Based on their own business models, the two men hatch a plan to encourage more businesses to donate 1% of sales to environmental groups. Yvon calls it an "Earth Tax." Craig calls it 1% For The Planet. They go with Craig's idea.

1% FTP holds an official launch event at the Patagonia store in San Francisco, California. Twenty-one businesses, including a winery, a coffee company and a guide service sign up as members. Not bad for the first day.

A second launch event takes place at the Fly Fishing Retailer show in Denver, Colorado, engaging an industry that understands the connection between business and the environment like few others. Several more members are, um, reeled in.

Membership grows steadily by word of mouth, primarily on the West Coast of the United States and in outdoor industry circles. Jack Johnson, in conjunction with his music and film companies, Brushfire Records and The Moonshine Conspiracy, becomes the 50th member of 1% FTP.

Jack releases In Between Dreams, displaying the 1% FTP logo on the back of the CD jacket. Yvon authors the book Let My People Go Surfing, which culminates in the story of 1% FTP. The publicity contributes to the signing up of two to three new member companies per week, closing the year at over 200.

1% FTP goes prime time as NBC Nightly News features the organization in its Making a Difference series. In partnership with the Charture Institute, the first official 1% FTP local chapter is launched: 1% For The Tetons, in Jackson, Wyoming. The chapter adds 50 members within months.

To boost consumer involvement, the 1% FTP logo and web site are overhauled, and the first major print campaign is launched. With the total company membership exceeding 700, including more than 100 European businesses, donations approach $30 million USD. More than one new member company joins every day. The 1% FTP staff also grows—to 4, not including the dog.