Investor Presentation - PowerPoint PPT Presentation

Loading...

PPT – Investor Presentation PowerPoint presentation | free to view - id: 1a7bf-ZWIzO



Loading


The Adobe Flash plugin is needed to view this content

Get the plugin now

View by Category
About This Presentation
Title:

Investor Presentation

Description:

... has e-commissioned facilities for Washington Mutual Bank, Goldman Sachs, PepsiCo ... Washington Mutual Bank: Contracted to conduct investment grade audits, sub ... – PowerPoint PPT presentation

Number of Views:207
Avg rating:3.0/5.0
Slides: 41
Provided by: limee
Category:

less

Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: Investor Presentation


1
Investor Presentation
  • July 2007

2
Forward Looking Statements
  • This Power Point presentation includes
    forward-looking statements within the meaning of
    the safe harbor provisions of the Private
    Securities Litigation Reform Act of 1995
    including statements that reflect Lime Energy's
    current expectations about its future results,
    performance, prospects and opportunities. Lime
    Energy has tried to identify these
    forward-looking statements by using words and
    phrases such as "may," "expects," "anticipates,"
    "believes," "intends," "estimates," "plan,"
    "should," "typical," "preliminary," "hope," or
    similar expressions. These forward-looking
    statements are based on information currently
    available to Lime Energy and are subject to a
    number of risks, uncertainties and other factors
    that could cause Lime Energy's actual results,
    performance, prospects or opportunities in the
    remainder of 2007 and beyond to differ materially
    from those expressed in, or implied by, these
    forward-looking statements. These risks are
    referenced in Lime Energy's current Annual Report
    on form 10-K or as may be described from time to
    time in Lime Energy's subsequent SEC filings and
    such factors as incorporated by reference.

3
(No Transcript)
4
(No Transcript)
5
The Perfect Storm
  • Rising electricity costs
  • Rising energy costs
  • Rising demand
  • Rising supply constraints
  • Rising regulatory demands
  • Rising concern over global warming
  • Is creating the Perfect Storm for
  • businesses nationwide

6
Electric Bills to Soar
Chicago Tribune 6.16.06
  • Competitive Era Fails to Shrink Electric Bills
    New York Times 10-16-06
  • According to Edison Electric Institute, there
    are more electric rate increase requests pending
    now than ever before
  • North American Electric Reliability Council warns
    demand for electricity is increasing 3X faster
    than resources are being added
  • Jim Rogers, CEO of Duke Energy which is one of
    the largest shareholders of Lime Energy, calls
    energy efficiency the fifth fuel meaning an
    alternative to coal, natural gas, hydropower and
    nuclear fuel Wall Street Journal 10-16-06

7
Utility Incentives
  • Each year, billions of dollars are made available
    by utilities, government agencies and other
    sources for energy efficiency improvements to
    buildings
  • We have 26 categories of rebates and incentives
    in our database including lighting, HVAC,
    controls, roofing, load curtailment, water
    heating, energy audits, low-cost financing and
    many more
  • To date, have secured over 30 million in energy
    rebates for customers

8
Energy Policy Act of 2005
  • Provides building owners a tax deduction up to
    0.60/square foot off their federal taxes for the
    installation of energy efficient lighting systems
  • Additional tax benefits can be achieved from
    energy efficient upgrades to the HVAC/hot water
    system capped at 1.80/square foot.
  • Tax benefits expected to continue through
    December 31, 2008

9
Who Are We?
  • Newly formed publicly traded company in June 2006
    trading under the symbol LMEC
  • A world class sales marketing organization with
    unique services and proprietary technologies to
    reduce energy consumption
  • 75 years combined experience in energy
    conservation and management having upgraded over
    1 billion square feet of building space saving
    customers over 4 billion kilowatt hours of
    electricity and 450 million in operating
    expenses

10
What Do We Do?
  • Design, engineer and install energy saving
    solutions which
  • Provide guaranteed financial results with high
    returns on investment and quick paybacks
  • Reduce direct operating expenses
  • Improve work space and productivity
  • Enhance value of facility
  • Reduce greenhouse gases which are the cause of
    global warming

11
Who Do We Do It For?
12
Market Analysis
  • Total market for energy saving products and
    technologies for just lighting and HVAC system is
    estimated to exceed 200 billion
  • Lighting accounts for up to 40 of a typical
    commercial buildings cost
  • Estimated 62 billion square feet of commercial,
    industrial and institutional buildings in the
    United States for retrofit opportunity
  • Approximately 3 billion light fixtures nationwide
    that will benefit from energy efficient upgrades
    and retrofits
  • HVAC accounts for up to 30 of a typical
    commercial buildings cost
  • Estimated 23 million rooftop heating and cooling
    units applicable for eMAC application

13
Market Drivers
  • Market expected to have double digit growth over
    many years. Key drivers are
  • Energy shortages
  • Federal and state regulatory mandates to conserve
    energy
  • Boulder, CO voters pass first energy tax in the
    nation
  • Utility, state and federal incentives
  • Consumer awareness and desire to reduce energy
    consumption and energy costs
  • Americas awareness and desire to reduce
    greenhouse gas emissions the leading cause of
    global warming

14
(No Transcript)
15
Engineering Services
  • Energy Procurement and Efficiency Audits
  • Energy Master Plans
  • Technical Financial Analysis
  • HVAC System Optimization
  • Cogeneration
  • Solar Generation
  • Measurement, Verification Monitoring
  • Demand Response
  • Rebate Procurement

16
Unique Services
  • E-Commissioning This term, coined by Lime
    Energy, refers to energy-commissioning, or
    re-commissioning an existing facility from an
    energy standpoint. E-Commissioning usually
    results in fast payback measures and offers a
    good first impression to the client. To date,
    Lime has e-commissioned facilities for Washington
    Mutual Bank, Goldman Sachs, PepsiCo and San Diego
    Gas and Electric.
  • Energy Accounting/Landlord-Tenant Dispute
    Resolution Lime has helped many clients resolve
    energy billing disputes by analyzing the utility
    bill structure and performing end-use allocation
    and simulation studies. Clients include Parsons
    Brinkerhoff, American Express, Lehman Bros,
    Vornado Realty and Bally Total Fitness
  • EnergyStar and LEED Certification Lime has
    registered several clients with the EPAs energy
    initiatives, and helped clients improve their
    scores through analysis and recommendation of
    energy conservation measures

17
Benefits of Engineering Services
  • Our Total Energy Analysis approach enables
    clients to contract for step-by-step,
    pay-as-you-go services
  • Engineering fee-for-services provides us first
    look at the potential for large turn-key
    installations without risking the costs of the
    discovery phase
  • 60 of our engineering services result in
    additional engineering work or an implementation
    contract
  • 40 of our engineering contracts are renewed for
    similar work at clients other facilities

18
Case Studies
  • Washington Mutual Bank Contracted to conduct
    investment grade audits, sub-contractor bid
    management, equipment procurement, rebate
    procurement and construction management for all
    sites. Contract led to upgrading indoor and
    outdoor lighting at over 2,300 sites in twenty
    states.
  • ABC TV Performed preliminary energy analyses for
    over 2 million square feet of ABC TVs
    mid-Manhattan facilities. Our audits resulted in
    opportunities to save over 1 MW of peak demand
    and over 6 million kWh of energy.
  • Bally Total Fitness In 2006, we provided
    lighting upgrades to our 105th Bally Fitness
    Center. All 105 projects have been financed by
    Lime Energy resulting in net positive cash flow
    and total savings of over 2.4 million, and over
    450,000 in utility rebates

19
Energy Efficient Lighting Services
  • Investment Grade Lighting Audit
  • Technical Financial Analysis
  • Turnkey Lighting Upgrades
  • Lighting Controls
  • Project Construction Management
  • Project Financing
  • Rebate Procurement

20
Benefits of a Lighting Upgrade
  • Dramatic Savings - Up to 65
  • Generous Utility Incentives - Up to 50
  • Tax Advantages - Up to 0.60/sq ft
  • Quick Payback Periods Less than 2 years
  • Enhanced Lighting Quality
  • Eliminated Lighting Maintenance
  • Lower Cooling Costs
  • Increased Asset Value

21
Case Study
  • Ferguson is one of the largest distributors of
    plumbing supplies and HVAC equipment in the
    United States. They upgraded their lighting
    system in their San Diego facility with the
    following results
  • First Year ROI 76
  • Payback Period 1.4 Years
  • Energy Utility Rebate 34,331.72
  • Annual Electric Savings 81,540.56

22
Energy Efficient HVAC Technology
  • eMAC reduces energy while keeping the AC on
  • Multiple units tied together thru internet
  • Improves performance and provides remote control
  • Monitors over 140 points of operation providing
    recurring revenue

23
Benefits of eMAC
  • Dramatic Savings Up to 35
  • Reduced Maintenance Calls Up to 30
  • Reduced Maintenance Expenditures
  • Increased Energy Asset Life
  • Improved Energy System Management
  • Special utility incentive from PacifiCorps Rocky
    Mountain Powers HVAC Energy Efficiency Alliance
    in Utah for up to 30 of project cost

24
Monitoring and Diagnostics
  • Over 140 points of data are analyzed to trouble
    shoot HVAC problems via the internet
  • System Alarms automatically sent to assigned
    customer personnel as well as our eMAC center
  • Lime HVAC Techs ascertain if there is a real or
    perceived problem
  • If problem exists, electronic service ticket
    created and sent to preauthorized HVAC service
    personnel or contractors insuring 100 completion
    and accountability
  • Monthly monitoring fee provides constant
    interaction with client and recurring revenue for
    Lime

25
Case Study
  • Major national bank has deployed over 700 eMAC
    units in over 300 branches in the Northeast
  • Return on Investment 50
  • Payback Period 2 years
  • Energy Utility Rebate 625,000
  • Annual Energy Savings 3.1 million

26
Lime Energy Sales Model
  • Established and proven sales design over 26 years
  • Extensive sales training and education
  • Target key decision makers including building
    owners, CEOs, CFOs
  • Proposals based on sound business and financial
    value propositions
  • Stress added benefit of green energy
  • Provide extended payment plan

27
The Greenest Energy Is Energy Not Used
  • Reducing energy use is the quickest, safest, most
    cost-effective way to reduce the emission of
    greenhouse gases.  A recent lighting retrofit
    project for one of the worlds largest automobile
    dealerships provided an annual savings of over 1
    million kWh of electricity saved which equate by
    our calculation to annual savings (or
    elimination) of
  • 1.8 million lbs of Carbon Dioxide
  • the leading cause of Global Warming
  • 10 million grams of Sulfur Dioxide
  • the leading cause of Acid Rain
  • 3.5 million grams of Nitric Dioxide
  • the leading cause of Smog and Acid Precipitation
  • 740,000 lbs of Coal Not Burned per Year

28
Customer Financing
  • Lime Energy offers monthly installment payment
    options which can result in
  • Monthly payments LESS THAN monthly energy savings
  • No capital outlay
  • Immediate net positive cash flow
  • Infinite return on investment

29
Financials
30
Company Snapshot as of 3.31.07
  • Ticker Symbol (LMEC) on OTC BB
  • Shares Issued and Outstanding 53,566,100
  • Cash 2,976,176
  • Debt 532,201
  • Stockholder Equity 16,492,633
  • Approximate Insider Ownership 44
  • April 1, 2007 raised 2,999,632 in a Shareholder
    Rights Offering at 1 per share
  • May 25, 2007 raised 5,000,000 in a 10
    subordinated term note convertible at 1 per
    share
  • June 6, 2007 acquired Texas Energy Products

31
Use of Proceeds
  • Working Capital
  • Hiring Additional Salespeople
  • Training Salespeople
  • Customer Financing
  • Future Acquisitions

32
Acquisition Strategy
  • Adding acquisitions, at relatively low multiples,
    will round out our technology and services
    portfolio as well as sales and distribution
    channels
  • Potential targets will include those with a clear
    strategic fit which will give us an edge in the
    marketplace such as
  • enhanced channels to market
  • cutting-edge technologies
  • geographic positioning

33
Management
  • David R. Asplund Chief Executive Officer
    David R. Asplund has been one of our directors
    since June 2002 and has been our Chief Executive
    Officer since January 2006. Prior to becoming CEO
    of Lime Energy, Mr. Asplund was President of
    Delano Group Securities, LLC, an investment
    banking firm in Chicago, Illinois, which he
    founded in 1999. Prior to founding Delano, Mr.
    Asplund was a Senior Managing Director of Bear
    Stearns and Branch Manager of their Chicago
    office. Prior to joining Bear Stearns, he held
    positions with Morgan Stanley and Lehman
    Brothers. Mr. Asplund is also a Director of
    AgeNet, Inc., a private corporation operating a
    national eldercare network and Managing Member of
    Augustine Capital Management, LLC, an advisor to
    a private equity fund. Mr. Asplund is a past
    Chairman of the Securities Industry Association
    Central States District and is a member of the
    Board of Arbitrators for the National Association
    of Securities Dealers. Mr. Asplund holds a
    Bachelor of Science Degree in Mechanical
    Engineering from the University of Minnesota.
  • Daniel W. Parke - President and Chief Operating
    Officer Daniel W. Parke has been our President
    and Chief Operating Officer since we acquired
    Parke P.A.N.D.A. Corporation, which he owned and
    served as its president from its founding in
    2001. In addition to serving as our President and
    Chief Operating Officer, Mr. Parke continues to
    serve as the President of Parke, which is now
    named Parke Industries LLC. Mr. Parke was
    previously a founder of Parke Industries, Inc.,
    an energy solutions provider which was acquired
    in February 1998 by Strategic Resource Solutions,
    an unregulated subsidiary of Carolina Power
    Light.

34
Management - Continued
  • Jeffrey R. Mistarz - Chief Financial Officer
    Jeffrey R. Mistarz has been our Chief Financial
    Officer since January 2000, our Treasurer since
    October 2000, an Executive Vice President since
    November 2002 and our Assistant
    Secretary/Secretary since February 2003. From
    January 1994 until joining us, Mr. Mistarz served
    as Chief Financial Officer for Nucon Corporation,
    a privately held manufacturer of material
    handling products and systems, responsible for
    all areas of finance and accounting, managing
    capital and stockholder relations. Prior to
    joining Nucon, Mr. Mistarz was with First Chicago
    Corporation (now JPMorgan Chase Co.) for 12
    years where he held several positions in
    corporate lending, investment banking and credit
    strategy.
  • Leonard Pisano - Executive Vice President,
    Business Development Leonard Pisano has been
    our Executive Vice President of Business
    Development since June 2006, prior to this, from
    May 3, 2005, the date we acquired Maximum
    Performance Group, Inc., he served as our Chief
    Operating Officer. He is also Maximum Performance
    Groups President and has been from its founding
    in February 2003. Prior to that, Mr. Pisano
    founded Maximum Energy Services in early 2001 and
    served as it President until it merged with
    Pentech Solutions to form Maximum Performance
    Group in February 2003. During his career, Mr.
    Pisano has held various senior management
    positions at companies within the energy services
    sector, including Parke Industries Inc. and SRS,
    a division of Carolina Power and Light. Prior to
    entering the energy services sector, Mr. Pisano
    spent ten years in facilities management at New
    York University, leaving NYU in 1996 when he was
    Director of Facilities.

35
Management - Continued
  • Pradeep (PK) Kapadia President Engineering
    Services PK Kapadia has been the head of our
    engineering division since September 2006. Prior
    to joining Lime Energy, he founded Kapadia Energy
    Services in 1980 developing and implementing
    energy efficiency solutions for commercial
    clients nationwide. From 1978 to 1980, Mr.
    Kapadia was an Applications Engineer for
    Honeywell. Mr. Kapadia received his B.S. in
    Mechanical Engineering from Tufts University in
    1978 and is a member of the Association of Energy
    Engineers and on the Board of Directors of New
    York Energy Consumers Council. He is also the
    founder of the Kapadia Education Foundation which
    helps underprivileged students in underdeveloped
    countries obtain a secular college education in
    their home countries.

36
Board of Directors
  • Richard P. Kiphart (Chairman) - Head of Corporate
    Finance and principal of William Blair Richard
    P. Kiphart has been one of our directors since
    January 2006. Mr. Kiphart is the head of the
    Corporate Finance Department and a Principal of
    William Blair Company Investment firm. In
    addition, Mr. Kiphart currently serves as a
    member of the board of directors of First Data
    Corp., and previously served on the Concord EFS
    board of directors from 1997 until 2004 and was
    chairman of the Concord board of directors from
    February 2003 until March 2004. Mr. Kiphart is
    also currently a director of SAFLINK Corporation,
    Advanced Biotherapy, Inc. and Nature Vision, Inc.
    In addition he is the former chairman of the
    Merit Music School, is the president and chief
    executive officer of the Lyric Opera of Chicago,
    and the vice chairman of the Erikson Institute.
    He also serves on the board of DATA (Debt AIDS
    Trade Africa).
  • David R. Asplund Chief Executive Officer of
    Lime Energy David R. Asplund has been one of
    our directors since June 2002 and has been our
    Chief Executive Officer since January 2006. Prior
    to becoming CEO of Lime Energy, Mr. Asplund was
    President of Delano Group Securities, LLC, an
    investment banking firm in Chicago, Illinois,
    which he founded in 1999. Prior to founding
    Delano, Mr. Asplund was a Senior Managing
    Director of Bear Stearns and Branch Manager of
    their Chicago office. Prior to joining Bear
    Stearns, he held positions with Morgan Stanley
    and Lehman Brothers. Mr. Asplund is also a
    Director of AgeNet, Inc., a private corporation
    operating a national eldercare network and
    Managing Member of Augustine Capital Management,
    LLC, an advisor to a private equity fund.

37
Board of Directors - Continued
  • Gregory T. Barnum - VP of Finance and CFO of
    Datalink Corporation Gregory T. Barnum has been
    one of our directors since March 2006. Mr. Barnum
    is currently the vice president of finance and
    chief financial officer of Datalink Corporation,
    an information storage architect. Prior to
    joining Datalink in March 2006, Mr. Barnum was
    the vice president of finance, chief financial
    officer and corporate secretary of Computer
    Network Technology Corporation. From September
    1992 to July 1997, Mr. Barnum served as senior
    vice president of finance and administration,
    chief financial officer and corporate secretary
    at Tricord Systems, Inc., a manufacturer of
    enterprise servers. From May 1988 to September
    1992, Mr. Barnum served as the executive vice
    president, finance, chief financial officer,
    treasurer and corporate secretary for Cray
    Computer Corporation, a development stage company
    engaged in the design of supercomputers. Prior to
    that time, Mr. Barnum served in various
    accounting and financial management capacities
    for Cray Research, Inc., a manufacturer of
    supercomputers. Mr. Barnum is a Certified Public
    Accountant and a member of the American Institute
    of Certified Public Accountants.
  • William R. ("Max") Carey - Chairman and founder
    of Corporate Resource Development William R.
    (Max) Carey has been one of our directors since
    March 2006. Mr. Carey is the chairman and founder
    of Corporate Resource Development, a sales and
    marketing consulting firm he founded in 1981. He
    is also a managing director of Entrepreneur
    Equity Corporation, an insurance broker that
    creates specialty products for middle market
    companies. Mr. Carey also serves on the boards of
    Outback Steakhouse Inc., Kforce, Inc.,
    Crosswalk.com and J.B. Hanauer Co.

38
Board of Directors - Continued
  • Joseph F. Desmond Senior Vice President,
    NorthernStar Natural Gas
  • Joseph F. Desmond has been one of our directors
    since January, 2007. Mr. Desmond is a Senior
    Vice President, External Affairs, for
    NorthernStar Natural Gas, a developer of
    liquefied natural gas import terminals. Mr.
    Desmond also currently serves on the Advisory
    Board for Stanford University's Precourt
    Institute for Energy Efficiency. Prior to
    joining the NorthernStar in November 2006, Mr.
    Desmond was the Chairman of the California Energy
    Commission and Under Secretary for Energy Affairs
    in the California Resources Agency during the
    first term of the Schwarzenegger Administration.
    In those positions, Mr. Desmond advised the
    Governor on energy matters and was responsible
    for overall energy policy in the areas of
    electricity, natural gas and transportation fuels
    across state and federal agencies. Prior to his
    public service, Mr. Desmond held various senior
    management positions at Infotility, Inc.,
    Electronic Lighting, and Parke Industries.
  • Daniel W. Parke - President and Chief Operating
    Officer of Lime Energy
  • Daniel W. Parke has been our President and Chief
    Operating Officer since we acquired Parke
    P.A.N.D.A. Corporation, which he owned and served
    as its president from its founding in 2001. In
    addition to serving as our President and Chief
    Operating Officer, Mr. Parke continues to serve
    as the President of Parke, which is now named
    Parke Industries LLC. Mr. Parke was previously a
    founder of Parke Industries, Inc., an energy
    solutions provider which was acquired in February
    1998 by Strategic Resource Solutions, an
    unregulated subsidiary of Carolina Power Light.

39
Board of Directors - Continued
  • David W. Valentine - Senior Investment
    Professional of a private investment firm David
    W. Valentine has been one of our directors since
    May 2004. Mr. Valentine is currently a senior
    partner of a private investment firm. Previously,
    Mr. Valentine was the Global Head of Debt Private
    Placements at UBS Investment Bank where he had
    been a Director of Leveraged Finance. Before
    joining UBS, Mr. Valentine held various
    investment banking positions at Nesbitt Burns
    Securities Inc. and ABN Amro Chicago Corporation.

40
Summary
  • Lime Energy is in the right place, at the right
    time, with the right team, and the right
    technologies to capitalize on the enormous world
    wide need for energy conservation and energy
    efficient services and technologies.
About PowerShow.com