----

----

----

|   |   |
|--------|--------|

| o | REGISTRATION      STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE      ACT OF 1934 |
|---|---------------------------------------------------------------------------------------------------------------|

| x      | ANNUAL      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT      OF 1934 |
|--------|-----------------------------------------------------------------------------------------------------|
|   | FOR      THE FISCAL YEAR ENDED DECEMBER 31,2008                                                     |

| o      | TRANSITION      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT      OF 1934                                                 |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | FOR      THE TRANSITION PERIOD FROM   _______   TO  ________            |

| o      | SHELL      COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE      ACT OF 1934                                                                                        |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | DATE      OF EVENT REQUIRING THIS SHELL COMPANY REPORT   _____________                   |
|   | FOR      THE TRANSACTION PERIOD FORM  ________    TO   ___________                                           |

----

----

----

----

| Title      of Each Class                                                                                  | Name      of Each ExchangeOn      Which Registered |
|-----------------------------------------------------------------------------------------------------------|---------------------------------------------------------|
| American      depositary shares, each representing one ordinary share, par value      US$0.0001 per share | The      NASDAQ Stock Market LLC                        |
| Ordinary      shares, par value US$0.0001 per share                                                       | The      NASDAQ Stock Market LLC*                       |
|                                                                                                      |                                                    |
| *      Not for trading but only in connection with the registration of American      depositary shares    |

| Ordinary      shares, par value US$0.0001 per share | 167,982,020 |
|-----------------------------------------------------|-------------|

|   | Yes    x |  No  o |   |
|--------|------------------------------|-----------------------|--------|

|   | Yes    o |  No  x |   |
|--------|------------------------------|-----------------------|--------|

|   | Yes    x |  No  o |   |
|--------|------------------------------|-----------------------|--------|

|   | Yes    o |  No  o |   |
|--------|------------------------------|-----------------------|--------|

|   | Large      accelerated filer  x    | Accelerated      filer  o    | Non-accelerated      filer  o |   |
|--------|-------------------------------------------------------------|-------------------------------------------------------|-----------------------------------------|--------|

----

|   | U.S.      GAAP  x |   |
|--------|-----------------------------|--------|

|   | Other  o |   |
|--------|--------------------|--------|

|   | Item 17  o    |  Item 18        x |   |
|--------|---------------------------------------------|---------------------------------------|--------|

|   | Yes  o     | No  x |   |
|--------|------------------------------------------|-----------------|--------|

----

| PART      I   |                                                       |                                                         | 2  |
|---------------|------------------------------------------------------------|--------------------------------------------------------------|----|
| ITEM      1.  | IDENTITY      OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS | 2                                                            |
| ITEM      2.  | OFFER      STATISTICS AND EXPECTED TIMETABLE               | 2                                                            |
| ITEM      3.  | KEY      INFORMATION                                       | 3                                                            |
|          | A.                                                         | SELECTED      FINANCIAL DATA                                 | 3  |
|          | B.                                                         | CAPITALIZATION      AND INDEBTEDNESS                         | 6  |
|          | C.                                                         | REASONS      FOR THE OFFER AND USE OF PROCEEDS               | 6  |
|          | D.                                                         | RISK      FACTORS                                            | 6  |
| ITEM      4.  | INFORMATION      ON THE COMPANY                            | 32                                                           |
|          | A.                                                         | HISTORY      AND DEVELOPMENT OF THE COMPANY                  | 32 |
|          | B.                                                         | BUSINESS      OVERVIEW                                       | 34 |
|          | C.                                                         | ORGANIZATIONAL      STRUCTURE                                | 39 |
|          | D.                                                         | PROPERTY,      PLANTS AND EQUIPMENT                          | 39 |
| ITEM      4A. | UNRESOLVED      STAFF COMMENTS                             | 39                                                           |
| ITEM      5.  | OPERATING      AND FINANCIAL REVIEW AND PROSPECTS          | 39                                                           |
|          | A.                                                         | OPERATING      RESULTS                                       | 40 |
|          | B.                                                         | LIQUIDITY      AND CAPITAL RESOURCES                         | 57 |
|          | C.                                                         | RESEARCH      AND DEVELOPMENT, PATENTS AND LICENSES, ETC.    | 59 |
|          | D.                                                         | TREND      INFORMATION                                       | 60 |
|          | E.                                                         | OFF-BALANCE      SHEET ARRANGEMENTS                          | 60 |
|          | F.                                                         | TABULAR      DISCLOSURE OF CONTRACTUAL OBLIGATIONS           | 61 |
|          | G.                                                         | SAFE      HARBOR                                             | 64 |
| ITEM      6.  | DIRECTORS,      SENIOR MANAGEMENT AND EMPLOYEES            | 65                                                           |
|          | A.                                                         | DIRECTORS      AND SENIOR MANAGEMENT                         | 65 |
|          | B.                                                         | COMPENSATION                                                 | 68 |
|          | C.                                                         | BOARD      PRACTICES                                         | 70 |
|          | D.                                                         | EMPLOYEES                                                    | 73 |
|          | E.                                                         | SHARE      OWNERSHIP                                         | 74 |
| ITEM      7.  | MAJOR      SHAREHOLDERS AND RELATED PARTY TRANSACTIONS     | 74                                                           |
|          | A.                                                         | MAJOR      SHAREHOLDERS                                      | 74 |
|          | B.                                                         | RELATED      PARTY TRANSACTIONS                              | 75 |
|          | C.                                                         | INTERESTS      OF EXPERTS AND COUNSEL                        | 76 |
| ITEM      8.  | FINANCIAL      INFORMATION                                 | 76                                                           |
|          | A.                                                         | CONSOLIDATED      STATEMENTS AND OTHER FINANCIAL INFORMATION | 76 |
|          | B.                                                         | SIGNIFICANT      CHANGES                                     | 77 |
| ITEM      9.  | THE      OFFER AND LISTING                                 | 77                                                           |
|          | A.                                                         | OFFER      AND LISTING DETAILS                               | 77 |
|          | B.                                                         | PLAN      OF DISTRIBUTION                                    | 78 |
|          | C.                                                         | MARKETS                                                      | 78 |
|          | D.                                                         | SELLING      SHAREHOLDERS                                    | 78 |
|          | E.                                                         | DILUTION                                                     | 78 |
|          | F.                                                         | EXPENSES      OF THE ISSUE                                   | 79 |
| ITEM      10. | ADDITIONAL      INFORMATION                                | 79                                                           |
|          | A.                                                         | SHARE      CAPITAL                                           | 79 |
|          | B.                                                         | MEMORANDUM      AND ARTICLES OF ASSOCIATION                  | 79 |
|          | C.                                                         | MATERIAL      CONTRACTS                                      | 90 |
|          | D.                                                         | EXCHANGE      CONTROLS                                       | 90 |
|          | E.                                                         | TAXATION                                                     | 90 |
|          | F.                                                         | DIVIDENDS      AND PAYING AGENTS                             | 95 |
|          | G.                                                         | STATEMENT      BY EXPERTS                                    | 95 |
|          | H.                                                         | DOCUMENTS      ON DISPLAY                                    | 95 |

----

|                 | I.                                                                                   | SUBSIDIARY      INFORMATION                                     | 95     |
|----------------------|--------------------------------------------------------------------------------------|-----------------------------------------------------------------|--------|
| ITEM      11.        | QUANTITATIVE      AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                      | 96                                                              |
| ITEM      12.        | DESCRIPTION      OF SECURITIES OTHER THAN EQUITY SECURITIES                          | 97                                                              |
|                 |                                                                                 |                                                            |   |
| PART      II         |                                                                                 |                                                            | 97     |
| ITEM      13.        | DEFAULTS,      DIVIDEND ARREARAGES AND DELINQUENCIES                                 | 97                                                              |
| ITEM      14.        | MATERIAL      MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF    PROCEEDS | 97                                                              |
|                 | A.                                                                                   | MATERIAL      MODIFICATIONS TO THE RIGHTS OF SECURITIES HOLDERS | 97     |
|                 | B.                                                                                   | USE      OF PROCEEDS                                            | 98     |
| ITEM      15.        | CONTROLS      AND PROCEDURES                                                         | 99                                                              |
| ITEM      16.        | RESERVED                                                                             | 101                                                             |
| ITEM      16A.       | AUDIT      COMMITTEE FINANCIAL EXPERT                                                | 101                                                             |
| ITEM      16B.       | CODE      OF ETHICS                                                                  | 101                                                             |
| ITEM      16C        | PRINCIPAL      ACCOUNTANT FEES AND SERVICES                                          | 101                                                             |
| ITEM      16D.       | EXEMPTIONS      FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES                      | 102                                                             |
| ITEM      16E.       | PURCHASES      OF EQUITY SECURITIES BY THE ISSUER AND AFFILIATED PURCHASERS          | 102                                                             |
| TIEM      16F.  | CHANGE      IN REGISTRANT'S CERTIFYING ACCOUNTANT                               | 103                                                        |
| ITEM      16G.       | CORPORATE      GOVERNANCE                                                            | 103                                                             |

| PART      III |                      |   | 104 |
|---------------|---------------------------|--------|-----|
| ITEM      17. | FINANCIAL      STATEMENTS | 104    |
| ITEM      18. | FINANCIAL      STATEMENTS | 104    |
| ITEM      19. | EXHIBITS                  | 104    |

----

| · | “ADS”      are to American depositary shares, each representing one ordinary share of      JA Solar, par value US$0.0001 pershare; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “China”      and the “PRC” are to the People’s Republic of China, excluding, for the      purposes of this annual report only, Taiwan and the special administrative      regions of Hong Kong and Macau; |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “conversion      efficiency” are to the ability of solar power products to convert sunlight      into electricity; “conversion efficiency rate” is commonly used in the      solar power industry to measure the percentage of light energy from the      sun that is actually converted intoelectricity; |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “cost      per watt” and “price per watt” are to the cost and price of solar power      products, respectively, relative to the number of watts of electricity a      solar power product generates; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “JA      BVI” are to JA Development Co., Ltd., our directly wholly-owned      subsidiary, a British Virgin Islandscompany; |
|--------|----------------------------------------------------------------------------------------------------------------------------------------|

| · | “JA      Fengxian” are to Shanghai JA Solar Technology Co., Ltd., our indirectly      wholly-owned subsidiary in Shanghai,China; |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------|

| · | “JA      Hebei” are to JingAo Solar Co., Ltd., our predecessor and indirectly      wholly-owned subsidiary in China; |
|--------|----------------------------------------------------------------------------------------------------------------------------------|

| · | “JA      Hong Kong” are to JA Solar Hong Kong Limited, our directly wholly-owned      subsidiary in Hong Kong; |
|--------|----------------------------------------------------------------------------------------------------------------------------|

| · | “JA      Solar,” “we,” “us,” “the company,” “our company” and “our” are to JA Solar      Holdings Co., Ltd. and, unless otherwise indicated or as the context may      otherwise require, its predecessor entities and its consolidated      subsidiaries; |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “JA      Solar Yangzhou R&D” are to Yangzhou JA Solar R&D Corporation      Limited; |
|--------|---------------------------------------------------------------------------------------------------------|

| · | “JA      USA” are to JA Solar USA Inc., our indirectly wholly-owned subsidiary in      California, U.S.A.; |
|--------|------------------------------------------------------------------------------------------------------------------------|

| · | “JA      Yangzhou” are to JA Solar Technology YangZhou Co., Ltd., our indirectly      wholly-owned subsidiary in Jiangsu,China; |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------|

| · | “JA      Zhabei” are to Shanghai JA Solar PV Technology Co., Ltd., our indirectly      wholly-owned subsidiary in Shanghai,China; |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| · | “JHY      Semiconductor” are to Jing Hai Yang Semiconductor Materials (Donghai) Co.,      Ltd., a wholly-owned subsidiary of JA Hong Kong, incorporated in Donghai,      Jiangsu; |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “Jinglong      BVI” are to Jinglong Group Co., Ltd., a British Virgin Islands company and      our largest shareholder; |
|--------|-------------------------------------------------------------------------------------------------------------------------------------|

| · | “Jinglong      Group” are to Jinglong Industry and Commerce Group Co., Ltd. and its      consolidated subsidiaries. Jinglong Group is controlled by the      shareholders of Jinglong BVI; |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “Lehman      Entities” are to include Lehman Brothers Holdings Inc. and its      subsidiaries, including Lehman Brothers Inc., Lehman Brothers      International (Europe), Lehman Brothers Treasury Co. BV and Lehman      Brothers OTC Derivatives Inc. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “rated      manufacturing capacity” are to the total amount of solar power products      that can be made by a manufacturing line per annum operating at its      maximum possible rate and is measured in megawatts, or  MW; |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “RMB”      and “Renminbi” are to the legal currency of the  PRC; |
|--------|------------------------------------------------------------------------------------------|

| · | “US$”      and “U.S. dollars” are to the legal currency of the United      States; |
|--------|------------------------------------------------------------------------------------------------------------|

| · | “voltage”      or “volts” are to the rating of the amount of electrical pressure that      causes electricity to flow in the power line;  and |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | “watts”      are to the measurement of total electrical power, where “kilowatts” or      “KW” means one thousand watts and “megawatts” or “MW” means one million      watts. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                   | Noon      buying rate  |               |
|------------------------|------------------------|--------------------|
| Period                 | Period End        | Average(1)         | High | Low |   |
|                   | (RMB      per US$1.00) |               |
| 2004                   | 8.2765                 | 8.2768             | 8.2774 | 8.2764 |   |
| 2005                   | 8.0702                 | 8.1826             | 8.2765 | 8.0702 |   |
| 2006                   | 7.8041                 | 7.9579             | 8.0702 | 7.8041 |   |
| 2007                   | 7.2946                 | 7.5806             | 7.8127 | 7.2946 |   |
| 2008                   | 6.8225                 | 6.9193             | 7.2946 | 6.7800 |   |
| December               | 6.8225                 | 6.8539             | 6.8842 | 6.8225 |   |
| 2009                   |                   |               |   |   |   |
| January                | 6.8392                 | 6.8360             | 6.8403 | 6.8225 |   |
| February               | 6.8395                 | 6.8363             | 6.8470 | 6.8241 |   |
| March                  | 6.8329                 | 6.8360             | 6.8438 | 6.8240 |   |
| April                  | 6.8180                 | 6.8306             | 6.8361 | 6.8180 |   |
| May                    | 6.8278                 | 6.8235             | 6.8326 | 6.8176 |   |
| June (through June 19) |        6.8360     |        6.8337 |        6.8371 |        6.8264 |   |
|                   |                   |               |   |   |   |

----

| (1) | Annual      averages are calculated by averaging the noon buying rates on the last      business day of each month. Monthly averages are calculated using the      average of the daily rates during the relevant  period. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|                                                                         |   | From      inception (May 18, 2005) to December 31, |       |    | Year ended December 31,                                 |   |
|------------------------------------------------------------------------------|--------|----------------------------------------------------|------------|---------|---------------------------------------------------------|--------|
|                                                                         |   | 2005                                               |       |    | 2006                                                    |   |   | 2007 |   |   | 2008 |   |
|                                                                         |   |                                               |       |    | (in      millions, except for share and per share data) |   |
|                                                                         |   | RMB                                                |       |    | RMB                                                     |   |   | RMB |   |   | RMB |   |   | US$      (1) |   |
| Consolidated      Statements of Operations Data:                             |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |
| Net revenues                                                                 |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |
| Solar products                                                               |   |                                               | —    |    |                                                    |   | 565.3 |   |   |   | 2,532.4 |   |   |   | 4,794.0 |   |   |   | 702.7 |   |
| Solar products to related      parties                                       |   |                                               | —    |    |                                                    |   | 131.2 |   |   |   | 62.2 |   |   |   | 508.0 |   |   |   | 74.4 |   |
| Solar cells      processing                                                  |   |                                               | —    |    |                                                    |   | — |   |   |   | 99.1 |   |   |   | 156.3 |   |   |   | 22.9 |   |
| Total revenues                                                               |   |                                               | —    |    |                                                    |   | 696.5 |   |   |   | 2,693.7 |   |   |   | 5,458.3 |   |   |   | 800.0 |   |
| Cost ofrevenues                                                              |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Solar products                                                               |   |                                               | —    |    |                                                    |   | (524.2 | ) |   |   | (2,066.6 | ) |   |   | (4,414.2 | ) |   |   | (647.0 | ) |
| Solar cells      processing                                                  |   |                                               | —    |    |                                                    |   | — |   |   |   | (26.2 | ) |   |   | (52.1 | ) |   |   | (7.6 | ) |
| Total cost of      revenues                                                  |   |                                               | —    |    |                                                    |   | (524.2 | ) |   |   | (2,092.8 | ) |   |   | (4,466.3 | ) |   |   | (654.6 | ) |
| Gross profit                                                                 |   |                                               | —    |    |                                                    |   | 172.3 |   |   |   | 600.9 |   |   |   | 992.0 |   |   |   | 145.4 |   |
| Selling, general and      administrative expenses                            |   |                                               | (2.6       | )       |                                                    |   | (39.7 | ) |   |   | (150.3 | ) |   |   | (271.5 | ) |   |   | (39.8 | ) |
| Research and development      expenses                                       |   |                                               | (0.4       | )       |                                                    |   | (1.3 | ) |   |   | (4.2 | ) |   |   | (28.5 | ) |   |   | (4.2 | ) |
| Total operating      expenses                                                |   |                                               | (3.0       | )       |                                                    |   | (41.0 | ) |   |   | (154.5 | ) |   |   | (300.0 | ) |   |   | (44.0 | ) |
| Income/ (loss) from      operations                                          |   |                                               | (3.0       | )       |                                                    |   | 131.3 |   |   |   | 446.4 |   |   |   | 692.0 |   |   |   | 101.4 |   |
| Impairment on      available-for-sale securities                             |   |                                               | —    |    |                                                    |   | — |   |   |   | — |   |   |   | (686.3 | ) |   |   | (100.6 | ) |
| Change in fair value of      derivatives                                     |   |                                               | —    |    |                                                    |   | — |   |   |   | — |   |   |   | 564.0 |   |   |   | 82.7 |   |
| Convertible notes      buy back gain                                    |   |                                               | —    |    |                                                    |   | — |   |   |   | — |   |   |   | 203.5 |   |   |   | 29.8 |   |
| Interestexpense                                                              |   |                                               | —    |    |                                                    |   | (5.1 | )  |   |   | (6.6 | ) |   |   | (160.5 | ) |   |   | (23.5 | ) |
| Interest      income                                                         |   |                                               | 0.04       |    |                                                    |   | 0.8 |   |   |   | 62.6 |   |   |   | 42.6 |   |   |   | 6.3 |   |
| Foreign exchange      gain/(loss)                                       |   |                                               | (0.1       | )  |                                                    |   | 1.3 |   |   |   | (112.8 | ) |   |   | (127.3 | )  |   |   | (18.7 | )  |
| Investment loss                                                              |   |                                               | —    |    |                                                    |   | — |   |   |   | — |   |   |   | (28.6 | )  |   |   | (4.2 | )  |
| Other      income                                                            |   |                                               | —    |    |                                                    |   | 0.1 |   |   |   | 5.2 |   |   |   | 3.6 |   |   |   | 0.5 |   |
| Income/ (loss) before income      taxes                                      |   |                                               | (3.1       | )       |                                                    |   | 128.4 |   |   |   | 394.8 |   |   |   | 503.0 |   |   |   | 73.7 |   |
| Income tax benefit/      (expense)                                           |   |                                               | —    |    |                                                    |   | — |   |   |   | 5.6 |   |   |   | (23.9 | ) |   |   | (3.5 | ) |
| Net income/    (loss)                                                        |   |                                               | (3.1       | )       |                                                    |   | 128.4 |   |   |   | 400.4 |   |   |   | 479.1 |   |   |   | 70.2 |   |
| Preferred shares      accretion                                              |   |                                               | —    |    |                                                    |   | (1.6 | ) |   |   | (0.5 | ) |   |   | — |   |   |   | — |   |
| Preferred shares beneficial      conversion charge                           |   |                                               | —    |    |                                                    |   | (34.7 | ) |   |   | — |   |   |   | — |   |   |   | — |   |
|   Allocation of net income      to participating preferred shareholders |   |                                               | —    |    |                                                    |   | (5.7 | ) |   |   | (1.7 | ) |   |   | — |   |   |   | — |   |
|                                                                         |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Net income/ (loss)      available to ordinary shareholders.           |   |                                               | (3.1       | )       |                                                    |   | 86.4 |   |   |   | 398.2 |   |   |   | 479.1 |   |   |   | 70.2 |   |
|                                                                         |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net income/ (loss) per      share:                                           |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                        |   |                                               | (0.04      | )       |                                                    |   | 1.08 |   |   |   | 2.96 |   |   |   | 3.06 |   |   |   | 0.4 |   |
| Diluted                                                                      |   |                                               | (0.04      | )       |                                                    |   | 1.08 |   |   |   | 2.93 |   |   |   | (2.31 | ) |   |   | (0.3 | ) |
|                                                                         |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted average number of      shares outstanding:                          |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                        |   |                                               | 80,000,000 |    |                                                    |   | 80,000,000 |   |   |   | 134,525,226 |   |   |   | 156,380,060 |   |   |   | 156,380,060 |   |
| Diluted                                                                      |   |                                               | 80,000,000 |    |                                                    |   | 80,166,178 |   |   |   | 136,721,772 |   |   |   | 168,785,243 |   |   |   | 168,785,243 |   |
|                                                                         |   |                                               |       |    |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

|   |   | From      inception (May 18, 2005) to December 31, |   |   | Year ended December 31,                                 |   |
|--------|--------|----------------------------------------------------|--------|--------|---------------------------------------------------------|--------|
|   |   | 2005                                               |   |   | 2006                                                    |   |   | 2007 |   |   | 2008 |   |
|   |   |                                               |   |   | (in      millions, except for share and per share data) |   |
|   |   | RMB                                                |   |   | RMB                                                     |   |   | RMB |   |   | RMB |   |   | US$      (1) |   |
|   |   |                                               |   |   |                                                    |   |   |   |   |   |  |   |   |   |   |   |   |   |   |   |

| Consolidated      Statements of Cash Flows Data:                         |   |   |   |   |   |   |   |   |   |   |     |   |   |   |      |   |   |   |   |   |
|--------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|----------|--------|--------|--------|-----------|--------|--------|--------|--------|--------|
| Cash      flows(used in)or provided by                                   |   |   |   |   |   |   |   |   |   |   |     |   |   |   |      |   |   |   |   |   |
| Operating      activities                                                |   |   | (1.6   | )      |   |   | (61.8  | )      |   |   | (1,146.5 | )      |   |   | (1,289.2) |   |   |   | (189.0 | )      |
| Investing      activities                                                |   |   | (38.0  | )      |   |   | (107.6 | )      |   |   | (1,641.6 | )      |   |   | (419.4    | )      |   |   | (61.5  | )      |
| Financing      activities                                                |   |   | 50.7   |   |   |   | 254.8  |   |   |   | 3,519.6  |   |   |   | 2,610.3   |   |   |   | 382.6  |   |
|   Effect of exchange rate      changes on cash and cash equivalents |   |   | (0.1   | )      |   |   | (0.6   | )      |   |   | (91.3    | )      |   |   | (94.9     | )      |   |   | (13.9  | )      |

|                                                      |   | As of December 31,                                      |
|-----------------------------------------------------------|--------|---------------------------------------------------------|
|                                                      |   | 2005                                                    |   |   | 2006 |   |   |        2007 |   |   2008 |
|                                                      |   | (in      millions, except for share and per share data) |
|                                                      |   |                                                    |   |   | RMB |   |   | RMB |   |   |        RMB | US$(1) |   |   |
| Consolidated      Balance Sheet Data:                     |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents                            |   |                                                    | 11.0 |   |   |   | 95.8 |   |   |   | 736.0 |   |   |   | 1,542.8 |   |   |   | 226.1 |   |
| Restricted      Cash                                 |   |                                                    |  — |   |   |   |  — |   |   |   |  409.0 |   |   |   |  33.0 |   |   |   |  4.8 |   |
| Short      term investments                               |   |                                                    | — |   |   |   | — |   |   |   | 803.1 |   |   |   | 421.9 |   |   |   | 61.9 |   |
| Account      receivable from third party customers, net   |   |                                                    | — |   |   |   | 47.7 |   |   |   | 28.9 |   |   |   | 332.0 |   |   |   | 48.7 |   |
| Account      receivable from related party customers, net |   |                                                    | — |   |   |   | — |   |   |   | 24.7 |   |   |   | 23.0 |   |   |   | 3.4 |   |
| Inventories,      net                                     |   |                                                    | — |   |   |   | 154.7 |   |   |   | 157.3 |   |   |   | 592.0 |   |   |   | 86.7 |   |
| Advance      to related party supplier, net               |   |                                                    | — |   |   |   | 39.8 |   |   |   | 389.9 |   |   |   | 416.0 |   |   |   | 61.0 |   |
| Advance      to third party supplier, net                 |   |                                                    | — |   |   |   | 1.6 |   |   |   | 898.7 |   |   |   | 264.5 |   |   |   | 38.8 |   |
| Other      current assets                                 |   |                                                    | 0.4 |   |   |   | 6.7 |   |   |   | 42.3 |   |   |   | 191.1 |   |   |   | 28.0 |   |
| Deferred      tax assets                                  |   |                                                    | — |   |   |   | — |   |   |   | 1.2 |   |   |   | 14.1 |   |   |   | 2.1 |   |
| Total      current assets                                 |   |                                                    | 11.4 |   |   |   | 346.3 |   |   |   | 3,491.1 |   |   |   | 3,830.4 |   |   |   | 561.4 |   |
| Property      and equipment, net                          |   |                                                    | 39.4 |   |   |   | 139.4 |   |   |   | 532.0 |   |   |   | 1,369.8 |   |   |   | 200.8 |   |
| Intangible      asset, net                                |   |                                                    | 8.3 |   |   |   | 7.2 |   |   |   | 6.7 |   |   |   | 11.8 |   |   |   | 1.7 |   |
| Deferred      tax assets                                  |   |                                                    | — |   |   |   | — |   |   |   | 4.4 |   |   |   | 14.4 |   |   |   | 2.1 |   |
| Advances      to suppliers, net                           |   |                                                    | — |   |   |   | — |   |   |   | 536.3 |   |   |   | 1,944.9 |   |   |   | 285.1 |   |
| Prepayment      for land use right                        |   |                                                    | — |   |   |   | — |   |   |   | — |   |   |   | 44.4 |   |   |   | 6.5 |   |
| Derivative      asset-capped call options                 |   |                                                    | — |   |   |   | — |   |   |   | — |   |   |   | 4.5 |   |   |   | 0.7 |   |
| Deferred      issuance cost                               |   |                                                    | — |   |   |   | — |   |   |   | — |   |   |   | 59.0 |   |   |   | 8.6 |   |
| Total      assets                                         |   |                                                    | 59.1 |   |   |   | 492.9 |   |   |   | 4,570.5 |   |   |   | 7,279.2 |   |   |   | 1066.9 |   |
| Short-term      bank borrowings                           |   |                                                    | — |   |   |   | 150.0 |   |   |   | 200.0 |   |   |   | 490.0 |   |   |   | 71.8 |   |
| Convertible      notes                                    |   |                                                    | — |   |   |   | — |   |   |   | — |   |   |   | 1,532.6 |   |   |   | 224.6 |   |
| Total      liabilities                                    |   |                                                    | 2.5 |   |   |   | 187.1 |   |   |   | 434.0 |   |   |   | 2,524.3 |   |   |   | 370.0 |   |

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|   |   | As of December 31,                                      |
|--------|--------|---------------------------------------------------------|
|   |   | 2005                                                    |   |   | 2006 |   |   |        2007 |   |   2008 |
|   |   | (in      millions, except for share and per share data) |
|   |   |                                                    |   |   | RMB |   |   | RMB |   |   |        RMB | US$(1) |

| Preferred      shares                 |   |   | — |   |   |   | 110.0 |   |   |   | — |   |   |   | — |   |   |   | — |   |
|---------------------------------------|--------|--------|---------|--------|--------|--------|-------|--------|--------|--------|---------|--------|--------|--------|---------|--------|--------|--------|---------|--------|
| Total      shareholders’ equity |   |   | 56.6    |   |   |   | 195.8 |   |   |   | 4,136.5 |   |   |   | 4,754.9 |   |   |   | 696.9   |   |

| (1) | Translation      of RMB amounts in U.S. dollars were made at a rate of RMB 6.8225 to      US$1.00, the noon buying rate for U.S. dollars in effect on      December 31, 2008 in New York City for cable transfers of Renminbi as      certified for customs purposes by the Federal Reserve Bank of New      York.  We make no representation that any amounts of Renminbi or      U.S. dollars could be or could have been converted into each other at any      particular rate or at all. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | Ÿ |   | reduction,      delay or cancellation of orders from one or more of our significant      customers; |
|--------|--------|--------|-----------------------------------------------------------------------------------------------------|

|   | Ÿ |   | selection      of our competitor’s products by one or more of our significant      customers; |
|--------|--------|--------|-----------------------------------------------------------------------------------------------------|

|   | Ÿ |   | loss      of one or more of our significant customers and our failure to identify      additional or replacement customers;and |
|--------|--------|--------|--------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | Failure      of any of our significant customers to make timely payment for our      products. |
|--------|--------|--------|------------------------------------------------------------------------------------------------|

|   | · | fluctuations      in currency exchange rates; |
|--------|--------|-----------------------------------------------|

|   | · | difficulty      in engaging and retaining distributors who are knowledgeable about, and      can function effectively in, overseasmarkets; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | increased      costs associated with maintaining marketing efforts in various      countries; |
|--------|--------|-----------------------------------------------------------------------------------------------|

|   | · | difficulty      and cost relating to compliance with the different commercial and legal      requirements of the overseas markets in which we offer our      products; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | inability      to obtain, maintain or enforce intellectual property rights;      and |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | trade      barriers such as export requirements, tariffs, taxes and other      restrictions and expenses, which could increase the prices of our products      and make us less competitive in somecountries. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | cost-effectiveness      of solar power products compared to conventional and other non-solar      energy sources and products; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------|

|   | · | performance      and reliability of solar power products compared to conventional and other      non-solar energy sources andproducts; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------|

|   | · | availability      of government subsidies and incentives to support the development of the      solar power industry; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | · | success      of other alternative energy generation technologies, such as fuel cells,      wind power and biomass; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------|

|   | · | fluctuations      in economic and market conditions that affect the viability of      conventional and non-solar alternative energy sources, such as increases      or decreases in the prices of oil and other fossil fuels;    and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | capital      expenditures by end users of solar power products, which tend to decrease      when the economy slows down. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------|

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|   | · | people      may not be deterred from misappropriating our technologies despite the      existence of laws or contracts prohibitingit; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------|

|   | · | policing      unauthorized use of our intellectual property may be difficult, expensive      and time-consuming, and we may be unable to determine the extent of any      unauthorized use; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | enforcement      under intellectual property laws in China may be slow and difficult in      light of the application of such laws and the uncertainties associated      with the PRC legal system. See “Item 3. Key Information — D. Risk Factors      — Risks related to Doing Business in China — Uncertainties with respect to      the PRC legal system could have a material adverse effect on      us.” |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | Ÿ | expanding      our existing manufacturing facilities, which would increase our fixed      costs and, if such facilities are underutilized, would negatively      impact our results of operations; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | ensuring      delivery of adequate polysilicon andingots; |
|--------|--------|-----------------------------------------------------------|

|   | Ÿ | developing      more efficient solar cells; |
|--------|--------|---------------------------------------------|

|   | Ÿ | enhancing      our customer resource management and manufacturing management      systems; |
|--------|--------|--------------------------------------------------------------------------------------------|

|   | Ÿ | implementing      and improving additional and existing administrative, financial and      operations systems, procedures and controls, including the implementation      of our new ERP system; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | hiring      additional employees; |
|--------|--------|-----------------------------------|

|   | Ÿ | expanding      and upgrading our technologicalcapabilities; |
|--------|--------|-------------------------------------------------------------|

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|   | Ÿ | managing      multiple relationships with our customers, suppliers and other      third-parties; |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | Ÿ | maintaining      adequate liquidity and financial resources;and |
|--------|--------|-----------------------------------------------------------------|

|   | Ÿ | continuing      to increase our revenues fromoperations. |
|--------|--------|----------------------------------------------------------|

|   | Ÿ | multiple,      conflicting and changing laws and regulations, export and import      restrictions, employment laws, regulatory requirements and other      government approvals, permits andlicenses; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | difficulties      and costs in staffing and managing foreign operations as well as cultural      differences; |
|--------|--------|---------------------------------------------------------------------------------------------------------------|

|   | Ÿ | potentially      adverse tax consequences associated with our permanent establishment of      operations in more countries; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | relatively      uncertain legal systems, including potentially limited protection for      intellectual property rights, and laws, regulations and policies which      impose additional restrictions on the ability of foreign companies to      conduct business in certain countries or otherwise place them at a      competitive disadvantage in relation to domestic  companies; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | inadequate      local infrastructure and developing telecommunications      infrastructures; |
|--------|--------|----------------------------------------------------------------------------------------------|

|   | Ÿ | financial      risks, such as longer sales and payment cycles and greater difficulty      collecting accounts receivable; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | currency      fluctuations and government-fixed foreign exchange rates and the effects      of currency hedging activity or inability to hedge currency fluctuations;      and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | political      and economic instability, including wars, acts of terrorism, political      unrest, boycotts, curtailments of trade and other business      restrictions. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | the      amount of government involvement; |
|--------|--------|--------------------------------------------|

|   | · | the      level of development; |
|--------|--------|--------------------------------|

|   | · | the      growth rate; |
|--------|--------|-----------------------|

|   | · | the      control of foreign exchange; and |
|--------|--------|-------------------------------------------|

|   | · | the      allocation of resources. |
|--------|--------|-----------------------------------|

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|   | • |   | requiring      us to use a substantial portion of our cash flow from operations to      service our indebtedness, which would reduce our cash flow available for      working capital, capital expenditures, development projects and other      general corporate purposes; |
|--------|---------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |    |
|   | • |   | limiting      our flexibility in planning for or reacting to, and increasing our      vulnerability to, changes in our business, the industry in which we      operate and the general economy; and                                                                          |
|   |    |
|   | • |   | placing      us at a competitive disadvantage compared to our competitors who have less      debt or are less leveraged.                                                                                                                                                     |

| 1.) | an      investment of US$ 100 million in note issued by Lehman Brothers Treasury      Co. BV (“Lehman BV”) (the “Lehman Note”(1));      and |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 2.) | an      ADS lending agreement dated as of May 13, 2008 with Lehman Brothers      International (Europe) (“LBIE”). |
|-----|-------------------------------------------------------------------------------------------------------------------------------|

| 3.) | a      capped call confirmation dated May 13, 2008 with Lehman Brothers OTC      Derivatives Inc. (“Lehman OTC”) (the “Capped  Call”); |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (1) | Lehman      Note.  We have an approximately US$100 million USD 3-Month      Lehman Brothers Commodity Alpha Trading Strategies I Excess      Return  (“LCMNER”) Index-Linked note, issued by Lehman BV and      guaranteed by Lehman Brothers Holdings Inc. (or “LBHI”).  The      Lehman Note is linked to an index of LCMNER.  The maturity date      of the Lehnman Note was October 9, 2008, with 100% principal protection      guaranteed by LBHI.  The Lehman Note and the guarantee rank      equally with all unsecured obligations of the issuer and      guarantor.  On September 19, 2008, the Amsterdam District Court      granted Lehman BV a provisional suspension of payments and subsequently      declared Lehman BV bankrupt on October 8, 2008. The Lehman Note was not      repaid by Lehman BV and we have made a full impairment amounting to RMB      686,320,000 against the Lehman Note.  We have filed a claim with      the administrators of Lehman BV for recovery of the US$100 million and are      working with lawyers to monitor the status of the bankruptcy. Any portion      of its investment that we are able to recover in the future will be      recorded as other income. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

Risks Related to Our Ordinary Shares and ADSs

|   | · | announcements      of technological or competitivedevelopments; |
|--------|--------|-----------------------------------------------------------------|

|   | · | regulatory      developments in our target markets affecting us, our customers, our      potential customers or ourcompetitors; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------|

|   | · | announcements      regarding patent litigation or the issuance of patents to us or our      competitors; |
|--------|--------|----------------------------------------------------------------------------------------------------------|

|   | · | announcements      of studies and reports relating to the conversion efficiencies of our      products or those of ourcompetitors; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------|

|   | · | actual      or anticipated fluctuations in our quarterly operating      results; |
|--------|--------|----------------------------------------------------------------------------------|

|   | · | changes      in financial estimates by securities research  analysts; |
|--------|--------|-----------------------------------------------------------------------|

|   | · | changes      in the economic performance or market valuations of other photovoltaic      technology companies; |
|--------|--------|----------------------------------------------------------------------------------------------------------------|

|   | · | addition      or departure of our executive officers and key research      personnel; |
|--------|--------|---------------------------------------------------------------------------------------|

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|   | · | fluctuations      in the exchange rate between the U.S. dollar and  RMB; |
|--------|--------|--------------------------------------------------------------------------|

|   | · | release      or expiry of lock-up or other transfer restrictions on our outstanding      ordinary shares or ADSs; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------|

|   | · | sales      or perceived sales of additional ordinary shares or ADSs;    and |
|--------|--------|-----------------------------------------------------------------------------|

|   | · | the      outcome of the various legal actions we are taking against the Lehman      Entities are uncertain. |
|--------|--------|-------------------------------------------------------------------------------------------------------------|

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|   | · | Cell Efficiency. Cell      efficiency refers to the ratio of the maximum power output of electric      energy released and the light received. A cell with a higher degree of      efficiency (having the same format) generates more electricity. Efficiency      is a key determinant for sale price and therefore affects the      profitability margins of the manufacturer. In the fourth quarter of 2008,      our monocrystalline solar cells achieved efficiency levels with an average      range of 16.77% to 17.27% and our multicrystalline solar      cells achieved efficiency levels with an average range of 15.12% to      15.62%. Cell efficiency is mainly affected by the following      factors: |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Wafer      Quality.  The quality of the wafer from which a cell is      produced is of significant importance for the processing and the      efficiency of the cells. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Manufacturing Process.      We believe that we have developed and implemented advanced      manufacturing processes in our production facilities. For example, we use      special techniques in the diffusion process in order to fabricate      high-performance cells with improved cell efficiency. In addition, we have      a well-trained maintenance team that continuously monitors each step of      our manufacturing      process. We believe that this monitoring system has helped us maintain      consistency and uniformity in the solar cells we produce and overall      improved our cell efficiency, as well as helped us minimize the down-time      of our manufacturing lines. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Format. The larger the      format of a cell, the greater its power output (having the same      efficiency). Accordingly, larger cells (having the same efficiency) can be      sold for a higher price. On the other hand, a larger format generally      results in increased breakage rates and higher material cost per watt.      Given the different size of the wafers we currently obtain from our      suppliers, we currently produce both monocrystalline and multicrystalline      solar cells with formats of 125 mm × 125 mm and 156 mm × 156      mm. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Cell Thickness. The      thinner a cell, the less polysilicon is generally needed for its      production. This facilitates a cost reduction per cell and the production      of more cells from a given amount of polysilicon. However, thinner cells      also tend to be more fragile and have higher breakage rates. One of our      research and development projects is focused on refining process      technologies for ultra-thin wafers. The average thickness of the silicon      wafers from our suppliers is in the range of 210-170 microns. We are      capable of processing silicon wafers that are as thin as 170      microns. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Texturing and cleaning.      The solar cell manufacturing process begins with texturing of the surface      of wafers which reduces the solar cell’s reflection of sunlight, followed      by surface cleaning of the cells. The texturing process for      multicrystalline wafers is slightly different from that for      monocrystalline wafers. However, we believe we are capable of producing      multicrystalline solar cells by making certain minor adjustments in our      texturing process. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Diffusion. Next,      through a thermal process, a negatively charged coating is applied to the      positively charged raw wafers in a diffusion furnace. At the high furnace      temperature, the phosphorous atoms diffuse into the wafer surface. As a      result, the wafer now has two separate layers — a negatively charged layer      on the surface and a positively charged layer below  it. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Isolation. To achieve a      clean separation of the negative and positive layers, the edges of the      wafers are isolated through etching, a process that removes a very thin      layer of silicon around the edges of the solar cell resulting from the      diffusion process. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Anti-reflection      coating. We then apply an anti-reflection coating to the front      surface of the solar cell to enhance its absorption of      sunlight. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Printing.  In      a screen printing process, we print silver paste and aluminum paste to the      front and back surfaces of the solar cell, respectively, to act as      contacts, with the front contact in a grid pattern to allow sunlight to be      absorbed. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Co-firing.      Subsequently, contacts are connected through an electrode firing process      in a conveyor belt furnace at high temperature. The high temperature      causes the silver paste to become embedded in the surface of the silicon      layer forming a reliable electrical contact. The aluminum paste on the      back of the cell serves as a mirror for particles, further enhancing the      efficiency level. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Testing and sorting.      Finally, we complete the manufacturing of solar cells by testing and      sorting. The finished cells are sorted according to efficiency levels and      optical criteria. Each cell is tested and subsequently assigned to a      performance and quality class depending on the testing      results. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                           |   | Year      Ended December 31, |   |
|------------------------------------------------|--------|------------------------------|--------|
|                                           |   | 2006                         |   |   | 2007 |   |   | 2008 |   |
|                                           |   | RMB                          |   |   | (in      millions)RMB |   |   | RMB |   |   | US$ |   |
| China                                          |   |                         | 685.3  |   |   |   | 2,310.5 |   |   |   | 4.162.0 |   |   |   | 610.0 |   |
| Outside      China:                            |   |                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Spain                                          |   |                         | 1.5    |   |   |   | 154.8 |   |   |   | 613.5 |   |   |   | 89.9 |   |
|     Rest      of the world |   |                         | 9.7    |   |   |   | 228.4 |   |   |   | 682.8 |   |   |   | 100.1 |   |
|                                           |   |                         | 11.2   |   |   |   | 383.2 |   |   |   | 1,296.3 |   |   |   | 190.0 |   |
| Total      net revenue                         |   |                         | 696.5  |   |   |   | 2,693.7 |   |   |   | 5,458.3 |   |   |   | 800.0 |   |
|                                           |   |

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ITEM5.                      OPERATINGAND FINANCIAL REVIEW AND PROSPECTS

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|   | · | Industry      Demand. Demand for solar cells is critical to our business and      revenue growth. In the past year, demand for solar cells has become more      sluggish due to issues such as the lack of financing caused by the current      global financial crisis and the reduction of incentives, for example,      Spain’s 500 MW cap on subsidized solar power.  Furthermore, the      past year has seen a significant drop in crude oil prices – a factor that      has led to a further decrease in demand for solar cell      products. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   |   | See      “Item 3. Key Information — D. Risk Factors — Risks Related to Our Sales      Channels — The execution of our growth strategy is dependent upon the      continued availability of financing to our customers as well as      third-party financing arrangements for the end-user of our products, and      is affected by general economic  conditions.”                                                                                                                                                                            |

|   | · | Capacity      Utilization. We have expanded our manufacturing capacity from 25 MW      to 600 MW per annum since inception. Since the fourth quarter of 2008, as      a result of the decreased industry demand described above, we are      experiencing an excess in manufacturing capacity. Therefore, in order      to improve the effective utilization of our production capacity, we      have entered into additional solar cell processing arrangements with      customers who have their own wafer supplies where we obtain silicon wafer      supplies from these customers, and sell all or a substantial portion of      the solar cells manufactured with these wafers back to those      customers. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   |  See      “Item 3. Key Information — D. Risk Factors — Risks Related to Our      Operations — We may not be able to increase or sustain our recent growth      rate, and we may not be able to manage our future growth      effectively.”                                                                                                                                                                                                                                                                                                                                                                                                                                            |

|   | · | Price of      Silicon Wafers and Related Raw Materials. The success of our      business and our growth strategy depends heavily on acquiring a supply of      silicon wafers at commercially reasonable prices and terms that is      consistent with our existing and planned production capacity. We have      entered into prepaid long-term supply contracts with suppliers like      Jinglong Group, M. SETEK and GCL where, in some instances, these      agreements provide for fixed pricing, substantial prepayment obligations      and/or firm purchase commitments that require us to pay for the supply      whether or not we accept delivery. These prepayment arrangements exposes      us to the credit risks of such suppliers and may also significantly      increase our costs and expenses, as compared to our competitors, based on      factors like fluctuations in the market price for silicon      wafers/polysilicon and/or if such arrangements require us to purchase more      raw materials than required to meet our actual customer demand (e.g.,      carrying excess inventory), either of which could in turn have a material      adverse effect on our financial condition, results of operations and      liquidity. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   |   | See      “Item 3. Key Information — D. Risk Factors — Risks Related to Our Supply      Chain — Limited competition among suppliers has required us in some      instances to enter into long-term, firm commitment supply agreements,      including prepayment provisions that could result in excess or      insufficient inventory and financial loss placing us at a competitive      disadvantage.”                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |

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|   | · | Pricing of      Our Solar Cell Products.  Pricing of solar cells is      principally affected by manufacturing costs, including the cost of silicon      wafers, as well as the overall demand in the solar power industry.       The average selling price of our solar cells was approximately RMB 25.9,      RMB 22.5 and RMB 22.1 (US$3.24) per watt for the years ended December 31,      2006, 2007 and 2008, respectively. The decline in average selling price of      our solar cells over these periods was mainly due to the global economic      crisis and resulting decreased industry demand, increased competition, and      changes in other market conditions. Further, the average selling price of      our solar cells decreased approximately 29% in the first quarter of 2009,      as compared with the fourth quarter of 2008. We expect the prices of solar      cell products, including our own products, to continue to decline for the      remainder of 2009 due to the global economic crisis and related decrease      in demand, increased competition and supplies, and other market      conditions. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |   |  See      “Item 3. Key Information — D. Risk Factors — Risks Related to Our Supply      Chain —Fluctuation in the price of polysilicon, increased competition, the      global economic crisis and other changing market conditions may cause      further decline in the demand and average selling prices of solar cells      and may continue to increase the level of our earnings volatility and      reduce our profitability.”                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |

|   | · | Technology      Improvement.  Solar      power companies, including us, are continuously pursuing technology      improvements in an effort to increase conversion efficiencies.      In      the fourth quarter of 2008, our      monocrystalline      solar cells have achieved      conversion efficiency rates with an average range of 16.77% to 17.27% and      our      multicrystalline solar cells have achieved conversion efficiency rates      with an average range of 15.12% to 15.62%. We      intend to further enhance our research and development efforts on process      technologies in solar cell production which can increase conversion      efficiency of solar cells and reduce production      costs. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|   |   |  See      “Item 3. Key Information — D. Risk Factors — Risks Related to Technology      and Intellectual Property.”                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |

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|   | · | Persuasive      evidence that an arrangement (sales contract) exists between a willing      customer and us that outlines the terms of the sale (including customer      information, product specification, quantity of goods, purchase price and      payment terms). Customers do not have a right of return. We do provide a      warranty on our solar moduleproducts. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Generally      shipping terms are FOB shipping point from our premises. At this point the      customer takes title to the goods and is responsible for all risks and      rewards of ownership. Some shipping terms are CIF destination point. At      this point, once the acceptance from the customer is received, the      customer takes title to the goods and is responsible for all risks and      rewards of ownership.  Some shipping terms are EXW, where we      deliver goods to our own place of business and all other transportation      costs and risks are assumed by thecustomer. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Our      price to the customer is fixed and determinable as specifically outlined      in the sales contract. |
|--------|--------|---------------------------------------------------------------------------------------------------------------|

|   | · | For      customers to whom credit terms are extended, we assess a number of factors      to determine whether collection from them is probable, including past      transaction history with them and their credit-worthiness. All credit      extended to customers is pre-approved by management. If we determine that      collection is not reasonably assured, we defer the recognition of revenue      until collection becomes reasonably assured, which is generally upon      receipt of payment. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                   |   | Year ended      December 31,          |   |
|----------------------------------------|--------|--------------------------------------------|--------|
|                                   |   | 2006                                       |   |   | 2007 |   |   | 2008 |   |
|                                   |   | (in      millions, except for percentages) |   |
|                                   |   | RMB                                        |   |   | % |   |   | RMB |   |   | % |   |   | RMB |   |   | US$ |   |   | % |   |
| Solar      products to third parties   |   |                                       | 565.3  |   |   |   | 81.2 | % |   |   | 2,532.4 |   |   |   | 94.0 | % |   |   | 4,794.0 |   |   |   | 702.7 |   |   |   | 87.8 | % |
| Solar      products to related parties |   |                                       | 131.2  |   |   |   | 18.8 | % |   |   | 62.2 |   |   |   | 2.3 | % |   |   | 508.0 |   |   |   | 74.5 |   |   |   | 9.3 | % |
| Solar      cells processing            |   |                                       | -      |   |   |   | - |   |   |   | 99.1 |   |   |   | 3.7 | % |   |   | 156.3 |   |   |   | 22.9 |   |   |   | 2.9 | % |
| Total      Revenues                    |   |                                       | 696.5  |   |   |   | 100.0 | % |   |   | 2,693.7 |   |   |   | 100.0 | % |   |   | 5,458.3 |   |   |   | 800.0 |   |   |   | 100.0 | % |
|                                   |   |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

|                                                                                                                                                                                                  |   | Year ended      December 31,          |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------|--------|
|                                                                                                                                                                                                  |   | 2006                                       |   |   | 2007 |   |   | 2008 |   |
|                                                                                                                                                                                                  |   | (in      millions, except for percentages) |   |
|                                                                                                                                                                                                  |   | RMB                                        |   |   | % |   |   | RMB |   |   | % |   |   | RMB |   |   | US$ |   |   | % |   |
| Silicon      wafers                                                                                                                                 |   |                                       | 473.2  |   |   |   | 90.3 | % |   |   | 1,884.6 |   |   |   | 90.1 | % |   |   | 3,991.4 |   |   |   | 585.0 |   |   |   | 89.4 | %  |
| Other                                 |   |                                       | 51.0   |   |   |   | 9.7 | % |   |   | 208.2 |   |   |   | 9.9 | % |   |   | 474.9 |   |   |   | 69.6 |   |   |   | 10.6 | %  |
| Total      cost of revenues                                                                                                                                                                           |   |                                       | 524.2  |   |   |   | 100.0 | % |   |   | 2,092.8 |   |   |   | 100.0 | % |   |   | 4,466.3 |   |   |   | 654.6 |   |   |   | 100 | % |
|                                                                                                                                                                                                  |   |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

|                                              |   | Year      ended December 31,          |   |
|---------------------------------------------------|--------|--------------------------------------------|--------|
|                                              |   | 2006                                       |   |   | 2007 |   |   | 2008 |   |
|                                              |   | (in      millions, except for percentages) |   |
|                                              |   | RMB                                        |   |   | % |   |   | RMB |   |   | % |   |   | RMB |   |   | US$ |   |   | % |   |
| Selling,      general and administrative expenses |   |                                       | 39.7   |   |   |   | 96.7 | % |   |   | 150.3 |   |   |   | 97.3 | % |   |   | 271.5 |   |   |   | 39.8 |   |   |   | 90.5 | % |
| Research      and development expenses            |   |                                       | 1.3    |   |   |   | 3.3 | % |   |   | 4.2 |   |   |   | 2.7 | % |   |   | 28.5 |   |   |   | 4.2 |   |   |   | 9.5 | % |
| Total      operating expenses                     |   |                                       | 41.0   |   |   |   | 100.0 | % |   |   | 154.5 |   |   |   | 100.0 | % |   |   | 300.0 |   |   |   | 44.0 |   |   |   | 100 | % |
|                                              |   |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

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|                                                                  |   | Year      ended December 31,                             |    |
|-----------------------------------------------------------------------|--------|---------------------------------------------------------------|---------|
|                                                                  |   | 2006                                                          |    |   | 2007 |   |   | 2008 |   |
|                                                                  |   | (in      millions, except for operating data and percentages) |    |
|                                                                  |   | RMB                                                           |    |   | % |   |   | RMB |   |   | % |   |   | RMB |   |   | US$ |   |   | % |   |
| Income      Statement Data:                                           |   |                                                          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      revenues                                                   |   |                                                          | 696.5   |   |   |   | 100.0 | % |   |   | 2,693.7 |   |   |   | 100.0 | % |   |   | 5,458.3 |   |   |   | 800.0 |   |   |   | 100 | % |
| China                                                                 |   |                                                          | 685.3   |   |   |   | 98.4 | % |   |   | 2,310.5 |   |   |   | 85.8 | % |   |   | 4,162.0 |   |   |   | 610.0 |   |   |   | 76.3 | % |
| Outside China                                                         |   |                                                          | 11.2    |   |   |   | 1.6 | % |   |   | 383.2 |   |   |   | 14.2 | % |   |   | 1,296.3 |   |   |   | 190.0 |   |   |   | 23.7 | % |
| Cost      of revenues                                                 |   |                                                          | (524.2  | ) |   |   | (75.3 | )% |   |   | (2,092.8 | ) |   |   | (77.7 | )% |   |   | (4,466.3 | ) |   |   | (654.6 | ) |   |   | (81.8 | )% |
| Gross      profit                                                     |   |                                                          | 172.3   |   |   |   | 24.7 | % |   |   | 600.9 |   |   |   | 22.3 | % |   |   | 992.0 |   |   |   | 145.4 |   |   |   | 18.2 | % |
| Selling,      general and administrative expenses                     |   |                                                          | (39.7   | ) |   |   | (5.7 | )% |   |   | (150.3 | ) |   |   | (5.5 | )% |   |   | (271.5 | ) |   |   | (39.8 | ) |   |   | (5.0 | )% |
| Research      and development expenses                                |   |                                                          | (1.3    | ) |   |   | (0.2 | )% |   |   | (4.2 | ) |   |   | (0.2 | )% |   |   | (28.5 | ) |   |   | (4.2 | ) |   |   | (0.5 | )% |
| Total      operating expenses.                                        |   |                                                          | (41.0   | ) |   |   | (5.9 | )% |   |   | (154.5 | ) |   |   | (5.7 | )% |   |   | (300.0 | ) |   |   | (44.0 | ) |   |   | (5.5 | )% |
| Income      from operations                                           |   |                                                          | 131.3   |   |   |   | 18.8 | % |   |   | 446.4 |   |   |   | 16.6 | % |   |   | 692.0 |   |   |   | 101.4 |   |   |   | 12.7 | % |
| Impairment      on available-for-sale securities                      |   |                                                          | — |   |   |   | — |   |   |   | — |   |   |   | — |   |   |   | (686.3 | )  |   |   | (100.6 | )  |   |   | (12.6 | )%  |
| Change      in fair value of Derivatives                              |   |                                                          | — |   |   |   | — |   |   |   | — |   |   |   | — |   |   |   | 564.0 |   |   |   | 82.7 |   |   |   | 10.3 | %  |
| Convertible notes      buyback gain                              |   |                                                          | — |   |   |   | — |   |   |   | — |   |   |   | — |   |   |   | 203.5 |   |   |   | 29.8 |   |   |   |  3.7 | %  |
| Interest      expense                                                 |   |                                                          | (5.1    | ) |   |   | (0.7 | )% |   |   | (6.6 | ) |   |   | (0.2 | )% |   |   | (160.5 | ) |   |   | (23.5 | ) |   |   | (2.9 | )% |
| Interest      income.                                                 |   |                                                          | 0.8     |   |   |   | 0.1 | % |   |   | 62.6 |   |   |   | 2.3 | % |   |   | 42.6 |   |   |   | 6.3 |   |   |   | 0.8 | % |
| Foreign      exchange gain/(loss)                                     |   |                                                          | 1.3     |   |   |   | 0.2 | % |   |   | (112.8 | ) |   |   | (4.2 | )% |   |   | (127.3 | ) |   |   | (18.7 | ) |   |   | (2.4 | )% |
| Investment      loss                                                  |   |                                                          | — |   |   |   | — |   |   |   | — |   |   |   | — |   |   |   | (28.6 | )  |   |   | (4.2) |   |   |   | (0.5 | )% |
| Other      Income                                                     |   |                                                          | 0.1     |   |   |   | — |   |   |   | 5.2 |   |   |   | 0.2 | % |   |   | 3.6 |   |   |   | 0.5 |   |   |   | 0.1 | % |
| Income      before income taxes                                       |   |                                                          | 128.4   |   |   |   | 18.4 | % |   |   | 394.8 |   |   |   | 14.7 | % |   |   | 503.0 |   |   |   | 73.7 |   |   |   | 9.2 | % |
| Income      tax benefit/ (expenses)                                   |   |                                                          | — |   |   |   | — |   |   |   | 5.6 |   |   |   | 0.2 | % |   |   | (23.9 | ) |   |   | (3.5 | ) |   |   | (0.4 | )% |
| Net      income                                                       |   |                                                          | 128.4   |   |   |   | 18.4 | % |   |   | 400.4 |   |   |   | 14.9 | % |   |   | 479.1 |   |   |   | 70.2 |   |   |   | 8.8 | % |
| Preferred      shares accretion                                       |   |                                                          | (1.6    | ) |   |   | (0.2 | )% |   |   | (0.5 | ) |   |   | (0.02 | )% |   |   | — |   |   |   | — |   |   |   | — |   |
| Preferred      shares beneficial conversion charge                    |   |                                                          | (34.7   | ) |   |   | (5.0 | )% |   |   | — |   |   |   | — |   |   |   | — |   |   |   | — |   |   |   | — |   |
| Allocation      of net income to participating preferred shareholders |   |                                                          | (5.7    | ) |   |   | (0.8 | )% |   |   | (1.7 | ) |   |   | (0.1 | )% |   |   | — |   |   |   | — |   |   |   | — |   |
| Net      income available to holders of ordinary share.               |   |                                                          | 86.4    |   |   |   | 12.4 | % |   |   | 398.2 |   |   |   | 14.8 | % |   |   | 479.1 |   |   |   | 70.2 |   |   |   | 8.8 | % |
|                                                                  |   |                                                          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      Data:                                                  |   |                                                          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Products      sold (in million units)                                 |   |                                                          | 10.9    |   |   |   | — |   |   |   | 54.8 |   |   |   | — |   |   |   | 111.2 |   |   |   | — |   |   |   | — |   |
| Products      sold (in MW)                                            |   |                                                          | 26.3    |   |   |   | — |   |   |   | 132.9 |   |   |   | — |   |   |   | 277.4 |   |   |   | — |   |   |   | — |   |
| Average      selling price per watt                                   |   |                                                          | 25.9    |   |   |   | — |   |   |   | 22.5 |   |   |   | — |   |   |   | 22.1 |   |   |   | 3.24 |   |   |   | — |   |

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|   | · | Selling, General and      Administrative Expenses. Our      selling, general and administrative expenses increased from RMB 150.3      million in 2007 to RMB 271.5 million (US$40.0 million) in 2008, but      decreased as a percentage of our total revenues from 5.5% in 2007 to 5.0%      in 2008. The increase in our selling, general and administrative expenses      was due primarily to increases in our selling expenses, advertising      expenses and warranty costs associated with our increased product sales,      an increased amount of salary and benefits paid to our sales and marketing      personnel as a result of increased headcount, as well as share-based      compensation expenses of RMB 113.2 million (US$16.6 million) relating to      our stock options granted to certain employees and      consultants.  The above share based compensation expenses are      net of forfeiture reversal amounts of nil, RMB 4.8 million, and RMB      59.6 million (US$8.74 million) for the period from the years ended      December 31, 2006, 2007 and 2008,  respectively. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Research and Development      Expenses. Our research and development expenses increased from RMB      4.2 million in 2007 to RMB 28.5 million (US$4.2 million) in 2008 and      increased as a percentage of our total revenues from 0.2% in 2007 to 0.5%      in 2008. The increase in our research and development expenses was due      primarily to increases in material costs related to our increased research      and development activities. Our research and development has primarily      focused on: improving and optimizing our solar manufacturing process based      on certain proprietary know-how. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Selling, General and      Administrative Expenses. Our selling, general and administrative      expenses increased from RMB 39.7 million in 2006 to RMB 150.3 million in      2007, but decreased, as a percentage of our total revenues, from 5.7% in      2006 to 5.5% in 2007. The increase in our selling, general and      administrative expenses was due primarily to increases in our selling      expenses, advertising expenses and warranty costs associated with our      increased product sales, an increased amount of salary and benefits paid      to our sales and marketing personnel as a result of increased headcount,      as well as share-based compensation expenses of RMB 88.8 million relating      to our stock options granted to certain employees and      consultants. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Research and Development      Expenses. Our research and development expenses increased from RMB      1.3 million in 2006 to RMB 4.2 million in 2007 but remained stable as a      percentage of our total revenue at 0.2%. The increase in our research and      development expenses was due primarily to increases in raw material costs      related to our increased research and development activities. Our research      and development has primarily focused on: improving and optimizing our      solar manufacturing process based on certain proprietary      know-how. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                              |   | Year      ended December 31, |   |
|-------------------------------------------------------------------|--------|-----------------------------------|--------|
|                                                              |   | 2006                              |   |   | 2007 |   |   | 2008 |   |
|                                                              |   | (in      millions)                |   |
|                                                              |   | RMB                               |   |   | RMB |   |   | RMB |   |   | US$ |   |
| Net      cash used in operating activities                        |   |                              | (61.8  | ) |   |   | (1,146.5 | ) |   |   | (1,289.2 | ) |   |   | (189.0 | ) |
| Net      cash used in investing activities                        |   |                              | (107.6 | ) |   |   | (1,641.6 | ) |   |   | (419.4 | ) |   |   | (61.5 | ) |
| Net      cash provided by financing activities                    |   |                              | 254.8  |   |   |   | 3,519.6 |   |   |   | 2,610.3 |   |   |   | 382.6 |   |
| Effect      of exchange rate changes on cash and cash equivalents |   |                              | (0.6   | ) |   |   | (91.3 | ) |   |   | (94.9 | ) |   |   | (13.9 | ) |
| Net      increase in cash and cash equivalents                    |   |                              | 84.8   |   |   |   | 640.2 |   |   |   | 806.8 |   |   |   | 118.2 |   |
| Cash      and cash equivalents at the beginning of the period     |   |                              | 11.0   |   |   |   | 95.8 |   |   |   | 736.0 |   |   |   | 107.9 |   |
| Cash      and cash equivalents at the end of the period           |   |                              | 95.8   |   |   |   | 736.0 |   |   |   | 1,542.8 |   |   |   | 226.1 |   |
|                                                              |   |                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

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|   | · | Texturing. We have      introduced a new process formula to the texturing process. As a result,      the nucleation of pyramids has been improved and the repetition of      texturing quality in our manufacturing lines has been more      reliable; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Diffusion. We have      modified our diffusion process and introduced a new processing technology      to reduce the defects and surface damage created during the process,      which, in turn, has resulted in an improvement to the lifetime of the      processed wafers; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | · | Drying and Firing. We      have designed new drying and firing conditions for the metal pastes. The      new conditions allow solar cells to have a good back surface field, ohmic      contacts and low “bow.” The low “bow” may significantly reduce wafer      breakage during automatic soldering when manufacturing      modules. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | “Selective Emitter”      Structure. We intend to develop a novel diffusion approach to form      a “selective emitter” structure on the front surface of the cells, which      will simplify the manufacturing process sequence and make it suitable for      commercialization. This technique is expected to lead to improved cell      efficiency in excess of 20% for monocrystalline silicon      wafers. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Ultra-thin Wafer Industrial      Manufacturing. To refine our techniques used in the processing of      ultra-thin wafers, we plan to study the stress and defect rates of wafers      in each stage of the manufacturing process in order to control wafer      breakage. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Quality Control      Techniques. We intend to develop enhanced techniques to be applied      in the quality control of our products and manufacturing lines, including      characterization of product performance, in-line diagnostics, and methods      to control production yield, product durability and      reliability. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Multicrystalline      Screen-printing Silicon Solar Cells. We intend to research      different approaches to improve the electronic quality of the      multicrystalline silicon substrate and to enhance the efficiency of      multicrystalline screen-printing silicon solar  cells. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                                                                                                                                                                                                                                                |   | Payments      due by period     |       |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------|------------|
|                                                                                                                                                                                                                                                                                                                |   | Total                           |       |   | Less than1      year |   |   | 1-3years |   |   | 3-5years |   |   | More than5      years |   |
|                                                                                                                                                                                                                                                                                                                |   | (amounts      in RMB thousands) |       |
| Short-term      debt obligations (including interest averaging 5.39%)                                                                                                                                                                                                                                               |   |                            | 513,572    |   |   |   | 513,572 |   |   |   | — |   |   |   | — |   |   |   | — |   |
| Operating      lease obligations                                                                                                                                                                                                                                                                                    |   |                            | 61,334     |   |   |   | 17,112 |   |   |   | 33,602 |   |   |   | 10,620 |   |   |   | — |   |
| Non-cancelable      purchase orders                                                                                                                                                                                                                                                                                 |   |                            | 233,250    |   |   |   | 232,403 |   |   |   | 847 |   |   |   | — |   |   |   | — |   |
| Purchase      commitments under take-or-pay agreements                                                                                                                                                                                                                                                              |   |                            | 67,462,260 |   |   |   | 6,191,780 |   |   |   | 26,294,815 |   |   |   | 20,160,889 |   |   |   | 14,814,776 |   |
| Purchase      commitments under other agreements(1)                                                                                                                                                                                                                                                                 |   |                            | 256,929    |   |   |   | 18,352 |   |   |   | 18,352 |   |   |   | 73,408 |   |   |   | 146,817 |   |
| Senior      Notes (including interest cost)                                             |   |                            | 2,643,149  |   |   |   | 112,679 |   |   |   | 300,202 |   |   |   | 2,230,268 |   |   |   | — |   |
| Other      long-term liabilities reflected on the company’s balance    sheet                                                                                                                                                                                                                                  |   |                            | 5,185      |   |   |   | — |   |   |   | — |   |   |   | — |   |   |   | 5,185 |   |
| Total                                                                                                                                                                                                                                                                                                               |   |                            | 71,178,679 |   |   |   | 7,085,898 |   |   |   | 26,647,818 |   |   |   | 22,475,185 |   |   |   | 14,969,778 |   |

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|   | · | our      expectations regarding the worldwide demand for electricity and the market      for solar energy; |
|--------|--------|------------------------------------------------------------------------------------------------------------|

|   | · | our      beliefs regarding the inability of traditional fossil fuel-based      generation technologies to meet the demand for  electricity; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | our      beliefs regarding the importance of environmentally friendly power      generation; |
|--------|--------|----------------------------------------------------------------------------------------------|

|   | · | our      expectations regarding governmental incentives for the deployment of solar      energy; |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | · | our      beliefs regarding the solar power industry revenue  growth; |
|--------|--------|----------------------------------------------------------------------|

|   | · | our      expectations with respect to advancements in our    technologies; |
|--------|--------|----------------------------------------------------------------------------|

|   | · | our      beliefs regarding the low-cost advantage of solar cell production in      China; |
|--------|--------|-------------------------------------------------------------------------------------------|

|   | · | our      beliefs regarding the competitiveness of our solar power      products; |
|--------|--------|----------------------------------------------------------------------------------|

|   | · | our      expectations regarding the scaling of our solar power      capacity; |
|--------|--------|-------------------------------------------------------------------------------|

|   | · | our      expectations with respect to increased revenue growth and our ability to      achieve profitability resulting from increases in our production      volumes; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | our      expectations with respect to our ability to secure raw materials in the      future; |
|--------|--------|-----------------------------------------------------------------------------------------------|

|   | · | our      expectations with respect to our ability to develop relationships with      customers in our target markets; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | · | our      future business development, results of operations and financial      condition; and |
|--------|--------|-----------------------------------------------------------------------------------------------|

|   | · | competition      from other manufacturers of solar power products and conventional energy      suppliers. |
|--------|--------|-----------------------------------------------------------------------------------------------------------|

----

| Name                                                                                                                                                                                                                                                                                                                                                            |   | Age    |   | Position |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|----------|
| Baofang      Jin                                                                  |   |   | 56     |     | Chairman      of the Board of Directors |
| Huaijin      Yang                                                                 |   |   | 45     |     | Chief      Executive Officer and Director |
| Elmer      M.      Hsu                                                            |   |   | 65     |     | Chief      Operating Officer and Director |
| Bingyan      Ren                                                                  |   |   | 62     |     | Director |
| Erying      Jia                                                                   |   |   | 54     |     | Director |
| Nai-Yu      Pai                                                                   |   |   | 59     |     | Independent      Director |
| Honghua      Xu                                                                   |   |   | 42     |     | Independent      Director |
| M.      Anthea      Chung                                                         |   |   | 40     |     | Chief      Financial Officer |
| Daniel      Lui                                                                   |   |   | 45     |     | Chief      Strategy Officer |
| Qingtang      Jiang                                                               |   |   | 45     |     | Vice      President of Operations and Acting Chief Technology    Officers |
| Ming      Yang                                                                                                                                                                                                                                                                                                                                                  |   |   | 35     |     | Vice      President of Business Development and Corporate    Communications |
| Raymond      P.      Wilson                                                       |   |   | 49     |     | Vice      President of Sales andMarketing |

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|   | · | appointment,      compensation, retention and oversight of the work of the independent      registered public accounting firm; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------|

|   | · | approving      all auditing and non-auditing services permitted to be performed by the      independent registered public accountingfirm; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | meeting      separately and periodically with management and the independent registered      public accounting firm; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------|

|   | · | oversight      of annual audit and quarterly reviews, including reviewing with      independent registered public accounting firm the annual audit      plans; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | oversight      of financial reporting process and internal controls, including reviewing      the adequacy and effectiveness of our internal controls policies and      procedures on a regular basis; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | establishing      procedures for the receipt, retention and treatment of complaints received      by us regarding accounting, internal accounting controls or auditing      matters; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | · | reviewing      and implementing related person transaction policies and procedures for      the committee’s review and approval of proposed related person      transactions, including all transactions required to be disclosed by      Item 404(a) of Regulation S-K under the Securities    Act. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | reviewing      at least annually our executive compensation  plans; |
|--------|--------|---------------------------------------------------------------------|

|   | · | evaluating      annually the performance of our chief executive officer and other      executive officers; |
|--------|--------|------------------------------------------------------------------------------------------------------------|

|   | · | determining      and recommending to the board the compensation package for our chief      executive officer and other executiveofficers; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | evaluating      annually the appropriate level of compensation for board and board      committee service by non-employeedirectors; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------|

|   | · | reviewing      and approving any severance or termination arrangements to be made with      any of our executive officers; and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------|

|   | · | reviewing      at least annually our general compensation plans and other employee      benefits plans. |
|--------|--------|---------------------------------------------------------------------------------------------------------|

|   | · | establishing      procedures for evaluating the suitability of potential director      nominees; |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | · | recommending      to the board nominees for election by the stockholders or appointment by      the board; |
|--------|--------|------------------------------------------------------------------------------------------------------------|

|   | · | reviewing      annually with the board the current composition of the board with regards      to characteristics such as knowledge, skills, experience, expertise and      diversity required for the board as awhole; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | reviewing      periodically the size of the board and recommending any appropriate      changes; |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | · | recommending      to the board the size and composition of each standing committee of the      board; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------|

|   | · | reviewing      periodically and at least annually the corporate governance principles      adopted by the board to assure that they are appropriate for us and comply      with the requirements under the rules and regulations of the SEC and      the Nasdaq Stock Market, Inc. whereapplicable. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | · | convening      shareholders’ annual general meetings and reporting its work to      shareholders at such meetings; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------|

|   | · | declaring      dividends and distributions; |
|--------|--------|---------------------------------------------|

|   | · | appointing      officers and determining the term of office of  officers; |
|--------|--------|---------------------------------------------------------------------------|

|   | · | exercising      the borrowing powers of our company and mortgaging the property of our      company; and |
|--------|--------|----------------------------------------------------------------------------------------------------------|

|   | · | approving      the transfer of shares of our company, including the registering of such      shares in our share register. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------|

|                               |   | Number ofemployees |   |   | Percentageof      total |   |
|------------------------------------|--------|-------------------------|--------|--------|-------------------------|--------|
| Manufacturing      and engineering |   |                    | 3,650  |   |                    |   | 86.64 | % |
| Quality      assurance             |   |                    | 137    |   |                    |   | 3.25 | % |
| General      and administration    |   |                    | 177    |   |                    |   | 4.20 | % |
| Purchasing      and logistics      |   |                    | 86     |   |                    |   | 2.04 | % |
| Research      and development      |   |                    | 125    |   |                    |   | 2.97 | % |
| Marketing      and sales           |   |                    | 17     |   |                    |   | 0.40 | % |
| Others                             |   |                    | 21     |   |                    |   | 0.50 | % |
| Total                              |   |                    | 4,213  |   |                    |   | 100.00 | % |

----

| Name                                            |   | Shares(1) |       |   | Percent(2) |   |
|------------------------------------------------------|--------|-----------|------------|--------|------------|--------|
| Baofang      Jin(3)                                  |   |      | 43,507,868 |   |       |   | 25.90 | % |
| Huaijin      Yang(4)                                 |   |      | 6,581,857  |   |       |   | 3.91 | % |
| Bingyan      Ren(5)                                  |   |      | 2,084,027  |   |       |   | 1.24 | % |
| Erying      Jia                                      |   |      | -          |   |       |   | - |   |
| Nai-Yu      Pai                                      |   |      | *          |   |       |   | * |   |
| Elmer      M. Hsu                                    |   |      | *          |   |       |   | * |   |
| Honghua      Xu                                      |   |      | *          |   |       |   | * |   |
| Qingtang      Jiang                                  |   |      | *          |   |       |   | * |   |
| Raymond      P. Wilson                               |   |      | *          |   |       |   | * |   |
| Daniel      Lui                                      |   |      | -          |   |       |   | - |   |
| Anthea      Chung                                    |   |      | -          |   |       |   | - |   |
| Ming      Yang                                       |   |      | -          |   |       |   | - |   |
|                                                 |   |      |       |   |       |   |   |   |
| All      Directors and Executive Officers as a group |   |      | 50,899,725 |   |       |   | 30.12 | % |
|                                                 |   |      |       |   |       |   |   |   |

| * | Upon      exercise of all options and vesting of all restricted shares granted,      would beneficially own less than 1.0% of our outstanding ordinary      shares. |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (1) | Beneficial      ownership is determined in accordance with Rule 13d-3 of the General Rules      and Regulations under the Securities Exchange Act of 1934, as amended, and      includes voting or investment power with respect to the securities. The      share numbers and percentages listed in the table reflect the share number      and percentage held by each director, executive officer and principal      shareholder on a fully-dilutedbasis. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | For      each person included in this table, percentage ownership is calculated by      dividing the number of shares beneficially owned or being sold by such      person by the sum of (i) 167,982,020, being the sum of the number of      ordinary shares outstanding as of the date of this annual report, and (ii)      the number of ordinary shares underlying share options held by such person      or group that are exercisable within 60 days after the date of this annual      report. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Including      43,507,868 ordinary shares held by Jinglong BVI, of which Mr. Baofang Jin      is the sole director and has a 32.96% economic interest. Mr. Jin disclaims      the beneficial ownership of 29,167,675 ordinary shares beneficially owned      by the other shareholders of JinglongBVI. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | Including      6,371,857 ordinary shares held by Improve Forever Investments Limited,      which is ultimately owned by a trust of which Mr. Huaijin Yang is the      primary beneficiary. Mr. Yang is the sole director of Improve Forever      Investments Limited and exercises voting power with respect to all matters      of JA Solar requiring shareholder approval. 600,000 shares owned by Mr.      Huaijin Yang were pledged to Credit Suisse, who shall have the right to      acquire beneficial ownership of suchshares. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (5) | Including      2,084,027 ordinary shares held by Jinglong BVI, 4.79% of which is owned by      Mr. Bingyan Ren. |
|-----|-----------------------------------------------------------------------------------------------------------------|

----

| Name                                       |   | Shares(1) |       |   | Percent(2) |   |
|-------------------------------------------------|--------|-----------|------------|--------|------------|--------|
|  Jinglong      Group Co., Ltd.(3)          |   |      | 43,507,868 |   |       |   | 25.90 | % |
| Fidelity      Management & Research Company |   |      | 10,421,734 |   |       |   | 6.20 | % |
|                                            |   |      |       |   |       |   |   |   |

| (1) | Beneficial      ownership is determined in accordance with Rule 13d-3 of the General Rules      and Regulations under the Securities Exchange Act of 1934, as amended, and      includes voting or investment power with respect to the securities. The      share numbers and percentages listed in the table reflect the share number      and percentage held by each director, executive officer and principal      shareholder on a fully-dilutedbasis. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | For      each person included in this table, percentage ownership is calculated by      dividing the number of shares beneficially owned or being sold by such      person by the sum of (i) 167,982,020, being the sum of the number of      ordinary shares outstanding as of the date of this annual report, and (ii)      the number of ordinary shares underlying share options held by such person      or group that are exercisable within 60 days after the date of this annual      report. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Jinglong      Group Co., Ltd., a British Virgin Islands Company, is owned by Mr. Baofang      Jin (our Chairman, 32.96%), Mr. Huixian Wang (9.58%), Mr. Binguo Liu      (9.58%), Mr. Jicun Yan (7.18%), Mr. Rongrui Liu (7.18%), Mr. Huiqiang Liu      (7.18%), Mr. Ruiying Cao (7.18%), Mr. Guichun Xing (4.79%), Mr. Ning Wen      (4.79%), Mr. Bingyan Ren (our director, 4.79%) and Mr. Ruchang Wen      (4.79%). |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|   |                                                  |   |                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | Closing Price Per ADS |   |   |
|--------|-------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|--------|--------|
|   |                                                  |   |                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | High                                 |   |   | Low |   |   |
|   |                                                  |   |                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | (US$)                                |   |   | (US$) |   |   |
|   |                                                  |   |                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                 |   |   |   |   |   |
|   | Before      our 3-for-1 ADS Split on February 7, 2008 |   |                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                 |   |   |   |
|   | 2007                                                  |   | February      8, 2007 through March 31, 2007                                                                                                                                                                                                                                                                                                                                                                                                |   |                                 | 20.46  |   |   |   | 16.30 |   |   |
|   | 2007                                                  |   | April      1, 2007 through June 30,      2007                                                                                                                                                                                                                                                                                                                                        |   |                                 | 34.40  |   |   |   | 18.80 |   |   |
|   | 2007                                                  |   | July      1, 2007 through September 30, 2007                                                                                                                                                                                                                                                                                                                                                                                                |   |                                 | 46.84  |   |   |   | 28.67 |   |   |
|   | 2007                                                  |   | October      1, 2007 through December 31, 2007                                                                                                                                                                                                                                                                                                                                                                                              |   |                                 | 75.43  |   |   |   | 40.98 |   |   |
|   |                                                  |   |                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |                                 |   |   |   |   |   |   |   |
|   | 2008                                                  |   | January                                                                       |   |                                 | 75.07  |   |   |   | 50.83 |   |   |
|   | 2008                                                  |   | February      (up to February 7, 2008)                                                                                                                                                                                                                                                                                                                                                                                                      |   |                                 | 56.20  |   |   |   | 46.45 |   |   |
|   | 2008                                                  |   | January      1, 2008 to February 7, 2008                                                                                                                                                                                                                                                                                                                                                                                                    |   |                                 | 75.07  |   |   |   | 46.45 |   |   |

----

|   | After      our 3-for-1 ADS Split on February 7, 2008 |   |                                           |   |   |   |   |   |   |   |
|--------|------------------------------------------------------|--------|------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|
|   |                                                 |   |                                           |   |   |   |   |   |   |   |   |   |
|   | 2008                                                 |   | February      (from February 8)           |   |   | 20.34  |   |   |   | 14.29  |   |   |
|   |  2008                                           |   | March                                          |   |   | 19.00  |   |   |   | 12.39  |   |   |
|   | 2008                                                 |   | February      8, 2008 to March 31, 2008        |   |   | 20.34  |   |   |   | 12.39  |   |   |
|   |  2008                                           |   | April      1, 2008 through June 30, 2008       |   |   | 25.75  |   |   |   | 16.85  |   |   |
|   |  2008                                           |   | July      1, 2008 through September 30, 2008   |   |   | 17.97  |   |   |   | 10.24  |   |   |
|   | 2008                                                 |   | October      1, 2008 through December 31, 2008 |   |   | 11.84  |   |   |   | 1.80   |   |   |
|   | 2008                                                 |   | November                                  |   |   | 6.37   |   |   |   | 1.80   |   |   |
|   | 2008                                                 |   | December                                       |   |   | 4.42   |   |   |   | 2.85   |   |   |
|   | 2009                                                 |   | January                                   |   |   | 5.09   |   |   |   | 2.31   |   |   |
|   | 2009                                                 |   | February                                       |   |   | 3.15   |   |   |   | 1.99   |   |   |
|   | 2009                                                 |   | March                                     |   |   | 3.93   |   |   |   | 1.90   |   |   |
|   | 2009                                                 |   | April                                          |   |   | 3.65   |   |   |   | 2.91   |   |   |
|   | 2009                                                 |   | May                                       |   |   | 4.52   |   |   |   | 3.11   |   |   |
|   | 2009                                                 |   | June      (through June 24)               |   |   | 6.24   |   |   |   | 4.26   |   |   |

----

| Source:      Bloomberg |
|------------------------|

----

----

----

|   | Ÿ |   | increase      our share capital by such sum, to be divided into shares of such amounts,      as the resolution shall prescribe; |
|--------|--------|--------|---------------------------------------------------------------------------------------------------------------------------------|

----

|   | Ÿ |   | consolidate      and divide all or any of our share capital into shares of larger amount      than our existing shares; |
|--------|--------|--------|-------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | without      prejudice to powers granted to us regarding issuing of shares, divide our      shares into several classes and without prejudice to any special rights      previously conferred on the holders of existing shares attach thereto      respectively any preferential, deferred, qualified or special rights,      privileges, conditions or such restrictions which in the absence of any      such determination by us in general meeting, as our directors may      determine; |
|--------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | subdivide      our shares or any of them into shares of smaller amount than that fixed by      our memorandum of association and may by such resolution determine that,      as between the holders of the shares resulting from such sub-division, one      or more of the shares may have any such preferred, deferred or other      rights or be subject to any such restrictions as compared with the other      or others as we have power to attach to unissued or new shares;      and |
|--------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | cancel      any shares which at the date of the passing of the resolution have not      been taken or agreed to be taken by any person and diminish the amount of      our share capital by the amount of the shares so  cancelled. |
|--------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | Ÿ |   | all      checks or warrants, not being less than three in total number, for any      sums payable in cash to the holder of such shares have remained uncashed      for a period of 12 years; |
|--------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | Ÿ |   | we      have not during that time or before the expiry of the three-month period      referred to in the last bullet under this section received any indication      of the existence of the shareholder or person entitled to such shares by      death, bankruptcy or operation of law;and |
|--------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | upon      expiration of the 12-year period, we have caused an advertisement to be      published in newspapers, giving notice of its intention to sell these      shares, and a period of three months or such shorter period has elapsed      since the date of suchadvertisement. |
|--------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | the      designation of such class orseries; |
|--------|--------|--------|----------------------------------------------|

----

|   | Ÿ |   | the      number of shares of such class orseries; |
|--------|--------|--------|---------------------------------------------------|

|   | Ÿ |   | the      dividend rights, conversion rights, voting rights;  and |
|--------|--------|--------|------------------------------------------------------------------|

|   | Ÿ |   | the      rights and terms of redemption and liquidation  preferences. |
|--------|--------|--------|-----------------------------------------------------------------------|

|   | Ÿ |   | an      exempted company does not have to file an annual return of its      shareholders with the Registrar of Companies; |
|--------|--------|--------|---------------------------------------------------------------------------------------------------------------------------|
|   |   |   |                                                                                                                      |
|   | Ÿ |   | an      exempted company’s register of members is not open to      inspection;                                      |
|   |   |   |                                                                                                                      |
|   | Ÿ |   | an      exempted company does not have to hold an annual general      meeting;                                            |

|   | Ÿ |   | an      exempted company may issue no par value, negotiable or bearer      shares; |
|--------|--------|--------|------------------------------------------------------------------------------------|

|   | Ÿ |   | an      exempted company may obtain an undertaking against the imposition of any      future taxation (such undertakings are usually given for 20 years in the      first instance); |
|--------|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | an      exempted company may register by way of continuation in another      jurisdiction and be deregistered in the Cayman  Islands; |
|--------|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | an      exempted company may register as a limited duration company;      and |
|--------|--------|--------|-------------------------------------------------------------------------------|

|   | Ÿ |   | an      exempted company may register as a segregated portfolio      company. |
|--------|--------|--------|-------------------------------------------------------------------------------|

----

|   | Ÿ |   | a      duty to act in good faith in the best interests of the      company; |
|--------|--------|--------|-----------------------------------------------------------------------------|

|   | Ÿ |   | a      duty not to personally profit from opportunities that arise from the      office of director; |
|--------|--------|--------|------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | a      duty to avoid conflicts of interest;and |
|--------|--------|--------|------------------------------------------------|

|   | Ÿ |   | a      duty to exercise powers for the purpose for which such powers were      intended. |
|--------|--------|--------|------------------------------------------------------------------------------------------|

|   | Ÿ |   | the      company is not proposing to act illegally or ultra vires and the statutory      provisions as to majority vote have been complied  with; |
|--------|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | the      shareholders have been fairly represented at the meeting in      question; |
|--------|--------|--------|-------------------------------------------------------------------------------------|

----

|   | Ÿ |   | the      arrangement is one that a businessman would reasonably approve;      and |
|--------|--------|--------|-----------------------------------------------------------------------------------|

|   | Ÿ |   | the      arrangement is not one that would more properly be sanctioned under some      other provision of the Companies Law or that would amount to a “fraud on      the minority.” |
|--------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | the      directors of each constituent company must approve a written plan of      merger or consolidation (the“Plan”); |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | the      Plan must be authorized by each constituent company by (a) a shareholder      resolution by majority in number representing 75% in value of the      shareholders voting together as one class; and (b) if the shares to be      issued to each shareholder in the consolidated or surviving company are to      have the same rights and economic value as the shares held in the      constituent company, a special resolution of the shareholders voting      together as one class.  A proposed merger between a Cayman      parent company and its Cayman subsidiary or subsidiaries will not require      authorization by shareholderresolution; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | the      consent of each holder of a fixed or floating security interest of a      constituent company in a proposed merger or consolidation is required      unless the court (upon the application of the constituent company that has      issued the security) waives the requirement for  consent; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | the      Plan must be signed by a director on behalf of each constituent company      and filed with the Registrar of Companies together with the required      supporting documents; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | a      certificate of merger or consolidation is issued by the Registrar of      Companies which is prima      facie evidence of compliance with all statutory requirements in      respect of the merger or consolidation.  All rights and property      of each of the constituent companies will then vest in the surviving or      consolidated company which will also be liable for all debts, contracts,      obligations and liabilities of each constituent      company.  Similarly, any existing claims, proceedings or rulings      of each constituent company will automatically be continued against the      surviving or consolidated company;and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | provision      is made for a dissenting shareholder of a Cayman constituent company to be      entitled to payment of the fair value of his shares upon dissenting to the      merger or consolidation.  Where the parties cannot agree on the      price to be paid to the dissenting shareholder, either party may file a      petition to the court to determine fair value of the      shares.  These rights are not available where an open market      exists on a recognized stock exchange for the shares of the class held by      the dissenting shareholder. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | Ÿ |   | a      company is acting or proposing to act illegally or beyond the scope of its      authority; |
|--------|--------|--------|---------------------------------------------------------------------------------------------------|

|   | Ÿ |   | the      act complained of, although not beyond the scope of its authority, could      be effected duly if authorized by more than a simple majority vote which      has not been obtained; and |
|--------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ |   | those      who control the company are perpetrating a “fraud on the      minority.” |
|--------|--------|--------|-------------------------------------------------------------------------------------------------|

----

----

|   | · | Foreign      Currency Administration Rules (1996), as amended, or the Exchange Rules;      and |
|--------|--------|------------------------------------------------------------------------------------------------|

|   | · | Administration      Rules of the Settlement, Sale and Payment of Foreign Exchange (1996), or      the Administration Rules. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------|

----

----

----

----

----

----

----

----

|   | · | approximately      US$171 million as prepayment for raw materials from our various      suppliers; |
|--------|--------|----------------------------------------------------------------------------------------------------|

|   | · | approximately      US$37.8 million as capital expenditure for manufacturing equipment to      expand the capacity of our Ningjin manufacturing  center; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | approximately      US$15.5 million for the purchase of our offices in Zhabei, Shanghai;      and |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | · | the      remaining amount expended for working capital and other general corporate      purposes. |
|--------|--------|---------------------------------------------------------------------------------------------------|

|   | · | approximately      US$119.0 million as prepayments for raw materials from our various      suppliers; |
|--------|--------|-------------------------------------------------------------------------------------------------------|

|   | · | approximately      US$10.0 million as capital expenditure for the construction of our      Yangzhou manufacturing center and related solar cell manufacturing      lines; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | approximately      US$26.0 million for investment; and |
|--------|--------|--------------------------------------------------------|

|   | · | with      the remaining amount expended for working capital and other general      corporate purposes. |
|--------|--------|--------------------------------------------------------------------------------------------------------|

----

|   | · | US$100      million was used to purchase the LehmanNote; |
|--------|--------|----------------------------------------------------------|

|   | · | US$32.40      million was used to purchase the CappedCall; |
|--------|--------|------------------------------------------------------------|

|   | · | US$70.2      million for the purchase and construction of manufacturing equipment and      facilities; |
|--------|--------|--------------------------------------------------------------------------------------------------------|

|   | · | US$70.48      million for the purchase and prepayment of raw  materials; |
|--------|--------|--------------------------------------------------------------------------|

|   | · | US$26.6      million for the repurchase of Senior  Notes; |
|--------|--------|-----------------------------------------------------------|

----

|   | · | We did not have a sufficient      number of finance personnel with an appropriate level of knowledge,      experience and training in the application of U.S. GAAP and in internal      control over financial reporting commensurate with      our reporting requirements. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | The company hired a chief      financial officer with “Big Four” background and knowledge and      experience in solar industry, U.S. GAAP and internal controls over financial      reporting.                                                                                                |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                       |
|   | · | The      company hired a financial director, treasury manager, and other financial      and accounting personnel.  These individuals have a mix of      industry and “Big Four” experience including U.S. GAAP and internal      control over financial reporting.                   |
|   |   |                                                                                                                                                                                                                                                                                                       |
|   | · | The      company has increased the accounting, internal control, and SEC reporting      acumen and accountability of its finance organization employees through      training programs designed to enhance their competency with respect to      U.S. GAAP and internal control over financial  reporting. |

|   | · | The company has strengthened its monitoring      control over financial reporting to include additional review by our chief      financial officer and senior finance staff over the application of      U.S. GAAP accounting knowledge, the selection and evaluation of      U.S. GAAP accounting policies, critical accounting judgments and      estimates, reporting and disclosures. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                     |
|   | · | Subsequent      to year end, the company hired a director of internal audit with 15 years      of experience and expanded our internal audit department to consist of      professionals from both the “Big Four” accounting firms and the solar      industry.                                                                                                                              |

----

|   | Audit      Fees(1)    |   | Audit-Related      Fees(2) |   |
|--------|-----------------------|--------|----------------------------|--------|
| 2006   | RMB      8.24 million |   | RMB      0.88 million      |   |
| 2007   | RMB      11.4 million |   | RMB      3.98 million      |   |

----

| 2008 | RMB      7.3 million |   | RMB      2.1 million |   |
|------|----------------------|--------|----------------------|--------|

| (1) | “Audit      fees” means the aggregate fees billed by our principal auditor for      professional services rendered for the audit of our financial      statements. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | “Audit-related      fees” means the aggregate fees billed by our principal auditor for      assurance and related services that are reasonably related to the      performance of the audit of our financial statements and are not reported      under “Audit fees”. Services comprising the fees disclosed under the      category of “Audit-related fees” involve principally the performance of      services relating to our initial and follow-on public offerings,      convertible note offering, issuance of comfort letters and rendering of      listing advice. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Period             | (a)      Total Number of Shares Purchased | (b)      Average Price Paid Per Share | (c)      Total Number of Shares Purchased as Part of Publicly Announced Plans or      Programs | (d)      Maximum Number (or Approximate Dollar Value) of Shares that May Yet Be      Purchased Under the Plans or Programs |
|--------------------|-------------------------------------------|---------------------------------------|------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------|
| January      1-31  | -                                         | -                                     |                                                                                           |                                                                                                                       |
| February      1-29 | -                                         | -                                     |                                                                                           |                                                                                                                       |
| March      1-31    | -                                         | -                                     |                                                                                           |                                                                                                                       |

----

| Period              | (a)      Total Number of Shares Purchased | (b)      Average Price Paid Per Share | (c)      Total Number of Shares Purchased as Part of Publicly Announced Plans or      Programs | (d)      Maximum Number (or Approximate Dollar Value) of Shares that May Yet Be      Purchased Under the Plans or Programs |
|---------------------|-------------------------------------------|---------------------------------------|------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------|
| April      1-30     | -                                         | -                                     |                                                                                           |                                                                                                                       |
| May      1-31       | -                                         | -                                     |                                                                                           |                                                                                                                       |
| June      1-30      | -                                         | -                                     |                                                                                           |                                                                                                                       |
| July      1-31      | -                                         | -                                     |                                                                                           |                                                                                                                       |
| August      1-31    | -                                         | -                                     |                                                                                           |                                                                                                                       |
| September      1-30 | -                                         | -                                     |                                                                                           |                                                                                                                       |
| October      1-31   | -                                         | -                                     |                                                                                           |                                                                                                                       |
| November      1-30  | 6,614,725                                 | 2.76                                  |                                                                                           |                                                                                                                       |
| December      1-31  | -                                         | -                                     |                                                                                           |                                                                                                                       |
| Total               | 6,614,725                                 | 2.76                                  |                                                                                           |                                                                                                                       |

----

| · | We follow home country practice      that permits our Board of Directors to have less than a majority of      independent directors. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------|

| · | We follow home country practice      that does not restrict a company’s transactions with directors, requiring      only that directors exercise a duty of care and owe a fiduciary duty to      the companies for which they serve. Under our memorandum and articles of      association, subject to any separate requirement for audit committee      approval under the applicable rules of the Nasdaq Marketplace Rules or      unless disqualified by the chairman of the relevant board meeting, so long      as a director discloses the nature of his interest in any contract or      arrangement in which he is interested, such a director may vote in respect      of any contract or proposed contract or arrangement in which such director      is interested and may be counted in the quorum at such      meeting. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | We follow home country practice      which does not require us to have a three member audit committee or to      fill all three seats on the audit  committee. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | We follow home country practice      which does not specifically require us to have one or more codes of      conduct applicable to all directors, officers and employees and make those      codes of conduct publicly available. There are no specific requirements      under Cayman Islands law requiring the adoption of codes of      conduct. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                                                                                         | Page   |
|----------------------------------------------------------------------------------------------------------------------------------------------|------------------|
|                                                                                                                                         |             |
| Report      of the Independent Registered Public Accounting Firm                                                                             | F-1              |
|                                                                                                                                         |             |
| Consolidated      Balance Sheets as of December 31, 2007 and 2008                                                                       | F-2              |
|                                                                                                                                         |             |
| Consolidated      Statements of Operations for the years ended December 31, 2006, 2007      and 2008                                    | F-4              |
|                                                                                                                                         |             |
| Statements      of Shareholders’ Equity and Comprehensive Income/(Loss) for the years      ended December 31, 2006, 2007 and 2008 | F-6              |
|                                                                                                                                         |             |
| Consolidated      Statements of Cash Flows for the years ended December 31, 2006, 2007      and 2008                                    | F-8              |
|                                                                                                                                         |             |
| Notes      to Consolidated Financial Statements                                                                                              | F-10             |

| 1.1**  | Second      Amended and Restated Memorandum and Articles of Association of the      Registrant (incorporated by reference to Exhibit 3.1 from our registration      statement on Form F-1 (File No. 333-140002), as amended, initially filed      with the Security and Exchange Commission on January 16,      2007.) |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                   |
| 2.1**  | Form      of Indenture (incorporated by reference to Exhibit 4.4 from our      registration statement on Form F-3ASR, initially filed with the SEC on May      12, 2008.)                                                                                                                                              |

----

|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2.2**  | Form      of First Supplemental Indenture between The Bank of New York as trustee      and JA Solar (incorporated by reference to Exhibit 4.1 on Form 6-K      initially filed with the SEC on May 20, 2008).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.1**  | Long-Term      Wafer Supplying and Prepayment Agreement between JingAo Solar Co., Ltd.      and Jiangsu Shunda Semiconductor Develop Co., Ltd. dated as of August 1,      2007 (incorporated by reference to Exhibit 10.10 from our registration      statement on Form F-1 (File No. 333-146210), as amended, initially filed      with the Security and Exchange Commission on September 20,      2007.)                                                                                                                                                                                                                                                                                                                                                                                                            |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.2**  | Polysilicon      Supply Agreement between JingAo Solar Co., Ltd. and M.SETEK Co., Ltd.      dated as of January 14, 2008 (incorporated by reference to Exhibit 4.12      from our Form 20-F, initially filed with the Security and Exchange      Commission on May 9, 2008.)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.3**  | Silicon      Wafer Supply Agreement between JingAo Solar Co., Ltd. and Jiangsu      Zhongneng Polysilicon Technology Development Co., Ltd. dated as of April      7, 2008 (incorporated by reference to Exhibit 4.14 from our Form 20-F,      initially filed with the Security and Exchange Commission on May 9,      2008.)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.4**  | Supplemental      Agreement for Silicon Wafer Supply Contract between Jiangsu Shunda      Semiconductor Development Co., Ltd. and JA Solar Co., Ltd. dated April 29,      2008 (incorporated by reference to Exhibit 4.15 from our Form 20-F,      initially filed with the Security and Exchange Commission on May 9,      2008.)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.5**  | Amendment      of M.SETEK and JA Solar Contract between M.SETEK Co, Ltd. and JA Solar      Holdings Co., Ltd., relating to the Long-term Wafer Supplying and      Prepayment Agreement dated October 9, 2006 (incorporated by reference to      Exhibit 10.6 from our registration statement on Form F-1 (File No.      333-146210), as amended, initially filed with the Security and Exchange      Commission on September 20, 2007) (incorporated by reference to Exhibit      4.16 from our Form 20-F, initially filed with the Security and Exchange      Commission on May 9, 2008.)                                                                                                                                                                                                                            |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.6**  | Silicon      Wafer Supply Agreement between JingAo Solar Co., Ltd. and Zhejiang Yuhui      Solar Energy Source Co. Ltd dated as of December 13, 2007 (incorporated by      reference to Exhibit 4.17 from our Form 20-F, initially filed with the      Security and Exchange Commission on May 9, 2008.)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.7*   | The      Polysilicon Supply Agreement between the JingAo Solar Co, Ltd. and M.SETEK      Co., Ltd., dated May 14, 2009 (*Confidential treatment has been requested      for certain portions omitted from this exhibit pursuant to Rule 24b-2      under the Securities Exchange Act of 1934, as amended. Confidential      portions of this Exhibit have been separately filed with the Securities      and Exchange Commission.)                                                                                                                                                                                                                                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.8*   | Supplemental      Agreement I between Zhejiang Yuhui Solar Energy Source Co., Ltd and JingAo      Solar Co., Ltd., relating to the Silicon Wafer Supply Agreement dated      August 10, 2007 and the Silicon Wafer Supply Agreement dated December 13,      2007 (incorporated by reference to Exhibit 4.17 from our Form 20-F,      initially filed with the Security and Exchange Commission on May 9, 2008)      (collectively, the “Yuhui Contracts”), dated July 11,      2008 (*Confidential treatment has been requested for certain portions      omitted from this exhibit pursuant to Rule 24b-2 under the Securities      Exchange Act of 1934, as amended. Confidential portions of this Exhibit      have been separately filed with the Securities and Exchange      Commission.) |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.9*   | Supplemental      Agreement II of Yuhui Contracts between Zhejiang Yuhui Solar Energy Source      Co., Ltd and JingAo Solar Co., Ltd., dated August 8, 2008 (*Confidential      treatment has been requested for certain portions omitted from this      exhibit pursuant to Rule 24b-2 under the Securities Exchange Act of 1934,      as amended. Confidential portions of this Exhibit have been separately      filed with the Securities and Exchange Commission.)                                                                                                                                                                                                                                                                                                                                               |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.10*  | Supplemental      Agreement III of Yuhui Contracts between Zhejiang Yuhui Solar Energy      Source Co., Ltd and JingAo Solar Co., Ltd., dated December 4, 2008      (*Confidential treatment has been requested for certain portions omitted      from this exhibit pursuant to Rule 24b-2 under the Securities Exchange Act      of 1934, as amended. Confidential portions of this Exhibit have been      separately filed with the Securities and Exchange    Commission.)                                                                                                                                                                                                                                                                                                                                         |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.11*  | Supplemental      Agreement IV of Yuhui Contracts between Zhejiang Yuhui Solar Energy Source      Co., Ltd and JingAo Solar Co., Ltd., dated January 23, 2009 (*Confidential      treatment has been requested for certain portions omitted from this      exhibit pursuant to Rule 24b-2 under the Securities Exchange Act of 1934,      as amended. Confidential portions of this Exhibit have been separately      filed with the Securities and Exchange Commission.)                                                                                                                                                                                                                                                                                                                                             |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 4.12*  | Supplemental      Agreement V of Yuhui Contracts between Zhejiang Yuhui Solar Energy Source      Co., Ltd and JingAo Solar Co., Ltd., dated March 31, 2009 (*Confidential      treatment has been requested for certain portions omitted from this      exhibit pursuant to Rule 24b-2 under the Securities Exchange Act of 1934,      as amended. Confidential portions of this Exhibit have been separately      filed with the Securities and Exchange  Commission.)                                                                                                                                                                                                                                                                                                                                               |

----

|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|-------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 4.13*       | Supplemental      Agreement VI of Yuhui Contracts between Zhejiang Yuhui Solar Energy      Source Co., Ltd and JingAo Solar Co., Ltd., dated March 20, 2009      (*Confidential treatment has been requested for certain portions omitted      from this exhibit pursuant to Rule 24b-2 under the Securities Exchange Act      of 1934, as amended. Confidential portions of this Exhibit have been      separately filed with the Securities and Exchange    Commission.)                                                                                        |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 4.14*       | The      Polysilicon Supply Contract between JA Solar Technology Yangzhou Co., Ltd.      and Jiangsu Zhongneng Polysilicon Technology Development Co., Ltd., dated      August 17, 2008 (*Confidential treatment has been requested for certain      portions omitted from this exhibit pursuant to Rule 24b-2 under the      Securities Exchange Act of 1934, as amended. Confidential portions of this      Exhibit have been separately filed with the Securities and Exchange      Commission.)                                                                    |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 4.15*       | Supplemental      Agreement I of Exhibit 4.3 between JingAo Solar Co., Ltd. and Jiangsu      Zhongneng Polysilicon Technology Development Co., Ltd., dated      August 17, 2008 (*Confidential treatment has been requested for certain      portions omitted from this exhibit pursuant to Rule 24b-2 under the      Securities Exchange Act of 1934, as amended. Confidential portions of this      Exhibit have been separately filed with the Securities and Exchange      Commission.)                                                                            |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 4.16*       | Supplemental      Agreement II of Exhibit 4.3 and Exhibit 4.14 among Jiangsu      Zhongneng Polysilicon Technology Development Co., Ltd., JingAo Solar Co.,      Ltd. and JA Solar Technology Yangzhou Co., Ltd., dated April 28,      2009 (*Confidential treatment has been requested for certain portions      omitted from this exhibit pursuant to Rule 24b-2 under the Securities      Exchange Act of 1934, as amended. Confidential portions of this Exhibit      have been separately filed with the Securities and Exchange      Commission.) |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 4.17*  | Supplemental      Agreement III of Exhibit 4.3 and Exhibit 4.14 among Jiangsu Zhongneng      Polysilicon Technology Development Co., Ltd., JingAo Solar Co., Ltd. and      JA Solar Technology Yangzhou Co., Ltd., dated June 18, 2009 (*Confidential      treatment has been requested for certain portions omitted from this      exhibit pursuant to Rule 24b-2 under the Securities Exchange Act of 1934,      as amended. Confidential portions of this Exhibit have been separately      filed with the Securities and Exchange  Commission.)          |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 4.18*  | Price      Memo between JA Solar Technology Yangzhou Co., Ltd. and Jiangsu Zhongneng      Polysilicon Technology Development Co., Ltd., dated March 6, 2009      (*Confidential treatment has been requested for certain portions omitted      from this exhibit pursuant to Rule 24b-2 under the Securities Exchange Act      of 1934, as amended. Confidential portions of this Exhibit have been      separately filed with the Securities and Exchange Commission.)                                                                                           |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 4.19*  | Purchasing      Contract between Jinglong Group and JingAo Solar Co., Ltd. dated February      6, 2009 (*Confidential treatment has been requested for certain      portions omitted from this exhibit pursuant to Rule 24b-2 under the      Securities Exchange Act of 1934, as amended. Confidential portions of this      Exhibit have been separately filed with the Securities and Exchange      Commission.)                                                                                                                                      |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 4.20*       | The      Repayment Agreement between JingAo Solar Co., Ltd. and Jiangsu Shunda      Semiconductor Development Co., Ltd., dated May 9, 2009 (*Confidential      treatment has been requested for certain portions omitted from this      exhibit pursuant to Rule 24b-2 under the Securities Exchange Act of 1934,      as amended. Confidential portions of this Exhibit have been separately      filed with the Securities and Exchange Commission.)                                                                                                                 |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 8.1*        | List      of Subsidiaries                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 11.1**      | Code      of Business Conduct and Ethics (incorporated by reference to Exhibit 11.1      from our 2006 annual report on Form 20-F (File No. 001-33290) initially      filed with the Security and Exchange Commission on June 1,      2007.)                                                                                                                                                                                                                                                                                                                           |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 12.1*       | Certification      by the Chief Executive Officer Pursuant to Rule 13a-14(a)/15d-14(a) of the      Act and Section 302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                                                                               |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 12.2*       | Certification      by the Chief Financial Officer Pursuant to Rule 13a-14(a)/15d-14(a) of the      Act and Section 302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                                                                               |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 13.1*       | Certification      by the Chief Executive Officer Pursuant to Rule 13a-14(b)/15d-14(b) of the      Act, Section 1350 of Chapter 63 of the United States Code and Section 906      of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                    |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 13.2*       | Certification      by the Chief Financial Officer Pursuant to Rule 13a-14(b)/15d-14(b) of the      Act, Section 1350 of Chapter 63 of the United States Code and Section 906      of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                    |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 16.1*       | Consent      of Independent Registered Public Accounting Firm                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |

----

| * | Filed      as part of this annual report |
|---|------------------------------------------|

| ** | Incorporated      by reference |
|----|--------------------------------|

----

|   | JA      Solar Holdings Co., Ltd. |                               |
|--------|----------------------------------|------------------------------------|
|   |                             |                               |   |
|   | By:                              |  /s/ Huaijin Yang        |   |
|   | Name:                            | Huaijin      Yang                  |   |
|   | Title:                           |  Chief      Executive Officer |   |

----

----

|                                                          |   |    |   |      | December31, |    |      | December31, |   |
|---------------------------------------------------------------|--------|---------|--------|-----------|-------------|---------|-----------|-------------|--------|
|                                                          |   | Note    |   |      | 2007        |    |      | 2008        |   |
|                                                          |   |    |   |      | RMB         |    |      | RMB         |   |
| ASSETS                                                        |   |    |   |      |        |    |      |        |   |
| Current    assets:                                            |   |    |   |      |        |    |      |        |   |
| Cash and cash      equivalents                                |   |  3 |   |      |        | 735,975 |      |        |   | 1,542,784 |   |
| Restricted cash                                     |   |  3 |   |      |        | 409,058 |      |        |   | 33,061 |   |
| Short term      investments                                   |   |    | 5      |      |        |    | 803,121   |        |   |   | 421,865 |   |
| Accounts receivable from third      party customers,      net |   |    | 4      |      |        |    | 28,820    |        |   |   | 332,042 |   |
| Accounts receivable from related      party customers, net    |   |    | 21     | (b)  |        |    | 24,731    |        |   |   | 23,009 |   |
| Inventories,      net                                         |   |    | 6      |      |        |    | 157,334   |        |   |   | 591,989 |   |
| Advances to related party      suppliers, net                 |   |    | 21     | (b)       |        |    | 389,872   |        |   |   | 415,950 |   |
| Advances to third party suppliers,      net                   |   |    | 7      |      |        |    | 898,723   |        |   |   | 264,497 |   |
| Other current      assets                                     |   |    | 8      |      |        |    | 42,315    |        |   |   | 191,081 |   |
| Deferred tax      assets                                      |   |    | 11     |      |        |    | 1,214     |        |   |   | 14,146 |   |
| Total current      assets                                     |   |    |   |      |        |    | 3,491,163 |        |   |   | 3,830,424 |   |
| Property and equipment,      net                              |   |    | 9      |      |        |    | 532,012   |        |   |   | 1,369,807 |   |
| Intangible asset,      net                                    |   |    | 10     |      |        |    | 6,688     |        |   |   | 11,805 |   |
| Deferred tax      asset                                       |   |    | 11     |      |        |    | 4,355     |        |   |   | 14,400 |   |
| Advances to suppliers,      net                               |   |    | 21     | (b)  |        |    | 536,332   |        |   |   | 1,944,912 |   |
| Prepayment for land use      rights                           |   |    | 12     |      |        |    | -         |        |   |   | 44,399 |   |
| Derivative asset-capped call      options                     |   |    | 14     |      |        |    | -         |        |   |   | 4,485 |   |
| Deferred issuance      cost                                   |   |    |   |      |        |    | -         |        |   |   | 58,952 |   |
| Totalassets                                                   |   |    |   |      |        |    | 4,570,550 |        |   |   | 7,279,184 |   |
| LIABILITIES AND SHAREHOLDERS'      EQUITY                     |   |    |   |      |        |    |      |        |   |
| Current      liabilities:                                     |   |    |   |      |        |    |      |        |   |   |   |   |
| Short-term bank      borrowings                               |   |    | 13     |      |        |    | 200,000   |        |   |   | 490,000 |   |
| Accounts payable to third      parties                        |   |    |   |      |        |    | 10,119    |        |   |   | 117,982 |   |
| Taxpayables                                                   |   |    |   |      |        |    | 342       |        |   |   | 5,168 |   |
| Advances from third party customers                           |   |    |   |      |        |    | 70,286    |        |   |   | 65,051 |   |
| Other payables to third      parties                          |   |    | 15     |      |        |    | 16,842    |        |   |   | 132,792 |   |
| Payroll and welfare      payable                              |   |    |   |      |        |    | 6,364     |        |   |   | 14,199 |   |
| Accrued      expenses                                         |   |    | 16     |      |        |    | 15,280    |        |   |   | 22,766 |   |
| Interest      payable                                         |   |    |   |      |        |    | -         |        |   |   | 13,458 |   |
| Amounts due to related      parties                           |   |    | 21     | (a)       |        |    | 113,890   |        |   |   | 9,407 |   |
| Total current      liabilities                                |   |    |   |      |        |    | 433,123   |        |   |   | 870,823 |   |
| Accrued warranty      cost                                    |   |    | 17     |      |        |    | 929       |        |   |   | 5,185 |   |
| Convertible notes                                             |   |    | 14     |      |        |    | -         |        |   |   | 1,532,600 |   |

----

| Embedded      derivatives                                                                                                                                                                        |   |   |   |   |   |   | -         |   |   |   | 115,676   |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|-----------|--------|--------|--------|-----------|--------|
| Total      liabilities                                                                                                                                                                           |   |   |   |   |   |   | 434,052   |   |   |   | 2,524,284 |   |
|                                                                                                                                                                                             |   |   |   |   |   |   |      |   |   |   |      |   |
| Commitments and      Contingencies                                                                                                                                                               |   |   | 22     |   |   |   | -         |   |   |   | -         |   |
| Shareholders'      equity:                                                                                                                                                                       |   |   |   |   |   |   |      |   |   |   |      |   |
| Ordinary shares (US$0.0001 par      value; 493,480,000 shares authorized, 154,058,500 and      167,982,020shares      issued and outstanding as of December 31, 2007 and December 31,      2008) |   |   | 27     |   |   |   | 123       |   |   |   | 133       |   |
| Additional paid-in      capital                                                                                                                                                                  |   |   |   |   |   |   | 3,655,194 |   |   |   | 3,787,262 |   |
| Statutory      reserves                                                                                                                                                                          |   |   | 19     |   |   |   | 71,619    |   |   |   | 169,576   |   |
| Retained      earnings                                                                                                                                                                           |   |   |   |   |   |   | 417,203   |   |   |   | 798,312   |   |
| Accumulated other comprehensive      income                                                                                                                                                      |   |   |   |   |   |   | (7,641    | )      |   |   | (383      | )      |
| Total shareholders'      equity                                                                                                                                                                  |   |   |   |   |   |   | 4,136,498 |   |   |   | 4,754,900 |   |
| Total liabilities and      shareholders' equity                                                                                                                                                  |   |   |   |   |   |   | 4,570,550 |   |   |   | 7,279,184 |   |

----

|                                                                  |   |        |   |   | For the year      ended |     |    | For the year      ended |   |       | For the year      ended |   |
|-----------------------------------------------------------------------|--------|-------------|--------|--------|-------------------------|----------|---------|-------------------------|--------|------------|-------------------------|--------|
|                                                                  |   | Note        |   |   | December 31,      2006  |     |    | December 31,      2007  |   |       | December 31,      2008  |   |
|                                                                  |   |        |   |   | RMB                     |     |    | RMB                     |   |       | RMB                     |   |
| Netrevenues                                                           |   |        |   |   |                    |     |    |                    |   |       |                    |   |
| Solar    products                                                     |   |        |   |   |                    | 565,327  |    |                    |   | 2,532,417  |                    |   |   | 4,794,041 |   |
| Solar products to related      parties                                |   |        |   |   |                    | 131,131  |    |                    |   | 62,206     |                    |   |   | 508,010 |   |
| Solar cells      processing                                           |   |        |   |   |                    | -        |    |                    |   | 99,077     |                    |   |   | 156,259 |   |
| Total    revenues                                                     |   |        |   |   |                    | 696,458  |    |                    |   | 2,693,700  |                    |   |   | 5,458,310 |   |
| Cost of      revenues                                                 |   |        |   |   |                    |     |    |                    |   |       |                    |   |   |   |   |
| Solar    products                                                     |   |        |   |   |                    | (524,163 | )       |                    |   | (2,066,560 | )                       |   |   | (4,414,189 | ) |
| Solar cells      processing                                           |   |        |   |   |                    | -        |    |                    |   | (26,232    | )                       |   |   | (52,086 | ) |
| Total cost of      revenues                                           |   |        |   |   |                    | (524,163 | )       |                    |   | (2,092,792 | )                       |   |   | (4,466,275 | ) |
| Grossprofit                                                           |   |        |   |   |                    | 172,295  |    |                    |   | 600,908    |                    |   |   | 992,035 |   |
| Selling, general and      administrative expenses                     |   |        |   |   |                    | (39,656  | )       |                    |   | (150,319   | )                       |   |   | (271,494 | ) |
| Research and development      expenses                                |   |        |   |   |                    | (1,358   | )       |                    |   | (4,200     | )                       |   |   | (28,509 | ) |
| Total operating      expenses                                         |   |        |   |   |                    | (41,014  | )       |                    |   | (154,519   | )                       |   |   | (300,003 | ) |
| Income from    operations                                        |   |        |   |   |                    | 131,281  |    |                    |   | 446,389    |                    |   |   | 692,032 |   |
| Impairment on available-for-sale      securities                      |   | 5           |   |   |                    | -        |    |                    |   | -          |                    |   |   | (686,320 | ) |
| Change in fair value of      derivatives                              |   |  14/24 |   |   |                    | -        |    |                    |   | -          |                    |   |   | 564,006 |   |
| Convertible notes buyback    gain                                     |   |  14    |   |   |                    | -        |    |                    |   | -          |                    |   |   | 203,514 |   |
| Interest      expense                                                 |   |        |   |   |                    | (5,055   | )       |                    |   | (6,595     | )                       |   |   | (160,542 | ) |
| Interest    income                                                    |   |        |   |   |                    | 824      |    |                    |   | 62,580     |                    |   |   | 42,648 |   |
| Foreign exchange      gain/(loss)                                     |   |        |   |   |                    | 1,300    |    |                    |   | (112,800   | )                       |   |   | (127,356 | ) |
| Investment loss                                                       |   |  5     |   |   |                    | -        |    |                    |   | -          |                    |   |   | (28,594 | ) |
| Otherincome                                                           |   |        |   |   |                    | 64       |    |                    |   | 5,225      |                    |   |   | 3,560 |   |
| Income before income      taxes                                       |   |        |   |   |                    | 128,414  |    |                    |   | 394,799    |                    |   |   | 502,948 |   |
| Income tax benefit/      (expense)                                    |   |        | 11     |   |                    |     | -       |                    |   |       | 5,569                   |   |   |   | (23,882 | ) |
| Net income                                                            |   |        |   |   |                    |     | 128,414 |                    |   |       | 400,368                 |   |   |   | 479,066 |   |
| Preferred shares      accretion                                       |   |        |   |   |                    |     | (1,603  | )                       |   |       | (515                    | )      |   |   | - |   |
| Preferred shares beneficial      conversion charge                    |   |        |   |   |                    |     | (34,732 | )                       |   |       | -                       |   |   |   | - |   |
| Allocation of net income to      participating preferred shareholders |   |        |   |   |                    |     | (5,683  | )                       |   |       | (1,648                  | )      |   |   | - |   |

----

| Net income available to ordinary      shareholders                                                |   |   |   |   |   |   | 86,396     |   |   |   | 398,205     |   |   |   | 479,066     |   |
|---------------------------------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|------------|--------|--------|--------|-------------|--------|--------|--------|-------------|--------|
|                                                                                              |   |   |   |   |   |   |       |   |   |   |        |   |   |   |        |   |
| Net income/(loss) per      share:                                                                 |   |   |   |   |   |   |       |   |   |   |        |   |   |   |        |   |
|   Basic                                                                                 |   |   | 20     |   |   |   | 1.08       |   |   |   | 2.96        |   |   |   | 3.06        |   |
|   Diluted                                                                               |   |   | 20     |   |   |   | 1.08       |   |   |   | 2.93        |   |   |   |  (2.31 | )      |
|                                                                                              |   |   |   |   |   |   |       |   |   |   |        |   |   |   |        |   |
| Weighted average number of shares      outstanding:                                               |   |   |   |   |   |   |       |   |   |   |        |   |   |   |        |   |
|   Basic                                                                                 |   |   | 20     |   |   |   | 80,000,000 |   |   |   | 134,525,226 |   |   |   | 156,380,060 |   |
|   Diluted                                                                               |   |   | 20     |   |   |   | 80,166,178 |   |   |   | 136,721,772 |   |   |   | 168,785,243 |   |
|                                                                                              |   |   |   |   |   |   |       |   |   |   |        |   |   |   |        |   |
| The accompanying notes are an      integral part of these consolidated financial      statements. |   |   |   |

----

|                                                                                                         |   |   | Ordinary      shares  |   |   |   |         |   |   |   |                                  |   |   |   |                          |   |   |   |                                                |   |   |   |                                              |   |             |   |   |                                  |   |
|--------------------------------------------------------------------------------------------------------------|--------|--------|----------------------------|--------|--------|--------|--------------|--------|--------|--------|---------------------------------------|--------|--------|--------|-------------------------------|--------|--------|--------|-----------------------------------------------------|--------|--------|--------|---------------------------------------------------|--------|------------------|--------|--------|---------------------------------------|--------|
|                                                                                                         |   |   | Shares                |   |   |   | Amount  |   |   |   | Additional      paid-in capital  |   |   |   | Statutory      reserves  |   |   |   | Retained      earnings/ (accumulated deficit)  |   |   |   | Accumulated      Other comprehensive income  |   |             |   |   | Total      shareholders' equity  |   |   |   | Total      Comprehensive Income/(loss)  |   |
|                                                                                                         |   |   |                       |   |   |   | RMB     |   |   |   | RMB                              |   |   |   | RMB                      |   |   |   | RMB                                            |   |   |   | RMB                                          |   |             |   |   | RMB                              |   |   |   | RMB  |   |
| Balance      at December 31, 2005                                                                            |   |   | 80,000,000                 |   |   |   | 66           |   |   |   | 59,633                                |   |   |   | -                             |   |   |   | (3,110                                              | )      |   |   | -                                                 |   |             |   |   | 56,589                                |   |   |   | (3,110 | ) |
|                                                                                                         |   |   |                       |   |   |   |         |   |   |   |                                  |   |   |   |                          |   |   |   |                                                |   |   |   |                                              |   |    |   |   |                                  |   |   |   |   |   |
| Pro-rata      capital contribution from ordinary shareholders                                                |   |   | -                          |   |   |   | -            |   |   |   | 59,901                                |   |   |   | -                             |   |   |   | -                                                   |   |   |   | -                                                 |   |             |   |   | 59,901                                |   |   |   | - |   |
| Pro-rata      return of capital to ordinary shareholders pursuant to the      Recapitalization (Note 1)      |   |   | -                          |   |   |   | -            |   |   |   | (119,508                              | )      |   |   | -                             |   |   |   | -                                                   |   |   |   | -                                                 |   |             |   |   | (119,508                              | )      |   |   | - |   |
| Pro-rata      capital contribution from ordinary shareholders pursuant to the      Recapitalization (Note 1) |   |   | -                          |   |   |   | -            |   |   |   | 53,779                                |   |   |   | -                             |   |   |   | -                                                   |   |   |   | -                                                 |   |             |   |   | 53,779                                |   |   |   | - |   |
| Share      based compensation                                                                                |   |   | -                          |   |   |   | -            |   |   |   | 18,179                                |   |   |   | -                             |   |   |   | -                                                   |   |   |   | -                                                 |   |             |   |   | 18,179                                |   |   |   | - |   |
| Accretion      of preferred shares                                                                           |   |   | -                          |   |   |   | -            |   |   |   | -                                     |   |   |   | -                             |   |   |   | (1,603                                              | )      |   |   | -                                                 |   |             |   |   | (1,603                                | )      |   |   | - |   |
| Beneficial      conversion features of preferred shares                                                      |   |   | -                          |   |   |   | -            |   |   |   | 34,732                                |   |   |   | -                             |   |   |   | -                                                   |   |   |   | -                                                 |   |             |   |   | 34,732                                |   |   |   | - |   |
| Amortization      of beneficial conversion features of preferred shares                                      |   |   | -                          |   |   |   | -            |   |   |   | -                                     |   |   |   | -                             |   |   |   | (34,732                                             | )      |   |   | -                                                 |   |             |   |   | (34,732                               | )      |   |   | - |   |
|                                                                                                         |   |   |                       |   |   |   |         |   |   |   |                                  |   |   |   |                          |   |   |   |                                                |   |   |   |                                              |   |             |   |   |                                  |   |   |   |   |   |
| Statutory      reserves                                                                                      |   |   | -                          |   |   |   | -            |   |   |   | -                                     |   |   |   | 14,588                        |   |   |   | (14,588                                             | )      |   |   | -                                                 |   |             |   |   |  -                               |   |   |   | - |   |
| Net      Income                                                                                              |   |   | -                          |   |   |   | -            |   |   |   | -                                     |   |   |   | -                             |   |   |   | 128,414                                             |   |   |   | -                                                 |   |             |   |   | 128,414                               |   |   |   | 128,414 |   |
| Balance      at December 31, 2006                                                                            |   |   | 80,000,000                 |   |   |   | 66           |   |   |   | 106,716                               |   |   |   | 14,588                        |   |   |   | 74,381                                              |   |   |   | -                                                 |   |             |   |   | 195,751                               |   |   |   | 128,414 |   |

----

|                                                                                                         |   |   |        |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |    |   |   |   |   |   |
|--------------------------------------------------------------------------------------------------------------|--------|--------|-------------|--------|--------|--------|--------|--------|--------|--------|-----------|--------|--------|--------|--------|--------|--------|--------|---------|--------|--------|--------|--------|--------|
| Issuance      of ordinary shares pursuant to initial public offerings                                        |   |   | 51,750,000  |   |   |   | 40     |   |   |   | 1,850,337 |   |   |   | -      |   |   |   | -       |   |   |   | -      |   |   |   | 1,850,377 |   |   |   | - |   |
| Accretion      of preferred shares                                                                           |   |   | -           |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | (515    | )      |   |   | -      |   |   |   | (515 | ) |   |   | - |   |
| Conversion      of preferred shares into ordinary shares upon the completion of initial      public offering |   |   | 6,520,000   |   |   |   | 5      |   |   |   | 109,900   |   |   |   | -      |   |   |   | -       |   |   |   | -      |   |   |   | 109,905 |   |   |   | - |   |
| Issuance      of ordinary shares pursuant to follow on offerings                                             |   |   | 14,848,500  |   |   |   | 11     |   |   |   | 1,481,696 |   |   |   | -      |   |   |   | -       |   |   |   | -      |   |   |   | 1,481,707 |   |   |   | - |   |
| Shares      based compensation                                                                               |   |   | -           |   |   |   | -      |   |   |   | 91,637    |   |   |   | -      |   |   |   | -       |   |   |   | -      |   |   |   | 91,637 |   |   |   | - |   |
| Exercise      of stock options                                                                               |   |   | 940,000     |   |   |   | 1      |   |   |   | 14,908    |   |   |   | -      |   |   |   | -       |   |   |   | -      |   |   |   | 14,909 |   |   |   | - |   |
| Statutory      reserves                                                                                      |   |   | -           |   |   |   | -      |   |   |   | -         |   |   |   | 57,031 |   |   |   | (57,031 | )      |   |   | -      |   |   |   | - |   |   |   | - |   |
| Net      Income                                                                                              |   |   | -           |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | 400,368 |   |   |   | -      |   |   |   | 400,368 |   |   |   | 400,368 |   |
| Other      comprehensive income for available-for-sale securities                                            |   |   | -           |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | -       |   |   |   | (7,641 | )      |   |   | (7,641 | ) |   |   | (7,641 | ) |
| Balance      at December 31, 2007                                                                            |   |   | 154,058,500 |   |   |   | 123    |   |   |   | 3,655,194 |   |   |   | 71,619 |   |   |   | 417,203 |   |   |   | (7,641 | )      |   |   | 4,136,498 |   |   |   | 392,727 |   |

| Shares      based compensation                                                                    |   |   | -           |   |   |   | -   |   |   |   | 113,192   |   |   |   | -       |   |   |   | -       |   |   |   | -     |   |   |   | 113,192   |   |   |   | -       |   |
|---------------------------------------------------------------------------------------------------|--------|--------|-------------|--------|--------|--------|-----|--------|--------|--------|-----------|--------|--------|--------|---------|--------|--------|--------|---------|--------|--------|--------|-------|--------|--------|--------|-----------|--------|--------|--------|---------|--------|
| Exercise      of stock options                                                                    |   |   | 798,000     |   |   |   | 1   |   |   |   | 18,876    |   |   |   | -       |   |   |   | -       |   |   |   | -     |   |   |   | 18,877    |   |   |   | ---     |   |
| Issuance      of ordinary shares pursuant to ADS Lending Agreement (Note    14)                   |   |   | 13,125,520  |   |   |   | 9   |   |   |   |      |   |   |   | -       |   |   |   | -       |   |   |   | -     |   |   |   | 9         |   |   |   | ---     |   |
| Statutory      reserve                                                                            |   |   | -           |   |   |   | -   |   |   |   | -         |   |   |   | 97,957  |   |   |   | (97,957 | )      |   |   | -     |   |   |   | -         |   |   |   | ---     |   |
| Net      Income                                                                                   |   |   | -           |   |   |   | -   |   |   |   | -         |   |   |   | -       |   |   |   | 479,066 |   |   |   | -     |   |   |   | 479,066   |   |   |   | 479,066 |   |
| Other      comprehensive income for foreign currency translation      adjustment                  |   |   | -           |   |   |   | -   |   |   |   | -         |   |   |   | -       |   |   |   | -       |   |   |   | (383  | )      |   |   | (383      | )      |   |   | (383    | )      |
| Other      comprehensive loss for available-for-sale securities                                   |   |   | -           |   |   |   | -   |   |   |   | -         |   |   |   | -       |   |   |   | -       |   |   |   | 7,641 |   |   |   | 7,641     |   |   |   | 7,641   |   |
| Balance      at December 31, 2008                                                                 |   |   | 167,982,020 |   |   |   | 133 |   |   |   | 3,787,262 |   |   |   | 169,576 |   |   |   | 798,312 |   |   |   | (383  | )      |   |   | 4,754,900 |   |   |   | 486,324 |   |
|                                                                                              |   |
| The      accompanying notes are an integral part of these consolidated financial      statements. |   |

----

|                                                                                                 |   | For the year ended December 31,      2006 |     |   | For the year ended December 31,      2007 |   |       | For the year ended December 31,      2008 |   |
|------------------------------------------------------------------------------------------------------|--------|-------------------------------------------|----------|--------|-------------------------------------------|--------|------------|-------------------------------------------|--------|
|                                                                                                 |   |                                      |     |   |                                      |   |       |                                      |   |
|                                                                                                 |   | RMB                                       |     |   | RMB                                       |   |       | RMB                                       |   |
|                                                                                                 |   |                                      |     |   |                                      |   |       |                                      |   |
| Cash flows from operating      activities:                                                           |   |                                      |     |   |                                      |   |       |                                      |   |
|  Net income                                                                                     |   |                                      | 128,414  |   |                                      |   | 400,368    |                                      |   |   | 479,066 |   |
| Adjustments to reconcile net      income to net cash used in operating activities:                   |   |                                      |     |   |                                      |   |       |                                      |   |   |   |   |
| Share based compensation      expense                                                                |   |                                      | 18,179   |   |                                      |   | 91,637     |                                      |   |   | 113,192 |   |
| Depreciation and      amortization                                                                   |   |                                      | 11,203   |   |                                      |   | 34,115     |                                      |   |   | 88,191 |   |
| Allowance for doubtful      accounts                                                                 |   |                                      | -        |   |                                      |   | -          |                                      |   |   | 24,708 |   |
| Inventory      provisions                                                                            |   |                                      | -        |   |                                      |   | -          |                                      |   |   | 77,980 |   |
| Allowance for advance to third      party      suppliers                                             |   |                                      | -        |   |                                      |   | -          |                                      |   |   | 18,592 |   |
| Amortization of      deferred issuance cost and increase in      accretion of convertible notes |   |                                      | -        |   |                                      |   | -          |                                      |   |   | 88,389 |   |
| Change in fair value of      derivatives                                                             |   |                                      | -        |   |                                      |   | -          |                                      |   |   | (564,006 | ) |
| Exchange (gain)/      loss                                                                           |   |                                      | (1,627   | )      |                                      |   | 90,672     |                                      |   |   | 57,161 |   |
| Investment loss from short term      securities                                                      |   |                                      | -        |   |                                      |   | -          |                                      |   |   | 39,043 |   |
| Loss from disposal of fixed      assets                                                              |   |                                      | -        |   |                                      |   | -          |                                      |   |   | 362 |   |
| Increase in deferred tax      asset                                                                  |   |                                      | -        |   |                                      |   | (5,570     | )                                         |   |   | (22,977 | ) |
| Gain from convertible notes buyback                                                                  |   |                                      | -        |   |                                      |   | -          |                                      |   |   | (203,514 | ) |
| Impairment on available-for-sale      securities                                                     |   |                                      | -        |   |                                      |   | -          |                                      |   |   | 686,320 |   |
| Changes in operating assets and      liabilities:                                                    |   |                                      |     |   |                                      |   |       |                                      |   |   |   |   |
| Acquisition of trading      security                                                                 |   |                                      |  -  |   |                                      |   | -          |                                      |   |   | (353,588 | )  |
| Increase in      inventories                                                                         |   |                                      | (154,675 | )      |                                      |   | (2,659     | )                                         |   |   | (512,635 | ) |
| (Increase)/decrease in accounts      receivables from third party customers                          |   |                                      | (47,720  | )      |                                      |   | 18,900     |                                      |   |   | (327,930 | ) |
| (Increase)/decrease in accounts receivables from      related party customers                        |   |                                      | -        |   |                                      |   | (24,731    | )                                         |   |   | 1,722 |   |
| Increase in advance to related      party suppliers                                                  |   |                                      | (39,832  | )      |                                      |   | (350,040   | )                                         |   |   | (41,133 | ) |
| Increase in advance to third party      suppliers                                                    |   |                                      | (1,154   | )      |                                      |   | (1,433,446 | )                                         |   |   | (777,891 | ) |
| Increase in prepayment for land use      rights                                                      |   |                                      | -        |   |                                      |   | -          |                                      |   |   | (44,399 | ) |
| Increase in other current      assets                                                                |   |                                      | (6,674   | )      |                                      |   | (41,371    | )                                         |   |   | (148,766 | ) |
| Increase in accounts      payable                                                                    |   |                                      | 1,153    |   |                                      |   | 8,967      |                                      |   |   | 107,863 |   |
| Increase/(decrease) in tax      payable                                                              |   |                                      | 3,640    |   |                                      |   | (3,298     | )                                         |   |   | 4,826 |   |
| Increase/(decrease) in other      payables                                                           |   |                                      | (7       | )      |                                      |   | 5,194      |                                      |   |   | (3,040 | ) |
| Increase in payroll and welfare      payable                                                         |   |                                      | 2,563    |   |                                      |   | 3,688      |                                      |   |   | 7,834 |   |
| Increase in accrued      expenses                                                                    |   |                                      | 3,903    |   |                                      |   | 11,347     |                                      |   |   | 7,486 |   |
| Increase in accrued warranty      cost                                                               |   |                                      | -        |   |                                      |   | 929        |                                      |   |   | 4,256 |   |
| Decrease in amounts due to related      parties                                                      |   |                                      | (503     | )      |                                      |   | (38        | )                                         |   |   | (104,483 | ) |
|     Increase      in interest payables                                           |   |                                      | -        |   |                                      |   | -          |                                      |   |   | 13,458 |   |

----

| Increase/(decrease) in advance from third party      customers                                          |   |   | 21,330   |   |   |   | 48,956         |    |   |   | (5,235         | )       |
|---------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|--------|----------------|---------|--------|--------|----------------|---------|
| Net cash used in operating      activities                                                              |   |   | (61,807  | )      |   |   | (1,146,380     | )       |   |   | (1,289,148     | )       |
|  Cash flows from investing      activities:                                                        |   |   |     |   |   |   |           |    |   |   |           |    |
| Purchase of property and      equipment                                                                 |   |   | (107,511 | )      |   |   | (421,233       | )       |   |   | (806,058       | )       |
| Cash received from      disposal of property      and equipment                                         |   |   | -        |   |   |   | -              |    |   |   | 46             |    |
| Purchase of intangible      assets                                                                      |   |   | (108     | )      |   |   | (616           | )       |   |   | (6,462         | )       |
| Acquisition of short term      investments                                                              |   |   | -        |   |   |   | (810,762       | )       |   |   | (2,156,187     | )       |
|  (Increase)/decrease      in restricted cash                                                       |   |   | -        |   |   |   |  (409,058 | )  |   |   |  375,997  |    |
| Proceeds from sale of short term      investments                                                       |   |   | -        |   |   |   | -              |    |   |   | 2,173,241      |    |
| Net cash used in investing      activities                                                              |   |   | (107,619 | )      |   |   | (1,641,669     | )       |   |   | (419,423       | )       |
|  Cash flows from financing      activities:                                                        |   |   |     |   |   |   |           |    |   |   |           |    |
| Pro-rata capital contribution from      ordinary shareholders                                           |   |   | 59,900   |   |   |   | -              |    |   |   | -              |    |
| Net proceeds from issuance of      preferred shares                                                     |   |   | 110,669  |   |   |   | -              |    |   |   | -              |    |
| Pro-rata return of capital to      ordinary shareholders pursuant to the Recapitalization (Note 1)      |   |   | (119,508 | )      |   |   | -              |    |   |   | -              |    |
| Pro-rata capital contribution from      ordinary shareholders pursuant to the Recapitalization (Note 1) |   |   | 53,779   |   |   |   | -              |    |   |   | -              |    |
| Proceeds from public offerings of      shares                                                           |   |   | -        |   |   |   | 3,341,002      |    |   |   | -              |    |
| Net proceeds from convertible      notes offerings                                                      |   |   | -        |   |   |   | -              |    |   |   | 2,709,538      |    |
| Proceeds from short-term bank      borrowings                                                           |   |   | 200,000  |   |   |   | 250,000        |    |   |   | 490,000        |    |
| Payment      of capped call up-front premiums                                                           |   |   | -        |   |   |   |  -        |    |   |   |  (226,087 | )  |
| Repurchase of convertible notes                                                                         |   |   | -        |   |   |   | -              |    |   |   | (182,019       | )       |
| Repayment of short-term      borrowings                                                                 |   |   | (50,000  | )      |   |   | (200,000       | )       |   |   | (200,000       | )       |
| Proceeds from exercise of stock      options                                                            |   |   | -        |   |   |   | 128,583        |    |   |   | 18,876         |    |
| Net cash provided by financing      activities                                                          |   |   | 254,840  |   |   |   | 3,519,585      |    |   |   | 2,610,308      |    |
| Effect of exchange rate changes on      cash and cash equivalents                                       |   |   | (627     | )      |   |   | (91,319        | )       |   |   | (94,928        | )       |
| Net increase in cash and cash      equivalents                                                          |   |   | 84,787   |   |   |   | 640,217        |    |   |   | 806,809        |    |
| Cash and cash equivalents at the      beginning of the period                                           |   |   | 10,971   |   |   |   | 95,758         |    |   |   | 735,975        |    |
| Cash and cash equivalents at the      end of the period                                                 |   |   | 95,758   |   |   |   | 735,975        |    |   |   | 1,542,784      |    |
| Supplemental disclosure of cash      flow information:                                                  |   |   |     |   |   |   |           |    |   |   |           |    |
| Cash paid for interest (net of      amounts capitalized)                                                |   |   | 6,307    |   |   |   | 10,207         |    |   |   | 59,669         |    |
| Cash paid for income      tax                                                                           |   |   | -        |   |   |   | -              |    |   |   | 41,696         |    |
| Supplemental schedule of non-cash      investing and financing activities:                              |   |   |     |   |   |   |           |    |   |   |           |    |
| Purchases of property and      equipment included in other payables                                     |   |   | 2,438    |   |   |   | 8,129          |    |   |   | 127,120        |    |
|                                                                                                    |   |   |     |   |   |
| The accompanying notes are an      integral part of these consolidated financial      statements.       |   |   |     |   |   |

----

|                                                                                                                                  | Date      of Incorporation | Place      of Incorporation | Percentage      of  Ownership |
|---------------------------------------------------------------------------------------------------------------------------------------|----------------------------|-----------------------------|-----------------------------------------|
| JingAo      Solar Co., Ltd. ("JA Hebei")                                                                                              | May      18, 2005          | PRC                         | 100%                                    |
| JA      Development Co., Ltd. ("JA BVI")                                                                                              | July      6, 2006          | BVI                         | 100%                                    |
| Shanghai      JA Solar Technology Co., Ltd. ("JA Fengxian")                                                                           | November      16, 2006     | PRC                         | 100%                                    |
| JA      Solar USA Inc. ("JA USA")                                                                                                     | April      13, 2007        | USA                         | 100%                                    |
| Shanghai      JA Solar PV Technology Co., Ltd.("JA Zhabei")                                                                           | June      22, 2007         | PRC                         | 100%                                    |
| JA      Solar Technology Yangzhou Co., Ltd. (“JA Yangzhou”)                                                               | November      19, 2007     | PRC                         | 100%                                    |
| JA      Solar Hong Kong Limited (“JA Hong Kong”)                                                                          | December      10, 2007     | Hong      Kong              | 100%                                    |
| Jing       Hai  Yang  Semiconductor  Materials  (Donghai)       Co., Ltd (“JA Lianyungang”) | October      11, 2008      | PRC                         | 100%                                    |

----

| 2. | Summary      of significant accounting policies |
|----|-------------------------------------------------|

|   | a) | Basis      of presentation and consolidation |
|--------|----|----------------------------------------------|

|   | b) | Use      of estimates |
|--------|----|-----------------------|

|   | c) | Fair      Value of FinancialInstruments  |
|--------|----|-----------------------------------------------|

----

|   | d) | Cash,      cash equivalents and restrictedcash |
|--------|----|------------------------------------------------|

|   | e) | Short      term investments |
|--------|----|-----------------------------|

|   | Ÿ | HARP index investment      The Company acquires these Hybrid Absolute Return Portfolio Index      Investments for cash management purpose. The issuing bank has guaranteed      the return of the principal if the Company held the investment for six      months. In addition, the investment has a daily liquidity feature subject      to a penalty. The realized gains or losses on the sale of HARP index      investment are recorded in investmentincome. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | Commodity related      investment The Company acquires these Commodity index related      investment for cash management purpose.  The      issuing bank has guaranteed the return of the principal if the Company      held the investment for three months. The realized gains or losses on the      sale of commodity related investment are recorded in investment      income. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | Marketable debt      securities These debt securities are held to generate short-term      interest returns. The interest income and realized gains and losses on the      sale of these securities are recorded in interest  income. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | Marketable equity securities      when the investments are considered strategic in nature at the time      of original classification. The Company acquires these equity investments      for strategic objectives. The realized gains or losses on the sale or      exchange of marketable equity securities are recorded in investment      income. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | Currency accrual bill      The Company acquires these investments for cash management purpose. The      investment does not have a fixed maturity date and rolls over every six      months. The issuing bank has guaranteed the return of the principal if the      Company held the investment for six months. In addition, the investment      was puttable to the issuing bank, callable by the issuing bank and      provided a daily liquidity feature.  If the investment is liquidated      within 6 months before maturity, realized gains or losses are absorbed by      the Company.  The realized gains or losses on the sale of currency      accrual bill are recorded in investmentincome. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | f) | Allowance      for doubtful accounts |
|--------|----|--------------------------------------|

----

|   | g) | Inventories |
|--------|----|-------------|

|   | h) | Short-Term      and Long-Term Advances to Suppliers |
|--------|----|-----------------------------------------------------|

|   | i) | Prepayment      for land use rights |
|--------|----|-------------------------------------|

|   | j) | Property      and equipment, net |
|--------|----|----------------------------------|

|   | Buildings                    | 20      years                                  |
|--------|------------------------------|------------------------------------------------|
|   | Leasehold      improvements  | Shorter      of the lease term or useful lives |
|   | Machinery      and equipment | 5-10      years                                |
|   | Furniture      and fixtures  | 5      years                                   |
|   | Motor      vehicles          | 5      years                                   |

----

|   | k) | Operating      leases |
|--------|----|-----------------------|

|   | l) | Intangible      asset, net |
|--------|----|----------------------------|

|   | m) | Impairment      of long-lived assets |
|--------|----|--------------------------------------|

|   | n) | Income      taxes |
|--------|----|-------------------|

|   | o) | Revenue      recognition |
|--------|----|--------------------------|

|   | Ÿ | Persuasive      evidence that an arrangement (sales contract) exists between a willing      customer and the Group that outlines the terms of the sale (including      customer information, product specification, quantity of goods, purchase      price and payment terms). Customers do not have a right of return. The      Group does provide a warranty on its solar module  products. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | Generally      shipping terms are FOB shipping point from the Group's premises. At this      point the customer takes title to the goods and is responsible for all      risks and rewards of ownership. Some shipping terms are CIF destination      point. At this point, once the acceptance from the customer is received,      the customer takes title to the goods and is responsible for all risks and      rewards of ownership.  Some |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   |   | shipping      terms are EXW, at which point the Group delivers goods at its own place of      business and all other transportation costs and risks are assumed by the      customer |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | The      Group's price to the customer is fixed and determinable as specifically      outlined in the sales contract. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | Ÿ | For      customers to whom credit terms are extended, the Group assesses a number      of factors to determine whether collection from the customers is probable,      including past transaction history with these customers and their      credit-worthiness. All credit extended to customers is pre-approved by      management. If the Group determines that collection is not reasonably      assured, it defers the recognition of revenue until collection becomes      reasonably assured, which is generally upon receipt of      payment. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | p) | Cost      of revenue |
|--------|----|----------------------|

|   | q) | Share      based compensation |
|--------|----|-------------------------------|

|   | r) | Research      and development |
|--------|----|-------------------------------|

----

|   | s) | Advertising      expenses |
|--------|----|---------------------------|

|   | t) | Warranty      cost |
|--------|----|--------------------|

|   | u) | Start-up      costs |
|--------|----|---------------------|

|   | v) | Foreign      currencies translation |
|--------|----|-------------------------------------|

|   | w) | Segment      reporting |
|--------|----|------------------------|

----

|   | x) | Net      income/ (loss) per share |
|--------|----|-----------------------------------|

|   | y) | Comprehensive      Income |
|--------|----|---------------------------|

|   | z) | Reclassifications |
|--------|----|-------------------|

|   | aa) | Recent      accounting pronouncements |
|--------|-----|---------------------------------------|

----

----

| 3. | Cash,      cash equivalents and restrictedcash |
|----|------------------------------------------------|

|   |                                 |   | As      of December 31, |          | As      of December 31, |
|--------|--------------------------------------|--------|-------------------------|---------------|-------------------------|
|   |                                 |   | 2007(1)                 |          | 2008                    |
|   |                                 |   | RMB                     |          | RMB                     |
|   | Cash                                 |   |  705,971           |          |        1,470,961   |
|   | Cash      equivalents                |   |                    | 30,004   |                    | 71,823 |
|   | Total      cash and cash equivalents |   |                    | 735,975       |                    | 1,542,784 |
|   |                                 |   |                    |          |                    |   |
|   | Restricted      Cash            |   |                    | 409,058  |                    | 33,061  |

| 4. | Accounts      Receivables |
|----|---------------------------|

| 5. | Short      term investments |
|----|-----------------------------|

|   |                        |   | Initial      Cost |    |   | Unrealized      gains |   |   | Unrealized      losses |   |   | Estimated      fair value |   |
|--------|-----------------------------|--------|-------------------|---------|--------|-----------------------|--------|--------|------------------------|--------|--------|---------------------------|--------|
|   |                        |   | RMB               |    |   | RMB                   |   |   | RMB                    |   |   | RMB                       |   |
|   |                        |   |              |    |   |                  |   |   |                   |   |   |                      |   |
|   | Currency      accrual bills |   |              | 517,881 |   |                  |   | -      |                   |   |   | (10,255                   | )      |   |   | 507,626 |   |
|   | Municipal      bonds        |   |              | 86,933  |   |                  |   | -      |                   |   |   | (1,286                    | )      |   |   | 85,647 |   |
|   | Corporate      bonds        |   |              | 12,048  |   |                  |   | -      |                   |   |   | (178                      | )      |   |   | 11,870 |   |
|   | Equity      investments     |   |              | 193,900 |   |                  |   | 4,078  |                   |   |   | -                         |   |   |   | 197,978 |   |
|   | Total                       |   |              | 810,762 |   |                  |   | 4,078  |                   |   |   | (11,719                   | )      |   |   | 803,121 |   |

|   |                              |   | Initial      Cost |    |   | Unrealized      gains |   |   | Unrealized      losses |   |   | Impairment      losses |    |   | Estimated      fair value |     |
|--------|-----------------------------------|--------|-------------------|---------|--------|-----------------------|--------|--------|------------------------|--------|--------|------------------------|---------|--------|---------------------------|----------|
|   |                              |   | RMB               |    |   | RMB                   |   |   | RMB                    |   |   | RMB                    |    |   | RMB                       |     |
|   |                              |   |              |    |   |                  |   |   |                   |   |   |                   |    |   |                      |     |
|   | HARP      index investment        |   |              | 68,649  |   |                  |   | -      |                   |   |   | (372                   | )       |   |                      | -        |   |   |   | 68,277 |   |
|   | Commodity      related investment |   |              | 686,320 |   |                  |   | -      |                   |   |   | -                      |    |   |                      | (686,320 | ) |   |   | - |   |
|   | Total                             |   |              | 754,969 |   |                  |   | -      |                   |   |   | (372                   | )  |   |                      | (686,320 | ) |   |   | 68,277 |   |

----

| 6. | Inventories |
|----|-------------|

|   |                |   | As      of December 31, |    |   | As      of December 31, |   |
|--------|---------------------|--------|-------------------------|---------|--------|-------------------------|--------|
|   |                |   | 2007                    |    |   | 2008                    |   |
|   |                |   | RMB                     |    |   | RMB                     |   |
|   | Raw      materials  |   |                    | 51,490  |   |                    |   | 221,817 |   |
|   | Work-in-progress    |   |                    | 27,024  |   |                    |   | 16,749 |   |
|   | Finished      goods |   |                    | 78,820  |   |                    |   | 353,423 |   |
|   | Total               |   |                    | 157,334 |   |                    |   | 591,989 |   |

| 7. | Advances      to suppliers |
|----|----------------------------|

----

|   |                                |   | As      of December 31, |    |   | As      of December 31, |   |
|--------|-------------------------------------|--------|-------------------------|---------|--------|-------------------------|--------|
|   |                                |   | 2007                    |    |   | 2008                    |   |
|   |                                |   | RMB                     |    |   | RMB                     |   |
|   |  Supplier      A (third party) |   |                    | -       |   |                    |   | 952,671 |   |
|   | Supplier      B (third party)       |   |                    | 725,858 |   |                    |   | 640,999 |   |
|   | Supplier      C (related party)     |   |                    | 389,872 |   |                    |   | 431,005 |   |
|   | Supplier      D (third party)       |   |                    | 380,176 |   |                    |   | 244,040 |   |

| 8. | Other      current assets |
|----|---------------------------|

|   |                                          |   | As      of December 31, |   |   | As      of December 31, |   |
|--------|-----------------------------------------------|--------|-------------------------|--------|--------|-------------------------|--------|
|   |                                          |   | 2007                    |   |   | 2008                    |   |
|   |                                          |   | RMB                     |   |   | RMB                     |   |
|   | Input      value-added tax recoverable        |   |                    | -      |   |                    |   | 116,061 |   |
|   | Value-added      tax refund from export sales |   |                    | 40,848 |   |                    |   | 61,471 |   |
|   | Prepaid      expenses                         |   |                    | 980    |   |                    |   | 6,652 |   |
|   | Others                                        |   |                    | 487    |   |                    |   | 6,897 |   |
|   |                                          |   |                    | 42,315 |   |                    |   | 191,081 |   |

| 9. | Property      and equipment, net |
|----|----------------------------------|

|   |                                |   | As      of December 31, |    |   | As      of December 31, |   |
|--------|-------------------------------------|--------|-------------------------|---------|--------|-------------------------|--------|
|   |                                |   | 2007                    |    |   | 2008                    |   |
|   |                                |   | RMB                     |    |   | RMB                     |   |
|   | Buildings                           |   |                    | 127,135 |   |                    |   | 235,106 |   |
|   | Furniture      and fixtures         |   |                    | 9,596   |   |                    |   | 17,339 |   |
|   | Motor      vehicles                 |   |                    | 5,232   |   |                    |   | 7,303 |   |
|   | Machinery      and equipment        |   |                    | 274,669 |   |                    |   | 928,709 |   |
|   | Leasehold      improvements         |   |                    | 12,006  |   |                    |   | 25,694 |   |
|   | Total                               |   |                    | 428,638 |   |                    |   | 1,214,151 |   |
|   | Less:      accumulated depreciation |   |                    | (43,084 | )      |                    |   | (129,931 | ) |
|   | Subtotal                            |   |                    | 385,554 |   |                    |   | 1,084,220 |   |
|   | Construction-in-progress            |   |                    | 146,458 |   |                    |   | 285,587 |   |
|   | Property      and equipment, net    |   | ­532,012           |    |   | ­1,369,807         |   |

----

| 10. | Intangibles      assets, net |
|-----|------------------------------|

|   |                         |   | Gross  |   |   | Accumulated      Amortization |   |   | Net    |   |
|--------|------------------------------|--------|--------|--------|--------|-------------------------------|--------|--------|--------|--------|
|   |                         |   | RMB    |   |   | RMB                           |   |   | RMB    |   |
|   | As      of December 31, 2007 |   |   |   |   |                          |   |   |   |   |
|   | Technical      know-how      |   |   | 9,000  |   |                          |   | (3,000 | )      |   |   | 6,000 |   |
|   | Purchased      software      |   |   | 724    |   |                          |   | (36    | )      |   |   | 688 |   |
|   |                         |   |   | 9,724  |   |                          |   | (3,036 | )      |   |   | 6,688 |   |
|   |                         |   |   |   |   |                          |   |   |   |   |   |   |   |
|   | As      of December 31, 2008 |   |   |   |   |                          |   |   |   |   |   |   |   |
|   | Technical      know-how      |   |   | 9,000  |   |                          |   | (4,125 | )      |   |   | 4,875 |   |
|   | Purchased      software      |   |   | 7,185  |   |                          |   | (255   | )      |   |   | 6,930 |   |
|   |                         |   |   | 16,185 |   |                          |   | (4,380 | )      |   |   | 11,805 |   |

| 11. | Income      taxes |
|-----|-------------------|

----

|   |              |   | For      the year ended |   |   | For      the year ended |   |   | For      the year ended |   |
|--------|-------------------|--------|-------------------------|--------|--------|-------------------------|--------|--------|-------------------------|--------|
|   |              |   | December 31, 2006       |   |   | December 31, 2007       |   |   | December 31, 2008       |   |
|   | Current      Tax  |   |                    | -      |   |                    |   | -      |                    |   |   | (46,859 | ) |
|   | Deferred      Tax |   |                    | -      |   |                    |   | 5,569  |                    |   |   | 22,977 |   |
|   |              |   |                    | -      |   |                    |   | 5,569  |                    |   |   | (23,882 | ) |

|   |                                                                                                                                                                                 |   | As      of December 31, |                       |   | As      of December 31, |   |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------|----------------------------|--------|-------------------------|--------|
|   |                                                                                                                                                                                 |   | 2007                    |                       |   | 2008                    |   |
|   | Deferred      tax assets:                                                                                                                                                            |   | RMB                     |                       |   | RMB                     |   |
|   | Temporary      differences:                                                                                                                                                          |   |                    |                       |   |                    |   |
|   |     Pre-operating      expenses                                                                                                                                  |   |                    | 2,462                      |   |                    |   | 5,508 |   |
|   |     Amortization      of intangible assets                                                                                                                       |   |                    | 98                         |   |                    |   | 300 |   |
|   |     Accrued      warranty cost                                                                                                                                   |   |                    | 232                        |   |                    |   | 1,296 |   |
|   |     Accrued      expenses                                                                                                                                        |   |                    | 1,146                      |   |                    |   | 892 |   |
|   |     Net      loss carried forward                                                                                                                                |   |                    | 406                        |   |                    |   | 3,997 |   |
|   | Depreciation      of property and equipmentInventory      provision and idle capacity chargesImpairment      provision for doubtful debtorsImpairment      provision for prepayments |   |                    | 4,189 - - - |   |                    |   | 11,465 11,218 6,177 2,324 |   |
|   |     Capitalized      interest                                                                                                                                    |   |                    | (836                       | )      |                    |   | (1,214 | ) |
|   | Deferred      tax assets                                                                                                                                                             |   |                    | 7,697                      |   |                    |   | 41,963 |   |
|   | Less:      valuation allowance                                                                                                                                                       |   |                    | (2,128                     | )      |                    |   | (13,417 | ) |
|   | Deferred      tax assets-net                                                                                                                                                         |   |                    | 5,569                      |   |                    |   | 28,546 |   |
|   |                                                                                                                                                                                 |   |                    |                       |   |                    |   |   |   |

----

|   |                                         |   |   |   |   |   |   |
|--------|----------------------------------------------|--------|--------|--------|--------|--------|--------|
|   |   Current                          |   |   | 1,282  |   |   |   | 14,269 |   |
|   |   Non-Current                      |   |   | 5,123  |   |   |   | 15,491 |   |
|   |                                         |   |   | 6,405  |   |   |   | 29,760 |   |
|   | Deferred      tax liability are analyzed as: |   |   |   |   |   |   |   |   |
|   |   Current                          |   |   | 68     |   |   |   | 123 |   |
|   |   Non-Current                      |   |   | 768    |   |   |   | 1,091 |   |
|   |                                         |   |   | 836    |   |   |   | 1,214 |   |
|   |                                         |   |   | 5,569  |   |   |   | 28,546 |   |

|   |                                  |   | For      the year ended |   |   | For      the year ended |   |   | For      the year ended |   |
|--------|---------------------------------------|--------|-------------------------|--------|--------|-------------------------|--------|--------|-------------------------|--------|
|   |                                  |   | December 31, 2006       |   |   | December 31, 2007       |   |   | December 31, 2008       |   |
|   | PRC      enterprise income tax        |   |                    | 33     | %      |                    |   | 33     | %                       |   |   | 25 | % |
|   | Effect      of permanent differences: |   |                    |   |   |                    |   |   |                    |   |   |   |   |
|   | Share      based compensation         |   |                    | 5      | %      |                    |   | 6      | %                       |   |   | 5.6 | % |
|   |                                  |   |                    |   |   |                    |   |   |                    |   |   |   |   |
|   |                                  |   |                    |   |   |                    |   |   |                    |   |   |   |   |
|   | Effect      of tax holiday            |   |                    | (38    | )%     |                    |   | (39    | )%                      |   |   | (31.3 | )% |
|   | Effect      of tax rate change        |   |                    | (1     | )%     |                    |   | (1.5   | )%                      |   |   | 3.5 | % |
|   | Valuation      allowance              |   |                    | 1      | %      |                    |   | 0.4    | %                       |   |   | 1.9 | % |
|   |                                  |   |                    | -      |   |                    |   | (1.1   | )%                      |   |   | 4.7 | % |

|   |                             |   | For      the year ended |   |   | For      the year ended |   |    | For      the year ended |   |
|--------|----------------------------------|--------|-------------------------|--------|--------|-------------------------|--------|---------|-------------------------|--------|
|   |                             |   | December 31, 2006       |   |   | December 31, 2007       |   |    | December 31, 2008       |   |
|   | The      aggregate dollar effect |   |                    | 51,705 |   |                    |   | 193,055 |                    |   |   | 209,844 |   |
|   | Per      share effect-basic      |   |                    | 0.65   |   |                    |   | 1.44    |                    |   |   | 1.34 |   |
|   | Per      share effect-diluted    |   |                    | 0.64   |   |                    |   | 1.41    |                    |   |   | 1.24 |   |

| 12. | Prepayment      for land use rights |
|-----|-------------------------------------|

----

|   |                                                       |   | As      of December 31, |   |   | As      of December 31, |   |
|--------|------------------------------------------------------------|--------|-------------------------|--------|--------|-------------------------|--------|
|   |                                                       |   | 2007                    |   |   | 2008                    |   |
|   |                                                       |   | RMB                     |   |   | RMB                     |   |
|   | Cost                                                       |   |                    | -      |   |                    |   | 45,853 |   |
|   | Less:      accumulated amortization                        |   |                    | -      |   |                    |   | (537 | ) |
|   | Net      book value                                        |   |                    | -      |   |                    |   | 45,316 |   |
|   |                                                       |   |                    |   |   |                    |   |   |   |
|   | Current      portion of prepayment for land use rights     |   |                    | -      |   |                    |   | 917 |   |
|   | (recorded in      other current assets)          |   |                    |   |   |                    |   |   |   |
|   | Non-current      portion of prepayment for land use rights |   |                    | -      |   |                    |   | 44,399 |   |

| 13. | Bank      borrowings |
|-----|----------------------|

|   | Lender                                         |   | Date      of Borrowing   | Due      Date      | Principal      Amount ( in RMB) | Interest      rate | Interest      Payment Periods |
|--------|------------------------------------------------|--------|--------------------------|--------------------|---------------------------------|--------------------|-------------------------------|
|   |                                           |   |                     |               |                            |               |                          |
|   | As      of December 31, 2007                   |   |                     |               |                            |               |                          |
|   | Bank      of China                             |   | January      2007        | January      2008  | 50,000                          | 6.12%              | Quarterly                     |
|   | Agriculture      Bank of China                 |   | November  2007 | November      2008 | 150,000                         | 6.78%              | Monthly                       |
|   |                                           |   |                     |               |                            |               |                          |
|   | Total      bank borrowings                     |   |                     |               | 200,000                         |               |                          |
|   |                                           |   |                     |               |                            |               |                          |
|   | As      of December 31, 2008                   |   |                     |               |                            |               |                          |
|   | Shanghai  Rural      commercial Bank |   | December      2008       | December      2009 | 90,000                          | 5.58%              | Quarterly                     |
|   | Bank      of China                             |   | December      2008       | December      2009 | 150,000                         | 5.58%              | Quarterly                     |
|   | Agriculture      Bank of China                 |   | December      2008       | December      2009 | 100,000                         | 5.31%              | Monthly                       |
|   | Industrial      and Commercial Bank of China   |   | December      2008       | June      2009     | 40,000                          | 5.04%              | Monthly                       |
|   | Industrial      and Commercial Bank of China   |   | December      2008       | June      2009     | 35,000                          | 4.86%              | Monthly                       |
|   | Industrial      and Commercial Bank of China   |   | December      2008       | December      2009 | 75,000                     |  5.31%        | Monthly                  |
|   |                                           |   |                     |               |                            |               |                          |
|   |  Total      bank borrowings               |   |                     |               | 490,000                         |               |                          |

----

| 14. | Senior      Convertible Notes |
|-----|-------------------------------|

----

----

| 15. | Other      payables to third parties |
|-----|--------------------------------------|

|   |                                     |   | As      of December 31, |   |   | As      of December 31, |   |
|--------|------------------------------------------|--------|-------------------------|--------|--------|-------------------------|--------|
|   |                                     |   | 2007                    |   |   | 2008                    |   |
|   |                                     |   | RMB                     |   |   | RMB                     |   |
|   | Purchases      of property and equipment |   |                    | 8,129  |   |                    |   | 127,086 |   |
|   | Professional      service fees           |   |                    | 7,851  |   |                    |   | 1,599 |   |
|   | Miscellaneous      tax payables          |   |                    | 507    |   |                    |   | 1,485 |   |
|   | Others                                   |   |                    | 355    |   |                    |   | 2,624 |   |
|   | Total      other payables                |   |                    | 16,842 |   |                    |   | 132,794 |   |

| 16. | Accrued      expenses |
|-----|-----------------------|

|   |                           |   | As      of December 31, |   |   | As      of December 31, |   |
|--------|--------------------------------|--------|-------------------------|--------|--------|-------------------------|--------|
|   |                           |   | 2007                    |   |   | 2008                    |   |
|   |                           |   | RMB                     |   |   | RMB                     |   |
|   | Outsource      production fee  |   |                    | 7,869  |   |                    |   | 4,824 |   |
|   | Professional      service fees |   |                    | 6,335  |   |                    |   | 13,286 |   |
|   | Interest      expenses         |   |                    | 404    |   |                    |   | 688 |   |
|   | Traveling      expenses        |   |                    | 264    |   |                    |   | 164 |   |
|   | Rental                         |   |                    | 118    |   |                    |   | 673 |   |
|   | Others                         |   |                    | 290    |   |                    |   | 3,131 |   |
|   | Total      accrued expenses    |   |                    | 15,280 |   |                    |   | 22,766 |   |

| 17. | Accrued      warranty cost |
|-----|----------------------------|

|   |                        |   | As      of December 31, |   |   | As      of December 31, |   |
|--------|-----------------------------|--------|-------------------------|--------|--------|-------------------------|--------|
|   |                        |   | 2007                    |   |   | 2008                    |   |
|   |                        |   | RMB                     |   |   | RMB                     |   |
|   | Beginning      balance      |   |                    | -      |   |                    |   | 929 |   |
|   | Warranty      provision     |   |                    | 929    |   |                    |   | 4,256 |   |
|   | Warranty      cost incurred |   |                    | -      |   |                    |   | - |   |
|   | Ending      balance         |   |                    | 929    |   |                    |   | 5,185 |   |

| 18. | Share-based      compensation |
|-----|-------------------------------|

|   | a) | Options |
|--------|----|---------|

----

|   |                                       |   | For      the year ended |       |   | For      the year ended |   |       | For      the year ended |   |
|--------|--------------------------------------------|--------|-------------------------|------------|--------|-------------------------|--------|------------|-------------------------|--------|
|   |                                       |   | December 31, 2006       |       |   | December 31, 2007       |   |       | December 31, 2008       |   |
|   | Average      risk-free rate                |   |                    | 4.77-4.91% |   |                    |   | 4.06-4.58% |                    |   |   | 1.99-3.82% |   |
|   | Weighted      average expected option life |   | 4.34-5.2      years     |       |   | 6.25      years         |   |       | 5.75-6.33      years    |   |
|   | Volatility      rate                       |   |                    | 55-65%     |   |                    |   | 55%        |                    |   |   | 55-75% |   |
|   | Dividend                                   |   |                    | -          |   |                    |   | -          |                    |   |   | - |   |

|               (1) | The      risk-free interest rate is based on the U.S. Treasury yield for a term      consistent with the expected life of the awards      in effect at the time of grant. |
|-----------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|               (2) | The      Company ultilizes the simplified method under the provision of Staff      Accounting Bulletin No. 110, which is an amendment of SAB 107 for      estimating expected term. The expected life of stock options granted under      the Plan is based on the average between the vesting period and the      contractual term for each grant, taking into account assumptions used by      comparable companies. |
|-----------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|               (3) | The      Company has no history or expectation of paying dividends on its ordinary      shares. |
|-----------------------------------------------------------|-------------------------------------------------------------------------------------------------|

----

|               (4) | Because      of the limited stock price history, the Company does not believe that      historical volatility would be representative of the expected volatility      for its equity awards. Accordingly, the Company has chosen to use the      historical volatility and implied volatility of a basket of comparable      publicly-traded companies for a period equal to the expected term      preceding the grant date. |
|-----------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                          |
|                                                      | The      following table summarizes information with respect to share options      outstanding on December 31, 2008:                                                                                                                                                                                                                                                                                                          |

|   |                                  |   | Shares |       |   | Weighted      Average Exercise Price (US$) |   |   | Weighted      Average Remaining Contractual Life |   |   | Intrinsic      Value (US$, in thousands) |   |
|--------|---------------------------------------|--------|--------|------------|--------|--------------------------------------------|--------|--------|--------------------------------------------------|--------|--------|------------------------------------------|--------|
|   | Outstanding      at January 1, 2006   |   |   | -          |   |                                       |   | -      |                                             |   |   | -                                        |   |   |   | - |   |
|   | Granted                               |   |   | 1,728,000  |   |                                       |   | 2.147  |                                             |   |   | -                                        |   |   |   |  - |   |
|   | Outstanding      at December 31, 2006 |   |   | 1,728,000  |   |                                       |   | 2.147  |                                             |   |   | -                                        |   |   |   | - |   |
|   | Granted                               |   |   | 6,909,000  |   |                                       |   | 10.37  |                                             |   |   | -                                        |   |   |   |  - |   |
|   | Forfeited                             |   |   | (172,000   | )      |                                       |   | 3.59   |                                             |   |   | -                                        |   |   |   | - |   |
|   | Exercised                             |   |   | (940,000   | )      |                                       |   | 2.147  |                                             |   |   | -                                        |   |   |   | - |   |
|   | Outstanding      at December 31, 2007 |   |   | 7,525,000  |   |                                       |   | 9.67   |                                             |   |   | 9.48                                     |   |   |   | 102,351 |   |
|   | Granted                               |   |   | 6,132,000  |   |                                       |   | 8.18   |                                             |   |   | -                                        |   |   |   |  - |   |
|   | Forfeited                             |   |   | (3,309,000 | )      |                                       |   | 11.22  |                                             |   |   | -                                        |   |   |   | - |   |
|   | Exercised                             |   |   | (798,000   | )      |                                       |   | 3.39   |                                             |   |   | -                                        |   |   |   | - |   |
|   | Outstanding      at December 31, 2008 |   |   | 9,550,000  |   |                                       |   | 8.7    |                                             |   |   | 9.26                                     |   |   |   | (41,378 | ) |
|   | Exercisable      at December 31, 2008 |   |   | 877,750    |   |                                       |   | 9.33   |                                             |   |   | 8.43                                     |   |   |   | (4,351 | ) |

|   | b) | Restricted      share units (“RSU”) |
|--------|----|-------------------------------------------------|

|   |                                  |   | Shares |    |   | Weighted      Average Grant Date FairValue      (US$) |   |
|--------|---------------------------------------|--------|--------|---------|--------|-------------------------------------------------------|--------|
|   | Outstanding      at December 31, 2006 |   |   | -       |   |                                                  |   | - |   |
|   | Granted                               |   |   | 510,000 |   |                                                  |   | 13.28 |   |
|   | Vested                                |   |   | -       |   |                                                  |   | - |   |
|   | Forfeited                             |   |   | -       |   |                                                  |   | - |   |
|   | Nonvested      at December 31, 2007   |   |   | 510,000 |   |                                                  |   | 13.28 |   |
|   | Granted                               |   |   | -       |   |                                                  |   | - |   |
|   | Vested                                |   |   | 495,000 |   |                                                  |   | 13.31 |   |
|   | Forfeited                             |   |   | -       |   |                                                  |   | - |   |
|   | Nonvested      at December 31, 2008   |   |   | 15,000  |   |                                                  |   | 12.41 |   |

----

| 19. | Mainland      China contribution plan and profitappropriation |
|-----|---------------------------------------------------------------|

|   | a) | China      contribution plan |
|--------|----|------------------------------|

|   | b) | Statutory      reserves |
|--------|----|-------------------------|

|   | c) | Restricted      capital |
|--------|----|-------------------------|

|   |                                                                                                   |   |
|--------|--------------------------------------------------------------------------------------------------------|--------|
|   |  Legal      Entity                                                                                |   | Paid-in      Capitalrestricted |
|   |  JingAo      Solar Co., Ltd (Note 1)                                                              |   |  RMB      1,000,000 |
|   | Shanghai      JA Solar Technology Co., Ltd                                                             |   | US$      7,400 |
|   | Shanghai      JA Solar PV Technology Co., Ltd                                                          |   | US$      20,000 |
|   | JA      Solar Technology Yangzhou Co., Ltd                                                             |   | US$      132,000 |
|   | Jing       Hai  Yang  Semiconductor  Materials  (Donghai)       Co., Ltd |   | US$      20,000 |

| 20. | Net      income/ (loss) per share |
|-----|-----------------------------------|

----

|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | December      31, 2006 |   |   | December      31, 2007 |   |   | December      31, 2008 |   |
|   | Numerator:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |   |   |   |   |   |   |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |
|   | Net      income                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   | 128,414 |   |   |   | 400,368 |   |   |   | 479,066 |   |
|   | Preferred      shares accretion                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   | (1,603 | ) |   |   | (515 | ) |   |   | - |   |
|   | Preferred      shares beneficial conversion charge                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |   | (34,732 | ) |   |   | - |   |   |   | - |   |
|   | Allocation      of net income to participating preference shareholders                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   | (5,683 | ) |   |   | (1,648 | ) |   |   | - |   |
|   | Numerator      for basic earnings per share                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   | 86,396 |   |   |   | 398,205 |   |   |   | 479,066 |   |
|   | Dilutive      effect of:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |  |   |
|   | Series      A preferred shares**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |   | - |   |   |   | - |   |   |   | - |   |
|   | Change      in fair value of embedded derivatives underlying convertible      notes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   | - |   |   |   | - |   |   |   | (785,608 | ) |
|   | Gain      on buyback of convertible notes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   | - |   |   |   | - |   |   |   | (203,514 | ) |
|   | Foreign      exchange gain on convertible notes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   | - |   |   |   | - |   |   |   | (39,115 | ) |
|   | Accretion      of non-cash interest charge on convertible notes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   | - |   |   |   | - |   |   |   | 81,808 |   |
|   | Amortization      of deferred issuance cost in relation to convertible notes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   |   | - |   |   |   | - |   |   |   | 4,900 |   |
|   | Interest      expense of convertible notes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |   | - |   |   |   | - |   |   |   | 72,137 |   |
|   | Numerator      for diluted earnings (loss) per share                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   | 86,396 |   |   |   | 398,205 |   |   |   | (390,326 | ) |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
|   | Denominator:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |
|   | Denominator      for basic earnings per share - weighted average ordinary shares      outstanding*                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |   | 80,000,000 |   |   |   | 134,525,226 |   |   |   | 156,380,060 |   |
|   | Dilutive      effect of Series A preferred shares**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   | - |   |   |   | - |   |   |   | - |   |
|   | Dilutive      effect of share options                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   | 166,178 |   |   |   | 2,196,546 |   |   |   | 1,347,053 |   |
|   | Dilutive      effect of convertible notes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   | - |   |   |   | - |   |   |   | 11,058,130 |   |
|   | Denominator      for diluted earnings per share                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   | 80,166,178 |   |   |   | 136,721,772 |   |   |   | 168,785,243 |   |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
|   | Basic      earnings per share                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |   | 1.08 |   |   |   | 2.96 |   |   |   | 3.06 |   |
|   | Diluted      earnings (loss) per share                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   | 1.08 |   |   |   | 2.93 |   |   |   | (2.31 | ) |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |
|   | Net      income for the period has been allocated to the common share and      preference share based on their respective rights to share in      dividends. *      6,562,760 shares loaned pursuant to the ADS Lending Agreement that were to      be returned to us have been included in the per share calculation on a      weighted average basis due to the uncertainty regarding the recovery of      the borrowed shares (see Note 14).**      These potentially dilutive securities were not include in the calculation      of dilutive earnings per share because of there anti-dilutive      effect. |   |

| 21. | Related      party transactions |
|-----|---------------------------------|

|   | a) | Amounts      due to related parties consisted of the  following: |
|--------|----|-----------------------------------------------------------------------|

|   |                                              |   | As      of December 31, |    |   | As      of December 31, |   |
|--------|---------------------------------------------------|--------|-------------------------|---------|--------|-------------------------|--------|
|   |                                              |   | 2007                    |    |   | 2008                    |   |
|   |                                              |   | RMB                     |    |   | RMB                     |   |
|   | Payables      to optionees                        |   |                    | 112,397 |   |                    |   | - |   |
|   | Payables      to Ningjin Sun New Energy Co., Ltd. |   |                    | -       |   |                    |   | 6,000 |   |
|   | Others                                            |   |                    | 1,493   |   |                    |   | 3,407 |   |
|   | Total      amounts due to related parties         |   |                    | 113,890 |   |                    |   | 9,407 |   |

|   | b) | Amounts      due from related parties consisted of the  following: |
|--------|----|-------------------------------------------------------------------------|

|                                                   |   | As      of December 31, |    |   | As      of December 31, |   |
|--------------------------------------------------------|--------|-------------------------|---------|--------|-------------------------|--------|
|                                                   |   | 2007                    |    |   | 2008                    |   |
|                                                   |   | RMB                     |    |   | RMB                     |   |
| Receivables      from Ningjin Sun New Energy Co., Ltd. |   |                    | 24,731  |   |                    |   | 23,009 |   |
| Advances      to the Jinglong Group-short term         |   |                    | 389,872 |   |                    |   | 415,950 |   |
| Advances      to the Jinglong Group-long term          |   |                    | -       |   |                    |   | 15,055 |   |
| Total      amounts due from related parties            |   |                    | 414,603 |   |                    |   | 454,014 |   |

----

|   | c) | Transactions      with the Jinglong Group |
|--------|----|-------------------------------------------|

|   | · | A      right to purchase silicon wafers from the Jinglong Group on a long-term      basis and the Jinglong Group will take all necessary actions to meet the      Group's silicon wafer requirements, including securing sufficient raw      materials for wafer production. The Group, however, is not committed to      any minimum purchase requirements; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Silicon      wafers purchased from the Jinglong Group shall be at the market price that      the Group may obtain from third-party suppliers for similar products, with      a reasonable commercial discount based on the Group's long-term demand and      the payment arrangement; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | At      the Group's request, the Jinglong Group shall use its best efforts in      securing additional procurement of silicon wafers, including outsourcing      the production to other silicon waferproducers; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | The      Group is required to provide the Jinglong Group a monthly deposit equal to      30% of the next month's forecasted purchases of the Group;    and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | The      contract will be effective until December 31, 2010 and will be      automatically renewed for three additional years upon      expiration. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | d) | Transactions      with other related parties |
|--------|----|----------------------------------------------|

----

| 22. | Contingencies and      Commitments |
|-----|------------------------------------|

----

|                                                                                                                                                                                                                                                                                                        | “Take      or pay” supply agreements | Other      Multi-year supply agreements* | Total         |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------|------------------------------------------|---------------|
| Twelve      Months Ending December 31                                                                                                                                                                                                                                                                       | (in      RMB)                                    | (in      RMB)                            | (in      RMB) |
| 2009                                                                                                                                                                                                                                                                                                        | 6,191,780                                        | 18,352                                   | 6,210,132     |
| 2010                                                                                                                                                                                                                                                                                                        | 13,504,766                                       | -                                        | 13,504,766    |
| 2011                                                                                                                                                                                                                                                                                                        | 12,790,049                                       | 18,352                                   | 12,808,401    |
| 2012                                                                                                                                                                                                                                                                                                        | 10,642,572                                       | 36,704                                   | 10,679,276    |
| 2013                                                                                                                                                                                                                                                                                                        | 9,518,317                                        | 36,704                                   | 9,555,021     |
| Thereafter                                                                                                                                                                                                                                                                                                  | 14,814,776                                       | 146,817                                  | 14,961,593    |
| Total                                                                                                                                                                                                                                                                                                       | 67,462,260                                       | 256,929                                  | 67,719,189    |
|                                                                                                                                                                                                                                                                                                        |                                             |                                     |          |
| *      include only purchase commitments with fixed or minimum price      provisions.  In addition, the Company has also entered into other      supply agreements with variable price provisions, under which the purchase      price is based on market prices with price adjustment    terms.  |

----

|   | c) | Operating      lease commitments |
|--------|----|----------------------------------|

|   |       |   |          |   |
|--------|------------|--------|---------------|--------|
|   |       |   | (in      RMB) |   |
|   | 2009       |   |          | 17,112 |   |
|   | 2010       |   |          | 16,982 |   |
|   | 2011       |   |          | 16,620 |   |
|   | 2012       |   |          | 10,620 |   |
|   | 2013       |   |          | -      |   |
|   | Thereafter |   |          | -      |   |
|   | Total      |   |          | 61,334 |   |
|   |       |   |          |   |   |

----

| 24. | Fair value      measurements |
|-----|------------------------------|

| • | Level      1—Valuations based on quoted prices in active markets for identical assets      or liabilities that we have the ability to  access. |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------|

| •       | Level      2— Valuations based on quoted prices in markets that are not active or for      which all significant inputs are observable, directly or      indirectly. |
|---------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|          |                                                                                                                                                                       |
|  • | Level      3—Valuations based on inputs that are unobservable and significant to the      overall fair valuemeasurement.                                             |

----

|   |                                                                     |   | Fair      Value Measurements at Reporting Date Using |     |
|--------|--------------------------------------------------------------------------|--------|------------------------------------------------------|----------|
|   | Description                                                              |   | Balance      as of31      December 2008              |     |   | Quoted      Prices in Active Markets for Identical Assets (Level 1) |   |   | Significant      Other Observable Inputs (Level      2) |   |   | Significant      Unobservable Inputs(Level      3) |   |
|   | Assets:                                                                  |   |                                                 |     |   |   |   |   |   |   |   |   |   |
|   | Cash      equivalents                                               |   |                                                 | 71,823   |   |   |   |  71,823 |   |   |   |  - |   |   |   |  - |   |
|   | Capped      call options                                                 |   |                                                 | 4,485    |   |   |   |  - |   |   |   | 4,485 |   |   |   |  - |   |
|   | Short      term investments                                              |   |                                                 | 421,865  |   |   |   | - |   |   |   | 421,865 |   |   |   | - |   |
|   |                                                                     |   |                                                 |     |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   | Liabilities:                                                             |   |                                                 |     |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   |        Embedded derivatives       underlying convertible notes |   |                                                 | (115,676 | )  |   |   | - |   |   |   | - |   |   |   | (115,676 | )  |

----

|   | At      issuance of convertible notes                               |   |   | 929,539  |    |
|--------|---------------------------------------------------------------------|--------|--------|----------|---------|
|   | Realized      gains included in Change in fair value of derivatives |   |   | (785,608 | )       |
|   | Embedded      derivatives underlying convertible notes repurchased  |   |   | (28,255  | )  |
|   | Balance      at December 31, 2008                                   |   |   | 115,676  |    |

|                                                   |   | For      the year ended |   |   | For      the year ended |   |   | For      the year ended |   |
|--------------------------------------------------------|--------|-------------------------|--------|--------|-------------------------|--------|--------|-------------------------|--------|
|                                                   |   | December 31,      2006  |   |   | December 31,      2007  |   |   | December 31,      2008  |   |
| Embedded      derivatives underlying convertible notes |   |                    | -      |   |                    |   | -      |                    |   |   | 785,608 |   |
| Capped      call options (see note 13)                 |   |                    | -      |   |                    |   | -      |                    |   |   | (221,602 | )  |
|                                                   |   |                    | -      |   |                    |   | -      |                    |   |   | 564,006 |   |
|                                                   |   |                    |   |   |                    |   |   |                    |   |   |   |   |

| 25. | Segment      information |
|-----|--------------------------|

|   |                           |   |
|--------|--------------------------------|--------|
|   |                           |   |
|   |                           |   | Year      Ended December 31, |   |
|   |                           |   | 2006 |   |   | 2007 |   |   | 2008 |   |
|   |                           |   | RMB |   |   | RMB |   |   | RMB |   |
|   | China                          |   |   | 685,338 |   |   |   | 2,310,472 |   |   |   | 4,162,037 |   |
|   | Outside      China             |   |   |   |   |   |   |   |   |   |   |   |   |
|   | Spain                          |   |   | 1,457 |   |   |   | 154,812 |   |   |   | 613,483 |   |
|   | Rest      of World        |   |   |  9,663 |   |   |   | 228,416 |   |   |   | 682,790 |   |
|   | Total      outside China  |   |   | 11,120 |   |   |   | 383,228 |   |   |   |  1,296,273 |   |
|   | Total      net revenue         |   |   | 696,458 |   |   |   | 2,693,700 |   |   |   | 5,458,310 |   |
|   |                           |   |

| 26. | Certain risks and      uncertainties |
|-----|--------------------------------------|

| Major      customers                    |   | Year      ended December 31, 2006 |   |   | Year      ended December 31, 2007 |   |   | Year      ended December 31, 2008 |   |
|-----------------------------------------|--------|-----------------------------------|--------|--------|-----------------------------------|--------|--------|-----------------------------------|--------|
| Customer      A (third party)           |   |                              | 6.8%   |   |                              |   | 18.9%  |                              |   |   | - |   |
| Customer      B (former related party)* |   |                              | 19.6%  |   |                              |   | 11.0%  |                              |   |   | 9.2% |   |
| Customer      C (former related party)* |   |                              | 13.5%  |   |                              |   | -      |                              |   |   | - |   |
| Customer      D (third party)           |   |                              | 0.6%   |   |                              |   | 10.9%  |                              |   |   | 13.4% |   |
| Customer      E (third party)           |   |                              | 7.1%   |   |                              |   | 11.2%  |                              |   |   | 9.0% |   |

----

| 27. | Ordinary      shares |
|-----|----------------------|

|   | The      holders of ordinary shares in the Company are entitled to one vote per      share and to receive ratably such dividends, if any, as may be declared by      the board of directors of the Company. In the event of liquidation, the      holders of ordinary shares are entitled to share ratably in all assets      remaining after payment of liabilities. The ordinary shares have no      preemptive, conversion, or other subscription  rights. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 28. | Subsequent      events |
|-----|------------------------|

|   | Other      that the transactions occurring in 2009 already described above, the      following events have taken place in2009: |
|--------|--------------------------------------------------------------------------------------------------------------------------------|

----

| 29. | Restricted net      assets |
|------------|----------------------------|

|                                             |   | For the period from inception (July 6,      2006) to |         |    | For the year      ended |   |       | For the year      ended |   |
|--------------------------------------------------|--------|------------------------------------------------------|--------------|---------|-------------------------|--------|------------|-------------------------|--------|
|                                             |   | December 31,      2006                               |         |    | December 31,      2007  |   |       | December 31,      2008  |   |
|                                             |   | RMB                                                  |         |    | RMB                     |   |       | RMB                     |   |
|                                             |   |                                                 |         |    |                    |   |       |                    |   |
| Netrevenues                                      |   |                                                 | -            |    |                    |   | -          |                    |   |   | - |   |
| Total operating      expenses                    |   |                                                 | (2,377       | )       |                    |   | (30,929    | )                       |   |   | (35,315 | ) |
| Loss from    operations                          |   |                                                 | (2,377       | )       |                    |   | (30,929    | )                       |   |   | (35,315 | ) |
| Interest      expense                            |   |                                                 |  -      |    |                    |   |  -    |                    |   |   | (162,090 | ) |
| Interest    income                               |   |                                                 |  -      |    |                    |   | 52,972     |                    |   |   | 31,510 |   |
| Change in fair value of      derivatives         |   |                                                 |  -      |    |                    |   |  -    |                    |   |   | 564,006 |   |
| Share of income from      subsidiaries           |   |                                                 | 104,790      |    |                    |   | 510,976    |                    |   |   | 767,682 |   |
| Convertible notes buyback      gain         |   |                                                 |  -      |    |                    |   |  -    |                    |   |   | 203,514 |   |
| Other income /      (expenses)                   |   |                                                 | 2,113        |    |                    |   | (132,651   | )                       |   |   | (203,921 | ) |
| Impairment on available-for-sale      securities |   |                                                 |  -      |    |                    |   |  -    |                    |   |   | (686,320 | ) |
|  Income before income      taxes            |   |                                                 | 104,526      |    |                    |   | 400,368    |                    |   |   | 479,066 |   |
| Income tax benefit/      (expense)               |   |                                                 | -            |    |                    |   | -          |                    |   |   | - |   |
|  Net income                                 |   |                                                 | 104,526      |    |                    |   | 400,368    |                    |   |   | 479,066 |   |
| Preferred shares      accretion                  |   |                                                 | (1,603  | )  |                    |   | (515  | )                  |   |   | - |   |

----

| Preferred shares beneficial      conversion charge                    |   |   | (34,732 | )      |   |   | -       |   |   |   | -       |   |
|-----------------------------------------------------------------------|--------|--------|---------|--------|--------|--------|---------|--------|--------|--------|---------|--------|
| Allocation of net income to      participating preferred shareholders |   |   | (5,683  | )      |   |   | (1,648  | )      |   |   | -       |   |
| Net income available to ordinary      shareholders                    |   |   | 62,508  |   |   |   | 398,205 |   |   |   | 479,066 |   |
|                                                                  |   |   |    |   |   |   |    |   |   |   |    |   |

----

|                                                                                                                                                                                    |   |   | December31, |      |   | December31, |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------|-----------|--------|-------------|--------|
|                                                                                                                                                                                    |   |   | 2007        |      |   | 2008        |   |
|                                                                                                                                                                                    |   |   | RMB         |      |   | RMB         |   |
| ASSETS                                                                                                                                                                                  |   |   |        |      |   |        |   |
| Current    assets:                                                                                                                                                                      |   |   |        |      |   |        |   |
| Cash and cash      equivalents                                                                                                                                                          |   |   |        | 357,126   |   |        |   | 112,949 |   |
| Restricted      cash                                                                                                                                                               |   |   |        | 409,058   |   |        |   |  - |   |
| Short term      investments                                                                                                                                                             |   |   |        | 803,121   |   |        |   | 353,588 |   |
| Other      receivable from subsidiaries                                                                                                                                                 |   |   |        | 292,742   |   |        |   | 273,942 |   |
| Other current      assets                                                                                                                                                               |   |   |        | 233       |   |        |   | 1,457 |   |
| Total current      assets                                                                                                                                                               |   |   |        | 1,862,280 |   |        |   | 741,936 |   |
| Investments in      subsidiaries                                                                                                                                                        |   |   |        | 904,820   |   |        |   | 2,459,800 |   |
| Derivative asset-capped call      options                                                                                                                                               |   |   |        | -         |   |        |   | 4,485 |   |
| Deferred issuance      cost                                                                                                                                                             |   |   |        | -         |   |        |   | 58,953 |   |
| Amount due from    subsidiaries                                                                                                                                                         |   |   |        | 1,502,191 |   |        |   | 3,172,279 |   |
| Totalassets                                                                                                                                                                             |   |   |        | 4,269,291 |   |        |   | 6,437,453 |   |
| LIABILITIES AND SHAREHOLDERS'      EQUITY                                                                                                                                               |   |   |        |      |   |        |   |   |
| Current      liabilities:                                                                                                                                                               |   |   |        |      |   |        |   |   |   |
| Other      Payables to subsidiaries and employees                                                                                                                                       |   |   |        | 118,683   |   |        |   | 6,590 |   |
| Accrued and other      liabilities                                                                                                                                                      |   |   |        | 14,111    |   |        |   | 14,230 |   |
| Interest      payable                                                                                                                                                                   |   |   |        | -         |   |        |   | 13,458 |   |
| Total current      liabilities                                                                                                                                                          |   |   |        | 132,794   |   |        |   | 34,278 |   |
| Convertible      notes                                                                                                                                                                  |   |   |        | -         |   |        |   | 1,532,600 |   |
| Embedded      derivatives                                                                                                                                                               |   |   |        | -         |   |        |   | 115,676 |   |
| Total      liabilities                                                                                                                                                                  |   |   |        | 132,794   |   |        |   | 1,682,554 |   |
|                                                                                                                                                                                    |   |   |        |      |   |        |   |   |   |
| Commitments      and contingencies                                                                                                                                                 |   |   |        |  -   |   |        |   |  - |   |
|                                                                                                                                                                                    |   |   |        |      |   |        |   |   |   |
| Shareholders'      equity:                                                                                                                                                              |   |   |        |      |   |        |   |   |   |
| Ordinary shares (US$0.0001 par      value; 493,480,000 shares authorized, 154,058,500 and 167,982,020 shares issued and outstanding as      of December 31, 2007 and December 31, 2008) |   |   |        | 123       |   |        |   | 133 |   |
| Additional paid-in      capital                                                                                                                                                         |   |   |        | 3,655,194 |   |        |   | 3,787,262 |   |
| Retained      earnings                                                                                                                                                                  |   |   |        | 488,821   |   |        |   | 967,887 |   |
| Accumulated other comprehensive      income                                                                                                                                             |   |   |        | (7,641    | )      |        |   | (383 | ) |
| Total shareholders'      equity                                                                                                                                                         |   |   |        | 4,136,497 |   |        |   | 4,754,899 |   |
| Total liabilities and      shareholders' equity                                                                                                                                         |   |   |        | 4,269,291 |   |        |   | 6,437,453 |   |

----

|                                                                                            |   | For the year ended December 31,      2006 |     |   | For the year ended December 31,      2007 |   |     | For the year ended December 31,      2008 |   |
|-------------------------------------------------------------------------------------------------|--------|-------------------------------------------|----------|--------|-------------------------------------------|--------|----------|-------------------------------------------|--------|
|                                                                                            |   | RMB                                       |     |   | RMB                                       |   |     | RMB                                       |   |
|                                                                                            |   |                                      |     |   |                                      |   |     |                                      |   |
| Cash flows from operating      activities:                                                      |   |                                      |     |   |                                      |   |     |                                      |   |
|  Net income                                                                                |   |                                      | 104,526  |   |                                      |   | 400,368  |                                      |   |   | 479,066 |   |
| Adjustments to reconcile net      income to net cash used in operating activities:              |   |                                      |     |   |                                      |   |     |                                      |   |   |   |   |
| Share based compensation      expense                                                           |   |                                      | -        |   |                                      |   | 5,956    |                                      |   |   | 8,301 |   |
| Share of income from      subsidiaries                                                          |   |                                      | (104,790 | )      |                                      |   | (510,976 | )                                         |   |   | (767,682 | ) |
| Amortization of deferred issuance      cost and increase in accretion of convertible      notes |   |                                      | -        |   |                                      |   | -        |                                      |   |   | 88,389 |   |
| Change in the value of embedded      derivatives & capped call option                       |   |                                      | -        |   |                                      |   | -        |                                      |   |   | (564,006 | ) |
| Exchange (gain)/      loss                                                                      |   |                                      | (2,113   | )      |                                      |   | 90,672   |                                      |   |   | 25,889 |   |
| Gain from senior      convertible notes buyback                                            |   |                                      | -        |   |                                      |   | -        |                                      |   |   | (203,514 | ) |
| Impairment on available-for-sale      securities                                                |   |                                      | -        |   |                                      |   | -        |                                      |   |   | 686,320 |   |
| Investment loss from      available-for-sale security                                           |   |                                      | -        |   |                                      |   | -        |                                      |   |   | 39,893 |   |
| Changes in operating assets and      liabilities:                                               |   |                                      |     |   |                                      |   |     |                                      |   |   |   |   |
| Acquisition of trading      securities                                                          |   |                                      |  -  |   |                                      |   |  -  |                                      |   |   | (353,588 | )  |
| Increase in receivables from      subsidiaries                                                  |   |                                      | -        |   |                                      |   | (292,742 | )                                         |   |   | 18,800 |   |
| Increase in other current      assets                                                           |   |                                      |  -  |   |                                      |   | (233     | )                                         |   |   | (1,224 | ) |
| Increase in payables to subsidiaries and    employees                                           |   |                                      | 34       |   |                                      |   | 4,975    |                                      |   |   | (112,093 | ) |
| Increase in accrued and other      liabilities                                                  |   |                                      | 2,343    |   |                                      |   | 2,852    |                                      |   |   | 120 |   |
| Increase in interest      payable                                                               |   |                                      | -        |   |                                      |   | -        |                                      |   |   | 13,458 |   |
| Net cash used in operating      activities                                                      |   |                                      | -        |   |                                      |   | (299,128 | )                                         |   |   | (641,871 | ) |

|  Cash      flows from investing activities:                  |   |   |   |   |   |       |       |   |   |
|-------------------------------------------------------------------|--------|--------|--------|--------|--------|------------|------------|--------|--------|
| Loans      granted to subsidiaries                                |   | -      |   |   |   | (1,502,191 | )          |   |   | (1,670,089 | ) |
| Capital      injection to subsidiaries                            |   | -      |   |   |   | -          |       |   |   | (682,790 | ) |
| Acquisition      of short term investments                        |   |   | -      |   |   |       | (810,762   | )      |   |   | (1,060,836 | ) |
| Proceeds      from sale of short term investments                 |   |   | -      |   |   |       | -          |   |   |   | 1,145,385 |   |
| (Increase)/decrease      in restricted cash                       |   |   | -      |   |   |       | (409,058   | )      |   |   | 409,058 |   |
| Net      cash used in investing activities                        |   |   | -      |   |   |       | (2,722,011 | )      |   |   | (1,859,272 | ) |
|  Cash      flows from financing activities:                  |   |   |   |   |   |       |       |   |   |   |   |   |
| Proceeds      from public offerings of shares                     |   |   | -      |   |   |       | 3,341,002  |   |   |   | - |   |
| Net      proceeds from convertible notes offerings                |   |   | -      |   |   |       | -          |   |   |   | 2,709,538 |   |
| Payment      of capped call up-front premiums                     |   |   | -      |   |   |       | -          |   |   |   | (226,087 | ) |
| Repurchase      of senior convertible notes                       |   |   | -      |   |   |       | -          |   |   |   | (182,019 | ) |
| Proceeds      from exercise of stock options                      |   |   | -      |   |   |       | 128,583    |   |   |   | 18,876 |   |
| Net      cash provided by financing activities                    |   |   | -      |   |   |       | 3,469,585  |   |   |   | 2,320,308 |   |
| Effect      of exchange rate changes on cash and cash equivalents |   |   | -      |   |   |       | (91,320    | )      |   |   | (63,342 | ) |
| Net      increase / (decrease) in cash and cash equivalents       |   |   | -      |   |   |       | 357,126    |   |   |   | (244,177 | )  |
| Cash      and cash equivalents at the beginning of the period     |   |   | -      |   |   |       | -          |   |   |   | 357,126 |   |
| Cash      and cash equivalents at the end of the period           |   |   | -      |   |   |       | 357,126    |   |   |   | 112,949 |   |

----