Unlevered Project Cashflows

Transcription

1 Energy Price Energy Price A B C D E F G H I J K L M N O P Q R S T U V W X Y Z AA AB AC AD AE AF Project Economics Project Economics - Unlevered Unlevered Uses and Sources IRR 7.9% Discount Rate = 10.0% Outlay $/W % Outlay $/W % Payback 8.5 Yrs EPC-Cost 1, % Equity % NPV ($66) Development Expenses % Cash Grant % LCOE $0.112 Working Capital % Rebate % Reroof Cost % Total Uses 1, % Total Sources 1, % Project Economics - Levered Levered Uses and Sources IRR 13.4% Discount Rate = 10.0% Payback 3.5 Yrs Leverage Outlay $/W % Outlay $/W % NPV $36 EPC-Cost 1, % Equity % LCOE $0.070 Development Expenses % Cash Grant % Closing Fee % Tax Equity % IRR Sensitivity EPC Price IRR Sensitivity Solar Radiation Interest During Constr % Senior Loan % 7.91% $3.08 $3.00 $2.93 $ % Working Capital % Rebate % $ % 4.49% 4.74% 4.99% $ % 8.09% 8.51% 8.92% MRA % $ % 5.31% 5.57% 5.83% $ % 9.02% 9.46% 9.88% DSRA % $ % 6.08% 6.35% 6.61% $ % 9.92% 10.36% 10.80% Reroof Cost % Model Assumptions $ % 6.81% 7.09% 7.36% $ % 10.77% 11.23% 11.68% Total Uses 1, % Total Sources 1, % Roof/Area Size 45,000 ft 2 Power Density 10 W/ft 2 EPC Price $2.23 /W Capacity kw System Life 20 Yrs Degradation Solar Radiation 0.50% /Yr 1,306 kwh/kwp PPA/Contracted Pricing $0.123 /kwh PPA/Contracted Term 20 Years PPA/Contracted Price Escalation 2.0% Development Expenses, % O&M Cost, $/W Insurance, % Admin, % PBI Incentive Term Performance Metrics 2.0% of EPC $0.005 $/W 0.1% of EPC 0.0% of EPC $0.00 /kwh 0 Years Unlevered Project Cashflows Operating Revenue, $/MWh EBITDA, $/MWh EBITDA Margin 88.9% 88.9% 88.8% 88.8% 88.7% 88.6% 88.6% 88.5% 88.5% 88.4% 88.3% 88.3% 88.2% 88.2% 88.1% 88.0% 88.0% 87.9% 87.8% 87.8% 0.0% 0.0% 0.0% 0.0% 0.0% EBITDA Growth 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 0.0% 0.0% 0.0% 0.0% 0.0% Credit - Project Debt After-tax DSCR 4.12x 5.49x 3.91x 3.81x 2.36x 1.42x 1.38x 1.34x 1.30x 1.26x 1.21x 1.17x 1.12x 1.07x 1.02x 0.98x 0.92x 0.87x 0.00x 0.00x 0.00x 0.00x 0.00x 0.00x 0.00x Before-tax DSCR 2.07x 2.04x 2.01x 1.98x 1.95x 1.91x 1.87x 1.83x 1.79x 1.75x 1.71x 1.67x 1.62x 1.57x 1.53x 1.48x 1.43x 1.38x 0.00x 0.00x 0.00x 0.00x 0.00x 0.00x 0.00x EBITDA to Interest 40.3% 39.3% 38.2% 36.9% 35.6% 34.2% 32.7% 31.0% 29.2% 27.2% 25.1% 22.7% 20.2% 17.5% 14.6% 11.3% 7.9% 4.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% FFO to Debt 23.9% 35.6% 25.0% 25.8% 14.8% 7.3% 7.9% 8.6% 9.4% 10.5% 11.9% 13.8% 16.5% 20.5% 27.3% 41.2% 82.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Debt to EBITDA 664% 645% 624% 602% 578% 552% 524% 493% 460% 423% 384% 342% 296% 246% 192% 133% 69% 0% 0% 0% 0% 0% 0% 0% 0% Debt to kw 72% 72% 71% 70% 68% 66% 64% 62% 58% 55% 51% 46% 41% 34% 27% 19% 10% 0% 0% 0% 0% 0% 0% 0% 0% CF's Cumulative CFs 10/1/2014 3:54 PM Tear Sheet 1 of 9

2 A B C D E F G H I J K L M N O P Q R S T U V W X Y Z AA AB AC AD LCOE Unlevered Key Assumptions EPC $2.23 /W Yield 1300 kwh/kwp After Tax Unlevered LCOE $0.112 /kwh System Size kw Tax Rate 38.2% Before Tax Unlevered LCOE $0.183 /kwh Depreciation MACRS Roof Rent $0.10 /ft 2 LCOE Before Tax, no ITC $0.257 /kwh O&M 0.5% of EPC Insurance 0.1% of EPC Levered LCOE $0.070 /kwh Admin 0.0% of EPC Inverter Repl, $/W $0.10 /W Inverter Repl, Yr 15 Discount Rate 10.0% ITC, Amount $343.7 Yr NPV's (a) Initial Investment $737 (b) Depreciation $ (c ) O&M $24 (2.5) (2.6) (2.6) (2.7) (2.7) (2.8) (2.8) (2.9) (2.9) (3.0) (3.1) (3.1) (3.2) (3.2) (3.3) (3.4) (3.4) (3.5) (3.6) (3.7) (d) Insurance $25 (0.5) (0.5) (0.5) (0.5) (0.5) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.7) (0.7) (0.7) (0.7) (0.7) (0.7) (e) Admin $ (f) Roof Rent $25 (4.6) (4.7) (4.8) (4.9) (5.0) (5.1) (5.2) (5.3) (5.4) (5.5) (5.6) (5.7) (5.8) (5.9) (6.1) (6.2) (6.3) (6.4) (6.6) (6.7) (g) Inverter $ (h) Energy 4, (i) Tax Rate 38.2% (j) Numerator 515 (a)-[(b)*(i)]+[(c )*{1-(i)}]+(g) Numerator 842 Numerator 1,186 (k) Denominator 4609 (h) Denominator 4609 Denominator 4609 Levered Tax Affected LCOE $0.112 (j) / (k) LCOE no tax breaks LCOE no ITC or tax breaks NPV's Yr (a) Initial Investment $343 (b) Depreciation $ (l) Principal $ (m) Interest $ (c ) O&M $24 (2.5) (2.6) (2.6) (2.7) (2.7) (2.8) (2.8) (2.9) (2.9) (3.0) (3.1) (3.1) (3.2) (3.2) (3.3) (3.4) (3.4) (3.5) (3.6) (3.7) (d) Insurance $5 (0.5) (0.5) (0.5) (0.5) (0.5) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.7) (0.7) (0.7) (0.7) (0.7) (0.7) (e) Admin $ (f) Roof Rent $45 (4.6) (4.7) (4.8) (4.9) (5.0) (5.1) (5.2) (5.3) (5.4) (5.5) (5.6) (5.7) (5.8) (5.9) (6.1) (6.2) (6.3) (6.4) (6.6) (6.7) (g) Inverter $ (h) Energy 4, (i) Tax Rate 38.2% (j) Numerator 323 (a)-[(b)*(i)]+[(c )*{1-(i)}]+(g)+(l)+(m) (k) Denominator (h) Tax Affected LCOE $0.070 (j) / (k) 10/1/2014 3:54 PM LCOE 2 of 9

3 A B C D E F G H I J K L M N O P Q R S T U V W X Y Z AA AB AC AD Project Assumptions and Financials ft 2 Owner Inputs System Energy Pricing Override Suggested Override Closest City Detroit Product Choice PPA/Contracted Pricing $0.100 /kwh $0.123 State/Province MI Power Density W/ft 2 PPA/Contracted Term 20 /Yr Country US PPA/Contracted Price Escalation 2.0% YoY Type of Installation Roof Top - BAPV EPC Price $2.23 /W Application Choice STP210-18/Ud-20 Capacity kw Merchant Energy Pricing $0.150 /kwh Tilt 20 System Life 20 Yrs Merch Energy Price Escalation 2.0% YoY Roof/Area Size 45,000 Degradation 0.5% /Yr SREC Pricing $0.000 /kwh $0.000 State Incentive(s) Please see Incentive Solar Radiation 1306 kwh/kwp 1300 SREC Term 10 Yrs Link Sheet, Availability 99% SREC Decline 15.0% YoY Type of Electricity User Commercial AC/DC Loss 13% FX Rates Average Electricity Cost $0.100 Year 2013 Quarter Q1 USD/EUR $1.34 USD/CAD $1.00 Incentives Expenses Taxes State PBI or FIT? No Development Expenses, % 2.0% of EPC State Tax Rate 5.0% State PBI $0.00 /kwh O&M Cost, $/W $0.005 $/W Fed Tax Rate 35.0% PBI Term 0 /Yr Insurance, % 0.1% of EPC All in Tax Rate 38.2% Country FIT $0.00 /kwh Admin, % 0.0% of EPC Depreciation -US Only MACRS FIT Length 0 /Yr Roof Rent $0.10 $/ft 2 Rebate Rate, $/W $0.13 $/W Roof Rent On? Yes Tax Equity Yield 8.0% Rebate Amount $65.30 Tax Equity Value Cost Escalation 2% YoY Tax Equity? No Property Tax Inverter Cost $0.10 $/W NOL CF? No Does state/prov have RECs? No Inverter Replacement Yr 15 Yr Rec Value $0.00 /kwh Reserve Contribution $1.5 /Yr Is the owner selling the power? Yes Additional Rev Price (ex. GSE Italy) $0.00 /kwh 0 Roofing Price Escalation 0.0% Is There Reroof? No Does Reroof qualify for ITC? No Reroof $/ft 2 Fed ITC, % 30.0% Total Roof Size Reroof Cost Reroof $/W Financing Model Checks Economics Debt Rate 6.0% Balance sheet balances Yes Unlevered Economics Debt Term 18 Yrs Debt Amortized Yes IRR 8% Construction Period 6 Months Total Sources equals 100% Yes Payback 8.48 Min DSCR Not Violated Yes NPV (66.5) Cash Interest Rate 2.0% LCOE $0.112 Discount Rate 10.0% All Checks Work? Yes Levered Economics Debt Closing Fee 2.0% Solar Radiation Overide ON? Yes Leverage PPA/Contracted Price Overide ON? Yes Leverage % 35% DSCR 1.33x Roof Rent ON? Yes Equity Debt Service Reserve, Months 6 Months IRR 13% Min Equity 10% Payback 3.47 NPV 35.8 Working Capital (Days) 30 Rev Days LCOE $ O&M Days 10/1/2014 3:54 PM Model 3 of 9

4 A B C D E F G H I J K L M N O P Q R S T U V W X Y Z AA AB AC AD Unlevered Sources & Uses Outlay $/W % Outlay $/W % EPC EPC-Cost % Equity % Target IRR 8.0% Development Expenses % Cash Grant % EPC $2.23 Working Capital % Rebate % Output 7.9% IRR Reroof Cost % 0.1% Total Uses % Total Sources % Energy Price Levered Sources & Uses Target IRR 8.0% Outlay $/W % Outlay $/W % Energy Price $0.123 EPC-Cost % Equity % Output 7.9% IRR Development Expenses % Cash Grant % 0.1% Closing Fee % Tax Equity % Interest During Constr % Senior Loan % Working Capital % Rebate % Energy Price Inflation MRA % Target IRR 8.0% DSRA % Inflation 2.0% Reroof Cost % Output 7.9% IRR Total Uses Total Sources % Income Statement Unlevered Income Statement Energy Output - DC Degradation 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0% 5.5% 6.0% 6.5% 7.0% 7.5% 8.0% 8.5% 9.0% 9.5% 10.0% 10.5% 11.0% 11.5% 12.0% 12.5% AC/DC 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% Energy Output - AC PPA Price $0.12 $0.13 $0.13 $0.13 $0.13 $0.14 $0.14 $0.14 $0.14 $0.15 $0.15 $0.15 $0.16 $0.16 $0.16 $0.17 $0.17 $0.17 $0.18 $0.18 $0.00 $0.00 $0.00 $0.00 $0.00 Merchant Energy Price $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.22 $0.23 $0.23 $0.24 $0.24 Energy Price Curve $0.12 $0.13 $0.13 $0.13 $0.13 $0.14 $0.14 $0.14 $0.14 $0.15 $0.15 $0.15 $0.16 $0.16 $0.16 $0.17 $0.17 $0.17 $0.18 $0.18 $0.22 $0.23 $0.23 $0.24 $0.24 FIT $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 SREC Price $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Custom SREC Curve $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Additional Rev Price (ex. GSE Italy) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 PPA/Energy Rev FIT SREC Rev Rec Rev Additional Revenue State PBI Total Revenue O&M (2.5) (2.6) (2.6) (2.7) (2.7) (2.8) (2.8) (2.9) (2.9) (3.0) (3.1) (3.1) (3.2) (3.2) (3.3) (3.4) (3.4) (3.5) (3.6) (3.7) Insurance (0.5) (0.5) (0.5) (0.5) (0.5) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.7) (0.7) (0.7) (0.7) (0.7) (0.7) Admin Rent (4.6) (4.7) (4.8) (4.9) (5.0) (5.1) (5.2) (5.3) (5.4) (5.5) (5.6) (5.7) (5.8) (5.9) (6.1) (6.2) (6.3) (6.4) (6.6) (6.7) EBITDA Depreciation (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.7) (48.7) (48.7) (48.7) (48.7) (48.7) EBIT EBT Taxes (4.8) (5.2) (5.5) (5.9) (6.2) (6.5) (6.9) (7.3) (7.6) (8.0) (8.4) (8.7) (9.1) (9.5) (9.8) (10.2) (10.6) (11.0) (11.4) (11.8) Net Income Sensitivities 10/1/2014 3:54 PM Model 4 of 9

5 132 Levered Income Statement Energy Output - DC Degradation 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0% 5.5% 6.0% 6.5% 7.0% 7.5% 8.0% 8.5% 9.0% 9.5% 10.0% 10.5% 11.0% 11.5% 12.0% 12.5% 137 AC/DC 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 13% 138 Energy Output - AC PPA Price $0.12 $0.13 $0.13 $0.13 $0.13 $0.14 $0.14 $0.14 $0.14 $0.15 $0.15 $0.15 $0.16 $0.16 $0.16 $0.17 $0.17 $0.17 $0.18 $0.18 $0.00 $0.00 $0.00 $0.00 $ Merchant Energy Price $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.22 $0.23 $0.23 $0.24 $ Energy Price Curve $0.12 $0.13 $0.13 $0.13 $0.13 $0.14 $0.14 $0.14 $0.14 $0.15 $0.15 $0.15 $0.16 $0.16 $0.16 $0.17 $0.17 $0.17 $0.18 $0.18 $0.22 $0.23 $0.23 $0.24 $ FIT $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $ SREC Price $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $ Custom SREC Curve $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $ Additional Rev Price (ex. GSE Italy) $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $ PPA/Energy Rev FIT SREC Rev Rec Rev Additional Revenue State PBI Total Revenue O&M (2.5) (2.6) (2.6) (2.7) (2.7) (2.8) (2.8) (2.9) (2.9) (3.0) (3.1) (3.1) (3.2) (3.2) (3.3) (3.4) (3.4) (3.5) (3.6) (3.7) Insurance (0.5) (0.5) (0.5) (0.5) (0.5) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.6) (0.7) (0.7) (0.7) (0.7) (0.7) (0.7) Admin Rent (4.6) (4.7) (4.8) (4.9) (5.0) (5.1) (5.2) (5.3) (5.4) (5.5) (5.6) (5.7) (5.8) (5.9) (6.1) (6.2) (6.3) (6.4) (6.6) (6.7) EBITDA Interes Income Depreciation (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.4) (48.7) (48.7) (48.7) (48.7) (48.7) (48.7) EBIT Interest Debt (24.6) (24.3) (24.0) (23.5) (23.0) (22.4) (21.7) (20.9) (19.9) (18.8) (17.6) (16.2) (14.6) (12.8) (10.8) (8.5) (6.0) (3.2) EBT (11.6) (10.4) (9.1) (7.8) (6.3) (4.8) (3.1) (1.3) Taxes (0.3) (1.1) (1.9) (2.8) (3.8) (4.9) (6.0) (7.1) (8.5) (10.0) (11.4) (11.8) Net Income (7.2) (6.4) (5.6) (4.8) (3.9) (2.9) (1.9) (0.8) /1/2014 3:54 PM Model 5 of 9

6 179 Cash Flow Statement 180 Unlevered CF Statement After Tax Unlevered Revenue OM&A (7.6) (7.8) (7.9) (8.1) (8.2) (8.4) (8.6) (8.7) (8.9) (9.1) (9.3) (9.5) (9.6) (9.8) (10.0) (10.2) (10.4) (10.6) (10.9) (11.1) EBITDA Taxes (25.0) (25.4) (25.8) (26.1) (26.5) (26.9) (27.2) (27.6) (28.0) (28.3) (28.6) (29.0) (29.4) (29.9) (30.4) FFO Working Capital (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) Initial Investment (736.6) Follow on Capex (1.5) (27.1) CF's (738.0) After Tax Unlevered 199 IRR 8% -81% -43% -25% -13% -8% -5% -3% -1% 1% 2% 3% 4% 5% 6% 6% 6% 7% 7% 8% 8% 8% 8% 8% 8% 8% 200 Payback NPV (66.5) Before Tax EBITDA Follow on Capex (27.1) Initial Investment (738.0) CF's (738.0) IRR 7% -92% -67% -46% -33% -23% -16% -11% -7% -4% -2% 0% 1% 2% 3% 4% 5% 5% 6% 6% 7% 7% 7% 7% 7% 7% 213 Payback NPV (157.6) 217 Levered Cash Flow EBITDA Interest Expense (24.6) (24.3) (24.0) (23.5) (23.0) (22.4) (21.7) (20.9) (19.9) (18.8) (17.6) (16.2) (14.6) (12.8) (10.8) (8.5) (6.0) (3.2) Cash Taxes (16.7) (17.3) (18.0) (18.8) (19.6) (20.4) (21.3) (22.4) (23.4) (24.5) (25.5) (27.0) (28.4) (29.9) (30.4) FFO Working Capital (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) Initial Investment (343.3) 228 Follow-on Capex (27.1) Principal (4.8) (6.0) (7.2) (8.6) (10.2) (11.9) (13.7) (15.8) (18.1) (20.6) (23.4) (26.5) (29.9) (33.6) (37.7) (42.3) (47.3) (52.8) Debt Service Reserve (16.2) (0.4) (0.4) (0.5) (0.5) (0.5) (0.6) (0.6) (0.7) (0.7) (0.8) (0.8) (0.9) (1.0) (1.1) (1.1) (1.2) (1.3) Cash Flow (359.4) (27.1) (2.4) (5.4) Cumulative CF (359) (268) (132) (42) IRR 13% -75% -25% -6% 5% 9% 10% 11% 11% 12% 12% 12% 13% 13% 13% 12% 12% 12% 12% 13% 13% 13% 13% 13% 13% 13% 236 Payback NPV Balance Sheet Debt Service Reserve Net Working Capital Net PPE 1, , , , Total Assets 1, , , , Debt Tax Equity Deferred Taxes Book Equity Total Debt & Equity 1, , , , Balance? Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes /1/2014 3:54 PM Model 6 of 9

7 255 Taxes 256 Unlevered Cash Taxes EBITDA Depreciation (193.6) (309.8) (193.6) (193.6) (77.5) (0.3) (0.5) (0.3) (0.3) (0.1) EBIT (132.6) (247.9) (130.8) (129.9) (12.8) Taxable Income (132.6) (247.9) (130.8) (129.9) (12.8) Tax Rate 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 264 Cash Taxes Payable (25.0) (25.4) (25.8) (26.1) (26.5) (26.9) (27.2) (27.6) (28.0) (28.3) (28.6) (29.0) (29.4) (29.9) (30.4) Unlevered NOL Carryforward EBITDA Depreciation (193.6) (309.8) (193.6) (193.6) (77.5) (0.3) (0.5) (0.3) (0.3) (0.1) EBIT (132.6) (247.9) (130.8) (129.9) (12.8) Taxable Income (132.6) (247.9) (130.8) (129.9) (12.8) Combined State and Fed Tax (50.7) (94.7) (50.0) (49.6) (4.9) Taxes Payable NOL Carryforward Taxes (0.0) (16.8) (28.6) (29.0) (29.4) (29.9) (30.4) NOL Years Levered Cash Taxes EBITDA Interest Income Depreciation (194.6) (311.3) (194.6) (194.6) (77.8) (0.3) (0.5) (0.3) (0.3) (0.1) EBIT (133.1) (249.0) (131.3) (130.4) (12.7) Interest (24.6) (24.3) (24.0) (23.5) (23.0) (22.4) (21.7) (20.9) (19.9) (18.8) (17.6) (16.2) (14.6) (12.8) (10.8) (8.5) (6.0) (3.2) Taxable Income (157.8) (273.3) (155.3) (153.9) (35.7) Tax Rate 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 38.2% 294 Cash Taxes Payable (16.7) (17.3) (18.0) (18.8) (19.6) (20.4) (21.3) (22.4) (23.4) (24.5) (25.5) (27.0) (28.4) (29.9) (30.4) Unlevered NOL Carryforward EBITDA Interest Income Depreciation (194.6) (311.3) (194.6) (194.6) (77.8) (0.3) (0.5) (0.3) (0.3) (0.1) EBIT (133.1) (249.0) (131.3) (130.4) (12.7) Interest (24.6) (24.3) (24.0) (23.5) (23.0) (22.4) (21.7) (20.9) (19.9) (18.8) (17.6) (16.2) (14.6) (12.8) (10.8) (8.5) (6.0) (3.2) Taxable Income (157.8) (273.3) (155.3) (153.9) (35.7) Combined State and Fed Tax (16.7) (17.3) (18.0) (18.8) (19.6) (20.4) (21.3) (22.4) (23.4) (24.5) (25.5) (27.0) (28.4) (29.9) (30.4) Carryforward (60.3) (104.4) (59.3) (58.8) (13.7) Taxes Payable (16.6) (30.4) NOL Carryforward (16.7) (17.3) (18.0) (18.8) (19.6) (20.4) (21.3) (22.4) (23.4) (24.5) (25.5) (27.0) (28.4) (13.3) NOL Taxes (16.6) (30.4) NOL Years Inverter Replacement Detail MRA BOY Deposits Interest Withdrawals MRA EOY /1/2014 3:54 PM Model 7 of 9

8 325 Debt Sizing Contractual Revenues OM&A (7.6) (7.8) (7.9) (8.1) (8.2) (8.4) (8.6) (8.7) (8.9) (9.1) (9.3) (9.5) (9.6) (9.8) (10.0) (10.2) (10.4) (10.6) (10.9) (11.1) Cash Taxes (16.7) (17.3) (18.0) (18.8) (19.6) (20.4) (21.3) (22.4) (23.4) (24.5) (25.5) (27.0) (28.4) (29.9) (30.4) Contractual EBITDA Interest Income Working Capital (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) (0.1) Available for Debt Service Target Coverage Ratio 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 1.33x 336 Target Debt Service Principal Balance Amortization Schedule 1.2% 1.5% 1.8% 2.1% 2.5% 2.9% 3.3% 3.9% 4.4% 5.0% 5.7% 6.5% 7.3% 8.2% 9.2% 10.3% 11.5% 12.9% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 344 Debt Detail Debt Amortization Schedule 1.2% 1.5% 1.8% 2.1% 2.5% 2.9% 3.3% 3.9% 4.4% 5.0% 5.7% 6.5% 7.3% 8.2% 9.2% 10.3% 11.5% 12.9% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Principal Principal Interest Interest Debt Service Debt Balance Debt Service Reserve Contribution / (Withdrawal) (28.0) Balance Interest Income Economic Debt Leverage Debt PV Equity PV Total Leverage 10/1/2014 3:54 PM Model 8 of 9

9 371 Depreciation 372 Unlevered Depreciation System Cost Depreciation Factor 20% 32% 20% 20% 8% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 377 Depreciation Balance Statutory Inverter Depreciation Depreciation Factor 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 20% 32% 20% 20% 8% 0% 0% 0% 0% 0% 0% 385 Inverter Depreciation Balance Statutory Roof Repair Deprciation Roof Repair Debt Depreciation System Cost Depreciation Factor 20% 32% 20% 20% 8% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 397 Depreciation Balance Statutory Inverter Depreciation Depreciation Factor 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 20% 32% 20% 20% 8% 0% 0% 0% 0% 0% 0% 406 Inverter Depreciation Balance Statutory Roof Repair Deprciation Roof Repair Performance Metrics Operating Revenue, $/MWh EBITDA, $/MWh EBITDA Margin 88.9% 88.9% 88.8% 88.8% 88.7% 88.6% 88.6% 88.5% 88.5% 88.4% 88.3% 88.3% 88.2% 88.2% 88.1% 88.0% 88.0% 87.9% 87.8% 87.8% 0.0% 0.0% 0.0% 0.0% 0.0% 421 EBITDA Growth 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4% 0.0% 0.0% 0.0% 0.0% 0.0% Credit - Project Debt After-tax DSCR 4.12x 5.49x 3.91x 3.81x 2.36x 1.42x 1.38x 1.34x 1.30x 1.26x 1.21x 1.17x 1.12x 1.07x 1.02x 0.98x 0.92x 0.87x 0.00x 0.00x 0.00x 0.00x 0.00x 0.00x 0.00x 425 Before-tax DSCR 2.07x 2.04x 2.01x 1.98x 1.95x 1.91x 1.87x 1.83x 1.79x 1.75x 1.71x 1.67x 1.62x 1.57x 1.53x 1.48x 1.43x 1.38x 0.00x 0.00x 0.00x 0.00x 0.00x 0.00x 0.00x 426 EBITDA to Interest 40.3% 39.3% 38.2% 36.9% 35.6% 34.2% 32.7% 31.0% 29.2% 27.2% 25.1% 22.7% 20.2% 17.5% 14.6% 11.3% 7.9% 4.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 427 FFO to Debt 23.9% 35.6% 25.0% 25.8% 14.8% 7.3% 7.9% 8.6% 9.4% 10.5% 11.9% 13.8% 16.5% 20.5% 27.3% 41.2% 82.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Debt to EBITDA 664% 645% 624% 602% 578% 552% 524% 493% 460% 423% 384% 342% 296% 246% 192% 133% 69% 0% 0% 0% 0% 0% 0% 0% 0% 430 Debt to kw 72% 72% 71% 70% 68% 66% 64% 62% 58% 55% 51% 46% 41% 34% 27% 19% 10% 0% 0% 0% 0% 0% 0% 0% 0% After Tax Unlevered -92% -67% -46% -33% -23% -16% -11% -7% -4% -2% 0% 1% 2% 3% 4% 5% 5% 6% 6% 7% 7% 7% 7% 7% 7% 437 Before Tax -81% -43% -25% -13% -8% -5% -3% -1% 1% 2% 3% 4% 5% 6% 6% 6% 7% 7% 8% 8% 8% 8% 8% 8% 8% Cumulative CFs Cumulative CF's CF's /1/2014 3:54 PM Model 9 of 9