Power Business Overview

Sumitomo Corporation of America's (SCOA) Power Business Unit conducts business in a broad range of areas in the power industry.

In the power generation industry, SCOA through its subsidiary jointly owned with Sumitomo Corporation (SC), Perennial Power Holdings, Inc. (PPH) is focused on acquiring generation assets through acquisitions or by developing new power plants (green field). Perennial Power Holdings has the capabilities and resources to provide operation and management resources to the power plants. This combination has distinguished PPH from other investors in the power market.

In 2002, Perennial Power Holdings acquired 25% of the Hermiston Generating Plant, a 474 Megawatt natural gas facility, located in Eastern Oregon and entered into a partnership with PacifiCorp (co-owner and off-taker). In 2004 Perennial Power Holdings increased its investment to 50% and also became the plant operators of the facility. The Hermiston Generating Plant is a stellar example of PPH's business model for future acquisition and development plants.

Perennial Power Holdings is a part of SC's global power generation portfolio of 2772 Megawatts. Perennial Power Holdings is slated to increase its own portfolio to 2000 Megawatts by 2010 through a mixture of acquisition and developments. In partnership with SC, Perennial Power Holdings and SCOA can also provide support to U.S. generation companies who are looking to expand their markets into Asia, Latin America, and Europe.