shorebank pacific altering the profile of the future april 20, 2002

ShoreBank Pacific

Altering the Profile of the Future

April 20, 2002

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• Bioregion (coastal temperate rainforest) has the highest standing biomass in the world & other abundant resources

• Existing industries can be led to sustainable practices

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Vision Statement

ShoreBank Pacific profitably assists businesses and through them, their communities, to be sustainable through their economic, social and environmental practices.

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Current Growth

March 31, 2001 March 31, 2001

($000) ($000)

Total assets 23,798 45,762

Net loans 11,821 18,377

Deposits 18,941 39,146

Equity 4,632 4,036

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Skills Essential to Success

Firmly grounded in natural science

Solid business acumen

Full understanding of banking

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Key Areas for Evaluating Perpetual Activities

Process: Natural Productivity

– AKA Green plants and microbes rule

Process: Green chemistry / Engineering

Process: Efficiency

Community: Diversity & Stability

Landscape: Spatial Conservation

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Natural Productivity

Use of basic materials that are

produced by natural synthesis,

at levels necessary to maintain

good ecological health.

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Natural Productivity: Goals

Promotes sustainable natural synthesis

Supports essential ecosystem goods & services

Supports traditional, yet sustainable land use

Uses conservation easements and other tools to

protect open lands, keep operations profitable

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Natural Productivity: Biz Areas

Organic / Sustainable land management methods:

[e.g. organic dairy farm]

Compost, fertilizer production from organic waste

Local & direct sales of food & goods

Value-add to natural production

Bioremediation

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Green Chemistry/ Engineering

Reducing use and emissions of toxic materials, metals, fossil fuels, and

synthetic, persistent toxic materials and

substances.

Enhancing the use of renewable energy, materials and substances in processes,

goods and services.

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Green Chemistry: Goals

Materials efficient designs

Mimicking nature to create processes & materials that are reusable, recyclable, solar-based

Increased diversity of reusable materials

Improved quality, especially of food

Recycling

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Green Chemistry: Biz Areas

Energy & materials efficient production processes,

technologies

Effective monitoring & control systems

[e.g. combustion technology]

Green construction methods that reduce materials use, solid waste, including rehabilitation

Local value-added processing

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Efficiency

Eliminating waste at the source.

Enhancing reuse, re-manufacturing, internal and

external recycling.

Increasing efficiency by which natural resources

are extracted, processed and used.

Using efficient and effective alternative energy

systems.

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Efficiency: Goals

Conserves energy, reduces need for energy,reduces ecosystem disruption

Conserves embodied energy

Does not degrade essential ecosystem services

Durability

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Efficiency: Biz Areas

Energy production on-site, distribution, storage, or produces alternative energy devices

Green construction

Reduces process consumption in existing or new

plant (materials – energy – water – waste)

Efficient transportation [e.g. car share]

(mass transit, train, bicycle, other)

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Community Diversity & Stability

Enhancing business development, economic

competitiveness, job creation, fairness in

resource use and distribution to meet basic

human needs, public safety, health care and

education, consistent with other principles.

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Community Diversity & Stability: Goals

Connects worker to community, landscape

Protects all members, which conserves resource of

each to larger community

Values each member within larger community

Promotes stability and diversity of local economy

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Community Diversity & Stability: Biz Areas

Widens skilled job base, family-living wages

[e.g. cell center]

Builds, remodels, renovates low-income housing

Improves health, safety, worker conditions, job safety,well-being of community

Biz development & ownership among under-

supported groups

Widens home & land ownership base

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Landscape – Spatial Conservation

Conserving, protecting, and restoring

productivity, capacity and diversity

to levels necessary to maintain

ecological health.

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Landscape: Goals

Improves, supports and diversifies existing community

Reduces exposure to recurrent natural disasters

through location and construction methods

Protects open land, attendant ecosystem services, traditional uses

Conserves, restores functional landscapes

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Landscape: Biz Areas

Infrastructure projects – water, sewer, communications, data & energy

In-fill, rehabilitation of structures, brownfield reuse, green rehabilitation

Redesign of communities for increased efficiency, resilience & durability

Methods of power production, distribution, storage that are ecologically appropriate to landscape

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Assessing a Loan – Example

Client makes overlays for panels with reduced organic solvents (<75 %), line of credit and refinance loans total $800,000.

Scores range from 0 (not applicable) to 3(high) Score

Process 1 – Natural Productivity 0

Process 2 – Green chem / engineering 3

Process 3 – Efficiency 3

Community 2

Landscape 0

Total 8

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Loan Portfolio: December 31, 2001

$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

0 1 2 3 4 5 6 7 8 9 10 11

Score

Lending portfolio sorted by scores based on mission evaluations,for period ending December 31, 2001.

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Loan Portfolio: December 31, 2001

Not mission-related

Natural productivity

Green Chemistry

Efficiency

Landscape

Community30%

32%

10 %

7 %

4 %

17 %