OUR INTRODUCTORY DATA REQUEST FOR USE IN REVIEWING WHETHER TO PURSUE YOUR FUNDING PROJECT

NOTE:   where more space is required, note "attached" and attach information labeled

Only the Sections I and II   and III are mandatory for the initial review.   The rest only if you have them; otherwise, state their status and when you anticipate their completion.

Date submitted:  

To:   Peter Jessen:   peterjj@peterjessen-gpa.com

From:

I .   Wind Power Project

            •  Name:

            •  Name designation used by BPA (or other administration, as applicable) :

            •  Location:

            •  Your web site:

            •  Project URLs on the BPA web site:

II.   Status of Key Project Points (give dates where possible) :

Control of land: owned or leased:

Anemometer readings of wind data:

            Number of met towers:

            Length of time of readings in years and months:

            Where applicable, do you have readings from top of ridge line to bottom of slope?

           Class of winds, from top of ridge line to bottom of slope:

Status of permit(s), if required:  

            County:

            State:

            Federal:

Siting study requirements, as applicable:

Status of NEPA study (when it will be completed), if applicable:

Status of ESA (Endangered Species Act), if applicable?  

Any other impact studies required?   Status.

Interconnect to grid through sub-station or transmission or both:

             Name of interconnect sub station:

             URL for or about the sub station:

              Other names of sub station, if they exist:

            How far in miles from wind farm to interconnect:

Turbines: number needed, type desired

           (Note:   new brands are acceptable only if the investor agrees):

Status of PPA (Power Purchase Agreement):  

           Note:   if you don't have one and our sources want to fund you, we can do everythingNnecessary to line up the PPA(s)

III.     Business plan status :   whether completed or in process or being assembled or yet to be done.

Required for this report:   1-2 page Executive summary showing investment amount needed, by when, & summarizing financials. Include about marketing, the core management team, and the operations and administration of the wind farm, and if you seek a turn-key situation or just funding for turbines.   If you have a biz plan or draft of one, you may submit it too.   But don't write it now if not yet completed.

Note: final application to investor must demonstrate that you will meet the required minimal hurdle rate:   a non-leveraged after tax profit of at least 10%.   For this summary indicate how close you think you are and what needs to be done to arrive at that minimum of 10 per cent.  

IV. Core management, with bios of each attached; also attached:   company history

[Only if available.   Narrative form required for Business Plan; regular resume OK for now]

           •  Name of CEO:

           •  Name of COO:

           •  Name of CFO or one in role of CFO:

           •  Name of Project Manager:

           •  Company history:   attached

V.   Status (state of current preparedness) of pro formas of your financial spread sheets

(Include your capability to develop final document or if you need to acquire outside help).   Option:   submit financials if you have any worked up.

           •  Income statement (profit and loss)

           •  Cash flow projections (receipts and disbursements)

           •  Balance sheet (assets and liabilities)

           •  Rate of return on investment (unleveraged after tax profit of at least 10%)

           •  Break-even analysis (how long in months/years when total sales equal total costs)

Note:   Final submission to funders must reflect solid thinking demonstrating your ability to quantify everything over the next five years.   We will work with you through the stages to make sure.    Investors will also expect to see your list assumptions and your ability to demonstrate the "why" of your figures.   The evaluation of your financials will influence investor decisions re the equity split that will come with the equity funding.   Hence the need for top tier professional business plan development.   If you can't, we will arrange for an expert you can retain for this purpose.

Remember:   investors have a fiduciary responsibility to do their duo diligence to ensure there is a complete biz plan with justifications, rationales, assumptions, etc.  

VI.   Ball Park Estimate of when turbine sets comes "on line" in calendar dollar pipelines:

    Funders need to be able to project along investment time tables, what I call funding pipelines, when, in each year, they want to have money placed in their investmens (fill in the blank, hopefully your projects).   What do you see as your ball bark needs and returns, using calendar years as pipeline segments, to list the funding you'll need and revenue/returns expected, if any, for these calendar benchmarks:

                        Amount needed             Anticipated revenue /return

             2006, Q4:

            2007:

            2008

            2009, etc.

VII. NEXT :  

            For fastest funding, fill this out now! Obviously, you will have blanks:   for these indicate how you intend to fill them or what you need to be able to fill them, and return this as soon as possible.   We'll continue iterations until we believe we can obtain funding and, thus, enter into a contract.

Remember, turbines, other equipment, can sometimes take 18 months from order to delivery.   We want to position you in the funding pipelines now , not when you are fully ready, for then fully ready will = ready plus 18 more months.   In other words, seek funding as soon as possible due to long equipment lead time.   Advance funding may not happen in every case, but we want to make sure we attempt it in every case, as some will work that way.

VIII. Consulting Services On Retainer Basis :  

If we agree to go forward to acquire your funding, we sign an exclusive agreement that includes our retainer fee and expenses (especialy travel). Contract length: depends on project:   normally:  4 - 6 months.   Once your funding is obtained, we receive our performance fee upon closing of the deal and our service end (unless you want to reset for additional consulting to your project).   Success fee usually includes future deals with funder or add-ons to each project regardless of funder (and we are available for those as well).   Legal expenses and business plan development expenses (if your in-house capability doesn't match what is needed), are borne by you.   To assure success, you agree to pass everything submitted to funder through us to ensure it fits their form, style, and content preferences.       

PJJ/3-2-06.        Last revision: 4/15/06