Reports Fourth Quarter and Full Year 2010 Shipments of 97.9 MW and 347.8 MW Respectively, as a Result of Acquisition of Module Manufacturing

Mar. 24, 2011 (PR Newswire) --

Source: PR Newswire (March 24, 2011 - 6:32 AM EDT)

News by QuoteMedia

NANJING, China, Feb. 14, 2011 /PRNewswire-Asia/ -- China Sunergy Co., Ltd., (Nasdaq: CSUN) ("China Sunergy" or the "Company") a specialized solar cell and module manufacturer based in Nanjing, China, announced today that it has entered into a long-term wafer supply agreement with GCL-Poly Energy Holdings Limited ("GCL-Poly") (SEHK:3800).

Under the terms of the agreement, GCL-Poly will supply China Sunergy with an aggregate of approximately 4,400 MW of wafers over six years. Delivery of wafers will commence in February 2011 for completion in December 2016. The agreement also contains a clause for a price adjustment mechanism based on wafer market price.

"We are very pleased to build up the long term strategic partnership with GCL-Poly," said Mr. Stephen Zhifang Cai, CEO of China Sunergy. "This agreement will strengthen our supply chain and solidify our competitive cost position in the dynamic solar industry. We expect that the partnership will positively contribute to CSUN's rapid growth in the global solar industry."

Mr. Shu Hua, the Executive Director and president of GCL-Poly, stated, "We are delighted to partner with China Sunergy, one of China's leading solar companies, and look forward to supporting China Sunergy's growth with our high quality services. We believe the partnership will be a win-win situation for both companies in the global solar industry."

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (Nasdaq: CSUN) ("China Sunergy") is a specialized manufacturer of solar cell and module products in China. China Sunergy manufactures solar cells from silicon wafers, which utilize crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect, and assembles solar cells into solar modules. China Sunergy sells these solar products to Chinese and overseas module manufacturers, system integrators, and solar power systems for use in various markets.

For more information please visit http://www.chinasunergy.com.

About GCL-Poly Energy Holdings Limited

GCL-Poly Energy Holdings Limited (3800. HK) is China's largest polysilicon producer and one of the world's leading wafer suppliers and also a top green energy enterprise in China. Annual polysilicon production capacity attained 21,000 MT by the end of 2010, and the quality of polysilicon products has reached electronic grade level. The Group's wafer production capacity has already achieved 3.5 GW in November 2010. In addition, the Group owns a 20 MW solar farm in Xuzhou, Jiangsu province, which is currently the largest solar farm in China. For more information about GCL-Poly, please visit the company's website at www.gcl-poly.com.hk .

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts in this announcement are forward-looking statements. These forward-looking statements are based on current expectations, assumptions, estimates and projections about the Company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the Company's ability to raise additional capital to finance the Company's activities; the effectiveness, profitability, and the marketability of its products; litigations and other legal proceedings; the economic slowdown in China and elsewhere and its impact on the Company's operations; demand for and selling prices of the Company's products, the future trading of the common stock of the Company; the ability of the Company to operate as a public Company; the period of time for which its current liquidity will enable the Company to fund its operations; the Company's ability to protect its proprietary information; general economic and business conditions; the volatility of the Company's operating results and financial condition; the Company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

SOURCE China Sunergy Co., Ltd.

Source: PR Newswire (February 14, 2011 - 7:00 AM EST)

The two module companies acquired by China Sunergy in this November, CEEG (Shanghai) Solar Science & Technology Co., Ltd and CEEG (Nanjing) New Energy Co., Ltd. (together "CEEG"), have built a steady supplying relationship with Ecoware S.p.A. over the past three years.

"We are very pleased to continue our partnership with Ecoware S.p.A., a loyal client of these two acquired module companies in the past and now a client of China Sunergy. The signing of the agreement will further strengthen our successful cooperation and increase our share in the Italian PV market," Mr. Stephen Zhifang Cai, CEO of China Sunergy, commented. "So far this year, China Sunergy has entered into collectively over 600 MW of PV module contracts for year 2011 delivery."

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (Nasdaq:CSUN - News) ("China Sunergy") is a specialized manufacturer of solar cell and module products in China. China Sunergy manufactures solar cells from silicon wafers, which utilize crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect, and assembles solar cells into solar modules. China Sunergy sells these solar products to Chinese and overseas module manufacturers, system integrators, and solar power systems for use in various markets.

For more information please visit http://www.chinasunergy.....

Shipment Increased 61.4% Year-over-Year to 87.8 MW

Gross margin beat management high-end guidance

Nov. 15, 2010 (PR Newswire) --

At FD, Helen Jing Zhu: Helen.JingZhu@fd.com, +86-10-8591-1958

    Second Quarter Financial Results
    -- Revenues were US$117.6 million, representing a 67.8% and 12.8% increase
       compared to the second quarter of 2009 and the first quarter of 2010,
       respectively. Revenues generated from solar cell sales were US$113.0
       million, representing a 107.3% and 23.2% increase compared to the
       second quarter of 2009 and the first quarter of 2010, respectively.
    -- Gross profit was US$23.3 million compared to a gross profit of US$6.8
       million and US$16.9 million during the second quarter of 2009 and the
       first quarter of 2010, respectively. Gross margin was 19.8%, compared
       to 9.7% during the second quarter of 2009 and 16.2% during the first
       quarter of 2010.
    -- GAAP net income was US$13.8 million, compared to net income of US$1.5
       million and net income of US$7.1 million in the second quarter of 2009*
       and the first quarter of 2010, respectively.
    -- GAAP net income per ADS was US$0.34 on basic and US$0.33 on diluted
       basis, compared to a net income of US$0.04 and US$0.18 per ADS on both
       basic and diluted basis in the second quarter of 2009 and the first
       quarter of 2010, respectively.

Commenting on the second quarter Mr. Stephen Zhifang Cai, CEO of China Sunergy remarked:

"These results demonstrate the effectiveness of our turnaround strategy to institute greater operational efficiencies and production of more desirable solar products," said Mr. Stephen Zhifang Cai, CEO of China Sunergy. "Management's continued perseverance and strategic focus allowed China Sunergy to maintain a higher ASP in the second quarter relative to the first, while still maintaining a stable cost base, resulting in a 19.8% gross margin, beating high end gross margin guidance. We are confident these improvements will continue into the second half of 2010. Given increased industry-wide demand and higher utilization rates, we will be in an advantageous position for enhancing our bottom-line. Additionally, we anticipate ongoing expansion into the downstream market as we continue to maximize shareholder value."

    Technological and Operational Highlights
    -- Shipments of solar power products in the second quarter amounted to
       approximately 87.3 MW, representing a 110.4% increase on a year-over-
       year basis and a 16.6% increase sequentially.
    -- Second quarter production of 82.6 MW of solar cells represented a
       140.1% increase on a year-over-year basis and a 10.1% increase
       sequentially.
    -- At the end of the quarter, China Sunergy entered into a renegotiation
       with two related module manufacturers, CEEG (Shanghai) Solar Science &
       Technology Co., Ltd and CEEG (Nan Jing) New Energy Co., Ltd as concern
       over the two targeted companies' margin performance arose due to recent
       economic fluctuations. China Sunergy anticipates an agreement will be
       reached by the end of 2010.
    -- As a result of the investment made in skilled technical personnel last
       year, the Company has continued to refine its manufacturing processes
       and yield improvement. Additionally, China Sunergy has been able to
       offer a more favorable product mix since the first quarter of 2010,
       which also contributed to the gross margin improvement.


    Second Quarter 2010 Financial Review
    Revenues, Shipment and Production

During the second quarter of 2010, revenues increased 67.8% on a year-over-year basis, and 12.8% sequentially to US$117.6 million.

Sales from solar cells, modules and other sales accounted for 96.1%, 1.6% and 2.3% of total revenues, respectively. Shipments, including 1.1 MW for module sales, amounted to approximately 87.3 MW (among which 63.6% were sold to related parties), compared to 41.5 MW during the second quarter of 2009 and 74.9 MW during the first quarter of 2010.

Quarter-on-quarter sales of solar cell products increased by 107.3% compared to the second quarter of 2009.

Solar cell sales in overseas markets as a percentage of total solar cell sales was 23.4% in the second quarter of 2010 compared to 41.0% and 25.4% in the second quarter of 2009 and the first quarter of 2010, respectively.

Gross Profit/Loss, Gross Margins and Average Selling Price ("ASP")

Gross profit for the quarter was US$23.3 million, which led to a blended gross margin of 19.8%, up from 16.2% in the first quarter of 2010. The improvement in gross margin was due to higher sales prices, lower conversion cost, and reduced inventory provision, partially offset by the higher wafer prices over the second quarter.

Blended ASP during the second quarter was US$1.31 per watt, increasing from US$1.26 in the first quarter of 2010. The blended ASP for the second quarter of 2009 was US$1.44.

Wafer Costs

In the second quarter of 2010, blended wafer costs increased to US$0.83 per watt compared to US$0.78 per watt in the first quarter of 2010. Wafer costs per watt as a percentage of total production costs per watt rose from 77.7% in the first quarter of 2010 to 79.3% in the second quarter of 2010, partially due to wafer costs rising to a greater degree than total production costs during the second quarter of 2010.

Other production costs for the quarter were 3% lower than the previous quarter.

SG&A, Operating Profit/Loss and Net Income/Loss

SG&A expenses in the second quarter of 2010 were US$4.8 million, compared to US$5.8 million in the first quarter of 2010, and US$3.6 million in the second quarter of 2009, respectively.

Interest expense for the second quarter of 2010 was US$2.1 million, compared to US$2.2 million for the first quarter of 2010, and US$2.1 million for the second quarter of 2009*, respectively.

In the second quarter of 2010, the Company reported a net income of US$13.8 million, compared to a net income of US$7.1 million in the previous quarter and US$1.5 million in the second quarter of 2009*.

Balance Sheet and Cash Flow

As of June 30, 2010, the Company had cash and cash equivalents of US$127.2 million. Net operating cash outflow for the second quarter was US$17.2 million. The main driver of the operating cash outflow was the increase of accounts receivable in connection with sales. Depreciation and amortization was US$3.0 million and capital expenditures were US$0.9 million.

Third Quarter Outlook

During the third quarter of 2010, China Sunergy anticipates that solar product shipments will be between 85 MW to 90 MW, with a gross margin ranging 16 - 19%. For the full year of 2010, the Company now expects to ship 320 MW to 350 MW of solar products.

Additional Company Updates

Regarding the ongoing dispute with REC Wafer Norway AS ("REC WAFER"), Norwegian District Court ruled on July 5th, 2010 in favor of REC Wafer, and China Sunergy is preparing an appeal against the ruling, to be filed in August 2010.

In parallel to the main dispute, the Supreme Court of Norway ruled in July 15, 2010 and overturned the Court of Appeal's order which denied China Sunergy's injunction petition with regard to a $50 million bank guarantee. The injunction petition has now been sent back to the Court of Appeal for a new ruling which is expected to become available at the end of August 2010. Until further court ruling, the injunction is still in force.

We have separately filed a lawsuit against REC Wafer Norway AS with the People's High Court of Jiangsu Province, China. The court in China has issued an injunction to the related banks to forbid these banks from making payments related to the bank guarantee. In April 2010, the People's High Court of Jiangsu Province rejected REC Wafer Norway AS's objection to jurisdiction after an oral hearing.

Quarterly Earnings Conference Call Details

China Sunergy will host a conference call at 8:00 a.m. Eastern Time or 5:00 a.m. Pacific Time (Beijing / Hong Kong Time: August 5, 2010 at 8:00 p.m.).

    The dial-in details for the live conference call are as follows:

    US Toll Free Dial In:   +1-866-730-5769
    International Dial In:  +1-857-350-1593
    Participant Passcode:   13684885

The call will also be available online at http://www.chinasunergy.... .

For those who cannot access the live broadcast, a replay will be available from two hours after the end of the call until August 13, 2010. The replay is available online or using the numbers below:

    US toll free number:   +1-888-286-8010
    International:         +1-617-801-6888
    Passcode:              21233691

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (Nasdaq:CSUN - News) ("China Sunergy") is a specialized manufacturer of solar cell and module products in China. China Sunergy manufactures solar cells from silicon wafers, which utilize crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect, and assembles solar cells into solar modules. China Sunergy sells these solar products to Chinese and overseas module manufacturers, system integrators, and solar power systems for use in various markets.

    For more information please visit http://www.chinasunergy.com .

    For further information contact:

     Financial Dynamics
     Helen Jing Zhu
     Email: Helen.JingZhu@fd.com
     Phone: +86-10-8591-1958

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts in this announcement are forward-looking statements. These forward-looking statements are based on current expectations, assumptions, estimates and projections about the Company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the Company's ability to raise additional capital to finance the Company's activities; the effectiveness, profitability, and the marketability of its products; litigations and other legal proceedings; the economic slowdown in China and elsewhere and its impact on the Company's operations; demand for and selling prices of the Company's products, the future trading of the common stock of the Company; the ability of the Company to operate as a public Company; the period of time for which its current liquidity will enable the Company to fund its operations; the Company's ability to protect its proprietary information; general economic and business conditions; the volatility of the Company's operating results and financial condition; the Company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results. The following financial information is extracted from the Company's condensed consolidated financial statements for the respective periods.

                           China Sunergy Co., Ltd.
        Unaudited Condensed Consolidated Income Statement Information
                (In US$ '000, except share and per share data)

                                                 For the 3 months ended
                                             Jun 30,     Mar 31,     Jun 30,
                                              2010        2010        2009*

    Sales to third parties                   42,060      64,282      55,524
    Sales to related parties                 75,553      40,005      14,616
    Total sales                             117,613     104,287      70,140
    Cost of goods sold                      (94,282)    (87,410)    (63,315)
    Gross profit                             23,331      16,877       6,825
    Operating expenses:
    Selling expenses                         (1,069)       (590)       (630)
    General and administrative expenses      (3,722)     (5,253)     (2,949)
    Research and development expenses          (731)       (724)     (1,509)
    Total operating expenses                 (5,522)     (6,567)     (5,088)
    Income from operations                   17,809      10,310       1,737
      Interest expense                       (2,142)     (2,161)     (2,060)
      Interest income                           339         195         594
      Other expenses                         (1,619)     (1,426)      3,015
      Changes in fair value of derivatives      867       1,442         470
    Income before income tax                 15,254       8,360       3,756
    Income tax expense                       (1,426)     (1,254)     (2,210)

    Net income                               13,828       7,106       1,546
    Net income attributable to company
     ordinary shareholders                   13,828       7,106       1,546

    Net income per ADS
    Basic                                     $0.34       $0.18       $0.04
    Diluted                                   $0.33       $0.18       $0.04

    Weighted average ADS outstanding
    Basic                                40,116,876  40,011,809  39,823,915
    Diluted                              43,694,111  43,589,044  39,823,915



                           China Sunergy Co., Ltd.
          Unaudited Condensed Consolidated Balance Sheet Information
                (In US$ '000, except share and per share data)

                                                Jun 30, 2010     Dec 31, 2009*
    Assets
    Current Assets
    Cash and cash equivalents                      127,218           123,855
    Restricted cash                                 53,724            55,678
    Accounts receivable, net                         7,763            15,292
    Other receivable, net                            2,334             3,838
    Inventories, net                                26,094            22,645
      Advance to suppliers, net                      1,719               184
      Amount due from related parties               60,558            22,102
      Current deferred tax assets                    1,110             2,839
      Other current assets                              --               251
    Total current assets                           280,520           246,684
    Property, plant and equipment, net              90,620            93,790
    Prepaid land use rights                          6,352             6,427
    Deferred tax assets                              1,568             1,568
    Restricted cash- Collateral account             15,863            20,471
    Prepayment to related party in
     connection with acquisition                     7,068                --
    Other long-term assets                           4,286             4,849
    Total assets                                   406,277           373,789

    Liabilities and equity
    Current liabilities
      Short-term bank borrowings                   106,024           102,516
      Accounts payable                              34,639            28,705
      Accrued expenses and other current
       liabilities                                  11,325             5,474
      Amount due to related parties                    223             2,369
      Income tax payable                               954                --
    Total current liabilities                      153,165           139,064
    Collateral account payable                      15,863            20,471
    Other liabilities                                2,468             2,535
    Convertible bond payable                        44,000            44,000
    Total liabilities                              215,496           206,070

    Equity:
    Ordinary shares: US$0.0001 par value;
     267,287,253 and 267,287,253 shares
     issued outstanding as of June 30,
     2010 and December 31, 2009, respectively           27                27
    Additional paid-in capital                     185,970           185,337
    Subscription receivable                             --              (405)
    Accumulated deficit                            (17,514)          (38,448)
    Accumulated other comprehensive
     income                                         22,298            21,208
    Total equity                                   190,781           167,719
    Total liabilities and equity                   406,277           373,789

* On January 1, 2010, The Company adopted ASC 470-20 (former EITF 09-1), "Accounting for Own-Share Lending Arrangements in Contemplation of Convertible Debt Issuance or Other Financing". Accordingly, the share lending arrangement has been measured at fair value and recognized as an issuance cost associated with the convertible debt offering. As a result, additional debt issuance costs of $1.9 million were retrospectively recorded on the issuance date with a corresponding increase to additional paid-in capital. The debt issuance costs have also been retrospectively amortized over the life of the convertible notes. The cumulative effect of the adoption resulted in a decrease of $386,372 and $809,349 in the beginning balance of retained earnings on January 1, 2009 and 2010 respectively, and the adoption of ASC 470-20 resulted in additional interest expenses in the second quarter of 2009 of $195,880. The total interest expense recognized from amortization of convertible debt issuance costs, including the effect of adoption of ASC 470-20, was $2.1 million for the second quarter 2010. The diluted shares before included the dilute impact of share lending shares for convertible bonds. Shares underlying the share-lending arrangement should not be included in basic or diluted EPS calculation under ASC 470-20. Therefore upon the adoption of the new guidance, the outstanding diluted weighted average ADS was changed to 39,823,915 in the second quarter of 2009.

    First Quarter Financial Results
    -- Revenues were US$104.3 million, representing a 181.9% and 6.9% increase
       compared to the first quarter of 2009 and the fourth quarter of 2009,
       respectively. Revenues generated from solar cell sales were US$91.7
       million, representing a 166.6% and 3.3% increase compared to the first
       quarter of 2009 and the fourth quarter of 2009, respectively.
    -- Gross profit was US$16.9 million compared to a gross loss of US$8.8
       million and gross profit US$10.4 million during the first quarter of
       2009 and the fourth quarter of 2009, respectively. Gross margin was
       16.2%, compared to negative 23.7% during the first quarter of 2009 and
       10.7% during the fourth quarter of 2009.
    -- GAAP net income was US$7.1 million, compared to net loss of US$16.0
       million and net loss of US$3.6 million in the first quarter of 2009 and
       the fourth quarter of 2009, respectively.
    -- GAAP net income per ADS was US$0.18 on both basic and diluted basis,
       compared to a net loss of US$0.40 and US$0.09 per ADS in the first
       quarter of 2009 and the fourth quarter of 2009. Adjusted non-GAAP net
       income per ADS was US$0.16 on both basic and diluted basis.
    -- Operating cash inflow in the first quarter was US$22.7 million.

    * Please refer to "Reconciliation Tables of GAAP to adjusted Non-GAAP
      Figures" at the end of this press release.

"We are pleased to see that the strategic actions taken over the past several quarters have helped China Sunergy benefit from the improving demand environment, resulting in healthy gross margins and a return to net profitability," commented Mr. Stephen Zhifang Cai, CEO of China Sunergy. "Our improved operational efficiency and aggressive supply-chain management allowed us to reduce our cost base, and we implemented a comprehensive financial strategy against market volatility, including currency hedges, that shielded our cash flow during the quarter. In the coming months, we will integrate our solar cell manufacturing expertise with our new module production capabilities, to ensure we continue to offer industry leading solar products to our global customers."

    Technological and Operational Highlights

    -- Shipments of solar power products in the first quarter amounted to
       approximately 74.9 MW, representing a 213.4% increase on a year-over-
       year basis and a 0.8% increase sequentially.
    -- First quarter production of 75.0 MW of solar cells represented a 312.1%
       increase on a year-over-year basis and a 22.3% increase sequentially.
    -- During the quarter, China Sunergy entered into an agreement to acquire
       two related module manufacturers, CEEG (Shanghai) Solar Science &
       Technology Co., Ltd and CEEG (Nan Jing) New Energy Co., Ltd. The
       acquisitions enhance China Sunergy's position in the downstream
       photovoltaic market and advance the Company's initiative of developing
       into a comprehensive solution provider and providing value-added
       services to customers, by bringing polycrystalline module manufacturing
       in-house and strengthening the Company's competitive advantages within
       the solar sector.
    -- As a result of the investment made in skilled technical personnel last
       quarter, the Company continued to refine its manufacturing processes,
       which contributed to the yield improvement. In addition, China Sunergy
       was able to offer a more favorable product mix during the quarter,
       which also contributed to the gross margin improvement.

    First Quarter 2010 Financial Review

Revenues, Shipment and Production

During the first quarter of 2010, revenues increased 181.9% on a year-over-year basis, and 6.9% sequentially to US$104.3 million.

During the first quarter of 2010, sales from solar cells, modules and other sales accounted for 87.9%, 3.5% and 8.6% of total revenues, respectively. Shipments, including 2.1 MW for module sales, amounted to approximately 74.9 MW, compared to 23.9 MW during the first quarter of 2009 and 74.3 MW during the fourth quarter of 2009.

For the first quarter, quarter-on-quarter sales of solar cell products increased by 166.6% as compared to the first quarter of 2009.

Solar cell sales in overseas markets as a percentage of total solar cell sales were 25.4% in the first quarter of 2010 compared to 24.2% and 31.3% in the first quarter of 2009 and the fourth quarter of 2009, respectively.

Gross Profit/Loss, Gross Margins and Average Selling Price ("ASP")

Gross profit for the quarter was US$16.9 million, which led to a blended gross margin of 16.2%, up from 10.7% in the fourth quarter of 2009. The improvement in gross margin was partially due to steady ASP and a lower cost structure, a result of better supply chain management and higher production levels during the quarter.

Blended ASP during the first quarter was US$1.26 per watt, which is same with the previous quarter. The blended ASP for the first quarter of 2009 was US$1.64.

Wafer Costs

In the first quarter of 2010, blended wafer costs declined to US$0.78 per watt compared to US$0.80 per watt in the fourth quarter of 2009. Wafer costs per watt as a percentage of total production costs per watt rose from 76.4% in the fourth quarter of 2009 to 77.7% in the first quarter of 2010, partially due to total production cost declining to a greater degree than wafer costs during the first quarter of 2010.

Other production costs for the quarter declined to US$0.22 per watt compared to US$0.25 in the fourth quarter of 2009, mainly due to the increased production volume.

SG&A, Operating Profit/Loss and Net Income/Loss

SG&A expenses in the first quarter of 2010 were US$5.8 million, compared to US$6.1 million in the first quarter of 2009 and US$10.7 million in the fourth quarter of 2009.

For the first quarter, the Company reported an income from operations of US$10.3 million, compared to an operating loss of US$16.4 million and an operating loss of US$1.1 million for the first quarter of 2009 and the fourth quarter of 2009, respectively.

Interest expense for the first quarter of 2010 was US$2.2 million, compared to US$1.5 million for the first quarter of 2009 and US$2.3 million for the fourth quarter of 2009, respectively.

In the first quarter of 2010, the Company reported a net income of US$7.1 million, compared to a net loss of US$3.6 million in the previous quarter and a net loss of US$16.0 million in the first quarter of 2009.

Non-GAAP net income was US$6.6 million in the first quarter of 2010, compared to non-GAAP net loss of US$13.3 million and non-GAAP net loss of US$3.2 million in the first quarter of 2009 and the fourth quarter of 2009, respectively.

    * The non-GAAP measures are described and reconciled to the corresponding
      GAAP measures in the section below titled "Use of Non-GAAP Financial
      Measures."

Balance Sheet and Cash Flow

As of March 31, 2010, the Company had cash and cash equivalents of US$143.3 million. Net operating cash inflow for the first quarter was US$22.7 million. Depreciation and amortization was US$3.0 million and capital expenditures were US$0.8 million.

Future Developments and Company Outlook

Manufacturing Capacity Expansion

Given the anticipated increase in demand for its solar cell products, China Sunergy plans to expand its solar cell manufacturing capabilities through the addition of 3 new solar cell lines within its Nanjing facility. These new lines are expected to add 80 MW in solar cell capacity by the end of 2010. China Sunergy anticipates $13 million in capital expenditure during 2010 to fund this capacity expansion.

Second Quarter Outlook

During the second quarter of 2010, China Sunergy anticipates solar product shipments will be between 80 MW to 90 MW, with a gross margin of between 14 - 16%. For the full year of 2010, the Company still expects to ship 280MW to 350MW of solar products.

Additional Company Updates

During the quarter, China Sunergy announced the appointment of Mr. Stephen Zhifang Cai as Chief Executive Officer. Mr. Cai, with extensive operational, management and technological experience, brings a high level of directly relevant knowledge to China Sunergy given his previously successful management of key strategic projects. Mr. Cai's positions have included Director of China Electric Equipment Group, CEO of CEEG PV Business, Chairman of CEEG Shanghai Science and Technology, and management roles at DuPont China and the Shanghai Institute of Chemical Fiber.

Regarding the ongoing dispute with REC WAFER NORWAY AS("REC WAFER"), in September 2009, China Sunergy initiated a lawsuit against REC Wafer and requested for an injunction at the People's High Court of Jiangsu Province, China("the PRC Court"). The court accepted the case and issued the injunction to the related banks for the purpose of preventing those banks from payments under the bank guarantees. REC Wafer challenged the jurisdiction of the PRC Court over this case. However, the PRC Court, after an oral hearing, rejected REC Wafer's challenge in mid April 2010.

In addition, China Sunergy initiated a lawsuit in September 2009 at the Salten District Court, alleging that REC Wafer is not a party to the contract originally entered into between China Sunergy and the dissolved REC Sitech. The original oral hearing scheduled at the Salten District Court from the 19th to 21st of April was delayed, due to the Iceland volcano eruption. The new date of the oral hearing is rescheduled to 1st and 2nd of June 2010 with a judgment expected in the same month.

In parallel, China Sunergy requested an injunction at the Salten District Court to prevent REC from accessing the bank guarantees. After an oral hearing, the Salten District Court denied the injunction. China Sunergy appealed the decision. On April 16, 2010, the Court of Appeal denied the injunction and China Sunergy further appeals to the Supreme Court. The Court of Appeal further ordered on April 23, 2010 to the effect that its ruling on April 16, 2010 is to be suspended until the appeal is determined by the Supreme Court.

China Sunergy plans to vigorously defend the Company's interests and will continue to monitor the developments of the REC legal proceedings under both PRC and Norwegian courts. As of date of this release, the Company has not accrued any contingent loss related to this matter given that the outcome and any loss, if any, is undeterminable at this time.

Quarterly Earnings Conference Call Details

China Sunergy will host a conference call at 8:00 a.m. Eastern Time or 5:00 a.m. Pacific Time (Beijing / Hong Kong Time: April 30, 2010 at 8:00 p.m.).

    The dial-in details for the live conference call are as follows:

    US Toll Free Dial In:  +1-866-804-6923
    International Dial In: +1-857-350-1669
    Participant Passcode:  39769535

The call will also be available online at http://www.chinasunergy.... .

For those who cannot access the live broadcast, a replay will be available from two hours after the end of the call until May 6, 2010. The replay is available online or using the numbers below:

    U.S toll free number: +1-888-286-8010
    International:  +1-617-801-6888
    Passcode: 50462190

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (Nasdaq:CSUN - News) ("China Sunergy") is a specialized manufacturer of solar cell and module products in China. China Sunergy manufactures solar cells from silicon wafers, which utilize crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect, and assembles solar cells into solar modules. China Sunergy sells these solar products to Chinese and overseas module manufacturers, system integrators, and solar power systems for use in various markets.

For more information please visit http://www.chinasunergy.... .

Use of Non-GAAP Financial Measures

To supplement China Sunergy's consolidated financial results presented in accordance with GAAP, China Sunergy uses the following measures defined as non-GAAP financial measures by the SEC: net income excluding share-based compensation and change in fair value of foreign currency derivative loss/gain, and basic and diluted net income per ADS excluding share-based compensation and change in fair value of foreign currency derivative loss/gain. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the tables captioned "Reconciliations of non-GAAP financial measures to the nearest comparable GAAP measures" set forth at the end of this release. China Sunergy believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance by excluding certain expenses and expenditures that may not be indicative of its operating performance from a cash perspective. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing the Company's performance and when planning and forecasting future periods. The Company expects to provide net income on a non-GAAP basis using a consistent method on a quarterly basis going forward. A limitation of using non-GAAP net income excluding share-based compensation and change in fair value of foreign currency derivative loss/gain, and basic and diluted net income per ADS excluding share-based compensation and change in fair value of foreign currency derivative loss/gain is that these non-GAAP measures exclude the share-based compensation and change in fair value of foreign currency derivative loss/gain that have been and will continue to be for the foreseeable future a significant recurring expense in the business. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables have more details on the reconciliations between GAAP financial measures that are comparable to non-GAAP financial measures.

    For further information contact:

    Financial Dynamics
     Peter Schmidt
     Email: peter.schmidt@fd.com
     Phone: +86-10-8591-1953

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products, the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

The following financial information is extracted from the Company's condensed consolidated financial statements for the respective periods.

NANJING, China, Nov. 18 /PRNewswire-Asia/ -- China Sunergy Co., Ltd. (Nasdaq: CSUN - News), ("China Sunergy" or the "Company") a specialized solar cell manufacturer based in Nanjing, China, announced today its financial results for the third quarter of 2009.

    Third Quarter Financial Results

    -- Revenues were US$80.1 million, a 14.3% increase compared to the second
       quarter of 2009. Revenues generated from solar cell sales were US$68.5
       million, representing a 25.7% increase compared to the second quarter
       of 2009.
    -- Gross profit was US$8.2 million for the third quarter, compared to
       gross profit of US$6.8 million during the second quarter of 2009.
       Accordingly, gross margin was 10.2%, slightly above the 9.7% reported
       during the second quarter of 2009.
    -- GAAP net income was US$7.8 million. Adjusted non-GAAP net loss was
       US$1.3 million, which excludes share-based compensation and the change
       in the fair value of foreign currency derivatives. This compares to
       non-GAAP net income of US$1.2 million in the second quarter of 2009.
    -- GAAP net income per ADS was US$0.20 on basic basis and US$0.19 on
       diluted basis. Adjusted non-GAAP net loss per ADS was US$0.03 on both
       basic and diluted basis, which excludes share-based compensation and
       the change in the fair value of foreign currency derivatives, compared
       to a non-GAAP net income of US$0.03 per ADS in the second quarter of
       2009.
    -- Inventory as of September 30, 2009 was $32.0 million, up from $25.0
       million as of June 30, 2009. Inventory write-down was $3.3 million,
       compared to $2.9 million in the second quarter of 2009.
    -- Operating cash flow in the third quarter was negative US$16.5 million,
       compared with positive $19.5 million in the second quarter of 2009. As
       of September 30, 2009, the Company had cash and cash equivalents of
       US$113.4 million

Please refer to "Reconciliation Tables of GAAP to adjusted Non-GAAP Figures" at the end of this press release.

Technology Development and Operational Highlights -- Shipments in the third quarter amounted to approximately 54.4 MW, representing a 31.1% increase sequentially and a 59.5% increase on a year-over-year basis. -- Utilizing the new technology, China Sunergy has developed a mono-crystalline high efficiency P-type solar cell with target conversion efficiency of over 19%. A test conducted in the third quarter by the Fraunhofer Institute for Solar Energy Systems in Germany has shown the conversion efficiency of 19.04%. -- China Sunergy entered into a series of sales contracts with NUE PTY Ltd, a leading Australian photovoltaic firm. China Sunergy expects to ship up to a total of 10MW of OEM sub-contracted monocrystalline solar modules, to NU Energy, with full delivery scheduled to be completed by early 2010. -- The Company furthered this strategy by entering into a framework agreement related to the delivery of China Sunergy solar products to Opsun Technologies, Inc., a Canadian photovoltaic firm between 2009 and 2014. The framework agreement aims both to facilitate sales of up to 100MW of China Sunergy's existing of solar cells and modules while enhancing the development of specialized solar cells for future projects. Commenting on the results, Dr. Allen Wang, CEO of China Sunergy, said:

"We have effectively implemented strategies to benefit from the improved market for our solar products, primarily by building demand channels among new clients and within existing relationships. As a result, we have achieved the upper range of our previously released shipment guidance for the quarter, and an improvement in our gross margin. Although challenges remain given the still uncertain long-term demand, China Sunergy is consistently improving the scope and technological leadership of our products to meet our clients' needs, and we expect this trend to continue in the coming quarters."

Third Quarter 2009 Financial Review

Revenues and Shipment

During the third quarter of 2009, revenues increased 14.3% sequentially to US$80.1 million. Sales from solar cells, modules, cells processed under OEM arrangements and other sales accounted for 85.5%, 6.1%, 0.0% and 8.4% of total revenues, respectively. Other sales were mainly revenue on polysilicon sales through buy-sell arrangements.

Shipments amounted to approximately 54.4 MW, representing 59.5% and 31.1% increase compared with the third quarter of 2008 and the second quarter of 2009, respectively.

The percentage of solar cell sales in overseas markets was 36.1% of total solar cell sales in the third quarter of 2009 compared to 45.1% and 41.0% in the third quarter of 2008 and the second quarter of 2009, respectively.

ASP, Gross Profit/Loss & Gross Margins

Blended average selling price (ASP) for the third quarter of 2009 declined from US$1.44 per watt in the previous quarter to US$1.32 per watt. The blended ASP for the third quarter of 2008 was US$3.48.

Gross profit for the quarter was US$8.2 million, which led to a blended gross margin of 10.2%, compared to 9.7% in the previous quarter, and 9.3% in the third quarter of 2008 despite the decline in ASP in the third quarter. The increase in gross margin from the second quarter of 2009 was primarily due to the lower conversion cost in the third quarter of 2009, balancing the continued decline in ASP.

Wafer Costs

In the third quarter of 2009, blended wafer cost, a part of production costs, declined to US$0.87 per watt compared to US$0.96 per watt in the second quarter of 2009. The Company's procurement flexibility allowed for the continued purchase of raw materials on the spot market, reducing blended wafer cost.

Wafer cost continued to decline as a percentage due to lower wafer pricing in the third quarter. Wafer cost per watt as a percentage of total production costs per watt declined from 75.2% in the second quarter of 2009 to 74.7% in the third quarter of 2009.

Other production costs, or conversion costs, for the quarter were US$0.29 per watt, compared with $0.31 per watt in the second quarter of 2009, and $0.28 in the third quarter of 2008. The decline from the second quarter of 2009 was largely due to greater utilization and effective non-wafer cost controls.

SG&A, Operating Profit/Loss and Net Income/Loss

SG&A expenses in the third quarter of 2009 were US$7.1 million, compared to US$4.9 million in the third quarter of 2008 and US$3.6 million in the last quarter. G&A expenses in the third quarter included US$1.4 million of bad debt provision for account receivables, while the Company reversed US$0.4 million of provision in the second quarter. China Sunergy booked US$0.8 million in legal expenses related to the REC Wafer AS legal proceedings in the third quarter.

Income from operations was US$0.5 million for the third quarter, compared to operating income of US$1.7 million for the second quarter of 2009. Operating income for the third quarter of 2008 was US$5.7 million.

Interest expense for the third quarter 2009 was US$1.8 million, compared to US$2.1 million for the third quarter of 2008 and US$1.9 million for the second quarter of 2009, respectively.

Net other income in the third quarter of 2009 was US$0.7 million, compared to net other income US$3.0 million for the second quarter of 2009. Net other income in the second quarter included a gain of US$2.2 million on the repurchase of the convertible bonds.

The gain from the change in fair value of derivatives during the third quarter of 2009 was US$9.7 million, compared to the gain of US$0.5 million during the second quarter of 2009. It was mainly due to the termination of REC long-term supply contract announced by REC on September 9, 2009. Therefore, US$10.7 million of the derivative liability related to this long-term supply contract was reversed to income statement as a gain through the change in fair value of derivatives, resulting from the contract termination.

In the third quarter, GAAP net profit was US$7.8 million, an improvement sequentially compared to GAAP net income of US$1.7 million in the second quarter of 2009. GAAP net income was US $0.2 million in the third quarter of 2008.

Non-GAAP net loss was US$1.3 million in the third quarter of 2009, compared to a Non-GAAP net income of US$1.2 million in the second quarter of 2009, and a Non-GAAP net income of US$2.0 million in the third quarter of 2008. Non-GAAP figures exclude share-based compensation and the change in the fair value of foreign currency derivatives.

The non-GAAP measures are described and reconciled to the corresponding GAAP measures in the section below titled "Use of Non-GAAP Financial Measures."

Liquidity, Cash Flow, Borrowing and Capital Expenditure

As of September 30, 2009, the Company had cash and cash equivalents of US$113.4 million. Net operating cash outflow for the third quarter was US$16.5 million, compared to the positive cash flow of $19.5 million at the end of second quarter, as the Company made a full cash payment for the US$14.6 bank promissory note which was issued in January of 2009 and matured in the third quarter.

The short-term bank borrowing at the end of the third quarter increased to US$125 million from US$76 million at the end of the second quarter. On September 30, the Company obtained a RMB 200 million short-term loan from the Export and Import Bank of China. Subsequent to receiving this loan, the Company recently repaid certain short term banking loans from other banks ahead of schedule, as the Company has preferable interest rate on the borrowings from the Export and Import Bank of China.

Depreciation and amortization was US$2.9 million and capital expenditures were US$1.4 million, largely involving the remaining payments for equipment relating to the Company's selective emitter cell production lines.

Third Quarter and Full Year Outlook

The Company currently anticipates strong shipment growth in the fourth quarter, and therefore believes that shipments will range from 70 MW to 80 MW in the fourth quarter. The gross margin in the fourth quarter is expected to be in low teens given moderate pricing stabilization, lower conversion costs and the strong demand for our solar products.

Given an improved demand environment now being seen through the end of the year, the Company now expects that full year shipments will be between 190 MW to 200 MW, which is at the high end of their previously announced guidance.

Management Updates

China Sunergy recently named Mr. Siegfried Yi Chou Hsu to be Chief Financial Officer. Mr. Shiliang Guo, who was the acting CFO of China Sunergy, resigned from the acting CFO position while remaining a Director of the Company.

Other Company Updates

China Sunergy held its annual general meeting during the second quarter, during which the shareholders adopted the ordinary resolutions proposed by the Company.

During the quarter, the long term supply contract signed with REC Sitech As in 2008 was terminated. China Sunergy initiated legal proceedings against REC Wafer AS related to the contract and bank guarantees. REC has until November 18, 2009 to respond to a legal writ the Company filed regarding to the viability of their claimed position as a party to the contract signed with REC SiTech. As these legal proceedings continue, we will be better able to determine the outcome, and as such, the Company has not accrued any contingent loss related to this pending litigation with REC Wafer AS in the financial results in this earnings report given the outcome and any loss, if any, is undeterminable at this time.

Quarterly Earnings Conference Call Details

China Sunergy will host a conference call at 7:00 a.m. Eastern Time or 4:00 a.m. Pacific Time (Beijing / Hong Kong Time: November 18, 2009 at 8:00 p.m.). The management team will be on the call to discuss results and highlights of the quarter and answer questions.

The dial-in details for the live conference call are as follows: US Toll Free Dial In: +1-866-356-3377 International Dial In: +1-617-597-5392 Participant Passcode: 79024512

The call will also be available online at http://www.chinasunergy....

For those who cannot access the live broadcast, a replay will be available from two hours after the end of the call until November 25, 2009. The replay is available online or using the numbers below:

US toll free number: +1-888-286-8010 International: +1-617-801-6888 Passcode: 63924111

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (NASDAQ: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

Use of Non-GAAP Financial Measures

To supplement China Sunergy's consolidated financial results presented in accordance with GAAP, China Sunergy uses the following measures defined as non-GAAP financial measures by the SEC: net income excluding share-based compensation and change in fair value of foreign currency derivative loss, and basic and diluted net income per ADS excluding share-based compensation and change in fair value of foreign currency derivative loss. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the tables captioned "Reconciliations of non-GAAP financial measures to the nearest comparable GAAP measures" set forth at the end of this release. China Sunergy believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance by excluding certain expenses and expenditures that may not be indicative of its operating performance from a cash perspective. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing the Company's performance and when planning and forecasting future periods. A limitation of using non-GAAP net income excluding share-based compensation and change in fair value of foreign currency derivative loss, and basic and diluted net income per ADS excluding share-based compensation and change in fair value of foreign currency derivative loss is that these non-GAAP measures exclude the share-based compensation and change in fair value of foreign currency derivative loss that have been and will continue to be for the foreseeable future a significant recurring expense or income in the business. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. Please refer to "Reconciliation of non-GAAP financial measures to the nearest comparable GAAP measures" set forth at the end of this press release.

For further information contact: Peter Schmidt Financial Dynamics Email: peter.schmidt@fd.com

Tel: +86-10-8591-1953

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products, the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

China Sunergy Co., Ltd. Unaudited Condensed Consolidated Income Statement Information (In US$ '000, except share and per share data) For the 3 months ended Sep 30, Jun 30, Sep 30, 2009 2009 2008 Sales to third parties 58,061 57,825 102,006 Sales to related parties 21,992 12,315 17,031 Total sales 80,053 70,140 119,037 Cost of goods sold (71,888) (63,315) (107,987) Gross profit 8,165 6,825 11,050 Operating expenses: Selling expenses (887) (630) (582) General and administrative expenses (6,185) (2,949) (4,319) Research and development expenses (605) (1,509) (431) Total operating expenses (7,677) (5,088) (5,332) Income from operations 488 1,737 5,718 Interest expense (1,790) (1,864) (2,081) Interest income 379 594 408 Other income/(expenses), net 745 3,015 (3,728) Changes in fair value of derivatives 9,713 470 (848) Income/(loss) before income tax 9,535 3,952 (531) Income tax (expense) benefit (1,719) (2,210) 742 Net income 7,816 1,742 211 Net income attributable to ordinary shareholders 7,816 1,742 211 Net income per ADS Basic $0.20 $0.04 $0.01 Diluted $0.19 $0.04 $0.01 Weighted average ADS outstanding Basic 39,957,185 39,823,915 39,737,547 Diluted 43,708,330 40,409,045 40,392,139 China Sunergy Co., Ltd Unaudited Condensed Consolidated Balance Sheet Information (In US$ '000, except share and per share data) Sep 30, Dec 31, 2009 2008 Assets Current Assets Cash and cash equivalents 113,416 94,800 Restricted cash 70,735 62,400 Accounts receivable (net) 24,649 8,906 Other receivable (net) 5,970 10,273 Income tax receivable 1,258 1,258 Inventories 32,048 59,125 Advance to suppliers 2,253 7,320 Amount due from related companies 25,350 18,583 Current deferred tax assets 2,656 1,992 Total current assets 278,335 264,657 Property, plant and equipment, net 97,835 102,609 Prepaid land use rights 6,465 6,442 Deferred tax assets 1,512 1,512 Restricted cash- Collateral account 19,186 17,502 Derivative assets 28 -- Other long-term assets 3,925 5,003 Total assets 407,286 397,725 Liabilities and equity Current liabilities Short-term bank borrowings 125,065 97,299 Accounts payable 40,918 43,730 Accrued expenses and other current liabilities 6,718 5,445 Amount due to related companies 512 247 Total current liabilities 173,213 146,721 Collateral account payable 19,186 17,502 Derivative liability 248 9,058 Other liabilities 1,083 1,187 Convertible bond payable 44,000 48,000 Total liabilities 237,730 222,468 Equity Ordinary shares: US$0.0001 par value; 267,287,253 and 267,766,443 shares issued outstanding as of September 30, 2009 and December 31, 2008, respectively 27 27 Additional paid-in capital 182,867 182,070 Subscription receivable (405) (405) Accumulated deficit (34,122) (27,792) Accumulated other comprehensive income 21,189 21,058 Total equity attributable to CSUN 169,556 174,958 Noncontrolling interest -- 299 Total equity 169,556 175,257 Total liabilities and equity 407,286 397,725 Reconciliation of non-GAAP results of operations measures to the nearest comparable GAAP measures (In US$ '000, except share and per share data) For the 3 months ended Sep 30, Jun 30, Sep 30, 2009 2009 2008 GAAP Net income 7,816 1,742 211 Stock based compensation 564 (119) 925 Changes in fair value of derivatives- REC contract (10,662) (2,085) 848 Changes in fair value of derivatives- Euro hedging 949 1,615 -- Non-GAAP Net income/(loss) (1,333) 1,153 1,984 Non-GAAP Net income/(loss) per ADS Basic ($0.03) $0.03 $0.05 Diluted ($0.03) $0.03 $0.05 Weighted average ADS outstanding Basic 39,957,185 39,823,915 39,737,547 Diluted 39,957,185 40,409,045 40,392,139

Following the earnings release, China Sunergy will host a conference call at 7:00 a.m. Eastern Time or 4:00 a.m. Pacific Time (Beijing / Hong Kong Time: November 18, 2009 at 8:00 p.m.). The management team will be on the call to discuss results and highlights of the quarter and answer questions.

    The dial-in details for the live conference call are as follows:

    US Toll Free Dial In:   +1-866-356-3377
    International Dial In:  +1-617-597-5392

    Participant Passcode:   79024512

The call will also be available online at http://www.chinasunergy.... .

For those who cannot access the live broadcast, a replay will be available from two hours after the end of the call until November 25, 2009. The replay is available online or using the numbers below:

    US toll free number:    +1-888-286-8010
    International:          +1-617-801-6888
    Passcode:               63924111

About China Sunergy Co. Ltd

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

    For more information, please contact:

     Peter Schmidt
     FD Asia
     Phone: +86-10-8591-1953
     Email: peter.schmidt@fd.com

NANJING, China, Oct. 23, 2009 (PRNewswire-Asia) -- China Sunergy Co., Ltd (Nasdaq: CSUN), a specialized solar cell manufacturer based in Nanjing, China, and Opsun Technologies, Inc., a Canadian manufacturer of solar panels, mounting systems and solar concentrators ("Opsun"), have entered into a framework agreement related to the delivery of China Sunergy solar products to Opsun between 2009 and 2014.

The framework agreement aims to leverage the existing relationship between the firms to facilitate sales of China Sunergy's existing solar cell products while enhancing the development of specialized solar cells for future projects. The agreement encompasses the delivery of 100MW of solar cells and solar modules to Opsun, with the solar modules being provided through OEM arrangements.

Opsun will integrate China Sunergy's advanced solar cell technology into their PV Panel, Structural PV modules and 3X Concentrated modules, sales of which will initially be focused in the Canadian provinces of Ontario and Quebec as well as the north-eastern United States. As part of the developmental aspect of the agreement, China Sunergy will enhance existing solar cell technology based on Opsun's specifications, allowing the delivery of specialized solar products directly to Opsun. These solar products will be incorporated into Opsun's advanced '3 Suns' photovoltaic concentrator systems, demonstrating China Sunergy's ability to deliver customized solutions to clients.

"The relationship with Opsun has already proven to be a valuable one for China Sunergy, and we look forward to deepening our cooperation by working together to develop advanced solar products in the coming years," stated Mr. Allen Wang, Director and Chief Executive Officer of China Sunergy. "Opsun is an innovative company offering unique and dynamic products, and we anticipate our relationship leading to continued success at the front-line of the Canadian solar sector."

Raymond Gilbert, Opsun's Chairman, commented, "Opsun is delighted to have strengthened our partnership with China Sunergy, a well-known player in the photovoltaic field and a leading solar cell producer. As Opsun integrates CSUN's components into our new product lines, we will be in a stronger position to rapidly become a significant player in North America's fast growing photovoltaic market."

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (NASDAQ: CSUN) ("China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.com .

About Opsun Technologies, Inc.:

Opsun aims to develop and manufacture a line of solar products that minimizes the total cost of solar systems by increasing efficiency, reducing material costs and facilitating installation on rooftops and solar farms. Founded in 2005, Opsun Technologies is composed of a team of PhDs, Masters in Science, engineers and technical people. Opsun's management team has more than 35 years of experience in service, manufacturing and energy corporations. Opsun's line of products, which has been developed to be installed in cold climates with snow and ice rain, features unique and innovative patented technologies and concepts. Opsun is participating in the Ontario Feed-In Tariff program.

    For further information contact:

Peter Schmidt
Financial Dynamics
Tel:   +86-10-8591-1953
Email: peter.schmidt@fd.com

Erik Desrosiers
Director of Business Development
Opsun Technologies, Inc.
Tel:   +1-514-800-1156
Email: edesrosiers@opsun.com

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products, the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

SOURCE China Sunergy Co., Ltd

Source: PR Newswire (October 23, 2009 - 8:30 AM EDT)

On September 11th, 2009 China Sunergy obtained an injunction at a district court in Norway against REC Wafer Norway AS, prohibiting REC from drawing on certain bank guarantees. The current injunction lasts until October 15th, 2009 and China Sunergy has now delivered a petition for an extension to the Norwegian court.

Along with the petition, China Sunergy has served a writ at the same court in Norway claiming that REC Wafer Norway AS is not, and has never been, a party to the contract entered into between China Sunergy and the dissolved company REC SiTech AS. Consequently REC Wafer Norway AS is not, and has never been, entitled to claim any position according to the terminated contract.

The current actions relate back to September 9th, 2009, when REC Wafer Norway AS terminated the Agreement for the Supply of Monocrystalline Silicon Ingots and/or Wafers entered into between China Sunergy and the dissolved company REC SiTech AS in 2008. At that time, REC Wafer Norway AS demanded payment according to three on-demand bank guarantees, for a total of USD 50 million, issued by Nordea Bank Norge ASA on behalf of China Sunergy as principal and three Chinese banks as sub-guarantors. China Sunergy disputes REC Wafer Norway AS' position as beneficiary to the bank guarantees as well as their position as a party to the contract. This view is supported by China Sunergy's legal counsel in Norway and England.

About China Sunergy Co., Ltd.

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

    For further information contact:

     Peter Schmidt
     FD Asia
     Tel:   +86-10-8591-1953
     Email: peter.schmidt@fd.com

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products; the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

In response to China Sunergy's filing, the court in China has issued a ruling and served to the China representative office of Nordea Bank, and the related Chinese banks respectively, suspending the payment of an aggregate amount of USD50 million in bank guarantees.

Also, on September 11, the local court in Norway granted an injunction with respect to the payment with an aggregate amount of USD50 million in bank guarantees.

The court in China issued the ruling on the basis, among other things, that REC SITECH AS, the original beneficiary of the USD50 million bank guarantees, was legally dissolved in January, 2009, the starting period of its performance of the agreement. According to the guarantees as issued, the right to claim payment cannot be transferred, meaning no other entity, including REC Wafer, can call upon bank guarantees on behalf of REC SITECH AS.

Although the intended dissolution of REC SITECH AS was planned and approved prior to its signing of the supply agreement, REC SITECH AS neither officially notified China Sunergy of its intended dissolution nor sought China Sunergy's prior written consent in the required manner as of today. Until very recently, REC continued to claim that REC Wafer Norway was a change of name of REC SITECH AS. To date, REC has not made any shipments of wafer to China Sunergy under the agreement.

China Sunergy initiated talks with REC in good faith in 2009, seeking a mutually agreeable solution to the challenging market situation and a strong and sustainable long-term partnership. The company made notable concessions to REC, including new product mix and higher purchasing volume. While both parties were negotiating the remaining few key terms of an amendment to the contract, REC suddenly and unilaterally terminated the agreement.

About China Sunergy Co., Ltd.

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products; the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

    For further information contact:

     Peter Schmidt
     FD Asia
     Tel:   +86-10-8591-1953
     Email: peter.schmidt@fd.com

China Sunergy expects to ship up to a total of 10MW of monocrystalline solar modules, which are manufactured under sub-contracted OEM arrangement, to NU Energy, with partial shipments having begun in June 2009 and the full delivery under these contracts scheduled to be completed by early 2010 with ongoing contracts anticipated.

"Australia represents another new market for China Sunergy, and our successful signing of multiple sales agreements with this new customer is a positive indication of our ability to deliver high-quality solar power products globally," commented Dr. Ruennsheng Allen Wang, Director and CEO of China Sunergy. "Our dedicated sales efforts continue to generate results, both domestically and internationally, as we look to further diversify our sales channels."

NU Energy Chief Executive Officer Simon Schauble said, "NU Energy is one of Australia's largest solar companies, and these orders, totalling 10MW, show the strong confidence we have in our ongoing partnership with China Sunergy."

About China Sunergy Co. Ltd

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products; the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

    For further information contact:

     Peter Schmidt
     FD Asia
     Tel:   +86-10-8591-1953
     Email: peter.schmidt@fd.com

For the twelve months ended May 31, 2009, China Sun Group reported record revenue of $37 million, representing an increase of 46% compared to revenue of $25.3 million for the same period in 2008. The increase was primarily attributed to new sales channel partnerships and increased sales to new customers. Net income for the fiscal year ended May 31, 2009 was $8.6 million, an increase of 27% compared to net income of $6.7 million for the fiscal year ended May 31, 2008. Earnings per diluted share were $0.16 in fiscal 2009 compared to earnings per diluted share of $0.13 in fiscal 2008, based on a weighted average number of shares outstanding totaling 53,422,971.

Bin Wang, CEO of China Sun Group, stated, "Fiscal 2009 represented a year of impressive top- and bottom-line growth. Despite a challenging economy, we maintained a healthy balance sheet with no long-term debt and a strong cash position. Our cash grew from $3.9 million at the beginning of fiscal 2009 to $9.2 million at May 31, 2009, representing an increase of 137% year-over-year. Our research and development efforts have enabled us to reduce our costs and increase our productivity, while introducing new product innovations like the alternative battery component material, lithium iron phosphate ("li-ion")."

Wang continued, "Since DLX produced its first batch of li-ion in April 2009, we have signed contracts with several key customers in China. These customers are in various stages of testing this environmentally-sound material. Li-ion batteries are used in a number of consumer gadgets, such as mobile phones, PDAs, laptops, and digital cameras, in electric automobiles and solar and wind energy storage units and have many government and military applications. We believe that we are competitively positioned to serve diverse, emerging and large markets for li-ion battery components in China and worldwide. Combined with increased sales in our cobalt-based product lines, we are confident in our growth prospects for fiscal 2010," concluded Wang.

About China Sun Group

China Sun Group High-Tech Co., ("China Sun Group") produces anode materials used in lithium ion batteries. Through its wholly-owned operating subsidiary, Dalian Xinyang High-Tech Development Co. Ltd ("DLX"), the Company primarily produces cobaltosic oxide and lithium cobalt oxide. According to the China Battery Industry Association, DLX has the second largest cobalt series production capacity in the People's Republic of China. Through its research and development division, DLX owns a proprietary series of nanometer technologies that supply state-of-the-art components for advanced lithium ion batteries. Leveraging its state-of-the-art technology, high-quality product line and scalable production capacity, the Company plans to create a fully integrated supply chain from the primary manufacturing of cobalt ore to finished products, including lithium ion batteries. For more information, visit http://www.china-sun.cn.

The statements contained herein that are not historical facts are considered "forward-looking statements." Such forward-looking statements may be identified by, among other things, the use of forward-looking terminology such as "believes," "expects," "may," "will," "should," or "anticipates" or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties. In particular, statements regarding the potential growth of the markets are examples of such forward-looking statements. The forward-looking statements include risks and uncertainties, including, but not limited to, the effect of political, economic, and market conditions and geopolitical events; legislative and regulatory changes that affect our business; the availability of funds and working capital; the actions and initiatives of current and potential competitors; investor sentiment; and our reputation. We do not undertake any responsibility to publicly release any revisions to these forward-looking statements to take into account events or circumstances that occur after the date of this report. Additionally, we do not undertake any responsibility to update you on the occurrence of any unanticipated events, which may cause actual results to differ from those expressed or implied by any forward-looking statements. The factors discussed herein are expressed from time to time in our filings with the Securities and Exchange Commission available at http://www.sec.gov.

        Contact:
        China Sun Group
        Thomas Yang
        Assistant to the President
        Tel: 917-432-9350 (U.S.) or
        86 411 8288 9800/8289 2376 (China)
        Fax: 86 411 8289-2739
        e-mail: yang_xianfu@yahoo.com.cn

On June 25, 2008, China Sunergy entered into a Standard Agreement for the Supply of Monocrystalline Silicon Ingots and/or Wafers with the European wafer provider REC SiTech As for the high quality supply of monocrystalline 156- millimeter wafers for seven years from 2009 through 2015. It has been revealed that REC SiTech As now is dissolved as a result of a merger early this year.

As the polysilicon supply market has changed dramatically since the fourth quarter of 2008, key raw material suppliers such as REC have indicated the renegotiation of supply agreements with their respective customers and against this background, China Sunergy has entered into the renegotiation with its counterparty in respect to the overall arrangement of the supply agreement, with the good faith to reach a mutually beneficial agreement between both parties.

About China Sunergy Co., Ltd.

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

    For further information contact:

     Peter Schmidt
     FD Asia
     Tel:   +86-10-8591-1953
     Email: peter.schmidt@fd.com

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products; the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

NANJING, China, Aug. 27 /PRNewswire-Asia/ -- China Sunergy Co., Ltd. (Nasdaq: CSUN - News), ("China Sunergy" or the "Company") a specialized solar cell manufacturer based in Nanjing, China, announced today its financial results for the second quarter of 2009.

    Second Quarter Financial Results
    -- Revenues were US$70.1 million, an 89.5% increase compared to
       the first quarter of 2009. Revenues generated from solar cell
       sales were US$54.5 million, representing a 58.4% increase
       compared to the first quarter of 2009.
    -- Gross profit was US$6.8 million for the second quarter, compared
       to gross loss of US$8.8 million during the first quarter of 2009.
       Accordingly, gross margin was 9.7%, compared to negative 23.7%
       during the first quarter of 2009.
    -- GAAP net income was US$1.7 million. Adjusted non-GAAP net income
       was US$1.2 million, which excludes share-based compensation and
       the change in the fair value of foreign currency derivatives. This
       compares to non-GAAP net loss of US$13.2 million in the first
       quarter of 2009.
    -- GAAP net income per ADS was US$0.04 on both basic and diluted basis.
       Adjusted non-GAAP net income per ADS was US$0.03 on both basic and
       diluted basis, which excludes share-based compensation and the change
       in the fair value of foreign currency derivatives, compared to a
       non-GAAP net loss of US$0.33 per ADS in the first quarter of 2009.
    -- Inventory as of June 30, 2009 was $25.0 million, down from $29.6
       million as of March 31, 2009. Inventory write-down was $2.9 million,
       compared to $8.0 million in the first quarter of 2009.
    -- Operating cash flow in the second quarter was positive US$19.5 million,
       compared with positive $7.9 million in the first quarter of 2009.
    -- During the second quarter of 2009, China Sunergy continued to conduct
       open market repurchases of its 4.75% Convertible Senior Notes due 2013,
       repurchasing US$4 million aggregate principal amount of the convertible
       notes for a total cash consideration of US$1.8 million. As a result,
       China Sunergy realized a net gain of US$2.2 million. As of the end of
       the second quarter of 2009, the convertible bond balance was reduced to
       US$44 million.

Please refer to "Reconciliation Tables of GAAP to adjusted Non-GAAP Figures" at the end of this press release.

    Operational Highlights
    -- Shipments in the second quarter amounted to approximately 41.5MW,
       representing a 73.6% increase sequentially and an 18.6% increase on a
       year-over-year basis, due to more aggressive pricing, successful
       efforts to work in a more integrated fashion with existing clients, and
       expansion into new markets.
    -- Shipments of high efficiency cells (defined as any cells with a
       conversion efficiency rate of over 17%) during the second quarter of
       2009 amounted to 18.6MW, or 44.8% of total solar cell shipments,
       compared with 8.9MW, or 37.2% of total solar cell shipments, during the
       first quarter of 2009.
    -- The Company further expanded its international business through the
       signing of a framework agreement and sales contract with Renergies
       Italia S.p.A, a manufacturer of solar modules based in Urbisaglia,
       Italy. The Company also entered into a 35MW solar photovoltaic products
       framework agreement, and a 5MW solar photovoltaic products sales
       contract based on the framework agreement, with Global Service LTM in
       Taiwan for a South Korean downstream customer.
    -- Over the past quarters, at the request of customers China Sunergy has
       begun to supply modules produced with China Sunergy solar cells, under
       OEM agreements. While the Company is not producing these modules
       internally and there has been limited shipment volume, the Company
       expects these OEM module agreements to become accretive to gross margin
       levels as contract volumes increase.

Commenting on the results, Dr. Allen Wang, CEO of China Sunergy, said:

"After two quarters of unfavorable economic conditions, we are pleased that the decisive action we took earlier in the year has led to second quarter results which meet or exceed our expectations. We have experienced steady monthly progress among operational and financial level improvements, due to our effective financial and inventory management, a focus on developing existing and new market opportunities and continued dedication to our leading solar technologies. We returned to profitability during the quarter and will continue to work diligently to position ourselves for profitable growth within a still challenging marketplace."

Second Quarter 2009 Financial Review

Revenues and Shipment

During the second quarter of 2009, revenues increased 89.5% sequentially to US$70.1 million. Sales from solar cells, modules, cells processed under OEM arrangements and other sales accounted for 77.7%, 6.3%, 0.9% and 15.1% of total revenues, respectively. Other sales were mainly revenue on polysilicon sales through buy-sell arrangements.

Shipments, including 1.4 MW of solar cells processed under OEM arrangements, amounted to approximately 41.5 MW, representing respectively the 18.6% and 73.6% increase compared with the second quarter of 2008, and the first quarter of 2009

The percentage of solar cell sales in overseas markets was 41.0% of total solar cell sales in the second quarter of 2009 compared to 39.5% and 24.2% in the second quarter of 2008 and the first quarter of 2009, respectively.

ASP, Gross Profit/Loss & Gross Margins

Blended average selling price (ASP) for the second quarter of 2009 declined from US$1.64 per watt in the previous quarter to US$1.44 per watt. The blended ASP for the second quarter of 2008 was US$3.37.

Gross profit for the quarter was US$6.8 million, which led to a blended gross margin of 9.7%, compared to negative 23.7% in the previous quarter, and 10.4% in the second quarter of 2008 despite the decline in ASP in the second quarter. The increase in gross margin from the first quarter of 2009 was primarily due to significantly reduced wafer cost and lower non-wafer production cost in the second quarter of 2009, balancing the continued decline in ASP.

Wafer Costs

In the second quarter of 2009, blended wafer cost, a part of production costs, declined to US$0.96 per watt compared to US$1.61 per watt in the first quarter of 2009. As the higher cost inventory at the end of 2008 was fully consumed, the Company's procurement flexibility allowed for the continued purchase of more raw materials on the spot market, reducing blended wafer cost.

Wafer cost continued to decline as a percentage due to lower wafer pricing in the second quarter. Wafer cost per watt as a percentage of total production costs per watt declined from 81.4% in the first quarter of 2009 to 75.2% in the second quarter of 2009.

Other production costs, or conversion costs, for the quarter were US$0.31 per watt, compared with $0.37 per watt in the first quarter of 2009, and $0.27 in the second quarter of 2008. The decline from the first quarter was largely due to greater utilization and effective non-wafer cost controls.

SG&A, Operating Profit/Loss and Net Income/Loss

SG&A expenses in the second quarter of 2009 were US$3.6 million, compared to US$5.1 million in the second quarter of 2008 and US$6.1 million in the last quarter. G&A expenses in the first quarter included US$1.4 million of bad debt provision for account receivables, while we reversed US$0.4 million of provision in the second quarter.

Income from operations was US$1.7 million for the second quarter, compared to operating loss of US$16.4 million for the first quarter of 2009. Operating income for the second quarter of 2008 was US$6.0 million.

Interest expense for the second quarter 2009 was US$1.9 million, compared to US$1.7 million for the second quarter of 2008 and US$1.4 million for the first quarter of 2009, respectively. The higher interest expense in the second quarter of 2009 was mainly due to the added US$0.3 million convertible bonds amortization cost as a result of the repurchase of the convertible bonds.

Net other income in the second quarter of 2009 was US$3.0 million, compared to net other loss US$0.7 million for the first quarter of 2009. Net other income in the second quarter included a gain of US$2.2 million on the repurchase of the convertible bonds and a US$0.8 million foreign exchange gain.

In the second quarter, GAAP net profit was US$1.7 million, an improvement sequentially compared to a GAAP net loss of US$15.9 million in the first quarter of 2009. GAAP net income was US $3.1 million in the second quarter of 2008.

Non-GAAP net profit was US$1.2 million in the second quarter of 2009, compared to a Non-GAAP net loss of US$13.2 million in the first quarter of 2009, and a Non-GAAP net income of US$4.0 million in the second quarter of 2008. Non-GAAP figures exclude share-based compensation and the change in the fair value of foreign currency derivatives.

The non-GAAP measures are described and reconciled to the corresponding GAAP measures in the section below titled "Use of Non-GAAP Financial Measures."

Liquidity, Cash Flow and Capital Expenditure

As of June 30, 2009, the Company had cash and cash equivalents of US$89.8 million. Net operating cash inflow for the second quarter was US$19.5 million, as the Company maintained a cautious cash flow management policy and purchased a lower amount of wafer during the second quarter. Depreciation and amortization was US$2.5 million and capital expenditures were US$3.9 million, largely involving remaining payments for equipment relating to the Company's selective emitter cell production lines.

Commenting on the financial results, Mr. Shiliang Guo, acting CFO of China Sunergy, said:

"Given our lower operational cost structure, the second quarter marked a return to profitability for China Sunergy. During the quarter we also took steps to ensure the stability of our company, such as working to reduce the risk of our accounts receivables, conducting a repurchase of convertible bonds at a reasonable price and continuing to hedge a portion of our forecasted sales to limit our exposure to currency fluctuations. As we look into the third quarter, although we expect strong growth we also believe that the credit environment for solar products has not recovered at the rates we anticipated earlier in the year. While we continue to execute on the strategies we implemented at the beginning of the year, we are becoming more conservative regarding the realities of our demand forecast, shipment credit policies and pricing as we move into the coming quarters."

Third Quarter and Full Year Outlook

Given recent visibility into the third quarter, China Sunergy now believes that while the solar market will continue to recover, it will do so at a more moderate rate than previously anticipated.

The Company anticipates shipment growth to remain strong, with third quarter shipments of 48MW - 55MW. However, given the pricing trends and strong pricing competition being seen for the third quarter, the Company expects third quarter gross margins will be flat from the second quarter of 2009. These margin levels have been impacted by a lower than expected ASP and higher conversion costs during the third quarter, due to lower utilization rates.

The Company remains confident in its ability to achieve shipments within the previously announced full year guidance range of 150 MW to 200 MW. However, due to the more conservative view of the credit environment recovery, it anticipates shipments towards the lower end of the previously announced range for the full year of 2009.

Quarterly Earnings Conference Call Details

China Sunergy will host a conference call at 8:00 a.m. Eastern Time or 5:00 a.m. Pacific Time (Beijing / Hong Kong Time: August 27, 2009 at 8:00 p.m.). The management team will be on the call to discuss results and highlights of the quarter and answer questions.

    The dial-in details for the live conference call are as follows:

    US Toll Free Dial In:    1-800-299-9086
    International Dial In:   1-617-786-2903

    Participant Passcode:    84476336

For those who cannot access the live broadcast, a replay will be available from two hours after the end of the call until September 10, 2009. The replay is available online or using the numbers below:

    US toll free number:     +1-888-286-8010
    International:           +1-617-801-6888
    Passcode:                16755764

A webcast of the call and replay with be available online at http://www.chinasunergy.... .

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (NASDAQ: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

Use of Non-GAAP Financial Measures

To supplement China Sunergy's consolidated financial results presented in accordance with GAAP, China Sunergy uses the following measures defined as non-GAAP financial measures by the SEC: net income excluding share-based compensation and change in fair value of foreign currency derivative loss, and basic and diluted net income per ADS excluding share-based compensation and change in fair value of foreign currency derivative loss. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the tables captioned "Reconciliations of non-GAAP financial measures to the nearest comparable GAAP measures" set forth at the end of this release. China Sunergy believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance by excluding certain expenses and expenditures that may not be indicative of its operating performance from a cash perspective. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing the Company's performance and when planning and forecasting future periods. The Company expects to provide net income on a non-GAAP basis using a consistent method on a quarterly basis going forward. A limitation of using non-GAAP net income excluding share-based compensation and change in fair value of foreign currency derivative loss, and basic and diluted net income per ADS excluding share-based compensation and change in fair value of foreign currency derivative loss is that these non-GAAP measures exclude the share-based compensation and change in fair value of foreign currency derivative loss that have been and will continue to be for the foreseeable future a significant recurring expense in the business. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. Please refer to "Reconciliation of non-GAAP financial measures to the nearest comparable GAAP measures" set forth at the end of this press release.

    For further information, please contact:

     Peter Schmidt
     Financial Dynamics
     Email: peter.schmidt@fd.com
     Phone: +86-10-8591-1953

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products, the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

                               China Sunergy Co., Ltd.
           Unaudited Condensed Consolidated Income Statement Information
                     (In US$ '000, except share and per share data)

                                                   For the 3 months ended
                                               Jun 30,     Mar 31,     Jun 30,
                                                2009        2009        2008

      Sales to third parties                   57,825      22,775      92,802
      Sales to related parties                 12,315      14,263      18,835
      Total sales                              70,140      37,038     111,637
      Cost of goods sold                      (63,315)    (45,814)   (100,018)
      Gross profit (loss)                       6,825      (8,776)     11,619
      Operating expenses:
      Selling expenses                           (630)       (549)       (835)
      General and administrative expenses      (2,949)     (5,508)     (4,223)
      Research and development expenses        (1,509)     (1,544)       (547)
      Total operating expenses                 (5,088)     (7,601)     (5,605)
      Income/(loss) from operations             1,737     (16,377)      6,014
        Interest expense                       (1,864)     (1,420)     (1,686)
        Interest income                           594         322         367
        Other income/(expenses), net            3,015        (661)     (1,205)
        Changes in fair value of derivatives      470      (2,343)         --
      Income/(loss) before income tax           3,952     (20,479)      3,490
      Income tax (expense) benefit             (2,210)      4,592        (433)

      Net income/(loss)                         1,742     (15,887)      3,057
      Net income/(loss) attributable to
       ordinary shareholders                    1,742     (15,887)      3,057

      Net income/(loss) per ADS
      Basic                                     $0.04      ($0.40)      $0.08
      Diluted                                   $0.04      ($0.40)      $0.08

      Weighted average ADS outstanding
      Basic                                39,823,915  39,810,509  39,617,393
      Diluted                              40,409,045  39,810,509  39,893,320



                              China Sunergy Co., Ltd
            Unaudited Condensed Consolidated Balance Sheet Information
                  (In US$ '000, except share and per share data)

                                                 Jun 30,          Dec 31,
                                                   2009            2008
    Assets
    Current Assets
      Cash and cash equivalents                   89,843          94,800
      Restricted cash                             64,128          62,400
      Accounts receivable (net)                   28,419           8,906
      Other receivable (net)                       3,497          10,273
      Income tax receivable                        1,258           1,258
      Inventories                                 24,980          59,125
      Advance to suppliers                         1,914           7,320
      Amount due from related companies           23,369          18,583
      Current deferred tax assets                  4,375           1,992
    Total current assets                         241,783         264,657
    Property, plant and equipment, net            99,712         102,609
    Prepaid land use rights                        6,502           6,442
    Deferred tax assets                            1,512           1,512
    Restricted cash- Collateral account           19,142          17,502
    Derivative assets                                335              --
    Other long-term assets                         4,132           5,003
    Total assets                                 373,118         397,725

    Liabilities and shareholders' equity
    Current liabilities
      Short-term bank borrowings                  76,114          97,299
      Accounts payable                            54,505          43,730
      Accrued expenses and other current
       liabilities                                 5,652           5,445
      Amount due to related companies                352             247
    Total current liabilities                    136,623         146,721
    Collateral account payable                    19,142          17,502
    Derivative liability                          11,153           9,058
    Other liabilities                              1,101           1,187
    Convertible bond payable                      44,000          48,000
    Total liabilities                            212,019         222,468

    Shareholders' equity

    Ordinary shares: US$0.0001 par
     value; 267,287,253 and 267,766,443
     shares issued outstanding as of
     June 30, 2009 and December 31,
     2008, respectively                               27              27
    Additional paid-in capital                   182,303         182,070
    Subscription receivable                         (405)           (405)
    Accumulated deficit                          (41,938)        (27,792)
    Accumulated other comprehensive income        21,112          21,058
    Noncontrolling interest                           --             299
    Total shareholders' equity                   161,099         175,257
    Total liabilities and shareholders'
     equity                                      373,118         397,725



          Reconciliation of non-GAAP results of operations measures to the
                         nearest comparable GAAP measures
                 (In US$ '000, except share and per share data)

                                                 For the 3 months ended
                                               Jun 30,     Mar 31,    Jun 30,
                                                2009        2009        2008

      GAAP Net income/(loss)                    1,742     (15,887)      3,057
      Stock based compensation                   (119)        352         935
      Changes in fair value of
       derivatives- REC contract               (2,085)      5,136          --
      Changes in fair value of
       derivatives- Euro hedging                1,615      (2,793)         --

      Non-GAAP Net income/(loss)                1,153     (13,192)      3,992

      Non-GAAP Net income/(loss) per ADS
      Basic                                     $0.03      ($0.33)      $0.10
      Diluted                                   $0.03      ($0.33)      $0.10

      Weighted average ADS outstanding
      Basic                                39,823,915  39,810,509  39,617,393
      Diluted                              40,409,045  39,810,509  39,893,320

Sunergy's shareholders adopted the following ordinary resolutions proposed by the Company:

    1. Re-election of Mr. Jianhua Zhao as a Class B director of the Company;

    2. Re-election of Mr. Steve Morgan as a Class B director of the Company;

    3. Re-election of Ms. Merry Tang as a Class B director of the Company;

    4. Appointment of the Independent Auditor Deloitte Touche Tohmatsu for the
       fiscal year 2009; and

    5. The directors and each of Tingxiu Lu and Ruennsheng Allen Wang (each an
       "Officer") be and hereby are authorized to take any and every action
       that might be necessary to effect the foregoing resolutions as such
       director or officer, in his or her absolute discretion, thinks fit.

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products, the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

    For further information, please contact:

     Peter Schmidt
     FD Asia
     Tel:   +86-10-8591-1953
     Email: peter.schmidt@fd.com

China Sunergy's second quarter solar cell shipments slightly exceeded the previously announced guidance of 35MW to 40MW. Gross profit margin is expected to be around 9%, compared with prior guidance of a positive low single digit number. China Sunergy also expects to return to quarterly profitability for the second quarter of 2009.

''During the second quarter China Sunergy met or exceeded the guidance targets we set for ourselves, and I am pleased with the dedicated effort demonstrated by the entire company to achieve these results,'' Dr. Allen Wang, CEO of China Sunergy, remarked. ''We have experienced a steady monthly improvement in our operational and financial performance during the quarter, and I am looking forward to discussing our progress and challenges in more detail during the upcoming earnings period.''

As these selected estimated results are subject to the finalization of the Company's financial closing procedures, the Company's actual results may differ from its current estimates. China Sunergy plans to report its full second quarter 2009 results in late August 2009; once the reporting date is finalized a press release announcing the date and details of the second quarter conference call will be issued.

About China Sunergy Co., Ltd.:

China Sunergy Co., Ltd. (NASDAQ: CSUN) ('China Sunergy') is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

    For further information contact:

     Peter Schmidt
     Financial Dynamics
     Email: peter.schmidt@fd.com
     Tel:   +86-10-8591-1953

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products, the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

SOURCE China Sunergy Co., Ltd.

Holders of record of ordinary shares of the Company at the close of business on June 30, 2009, are entitled to notice of, and to vote at, the AGM or any adjournment or postponement thereof. Holders of the Company's American depositary shares ("ADSs") who wish to exercise their voting rights for the underlying ordinary shares must act through the depositary of the Company's ADS program, JPMorgan Chase Bank, N.A.

The AGM will discuss and seek adoption of the following resolutions to be proposed by the Company:

    1. Proposal No. 1 - Re-election of Mr. Jianhua Zhao as a Class B director
       of the Company.
    2. Proposal No. 2 - Re-election of Mr. Steve Morgan as a Class B director
       of the Company.
    3. Proposal No. 3 - Re-election of Ms. Merry Tang as a Class B director of
       the Company.
    4. Proposal No. 4 - Appointment of the Independent Auditor Deloitte Touche
       Tohmatsu CPA Ltd. for the fiscal year 2009.
    5. Proposal No. 5 - The directors and each of Tingxiu Lu and Ruennsheng
       Allen Wang (each, an "Officer") be, and hereby are, authorized to take
       any and every action that might be necessary to effect the foregoing
       proposals 1 to 4 as such director or officer, in his or her absolute
       discretion, thinks fit.

About China Sunergy Co. Ltd

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

    For further information contact:

     Peter Schmidt
     FD Asia
     Tel:   +86-10-8591-1953
     Email: peter.schmidt@fd.com

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products; the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.

The Company will provide a hard copy of its 20-F annual report, including audited financial statements, free of charge to its shareholders and ADS holders upon request. Requests should be directed to info@chinasunergy.com or Investor Relations, China Sunergy Co., Ltd, No. 123, West Focheng Road, Nanjing, Jiangsu Province, People's Republic of China, 211100.

An electronic copy of the 20-F annual report can also be found in the website of the Securities and Exchange Commission.

About China Sunergy Co., Ltd.

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

    For further information contact:

     Peter Schmidt
     FD Asia
     Tel:   +86-10-8591-1953
     Email: peter.schmidt@fd.com

NANJING, China, June 15 /PRNewswire-Asia/ -- China Sunergy Co., Ltd. (Nasdaq: CSUN - News), a specialized solar cell manufacturer based in Nanjing, China, today announced that it has entered into a 6 year, 53MW sales framework agreement and a 3MW sales contract with Renergies Italia S.p.A, ("Renergies Italia"), a manufacturer of solar modules based in Urbisaglia(MC), Italy.

Based on the terms of the non-binding framework agreement, a total of 53MW of solar cells manufactured by China Sunergy may be sold to Renergies Italia between 2009 and 2014. Given the non-specific nature of the agreement, each actual sale of solar cells will be based on definitive contracts which will be negotiated between China Sunergy and Renergies Italia.

Pursuant to this framework agreement, the parties entered into a 3MW contract of solar cells to be supplied from China Sunergy to Renergies Italia during 2009. The remaining potential delivery volume of 50MW solar cells may be provided by China Sunergy to Renergies Italia between 2010 to 2014, with 5-15MW of solar cells sold per year.

Commenting on the agreement, Dr. Ruennsheng Allen Wang, Director and CEO of China Sunergy, remarked: "An important part of China Sunergy's growth strategy has been the development of new partnerships with industry leaders across diverse geographies. This agreement demonstrates our ability to execute on both of those initiatives despite the challenging sales environment. We are excited to have a strong partner in Renergies Italia, and to have signed this important framework agreement and sales contract in a new solar market for China Sunergy."

About China Sunergy Co. Ltd.

China Sunergy Co., Ltd. (Nasdaq: CSUN - News; "China Sunergy") is a specialized manufacturer of solar cell products in China. China Sunergy manufactures solar cells from silicon wafers utilizing crystalline silicon solar cell technology to convert sunlight directly into electricity through a process known as the photovoltaic effect. China Sunergy sells solar cell products to Chinese and overseas module manufacturers and system integrators, who assemble solar cells into solar modules and solar power systems for use in various markets. For more information please visit http://www.chinasunergy.... .

    For further information contact:

     Peter Schmidt
     FD Asia
     Tel:   +86-10-8591-1953
     Email: peter.schmidt@fd.com

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements and are based on current expectations, assumptions, estimates and projections about the company and the industry, and involve known and unknown risks and uncertainties, including but not limited to, the company's ability to raise additional capital to finance the company's activities; the effectiveness, profitability, and the marketability of its products; the economic slowdown in China and elsewhere and its impact on the company's operations; demand for and selling prices of the company's products; the future trading of the common stock of the company; the ability of the company to operate as a public company; the period of time for which its current liquidity will enable the company to fund its operations; the company's ability to protect its proprietary information; general economic and business conditions; the volatility of the company's operating results and financial condition; the company's ability to attract or retain qualified senior management personnel and research and development staff; future shortage or availability of the supply of raw materials; impact on cost-competitiveness as a result of entering into long-term arrangements with raw material suppliers and other risks detailed in the company's filings with the Securities and Exchange Commission. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward looking statements are reasonable, they cannot assure you that their expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.