Evergreen Solar's Failure Deals Another Major Blow To U.S. Manufacturing
In the face of mounting losses, Evergreen Solar, a manufacturer of String Ribbon solar power products with proprietary silicon wafer technology, has filed a petition for relief under Chapter 11 of the U.S. Bankruptcy Code. The maneuver caps off a series of developments this year that signified the Marlboro, Mass.-based company was falling further into financial despair.
According to Evergreen Solar's court filing, the company's assets total approximately $424.47 million, while its debts top $485.59 million. The company has proposed a restructuring agreement whereby it will seek to sell certain assets, including its dormant manufacturing facility and equipment in Devens, Mass., and its core wafer technology assets.
Just last month, the company explained in a Securities and Exchange Commission filing that it would not be able to satisfy more than $4 million in interest payments due to certain noteholders. The filing stated that Evergreen Solar was in the midst of aggressively pursuing opportunities to address its excess debt and hinted that a restructuring would be coming.
Prior to that, in January, Evergreen Solar closed its module manufacturing facility in Devens, Mass., triggering a wave of public outrage. The company had received millions in grants, low-interest loans and other incentives from the Massachusetts government, which had touted the factory as a symbol of the new clean energy economy in the state.
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