This is the approach our team took to the First Green Bank ethical case. Internationally recognized for our focus on ethics, Daniels College of Business is proud to present the 12th annual Race & Case Competition. This one-of-a-kind experience marries the intellectual challenge of an ethical business case with the physical test of a downhill NASTAR ski race. Students bring classroom knowledge into the real world by applying critical thinking and innovative practices to a professional, ethical dilemma and then hit the slopes for a day of ambitious, athletic fun!

1. Race & Case – Daniels College of Business
Team:Aakash, Camila,Wei, Jiaxu, Luke

2. Our Mission: to do the right thing for

3. “But then again, nobody said that
values-based banking was going to
be easy. Inser ting a moral
conscience into banking was well
worth the challenge.”
Ken LaRoe

5. Ethical Framework
Identify
Investigate
Innovate
Isolate
Implement

6. Implications
Social
Economical
Environmental

7. Resistance to Financial Crisis
140
157
92
52
-855
-252
222
247
2009
2010
2011
2012
Bank failure
Net Profit/Loss (000)

8. Ratio Analysis-Comparison to 5 failed Banks
>10% High Low & Stable
CAR
Provision
for Loan
Loss
Loan-to-
Deposit

9. How they get Deposit & Capital
Communication
Reputation
Green Mission
Financial
Basis
Opportunity
Strong Deposit Support
Healthy Loans
Benefit

10. Reliable Credibility Establish
Healthy Benefit Trust
Portfolio

11. ROI Scenario: Loan Granted
Short Term!
High ROI!
Long Term!
Low/Negative ROI

12. ROI Scenario: Loan Rejected
Short Term!
Low ROI!
Long Term!
Low/High ROI

13. ROI Scenario: Sustainable Loan Granted
Is the loan for a green or sustainable practice?
Short Term!
High ROI!
Long Term!
Low/High ROI

14. ROI Scenarios
0
1
2
3
4
5
6
7
For +
For -
For Proj
Against +
Against -
Against Proj
For(alt) +
For(alt) -
For(alt) Proj
QualitativeROIQuotient(1-3perType)
+ Favorable Market, - Unfavorable Market, Proj: Projected Market
ShortTerm ROI
LongTerm ROI

15. Sustainable Qualitative Quotient
S.Q.Q. = 0.03 x E + 0.07 x J +
0.15 x B + 0.25 x N + 0.50 x S.A.
Line of Sustainable Potency

16. Sustainable Qualitative Quotient
7.66
7.2
7.6
8.27
4.6
7.6
4.5
8.11
5.65
0
1
2
3
4
5
6
7
8
9
Kenneth E.
LaRoe
Scott M.Ales
Shannon
McLin Carlyle
Joel C. Hunter
C. Michael
LaRoe
Paul Rountree
John Schmid
Randall E.
Strode
David Weyn
S.Q.Q.
Directors
7.5

17. Loan Granting Scenarios
Green
Construction
Recycling
Manufacturing Process
Contractual
Investment

18. Best LongTerm Solution
Green Loan: For!
Regular Loan: Against!

19. Questions?

20. Thank you