SAN FRANCISCO and SAN JOSE, Calif., Dec 17, 2009 /PRNewswire via COMTEX News Network/ -- SAN FRANCISCO and SAN JOSE, Calif., Dec. 17 /PRNewswire-FirstCall/ -- Wells Fargo (NYSE: WFC) andSunPower Corp. (Nasdaq: SPWRA, SPWRB) today announced that financing has been completed on the 1-megawatt solar power system commissioned last month at the University of California, Merced. SunPower financed the system with Wells Fargo through a $100 million sale leaseback financing program announced by the companies in June of this year.
"SunPower offers high performance solar technology and financing expertise that helps customers maximize savings on their electricity expenditures," said Mac Irvin, managing director of SunPower's structured finance group. "Our relationship with Wells Fargo expands our customers' project finance options and streamlines the implementation of clean, renewable solar power for SunPower's large commercial and public customers throughout the U.S."
Under the financing program used for the UC Merced system, SunPower enters into power purchase agreements with qualified customers, and Wells Fargo finances the solar power systems that SunPower designs, builds, operates, and maintains. Customers hosting the systems buy the electricity from SunPower at prices that are competitive with retail rates, providing them with a long-term hedge against rising power prices and the ability to take advantage of the environmental and financial benefits of solar power with no initial capital investment.
The system at UC Merced is expected to produce two-thirds of the campus' electricity on summer afternoons and 20 percent of its annual electricity needs through the use of net-metering. According to conversion formulas provided by The Climate Registry, the system is expected to avoid more than 45 million pounds of carbon dioxide emissions over the next 30 years. That is equivalent to the emissions displaced from removing more than 3,600 cars from California's roads. Under the terms of the power purchase agreement, UC Merced will be entitled to all environmental attributes and associated reporting rights associated with the system.
The system uses SunPower solar panels, the most efficient solar panels on the market, with the SunPower T20 Tracker(R) system. The Tracker follows the sun's movement during the day, capturing up to 30 percent more sunlight than conventional fixed-tilt systems, while significantly reducing land use requirements.
SunPower has more than 550 large public and commercial solar power systems installed or under contract, representing more than 450 megawatts of solar power generation.
About Wells Fargo
Wells Fargo & Company is a diversified financial services company with $1.2 trillion in assets, providing banking, insurance, investments, mortgage and consumer finance through more than 10,000 stores and 12,000 ATMs and the internet (wellsfargo.com) across North America and internationally. The Company works with thousands of communities across North America to promote economic self-sufficiency, education, social services, the arts and the environment. Since 2005, Wells Fargo has provided more than $5 billion in financing for greener business opportunities, including more than $1.6 billion of equity investments in wind and solar energy projects in the U.S. For more about Wells Fargo's environmental initiatives: www.wellsfargo.com/environment.
About SunPower
Founded in 1985, SunPower Corp. (Nasdaq: SPWRA, SPWRB) designs, manufactures and delivers the planet's most powerful solar technology broadly available today. Residential, business, government and utility customers rely on the company's experience and proven results to maximize return on investment. With headquarters in San Jose, Calif., SunPower has offices in North America, Europe, Australia, and Asia. For more information, visit www.sunpowercorp.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that do not represent historical facts and may be based on underlying assumptions. The company uses words and phrases such as "offers," "helps," "long-term," "rising," "will" and "expected" to identify forward-looking statements in this press release, including forward-looking statements regarding: (a) energy production, efficiency and savings; (b) competitive pricing and a long-term hedge against rising power prices; and (c) environmental benefits. Such forward-looking statements are based on information available to the company as of the date of this release and involve a number of risks and uncertainties, some beyond the company's control, that could cause actual results to differ materially from those anticipated by these forward-looking statements, including risks and uncertainties such as: (i) actual electricity generation; (ii) the actual energy consumption rate; (iii) unexpected changes in utility service rates; and (iv) variations in carbon dioxide emissions reductions. These forward-looking statements should not be relied upon as representing the company's views as of any subsequent date, and the company is under no obligation to, and expressly disclaims any responsibility to, update or alter its forward-looking statements, whether as a result of new information, future events or otherwise.
SunPower is a registered trademark of SunPower Corp. All other trademarks are the property of their respective owners.
SOURCE SunPower Corp.
http://www.sunpowercorp.com
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