PRIVATE SECTOR CAPITAL FOR PUBLIC GOOD

GrowSmart10/23/12

2:30 to 3:45 pm

© 2012 CEI Capital Management LLC; Proprietary and Confidential; Not for Reproduction or Redistribution. 1

Charlie Spies, CEI Capital Management LLC

PLACEMENT OVERVIEW

• $674.6 MM in QEIs to date

• 75 Projects Closed in 26 States

• $1.92 billion in total private capital investment

• 11,581 direct jobs preserved or created

• 2,443,686 acres of timberlands committed to sustainable forestry practices and retained as working forests

•  72 megawatts of green energy and over 1,195,000 gallons of alternative fuel generated annually

© 2012 CEI Capital Management LLC; Proprietary and Confidential; Not for Reproduction or Redistribution. 2

PLACEMENT OVERVIEW IN MAINE

• $221.3 MM in QEIs to date

• 18 Projects Closed

• $557 million in total private capital investment

• 1,776 direct jobs preserved or created

• 1,830,500 acres of timberlands committed to sustainable forestry practices and retained as working forests

© 2012 CEI Capital Management LLC; Proprietary and Confidential; Not for Reproduction or Redistribution. 3

OUR MISSION

CCML is a capital management subsidiary of Coastal Enterprises Inc., whose mission is:

© 2012 CEI Capital Management LLC; Proprietary and Confidential; Not for Reproduction or Redistribution. 4

“To help create economically and environmentally healthy communities in which all people, especially those with low incomes, can reach their full potential.”

WHY NMTC DEALS WORK.…

22%•Risk Averse•Priced at

Market Rates

Loans80-90 %

•High Risk

•Most Expensive

Developer Funds

10-20%

Project Funding without NMTC

•Risk Averse

•Priced at Market Rates

Loans~60%

•Accepts Risk

•Low-Cost

•No repayment

NMTCFunds

~ 22%

• High Risk

• Most Expensive

Developer Funds

10-20%

With NMTC

THE NMTC PROCESS

• 100%Allocation Authorization for the project

(AA)

• 39%Tax Credits from the AA are sold to Investors

• 22%. Low-Cost Funding is created for Qualified

Projects

• 39% tax credit is received by investor over a 7-year period: 5% + 5% + 5% + 6% + 6% + 6% + 6%

A FEW ACTUAL PARTICIPANTS IN THE NMTC INDUSTRY

Projects in Low Income Communities: Community Forest in Grand Lake Stream; MMG in Presque Isle; GMRI in Portland;

CDEs

CDFI Fund

$26 Billion

$17.2 Billion placed to date

InvestorsLenders

Ochoco Lumber Co.

MAINE DEALS

© 2012 CEI Capital Management LLC; Proprietary and Confidential; Not for Reproduction or Redistribution. 8

SAMPLE DEAL: MÖLNLYCKE

• Allows Maine-based subsidiary Rynel Inc. focused on Maine.

• Prevents building this expansion in Finland, saving 80 existing positions

• Developed partnership with local community college to provide job training for up to 127 individuals

© 2012 CEI Capital Management LLC; Proprietary and Confidential; Not for Reproduction or Redistribution. 9

• Creates up to 85 new jobs, 90% of which will be hired locally

SAMPLE DEAL: MÖLNLYCKE

© 2012 CEI Capital Management LLC; Proprietary and Confidential; Not for Reproduction or Redistribution. 10

Investment Fund, LLC(Owns 99.99% of CDE)

Brunswick Landing MHC USA, LLC

(99% owned by MRRA; 1% owned BLRDC)

QALICB

Pooling Entity

CCM Community Development XXII LLC

CDE CCML

ManagingMember(0.01% )

NMTC EquityBangor Savings

BankLeverage Lender

Wells Fargo Community Investment

Holdings, LLCNMTC Tax Equity Investor

(Owns 100% of IF)

Molnlycke Manufacturing

US, LLC(Molnlycke Health Care US,

LLC is the guarantor)

Molnlycke Manufacturing

US, LLC(Molnlycke Health Care US,

LLC is the guarantor)

Lease Agreement

MRRA(99% owner of BLMHC, 100% owner of BLRDC)

Ground Lease Agreement

Brunswick Landing Realty Development

Corporation(1% owner of BLMHC)

Grand Lake Stream Woodlands$19.8 Million NMTC FinancingGrand Lake Stream Plantation, Maine

Finances 21,949 acres of working forest to facilitate sustainable harvesting, protect ecotourism and provide land for low-income housing development. Preserves over 100 Jobs

Equity Investors: Bangor Savings Bank & U.S. Bancorp CDC

Lenders: Bangor Savings Bank & Lyme Timber Company

Manager: CEI Capital Management LLC, a subsidiary of Coastal Enterprises, Inc.(A Maine non-profit corporation)

Partnered with Northern Forest Center

Downeast Lakes Land Trust

March 26, 2009

MAINE STATE NMTC HIGHLIGHTS

• Modeled on Federal Program

• 39% credit over 7 years

• Broader Geographic Footprint• Federal Census Tracts Qualify• Municipalities w/ historically high unemployment rates

qualify

• Can be combined with Federal or stand alone

• $10 MM project cap unless creating or retaining 200 jobs, then up to $40 MM

• $250 MM available

• Administered by FAME

© 2012 CEI Capital Management LLC; Proprietary and Confidential; Not for Reproduction or Redistribution. 12

CEI CAPITAL MANAGEMENT LLC

2 Portland Fish Pier, Suite 206

Portland, ME 04101-4633

Charles J. Spies IIIManaging Director

(207) 535-2932cjs@ceimaine.org