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Solar Energy Initiatives, Inc'

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Title: Solar Energy Initiatives, Inc'


1
Solar Energy Initiatives, Inc.
RENEW THE NATION
Clean Energy For Residential, Industrial
Utility Scale Power Generation
Symbol SNRYJuly 2009
2
Safe Harbor Statement
  • This presentation contains forward looking
    statements as defined under the Private
    Securities Litigation Reform Act of 1995.
    Investors are cautioned that such forward looking
    statements involve risk and uncertainties, which
    could significantly impact the actual results,
    performance or achievements of the Company. Such
    risks and uncertainties include, but are limited
    to, the time frame for production of revenue,
    product development and commercial introduction,
    the impact of rapid price and technological
    change and competition, manufacturing and supply
    uncertainties and other risks as may be detailed
    from time to time in the Companys periodic
    reports filed with the Securities Exchange
    Commission.

3
Mission Statement
  • Solar Energy Initiatives, Inc. SNRY
    (www.SolarEnergy.com) was formed to execute on a
    grass roots campaign - RENEW THE NATION - to
    help redeploy a portion of the U.S. work force
    and focus on reducing the worlds dependence on
    fossil fuels by selling solar thermal and
    photovoltaic (PV) technologies, while building a
    profitable company. 

4
Approach to Market
  • Executing a Three-Pronged Approach
  • Continue developing one of the fastest-growing
    dealer networks in the U.S.
  • Dealer network sells and installs solar solutions
    to homeowners and commercial customers
  • Place solar systems on large commercial buildings
    and sell the energy output to the
    owner/occupant(s)
  • Become a developer of solar parks - bring
    together landowners, utilities and corporate
    resources to build large photovoltaic
    installations

5
Financial Highlights
  • 75 Million in Revenue from project pipeline
  • Insiders own 50 of the outstanding shares
  • Dealer network possesses 60 revenue-generating
    dealers
  • 400 dealer inquiries since launch of the RENEW
    THE NATION CAMPAIGN
  • 1000 increase compared to prior the campaign
  • 8 historical close rate on dealer inquiries
  • Guidance - July Fiscal Year
  • 12 Million revenue run rate for FY 2009
  • 21 Million revenue run rate for FY 2010

6
Solar Energy Initiatives Business Model
Residential Housing Orders for Installation
General Contractors, Trades, etc
Solar Parks, JVs, DBOOs
Dealer Network
Solar University
PPA Opportunities and Commercial Installations
Revenue Points
6
7
Operating Lines
  • Solar University and Dealer Network
  • Expected growth of current dealer base
  • 100 by the end of 2009
  • 300 by the end of 2010
  • Opportunity for entrepreneurs and existing
    businesses to join the largest dealer network
    selling solar products in the USA (70 dealers)
  • Profitable new dealer education and support
    program (Solar University)
  • Provides buying power and leads
  • Worldwide access to the largest solar
    manufacturers - BP Solar and GE Solar
  • SNRY has established dealers in Hawaii, Puerto
    Rico and U.S. Virgin Islands

8
Operating Lines
  • Solar Sales
  • Solar Initiatives website - www.solarenergy.com
    - is the worlds most visited solar web site (more
    than 1 million hits per month)
  • Sells products and services through the Company
    website
  • Sells solar equipment to the dealer network for
    installations on residential, commercial and
    industrial properties
  • The Company offers engineered, turnkey solar
    installation solutions for commercial buildings
  • Sells solar thermal and PV panels and ancillary
    equipment
  • Sells electricity to the occupant or owner
  • Build, Own, Operate - business model option

9
Operating Lines
  • Solar Park Development
  • Average Solar Park size ranges from 5MW to 200MW
  • Estimated size of phase I of a project is 25MM
  • The parks will be located on the West coast of
    United States
  • in highly desirable solar and electricity
    cost locations
  • Provides utility scale solar electricity
    generation
  • Extensive experience in securing PPAs (Power
    Purchase Agreements)
  • Revenues from sale of solar panels and ancillary
    equipment development, maintenance management
    fees
  • Generate development fees (generally 6 -10 of
    the value of the project)
  • Retain a carried interest in the sale of the
    electricity to the utility
  • Management maintenance contracts

10
Dealer Network Value Proposition
  • Solar Energy provides the dealer with
  • High-volume ordering cost advantages
  • Time to source the worldwide market for lowest
    price point
  • The expertise for successful installations,
    leading to faster turnaround with fewer, costly
    mistakes
  • Individuals and businesses are seeking solar
    solutions for their homes and companies
  • Non-aligned solar companies have higher solar
    installation costs because they dont do enough
    business for product quantity discounts
  • Additionally, they may lack all the installation
    expertise necessary, leading to unforeseen costs
    to the contractor

Selected Certified Dealers
10
11
Competitive Advantage
  • The Companys operations are industry pervasive,
    not limited to one technology or single company
  • This allows for lower COGS and higher leverage
  • No investment in developing single technology,
    leading to superior technology offered
  • SNRY provides a turnkey investment solution to
    potential customers
  • Owns most visited solar website in the world,
    currently receiving over 1million hits per
    month
  • Acquire components from a worldwide market
  • Exclusive agreement with a leading off-shore
    Asian supplier to provide solar panels in North
    America
  • Distribution agreements with BP Solar (a division
    of British Petroleum) and GE Solar (a division of
    General Electric)

11
12
Recent Government Mandates
  • President Obamas Energy plan calls for
  • 150 billion investment over 10 years in
    research, technology demonstration, and
    commercial deployment of clean energy
  • 20 billion of tax cuts for renewable-energy
    production
  • 54 billion of spending to update the U.S.s
    aging electricity grid to make homes, buildings
    and vehicles more energy efficient
  • Renewable Portfolio Standard
  • Federal RPS requires 10 of electricity consumed
    in the U.S. to come from renewable sources by
    2012
  • Clean Renewable Energy Bonds
  • CREBs are used to finance renewable energy
    projects.
  • Business Energy Investment Tax Credit
  • The federal business energy ITC was expanded
    significantly by the Energy Improvement and
    Extension Act of 2008 which extended the existing
    credits for solar energy by eight years. The
    credit is equal to 30 of expenditure, with no
    maximum credit on eligible solar energy property
  • The American Recovery and Reinvestment Act of
    2009 enacted in February 2009 further expanded
    the investment tax credits
  • Production Tax Credits
  • Extension of PTC for 5 years to encourage
    renewable energy production

12
13
Factors Driving Growth Of Renewable Energy
Source EIA Renewable Energy Consumption and
Electricity 2007 statistics and Wall Street
Research
14
Market Growth Drivers
  • Public Policy Support
  • The use of renewable energy can greatly reduce
    the need for foreign oil
  • Extension of Federal renewable incentives until
    2016
  • State incentives ranging from tax credits to
    Feed-In-Tariffs (FITs)
  • Mandates (global portfolio standards) of 10-20
    of electricity to be renewable within 5-15 yrs
  • A Geo-political Necessity
  • Security of electricity supply
  • U.S., Canadian and European policies to reduce
    reliance on foreign energy
  • Economic/Social Support
  • Solar energy greatly reduces the emissions of
    greenhouse gases that harm the environment
  • Green homes sell at a premium
  • Kohls recently made Americas largest Solar
    investment by a retailer (growing to 100
    locations, in 6 states, by YE 2008)

30 Investment Tax Credit for solar
installations no value limit
14
15
Solar Energy Marketplace
  • Solar Thermal Technologies
  • These products heat water for a variety of
    applications with solar thermal collectors
    mounted on roofs of buildings or other strategic
    locations
  • Current payback on a thermal installation is
    approximately 6 years
  • Photovoltaics
  • USA will become the second largest photovoltaic
    solar energy market in the world in 2009
  • The PV market in USA grew by over 60 to more
    than 350 MW of newly installed solar power in
    2008
  • PV panels/modules are made from several
    technologies and can be installed in a wide array
    of sizes and applications e.g., on roofs of
    homes buildings, to power small electrical
    equipment, or as very large fields with
    hundreds to thousands of panels/modules providing
    power to the grid
  • They are being integrated into building materials
    (such as PV shingles, which replace conventional
    roofing shingles)
  • Current payback on PV installation on a home is
    approximately 10 years
  • The US market has the potential to grow by more
    than 50 a year, which could lead to a market
    close to 4,000 MW within 5 years

Depending upon the price of electricity and
solar hours of the location Source from
SolarPlaza.com Depending upon the price of
electricity, incentives and solar hours of the
location 30 Investment Tax Credit for solar
installations no value limit
16
Why Solar Energy?
Solar Energy per-watt prices are declining as the
price of electricity continues to escalate
17
Growth Strategy
  • Continue to drive traffic to www.solarenergy.com
  • Increase the penetration rate of visitors to the
    high-margin Solar University
  • Currently penetration rate is 8
  • Expand sales force and increase network of
    dealers to 100 by end of 2009
  • Form strategic partnerships with engineering,
    architecture and construction companies for
    commercial projects
  • Focus partnerships in the commercial market
  • Sophisticated customers
  • Provide turnkey solutions, thus higher revenue
    streams and margins

18
Management Team
  • Served as a President Director of FNDS3000
    (FDTC)
  • President Director of Global Axcess Corp
  • CEO Chairman of TeraGlobal, Inc
  • President of TechnoVision
  • Responsible for a raise of over 100 M for all
    companies combined

David Fann Founder, CEO Director
  • CFO of Mc.KenzieBay, the largest US renewable
    energy attributes company
  • Led the development of two renewable Energy
    Systems
  • MBA from Michigan State University
  • Bachelor from Grand Valley State University

Gregory N. Bakeman President CFO
18
19
Board of Directors
  • Chairman of Dominos Pizza Canada
  • President of Lions Gate Capital Ltd.
  • Bachelor from Bemidji State University

Bradley C. Holt Chairman
  • CEO and Chairman of FND3000(FDTC)
  • CEO and Chairman of Global Axcess Corp
  • CEO and Controller of the Nationwide Money
    Services
  • MBA and Bachelor of University of California Los
    Angeles

Michael J. Dodak Founder and Board Member
  • Senior management in UBS SA, Societe Generale and
    Credit Suisse
  • Director of Faisal Private Bank (Switzerland) SA
  • Founder Pierre Besuchet, asset management ,
    Geneva, Switzerland in 1908
  • 40 years experience in asset management and
    investment banking research

Pierre Besuchet Director
  • Senior Vice President for Milkie Ferguson
    Investments, Inc.
  • First Vice President of RBC Capital Markets
    Corporation   

J. Everett Airingtion Director
  • Managing Partner of Clay Surgery Center, LLP
  • Investor in Green Hunter Energy, Inc.
  • Board member of Emergent Growth Fund II

Harold Gear Director
20
Investment Highlights
  • Signed a contract for an 18 megawatt solar
    project in Califronia worth an estimated 80
    million over a five year period
  • Signed a 6.5 million Letter of Intent to install
    solar panels on municipal buildings
  • Solar Energy is the fastest growing industry in
    the world
  • Over 75 million project pipeline
  • Anticipating its revenue run rate to be at 12
    million by fiscal year end July 31, 2009 and 21
    million by the 2010 fiscal year-end
  • Established a network of 70 dealers and growing,
    which is one of the largest in the U.S.
  • Distribution agreements with BP Solar a division
    of British Petroleum and GE Solar a division of
    General Electric
  • Exclusive agreement with a leading off-shore
    Asian supplier to provide solar panels in North
    America
  • Owns most visited solar website in the world,
    currently receiving over 1 million hits per
    month

21
Contact Us
  • Corporate Headquarters
  • Solar Energy Initiatives, Inc.
  • 818 A1A North Suite 202Ponte Vedra Beach,
    FL 32082Tel (904) 644-6090www.solarenergy.com
  • Investor Relations
  • Alliance Advisors, LLC.
  • Thomas Walsh, Senior Vice President
  • 420 Lexington Avenue, Suite 855
  • New York, NY 10170
  • Tel (212) 398-3486
  • twalsh_at_allianceadvisors.net
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