GWU Solar InstituteJim Torpey

April 26, 2011

Changing the Way the World Is Powered

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Safe Harbor StatementThis presentation 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. SunPower uses words and phrases such as "expects," “believes,” “plans,” “anticipates,” "continue," "growing," "will," to identify forward-looking statements in this presentation, including forward-looking statements regarding: (a) plans and expectations regarding the company’s cost reduction roadmap, (b) cell manufacturing ramp plan, (c) financial forecasts, (d) future government award funding, (e) future solar and traditional electricity rates, and (f) trends and growth in the solar industry. 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) the company's ability to obtain and maintain an adequate supply of raw materials and components, as well as the price it pays for such; (ii) general business and economic conditions, including seasonality of the industry; (iii) growth trends in the solar power industry; (iv) the continuation of governmental and related economic incentives promoting the use of solar power; (v) the improved availability of third-party financing arrangements for the company's customers; (vi) construction difficulties or potential delays, including permitting and transmission access and upgrades; (vii) the company's ability to ramp new production lines and realize expected manufacturing efficiencies; (viii) manufacturing difficulties that could arise; (ix) the success of the company's ongoing research and development efforts to compete with other companies and competing technologies; and (x) other risks described in the company's Annual Report on Form 10-K for the year ended January 3, 2010, and other filings with the Securities and Exchange Commission. 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

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Commercial Power PlantsResidential

>1 GW solar PV deployed

>1000 dealers and growing rapidly

2010 revenue of $2.2 billion

5,000+ Employees; 100% solar

550 MW 2010 production

Diversified portfolio: roofs to power plants

4+ GW power plant pipeline Publicly listed NASDAQ: SPWRA, SPWRB

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Superior Performance, Superior Quality

World’s Most Efficient Solar Cell

SunPower ® T20 TrackerSunPower ® T10 Roof TileSunPower SunTile®

Residential Rooftop Commercial Rooftop Ground Systems

Class A Fire Rated Up to 10% More Power Up to 30% More Power© 2010 SunPower Corp.

Muehlhausen, Germany, 6 MW

Olivenza, Spain18 MW

Serpa, Portugal11 MW

Isla Mayor, Spain8 MW

Jumilla, Spain23 MW

Over 250 MW of power plants installed in Europe

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Montalto, Italy 24 MW © 2010 SunPower Corp.

SunPower Corporation

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SunPower SupplierMajor SunPower Office/ Facility

SunPower Dealer Partners# of SunPower Large-Scale Installed Systems

1

1

15

2

3 5

14

183

131 2

11

3

8

2

25

1

2

2

22

3

71

3

2

6

10

2

1

1

2

4

1

1

8

10

10

4

3

1

4

15

31

1

9341

9

17

29

4

4

3

1

12

2

1

1

14

8

91

22

1

12

2

1

3

1

2

1

2

2

32

2

SunPower’s US Jobs Growth

2004 US: 40 2009 US: 650 2010 US: 850

2010 Dealers: >400 2011 CVSR: 100s

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© 2010 SunPower Corp.

2011 Manufacturing Plant Milpitas CA:

100 jobs

Solar PV History

0

3,000

6,000

9,000

12,000

15,000

1978 1983 1997 2000 2004 2007 2008 2009 2010F

Annual Global PV Additions (MW)

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>1 >10 >100 >250>1,000

>3,000

5 yrs 14 yrs 3 yrs 4 yrs 3 yrs

>5,000

~8,000

~15,000

Crystalline Silicon PV Returns to Learning Curve

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Last 4 data points: the Prometheus Institute

1

10

100

1 10 100 1000 10000 100000

Mod

ule

ASP

(200

8$)

Cumulative Production (MW)

1979$33/W

2008$3.17/W

Silicon Shortage

81% Progress Ratio

2012$1.40/W

Panel Average Sales Price (ASP) 2008$

- Thinner wafers 300 145 microns- Efficiency 16% 22+%- Factories 100MW 1,000MW © 2010 SunPower Corp.

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Solar PV Power Plants Are Cost Competitive

0 50 75 100 150 200 250 300 350 400Levelized Cost ($/MWh)

Renewables

Conventional

$86 - 192

$119 - 194

$65 - 110

$231- 254

$67-96

Gas Peaking

Gas CC

Wind

Solar Thermal

Solar PV

LCOE by Resource $/MWh: 2010 - 2013

Prices include federal incentives Source: Lazard Capital Markets 6/2010

$77-114Nuclear

$69-152Coal

4.2 GW PV in 2009…10+ GW in 2010

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Source: EWEA, February 2010

European 2009 New Installed and Retired Capacity (MW)

Lower PV Costs Customer Driven Adoption

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Source: NREL, Break-Even Cost for Residential Photovoltaics in the United States: Key Drivers and Sensitivities (2009)

2010-2015: PV = #1 or #2 New Power Resource

Slow growth in new capacity creates opportunity for PV to gain share By 2015, PV in range of global wind additions in 2009 2015+ coal retirements = 50 GW of incremental opportunity in U.S. PV must prove it can be a major power resource (demand & supply) Supply will be there: will demand disruption undercut industry health?

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Global Annual MW

Global Cumulative

MW

US Annual MW

US Cumulative

MW2009 8000 20,000 441 1,6002010 15,000 35,000 1,000 2,6002015 25-35 GW >100 GW 10 GW 20 GW