Starfire Energy Proposal

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SCOPE OF WORK

BUSINESS INCENTIVES Capital intensive requirements, such as the project Starfire is undertaking, can potentially create a financial strain on the company’s Profit & Loss Statement. Starfire will spend significant up-front capital to establish and construct the new facility and recruit / hire new talent. This investment outflow will occur prior to the facility generating new revenues, which causes inherent financial and timing risk. Due to years of experiences & hundreds of successful case studies, C&W, and specifically Brad, understands that risk, and excels at identifying the best economic development and government partners to help mitigate these challenges. Brad maintains strong engagement with public & private partnerships and incentives granting agencies across the country at all levels, including Mayors, Governors, & lobbyists in D.C. Starfire’s presence in a particular location has tremendous financial implications not only for Starfire, but also for the local municipality, state, and utilities. Brad will utilize a Profit & Loss Statement approach to incentive negotiations to allow Starfire the ability to understand the costs to establish and operate a facility in each market along with the estimate revenue streams generated by the state and local governments as a result of the new investment and job creation. Brad’s incentive negotiation approach is customized for each market being evaluated based upon those costs and revenue streams. This process ensures that the applicable agencies develop an incentive package that truly benefits the company both from a short- and long-term perspective. In addition to state and local agencies, Brad evaluates & determines the applicability of federal incentive opportunities either based upon the real estate location (e.g. New Markets Tax Credits) or working with specific federal agencies such as DOE where the grants could be appropriate and applicable.

Further, C&W understands that an incentive only has value if it is captured and realized by Starfire. If requested, C&W can manage the incentive compliance for Starfire to ensure the economic development and government agencies achieve their commitments to the project. The C&W incentives team has developed an in-house proprietary incentive compliance platform that will support the realization of the incentives by Starfire, thus giving Starfire an on-line portal for real-timing incentive tracking and incentive reporting. HOW WE CAN HELP • Evaluate and estimate the tax and operating cost impacts for each location being evaluated • Identify potential hurdles/opportunities available in each market • Develop a comprehensive negotiation strategy based on the project scope and the project’s financial impacts in each market • Expertly engage local, state and federal officials and economic development agencies through our time-tested relationships • Identify utility partners to support initial infrastructure requirements and on-going operating costs • Effectively compare multiple incentive offers against a wide range of quantitative and qualitative factors and benchmark incentive awards against • Negotiate to ensure all possible benefits are secured • Lead the incentive approval efforts to achieve full incentive approvals prior to executing any real estate transaction or public announcement • Coordinate public announcements with state and local Governor’s and Mayor’s offices

Proposal for Real Estate Services STARFIRE ENERGY 19