WE ARE GENERATION

2010 SUSTAINABILITY ANNUAL REPORT

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At Viridian we never settle for the

minimum. The expected. The status-quo.

That’s why we exceed the mandatory

green content standards in every state

we service. It’s why we’ve committed to

improving seven continents in seven

years. And why we work with our

Associates to do as much for their

community as their economy.

ABOUT THIS REPORT

ABOUT 2010

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BUSINESS ON A MISSION

A BUSINESS THAT’S MORE THAN A BUZZWORD.

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Viridian CEO Michael Fallquist talks about the balance between

PROFITABILITY & SUSTAINABILITY

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Viridian executive team discusses every department’s

DEDICATION TO SUSTAINABILITY

ROOP BHULLARCHIEF FINANCIAL OFFICER

BETSY WEBBVP OF HUMAN RESOURCES, CUSTOMER CARE & REG. AFFAIRS

CAMI BOEHME VP OF MARKETING AND BRAND COMMUNICATIONS

ROBERT A. MCFADDENSVP OF SALES AND MARKETING

10 11GENERATION V

THIS IS OUR GENERATION.

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INDIVIDUAL CHOICE. COLLECTIVE IMPACT.

3,998 2,351,879 48,624 279 2,537 536,108 4,458 198 7,040

ANNUAL

GREENHOUSE GAS

EMISSIONS FROM

PASSENGER

VEHICLES

CO2 EMISSIONS

CREATED

FROM

GASOLINE

CONSUMED

CO2 EMISSIONS

CREATED

FROM BARRELS

OF OIL

CONSUMED

CO2 EMISSIONS

CREATED FROM

TANKER TRUCKS

WORTH OF

GASOLINE

CO2 EMISSIONS

CREATED FROM

ELECTRICITY USE

OF HOMES

IN 1 YEAR

CARBON

SEQUESTERED

BY TREES

GROWN FOR

10 YEARS

CARBON

SEQUESTERED

ANNUALLY BY

PINE OR FIR

FORESTS

CARBON SEQUES-

TERED ANNUALLY

BY FOREST

SAVED FROM

DEFORESTATION

CO2 EMISSIONS

AVOIDED BY

RECYCLING WASTE

INSTEAD OF SENDING

TO LANDFILL

V E H I C L E S G A L L O N S B A R R E L S T R U C K S H O M E S S E E D L I N G S A C R E S A C R E S T O N S

OUR CUSTOMERS HAVE SAVED* 46,094,694 LBS. THAT EQUATES TO:

OUR CUSTOMERS HAVE REDUCED CARBON EMISSION BY**

$6,991,260

* Data calculated as of 12/17/10. **Source: http://www.epa.gov/cleanenergy/energy-resources/calculator.html

{

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RECOGNIZING THE INCREMENTAL IMPORTANCE OF EACH SIMPLE ACT IS WHAT GENERATION V STANDS FOR.

GENERATION V IS DEDICATED

“IT’S NICE TO ACTUALLY DO WHAT WE SAY WE DO. I’M PROUD TO BE PART OF A COMPANY THAT SELLS A GREEN PRODUCT BUT IT MEANS EVEN MORE TO ME TO LIVE THAT MESSAGE.”

MEGAN MCCOY OPERATIONS MANAGER

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GENERATION V PLANS FOR THE FUTURE

“MY DEPENDENCY ON FUEL WAS ALSO DEPENDENCY ON FOREIGN OIL, WHICH PUTS OUR COUNTRY AND OUR TROOPS AT RISK. I’D RATHER KEEP THAT MONEY HERE TO HELP DEVELOP RENEWABLE TECHNOLOGY.”

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GENERATION V CARES ABOUT THE EARTH

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GENERATION V IS INCREDIBLY CONNECTED

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After seeing the opportunities for both saving mon-ey and helping the environment, Vomero-Battis said it was a “no-brainer” to become an Associate.

GENERATION V IS OPTIMISTIC & PERSISTENT

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“You can recycle and say ‘I’m doing my part,’ but you’re isolated. You need the community,” she said.

GENERATION V IS INSPIRED

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“Viridian is what I’ve always wanted to do,” he said. “I feel good about it because I’m not selling anything. I’m telling people about it and I think the choice is obvious.”

GENERATION V IS INNOVATIVE

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PUTTING ENERGY INTO ACTION

HOW DOESRENEWABLE ENERGY WORK?

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HOW A RENEWABLE ENERGY CERTIFICATE (REC) WORKS

RENEWABLE ENERGY GENERATORS

TRADITIONAL ENERGY GENERATOR

THE GRID

REC

$

$$

THE INCREASED MARKET DEMAND FOR RECS DRIVES THE CONTINUED DEVELOPMENT OF RENEWABLE ENERGY IN OUR COUNTRY.

RENEWABLE PORTFOLIO STANDARDS

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GREEN-E CERTIFICATION

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REPORTING RECs

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2010 REC REPORTING IS FOR ELECTRICITY USED BY VIRIDIAN CUSTOMERS IN CONNECTICUT IN CALENDAR YEAR 2009, AND IN PENNSYLVANIA IN REPORTING YEAR 2010.REPORTING TIMELINE

2009 2010 2011

FEBJAN MAR APR MAY JUL AUG SEP OCT NOV JUL AUG SEP OCT NOVDECJUN JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN

COMPLETED REPORTING YEARS FUTURE REPORTING YEARS CONNECTICUT MARYLAND NEW JERSEY PENNSYLVANIA

PA & NJ REPORTING YEAR

CT & MD 2011 REPORTING YEARCT CUSTOMERS USED 20,250 MWH

PA CUSTOMERS USED 895 MWH THIS ELECTRICITY WAS PART OF REC REPORTING IN 2010

THIS ELECTRICITY WAS PART OF REC REPORTING IN 2010

THIS ELECTRICITY IS PART OF REC REPORTING IN 2011 FOR PA & NJ

LOOKING FORWARDViridian's 2011 Sustainability Report will include REC reporting for electricity served in CT and MD from Jan. 1 to Dec. 31, 2010 and in NJ and PA from June 1, 2010 to May 31, 2011. Our growth has been significant in these markets. Next year's report will provide a detailed account of the activity for this period. As a glimpse of what to expect in that report, we are proud to say that we have already served more than 24 times the load in those markets as of the date of publication. (Dec. 17, 2010) That amounts to an incredible impact which we will fully report on next year.

NJ

CT

MD

PA

LOAD TO DATE:

516,029 MWHJAN 2011 PECO MARKET LAUNCH

JAN 2011 DUQUESNE MARKET LAUNCH

JUL 2009 UI MARKET LAUNCHFEB 2010 PPL MARKET LAUNCH

JUN 2010 ACE MARKET LAUNCH

AUG 2010 JCPL MARKET LAUNCH

AUG 2010 RECO MARKET LAUNCH

SEP 2010 PEPCO MARKET LAUNCHJUL 2009 CL&P MARKET LAUNCH

MAY 2010 PSEG MARKET LAUNCH

JUL 2010 BGE MARKET LAUNCH

EARTH DAY! BEACH CLEANUP IN WESTPORT, CT

VIRIDIAN LAUNCHES DIRECTSELLING CHANNEL

VIRIDIAN BEACH CLEAN UP IN SANDY HOOK, NJ

MICHAEL FALLQUIST SPEAKS AT GARDEN STATE GREENFEST, SOMERSET, NJ

THIS ELECTRICITY IS PART OF REC REPORTING IN 2011 FOR CT & MD

FIRST ANNUAL SUSTAINABILITY REPORT PUBLISHED

VIRIDIAN PURE GREEN PLAN IS CERTIFIED BY GREEN-E ENERGY

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CONNECTICUT: 12% RENEWABLE PORTFOLIO STANDARD FOR 2009

AS VIRIDIAN’S FOUNDING MARKET, CONNECTICUT REPRESENTED THE BULK OF VIRIDIAN’S ELECTRICITY LOAD FOR THIS YEAR’S REPORT. DURING 2009, VIRIDIAN SERVED 20,250 MEGAWATT HOURS (MWH) OF ELECTRICITY TO CUSTOMERS IN CONNECTICUT. CONNECTICUT’S STATE RPS MANDATED THAT ALL ELECTRICITY SUPPLIERS BUY RECS TO SUPPORT 12% OF THEIR TOTAL

2009 LOAD.

AUDIT OF RECS PURCHASED

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REC PURCHASING CONNECTICUT2010

STEP 1 CALCULATE ELECTRICITY USAGE FOR CALENDAR YEAR 2009

STEP 2 DETERMINE REC PURCHASING REQUIREMENTS

STEP 3 PURCHASE RECS

STEP 4 RETIRE RECS

EACH REC IS REPRESENTED BY A UNIQUE SERIAL NUMBER. ONCE THIS NUMBER HAS BEEN REPORTED AND RETIRED, IT CAN NEVER BE COUNTED OR USED AGAIN.

RESIDENTIAL COMMERCIAL

20,250 MWH20,250 MWH

12% 8%

$$$

TOTAL FOR ALLVIRIDIAN RESIDENTAL AND COMMERCIAL CUSTOMERS IN CT

REC

2,442 RECS 1,608 RECS

CT RPS VOLUNTARY

20%4,050 RECS

EVERYDAY GREEN

RENEWABLE ENERGY GENERATORS

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CONNECTICUT CLASS I RECS: 6%CLASS

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FUEL CELL TECHNOLOGY GENER-ATES POWER SIMILAR TO HOW A STANDARD BATTERY OPERATES: WITHOUT ANY COMBUSTION.

FUEL CELL POWER

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CONNECTICUT CLASS II RECS: 3%

THE SILICONE MATERIAL PRESENT IN SOLAR PHOTOVOLTAIC PANELS TRANSFORMS THE SUNLIGHT INTO ELECTRICITY RATHER THAN HEAT.

CLASS

2

SOLAR PHOTOVOLTAIC POWER

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THE DAMMED WATER FLOWS THROUGH THE INTAKE, INTO A LARGE PIPE (A PENSTOCK). THIS PIPE FEEDS THE WATER INTO A TURBINE WHICH THEN POWERS A GENERATOR.

COMBINED HEAT AND POWER SYSTEMS (CHP) REFER TO A POWER PLANT THAT CAN CAPTURE THE HEAT EMITTED IN THE ELECTRICITY PRODUCTION PROCESS AND USE IT FOR RESIDENTIAL OR COMMERCIAL HEATING

HYDROPOWER

COMBINED HEAT AND POWER

CONNECTICUT CLASS III RECS: 3%CLASS

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CONNECTICUT VOLUNTARY RECS

AS THE WIND BLOWS PAST THE TURBINES, ITS SPECIALLY DESIGNED BLADES “CAPTURE” THE WIND AND SPIN IN TOW. AS THESE BLADES SPIN, THEY ACTIVATE A GEARBOX, WHICH SPINS THE GENERATOR WHERE THE ELECTRICITY IS FINALLY GENERATED.

WIND POWER

STATE OF REC SOURCE

TYPE OF RENEWABLE RENEWABLE FACILITY QUANTITY CLASSIFICATION REC SERIAL NUMBERS

Connecticut

Connecticut

New Hampshire

New Hampshire

Vermont

Connecticut

Connecticut

Pennsylvania

Cabelas

Saybrook Point Inn

Kelley’s Falls

Mascoma Hydro

Wells River

Branford High School

UCONN Central Utility Plant

Lookout Wind Farm

1368

6

96

311

200

204

404

1461

CT Class I

CT Class I

CT Class II

CT Class II

CT Class II

CT Class III

CT Class III

Voluntary Tier I

Batch 268672, # 1 to 431Batch 268670, # 1 to 75Batch 268671, # 1 to 442 Batch 272910, # 301 to 326 Batch 271426, # 1 to 394

Batch 276497, # 1 to 6

Batch 274866, # 1 to 80 Batch 274870, # 1 to 14Batch 272554, # 129 to 130

Batch 274840, # 1 to 50 Batch 274878, # 1 to 261

Batch 271800, # 1 to 200

Batch 268668, # 1 to 70 Batch 268669, # 1 to 94Batch 268667, # 81 to 120

Batch 272457, # 7144 to 7547

Batch 87813, # 644 to 1573 Batch 87813, # 1693 to 2223

Viridian CT REC Retirement Report for 2010

WINDENERGY

HYDRO-ELECTRIC

SOLARPHOTOVOLTAIC

FUEL CELL

COMBINEDHEAT & POWER

MUNICIPALSOLID WASTE

CT 2009 REC SOURCESWIND ENERGY

FUEL CELL

HYDROELECTRIC

COMBINED HEAT & POWER

SOLAR PHOTOVOLTAIC

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TIER

1

TIER

2

PENNSYLVANIA: 6.7% RENEWABLE PORTFOLIOSTANDARD RY 2010

DURING RY 2010, VIRIDIAN SERVED 895 MEGAWATT HOURS (MWH) OF ELECTRICITY TO CUSTOMERS IN PENNSYLVANIA.

RESOURCE CLASSIFICATIONPENNSYLVANIA TIER I RECS: 2.5%

PENNSYLVANIA TIER II RECS: 4.2%

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REC PURCHASING PENNSYLVANIARY2010

STEP 1 CALCULATE ELECTRICITY USAGE FOR REPORTING YEAR 2010

STEP 2 DETERMINE REC PURCHASING REQUIREMENTS

STEP 3 PURCHASE RECS

STEP 4 RETIRE RECS

EACH REC IS REPRESENTED BY A UNIQUE SERIAL NUMBER. ONCE THIS NUMBER HAS BEEN REPORTED AND RETIRED, IT CAN NEVER BE COUNTED OR USED AGAIN.

RESIDENTIAL COMMERCIAL

895 MWH895 MWH

6.7% 13.3%

$$$

TOTAL FOR ALLVIRIDIAN RESIDENTAL AND COMMERCIAL CUSTOMERS IN PA

REC

61 RECS 119 RECS

CT RPS VOLUNTARY

20%180 RECS

EVERYDAY GREEN

RENEWABLE ENERGY GENERATORS

42 4342

Pennsylvania

Maryland

Pennsylvania

Lookout Wind Farm

Montgomery County Resource Recovery

Lookout Wind Farm

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119

PA Tier I

PA Tier II

Voluntary (Green-e©)

Batch 87813, # 501 to 523

Batch 56668, # 14081 to 14118

Batch 87813, # 1574 to 1692

STATE OF REC SOURCE

TYPE OF RENEWABLE RENEWABLE FACILITY QUANTITY CLASSIFICATION REC SERIAL NUMBERS

Viridian PA REC Retirement Report for 2010

WINDENERGY

HYDRO-ELECTRIC

SOLARPHOTOVOLTAIC

FUEL CELL

COMBINEDHEAT & POWER

MUNICIPALSOLID WASTE

PA RY2010 REC SOURCESWIND ENERGY

MUNICIPAL SOLID WASTE

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SEVEN CONTINENTS IN SEVEN YEARS

OUR VISION & OUR PLEDGE

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“THERE ARE VERY FEW EXPERIENCES THAT ARE TRULY LIFE CHANGING AND EYE-OPENING. MY EXPERIENCE IN BRAZIL COUNTS AS ONE FOR ME PERSONALLY.”

MICHAEL FALLQUISTCHIEF EXECUTIVE OFFICER

MICHAEL FALLQUIST AND ROBERT A. MCFADDEN IN BRAZIL

WE MAY NOT HAVE ENDED A VICIOUS CYCLE, BUT AT LEAST WE’VE STARTED A VIRTUOUS ONE – AND LEFT THE CONTINENT BETTER THAN WE FOUND IT.

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WHAT DOES IT ALL MEAN?

THE BEGINNING OF A RIPPLE EFFECT.

EDITORS CONTRIBUTING WRITERS PHOTOGRAPHY DESIGN AND LAYOUT

SPECIAL THANKS TO

CONTACT

As part of our commitment to sustainability,

this report is printed on Neenah Environment

premium recycled paper, an FSC certified

paper made with 100% post consumer fiber

and is manufactured at an FSC certified facility.