Community Bio-Refineries An Investor Center for a More Sustainable Future

Roles and responsibilities for Community BioRefineries will be executed initially through a combination of hired management and contracted professional assistance. Once the needed capital is obtained, the following personnel will be added full-time: two full-time technicians, a biochemist, and a microbiologist.

Also, microbiologists and bio-chemical PhDs from Ohio State University will be retained part-time to complete the biochemical fermentation Pilot/Demonstration site. At least one senior manager (e.g., New Business Director or Controller) and a corporate sales director will also be added. One or several process and/or and civil engineering firms will be retained to complete engineering designs of the initial CBR facility.

The CBR Boards of Managers and Advisors will provide initial management and guidance to Missouri CBR Joint Venture, LLC, throughout Phase I, II, and possibly Phase III. We expect to fill organic management positions by the completion of Phase I, continuing through Phase II. We anticipate that by Phase III, the key positions will be filled. Missouri CBR Joint Venture, LLC shall select its own Board of Managers, including participation from the parent company (CBR) and investors. These relationships are more fully described within the Business Plan and Private Placement Confidential Memorandum.

Community Bio-Refineries LLC and Environmental, Social and Governance (ESG) Issues and Criteria.

Environmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. Environmental criteria consider how a company performs as a steward of nature. Social criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. Governance deals with a company’s leadership, executive pay, audits, internal controls, and shareholder rights. ESG investing is sometimes referred to as sustainable investing, responsible investing, impact investing, or socially responsible investing.

Until such time as the proliferation of CBR and/or HBR-focused plants no longer require outside capital to fund such facilities, Community Bio-Refineries must remain mindful that investor concern over ESC criteria has evolved to make many investment decisions based partially, if not entirely, upon these criteria.

To that end, CBR (parent company) and all CBR/HBR facilities over which CBR (parent) maintains 50% or greater ownership shall conduct their business activities as they pertain to ESG criteria as follows:

• Environmental criteria may include the company’s energy use, waste, pollution, natural resource conservation, and treatment of animals. (The criteria can also be used in evaluating any environmental risks a company might face and how the company is managing those risks.)

The very structure of the CBR Process creates an environmental model which far exceeds that of most other companies, particularly within the biofuels industry and has been pointed out by EPA officials as a standard by which all companies should conduct their operations.  Even so, we must never take our responsibilities for granted.

• Social criteria look at the company’s business relationships. Does it work with suppliers that hold the same values as it claims to hold? Does the company donate a percentage of its profits to the local community or encourage employees to perform volunteer work there? Do the company’s working conditions show high regard for its employees’ health and safety?

CBR shall, in all circumstances, conduct its business with vendors and contractors without regard to race, color, or creed – without exception.  Community Bio-Refineries LLC (parent) has emplaced a program to give back a portion of its net revenues to the communities which have supported the placement and operation of CBR/HBR facilities.  Such funds may not be used in any way for the benefit of the CBR/HBR facility and use of such funds shall be determined by community itself for whatever application is most appropriate to their circumstances. Volunteer work by any employee shall be exclusively based on the desire and availability of said employee toward whatever cause or event is important to the employee, provided such volunteer work is not in support of any activity which is contrary to the smooth or efficient operation of any CBR-related plant.  CBR management, at all levels, shall absolutely not engage in any activity designed to influence the political perspective, preference or legitimate action of any employee.  Health and safety concerns are, by design, built into each CBR/HBR facility to remain in compliance with OSHA, EPA and USDA standards.

• As for Governance criteria, investors may want to know that a company uses accurate and transparent accounting methods and that stockholders are given an opportunity to vote on important issues. They may also want assurances that companies avoid conflicts of interestin their choice of board members, don't use political contributions to obtain unduly favorable treatment and, of course, don't engage in illegal practices.

All fiscal activities and record keeping shall be the purview of a third-party accounting firm which specializes in corporate level financial activities.  CBR is a Limited Liability Corporation and shall remain, for the foreseeable future, a private organization and shall keep its internal records, including investor data, financial data, and any sensitive scientific information and materials private.  Upon counsel review and decision, CBR will make such records available to such parties as may be legally required.  Board member selection shall be based upon personal qualifications, past support of the company, and potentially (as appropriate) appointment by an investor group provided that the appointment is not in conflict with the company.