1. Wind Hedges & Energy Budgets Roy Morrison & Associates, LLC. www.RMAenergy.net © RMA, 2006

2. Wind Hedge Savings and Energy Budgets A Wind Hedge, When Properly Sized, Can Keep Total Yearly Energy Budget Flat The Hedge Works in Low, Probable, and High Case Future Price Scenarios When Energy Prices Rise, the Wind Farm Pays the End User. When Prices Fall, the User Pays the Wind Farm.

3. Wind Hedge Example Slides 4-6 Document the 20 Year Financial Behavior of a Wind Hedge The Model Is for a Customer With a $1.5 Million/Year Energy Budget for Electricity and Natural Gas Under Low, Probable, and High Price Case Energy Scenarios, the Properly Sized Hedge Keeps Energy Budget Flat

4. Wind Hedge $ Savings Hedge Keeps Net Annual Budget Flat at $1.5 Million/year Total 20 - Year Wind Hedge Savings: High Price Case: $38,911,482 Probable Price Case: $15,157,877 Low Price Case: $2,324,489

8. Natural Gas Prices and Wind Hedge In the Northeast, Natural Gas and Electricity Prices Are Based on Henry Hub, Louisiana Natural Gas Prices Electricity Prices Rise and Fall With the Price of Natural Gas This Is Why the Wind Hedge Works Slide 9 Presents Our Future High, Probable, and Low Gas Price Scenarios

10. Roy Morrison & Associates LLC Contact: 603-496-4260 / 603-456-2871 (Fax) r.morrison@iamnow.net www.RMAenergy.net P.O. Box 201 Warner, NH 03278