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Third Wave Systems Awarded NSF Phase II Grant

Minneapolis, MN
September 26, 2003

Third Wave Systems, Inc. has been awarded a National Science Foundation (NSF) Small Business Innovative Research (SBIR) Phase II grant for the project entitled “Residual Stress and Part
Distortion Prediction in Machined Workpiece Surfaces.” The $500,000 award will further develop and
utilize Third Wave AdvantEdge technology to develop and verify residual stress modeling and analysis
capabilities as applied to machining processes. In addition, new parameters will be demonstrated and
verified on aircraft and automotive components and verified residual stress modeling results will be related
to part distortion, surface integrity and other identified characteristics.

“This technology will help automotive and aircraft companies reduce costs in their assembly operations and
improve quality in fatigue sensitive applications” remarked Kerry Marusich, President of Third Wave
Systems.

Founded in 1993, Third Wave Systems provides machining modeling software and services used by
Fortune 500 aerospace and automotive companies to dramatically reduce costs in product design and
manufacturing. Headquartered in Minneapolis, Minnesota, Third Wave Systems also has offices in
Detroit, Michigan and major distribution in Japan and Europe.