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777 WESTCHESTER AVENUE, SUITE 101, WHITE PLAINS, NY 10604 TEL: 914.613.8454 5250 OLD ORCHARD ROAD, SUITE 300, SKOKIE, IL 10077 September 29, 2016 Re: Lease vs Loan Cost Comparison Good afternoon, The attached comparison of CleanView Capital’s traditional operating lease to our comparable 7-year term loan demonstrates that the lease is the low-cost alternative for a company that is seeking ownership of a solar system. In fact, the lease is significantly less expensive when a company cannot directly benefit from the federal investment tax credit (ITC) and other tax benefits. Just compare the total lease payments of $166,920 to total loan payments of $243,348. When using our operating lease, the customer shares in the value of the lessor’s tax benefits (by way of subsidized monthly payments) and still has substantial tax benefits of its own (monthly payments that are 100% tax deductible and depreciation deductions based upon the lessee’s purchase price after the lease term). So this comparison dispels the notion that a commercial customer gives up significant value when the lessor, and not the customer, monetizes the ITC and claims depreciation on its purchase price. While CleanView Capital offers both alternatives, using an operating lease as a low-cost path to ownership at a reduced price has been a popular way for a commercial customer to obtain ownership of a solar system. Our Clean Energy Ownership Program creates a low-cost of ownership for customers through the tax efficiency of our operating lease. However, low cost is only part of its appeal. If you would like to see the value created for a customer over a 25-year period, simply complete the attached input form and email in excel format to [email protected]. In case you missed it, attached is another copy of my interview with PV magazine discussing why operating leases are an attractive alternative form of financing for the C&I solar market. Best regards, Stan

Lease vs Loan Cost Comparison

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Page 1: Lease vs Loan Cost Comparison

777 WESTCHESTER AVENUE, SUITE 101, WHITE PLAINS, NY 10604 TEL: 914.613.8454 5250 OLD ORCHARD ROAD, SUITE 300, SKOKIE, IL 10077

September 29, 2016 Re: Lease vs Loan Cost Comparison Good afternoon, The attached comparison of CleanView Capital’s traditional operating lease to our comparable 7-year term loan demonstrates that the lease is the low-cost alternative for a company that is seeking ownership of a solar system. In fact, the lease is significantly less expensive when a company cannot directly benefit from the federal investment tax credit (ITC) and other tax benefits. Just compare the total lease payments of $166,920 to total loan payments of $243,348. When using our operating lease, the customer shares in the value of the lessor’s tax benefits (by way of subsidized monthly payments) and still has substantial tax benefits of its own (monthly payments that are 100% tax deductible and depreciation deductions based upon the lessee’s purchase price after the lease term). So this comparison dispels the notion that a commercial customer gives up significant value when the lessor, and not the customer, monetizes the ITC and claims depreciation on its purchase price. While CleanView Capital offers both alternatives, using an operating lease as a low-cost path to ownership at a reduced price has been a popular way for a commercial customer to obtain ownership of a solar system. Our Clean Energy Ownership Program creates a low-cost of ownership for customers through the tax efficiency of our operating lease. However, low cost is only part of its appeal. If you would like to see the value created for a customer over a 25-year period, simply complete the attached input form and email in excel format to [email protected]. In case you missed it, attached is another copy of my interview with PV magazine discussing why operating leases are an attractive alternative form of financing for the C&I solar market. Best regards, Stan

Page 2: Lease vs Loan Cost Comparison

Cost ComparisonOperating Lease vs Loan

Solar Project: $ 200,000

Operating Lease(No Interest)

Loan(5.89% Interest)

Payment 1,630 Payment 2,897# Months x 84 # Months x 84Total Mo. Payments 136,920 Total Mo. Payments 243,348Purchase (FMV:15%) + 30,000 Purchase (included above) 0Total All Payments 166,920 Total All Payments 243,348ITC Tax Svgs: Full Mo.PmtsTax Svgs: MACRSNet After-Tax Cost

Tax Svgs @ 35% Tax Rate

- 0- 47,922- 10,500

108,498

ITC (30%) Tax Svgs: InterestTax Svgs: MACRSNet After-Tax Cost

- 60,000- 15,172- 59,500

108,676

CleanView Capital * August 31, 2016