A financial summary for the Development of the Red Barn Wind Project.

1. FINANCIAL PROPOSAL
RED BARN WIND PROJECT
19997 Y City Rd, Gentry, AR 72734

2. Winds of Change Leaseholding, LLC ha
9/2009
1. Summary:
land in Northwest Arkansas for the purpose of developing a
using 8 – 2.5MW Nordex N90 wind turbines. Winds of Cha
LLC is developing the site for an Operations Partner to purch
wind farm in accordance with a contract agreement.
10/2009
2. Business Concept: The business concept is to de
where it is most abundant in Arkansas in partnership with the
By choosing the 20MW size for a project we are able to redu
and still have the necessary economies of scale which make l
11/2009
more profitable. With the landowners having ownership in t
to gain much more social acceptance and ease in regulation.
3. Summary of Lease: The wind energy lease agre
12/2009
and automatically renewed for a subsequent 20 year period.
landowners of the Red Barn Wind Project is based off of a m
agreement from New York. The lease was modified to inclu
lease applicable to meet landowners needs which included se
CHARTS
APPENDIX C: MAPS
APPENDIX B: PROJECT ASSUMPTIONS
PROPOSAL FOR FINANCE
APPENDIX A: PROJECT SUMMARY
RED BARN WIND PRO FORMA
CONTENTS
project has already accomplished. The final milestone is the
Date which must occur before April 2013.
1/2010
The Commencement date is determined as the official start o
Phase of the project where construction begins, all landowne
2/2010
Acre.
The Annual Lease Payments are equal to $50/acre + $2,500
MWh(estimated between $8000 and $8500) produced by tur
payment is distributed to those within a designated radius of
3/2010
4. Description of Leased land: Some of the l
1 is being leased from 9 signatories representing 560 acres of
rural Benton County, Arkansas. It is between the towns of D
AR. The Wildlife Wilderness Drive Thru Safari is to the we
to the East. The land leased is in a rectangular shape giving
row of wind turbines. The current land use is for pasture lan
4/2010
and to raise chickens. The neighboring sites adjacent to the

3. Turbine Model Nordex N90 2.5MW
Net Capacity Factor (Years 1-20) 34%
Total kWh Produced (Years 1-20) 1,188,325,502
PPA $0.0540
C-BED PPA (NPV) $0.0000
1
Green Tag Rate $0.0000
WINDS OF CHANGE LEASEHOLDING LLC has leased 560 acres of land in North West Arkansas for the purpose of devel-
PROPOSAL FOR FINANCE
openingTotal Installed Cost using (8) 2.5MW Nordex N90 wind turbines. Winds of Change Leaseholding, LLC is developing the site for
a 20 MW wind farm $38,720,000
an Operations Partner to purchase and operate the wind farm in accordance with a contract agreement.
2
Local Investor Contribution $182,000
The BUSINESS CONCEPT is to develop wind energy where it is most abundant in Arkansas in partnership with the local
Local Investor IRR 45%
$501,133
Local Investor Return (NPV) project allows us to reduce many costs while producing results that make large wind farms
community. The smaller size of this
profitable. With the landowners and community having ownership, the social acceptance and regulation is well received.
Equity Investor Contribution $26,000,000
3
Equity Investor IRR 19%
The WIND ENERGY LEASE is a 25 year$6,604,547 which automatically renews for a subsequent 20 year period. The lease
Equity Investor Return (NPV) agreement
signed by landowners of the Red Barn Wind Project is similar to a model wind lease in New York. Some of our modifications include
expirations onRate leaserevenues) to meet landowner’s needs which included several milestones, of which most are completed. The
O & M the (% of applicable 9.3%
final milestone Cost per kW
Capital is the Commencement Date, which must occur beofre April 2013.
$1,936
The final commencement date is determined as the official start of the Operations Phase of the project. When construction begins all
IRR (Years 1-20) 22%
landownersPresent Value per acre.
Net recieve $75 (Years 1-20) $13,538,953
The Annual Lease Payments are equal to $50/acre + $2,500 per Turbine + $1 per MWh (estimated between $8,000 and $8,500)
produced by turbine on property. This payment is distributed to those within a designated radius from the wind turbine.
4 The LEASED LAND has 9 signatories representing 560 acres of land. The land is in rural Benton County, Arkansas (refer to
Appendix C) between Decatur and Gentry, AR. The Wildlife Wilderness Drive Thru Safari is to the West and Highway 59 is to the East.
The land leased is in a rectangular shape giving way for an East/West row of wind turbines. The current land use is for pasture land to
graze livestock and raise chickens. The sites adjacent to the wind turbine sites have been leased in most, but not all instances to further
involve the community.
5
The WIND DATA was gathered from 8 different sites and averaged. Refer to Appendix C for Map Images.
WIND
SPEED AVG. MPH
SITE M/S @ 100M
1 7.66 17.1584
2 7.5 16.8
3 7.6 17.024
4 7.65 17.136
5 7.6 17.024
6 7.6 17.024
7 7.47 16.7328
8 7.62 17.0688
AVG. 7.63625 17.1052
2105 1st Ave S, Minneapolis, MN 55404
Toll Free: 1-800-946-3640 Phone: 612-870-3461 Fax: 612-813-5612
info@windustry.org www.windustry.org
1

4. Turbine Model Nordex N90 2.5MW
Net Capacity Factor (Years 1-20) 34%
Total kWh Produced (Years 1-20) 1,188,325,502
PPA $0.0540
C-BED PPA (NPV) $0.0000
6
Green Tag Rate $0.0000
The DEVELOPMENT as of July 2010 has accomplished many of its primary beginning goals and many processes will be ongoing.
PROPOSAL FOR FINANCE
The long-term leases Cost
Total Installed on proposed facility land$38,720,000
were signed in February 2009. Notice of funding was recieved September 2009 for a
grant of $41,000 to be received after 75% of project funding is secured. One year wind measurement on site started August 2009.
Transmission Investor Contribution
Local study started May 2010, (60days)(30days)(30 days). Preliminary construction cost estimates May 2010.
$182,000
7
Local Investor IRR 45%
Local Investor Return (NPV)
Winds of Change Leaseholding, LLC is a MANAGER
$501,133 MANAGED Limied Liability Company divided into three classes:
Landowner, Investor, and Management. Long term decisions are discussed with all members and each class appoints one member to
$26,000,000
be a representative of Contribution vote for their class regarding long term decisions.
Equity Investor that class to
Equity Investor IRR 19%
The daily operations and decisions
Equity Investor Return (NPV) are the responsibility of the Manager, Mr. Nathan Wilson. A graduate of the University of Central
$6,604,547
Arkansas with a Bachelor’s of Business Marketing and a Master’s of Business Administration; Mr. Wilson began networking with wind
professionals at the American Wind Energy Association (AWEA) conference in 2007 and is now an Advocate Member.
O & M Rate (% of revenues) 9.3%
Capital Cost per kW $1,936
Nathan continued with Wind Site Assessment Training in St. Paul, Minnesota with a noted wind professional, Mick Sagrillo. Having
performed site assessments in other regions of America, Mr. Wilson assessed in 2007 that the now named Red Barn Wind Project site
IRR (Years 1-20) 22%
could produce windValue (Years a large scale development.
Net Present energy for 1-20) $13,538,953
Management compensation has been set at $1000/month through the development phase to cover the expense of an office and living
costs.
8
STATEMENT of ASSETS & LIABILITIES :
Assets Liabilites
560 Acres Leased Outstanding Legal Fees - $3,000
Public Support
Triton SODAR Wind Data (August 2009 - Current)
Triton SODAR Deposit - $5,832
Transmission Study Deposit - $5,000 - $20,000 (estimated cost of feasibility study)
USDA REAP Grant - $40,000 (25% of project costs)
Securities Offering Exemption from Registration
2105 1st Ave S, Minneapolis, MN 55404
Toll Free: 1-800-946-3640 Phone: 612-870-3461 Fax: 612-813-5612
info@windustry.org www.windustry.org
2

5. Turbine Model Nordex N90 2.5MW
Net Capacity Factor (Years 1-20) 34%
Total kWh Produced (Years 1-20) 1,188,325,502
PPA $0.0540
C-BED PPA (NPV) $0.0000
9
Green Tag Rate $0.0000
TOTAL DEVELOPMENT COSTS
PROPOSAL FOR FINANCE
Total Installed Cost $38,720,000
WIND STUDY $70,000
Local Investor Contribution $182,000
TRANSMISSION STUDY
Local Investor IRR 45% $45,000
ENVIRONMENTAL(NPV)
Local Investor Return STUDY $501,133 $30,000
PRE CONSTRUCTION
Equity Investor Contribution $26,000,000
$6,000
LEGAL EXPENSES
Equity Investor IRR 19% $14,000
ACCOUNTING EXPENSES
Equity Investor Return (NPV) $6,604,547 $1,000
OVERHEAD EXPENSES
O & M Rate (% of revenues) 9.3% $17,000
Capital Cost per kW $1,936 $182,000 TOTAL
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IRR (Years 1-20) 22%
STATEMENT OF FINANCIAL NEEDS: An additional $34,000 of funds needed to recieve the USDA REAP Grant award of
Net Present Value (Years 1-20) $13,538,953
$41,000. With this additional $75,000 we will be able to fully develop the project by completing the wind study, two more transmission studies,
environmental studies, legal expenses, accounting, and overhead.
2105 1st Ave S, Minneapolis, MN 55404
Toll Free: 1-800-946-3640 Phone: 612-870-3461 Fax: 612-813-5612
info@windustry.org www.windustry.org
3

6. Turbine Model Nordex N90 2.5MW
PROJECT SUMMARY
Net Capacity Factor (Years 1-20) 34%
Total kWh Produced (Years 1-20) 1,188,325,502
PPA $0.0540
C-BED PPA (NPV) $0.0000
Green Tag Rate $0.0000
Total Installed Cost LLC
.95% Development, $38,720,000
Project Summary
(Landowners and Developer
non revenue recieving) $182,000
Local Investor Contribution
APPENDIX A
Local Investor IRR Investors
.05% Development 45%
a tions,
LLC
oper
Local Investor Return (NPV) $501,133
Project Name Red Barn Wind
99%
Equity Investor Contribution $26,000,000 Project Size (MW) 20
Equity Investor IRR 19% Turbine Model Nordex N90 2.5MW
operation
PRE-FLIP
Equity Investor Return (NPV) $6,604,547 Net Capacity Factor (Years 1-20) 34%
ownership
O & M Rate (% of revenues)1% 9.3%
Total kWh Produced (Years 1-20)
PPA
1,188,325,502
$0.0540
Capital Cost per kW $1,936
approximately C-BED PPA (NPV) $0.0000
IRR (Years10yrs
1-20) 22% Green Tag Rate $0.0000
OWNERSHIP
Net Present Value (Years 1-20) $13,538,953
Total Installed Cost $38,720,000
Local Investor Contribution $182,000
Local Investor IRR 45%
Local Investor Return (NPV) $501,133
Equity Investor Contribution $26,000,000
Equity Investor IRR 19%
Equity Investor Return (NPV) $6,604,547
POST-FLIP
10%
community O & M Rate (% of revenues) 9.3%
ownership Capital Cost per kW $1,936
IRR (Years 1-20) 22%
Net Present Value (Years 1-20) $13,538,953
dev
90%
elopment, LLC
5% Operations Investors
5% Development Investors
2105 1st Ave S, Minneapolis, MN 55404
Toll Free: 1-800-946-3640 Phone: 612-870-3461 Fax: 612-813-5612
info@windustry.org www.windustry.org
4