FRESNO, Calif. – October 7, 2008 – Gap Inc. (NYSE: GPS), MMA Renewable Ventures, a subsidiary of Municipal Mortgage & Equity, LLC (OTC: MMAB.PK), and SunPower Corporation (Nasdaq: SPWRA, SPWRB), today joined with local officials in unveiling a one megawatt (MW) solar power system at Gap Inc.’s West Coast distribution center campus. The installation, one of the largest in Northern California, features a ground-mounted solar tracking system on a five-acre site, and is expected to offset 2.5 million pounds of greenhouse gas emissions annually, the equivalent of taking 2,466 vehicles off the road over the life of the project.
“We are very excited this solar power system is now online,” said Kindley Walsh Lawlor, senior director of strategic planning and environmental affairs for Gap Inc. at today’s dedication ceremony. “We made the commitment to host this solar system nearly 15 months ago and are proud to support the clean energy it generates. Over the past decade, Gap Inc. has sought to find better ways to do business and this solar installation is one such shining example.”
MMA Renewable Ventures, which owns and operates the system, joined with Gap Inc. to develop an innovative partnership, leveraging tax credits and incentives, to finance the solar power system. This enables Gap Inc. to buy the power generated from the system through a long-term contract known as a power purchase agreement (PPA) – rather than through a major capital investment. MMA Renewable Ventures owns the renewable energy credits and environmental attributes associated with the system.
"This project demonstrates that solar systems deliver dependable power and long-term cost savings," said Matt Cheney, CEO of MMA Renewable Ventures. “Gap Inc. joins with several of the country's top retailers in deploying solar; we commend their visionary commitment to renewable energy systems. By securing power through a power purchase agreement, Gap Inc. will benefit from cost savings from the system’s very first day of operation – and for years to come.”
Designed and installed by SunPower, SunPower® Tracker system follows the sun’s movement during the day, increasing sunlight capture by up to 25 percent over conventional fixed-tilt systems, while significantly reducing land use requirements.
“We congratulate Gap Inc. on their decision to convert five acres of unused land on the Fresno campus for the production of clean, renewable solar power,” said Howard Wenger, SunPower’s president, global business units. “High-efficiency SunPower Trackers will maximize the energy production on the site, while an affordable PPA will provide the facility with a hedge against rising utility rates.”
More information about Gap Inc.'s efforts to reduce its impact on the environment can be found in the company’s 2005-2006 Social Responsibility Report. The report is available online at www.gapinc.com/socialresponsibilityreport.