Evergreen Solar Begins Volume Shipments From New Plant in Germany

[phantom power]

I'm watching this new plant with some interest. In theory, this technology is supposed to substantially decrease cost/watt by 50% less silicon. Now that they are producing in large volume, and silicon is in high demand, I expect to see their claims proven out via undercutting their competitors. Or not.

MARLBORO, Mass., Apr 25, 2006 (BUSINESS WIRE) -- Evergreen Solar, Inc. (Nasdaq: ESLR), a manufacturer of solar power products with its proprietary, low-cost String Ribbon(TM) wafer technology, today announced that the new EverQ manufacturing plant in Thalheim, Germany, has begun making volume shipments of finished solar modules to the Company's customers.

The Thalheim plant manufactures Evergreen Solar's new, more powerful Spruce Line(TM) of photovoltaic panels. The Spruce line includes panels up to 190W. Products fabricated at the EverQ plant use Evergreen Solar's patented String Ribbon manufacturing process. String Ribbon is substantially more efficient in the use of silicon than conventional sliced crystalline technologies.

"Our customers indicate they are very pleased to begin receiving these higher-output modules from Evergreen," said Terry Bailey, Evergreen Solar's Senior VP Marketing and Sales. "These Spruce modules were designed directly with our customers' input to better suit certain applications. We're delighted to be able to commence production of this new line."

About EverQ

EverQ is a strategic partnership of Evergreen Solar, Q-Cells AG of Germany, and Renewable Energy Corporation ASA of Norway. Q-Cells is the world's largest independent manufacturer of crystalline silicon solar cells. Renewable Energy Corporation, one of the world's largest manufacturers of solar-grade silicon and multicrystalline wafers, is contracted to supply the EverQ plant with silicon for the next seven years.

About Evergreen Solar, Inc.

Evergreen Solar, Inc. develops, manufactures and markets solar power products using proprietary, low-cost manufacturing technologies. The Company's patented crystalline silicon technology, known as String Ribbon, uses significantly less silicon than conventional approaches. Evergreen's products provide reliable and environmentally clean electric power for residential and commercial applications globally. For more information about the Company, please visit www.evergreensolar.com.

http://phx.corporate-ir.net/phoenix.zhtml?c=123321&p=irol-newsArticle&ID=847004&highlight=

[quiet.american]

1. I've been watching this stock, thanks for the heads up. n/t

[phantom power]

3. Of all the stocks I've bought, this has done the best...

Which isn't necessarily saying much. But anyway, Evergreen has made me money. I would guess this is a good time to buy, with the new plant coming on line. But I bought RedHat at $70, so never ever listen to my advice.

Actually, my most successful investment has been gold. I've more than doubled my money since 2000.

[Kolesar]

4. My Fidelity Diversified International fund has done best

..in the last few years. I am considering buying GE because they have a place in the wind business.

[phantom power]

6. Ah yes, I wasn't counting my mutual funds...

just my hare-brained do-it-yourself efforts
:dunce:

[quiet.american]

13. I hear you on gold, and thanks for the input on Evergreen. :) n/t

[400Years]

2. I suppose it depends on how many they can crank out

They wouldn't have much of a reason to undercut the competition if they are already selling all they can make.

[phantom power]

5. You are right, unless they decide to make a grab for market-share.

Historically, they have invested in new production capacity, even at the expense of short-term profitability. That's definitely a market-share based strategy. Of course, if they're selling all their inventory, decreasing price can't increase their market share any further.

I've been trying to figure out what this means. Overall industry production is increasing rapidly, but demand is keeping up, which is forstalling the ever-predicted price decreases. What does it take for prices to actually decrease? I assume what must happen is that they saturate the market-tier which is willing/able to pay the current prices. Then they are forced to lower prices to expand their market. I wonder how long that will take?

[400Years]

7. Yeah, I guess if demand continually rises with the increase in energy cost

market saturation would take a long time.

Who would have ever thought that PV installations would be increasing even in the face of rising panel prices. People are really getting concerned with the high cost of energy.

[bluerum]

8. Good luck with that.

If they run that plant anything like the one in MA. you better keep your eyes open. They kept that place running on investment capitol and it was not managed very well. An oppessive working environment, poor enforcement and questionable interpretation of saftey and OSHA guidlines. Shoestring engineering and front office management.

Hopefully they are paying their workers better now that the stock is doing better.

[phantom power]

9. Near as I can tell, the MA plant was not intended to be profitable.

It's not an uncommon strategy to run the company at a deficit for a period of time. This new EverQ plant was the end-game of all the deficit-spending. However, if they don't start turning a solid profit in the next few quarters, they have some explaining to do.

[bluerum]

11. They certainly succeeded at not making a profit in MA.

Have to give the management that much.

I don't know the details of the new facilities so I am reluctant to comment on them.

Again, good luck with it.

[quiet.american]

14. Hmn -- interesting input, thanks. n/t

[Kolesar]

10. A solar integrator in Cleveland told me that she has long delivery times

She does residential and commercial installations. It makes it very difficult to plan installations when they quote you a delivery in September, because that means you might be working into early winter. Customers want to order something now and have it running this year, instead of waiting until next spring.

[skids]

12. Watching too -- they may decide to monetize.

With demand so high they may just price out at market rate and take the cash back to build more facilities.