Solar Millennium meets forecast for 2008/2009 fiscal year in terms of sales and earnings

• Most successful year in company history
• Preliminary consolidated sales for the past fiscal year amount to € 201 million (previous year: € 32.0 million) with preliminary earnings (EBIT) of € 43 million (previous year: € 11.3 million)
• Consistent continuation of the growth strategy: increase of sales and earnings by more than 50 percent expected for the ongoing fiscal year
  
  

Erlangen, 09 December 2009  In the 2008/2009 fiscal year Solar Millennium AG (ISIN DE0007218406) generated the best result in company history. According to its preliminary figures pursuant to IFRS the company achieved consolidated sales of about € 201 million (previous year: € 32.0 million) and earnings before interest and taxes (EBIT) of roughly € 43 million (previous year: € 11.3 million). The figures include the announced extraordinary effect of € 48 million (sales) and € 12 million (EBIT) mainly from the sale of power plant stakes that had originally been planned for the 2007/2008 fiscal year.

Christian Beltle, CEO of Solar Millennium: "We have impressively shown that Solar Millennium's business strategy leads to success, even in difficult general economic conditions. Our first solar power plant projects, Andasol 1 and Andasol 2, are producing electricity. We have successfully sold the stakes in these projects. The preregistration for Andasol 3 and Ibersol announced by the Spanish Minister of Economy in November, which is the precondition for being granted the guaranteed feed-in tariffs, has established a sound basis for the realization of our business targets in the next two years."

Thomas Mayer, CFO of Solar Millennium, is also extremely pleased with the preliminary result: "Our new strategic alignment for project financing in autumn last year as a consequence of the financial market crisis has proven correct. By attracting major investors with a long-term strategy and equity, we have gained important partners for implementing our solar thermal power plants. We will continue to pursue this approach with future projects as well. On this basis we will be able to consistently continue our growth path in the ongoing fiscal year. For the ongoing fiscal year we are expecting growth in sales and earnings by over 50 percent."

Since December Solar Millennium has for the first time been offering interested private investors the opportunity to acquire an interest in the profit of a solar thermal power plant via closed-end funds. Thomas Mayer says: "This is another product that demonstrates Solar Millennium's innovative power. The offer is unique in the whole world and has, particularly due to its inflation protection, been received with great interest by both private and institutional investors in the first days after being published. This product will form a key element for our company and project financing activities in the future".

With regard to the successful business operations during the last months, Christian Beltle adds: "The early involvement in the US market was worthwhile: The US Department of Energy has included all our Californian projects on the so called fast-track list, meaning we should be able to receive all final permissions by the end of 2010. By converting to dry cooling, the chances of success for our projects in Nevada have increased significantly. Our strategy of getting an early foothold in the markets by means of pioneering spirit and innovative power has paid off already. Therefore we will also pursue this strategy in future markets and continue to grow accordingly."

The final result for the 2008/2009 fiscal year will be published at the annual press conference on 23 February 2010.

About Solar Millennium AG:
Solar Millennium AG, Erlangen, is an international company in the renewable energy sector, with its main emphasis on solar-thermal power plants. Together with its subsidiaries, the company specializes in parabolic trough power plants, a proven and reliable technology with which the Group has adopted a leading position worldwide. Solar Millennium covers all important business sectors along the value chain for solar-thermal power plants - from project development and technology to turn-key construction as well as plant operation and investments in power plants. In Spain, Solar Millennium developed Europe's first parabolic trough power plants and realized them with its partners. Additional projects are planned around the world with an overall capacity of more than 2,000 megawatts. The current regional focus is on Spain, the US, India, China and North Africa. Furthermore, the company has the aim of achieving market readiness for the so-called Blue Tower technology for the generation of product gas that is rich in hydrogen through the reformation of regenerative residual materials, and also for solar chimney power plants in the long run.

About solar-thermal power plant technology:
Solar-thermal power plants generate electricity by converting solar radiation into heat energy. In a parabolic trough power plant, trough-shaped mirrors concentrate the incidental radiation onto a pipe in the focal line of the collector. Its absorption heats a fluid heat medium in the pipe, generating steam in the power block through a heat exchanger. As in conventional power plants, the steam powers a turbine to generate electricity. By integrating thermal storage, electricity can be supplied on demand, even after sunset.

You can download this press release here.