Suntech to Expand PV Cell Capacity in Wuxi     

Suntech Power Holdings Co., Ltd. (NYSE: STP) announced December 6th that it will form a joint venture with Wuxi Industrial Development Group and Wuxi New District E & D Group to operate a 1.2 GW PV cell production facility located at the heart of Suntech's Wuxi campus. Suntech will contribute approximately US$60 million in the jv for a 40% share. The 600 MW PV cell capacity is expected to be completed by mid-2011. The remaining 600 MW will be ramped in 2011 or 2012 with marketing conditions.
   This joint venture will provide access to cost-effective PV cell capacity utilizing Suntech's high performance technology and reliable manufacturing processes. It will also enable Suntech to meet the growing demand for Suntech's premium quality solar products, Suntech said.
   For the fiscal year 2010, Suntech, the world's largest producer of solar panels, expects to ship more than 1 500 MW of solar products with a revenue of around U$2.8 billion. The gross margin for 2010 is expected to be approximately 17%. Operating margin is expected to be approximately 6.5%.