Tecogen Inc. (NYSE: TGEN)

Tecogen Inc. designs manufactures markets and maintains high efficiency ultra-clean cogeneration products including natural gas engine driven combined heat and power systems chillers and heat pumps for multi family residential commercial recreational and industrial use.

Tecogen generates revenue through the sale of its products provision of services and production of energy under long term agreements The company sells cogeneration systems chillers and engineered accessories directly to end users via its in house sales team and established sales agents and representatives It provides operations and maintenance services for its products under long term service contracts Additionally through its acquisition of American DG Energy Inc Tecogen installs owns operates and maintains complete distributed generation electricity systems at customer sites and sells electricity hot water heat and cooling energy under long term contracts at prices guaranteed to be below conventional utility rates.

The company operates through the following segments: Products Services and Energy Production.

• The Products segment designs manufactures and sells industrial and commercial cogeneration systems chillers and heat pumps as well as engineered accessories.

• The Services segment provides operations and maintenance services for Tecogen products under long term service contracts.

• The Energy Production segment sells energy in the form of electricity heat hot water and cooling to customers under long term sales agreements derived from distributed generation systems owned and operated by Tecogen at customer sites.

Tecogen holds a competitive position in the cogeneration and distributed generation markets due to its patented Ultera technology which nearly eliminates criteria pollutants such as NOx and CO Its systems achieve greater than 88 percent efficiency compared to typical electrical grid efficiencies of 40 to 50 percent resulting in greenhouse gas emissions per kWh that are typically half that of the electrical grid This efficiency translates to energy cost savings of up to 60 percent for customers The company differentiates itself through its ability to provide resiliency from utility power outages and significant carbon footprint reduction.

Tecogen serves a diverse customer base including hospitals and nursing homes colleges and universities health clubs and spas hotels and motels office and retail buildings food and beverage processors multi unit residential buildings laundries ice rinks swimming pools factories municipal buildings military installations and indoor growing facilities.