FREE. CLEAN. LIMITLESS.

(1)

(2)

Solar Pool Heating

Save thousands of dollars annually and

enjoy a warm comfortable pool and spa

with FREE solar energy.

Solar Hot Water

Enjoy long hot showers, run your washing

machine and dish washer with FREE solar

energy. Receive a 30% federal tax credit.

WITH 16 YEARS OF MANUFACTURING, SYSTEM

DESIGN, INSTALLATION EXPERIENCE AND TENS OF

THOUSANDS OF SATISFIED CUSTOMERS.

Call Today! 800-2- WARM-IT

www.suntreksolar.com

.

Solar Energy

Solar Electric

Produce your own electricity to operate your

entire home or business. When you produce

more energy than you use, you will spin your

electric meter backwards and sell the excess

power back to your utility company. BIG

TAX CREDITS along with a BIG REBATE from

the California Energy Commission helps pay

for your entire system.

FREE. CLEAN. LIMITLESS.

(3)

Suntrek Industries, Inc.

Executive Summary

Since 1991, Suntrek has been providing clean solar energy options to customers located on the west coast. With over 20,000 satisfied customers and annual revenues approaching $10 million per year, the company is prepared to embark on an aggressive growth push to become a national leader in the industry. Recently, the company has added key management and infrastructure to support the plan to double revenues over the next year on the way to attaining $200 million in sales in 2013.

The company was founded in 1991 by Roy Heine, CEO and Chairman. He invented a patented system for heating swimming pools using the power of the sun and quickly developed a reputation for product and service excellence. Suntrek is a relationship company that prides itself on delivering superior customer service and a sterling reputation in the industry. The main driver of business growth has been strategic alliances with industry leaders and word of mouth referrals from enthusiastic customers.

Suntrek differs from its competitors in several key areas. Most solar companies today are strictly focused on photovoltaic (PV) applications only, while Suntrek promotes the concept of The Power of Three - PV, solar water heating, and solar pool heating. Second, the company has grown organically and profitably as opposed to many competitors that operate at a loss. Third, the company enjoys and promotes strong relationships with community leaders, government offices, and building and management associations.

Suntrek customers vary from commercial, government, and industrial customers to residential and multi-family units.

Some marquee customers include the Long Beach Airport, the Blue Heron New American Home, NAF El Centro, Lamar Signs, Best Western, and the City of Sierra Madre.

Blue Heron New American Home

Long Beach Airport

Multi-Family Hot Water Project

President Barack Obama has pledged to support alternative energy and plans to spend as much as $150 billion over the next decade on solar, wind, and other clean energy projects. Recent federal legislation extending tax incentives to 30% with no cap over the next 8 years is a big boost to the industry. Many states, including California, have incentives in place to lower the cost of solar to utility customers. New financing programs are emerging that can also reduce up-front costs.

As can be seen in the chart at right, PV and solar hot water are growing at increasing rates. Solar pool heating has fallen off recently because of the real estate downturn and is expected to recover as that industry returns to normal.

Suntrek is currently developing plans to utilize new compounds being developed to enable the pool heating systems to heat water. It is also working on a unique PV/Pool hybrid model, and is researching the utilization of the pool heating model to industrial boiler pre-heating applications.

Companies and government offices are responding to the media opportunities to “green” themselves and fed-eral and state incentives, creating a large opportunity for Suntrek.

(4)

Corporate Fact Sheet

Suntrek Industries, Inc.

Type of Entity: California Corporation

Founded: 1991

Number of Employees: 67

Offices: 6

Focus: Solar Electricity, Hot Water, Pool Heating

Installations: Over 20,000

Contractor’s License:

CA: 859460

NV: 39030, 0070340

AZ: ROC255609

Web Site:

www.suntreksolar.com

Associations:

California Solar Energy Industries Association

California Association of Community Managers

National Solar Energy Industries Association

Building Industry Association

Community Associations Institute

Better Business Bureau

Multiple Chambers of Commerce

Certifications:

Solar Rating and Certification Corporation

Products certified by:

Florida Solar Energy Center

Insured by:

Praetorian Insurance Group

State Farm Insurance

California:

Irvine (corporate office) 5 Holland, Building 215 Irvine, CA 92618 San Diego

Concord Lodi

Simi Valley (L.A.) San Jose

Nevada:

Las Vegas

Arizona:

Scottsdale/Phoenix

Since our first patent, we have been widely recognized for consistently manufacturing, designing, and

installing high-quality systems backed by outstanding warranties and customer support. With locations in

California, Arizona and Nevada and dealers throughout North America, we have provided custom solar solutions

to over 20,000 customers world-wide. The majority of our business comes from the referral of satisfied

builders and customers who have experienced our products and services first-hand.

Our vision is to make the use of solar energy easy, affordable, and accessible for all industrial, commercial,

government and residential customers. By doing so, we will create a brighter future for our families, our country,

and our planet.

Multiple Finance Options

Purchase Financing

Power Purchase Agreements

Leasing

Equity Finance

(5)

WHY CHOOSE SUNTREK?

Local Service with a Global Conscience

It’s All Under One Roof

Established in 1991, Suntrek Industries, Inc. is a leading provider of solar electricity, hot water,

and pool heating systems. A manufacturer, equipment integrator, and licensed solar contractor, we

are a one-stop resource for all the solar needs of residential, commercial, and agricultural markets.

Our licenses, certifications, and affiliations include:

• Licensed Solar Installers (CA, NV, AZ,UT)

• IPSSA (Independent Pool & Spa Service

Association) – Platinum Member

• SRCC Certified (Solar rating and

Certification Corp.)

• UPA (United Pool Association)

• Better Business Bureau (A+ Rating)

• BIA (Builder Industry Association)

• Chambers of Commerce

• CALSEIA (California Solar Energy

Industries Association)

• Products Tested and Approved by FSEC

(Florida Solar Energy Center)

A Distinguished Reputation

Since our first patent, we have been widely recognized for consistently manufacturing, designing

and installing high-quality systems backed by outstanding warranties and customer support. With 6

offices in California, Nevada, Arizona and most recently Utah, and hundreds of dealers throughout

North America, we have provided custom solar solutions to over 20,000 customers world-wide. The

majority of our business comes from the referral of satisfied builders and customers who have

experienced our products and services first-hand.

A Team That Shines

From managers who are respected pioneers in solar technology to manufacturer-trained installers

who have installed thousands of systems, our team provides an unmatched level of expertise and

experience. We put our skills to work for you to make sure you receive the best return on investment

with no hassles.

Business Rooted in Traditional Values

Our business is based on traditional values of hard work, integrity, and personalized service.

Knowing that there are no shortcuts for quality, we have steadily grown to the company we are

today. Financially strong, we own our offices, manufacturing facilities, and trucks. In addition, we

employ a complete team of professionals in-house, eliminating the need to outsource. Over the

years, we have established close ties with developers, building code enforcement, homeowners’

associations, and many others who help us ensure smooth, successful installations.

Leading the Way to the Future

It is our goal to create a better future by making solar power so easy, reliable, and cost effective that

soon every home and business will be powered by the sun. We continue to grow on the leading

edge of the solar energy revolution as we expand into new territories, invest in research and

development, and increase manufacturing capacity.

(6)

December 22, 2010

California: 5 Holland #215 • Irvine, CA 92618 (949) 348-9276 Fax (949) 348-1626 • Lic.# 859460

120 N. Pacific St., #E-6 • San Marcos, CA 92069 (760) 891-9092 Fax (760) 891-9094 • Lic.# 859460

5040 Commercial Circle #C • Concord, CA 94520

(925) 688-8975 Fax (925) 688-8984 • Lic.# 859460

155 Easy St, #F • Simi Valley, CA 93065 (805) 522-5102 Fax (805) 522-5602 • Lic.# 859460

39 N. Cluff Ave, #A • Lodi, CA 95240 (209) 366-1977 Fax (209) 366-2158 • Lic. #859460

Nevada: 4275 W. Bell Drive, #12 • Las Vegas, NV 89118 (702) 362-3611 Fax (702) 362-3313 • Lic. # 39030

Website: www.suntreksolar.com

Subject: PRELIMINARY Proposal for Domestic Hot Water

RE: George Kokalis

951 Copeland Creek Drive Rohnert Park, CA 94928 Dear George:

This is a preliminary proposal based on a site visit that took place on December 21st 2010. The purpose of this visit was to determine the financial and environmental benefits of incorporating a solar domestic hot water system. The property consists of two 12 unit buildings each served by a 100 gallon hot water heater. Each building is made up of twelve two bedroom units for a total of 24 bedrooms. There is a third structure that houses the manager’s residence plus a laundry facility. The property is broken into three major systems defined by the buildings they serve. Each building will be supported by its own solar collector array and storage tank(s) as well as all supporting equipment. For the purpose of this proposal, we have broken the project up into three parts.

Building “A “ runs parallel to the walk path, has an existing water heater capable of 83,000 BTU per hour and a recovery rate of 80 gallons an hour with storage of 100 gallons with a roof tilt of approximately 15 degrees and an Array Azimuth of 180 degrees.

Building B has an existing water heater capable of 88,000 BTU per hour and a recovery rate of 80 gallons an hour with 100 gallons of storage with an Array Tilt of 15 degrees and an Array Azimuth of 200 degrees.

Lastly, Building C has an existing hot water heater capable of 40,000 BTU per hour with 40 gallons of storage and a recovery rate of 40 gallons with an Array Tilt of 15 degrees and an Array Azimuth of 232 degrees.

We propose the installation of 240 gallons of storage on each building with six EP 32 collectors on both Building A and B. Because Building C is technically residential housing, but has a laundry facility attached, it doesn’t fit neatly within the California Solar Initiatives Criteria (CSI), so for the purposes of this proposal we have used multifamily usage criteria. In order to qualify for additional funding through the CSI, it may require the installation of a flow meter to confirm actual usage.

(7)

Building A

Upfront Cost: $24,600 Federal Tax Credit: $7,380

State Rebate: $5,602 (estimated CSI Rebate)

Net Cost: $11,618.00

Building B

State Rebate: $5,731(estimated CSI Rebate)

Net Cost: $11,489.00

Building C

State Rebate: $2,692 (estimated CSI Rebate)

Net Cost: $5918.00

Total Gross Cost $61,500.00

Estimated Net Cost $29,154.00

This proposal is based on the roof being prepared with composition roofing as discussed at the job walk. The locations of the panels and square footage required to be determined at pre-site once letter of intent is signed and final engineering has been completed. This is an estimated cost of installation of material and labor and excludes costs associated with permitting and engineering that may be required by the permitting authority. These costs are generally not known and are billed as a pass-through cost without additional markup.

We look forward to taking the next steps. Please don’t hesitate to contact me with any further questions.

Sincerely,

Steve Reese

Sales and Operations Manager

Northern CA

Steve Reese

Digitally signed by Steve Reese DN: cn=Steve Reese, o, ou, [email protected], c=US Date: 2010.12.23 10:03:26 -08'00'

(8)

951 Copeland Creek Drive

1 / _{V5.4.13.14268 / 22.12.2010 / 12:40:40}

Vela Solaris AG, their distribution partners or SPF do not accept any liability for the correctness of the specifications and the results.

951 Copeland Building A

Location of the system

USA CA Cotati

Longitude: -122.71° Latitude: 38.33° Elevation: 108 ft

This report has been created by:

Suntrek Industries Steve Reese 131 Skowhegan Ct 95139 San Jose (408)210-2383

(9)

2 / _{V5.4.13.14268 / 22.12.2010 / 12:40:40}

System overview (annual values)

Total fuel and/or electrical energy consumption of

the system [Etot] 33,858.6 kBtu Total energy consumption [Quse] 86,030.7 kBtu System performance (Quse / Etot) 2.54

Comfort demand Energy demand covered

Overview solar thermal energy (annual values)

Collector area 197 ft² Solar fraction total 64.9% Total annual field yield 58,991 kBtu Collector field yield relating to gross area 299 kBtu/ft²/Year Collector field yield relating to aperture area 331 kBtu/ft²/Year Max. energy savings 62,095.7 kBtu Max. reduction in CO2 emissions 21,520.8 pound

Solar fraction: fraction of solar energy to system [SFn]

Horizon line

Meteorological data-Overview

Outdoor temperature 24h 57.9 °F Annual global irradiance 553.5 kBtu/ft² Annual diffuse irradiance 183.3 kBtu/ft²

Financial analysis - Solar thermal

Purchase costs $24,600 Life span 30 years Proportional incentives 30 %

951 Copeland Creek Drive

(10)

3 / _{V5.4.13.14268 / 22.12.2010 / 12:40:40}

Financial analysis - Solar thermal

Incentives per area

Fixed incentives $5,602 Inflation 4 %

Interest 0 %

Increase of energy prices 10 %

Electricity 0.11 USD/kWh Effective purchase cost after grants $11,618 Annual fuel cost savings $2,001.837 Cost Per THERM $1.10 Payback period 5 years

Component overview (annual values)

Collector North America Empire EC-32

Data Source SRCC

Number of collectors 6 Number of arrays 1 Total area ft² 196.98 Total aperture area ft² 178.25

Tilt angle ° 15

Orientation ° 10

Collector field yield [Qsol] kBtu 58,990.9 Irradiance onto collector area [Esol] kBtu 119,269.5 Collector efficiency [Qsol / Esol] % 49.5 Direct irradiance after IAM kBtu 71,299.7 Diffuse irradiance after IAM kBtu 32,083

Hot water demand Constant

Withdraw volume gal/d 420.2 Temperature setting °F 122 Energy from/to the system [Quse] kBtu 86,030.7

951 Copeland Creek Drive

(11)

4 / _{V5.4.13.14268 / 22.12.2010 / 12:40:40}

Pump Solar loop pump Pump, small

Circuit pressure drop psi 0.332 Flow rate gpm 2.9 Fuel and electrical energy consumption [Epar] kBtu 211.2

Storage tank Potable water tank 2 100gal US master tank

Volume gal 100

Height ft 5.91

Material Enameled steel

Insulation Flexible polyurethane foam Thickness of insulation in 4

Heat loss kBtu 1,430.9 Connection losses kBtu 546.1

Storage tank Potable water tank 1 200gal US master tank

Volume gal 220

Height inch 64

Material Enameled steel

Insulation Flexible polyurethane foam Thickness of insulation in 4

Heat loss kBtu 893.5 Connection losses kBtu 274.7

Loop Solar loop

Fluid mixture Glycol Fluid concentration % 50 Fluid domains volume gal 13.5

951 Copeland Creek Drive

(12)

5 / _{V5.4.13.14268 / 22.12.2010 / 12:40:40}

Solar thermal energy to the system [Qsol] kBtu

Heat generator energy to the system (solar thermal energy not included) [Qaux] kBtu

Solar fraction: fraction of solar energy to system [SFn] %

951 Copeland Creek Drive

(13)

6 / _{V5.4.13.14268 / 22.12.2010 / 12:40:40}

Total fuel and/or electrical energy consumption of the system [Etot] kBtu

Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Solar thermal energy to the system [Qsol]

kBtu 58991 2176 2914 4640 5650 6840 6967 7425 6842 6056 4746 2720 2015

Heat generator energy to the system (solar thermal energy not included) [Qaux]

kBtu 31965 5456 4059 3239 2085 1206 701 518 820 1333 2657 4462 5429

Heat generator fuel and electrical energy consumption [Eaux]

kBtu 33647 5743 4273 3409 2194 1270 738 545 864 1403 2797 4696 5715

Solar fraction: fraction of solar energy to system [SFn]

% 64.9 28.5 41.8 58.9 73 85 90.9 93.5 89.3 82 64.1 37.9 27.1

Total fuel and/or electrical energy consumption of the system [Etot]

kBtu 33859 5753 4285 3426 2214 1292 760 569 886 1424 2814 4708 5725

Irradiance onto collector area [Esol]

kBtu 119270 5152 6315 9481 11376 13406 13586 14637 13444 11614 9422 6029 4807

Electrical energy consumption of pumps [Epar]

kBtu 211 10 12 17 20 23 23 24 22 21 18 12 10

Heat loss to indoor room (including heat generator losses) [Qint]

kBtu 6818 600 516 566 544 582 588 600 590 547 528 555 601

Total energy consumption [Quse]

kBtu 86031 7284 6684 7504 7284 7522 7204 7327 7209 6896 7085 6859 7172

951 Copeland Creek Drive

(14)

7 / _{V5.4.13.14268 / 22.12.2010 / 12:40:40}

Collector North America

Daily maximum temperature [ °F]

Energy flow diagram

(15)

(16)