X0202 3 2007-06-01 0 0001261482 DISTRIBUTED ENERGY SYSTEMS CORP DESC 0001362295 PERSEUS PARTNERS VII L P C/O PERSEUS, L.L.C. 2099 PENNSYLVANIA AVE., N.W., 9TH FLOOR WASHINGTON DC 20006 0 0 1 0 0000927752 PEARL FRANK H C/O PERSEUS, L.L.C. 2099 PENNSYLVANIA AVE., N.W., 9TH FLOOR WASHINGTON DC 20006 0 0 1 0 Warrant 0.80 2007-06-02 2012-06-01 Common Stock 7954536 D All of the securities reported herein are held directly for the account of Perseus Partners VII, L.P. ("Perseus VII"). Perseus VII is a Delaware limited partnership. Its general partner is Perseus Partners VII GP, L.P., a Delaware limited partnership. Perseus Partners VII GP, L.L.C., a Delaware limited liability company, is the general partner of Perseus Partners VII GP, L.P. The sole member of Perseus Partners VII GP, L.L.C. is Perseus, L.L.C., a Delaware limited liability company. Perseuspur, L.L.C., a Delaware limited liability company, is the managing member of Perseus, L.L.C. Frank Pearl, individually, owns 72.7% of Perseuspur, L.L.C. He also is the sole director and sole shareholder of Rappahannock Investment Company, a Delaware corporation, which in turn owns the remaining 27.3% of Perseuspur, L.L.C. By virtue of such control, Mr. Pearl may be deemed to have beneficial ownership of the shares that will be issued to Perseus VII. Mr. Socha is signing in his capacity as a Senior Managing Director of Perseus Partners VII GP, L.L.C., which is the general partner of Perseus Partners VII GP, L.P., which is the general partner of Perseus Partners VII, L.P. /s/ Kenneth M. Socha (see remarks) Kenneth M. Socha, Senior Managing Director 2007-06-11 /s/ Rona Kennedy, Attorney-in-Fact 2007-06-11