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To: Jacob Snyder who wrote (8803)	8/13/2010 12:17:33 AM
From: Eric	Read Replies (1) \| Respond to of 16955

Jacob I listened to the CC and That comment about "transition to a buyers market" is ominous. that comment spoke volumes. Next year will be "very interesting" for PV manufacturers.

To: Jacob Snyder who wrote (8803)	8/13/2010 1:14:19 AM
From: Jacob Snyder	Read Replies (1) \| Respond to of 16955

LDK 2Q10 results: 565M$ sales, a record $0.36 EPS GAAP, up from 0.06 in 1Q10 18% gross margin, up from 16% in 1Q10. Their module business had only 8% gross margin. "We anticipate that gross margin for our module business will rebound in the third quarter as we gain efficiencies in recently acquired strategic business unit." shares: 126M, up from 108M a year ago. $1.85 module ASP; expect 10-15% decline per year. 443M$ cash + eq. 2,033M$ debt = ST + convertibles + LT. Most is ST. This total does not including 230M$ of "other liabilities". guidance: 1.95-2B$ rev 2010 No guidance for 2010 EPS. "we are very confident that throughout this year (2010) we should increase our gross margin by maybe two to three points per quarter." No numbers of any kind, for 2011 guidance. "Our polysilicon plant is designed to achieve $30 (per kg) and we believe when it will reach 10,000 (tons) or more then our objective will be reached. And as we are approaching 15000 tons, we are confident that our manufacturing cost will be below $30 per kilogram." They are in discussions with "several interested parties" to sell more of their new poly plant. Analysts repeatedly asked questions about LDK's debt, which were answered repeatedly with the phrase, "we maintain very, very constructive relationships with China based banks". investor.ldksolar.com seekingalpha.com my comment: The most impressive thing about LDK is their debt. The next most impressive thing is a near-total absence of guidance. My guess is, those "very, very constructive" banks, will end up owning LDK eventually. LDK, like SPWRA, is a shorting candidate on any strength.