Uncertainty continues to plague LDK Solar Co., Ltd. (NYSE: LDK). As asensio.com reported last week, LDK announced in December that an independent audit committee formed to investigate allegations of inventory discrepancies by a former employee uncovered “no material errors in the Company’s stated silicon inventory quantities.” LDK’s latest financial filing appears to blatantly betray the alleged results of this audit committee.
In addition to these disclosure issues, LDK now appears to have suffered serious damages to equipment and property, resulting from a winter storm in late February. According to a translation of an article published in the Jiangxi Daily on February 25, the “snow disasters” damaged a material sum of “silicon material.” In addition, LDK suffered “some machinery and equipment damage.” So far the company has made no announcement in connection with these damages.
No matter how many polysilicon wafers this solar company produces, it appears its investors will be asked to sit in the dark.
Click here to view the article in the original Chinese. Google’s translation feature translated the Chinese into English.