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INCR Releases New Investor Guide to Climate Risk

13 August, 2004

Ceres is pleased to inform you that the Investor Guide to Climate Risk-- a new on-line guide from Ceres on addressing the financial risks and investment opportunities posed by global warming -- is now available at www.incr.com. The guide includes links to nearly 50 resources for investors, fund managers, and companies seeking to evaluate and
mitigate climate risk.

The guide is a new resource of the Investor Network on Climate Risk (INCR), the alliance of institutional investors launched in November 2003 dedicated to coordinating investor engagement with companies and policy makers on climate risk. Ceres serves as the INCR Secretariat. The guide was commissioned by Ceres and written by Douglas G. Cogan of
the Investor Responsibility Research Center, an investor advisory firm.

The guide aims to help investors implement the recommendations of the Investor Call for Action on Climate Risk, announced at the United Nations last fall, and signed by investor leaders including public pension funds, labor pension funds, and foundation trustees representing over $800 billion in assets. The guide identifies three core actions to address climate risk: assessing the risks, disclosing the risks, and supporting government actions to promote investor certainty, including mandatory policies to achieve absolute reductions
in greenhouse gas emissions.

 The guide's action steps are aimed at three main groups: Plan Sponsors for pension plans and endowments and their investment consultants; Fund Managers for "buy side" investment managers and "sell side" brokers and securities analysts; and Corporations for boards of directors, CEOs and top executives. The Guide seeks to help lay the groundwork and build a
coordinated approach to mitigating climate risk. On an issue as complex as this, however, the Guide is merely a starting point for a sustained effort.

Ceres invites comments and questions fr om you and your colleagues worldwide. If would you like to order a printed copy of the guide, or if you have comments or questions, please contact Chris Fox at Ceres at fox@ceres.org. Thank you for your interest and involvement in Ceres.

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 Below is an excerpt from the press release about the new guide:

 NEW GUIDE ADVISES INVESTORS ON ADDRESSING FINANCIAL RISKS AND OPPORTUNITIES FROM GLOBAL WARMING

Expected use by growing number of pension, labor and endowment funds concerned about competitive, regulatory and legal risks to key industries; may spur Wall Street fund managers and companies to evaluate financial risks and opportunities of global warming

The investor guide released by Ceres outlines specific strategies for addressing the financial risks and investment opportunities posed by global warming. The guide identifies actions that pension plans, fund managers and companies can take to address clima te risk,and also
recommends that investors support government action to reduce investor and business uncertainty on global warming.

 The Investor Guide to Climate Risk was commissioned by Ceres, a  coalition of investment funds and environmental groups, and written by  the Investor Responsibility Research Center, an investor advisory firm.The guide was commissioned on behalf of the Investor Network on Climate Risk (INCR), a new alliance of institutional investors dedicated to promoting better understanding of the risks of climate change among institutional investors. Ceres serves as the INCR Secretariat.

 The Guide is intended to help investors implement the recommendations of the Investor Call for Action on Climate Risk signed by investor leaders including public pension, labor pension fund, and foundation endowment trustees representing over $800 billion in assets. A list of
signers is available on the INCR website (www.incr.com).

 According to the author of the Guide, emerging limits on global warming pollutants (carbon dioxide and other greenhouse gas emissions), both in U.S. states and worldwide, are creating new pressures to reduce emissions and are opening new markets for cleaner technologies-creating both risks and opportunities for companies and their investors.

 The Guide identifies three core actions to address climate risk: assessing the risks, disclosing the risks, and investing in solutions, such as cleaner, more energy efficient technologies to achieve absolute reductions in greenhouse gas emissions. Ten key steps are aimed at three main groups: Plan Sponsors, for pension plans and endowments and their investment consultants; Fund Managers for "buy side" investment managers and "sell side" brokers and securities analysts; and Corporations for boards of directors, CEOs and top executives.

Mindy Lubber, Executive Director, Ceres, said: "Fundamental changes must be made in our industries to limit the risks p osed by climate change. Investors are now raising questions that need to be asked, and insisting on the analysis that will protect our economy and our
investments over the long-term. This guide is a useful first step in beginning to quantify the risk exposure as a part of routine financial analysis, and in doing so encourage the changes that are needed."

 Doug Cogan, IRRC and author of the Guide, said: "Analyzing climate risk is a new and important challenge for investors, fund managers and corporations. This guide is intended to show how they can coordinate their efforts to achieve better disclosure, better outcomes and more certainty in addressing what until recently was considered an 'off-balance sheet' risk."

The Guide has been released as a web-based document at www.ceres.org and on the INCR website at www.incr.com, with links to nearly 50 resources for investors, fund managers, and companies seeking to evaluate and mitigate the risks posed by global warming and coming
regulations. (A PDF version of the report is also available on the two websites.)