INVESTOR PRESENTATION August 27, 2012

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This presentation contains certain statements that may be deemed “forward-looking statements”. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Forward-looking statements in this presentation relate to the Company’s continued growth and financial strength and future investment opportunities. The forward-looking information reflects predictions and possibilities and does not in any way reflect a guarantee. Factors which could cause actual results to differ materially from current projections include, among other things: competitive conditions in which the Company participates; changes in consumer spending; general economic conditions and normal business uncertainty; customer preferences towards product offerings; the occurrence of a pandemic or other catastrophic event which could create shortages of labour, products or services required to operate the business profitably; fluctuations in foreign currency exchange rates; changes in the Company’s relationships with its suppliers. The Company cautions that this is not an exhaustive list of factors that may affect the forward-looking information contained in this presentation. Potential investors and readers are urged to give careful consideration to all of these factors in evaluating any forward-looking information and are cautioned not to place undue reliance on such information. The Company disclaims any obligation to update forward-looking information, except as may be required by law. This Investor Presentation is for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to buy any securities.

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION AND PRO FORMA FINANCIAL STATEMENTS

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CAPITAL MARKET PROFILE

Exchange and Ticker Info: TSX Venture: LOX Shares Outstanding*: 44,812,778 Shares Fully diluted: 46,267,778 Stock Price (August 27, 2012): C$0.99 52 Week High / Low: C$0.99/C$0.405 Market Capitalization (August 27, 2012): C$45.8 M June 2012 Trailing 12 Months Revenues: US$77.3 M June 2012 Trailing 12 Months EBITDA: $8.6M Inside Ownership %: 52% Institutional Ownership %: 12%

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* Shares Outstanding include: 36,052,788 Common Shares and 8,759,990 Convertible Preferred Shares.

ABOUT LOREX

LOREX Technology Inc. is a global leader in the Video Security Market Space, pioneering “do it yourself” (DIY) advanced video security products for consumer applications and cost effective scalable solutions for professional applications . The Company provides consumers and businesses with leading edge video surveillance security solutions. These products are marketed under the LOREX brand for Consumers / Small Businesses and under the DIGIMERGE brand for the Business / Professional Market.

Responsible people at home or work can find the peace of mind, cost-savings and confidence that LOREX video monitoring systems provide, ensuring that valued property, possessions and loved ones are properly and constantly watched over every day, all day and from anywhere.

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LOREX PRODUCT LINES

Do-It-Yourself (DIY - or Installed by a pro) Video Surveillance Solutions

Plug & Play Wireless Monitoring Solutions

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The product lines together reflect the breadth of solutions and video security expertise characterized by the LOREX brand identity.

LOREX offers two lines of products that are differentiated by the target end user and how

the products are installed.

HOME, FAMILY & BABY VIDEO MONITORS Crystal clear audio and video with wireless connectivity

SIMPLE VIDEO SECURITY

Multiple security camera solutions designed in a simple way for the regular consumer Easy to install providing complete remote access via the internet

CONNECTED VIDEO SECURITY

Offers the latest advancements in wireless video surveillance with simple easy to use camera systems Plugged into Skype™ for simple remote monitoring

LOREX PRODUCT LINES

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DIGITAL VIDEO RECORDING (DVR) BUNDLES Cutting edge technology with advanced security features such as motion recording, real time recording, and high definition video Universally compatible with all wired and wireless security cameras Access live streaming video via smart-phones or computers

COMPONENT OR INTEGRATED The innovative Touch security DVR systems are the first commercial video surveillance recording systems with a touch-enabled user interface Touch screen LCD monitor controls security system with finger tip

ANALOG OR IP IP cameras include network, wireless network and high tech wireless PTZ cameras

LOREX PRODUCT LINES

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DIGIMERGE PRODUCT LINES

DIGIMERGE serves the needs of professional installers and system integrators in the rapidly expanding security and surveillance industry. DIGIMERGE offers a family of products focused on mobile / remote connectivity with market leading features at value pricing. DIGIMERGE CCTV products set the security industry standard for price, performance, quality and customer service. DIGIMERGE provides full solutions for small to medium size commercial and industrial applications. The products are scalable to meet the needs of larger applications and are also designed to be readily integrated into existing security systems.

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DIGIMERGE PRODUCT LINES

Leading Edge Products Include: Analogue, IP and HD Cameras

Digital Video

Network Video

HD Recorders

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UNIQUE SYNERGIES

Offering professional grade products, simplified for Consumers (DIGIMERGE LOREX) Providing ease of use solutions from the Consumer market to Businesses and Professionals (LOREX DIGIMERGE) Economies of Scale – leveraging large production in the main-stream channel to benefit the professional channel

Synergies

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TECHNOLOGY DIFFERENTIATION

We have Ability to Sustain Price Points by Providing Leading Technology and Innovative Solutions 1st to Market Advantage

Product Categories – 1st with All-In-One integrated LCD DVR Solutions – 1st DVR with a Touch Screen Operation Compatibility - 1st to Offer Mac Compatibility Connectivity - 1st to Offer Blackberry Connectivity Ease of installation – 1st to offer Auto Port Forwarding Wizard

Create Demand in the Consumer Market by Designing Innovative Solutions that Utilize Latest Technology, Form-Factor and Utility

Digital Wireless with Recording Capabilities Touch Operation Cameras with Infra Red Filters Edge DVR Concept Multi-Function Operation

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Global leader of DIY Security Through Leading Technology that is 1st to Market : Winners of 6 - Consumer Electronics Show (CES) Innovation Awards

Multifunction Integrated DVR (DVR - picture frame – component - PC monitor) CES Innovation Award for L20WD “Video Component” 2009

DVR Edge concept – micro form factor, VESA, Flex IR, HDMI output CES Innovation Award for EDGE DVR “Video Component” 2009

Digital Wireless 7” LCD, 2 cam, SD-DVR recording CES Innovations Award for LW2700 “Integrated Home” 2010

Super connected Link DVR – Mobile viewing iPhone, Black Berry + Mac and PC CES Innovation Award for LINK DVR “Video Component” 2010

Internet Live Connect video Gateway, iPhone, Android, PC, Mac compatible CES Innovations Award for Live Connect “Integrated Home” 2011

Skype Internet video monitoring Live Connect 2, mobile and PC/Mac applications CES Innovations Award for Live Connect 2 “Health and Wellness” 2012

TECHNOLOGY INNOVATION

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New Arrivals For 2012 Edge 2 DVRs with touch screen, 1080p HDMI video, full mobile, PC and Mac apps CE design Eco 2 / Eco 3 DVRs real time recorders, HDMI output, APF, full mobile, PC and Mac apps LiveView video baby monitor LW2220 Real time wireless D1 (FHSS) CCTV camera and receiver for DVR Live Sense PT wireless pan tilt camera and baby monitor

TECHNOLOGY INNOVATION

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And More In Development……….

Vigilant and Responsible Homeowners

Vacation and Second-Home Owners

Business Owners

Multiple Property Owners

New Parents

Pet Owners

Caregivers

Installers

Grandparents, Friends, Relatives, Gift-givers

Nature Lovers, Hunters, Gardeners and Curious Consumers

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END USERS

We Sell LOREX Consumer Brand Products.... through 3,500 Retail locations across North America such as: Via the internet through affiliate reseller web portals such as: Costco.com, Amazon.com, BestBuy.com and Walmart.com and our Lorex e-commerce estore www.lorextechnology.com

HOW WE SELL

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HOW WE SELL

We Sell Our DIGIMERGE Professional Products ......

through a multi-point channel strategy; security distribution, IT distribution and direct to dealer/integrator and Fortune 500 end users

utilizing an international sales and stocking distributor network across the USA, Canada, Mexico, Central America and the Caribbean

this network includes Wholesalers, System Integrators and Value Added Retailers such as: ADI, Tri-Ed, Eastern Distributing and Systems Distributors... and other Partners

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CURRENT MARKET TRENDS RETAIL

According to IMS Research….. Market size in North America for LOREX DIY Consumer product line was US $300 Million in 2010 and is forecast to grow at an annual rate (CAGR) of 10.8% to $500M by 2015 Analogue video surveillance = 70% (Cameras, DVRs, etc) Ave Annual Growth 8.9% Network video surveillance = 12% (NVRs, IP Cameras, etc) Ave Annual Growth 20.8% Accessories, Covert Cameras = 18% (Fake Cameras, Cables, etc) Ave Annual Growth 10.8%

The Increasing Need for Security, Connectivity and Affordable Technology Costs are Driving the DIY

Video Surveillance Market

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OUR POSITION IN THE RETAIL DIY MARKET

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In 2010 LOREX was the MARKET LEADER with approximately 16%* market share. In 2011, LOREX North American sales grew 37% compared to prior year – significantly ahead of the industry trend.

Other Active Participants:

* Based on 2010 ISM Research Data

CURRENT MARKET TRENDS PROFESSIONAL

CCTV Market size for DIGIMERGE Professional Product Line was Approximately US $600 Million in 2011 in North America * This segment of the market is expected to grow 10% in 2012; and 12% in 2013 *

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* These are estimates based on 2008 ISM Market Research Data

DIGIMERGE POSITION IN PROFESSIONAL MARKET

We Grow Market Share Because:

Product Simplicity and High Service Level Leading to Reoccurring Sales from Dealers and Integrators Ease of Use and Technology Innovation Allows DIGIMERGE to Capture Increased Market share Strong Relationships at the Corporate Level of our Distributors Highly Trained Sales Professionals Recognized by Distributors Dealers and Integrators

DIGIMERGE Sales in 2011 Estimated to Represent Approximately 1.5%* of the Professional CCTV Market in North America. DIGIMERGE North American Growth in 2011 was 17% = Above Average Growth Trend

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*Estimated based on 2008 IMS Research Data

HOW WE CONTINUE GROWTH

Continue to Lead in Technology Innovation Introduction of New Products & Evolution of Existing Products at Consistent Price Points Retailer Expansion (both Bricks & Mortar and Ecommerce) Geographic Expansion Increased Internal E-Store Sales Expansion of Professional DIGIMERGE Products Distribution

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OUTSOURCED MANUFACTURING

We utilize a simple low cost outsourced manufacturing model Redundancy of suppliers ensures competitiveness and reliability Strong supplier base manufacturing to the design requirements of LOREX ISO certified manufacturing partners with high quality standards Model enables flexible and timely response to demand changes

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FINANCIAL OVERVIEW Select Balance Sheet Info

Expressed in Thousands USD (000’s) As of June 30 2012

As of Sep 30 2011

Assets

Cash $3,789 $995

Accounts Receivable $10,332 $10,632

Inventory * $13,530 $17,153

Total Assets $32,800 $33,203

Liabilities

Bank Debt / Working Capital Revolver $0 $4,168

Accounts payable and accrued liabilities $12,535 $13,614

Total Liabilities $13,155 $18,023

Shareholders' Equity $19,645 $15,180

* Inventory level is in anticipation of sales forecasted; financed by improved working capital.

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FINANCIAL OVERVIEW

2012 Q3 and Trailing 12 Months P & L Highlights Expressed in Thousands USD (000’s)

Three Months Ended June 30

Twelve Months Ended June 30

2012 2011 2010 2012 2011 2010

Revenue $21,218 $16,488 $13,661 $77,288 $57,334 $45,300

EBITDA

$2,448

$1,464 $1,390 $8,635 $5,873 $2,788

Earnings Before Income Taxes $2,322 $1,347 $1,261 $8,112 $5,457 $2,007

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Strong top and bottom line growth over the last three years. See full Financials for complete analysis.

FINANCIAL OVERVIEW Revenues and Earnings Trending Higher Gross Profit Margin Consistent Year over Year – (2009, 2010, 2011) (2012* Revenues are Projected at $78M) *

Sustained Profitability with 15 Consecutive Quarters of Positive EBITDA

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MANAGEMENT

Lorex Technologies Inc. is led by an exceptional management team that has over 225 years of combined experience in consumer products and the security industry. This experience includes the ownership, operations and sale of Sonigem Products, a business with over $150M in revenue at time of sale by Reuben Klein, Lorex’s CEO. It also includes executive and senior level leadership by Lorex’s management team in finance, sales, marketing, operations, logistics, manufacturing, R&D and e-commerce with leading organizations including Sony, Panasonic, G.E. Security, Samsung, Sanyo, Acer, Magnasonic, Obus Forme and other leading companies. Lorex’s senior management team includes:

Reuben Klein, Chairman and CEO Chris Atwood, Vice President Operations – Lorex Corporation Eric Miller, Chief Financial Officer Godfrey D’Cruz, Senior Vice President Operations and Logistics Gilad Epstein, Vice President Product Management & Marketing Joel Kligman, Vice President Marketing & Corporate Development – Digimerge Martin Worndl, Senior Vice President - Product Development Sufi Khan Sulaiman, Director of Ecommerce and Digital Services Steven Gold, President, Lorex Corporation Wayne Hurd, Executive Vice President of Sales & Marketing – Digimerge

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INVESTMENT THESIS Market Leader in DIY Consumer and Professional Advanced Video Security Products Proven First Mover in Technology Innovation and New Product Introductions Revenue Trend Outpacing the Industry while Delivering Strong Earnings to Shareholders with 15 Consecutive Quarters of Positive EBITDA Engaging and Attacking Tech-Savvy Consumer and Professional Market – Combined Markets are Experiencing Double Digit Growth that is Expected to Reach over a Billion Dollars by 2015 Capitalizing on LOREX Premium Brand Image in the Retail / Consumer Space Expanding Market Share in the Professional Market Growth Business currently Trading at Low Valuation and P/E Minimal Capital Expenditures Required Only Pure Play Public Company Investment Opportunity in this Space

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