Common use of Shareholders' Loans Clause in Contracts

Shareholders' Loans. To finance the investment in the construction of the third production line the Company entered into further loan agreements with the shareholders in 2008. The loans amount to EUR 11,650 thousand each from Q-Cells and REC and USD 18,174 thousand from Evergreen. Also, the loan agreements for EUR 30 million made the year before with each of the shareholders were still in effect at the reporting date. In accordance with the provisions of the syndicated loan agreement, shareholders’ rights to repayment of these loans are subordinate to the loan repayment rights of the banks. Early repayment is possible only with the approval of the banks or out of the proceeds of a public offering. At present, the Company does not expect to go public before December 31, 2009. The shareholders’ loans are therefore reported under non-current borrowings. In December 2008 the shareholders approved further loans totaling EUR 24 million, of which EUR 12 million was disbursed to the Company. Each shareholder contributes the same amount of loan, in keeping with the percentage interests in the Company, Evergreen’s loan being granted in USD. The relevant loan agreements were signed in January 2009. The balance of EUR 12 million will be disbursed when called by the Company. The loans have terms running until June 30, 2010. Further information will be found in Note 4.3. Related party disclosures. 3.12. Trade payables Total 34,030 29,099 3.13. Deferred federal and state investment grants Total 8,087 45,371 53,458 7,023 43,789 50,812 3.14. Other provisions Balance at Dec 31, 2008 1,959 1,173 3,132 Balance at Dec 31, 2007 2,110 2,500 4,610 3.15. Other financial liabilities 3.16. Current income tax liabilities 3.17. Other liabilities Total 4,321 4,197