China’s top ten photovoltaic
makers have accumulated a combined debt of 17.5 billion U.S. dollars so far,
leading the whole industry to the brink of bankruptcy, data from U.S.
investment agency Maxim Group showed.
Goodness. That’s 35 Solyndras!
LDK Solar, the world’s second-largest maker of
solar wafers, and Suntech Power, the world’s largest solar panels producer, are
the mostly likely to be headed for bankruptcy, Maxim noted. LDK reported a net
profit loss of 1.08 billion yuan in the first half of this year, with a total liability
of 26.7 billion yuan, about 88 percent of its total assets.
2.42 billion yuan
of debts will come due in 2013, compared with a cash pile of only 830 million
yuan. With its debt-to-equity ratio at 7.4, the Jiangxi-based LDK has already
been in insolvency based on corporate accounting standards in the Europe and
the United States, according to Maxim. A bankruptcy filing or restructuring
could be needed for LDK, it added. _Reason
Unfortunately for the Chinese
people, solar companies in China are devastating the landscape with toxic waste
on a monumental scale.
And more than half of China's
installed wind power lies fallow -- disconnected from the power grid! Imagine
all the wasted resources, just to be able to claim a large installed wind power
But knowledge of the grand green
charade of China's wind and solar industries has not reduced the fervour of US
green political activists such as Barack Obama or Senator Harry Reid of Nevada.
In fact, Senator Reid is indulging in a grand corrupt and nepotistic scheme in
his home state of Nevada, involving a public lands give-away to a Chinese solar
company and an associated US company involving his own son!
Of course this type of insider
political deal is not unusual for either Nevada - style or Chicago - style
China's grand scheme of
infrastructure buildup -- including green infrastructure -- is proving to be
something of a big bomb. China has been spending money hand over fist, stalling
for time in hope that its big export customers -- Europe and North America --
would pull out of their economic doldrums, and start to buy Chinese products on
a grand scale, once again.
China is getting a bit
desperate, and cannot help but be relieved every time a foreign sucker -- in
Germany, the US, Australia ect. -- gets sucked into another green energy scam.
Yes, China is poisoning
itself to build and sell intermittent unreliable products such as big wind and
big solar energy generation equipment. But if foreign devils like Harry Reid,
Barack Obama, Angela Merkel, etc. are stupid enough to buy this junk at high
prices, why not? It's not as if China's people can do anything about it.
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