Michael Callahan P.E.Cofounder

PowerMundo, LLC (USA)PowerMundo, SAC (Peru)

Improving Lives, Conserving Nature

“Six ideas for changing the world” - CNN/Money

Support from Advisors and Investors

ProblemProblem

Access

America 1908

SolutionSolution

Deliver:

• Cost Saving Products

• Credit

• Income

ProblemProblem

Access

Peru 2008

SolutionSolution

Deliver: • Cost Saving Products• Credit • Income

Benefits of 100+ years• Almost 1 cell phone/person in Peru

• Internet cafés , VOIP , PayPal

• buses, freight forwarders

Logistics Co.

Operations & Alliance with Retailers Operations & Alliance with Retailers

Public buses

Retail Outlets End User

Additional Alliances: Additional Alliances:

• Promotion• Credit to resellers• Credit to consumers

Role of Prisma Microfinance:

Role of Technoserve:

• Entrepreneurship training• Micro franchise support

Business Model – Profit MotiveBusiness Model – Profit Motive

Purchase

FOB

China

Sell to

Retailer

&

Carbon broker

Sell to reseller

or

end user

Sell to end user

$15 $25 $30 $35

$10/yr

Kerosene lamp

$180 in 1 year

$900 for 5 years

Harmful Emissions & Burns

Solar Light & Phone Charger

$39 for 1 year = 5x

$52 for 5 years* =17 x

Zero Emissions

Customers Save Money

Value to the CustomerValue to the Customer

Improving Life, Conserving Nature * (assumes 3 rechargeable battery replacements, time value of money not included)

ReachingReaching thethe CustomerCustomer

• Word of Mouth & Sales People

• Radio Programs

• Partners: NGO’S, MFIs, Government, Universities

Example ProductsExample Products

Single Trusted Brand, Price & Product Diversity

First Second Third

Product SubstituteProduct Substitute

Typical homemade kerosene

lampPeru Outlaws Kerosene

Peruvian Vice Minister of Energy

Competitive AdvantageCompetitive Advantage

3 year Alliances with Government, Retailers &Suppliers

Economies of Scale

Supplier Exclusivity Agreements

MarketMarket inin SpanishSpanish SpeakingSpeaking LatinLatin AmericaAmerica

Number of people using biomass fuel for cooking

0 2,000 4,000 6,000 8,000 10,000 12,000 14,000

Mexico

Peru

Guatemala

Honduras

Paraguay

Nicaragua

Bolivia

El Salvador

Panama

Costa Rica

Ecuador

people in 1000's

MarketMarket inin SpanishSpanish SpeakingSpeaking LatinLatin AmericaAmerica

Number of People Without Access to Electricity

0 2,000 4,000 6,000 8,000

Peru

Mexico

Guatemala

Bolivia

Honduras

Nicaragua

Ecuador

El Salvador

Paraguay

Panama

Costa Rica

People in 1000's

Peru Target MarketsPeru Target Markets

Region in Peru

Rural Electrical Coverage

Total pop. in 1000’s

North Coastal Market

PIURA 9% 1,676CAJAMARCA 10% 1,387LA LIBERTAD 14% 1,617

LAMBAYEQUE 17% 1,112

Total 5,794

Mountain Market

PUNO 29% 1,268AREQUIPA 32% 1,152ANCASH 33% 1,063CUSCO 34% 1,171

JUNIN 43% 1,232

Total 5,888

Distribution Innovation and ScaleDistribution Innovation and Scale

• Sears - $47,000 M

• Wal-Mart - $406,000 M

• Amazon – $19,000 M

• EBay – $9,000 M

PowerMundo in five years:

$21 M in sales

2 countries

Supplier Comparisons & Tech TransferSupplier Comparisons & Tech Transfer

Envirofit International

$28 million capital

10 million stoves in five years

Dlight Design

$6 million Series A funding

10 million lights by 2010

FreePlay Energy

500,000 units sold last year

Colorado State

Stanford

ManagementManagement Team and AdvisorsTeam and Advisors

Michael Callahan Purchasing & Funding

Giuliano GiardinoLogistics & Sales

Julio Mickle Peru Management

Dr. Ken PetersenSupply Chain Management

Paul Polak17 million out of Poverty

Jim WelchWorldwide Solar Business

Current Statustatus

• 70% of funds for inventory

• Seeking $75,000

• Selling products in Peru, backlog

• Multiple 1st place awards, prize money, grants

• Obama, Chu $85 M for $350 M fund

Imagine Improving Millions of LivesImagine Improving Millions of Lives

Contact us at: www.powermundo.com