Realignment of the wafer business at WACKER SCHOTT Solar

·       Joint venture partner WACKER to withdraw from the solar wafer business

·       WACKER SCHOTT Solar decides to put an end to EFG wafer manufacturing

·       SCHOTT Solar plans to take over production of solar wafers in Jena

Mainz, September 30, 2009 – WACKER and SCHOTT Solar have reached an agreement on the main cornerstones of a realignment of the WACKER SCHOTT Solar joint venture. To start with, both partners have agreed to discontinue wafer manufacturing based on the EFG process. As a result, SCHOTT Solar plans to continue to operate the wafer business independently. This means that Wacker Chemie AG will cease to participate in the joint venture company that manufactures silicon wafers, a precursor product for solar cells, and secure the supply of silicon.

The WACKER SCHOTT Solar joint venture had initially developed two separate technologies for manufacturing solar wafers on a parallel basis. The ingot process, on the one hand, and the ribbon drawing technique EFG that is employed solely by WACKER SCHOTT Solar, on the other. “In light of the current price developments with respect to silicon and solar wafers, ingot technology has now proven to be a more economical process. For this reason, the decision to close EFG manufacturing that both parties support represents a consistent step towards ensuring the cost-effectiveness of manufacturing wafers,” says Dr. Patrick Markschläger, Managing Director of WACKER SCHOTT Solar. Efforts are already underway to find socially acceptable solutions for the roughly 100 employees that this will affect together with the works council. The realignment of wafer activities will have no effect on cell and module manufacturing in Alzenau, the Czech Republic and the United States. The wafer volumes that are lost will be compensated for by POLY Wafers. Furthermore, SCHOTT Solar plans to manufacture modules that contain monocrystalline cells.

WACKER announced today that it will be withdrawing from the joint solar wafer business. In a second step, SCHOTT Solar will take over manufacturing based on the ingot process in Jena that employs around 350 people. Additional steps that are deemed to be necessary in order to reduce manufacturing costs are currently being evaluated in greater detail so that the company will be able to strengthen its position in the highly competitive wafer market.

SCHOTT Solar AG remains firmly committed to its long-term role as an integrated solar manufacturer.

Further information is available under: www.schottsolar.com

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