Utility Scale Solar Technology at a Distribution Level

Howard Wenger
President, Utility and Power Plants
© 2010 SunPower Corporation
May 12, 2010
© 2010 SunPower
Corporation
 Safe Harbor Statement
This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of
1995. Forwardl ooking statements are statements that do not represent historical facts and may be based on underlying
assumptions. Forward-looking statements in this presentation are made regarding: (a) the FAB 3 Malaysian manufacturing
facility; (b) demand and supply trends; (c) internal cost reduction forecasts; (d) forecasted utility and power plant pipeline and
associated recognized megawatt business; (e) the developer model and forecasted quarterly revenue recognized and
deferred; (f) gross profit by value chain step in contrast to vertical integration; (g) forecasted growth in dealer partners and
the residential and light commercial business unit revenue; (h) retail price by value chain step and associated SunPower
value premium; (i) forecasted Oasis modular power plant savings; (j) the company’s ability to finance and monetize in 2010
more than 60 MW of Italian power plants, to monetize the Montalto prower plant, and to recognize revenue from 100MW+ of
power plants; (k) quarterly revenue mid-point for the utility and power plant and residential and commercial business units for
2010 ; (l) revenue, gross margin, and GAAP and non-GAAP earnings per share for the second, third and fourth fiscal
quarters of 2010 and for the full fiscal year 2010; and (m) 2010 capital expenditures and solar cell production. Such forward-
looking statements are based on information available to the company as of the date of this release and involve a number of
risks and uncertainties, some beyond the company’s control, that could cause actual results to differ materially from those
anticipated by these forward-looking statements, including risks and uncertainties such as: (i) potential difficulties associated
with integrating SunRay’s business and operations; (ii) the company’s ability to obtain and maintain an adequate supply of
raw materials, components, and solar panels, as well as the price it pays for such items; (iii) general business and economic
conditions, including seasonality of the industry; (iv) growth trends in the solar power industry; (v) the continuation of
governmental and related economic incentives promoting the use of solar power, particularly such incentives affecting the
acquired SunRay pipeline and the markets in which the company sells solar panels and constructs commercial systems and
power plants; (vi) the company’s ability to sell or otherwise monetize power plants; (vii) the improved availability of financing
arrangements for the company’s customers; (viii) construction difficulties or potential delays, including permitting and
transmission access and upgrades; (ix) Southern California Edison exercising early termination rights to purchase less than
200 MWdc during the term of the supply agreement; (x) the company’s ability to ramp new production lines and realize
expected manufacturing efficiencies; (xi) manufacturing difficulties that could arise; (xii) the success of the company’s
ongoing research and development efforts; (xiii) evolving regional permitting, financing, grid interconnection, technical, and
other customer or regulatory requirements, and the company’s ability to satisfy such requirements with SunPower Oasis and
its other products and services; and (xiv) other risks described in SunPower's Annual Report on Form 10-K for the year
ended January 3, 2010, and other filings with the Securities and Exchange Commission. These forward-looking statements
should not be relied upon as representing the company's views as of any subsequent date, and the company is under no
obligation to, and expressly disclaims any responsibility to, update or alter its forward-looking statements, whether as a result
© 2010 SunPower Corporation
of new information, future events or otherwise.

2
Outline

! About SunPower
! Technology Overview
! Applications
! Economics

© 2010 SunPower Corporation

3
 Approximate Financed Solar Power Plant Capacity
5 GW

1 GW
0.5 GW

Silicon PV Thin Film PV Trough CPV Heliostat / Tower CLFR CSP Dish Sterling
© 2010 SunPower Corporation

4
SunPower
>1 GW solar PV deployed 2009 revenue of $1.5B

Diversified portfolio: roofs to power plants 550 MW 2010 production

~1000 dealers and growing rapidly 5,000+ Employees; 100% solar

4+ GW power plant pipeline Publicly listed NASDAQ: SPWRA, SPWRB

Residential Commercial Power Plants

© 2010 SunPower Corporation

5
SunPower Global Mission
!  Mainstream solar power: Compete with retail and wholesale electric
rates by reducing system cost by 50% by 2014
!  Innovate: Set new standards for systems performance, value,
appearance and customer experience

Canada England Germany

CO Italy
California Spain France South Korea
Arizona New
Hawaii Switzerland
Jersey Philippines
Singapore
Regional HQ
Regional Office Australia

© 2010 SunPower Corporation

6
SunPower - A Differentiated Technology

!  Highest Efficiency Cells and Modules

!  Best Energy Performance (kWh/kWp)
!  Solid Reliability & Quality

The Planet’s
Most Powerful Solar

© 2010 SunPower Corporation

7
 A Revolutionary Cell Technology
SunPower’s all-back contact silicon solar cells vs. Conventional C-Si cells.
Patented with industry leading efficiencies of up to 23%

SunPower Cell Conventional Mono Cell Conventional Multi Cell

22%+ Efficient 16% Efficient 15% Efficient
Front Side – No Grid lines © 2010 SunPower Corporation

8
Up to Twice the Power
SunPower High Efficiency Cells vs. Competition
&&?'@"
&&"
A*"B2)567-)*";)5.:"
&%"
!"#$%&'(##&)*+,(-+.&/01&

$#"

$!"

$'"

$&"

$%"

#"
0"1+,2.3,"42)567-)*",879,*7:"
!"
;<9*"=9/>" ()*+,*-)*./" !2-3"4(%&56788& !2-3"4(%&9(-&:&
© 2010 SunPower Corporation

9
Solar PV Uniquely Flexible to Serve All Segments

Rooftops Distributed Central Station

Power Plant Power Plant

© 2010 SunPower Corporation

10
 SunPower T5 Solar Roof Tile

Pre-engineered all-in-one solution

$" Highest efficiency panels tilted at 5° '" No roof penetration

&" Easy to install, all-in-one design D" No grounding required, due to polymer
material
C" Panel and mounting combined D" Durable, lightweight, aerodynamic
into one
© 2010 SunPower Corporation

11
T5 Self Stacking Design

Efficient Logistics & Transportation

•  High shipping density
•  Eco-friendly: No cardboard/packaging

High Density Shipping

!  305 Wp per tile
!  100-kWp per truck

22 Units per Pallet

© 2010 SunPower Corporation

12
;"%(&3"4(%&<(%&="">"<&?&;"%(&3%"@A&<(%&="">"<&

More Power per Unit Area

!  1.46 kWp/100 ft!

Most Power per Unit Weight

!  6.5 Wp/lb

•  More power per rooftop than •  Produces the most energy over time
high tilt systems in an area-constrained space

© 2010 SunPower Corporation

13
Rooftop PV behaves like energy efficiency
Source: Pacific Gas & Electic Co, 1992,
Photovoltaics as a Demand-Side
Management Option, World Energy
Engineering Congress, Atlanta

12 kW rooftop PV system

© 2010 SunPower Corporation

14
Solar as a Standard Feature
SunPower SunTile for new homes – It’s a roof and a power plant

© 2010 SunPower Corporation

15
 TOTAL BILLED AMOUNT: $4.14

Rooftop PV treated like

energy efficiency, with net
metering

Net-Metered 3-kW PV System © 2010 SunPower Corporation

16
Prior Meter Read: 880
Current Meter Read: 782
---------------------------------------
Difference: -98
Net producer for month, sending 98 kWh
back to grid

© 2010 SunPower Corporation

17
Quickly Emerging: Power Plants for US Utilities

US Utility Examples
!  SoCal Edison 200 MW distributed rooftop
!  Florida Power and Light 35 MW power plants
!  Exelon 8 MW urban infill
!  Xcel 19 MW under construction
!  Pacific Gas & Electric 250 MW in permitting

© 2010 SunPower Corporation

18
Exelon City Solar: Chicago, IL

E2F.*"A*GH//"B)I,2"B/.*JKL"=9J"J)"M.*5")2"N295"
© 2010 SunPower Corporation

© 2010 SunPower Corp.

19
FPL: January 2009
Start of Construction

© 2010 SunPower Corporation

© 2010 SunPower Corp.

20
 FPL: June 2009
25 MW AC Installed

© 2010 SunPower Corporation

© 2010 SunPower Corp.

Courtesy FPL Group 21
Over 250 MW of power plants installed in Europe

Serpa, Portugal Isla Mayor, Spain Olivenza, Spain Jumilla, Spain Montalto, Italy Muehlhausen,
11 MW 8 MW 18 MW 23 MW 24 MW © 2010Germany,
SunPower 6Corporation
MW

22
20 MW Montalto Italy

© 2010 SunPower Corporation

© 2010 SunPower Corporation

23
SunPower Power Plant Product Focus

Four core goals:

1.  Deliver the most financeable solar plants

2.  Deliver competitive LCOE
3.  Create community acceptable solar plants
4.  Deliver a productized power plant solution

© 2010 SunPower Corporation

24
© 2010 SunPower Corporation

25
© 2010 SunPower Corporation

26
 Cost Trajectory: Silicon PV Returns to Learning Curve
Panel Average Sales Price (ASP) 2008$

Last 4 data points: the Prometheus Institute

-  30-year Trends: Wafers 500 " 145 microns; Efficiency 12% " 22+%; Factories 10MW " 1,000MW

© 2010 SunPower Corporation

27
SunPower New Factory: 1 Giga-Watt/year Capacity

© 2010 SunPower Corporation

28
 Solar PV Power Plants Cost Competitive

LCOE by Resource $/MWh: 2009 - 2012

Renewables Solar is now
Solar PV $87 - 196 competitive with coal
and gas peakers
Solar Thermal $129 - 206

Wind $57 - 113

Conventional
$216- 334
Gas Peaking

Gas Combined $69-96

Cycle
%"""""""""D%"""""""""OD"""""""""$%%"""""""""$D%"""""""""&%%"""""""""&D%"""""""""C%%"""""""""CD%"""""""""'%%"
Levelized Cost ($/MWh)
Prices include federal incentives
Source: Lazard Capital Markets 3/18/2009 © 2010 SunPower Corporation

29
 Power of Solar

An area with a An area with a

16 mile radius 58 mile radius
can provide all can provide all
of California’s of the US’s
electricity electricity
needs. needs.

About 0.5% of About 10% of

the state’s land the state of
area Nevada

A 132 GW solar A 1,650 GW

plant solar plant
© 2010 SunPower Corporation

30
Solar Power is one solution. This is Day 1

Thank you

© 2010 SunPower Corporation

31