1. SVMG and Climate Change Robert Parkhurst February 23, 2005

2. SVMG and Climate Change Member companies recognize that CO2 reduction is a competitive advantage Member companies recognize that CO2 reduction is a competitive advantage SVMG is a leader in promoting SVMG is a leader in promoting Energy efficiency Energy efficiency Demand response Demand response Distributed generation Distributed generation Two recent programs embody this commitment Two recent programs embody this commitment Sustainable Silicon Valley – 16 companies Sustainable Silicon Valley – 16 companies Flex Your Power Silicon Valley – 34 companies Flex Your Power Silicon Valley – 34 companies

3. SSV and FYP participants *Agilent Technologies, Inc *Agilent Technologies, Inc *Akeena Solar *Akeena Solar *ALZA Corporation *ALZA Corporation American Airlines American Airlines *Applied Materials, Inc. *Applied Materials, Inc. BEA Systems, Inc. BEA Systems, Inc. Cadence Design Systems, Inc. Cadence Design Systems, Inc. *Calpine Corporation *Calpine Corporation Cassatt Corporation Cassatt Corporation Celerity Celerity Cisco Systems, Inc. Cisco Systems, Inc. Citibank Citibank *City of Palo Alto *City of Palo Alto *City of San Jose *City of San Jose Comcast Comcast *County of Santa Clara *County of Santa Clara Deloitte & Touche Deloitte & Touche EPRI EPRI Foothill De Anza Colleges Foothill De Anza Colleges General Dynamics Advanced Information Systems General Dynamics Advanced Information Systems Greater Bay Bancorp Greater Bay Bancorp *Hewlett-Packard Company *Hewlett-Packard Company Hitachi Semiconductor America Hitachi Semiconductor America Kinetics Group Kinetics Group *LifeScan, Inc. *LifeScan, Inc. *Lockheed Martin Space Systems Company M3iWorks, Inc. Mach Energy *NASA-Ames Research Center Network Appliance Northrop Grumman Marine *Oracle Corporation *Pacific Gas & Electric Company Philips Electronics Rambus, Inc. *Roche Palo Alto San Jose Mercury News Santa Clara University *Santa Clara Valley Water District SAP Labs, Inc. SBC Silicon Valley Bank Silicon Valley Manufacturing Group Smurfit-Stone Container Corporation Solectron Corporation Stanford University Synopsys, Inc. Therma Wave United Defense LP, Ground Systems Division

4. Case Study: LifeScan Reduced CO2 emissions by 19% between 2000 and 2003 Reduced CO2 emissions by 19% between 2000 and 2003 Saved 132,000 KWh (82,000 lbs CO2) in 2003 Saved 132,000 KWh (82,000 lbs CO2) in 2003 Purchased 1.87 million KWh of 100% Bioenergy Purchased 1.87 million KWh of 100% Bioenergy Implemented LCD purchase policy Implemented LCD purchase policy Committed to a 40% increase in fleet fuel economy by 2009 Committed to a 40% increase in fleet fuel economy by 2009 Allocated $240 million for CO2 reduction projects Allocated $240 million for CO2 reduction projects

5. Case Study: HP Qualified > 1,000 HP products in ENERGY STAR® Qualified > 1,000 HP products in ENERGY STAR® Increased server efficiency by more than 35% Increased server efficiency by more than 35% Reduced PFC emissions 26% between 2002 and 2003 Reduced PFC emissions 26% between 2002 and 2003 Implemented > 60 GWh of energy efficiency projects in 2004 Implemented > 60 GWh of energy efficiency projects in 2004 Became ENERGY STAR® Million Monitor Drive member Became ENERGY STAR® Million Monitor Drive member Purchased 8.6 GWh of green energy in 2004 Purchased 8.6 GWh of green energy in 2004

6. Case Study: Cisco Saved 45 GWh annually through new construction energy measures Saved 45 GWh annually through new construction energy measures Installed advanced building automation systems Installed advanced building automation systems Saved more than 20 GWh through best practices over past 2 years Saved more than 20 GWh through best practices over past 2 years Implemented ENERGY STAR® settings on 40,000 monitors Implemented ENERGY STAR® settings on 40,000 monitors

7. Conclusions SVMG member companies have demonstrated leadership and partnership in reducing their impact on climate change SVMG member companies have demonstrated leadership and partnership in reducing their impact on climate change SVMG continues to encourage SVMG continues to encourage Public reporting Public reporting Best practice sharing Best practice sharing Participation in energy efficiency and GHG organizations Participation in energy efficiency and GHG organizations