SAN FRANCISCO — May 4, 2011 —
Sunrun, the nation's leading home solar company, today announced it received an additional commitment of tax equity from a subsidiary of U.S. Bancorp (NYSE: USB) to support the purchase of $200 million in residential solar systems. This commitment is U.S. Bancorp’s largest renewable energy tax equity fund to date. A market leader, Sunrun installs over $1 million in residential solar every day to meet demand for its solar power service. One in eight families who switched to solar in 2010 chose Sunrun.
Sunrun owns, installs, and maintains home solar panels so families don’t have to pay $30,000 or more for them. Homeowners pay a low monthly rate for clean power and Sunrun takes care of everything else. In addition, Sunrun customers lock in their monthly electric rates for 20 years. An average Sunrun solar power service customer can save tens of thousands of dollars over the life of the agreement.
“This transaction affirms U.S. Bancorp’s confidence that Sunrun is a strong leader in a stable, fast-growing market,” said Sunrun CEO and Co-founder Edward Fenster. “U.S. Bancorp has been our trusted partner for years and is instrumental in Sunrun's continued success as the largest provider of clean, affordable solar energy for American families.”
“It’s critical for U.S. Bancorp to have an existing portfolio of proven renewable energy investments as we expand our financing in the space, and Sunrun is a core part of that base,” said Darren Van’t Hof, director of renewable energy investments for U.S. Bancorp. “With strong management and a solid business model, Sunrun exemplifies the partners we look for to help facilitate the growth of the renewable energy industry.”
This tax equity commitment, Sunrun’s fifth and largest transaction with U.S. Bancorp, is supported by the 1603 Treasury Grant Program. By allowing renewable energy projects to utilize a cash grant of equal value to the Investment Tax Credit, the 1603 program helped stimulate $9 billion of new investment in clean energy in the U.S. in 2009. As the only home solar company to have never run out of project financing, Sunrun continues to expand and announced its Oregon launch last week. The company now makes solar affordable for families in eight U.S. states: Arizona, California, Colorado, Hawaii, Massachusetts, New Jersey, Oregon, and Pennsylvania.
Sunrun, the nation’s leading home solar company, is the smart and affordable choice for homeowners who want a clean alternative to their utility. Sunrun offers solar power service, similar to a lease, allowing homeowners to upgrade their home to solar for as little as $0 upfront and simply pay monthly for solar electricity. More than 11,000 homeowners have chosen Sunrun across Arizona, California, Colorado, Hawaii, Massachusetts, New Jersey, Oregon, and Pennsylvania. Sunrun partners with over 25 leading local solar installers, who together employ more than 3,000 green-collar workers. Sunrun has raised financing for more than $600 million in solar systems from PG&E Corporation and U.S. Bancorp and $85 million in venture capital from Accel Partners, Foundation Capital and Sequoia Capital. For more information, please visit:www.sunrunhome.com.
About U.S. Bancorp
With $311 billion in assets as of March 31, 2011, U.S. Bancorp is the parent company of U.S. Bank, the fifth largest commercial bank in the United States. The company operates 3,082 banking offices in 25 states and 5,238 ATMs and provides a comprehensive line of banking, brokerage, insurance, investment, mortgage, trust and payment services products to consumers, businesses and institutions. Visit U.S. Bancorp on the web at www.usbank.com.
U.S. Bancorp is a recognized leader in financing a variety of renewable energy projects, building on its experience in other tax credit equity investments, including affordable housing, new markets, and historic tax credit investments. U.S. Bancorp has committed more than $400 million of renewable energy tax equity to finance over $800 million of renewable energy projects in the United States primarily in the solar market, and in select opportunities in the wind energy market.