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    &lt;td style="width: 91%; font: 10pt/115% Calibri, Helvetica, Sans-Serif"&gt;&lt;font style="font: 10pt Times New Roman, Times, Serif"&gt;&lt;b&gt;ORGANIZATION&lt;/b&gt;&lt;/font&gt;&lt;/td&gt;&lt;/tr&gt;
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&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0"&gt;Visualant, Inc. (the &amp;#147;Company&amp;#148; or &amp;#147;Visualant&amp;#148;)
was incorporated under the laws of the State of Nevada on October 8, 1998 with authorized common stock of 200,000,000 shares at
$0.001 par value. On September 13, 2002, 50,000,000 shares of preferred stock with a par value of $0.001 were authorized by the
shareholders.&amp;#160;&amp;#160;There are no preferred shares issued and the terms have not been determined. The Company&amp;#146;s executive
offices are located in Seattle, Washington.&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0"&gt;The Company developed a unique patented Visualant Spectral
Pattern Matching&amp;#153; &amp;#34;SPM&amp;#34; technology. This technology directs structured light onto a physical substance to capture
a Visualant Spectral Signature &amp;#153; called a ChromaID&amp;#153;. When matched against existing databases, the ChromaID can be used
to identify, detect, or diagnose markers invisible to the human eye. ChromaID scanners can be integrated into a variety of mobile
or fixed-mount form factors, making it possible to effectively conduct analyses in the field that could only previously be performed
by large and expensive lab-based tests.&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0"&gt;The Company has a Joint Development Agreement through December
31, 2013 with Sumitomo Precision Products Co., Ltd. (&amp;#34;SPP&amp;#34;), which focuses on the commercialization of the ChromaID technology
and a License Agreement providing SPP with an exclusive license of the ChromaID technology in identified Asian territories. For
more information, visit:&amp;#160;&lt;u&gt;http://www.visualant.net&lt;/u&gt;.&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0"&gt;SPP is publicly traded in Japan and has operations in Japan,
United States, China, United Kingdom, Canada and other parts of the world. Additional information on SPP is available at&amp;#160;&lt;u&gt;http://www.spp.co.jp/English/index2-e.html&lt;/u&gt;.&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 10pt/normal Times New Roman, Times, Serif; margin: 0"&gt;Through the Company&amp;#146;s wholly owned subsidiary, TransTech
Systems, Inc. (&amp;#147;TransTech&amp;#148;),&amp;#160;based in Aurora, Oregon, the Company provides value added security and authentication
solutions to corporate and government security and law enforcement markets throughout the United States.&lt;/p&gt;

&lt;p style="font: 11pt/115% Calibri, Helvetica, Sans-Serif; margin: 0 0 10pt"&gt;&amp;#160;&lt;/p&gt;</NonNumbericText><FootnoteIndexer /><CurrencyCode /><CurrencySymbol /><IsIndependantCurrency>false</IsIndependantCurrency><ShowCurrencySymbol>false</ShowCurrencySymbol><DisplayDateInUSFormat>false</DisplayDateInUSFormat></Cell><Cell FlagID="0" ContextID="From2011-10-01to2012-09-30" UnitID=""><Id>2</Id><IsNumeric>false</IsNumeric><IsRatio>false</IsRatio><DisplayZeroAsNone>false</DisplayZeroAsNone><NumericAmount>0</NumericAmount><RoundedNumericAmount>0</RoundedNumericAmount><NonNumbericText>&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;Visualant, Inc. (the &amp;#147;Company&amp;#148; or &amp;#147;Visualant&amp;#148;)
was incorporated under the laws of the State of Nevada on October 8, 1998 with authorized common stock of 200,000,000 shares at
$0.001 par value. On September 13, 2002, 50,000,000 shares of preferred stock with a par value of $0.001 were authorized by the
shareholders.&amp;#160;&amp;#160;There are no preferred shares issued and the terms have not been determined. The Company&amp;#146;s executive
offices are located in Seattle, Washington.&lt;/p&gt;

&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;The Company developed a unique patented Visualant Spectral Pattern
Matching&amp;#153; &amp;#34;SPM&amp;#34; technology. This technology directs structured light onto a physical substance to capture a Visualant
Spectral Signature &amp;#153; called a ChromaID&amp;#153;. When matched against existing databases, the ChromaID can be used to identify,
detect, or diagnose markers invisible to the human eye. ChromaID scanners can be integrated into a variety of mobile or fixed-mount
form factors, making it possible to effectively conduct analyses in the field that could only previously be performed by large
and expensive lab-based tests.&lt;/p&gt;

&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;The Company entered into a one year Joint Development Agreement on
May 31, 2012 with Sumitomo Precision Products Co., Ltd. (&amp;#34;SPP&amp;#34;), which focuses on the commercialization of the SPM technology
and a License Agreement providing SPP with an exclusive license of the SPM technology in identified Asian territories. For more
information, visit:&amp;#160;&lt;u&gt;http://www.visualant.net&lt;/u&gt;.&lt;/p&gt;

&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;SPP is publicly traded on the Tokyo and Osaka Stock Exchanges and
has operations in Japan, United States, China, United Kingdom, Canada and other parts of the world. Additional information on SPP
is available at &lt;u&gt;http://www.spp.co.jp/English/index2-e.html&lt;/u&gt;.&lt;/p&gt;

&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;&amp;#160;&lt;/p&gt;

&lt;p style="font: 8pt Times New Roman, Times, Serif; margin: 0; text-align: justify"&gt;Through the Company&amp;#146;s wholly owned subsidiary, TransTech&amp;#160;based
in Aurora, Oregon, the Company provides value added security and authentication solutions to corporate and government security
and law enforcement markets throughout the United States.&lt;/p&gt;</NonNumbericText><FootnoteIndexer /><CurrencyCode /><CurrencySymbol /><IsIndependantCurrency>false</IsIndependantCurrency><ShowCurrencySymbol>false</ShowCurrencySymbol><DisplayDateInUSFormat>false</DisplayDateInUSFormat></Cell></Cells><ElementDataType>nonnum:textBlockItemType</ElementDataType><SimpleDataType>na</SimpleDataType><ElementDefenition>The entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure.</ElementDefenition><ElementReferences>Reference 1: http://www.xbrl.org/2003/role/presentationRef

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