology and a growing number of world-class companies to do this. 2015 marks the year when the most people, the most number of people in history will be able to operate first hand an SPD smart window or in fact the smart window of any kind. And tens of thousands of cars are on the road today that have SPD-SmartGlass and the roof of the Mercedes vehicles, started with roadsters and now moved to coupes and Sedans, four different car models so far and production, and it started with Mercedes, but now you’ve also seen OEMs like Ford, Volkswagen and BMW showed some remarkable concept vehicles using our SPD-SmartGlass technology. This year Honda Jet customers are expected to start receiving their jets with SPD EDWs as standard equipment and there is more to come in that market that is quite exciting. Yacht such as the Cheoy Lee and Hatteras yacht use SPD-SmartGlass today, and later this year we expect even more yacht with stunning designs made possible by SPD-SmartGlass to be launched. A growing number of museums and other institutions continue to use SPD-SmartGlass to protect their most precious artifacts. Now as recently as four short years ago, only a handful of people knew what it was like to press a button and control the tint of their glass. As of last year, tens of thousands of people could enjoy this experience in their cars primarily, but also in aircraft, boats, museums and in their homes and offices. And starting last – this past Friday, over 25 million people are going to be able to experience what it's like to press a button and control the heat, light and glare using SPD-SmartGlass at the Milan World’s Fair. They’ll finally see what we all know, how smart their homes, offices, and vehicles can be. Tomorrow, we’ll mark the estimated 1 millionth visitor to the World’s Fair in Milan where the largest SPD-SmartGlass roof in the world exist. Your investment in Research Frontiers and the trust you’ve placed in us have made this all possible. Thanks everyone for your support, your participation in our success and in today's call. Thank you very much.

The conference is now concluded. Thank you for attending today’s presentation. You may now disconnect.