Sunways ends Deutsch Solar wafer contracts early


The two contracts, under which Deutsche Solar supplied wafers to Sunways, were originally concluded in 2006 and 2007. In a statement released yesterday, July 18, Sunways said it had "waived its claim for repayment of down-payments in the remaining amount of still approx. EUR 7.5 million already made."

Furthermore, the two parties have amended the terms under which the wafers will be delivered. Initially, deliveries were scheduled to be made until the end of 2018 and 2017, respectively. Following the new agreement, a total of around 60 MW will be delivered in 2012 and 2013. The term of the agreement has further been changed to December 31, 2013 at the latest. "Upon fulfillment of Sunways AG’s newly agreed purchase obligations until then, the two long-term supply contracts will be deemed amicably terminated as of that time," said Sunways.

Due to the amendments, the company has made provisions for a loss of €4.6 million, which will be recognized in its 2011 annual financial statements. Moreover, it said a loss amounting to half of its share capital has been recorded. This is both due to the revised agreements and losses incurred by Sunways in the past few months.

"However, compared to the continuation of the long-term contracts on their original terms and conditions, the agreement is economically more advantageous," said Sunways. It added, "The amendment agreement to both long-term contracts is made against the background of current market developments and constitutes an advantage for Sunways AG compared to an unaltered continuity of these contracts."

Popular content

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact:


Related content

Elsewhere on pv magazine...

Leave a Reply

Please be mindful of our community standards.

Your email address will not be published. Required fields are marked *

By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.

Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.

You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.

Further information on data privacy can be found in our Data Protection Policy.