1. Marine Case Studies: 40% Quadrant Homes: A 40% Marine Community

2. Climate: Marine Builder/Developer: Quadrant Homes Community & Location: Kentlake Highlands Kent, WA Number of Homes: >70 underway (across all communities as of today) Status: All 70 done by June 2008 BA Savings: 44%

3. Quadrant Homes – Who are they?  All Marine Builder  1,000 Homes a Year  Weyerhaeuser Brand  60% first-time buyers  “More Home, Less Money” Average 2000 sq ft.  54 day Production Schedule

4. Quadrant Homes – Energy Features Sound Energy House 2*6 16 ioc, R21 batts R49 Attic R30 under floor (crawl/bonus) Tight Envelope (3.4 ACH 50).29/.29 windows HVAC System Inside 94 AFUE Furnace 50% CFL Energy Star Appliances.62 EF Tank DHW

5. Quadrant Homes “Must Meet” Gate Criteria –Source Energy Savings –Market Coverage (>10 homes) –Neutral Cost Target

6. Energy analysis for Olympic 2011 floor plan (2,082 sq. ft.) using BEopt 0.8.6 Quadrant Homes – Source Energy Savings

7. Quadrant - BEopt/Energy Gauge

8. Assumes Puget Sound Energy (PSE) rates Quadrant Homes – Neutral Cost Target

9. Assumes 7% mortgage over 30 years Quadrant Homes – Neutral Cost Target

10. Quadrant Homes “Should Meet” Gate Criteria –Marketability –Builder Commitment –Gaps Analysis –Quality Assurance

11. Quadrant Homes – Marketability - 25-30% of Sales - Aiming at 300 total

12. Quadrant Homes - Builder Commitment Quadrant Homes Commitment to 1.Efficient Process-Driven Construction 2.High Turn Rate 3.Financial Bottom Line Identifying Mutually Beneficial Solutions Key to Partnership 1.Whole-Building Approach to Whole-Business Approach 2.BIRA’s success comes from deep understanding of what drives Quadrant’s business and working within model Quadrant will continue to build BA homes if: 1.Aligned with core values 2.Buyers choose EE options

13. Quadrant Homes - Gaps Insulated Mechanical room standard, although unneeded for condensing 90+ Furnace (BA Level) Code Issues with Ducts Under Bonus Room and Above Insulation Federal Tax Credit 1)Costs this year, credit next 2)Quadrant pays costs, Weyerhaeuser gets credit

14. Quadrant Homes – QA & QC Panelized Wall Sealing Central Scheduling allows Site Supers to focus on execution 1.Quadrant enforces strict QC/safety protocols 2.Protocols include BA QA/QC 3.Energy Star QA/QC (WSU)

15. 40% Marine Joule: G3 Summary BuilderCommunity FFA of Simulated Floor Plan Source Energy Savings Annual Utility Bill Savings Annual Mortgage Cost Net Annual Cash Flow Quadrant Homes Kentlake Highlands 2082 sq ft 41.7% $951.02($159.67) $791.34 New Tradition Homes Landover Commons 2250 sq ft 44.1% $990.61($290.24) $700.37 Ruhoff Home Builders Crescent Village 2350 sq ft 49.2% $1,328.98($885.22) $443.76 Schneider Family Homes Village at Miller Creek 2019 sq ft 47.2% $1,138.86($360.50) $778.36 Tom Walsh and Company New Columbia1884 sq ft 43.5% $943.60($272.68) $670.92