Neo Solar Power Corp.
Sep. 2011Presenters

Mr. Thomas Hsu
Senior Vice President and CFO

Outline Overview
 Industry
 Investment Highlights
 Financial Performance

NSP Overview
Overview

Global top 5 merchant solar supplierwith annual capacity of 1.3GW(June 2011)

Manufacturing Sites
TypeCellCompany (2011, BusinessNext Magazine)

Experienced management teamwith strong semiconductor
background (TSMC)

Market Capitalization: US$585mn1



Revenue:
2010: US$685.0mn
2011 Jan~Aug YTD: US$549mn

Note:
1. FX rate of US$1=NT$28.802 used, as of June 30, 2011.
2. Planned capacity for early 2012

1 NSP Proprietary

Capacity (MW)Fab 1: Hsinchu Industrial Park, Taiwan

120

Fab 2 & Headquarters: Hsinchu Science Park, Taiwan

730

Fab 3: Tainan, Taiwan

450

ModuleHsinchu, Taiwan

50

Wafer2Hsinchu Science Park, Taiwan

300

R&D focus with high quality
products and low cost
— Best 10 Taiwan Tech

Location

FAB 1

FAB 2 & Headquarters

FAB 3

Wafer

Hsinchu Industrial Park,Taiwan

Hsinchu Science Park, Taiwan

Tainan, Taiwan

Hsinchu SciencePark, Taiwan

Well Positioned in the Solar Value ChainPoly-siliconWafer

Solar Cells

Module1.3GW

50MW

In-house Wafer
Manufacturing in 2012300MW

Leverage on Taiwan advantage
Well-positioned in supply chain with superior process management and quality control
More than 25 years technical expertise that covers all disciplines of the PV industry
Well-recognized by worldwide customers for high quality products

Note: Capacity level expected by 2011 year-end.

2 NSP Proprietary

SystemStrong Growth Momentum
NSP Manufacturing Capacity Expansionand Shipment Trend
1.8GW

1Q2012
20110%
14 45%:
R 1
G R:
2010
AC AGi ty t Ccpa en
Ca ipm
830MW
2009 2010 0 Sh
1–07 2020 07–526MW
20Milestones
2005Company founded

2006



Break-even achieved just 2 years into operation



Broke ground for FAB 2 & HQ with designedcapacity of 730MW

Annual revenue surpassed US$300mn just 3years since operation



Listed on Taiwan Stock Exchange Main Board

Ranked world’s top 5 merchant cell manufacturer1

95% YoY revenue growth in 2010



Reached annual capacity of 1.3GW in June 2011
Best 10 Taiwan tech company2

2007
1.3GW

2008

1.0GW

2009201020082007

60MW
30MW
200636MW
2006

2005

3 NSP Proprietary

2007

2011

240MW 240MW
102MW 201MW

Source:
1. Photon 2010
2. Business Next Magazine 2011

2008

2009

Year End Capacity

2010

2011E

Shipment

2012E

NSP Outstanding Operating Performance
NSP performs the best sales among Taiwan solar companies during Jan.~July in 2011
Taiwan Solar Cell Sales Comparison, Jan.- July in 2011
UNIT: NTD (billion)
16
NSPCell
Revenue

NTD Thousand

NSP

13,617,633

MOTECH

12,707,121

Gintech11,163,676

Solartech

8,979,531

DelSolar

4,366,651

E-ton

5,523,671

1412108
6
4
20

NSP

4 NSP Proprietary

MOTECH

GintechSolartech

DelSolarE-ton

Company Awards and Recognition
Awards & Recognition
Aug 2011

June 2011

Recognized by Business Next Magazine
Top 8 of Taiwan Top 100 Tech company

Recognized by Deloitte & Touche
Top 6 among Deloitte Technology Fast 500 Asia Pacific Ranking
and CEO Survey



Recognized by CommonWealth Magazine
Top 3 Best Growth Manufacturer
Top 8 in Operation Efficiency(measured by revenue, profit growth, and ROE )May 2009



5 NSP Proprietary

2011

Dr, Sam Hong, President and COO of NSP has elected as newhead of TPVIA

Sep 2009

May 2008

Elected as new head of the Taiwan Photovoltaic Industry
Association (TPVIA)

Recognized by Business Today Magazine
Top 5 in Revenue Growth
Top 6 in Profit Growth
One of Top 10 Candidates to be the Highest Priced Stock in Taiwan

2011200920092008

Outline Overview
 Industry
 Investment Highlights
 Financial PerformanceGlobal Solar PV Addressable Market
While
Whilesolar
solarPV
PVisisstill
stilltrailing
trailingother
otherforms
formsofofenergy
energyininterms
termsofofcost
costefficiency,
efficiency,ititisisexpected
expectedtoto
makemajor
breakthroughs
andachieve
gridparity
inmostmarkets
inthecoming
make major breakthroughs and achieve grid parity in most markets in the comingyears
years
Average power price per households, US$/kWh

Cost per watt at peak hours, US$/Wp

California Tier 5

Denmark
PV CostReduction

Netherlands

0.3
NorwayItaly
California Tier 48Germany

Sweden6

United Kingdom

0.2
Finland

HawaiiJapanFrance

Australia
Spain

New York

California

4

Texas
Greece0.1
South Korea

2

China

India

Size of electricity market TWh a year

0500

1,000
Grid parity as of today

Source: McKinsey & Company (June 2008)

6 NSP Proprietary

1,500

2,000Grid parity as of 2020

Annual solar energy yield, kWh/kWpGlobal Solar PV Demand
European
Europeancountries
countriessuch
suchasasGermany,
Germany,Italy
ItalyandandSpain
Spainstill
stillremain
remainas
asthe
thelargest
largestmarkets,
markets,while
emerging
markets
includingtheUS,Japan,
ChinaandIndiaareexpected
todrivebroaderwhile emerging markets including the US, Japan, China and India are expected to drive broaderdemand
demandRegional Solar PV Demand in the World(MW)
35,00030,0002 010–2

R: 1AGCE015%
5 .3

33,915MW

25,00020,00016,629MW15,000
10,0005,000(MW)

2010

2015E

10-15ECAGR

Germany

7,408

4,000-11.6%

Italy

2,321

3,500

8.6%

Japan

990

2,250

17.8%

USA

878

7,500

53.6%

China

520

5,000

57.3%

Spain

369

750

15.2%

UK

45

1,350

97.4%

3,103

1,110

8.2%

995

4,955

37.9%

16,62933,915

15.3%

Rest of EU

0

Rest of the World
2010

2015E
Total

Rest of the World

Rest of EU

Spain

UK

Italy

Japan

Source: EPIA Global Market Outlook for Photovoltaic until 2015 (2011)

7 NSP Proprietary

China

Germany

USAOutline

 Overview
 Industry
 Investment Highlights Financial Performance

Investment Highlights

1Leading Market Position as World Top 5 Merchant Solar Cell Supplier with Proven Track Record

2Strong R&D Commitment and Technology Leadership

3Industry Leading Performance and Quality Products

4

Experienced and Well Recognized Management Team with Strong Industry Background

NSP is uniquely and competitively positioned within the solar value chain

8 NSP Proprietary12Top 5 Merchant Solar Cell Supplier with
1
Strong Growth Momentum
NSP
NSPhashasundergone
undergonesignificant
significantexpansion
expansionand
andhashasthethefastest
fastestgrowing
growingcapacity
capacityamong
amongitsitspeers
peersfromfrom2009
2009toto2011E
2011E

2007–2011E Year End Production Capacity(MW)

09-11E CAGR
133%

09-11E CAGR
94%

09-11E CAGR
58%

09-11E CAGR
64%

09-11E CAGR
6%

3,500
3,000
3,000
2,500

2,100

2,000
1,300

1,500

500

600
60

240 240

1,100

1,150

830

1,000

1,600

1,500
930

800

600

175

68240

240450600

760 800
516

0

Neo Solar

JA Solar2007

Source: Company filings and presentations.

9 NSP Proprietary

2008

Gintech2009

Motech2010

2011E

Q-Cells

900

3412Strong R&D Commitment and2
Technology Leadership
R&D Strategy

10 NSP Proprietary

Continuous cell efficiency improvement

Process optimization

New technology & material development

Reliability as centerpieceDrive for grid parity34

13Premium Quality Products

Environment Safety Qualification


Significant safety record



ISO 9001 , 14001 , OHSAS 18001 certified by
TÜV Rheinland

Hazardous substance content well below
RoHS specification

Greenhouse gas emissions verification

Product Carbon Footprint Verification
certified by SGS

11 NSP Proprietary

234

142

3

Experienced Management Team
Dr. Quincy Lin

Dr. Sam HongChairman and CEOPresident and COO

30+ years of experience in high techmanagement

Senior Vice President of Taiwan Semiconductor
Manufacturing Company (“TSMC”)

30+ years of experience in PV solar energy

Research Division Director of PV Solar Energy
Division at the Industrial Technology ResearchInstitute (“ITRI”); VP & Plant Director of Sinonar
Solar Cell

Andy Shen

Dr. Alex Wen

Marco Hu

Thomas Hsu

Albert Jen-Yue Wang

Sr. Vice President ofWorldwide Sales &Marketing 25+ years of experiencein semiconductor
engineering, sales, andmarketing Senior Director, TSMC;
President, TSMC-Europe

Sr. Vice President of Wafer

Sr. Vice President ofSr. Vice President ofBusiness 15+ years of experiencein silicon-materialtechnology
 Manager, Industrial
Technology ResearchInstitute (“ITRI”)

Supply Chain Management 30+ years of experiencein high-tech production &general management
 President of Tynsolar;
Product Marketing
Manager at HP; PlanningManager & Production
Manager at TI

Sr. Vice President and CFO
 25+ years experience inthe financial area withvarious industries Group CFO, Tatung;
CFO, Innolux

StrongStrongSemiconductor
SemiconductorIndustry
IndustryExperience
Experience
12 NSP ProprietaryOperation
 20+ years of experiencefrom engineering toproduction management
 TSMC for 15 years since1987++ VastVastSolar
SolarDevice
DevicePhysics
PhysicsExpertise
Expertise ++ Entrepreneurial
EntrepreneurialSpirit
Spirit4

Growth Strategies





Continue to Enhance Technology Leadership to Create Differentiation and Reduce Cost
Continue to Pursue Prudent Organic Growth and Evaluate Selected Acquisition Opportunities
Strengthen Existing Partnerships with Key Customers
Strengthen Existing Supplier Relationships
Increase Product Offering and Expand End-Market Opportunities
Plan to Establish Operations in China to Capture the Market Opportunities in China

NSP’s goal is to become world’s PV technology and cost leader to accelerate time to grid parity

13 NSP Proprietary

Outline Overview
 Industry
 Investment Highlights
 Financial PerformanceShipment and Revenue GrowthShipment

Net Sales(US$ mn)
127.
1%

(MW)

RCAG
–10

300

08

500
400

800
700
600
500
400
300
200
1000=600

200
10002008

2009

2010

Solar cells and Modules Sold

14 NSP Proprietary

2011H1–08

2008

10GRA
C=.7%
40428

2009
Net Sales

2010

2011H1Operating Performance
EBITDA

Gross Profit

Net Income(US$mn)(US$mn)16020%

18.5%(US$mn)16020%

18.5%

16%

130.0

16%
14%

60

8.2%

80

10%
7.5%

8%

129.5

6%

28.9
8.2%

4%
-2.3%
1H110.9
02%0%

2009

2010

Gross Profit-9.8
Gross Margin

Note: FX rate of US$1=NT$28.802 used, as of June 30, 2011.

15 NSP Proprietary0%(11.1%)
26.6

0.3%

-6.2%

040

29.1

2008

30

8%

6%
40

20%
13.5%

12%

12%
10%

94.6
90

120

14%

80

40%

18%

18%

120

120

4%

2.3%

0.16%

8.2

0.69

02%
0%

2008

2009
EBITDA2010

1H11

EBITDA Margin(26.5)(30)(39.6)(60)-20%200820092010

Net Income

1H11Net Income MarginSummaryCore Competence: Technology, Quality and Service

Strong Customer Base and Supplier Relationships

Continued Strong Growth Momentum

Solid Financial StructureProven Track Record of Growth and Profitability

16 NSP Proprietary

Regulatory Trends Around the World
After
AfterthetheFukushima
Fukushimaincident,incident,countries
countriesincluding
includingJapan,
Japan,Germany
Germanyand
andChina
Chinaareareexpected
expectedtotoincrease
increasethe
thefocus
focusononcleancleanenergy
energyCountry
Germany

Key Events

May 2011: China revised PV installations target to 10GW by 2015, and 50GW by 2020, and concurrently reduced its
nuclear power targets, according to the National Development and Reform Commission, which is soon to release a newfive-year blueprint policy document for the PV industry

Mar 2011: U.S. politicians call for the halt of new development on nuclear plants
Jan 2011: Obama calls for 80% clean energy by 2035

ChinaUSA




Japan






Italy


FranceMay 2011: German government announced to close all of its nuclear reactors by 2022
Jan 2011: Cabinet confirmed mid-year solar subsidy cuts of 3-15% based on forecasted installations

May 2011: Prime Minister Naoto Kan announced that Japan would increase the share of renewable energy in total
electric power supply to more than 20% by the earliest possible in the 2020s, reduce the cost of solar power generation
to 1/3 of current level by 2020 and 1/6 by 2030, and install solar panels in the roofs of 10mn houses
May 2011: Prime Minister Naoto Kan said that Japan would scrap plans to build 14 more nuclear reactors and thegovernment would reevaluate its energy policy to focus on other alternative energy sources
Mar 2011: Government plans to invest US$4.9bn to subsidize solar installations
Mar 2011: FiTs (“Feed-in-Tariff”) for small business to be raised 67% from Apr 2011
Apr 2011: Government announced 22-31% FiT cut in 2011 and further 23-44% cut in 2012; also plans 1.2GW cap for mid-tolarge scale installation in 2H 2011, 1.49GW in 2012, and a total cap of 9.77GW from 2013 to 2016
Apr 2011: Government announced to indefinitely delay the development of future nuclear reactors
Feb 2011: Government plans 500MW annual cap from 2011 which can be raised to 800MW from mid 2012 with 20% subsidy cut
for small rooftop and small commercial in 2011 and further 10% annual cut going forward

Source: PV-Tech, news runs and broker research.

17 NSP ProprietaryThank You
Neo Solar Power Corp.
No. 7, Li-Hsin 3rd Rd., Hsinchu Science Park, Hsinchu, Taiwan
Tel: +886.3.5780011 Fax: +886.3.5781255
www.neosolarpower.com