LDK Solar Announces Strategic Financing Agreement With China Development Bank For Up To RMB 60 Billion

XINYU CITY, China and SUNNYVALE, Calif., September 27, 2010 — LDK Solar Co., Ltd. (“LDK Solar”) (NYSE: LDK), a leading manufacturer of multicrystalline solar wafers and PV products, today announced that it has entered into a strategic financing agreement with China Development Bank Corporation (CDB), a joint stock banking corporation wholly owned by the state of China. Under terms of the agreement, CDB will provide up to RMB 60 Billion (or approximately US$8.9 Billion) of credit facilities to LDK Solar over a five-year period. The financings will support LDK Solar`s long-term growth initiatives and corporate development plans. Terms of the individual credit facilities and lending agreements will be subject to CDB`s internal risk management requirements and operational regulations.

“We are very pleased to enter into this strategic financing agreement with CDB which demonstrates their confidence in and support of LDK Solar,” stated Xiaofeng Peng, Chairman and CEO of LDK Solar. “Through our strong partnership with CDB, we will have an enhanced ability to pursue our long-term growth strategy and further strengthen our position within the PV industry market.”

About LDK Solar (NYSE: LDK)
LDK Solar Co., Ltd. (NYSE: LDK) is a leading vertically integrated manufacturer of photovoltaic (PV) products and the world’s largest producer of multicrystalline wafers. LDK Solar manufactures polysilicon, mono and multicrystalline ingots, wafers, modules, and engages in project development activities in selected segments of the PV market. Through its broad product offering of mono and multicrystalline solar wafers and modules, LDK Solar provides its customers with a full spectrum of solutions. LDK Solar’s headquarters and manufacturing facilities are located in Hi-Tech Industrial Park, Xinyu City, Jiangxi Province in the People’s Republic of China. LDK Solar’s office in the United States is located in Sunnyvale, California. For more information about our company and products, please visit

Safe Harbor Statement
This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this press release are forward-looking statements, including but not limited to, LDK Solar’s ability to raise additional capital to finance its operating activities, the effectiveness, profitability and marketability of its products, the future trading of its securities, the ability of LDK Solar to operate as a public company, the period of time during which its current liquidity will enable LDK Solar to fund its operations, its ability to protect its proprietary information, the general economic and business environment and conditions, the volatility of LDK Solar’s operating results and financial condition, its ability to attract and retain qualified senior management personnel and research and development staff, its ability to timely and efficiently complete its ongoing construction projects, including its polysilicon plants, and other risks and uncertainties disclosed in LDK Solar’s filings with the Securities and Exchange Commission. These forward-looking statements involve known and unknown risks and uncertainties and are based on information available to LDK Solar’s management as of the date hereof and on its current expectations, assumptions, estimates and projections about LDK Solar and the solar industry. Actual results may differ materially from the anticipated results because of such and other risks and uncertainties. LDK Solar undertakes no obligation to update forward-looking statements to reflect subsequent events or circumstances, or changes in its expectations, assumptions, estimates and projections except as may be required by law.

For more information contact:
Lisa Laukkanen
The Blueshirt Group for LDK Solar

Jack Lai
Executive VP and CFO
LDK Solar Co., Ltd.
+1- 408-245-8801

Solar Again Leads Sustainable Energy Stocks (Week Ending 4/4)

Author: Mark Henwood

Sustainable energy stocks rewarded investors again this week. All of the Camino indices advanced, one significantly.

The Solar index followed last week’s 19.6% gain with another big advance of 14.5% paring the YTD decline for the sector to –24.6%. 28 stocks increased and 4 decreased. The index increased 7.1% on Friday alone, apparently responding to the introduction of the Clean Energy Stimulus Act in the US Senate. LDK Solar (LDK) led the way with a 25.6% rise. On Friday LDK announced is had sold 83 MW of wafers and lined up supply agreements for much of the order period…….two-thirds of the weekly price increase occurred Friday. Yingli (YGE), the second largest gainer at 24.8%, also reported sales contracts covering 3.3 MW of modules to Korea. For Yingli that comes out to about USD 100 million of market cap increase per 1 MW of sales.

In the Renewable Electricity sector Camino’s index advanced 0.9% with 13 stocks climbing and 5 retreating. The index was weighed down by Goldwind’s (002202.SZ) 22% decline culminating a 71% price decrease from its February 21 peak. The Shenzhen Exchange reports a P/E figure for the company that even after these declines is still a lofty 65. In our view this price level may now be sustainable if the company is able to maintain strong growth.

Biofuels gained 1.1% with 10 stocks rising and 5 stocks falling. Gushan (GU) held on to last week’s huge increase with a gain of 2.9%. The sector leader was CropEnergies (CE2.DE) with a 10.3% gain. The company issued a statement expressing its view that the regulatory environment continued to be generally supportive and reporting on its capacity plans.

Fuel Cells also had a positive week with the index increasing 2.3% on 4 stocks advancing and 3 stocks declining. FuelCell Energy (FCEL) led the group with a 16.6% gain. We scoured the news but didn’t see any information that would drive this increase. We also looked a variety of analyst recommendations and didn’t see any significant company specific news this week. Maybe the company will have some information at the 2008 Green CA Summit where I’m moderating a panel on the Green Gold Rush: California’s New Economy.

Over the last 100 days Solar has maintained the highest beta (.95) of all the Camino indices (which ranged from 0.18 to 0.55). Solar has now regained about one-half of the declines from its peak on December 27 to its low on March 10. While some of the gain is driven by broader market gains and enthusiasm about legislation in the US, I’m sure investor’s will be starting to assess whether the growth news can support further price gains.

Mark is the founder of Camino Energy, an information provider specializing in globally traded sustainable energy stocks. He also is an investor in sustainable energy stocks

The Week in Sustainable Energy Stocks (Week Ending 3/14)

Author: Mark Henwood

The Dow traded in a 569 range this week reflecting negative credit market news and strong intervention by government institutions. Global results were mixed with EAFA advancing and the S&P and Emerging Markets declining. The final changes were not dramatic. This translated into mixed results for the Camino indices with three indices retreating and one, Solar, advancing.

The Solar index increased 1.8% bringing the YTD decline for the sector to –41.5%. LDK Solar Co. LTD (LDK), which fell 21.3 % last week, led all stocks in the index with a 16.3% increase. Most of this gain happened Thursday and Friday after the company’s press release reported it had sold 100% of its 2008 production and 90% of 2009. The communication also shed some light on the inventory issue. This strong sales picture may be supportive of the view that demand for PV product hasn’t been affected much by larger economic concerns. Overall the sector had 19 stocks climbing and 14 stocks falling.

Biofuels experienced a 1.9% decline with 6 stocks rising and 10 stocks falling. Gushan (GU) was the leader recovering 7.5% after last weeks 24.9% decline. On the declining side, Schmack Biogas (SB1.DE) led the field with a 11.6% decrease. This may be a delayed reaction to the company’s 2/26 release of 2007 results where strong sales growth (47% !) was coupled with a wider than expected loss. VeraSun (VSE) and US BioEnergy (USBE) also suffered steep declines after VeraSun reported on Wednesday that ethanol prices weren’t increasing as fast as corn costs. Getting bigger with the merger isn’t going to change that equation.

In the Renewable Electricity sector Camino’s index retreated 0.5% with 8 stocks climbing and 11 retreating. Geodynamics Ltd. (GDY.AX) led the pack with a 17.2% decline. The only news we found was an ASX note on 3/11 that a flow test had been delayed until 3/14.

Fuel Cells had another down week with the index decreasing 3.2% on 3 stocks advancing and 4 stocks declining. ITM Power (ITM.L) suffered a 25.2% decline. On Feb 5 Citigroup criticized the company’s unfocused business strategy and apparently the company’s 3/14 announcement of a testing contract with Bi-Fuels did little to sharpen the strategy.

What did I learn this week? Traders are listening carefully to company communications and are very quick to take decisive action on news, both positive and negative. I also think LDK’s order news may be significant as a bell weather for overall demand in the solar sector.

Mark is the founder of Camino Energy, an information provider specializing in globally traded sustainable energy stocks. He also is an investor in sustainable energy stocks. Mark holds a position in GDY.AX .

The week in sustainable energy stocks (ending 3/7/08) ….

By Mark Henwood

Continuing concerns with economic conditions drove all the broad stock indicators into negative territory for the week. With one expectation our sustainable energy indices followed suit with three indices retreating and one, Renewable Electricity, advancing.

The Solar index suffered another large drop of 5.9% bringing the YTD decline for the sector to –42.5%. In perspective, even with this large YTD decline the index has 46% to give up before it losses all of the huge gains in 2007. LDK Solar Co. LTD (LDK) led the move downward falling 21.3% and closing below its IPO price. Apparently there remains some lingering angst over inventory issues. Overall the sector had 4 stocks climbing and 29 stocks falling.

Biofuels suffered a significant 12.5% decline with all 16 stocks falling and 5 falling more than 20%. It looks like concerns about rising corn prices and reduced margins affected the ethanol producers. Gushon (GU) reported a Q4 loss and, despite management explaining the loss was due to a large non-cash charge, the stock declined 24.9%

In the Renewable Electricity sector our index advanced 0.9% with 10 stocks climbing and 9 retreating. Suzlon (SUZON.NS) is a big component of the index and was down 13.1% percent after reporting a turbine blade replacement program for 1,251 blades. This represents a market cap decline of more than USD 1 million per blade against management’s estimated cost of USD 24,000 per blade.

Fuel Cells had a down week with the index decreasing 6.3% on 1 stock advancing and 6 stocks declining. FuelCell Energy Inc. (FCEL) led the movement downward with its stock price falling 14.3% for the week. Most of the loss came after their earnings call on March 6.

What did I learn this week? Oil prices hit record highs and sustainable stocks fall sharply with the broader market. Given the relatively high beta of the Solar, Fuel Cell, and Biofuels indices, their stock performance seems to be weakly correlated to oil prices and much more strongly influenced by broad market trends. Renewable Electricity, with its lower beta, may offer some portfolio diversification benefit.

Mark is the founder of Camino Energy, a information provider specializing in globally traded sustainable energy stocks. He also is an investor in sustainable energy stocks. Mark doen’t hold a position in any of the specifically mentioned stocks.