Welcome! Earth Day Webinar April 22, 2010

Agenda ENERGY STAR qualified homes Amber Stewart – ENERGY STAR Account Manager Meritage Green C.R. Herro – V.P. Environmental Affairs

ENERGY STAR Homes: The Starting Place for Green Building Amber W. Stewart ICF International Working in Support of EPA and the ENERGY STAR Program

Where we are today Market Downturn Unprecedented foreclosure rates Extremely tight credit Consumer search for bottom Rising energy costs Ripple effects throughout economy Media coverage Green Economy  Increasing interest in technologies that protect the environment and save $$

What is ENERGY STAR? ENERGY STAR is a joint program of the EPA and the DOE helping us all save money and protect the environment through energy efficient products and practices.

Brand Advantage Brand Shorthand: Truly Energy Efficient Credible Environmental Leadership = Recognized by >75% of households by end of 2009

What Can Earn the ENERGY STAR?

What is the ENERGY STAR for Homes Program? Government-backed label At least 15-20% more efficient than local code Third-party verified Whole-home performance Voluntary – proof of builder’s leadership Depending on where you are, local utilities may offer incentives

ENERGY STAR Criteria Effective Insulation High Performance Windows Efficient equipment Third-party verification Tight Construction and Ducts Lighting and Appliances

Milestone – 1 million homes Families living in ENERGY STAR qualified homes will save more than $270 million this year on their utility bills, while avoiding greenhouse gas emissions equivalent to those from 370k vehicles.

How You Know it’s ENERGY STAR? Look for the label – located on the circuit breaker box

How ENERGY STAR Adds Value Typical Price Location Facade Floor Plan Amenities Features Effective Insulation Adv. Windows Tight Construction & Ducts Efficient Equipment Lighting and Appliances Third-party Verified + Additional Benefits Quieter More Comfortable No Drafts Fewer Bugs/Pests Better IAQ Higher Quality Less Maintenance Lower Ownership Costs Better Investment =

Amber W. Stewart ICF International

What Changes the World? New Choices – components, comfort, health, value Perceived Value – customer education New Opportunities – cost of ownership Better Control – reduced waste 15

Why Move Toward Energy Efficiency and Sustainability? Superior Components Better Comfort Air Quality Reduced Waste Value

Why Move Toward Energy Efficiency and Sustainability? Superior Components Better Comfort Air Quality Reduced Waste Value

ENERGY STAR ® Certified Appliances 14 SEER Air ConditionerLow-E Windows Low Flow Faucets Programmable Thermostats Low VOCs Paints and Finishes

Why Move Toward Energy Efficiency and Sustainability? Superior Components Better Comfort Air Quality Reduced Waste Value

Why Move Toward Energy Efficiency and Sustainability? Superior Components Better Comfort Air Quality Reduced Waste Value – standard features that reduce the cost of operating a home 20% to 50%

—Better Indoor Air Quality Better Air Sealing Sill infiltration Garage infiltration Vent Draw Low VOC Carpets Paints Finishes 22

Why Move Toward Energy Efficiency and Sustainability? Superior Components Better Comfort Air Quality Reduced Waste Value – standard features that reduce the cost of operating a home 20% to 50%

Energy Efficiency Energy Star Appliances: 10% to 50% reduction in Energy Sealing building envelope: 25 to 40% HVAC Low E Windows: 30-50% less energy loss Programmable Thermostats: up to 30% reduction in HVAC Duct Sealing: up to 25% reduction in HVAC SEER 14: 20% to 40 % less energy than 10 year old units Conditioned Attic: 10% reduction in HVAC Radiant Barriers: 5% to 10% reduction in HVAC Low Flow Faucets: up to 50% reduction in water heating Water Heaters: 5% to 25% reduction in water heating Lighting: up to 90% reduction in Energy Greater than 30% reduction in utility bills compared to other new homes Greater than 50% reduction in utility bills compared to average resale

Why Move Toward Energy Efficiency and Sustainability? Superior Components Better Comfort Air Quality Reduced Waste Value

How is a Home - Meritage Green? Reduced heat gain/loss Reduced air leakage Reduced waste energy Reduced waste water Improved Air Quality Better Comfort Reduced cost of ownership Superior components

Insert Energy Label

Resources to Learn More

Questions?

Thank you!

Homeowner Cost to Meet Energy Efficiency by Climate Zone *Median incremental cost 2200 square foot home from 5 sample markets one from each Climate Zone Building Code as Baseline (IECC) % Energy Efficient Improvements Homeowner Cost

Cost-Benefit Analysis Climate Zone 3 (Dallas, TX) *Added Cost of 30 year fixed Mortgage, Taxes, Insurance assumes 10% down payment, 7.22% rate (20 year average), 45 basis pts for PMI Square foot home 2006 Building Code as Baseline (IECC) % Energy Efficient Improvements Annual