1. INNOVATIONS IN SUSTAINABILITY: ZERO-EMISSION MASS TRANSPORTATION
July 25, 2016
INNOVATIONS IN SUSTAINABILITY: ZERO-EMISSION MASS TRANSPORTATION
Ryan Popple, President and CEO, Proterra, Inc.

2. ABOUT PROTERRA
Proterra is revolutionizing transit by making clean, quiet transportation for all
Founded in 2004 with offices and manufacturing in CA and SC
Longest range, fastest charging EV transit vehicles
200 employees
$1.4bn+ sales pipeline
28 customers and 252 firm orders
>73 vehicles delivered; >2,400,000 service miles
>9,400,000 pounds of CO2 emissions avoided
Strong Executive Team
Solid Financial Backing

3. TRANSIT IS BECOMING INCREASINGLY MISSION CRITICAL…
By 2050, 75% of the world’s population will live in cities
1M new people move to urban areas every week
Americans took 10.7B trips on mass transit last year – the most in 6 decades
Young people drove 23% fewer miles in 2009 than in 2001
The future is transportation as a service

4. …BUT FACES A MASSIVE PROBLEM
High cost
Inefficient
Zero innovation
Pollution
Stock photo ID:
Record carbon emissions
Not scalable or flexible
Unreliable
Transportation gap
Ultra heavy
THE STATUS QUO IS FAILING

5. RAPIDLY EVOLVING URBAN TRANSPORTATION ENVIRONMENT
LEGACY MODEL IN DECLINE
MULTI-MODAL FUTURE
BIKE
SHARING
CAR
SHARING
TRANSPORTATION
GAP
URBAN
RAIL
1000+
Single Car
Single Occupant
CAPACITY
(per hour) 1
<10
100
Transit Bus
VARIABLE
ADAPTIVE
FIXED
FLEXIBILITY
TRANSIT VEHICLES ARE THE KEY CONNECTOR IN FUTURE URBAN TRANSPORTATION
Source: Frost & Sullivan Research

6. EV TRANSIT BUS: COST OF OWNERSHIP ADVANTAGES
Total Cost of Ownership EV
Diesel
CNG
Diesel Hybrid
Vehicle
$749
$490
$551
$712
Energy/Fuel
$81
$392
$291
$302
Maintenance
$150
$384
$432
$475
TCO
$980
$1,267
$1,274
$1,489
TCO ($/mile)
$2.27
$2.93
$2.95
$3.45
Maintenance
Fuel
Vehicle
--- est. over 12 year lifetime / $ in thousands, except TCO ($/mile) ---
Assumptions (+source):
36,000 annual miles driven
Proterra Bus pricing based on a Catalyst XR 8-pack configuration
12-year lifetime
3.86 MPG Diesel (Source: DOT Transit bus Lifecycle analysis)
3.27 MPG CNG (Source: DOT Transit bus Lifecycle analysis)
5 MPG Hybrid (Source: DOT Transit bus Lifecycle analysis)
1.7 kWh/mile (Altoona testing)
Fuel
$3.5 /DGE Diesel (US EIA Projections - Annual Energy Outlook 2015, 12-year average forecast)
$2.2/ GGE CNG (US EIA Projections - Annual Energy Outlook 2015, 12-year average forecast. Does not include compression charges)
$3.5/DGE Hybrid (US EIA Projections - Annual Energy Outlook 2015, 12 year average forecast.)
$0.11/ kWh (Source: EIA TABLE 5.3 Average retail price of electricity to ultimate customer, 10 year future forecast)
*Maintenance:
$0.90/ mile Diesel
$1.00/mile CNG
$0.55/mile Proterra
$1.1/mile Hybrid
(*maintenance costs are all based on customers data)
Battery-electric vehicles have the lowest operational lifecycle cost:
High EV energy efficiency, low electricity rates, and high annual vehicle mileage combine to create significant fuel savings
30% fewer parts dramatically reduce maintenance and operating costs
Electricity prices far more stable and predictable than volatile fossil fuel prices
Savings represents an
18% IRR vs. Diesel Bus

7. ADVANTAGES OF EV TRANSIT BUSES
Durability and maintainability
Durability and customer convenience in mind
One step access 1
Range
Smart Range – the most efficient balance between on-board energy storage and available charging opportunities 2
Fuel economy
Over 4.5x more efficient and 70% cheaper than closest architecture 3
Green
180,000lbs less emissions of CO2e vs. CNG
Zero emissions
More mileage than hybrid 4
Noise 5

8. HOW BIG IS THE TREND?
$50 billion of transit buses on the road in the U.S. that will be replaced by EV technology
By 2025, > 50% of transit purchases will be EV, annual market size of $3.6 billion
EV Transit will replace Consumer Electronics as the 2nd largest battery market by 2020
The current FTA environment provides 5+ years of stable deployment funding, hundreds of units / year to enable the industry to scale faster
California planning to eliminate demand for internal combustion transit by 2028
Multiple city and transit resolutions pending that call for 100% EV Transit

9. TRANSIT: THE EARLY ADOPTER OF EFFICIENCY TECHNOLOGY
2014 U.S. Bus Transit Fleet (30 – 45 ft.)
2014 New Deliveries (30 – 45 ft.)
Energy efficiency is a core requirement
Vehicle CAPX $5 Billion / year
Fuel OPEX > $2 Billion / year
Maintenance OPEX > $2 Billion / year
Of vehicle sectors, transit has the highest % usage of advanced-technology drivetrains
New purchases favoring Hybrid
CNG, Regular Diesel declining
Large segment still Diesel, unlikely to switch to CNG due to uncertainty around fuel prices and growing potential for EV
Multiple CNG procurements cancelled recently (Florida, Minnesota, California)

10. INNOVATION DRIVING MARKET PENETRATION
Number of Routes
2015
67% of Routes
Today
91% of Routes
2014
15% of Routes
2018
100% of Routes
2012
4% of Routes
Daily Distance Traveled per Bus (Miles)

11. CASE STUDIES King County Metro Foothill Transit
“Each one of these buses will save Metro as much as half a million dollars in fuel costs over their lifetime… and of course there’s a massive air quality benefit as well. Even the cleanest diesel buses still dump about 4.5 pounds of carbon dioxide per mile into our atmosphere and they release pollutants that contribute to asthma and lung disease. These electric buses are a vision of something better.” – Vlad Gutman, WA State Director, Climate Solutions
“Demand is high for zero-emissions technology that can handle the punishing demands of heavily traveled transit routes. We've been operating these vehicles for five years and are eager to see what the next generation of tech can do” – Doran Barnes, Executive Director, Foothill Transit
 Test Parameter
Description / Result
Timeframe
October 2015 to January 2016
Total Mileage
32,545 total average of 325 miles per day
572 maximum mileage in one day
Nearly 2x the miles of standard industry testing at Altoona, PA
Fuel Economy
Achieved an average 15 MPGe fuel economy rate
Projected 18MPGe at normal operating loads
Results
98% uptime demonstrated vehicle performance and reliability
Out of service for only 4 out of 106-days, including 3 holidays
“Impressive performance and reliability”, “Quiet and easy to operate”, “..the future”
No wear and tear out of the ordinary
 Test Parameter
Description / Result
Timeframe
April 2014 through July 2015
Total Mileage
401,244 total miles across 12 buses
Represents an average of 2,333 monthly mileage per bus
Fuel Economy
Achieved an average 17 miles/DGE1 fuel economy rate, nearly 4x higher than that of CNG buses
Results
90% availability
>133,000 ESS-related MBRC2, demonstrating exceptional reliability
Maintenance costs totaled $0.16/mile , 11% lower than CNG buses
No wear and tear out of the ordinary
Board resolution adopted to go 100% EV
1 Diesel gallon equivalent
2 Miles between road calls

12. With a vision to deliver clean, quiet transportation for all, Proterra makes zero-emission, battery-electric buses that help fleet operators decrease fossil fuel dependency and reduce costs.