Document:

Warrant Purchase Agreement among the Sunergy BVI, Nanjing PV and other parties

 Exhibit 4.10 
 EXECUTION COPY 
 WARRANT PURCHASE AGREEMENT 
 THIS WARRANT PURCHASE AGREEMENT (the “Agreement”) is made and entered into as of March 8, 2006 by and among China Sunergy Co.,
Ltd., a BVI business company organized under the laws of the British Virgin Islands (the “Company”), PraxCapital Fund II, L.P., a limited partnership organized under the laws of the Cayman Islands (the “Investor”),
CEEG (Nanjing) PV-Tech Co., Ltd., a Sino-foreign joint venture established under the laws of the PRC (the “Operating Company”), and the persons listed on Exhibit A hereto (the “Purchasers” and each, a
“Purchaser”). 
 RECITALS: 
 A. The Company is a BVI business company established under the laws of the British Virgin Islands on January 27, 2006; 
 B. The Operating Company is a Sino-foreign joint venture established on August 2, 2004 under the laws of the PRC with its principal place of business at the Science & Technology Business Starting Center,
Jiangning Development Zone, Nanjing, Jiangsu, People’s Republic of China; Nanjing Xinde Asset Management Co., Ltd. (“Xinde”), Messrs. Zhao Jianhua and Zhang Fengming, and Ms. Wang Aihua hold, respectively, 56%, 15%, 24%
and 5% of the equity interest of the Operating Company. 
 C. The Company and the Operating Company are parties to a Loan Agreement dated as
of even date substantially in the form attached hereto as Exhibit G (the “Loan Agreement”) and an Asset Mortgage Agreement dated as of even date substantially in the form attached hereto as Exhibit H (the
“Mortgage Agreement”); 
 D. The Company, the Operating Company, certain Purchasers and Xinde are parties to an Equity
Transfer Agreement dated as of even date substantially in the form attached hereto as Exhibit I (the “Equity Transfer Agreement”) and an Equity Pledge Agreement dated as of even date substantially in the form attached hereto
as Exhibit J (the “Pledge Agreement”); 
 E. The Company and certain individual Purchasers are parties to a Founder
Note Purchase Agreement dated as of even date substantially in the form attached hereto as Exhibit K (the “Founder Note Purchase Agreement”); 
 F. The Company desires to issue and sell to the Purchasers and the Purchasers desire to purchase from the Company warrants to purchase the respective numbers of ordinary shares, par value US$0.01 per share, of the
Company (the “Ordinary Shares”) as set forth opposite their names on Exhibit A hereto, subject to the terms and conditions set forth in this Agreement; 
 G. The Investor desires to contribute into the Company capital in the aggregate amount of US$13,110,400 to fund the loan to the Operating Company under
the Loan Agreement in the amount of US$10,000,000 and the loans to the individual Purchasers under the Founder Note Purchase Agreement in the aggregate amount of US$3,110,400, subject to the terms and conditions set forth in this Agreement;

 H. The Operating Company is engaged in the business of the research and development and manufacturing of
crystallized silicone solar cells and related products, provision of related services and distribution of self-manufactured products. (the “Principal Business”). 
 AGREEMENT 
 NOW, THEREFORE, in consideration of the foregoing recitals, the
mutual promises hereinafter set forth, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows: 
  

	1.	AGREEMENT TO PURCHASE AND ISSUE WARRANTS 

 1.1.
Authorization. As of the Closing (as defined below), the Company will have authorized the issuance of the Warrants (as defined below) and up to 1,045,440 Ordinary Shares to be issued upon the exercise of the Warrants (as defined below) by the
Purchasers. 
 1.2. Agreement to Purchase and Issue Warrants. Subject to the terms and conditions hereof and in consideration of the
representations, warranties, covenants and undertakings of the Purchasers hereunder, the Company hereby agrees to issue at no additional cost to each Purchaser warrants to purchase such number of Ordinary Shares as set forth opposite the name of
such Purchaser in Exhibit A hereto, at an aggregate exercise price of US$10,454.40, or the exercise price of US$0.01 per share (the “Exercise Price”), which warrants shall be substantially in the form attached hereto as
Exhibit B (collectively, the “Warrants” and, each, a “Warrant”). 
  

	2.	CLOSING; DELIVERY 

 2.1. Closing. Subject to
the fulfillment of waiver of the conditions to closing as set forth in Sections 7 and 8 (collectively, the “Closing Conditions”), the issuance of the Warrants as provided in Section 1.2 above shall be held at the offices of
Hogan & Hartson LLP in Shanghai, China, at 10:00 a.m. (Beijing time) upon the completion (or waiver by the relevant parties) of all Closing Conditions, or at such other time and place as Company and the Purchasers may mutually agree upon
(the “Closing”). 
 2.2. Deliveries by Purchasers. Each Purchaser shall either (i) deliver to the Company a
check or wire transfer funds in the amount of such Purchaser’s Purchase Price as set forth opposite the name of such Purchaser in Exhibit A hereto, or (ii) have cancelled the indebtedness on the equity purchase price, in its
entirety, that was owed by the Company to the Purchaser under the Equity Transfer Agreement. 
 2.3. Deliveries by Company and the
Investors. At the Closing, the Company and the Investor shall deliver to each of the Purchasers, in addition to any items the delivery of which is made an express Closing Condition pursuant to Section 7, a Warrant to purchase that number of
Ordinary Shares in accordance with Section 1.2 above. 
  

	3.	REPRESENTATIONS AND WARRANTIES OF THE COMPANY 

 Each of the Company and the Investor, jointly and severally, hereby represents and warrants to the Purchasers, as of the date hereof and the Closing hereunder, as follows: 
  

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 3.1. Organization, Standing and Qualification. The Company is duly organized, validly existing and
in good standing (or equivalent status in the relevant jurisdiction) under, and by virtue of, the laws of the British Virgin Islands and has all requisite power and authority to own its properties and assets and to carry on its business as now
conducted, and to perform each of its obligations hereunder and under any agreement contemplated hereunder to which it is a party. 
 3.2.
Capitalization. Immediately prior to the Closing, the authorized share capital of the Company shall consist of the following: 
 (a)
Ordinary Shares. A total of 4,871,527 authorized Ordinary Shares, none of which are issued and outstanding. 
 (b) Preferred
Shares. A total of 128,473 authorized preferred shares, par value US$0.01 per share, all of which are designated as Series A preferred shares (the “Series A Shares”). Immediately prior to the Closing, 128,473 Series A Shares
shall have been issued and outstanding, all of which shall have been held of record by the Investor. The rights and preferences of the Series A Shares are set forth in the Amended and Restated Memorandum and Articles of Association of the Company
attached hereto as Exhibit C, which shall have been adopted and filed with the British Virgin Islands Registrar of Companies and remain the constitutional documents of the Company in effect as of the Closing (the “Restated
Articles”). 
 (c) Options, Warrants, Reserved Shares. Except for (i) the conversion privileges of the Series A Shares,
and (ii) the Warrants, there are no options, warrants, conversion privileges or other rights, or agreements with respect to the issuance thereof, presently outstanding to purchase any of the shares of the Company. Except for those provided in
the Shareholders Agreement substantially in the form attached hereto as Exhibit D (the “Shareholders Agreement”), no shares of the Company’s outstanding share capital, or shares issuable upon exercise or exchange of any
outstanding options or other shares issuable by the Company, are subject to any preemptive rights, rights of first refusal or other rights to purchase such shares (whether in favor of the Company or any other person). 
 3.3. Subsidiaries. Except for the wholly owned subsidiary of the Company (the “PRC Subsidiary”) to be established pursuant to the
conversion of the Operating Company under the Equity Transfer Agreement, the Company does not presently own or control, directly or indirectly, any interest in any other corporation, partnership, trust, joint venture, association, or other entity.

 3.4. Authorization. All corporate action on the part of the Company, its officers, directors and equity interest holders necessary
for the authorization, execution and delivery of, and the performance of all obligations of the Company under, this Agreement, the Shareholders Agreement (as defined below), the Loan Agreement, the Equity Transfer Agreement, the Mortgage Agreement
and any other agreements to which it is a party and the execution of which is contemplated hereunder (collectively, the “Ancillary Agreements”) will have been obtained prior to the Closing. Each of this Agreement and the Ancillary
Agreements is a valid and binding obligation of the Company enforceable in accordance with its terms, subject, as to enforcement of remedies, to applicable bankruptcy, insolvency, moratorium, reorganization and similar laws affecting creditors’
rights generally and to general equitable principles. 
  

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 3.5. Approvals; Consents. All consents, permits, approvals, orders, authorizations or
registrations, qualifications, designations, declarations or filings by or with any governmental authority and any third party which are required to be obtained or made by the Company in connection with the consummation of the transactions
contemplated hereunder shall have been obtained or made prior to the Closing. 
 3.6. Valid Issuance. The Warrants and the Ordinary
Shares issuable upon exercise of the Warrants, when issued in accordance with the terms of this Agreement or the Warrants, will be duly and validly issued, fully paid and nonassessable. 
  

	4.	REPRESENTATIONS AND WARRANTIES OF THE PURCHASERS AND THE OPERATING COMPANY 

 The Operating Company and each of the Purchasers, jointly and severally, hereby represent and warrant to the Company and the Investor, except as set forth in the Disclosure Schedule (the “Disclosure
Schedule”) attached to this Agreement as Exhibit E (which Disclosure Schedule shall be deemed to be representations and warranties of the Operating Company and the Purchasers hereunder), as of the date hereof and as of the Closing,
as follows (any reference to a party’s “knowledge” means the actual knowledge after due and diligent inquiries of Lu Tingxiu, Yin Guangyou, Zhao Jianhua, Wang Aihua, Guo Shiliang and Zhu Zhiping): 
 4.1. Organization, Standing and Qualification. The Operating Company is duly organized, validly existing and in good standing (or equivalent
status in the relevant jurisdiction) under, and by virtue of, the laws of the PRC and has all requisite power and authority to own its properties and assets and to carry on its business as now conducted, and to perform each of its obligations
hereunder and under any agreement contemplated hereunder to which it is a party. The Operating Company is qualified to do business and is in good standing (or equivalent status in the relevant jurisdiction) in each jurisdiction where failure to be
so qualified would have a material adverse effect on its condition (financial or otherwise), assets and properties, results of operation or business (as presently conducted), other than any effects resulting from general economic conditions or
conditions that generally affect the industry of the Operating Company (a “Material Adverse Effect”). 
 4.2.
Capitalization. Immediately prior to the Closing, the registered capital of the Operating Company is US$10,800,000, which had been paid up in full. There are no options, warrants, conversion privileges or other rights, or agreements with
respect to the issuance thereof, presently outstanding to purchase any of the equity interests of the Operating Company. No outstanding equity interests of the Operating Company are subject to any preemptive rights, rights of first refusal or other
rights to purchase such equity interests (whether in favor of the Operating Company or any other person). A complete and current list of all outstanding equity holders of the Operating Company as of the date hereof is set forth in
Section 4.2 of the Disclosure Schedule, indicating the amount of equity interest held by each such equity interest holder. 
 4.3. Subsidiaries. Except as disclosed in Section 4.3 of the Disclosure Schedule, the Operating Company does not have any subsidiaries, does not own or control, directly or indirectly, any interest in any other
corporation, partnership, trust, joint venture, association or other entity and does not maintain any offices or branches. 
 4.4. Due
Authorization. All corporate action on the part of the Operating Company, its officers, directors and equity interest holders necessary for the authorization, execution and delivery of, and the performance of all obligations of the Operating
Company under, this Agreement and the Ancillary Agreements will have been obtained prior to the Closing. Each of this Agreement and the Ancillary Agreements is a valid and binding obligation of the Operating Company enforceable in accordance with
its terms, subject, as to enforcement of remedies, to applicable bankruptcy, insolvency, moratorium, reorganization and similar laws affecting creditors’ rights generally and to general equitable principles. 
  

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 4.5. Due Authorization by Xinde. All corporate action on the part of Xinde, its officers,
directors and equity interest holders necessary for the authorization, execution and delivery of, and the performance of all obligations of Xinde under, this Agreement and the Ancillary Agreements will have been obtained prior to the Closing. Each
of this Agreement and the Ancillary Agreements is a valid and binding obligation of Xinde enforceable in accordance with its terms, subject, as to enforcement of remedies, to applicable bankruptcy, insolvency, moratorium, reorganization and similar
laws affecting creditors’ rights generally and to general equitable principles. 
 4.6. Liabilities. Except as disclosed in the
Financial Statements (as defined below) and except as set forth in Section 4.6 of the Disclosure Schedule, the Operating Company does not have any indebtedness for borrowed money that it has directly or indirectly created, incurred,
assumed, or guaranteed, or with respect to which the Operating Company has otherwise become directly or indirectly liable other than (i) trade or business liabilities incurred in the ordinary course of business and (ii) other liabilities
that do not exceed US$100,000 in the aggregate. 
 4.7. Title to Properties and Assets. The Operating Company has good and marketable
title to its properties and assets (“Assets”) as reflected in its balance sheet subject to no mortgage, pledge, lien, encumbrance, security interest or charge of any kind, execpt as contemplated in the Mortgage Agreement and except
for Permitted Liens (as defined below). With respect to the property and assets it leases, the Operating Company is in compliance with such leases and, to the best of its and the Purchasers’ knowledge, the Operating Company holds valid
leasehold interests in such assets free of any liens, encumbrances, security interests or claims of any party other than the lessors of such property and assets, other than Permitted Liens. The Assets (a) constitute all of the assets, tangible
and intangible, necessary to operate the Principal Business in the manner presently operated by the Operating Company, and (b) include all of the operating assets that are used solely by the Operating Company in the conduct of the Principal
Business. The tangible personal property owned or leased by the Operating Company is in good operating condition and repair subject only to ordinary wear and tear and, except insofar as, individually or in the aggregate, has not had and would not
reasonably be expected to have a Material Adverse Effect. For purposes of this Agreement, the term “Permitted Liens” means (i) liens for taxes not yet delinquent or the validity of which are being contested and (ii) liens
incurred in the ordinary course of business, which (x) do not in the aggregate materially detract from the value of the assets that are subject to such liens and (y) were not incurred in connection with the borrowing of money in an
aggregate amount that exceeds US$25,000. 
 4.8. Land Use Right Grant. The land use right grant agreement over the lot on which the
Assets are located (the “Land Grant”) is in full force and effect with respect to the Operating Company and constitutes a legal, valid, and binding obligation of the Operating Company, and is in full force and effect with respect to
any other party thereto and constitutes a legal, valid, and binding obligation of any other party thereto. The Operating Company is not in default under the Land Grant, nor, to the Operating Company’s knowledge, is any other party to any of the
Land Grant in default thereunder, and no event has occurred, or is alleged to have occurred, which constitutes, or with lapse of time or giving of notice or both would constitute, a default by the Operating Company or, to the Operating
Company’s knowledge, any other party, under the Land Grant, or a basis for a claim of force majeure or other claim of excusable delay or non-performance thereunder by the Operating Company or, to the Operating Company’s knowledge, any
other party, other than such default or claim that, individually or in the aggregate, has not had and would not reasonably be expected to have a Material Adverse Effect. 
  

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 4.9. Environment Matters. The consummation of the transactions contemplated by this Agreement, the
premises subject to the Land Grant and any condition thereon, and the conduct of the Principal Business, do not violate any Environmental Law (as hereinafter defined) in a manner which, individually or in the aggregate, has had or would reasonably
be expected to have a Material Adverse Effect. Except as disclosed in Section 4.9 of the Disclosure Schedule, the Operating Company: (i) as of the date hereof, has not filed, nor to its knowledge, as of the date hereof, has any
government authority has filed, any notice under any Environmental Law indicating past or present treatment, storage, or disposal of a hazardous or toxic waste in violation of any Environmental Law or reported a spill or release of a hazardous or
toxic waste, substance, or constituent or other substance into the environment in violation of any Environmental Law in connection with the Business which, individually or in the aggregate, has had or would reasonably be expected to have a Material
Adverse Effect; and (ii) to the Operating Company’s knowledge, it has no liability, contingent or otherwise, under any Environmental Law in connection with, or with respect to: (A) any release of any hazardous or toxic waste,
substance, or constituent or other substance into the environment, or (B) the placement of any hazardous or toxic waste, substance, or constituent or other substance on the premises subject to the Land Grant, which, in the case of (A) and
(B), individually or in the aggregate, has had or reasonably would be expected to have a Material Adverse Effect. For purposes hereof, “Environmental Laws” shall mean any and all applicable laws, statutes, ordinances, rules,
regulations, and orders of any national, provincial, or local governmental authority pertaining to health, safety, pollution, or the environment. 
 4.10. Status of Proprietary Assets. For purpose of this Agreement, (i) “Proprietary Assets” shall mean all patents, patent applications, trademarks, service marks, trade names, domain names, copyrights,
copyright registrations and applications and all other rights corresponding thereto, inventions, databases and all rights therein, all computer software including all source code, object code, firmware, development tools, files, records and data,
including all media on which any of the foregoing is stored, formulas, designs, trade secrets, confidential and proprietary information, proprietary rights, know-how and processes of a company, and all documentation related to any of the foregoing;
and (ii) “Registered Intellectual Property” means all Proprietary Assets of the Operating Company, wherever located, that is the subject of an application, certificate, filing, registration or other document issued by, filed
with or recorded by any government authority. Except as disclosed in Section 4.10 of the Disclosure Schedule, the Operating Company (i) has independently developed and owns free and clear of all material claims, security interests,
liens or other encumbrances, except for Permitted Liens, or (ii) has a valid right or license to use all Proprietary Assets, including Registered Intellectual Property, necessary and appropriate for its business as now conducted and, to its
knowledge, without any conflict with or infringement of the rights of others. Section 4.9 of the Disclosure Schedule contains a complete list of Proprietary Assets, including all Registered Intellectual Property, of the Operating
Company. Neither the execution nor delivery of this Agreement and any Ancillary Agreement, nor the carrying on of the business of the Operating Company by its employees, nor the conduct of the business of the Operating Company as proposed, will, to
the best knowledge of the Purchasers, conflict with or result in a breach of the terms, conditions or provisions of, or constitute a default under, any contract, covenant or instrument under which the Operating Company or any of such employees is
now obligated. 
  

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 4.11. Material Contracts and Obligations. Section 4.11 of the Disclosure Schedule
lists all agreements, contracts, leases, licenses, instruments, commitments (oral or written), indebtedness, liabilities and other obligations to which the Operating Company is a party or by which it is bound, including: (i) all contracts,
licenses, leases, mortgages, arrangements, and other agreements, whether written or oral, that relate solely to the conduct of the Principal Business to which the Operating Company is a party or by which the Operating Company or any of the Assets is
or may be bound with respect to which the obligation of any party thereto is annually in excess of $1,000,000(or RMB8,000,000)); (ii) all obligations and liabilities of the Operating Company which on an annual basis are in excess of
$1,000,000(or RMB8,000,000) pursuant to uncompleted orders for the purchase by the Operating Company of materials, supplies, equipment, and services that relate solely to the conduct of the Principal Business; (iii) a list of all locations at
which any of the Assets are located; (iv) all agreements entered into by the Operating Company which limit the Operating Company in competing in any aspect of the Principal Business with respect to any geographic area or any person or entity;
(v) all agreements between the Operating Company and any governmental bodies in connection with the Principal Business; (vi) all agreements that involve any of the officers, consultants, directors, employees or shareholders of the
Operating Company; on the one hand, and the Operating Company, on the other hand, except for employment agreements entered into in the normal course of business; (vii) all agreements that obligate the Operating Company to share, license or
develop any product or technology; and (viii) all other contracts, licenses, agreements and arrangements (written or oral) outside the ordinary course of business which are material to the conduct of the Principal Business (collectively,
“Company Contracts”). No event has occurred, or is alleged to have occurred, which constitutes or, with lapse of time or giving of notice or both, would constitute a default or to the Operating Company’s knowledge, a reasonable
basis for a claim of force majeure or other claim of excusable delay or non-performance under any of the foregoing by the Operating Company or any other party thereto, other than such default or claim that, individually or in the aggregate, has not
had and would not reasonably be expected to have a Material Adverse Effect. To the Operating Company’s knowledge, no party with whom the Operating Company has a contract or agreement that is material to the Principal Business is in default in
the performance of any covenant or condition thereunder or has failed in performance thereunder by reason of a claim of force majeure or other claim of excusable delay or non-performance thereunder, other than such default or claim which,
individually or in the aggregate, has not had and would not reasonably be expected to have a Material Adverse Effect. 
 4.12. Supplies
and Equipment. The Operating Company has experienced no impediments outside the ordinary course of business in obtaining, in a timely manner and at market prices, any and all materials, supplies, equipment, and services that are material in the
conduct of Principal Busineess, and the Operating Company has not received any notice to the effect that the Operating Company may have problems with respect to the availability of such materials, supplies, equipment, and services. No customer or
supplier that is material to the conduct of the Principal Business by the Operating Company has, within the previous twelve months, cancelled or threatened to cancel or otherwise modify its relationship with the Operating Company. 
  

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 4.13. Litigation. Except as set forth in Section 4.13 of the Disclosure Schedule,
there is no action, suit, proceeding, claim, arbitration or investigation (“Action”) pending (or, to the best knowledge of the Purchasers, currently threatened) against any of the Operating Company, the Operating Company’s
activities, properties or assets or, to the best knowledge of the Operating Company and each of the Purchasers, against any director or Key Employee (as defined in Section 5.6 below) of the Operating Company in connection with such
director’s or Key Employee’s relationship with, or actions taken on behalf of the Operating Company. To the best knowledge of the Operating Company and each of the Purchasers, there is no factual or legal basis for any such Action that is
likely to result, individually or in the aggregate, in any Material Adverse Effect. By way of example, but not by way of limitation, there are no Actions pending against the Operating Company or, to the best knowledge of the Operating Company and
each of the Purchasers, threatened against the Operating Company, relating to the use by any employee of the Operating Company of any information, technology or techniques allegedly proprietary to any of their former employers, clients or other
parties. The Operating Company is not a party to or subject to the provisions of any order, writ, injunction, judgment or decree of any court or government agency or instrumentality and there is no Action by the Operating Company currently pending
or which it intends to initiate. 
 4.14. Compliance with Laws; Consents and Permits. The Operating Company has not conducted any
activity in material violation of any applicable statute, rule, regulation, order or restriction of any domestic or foreign government or any instrumentality or agency thereof in respect of the conduct of its business or the ownership of its
properties (including, without limitation, any that relate to the ownership of the Assets and conducting of Principal Business, consumer protection, health and safety, products and services, proprietary rights and improper payments). All consents,
permits, approvals, orders, authorizations or registrations, qualifications, designations, declarations or filings by or with any governmental authority and any third party which are required to be obtained or made by the Operating Company and the
Purchasers in connection with the consummation of the transactions contemplated hereunder (including without limitation those contemplated under the Restructuring Documents) shall have been obtained or made prior to and be effective as of the
Closing. The Operating Company has all material approvals, permits, licenses and any similar authority necessary for the conduct of its business as currently conducted, the absence of which would be reasonably likely to have a Material Adverse
Effect. The Operating Company is not in default under any of such approvals, permits, licenses or other similar authority, nor is it in receipt of any letter or notice from any relevant authority notifying revocation of any such approvals, permits
or licenses issued to it for non-compliance or the need for compliance or remedial actions in respect of the activities carried out directly or indirectly by the Operating Company. In respect of approvals, licenses or permits requisite for the
conduct of any part of the business of the Operating Company which are subject to periodic renewal, neither the Operating Company, nor any of the Purchasers has any reason to believe that such requisite renewals will not be granted by the relevant
PRC authorities. 
 4.15. Compliance with Other Instruments and Agreements. The Operating Company is not in, nor shall the conduct of
its business as currently or proposed to be conducted result in, any violation, breach or default of any term of its constitutional documents which may include, as applicable, memoranda and articles of association, by-laws, joint venture contracts
and the like (the “Constitutional Documents”), or in any material respect of any term or provision of any mortgage, indenture, contract, agreement or instrument to which the Operating Company is a party or by which it may be bound,
(the “Operating Company Contracts”) or of any provision of any judgment, decree, order, statute, rule or regulation applicable to or binding upon the Operating Company. The execution, delivery and performance of and compliance with
this Agreement and the Ancillary Agreements and the consummation of the transactions contemplated hereby and thereby will not result in any such violation, breach or default, or be in conflict with or constitute, with or without the passage of time
or the giving of notice or both, either a default under any Operating Company’s Constitutional Documents or any Operating Company Contract, or, to the best knowledge of the Operating Company and each of the Purchasers, a violation of any
statutes, laws, regulations or orders, or an event which results in the creation of any lien, charge or encumbrance upon any asset of the Operating Company. 
  

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 4.16. Compliance with Other Instruments and Agreements of Xinde. The execution, delivery and
performance of and compliance with this Agreement and the Ancillary Agreements and the consummation of the transactions contemplated hereby and thereby will not result in any such violation, breach or default, or be in conflict with or constitute,
with or without the passage of time or the giving of notice or both, either a default under any Constitutional Documents of Xinde or any mortgage, indenture, contract, agreement or instrument to which Xinde is a party or by which it may be bound,
or, to the best knowledge of the Operating Company and each of the Purchasers, a violation of any statutes, laws, regulations or orders, or an event which results in the creation of any lien, charge or encumbrance upon any asset of Xinde.

 4.17. Disclosure. The Operating Company and each of the Purchasers have fully provided the Company and the Investors with all the
information that the Company and the Investors have reasonably requested for deciding whether to issue the Warrants and all the information that the Operating Company and the Purchasers believe is reasonably necessary to enable the Company and the
Investors to make such decision. No representation or warranty by the Operating Company or any of the Purchasers in this Agreement and no information or materials provided by the Operating Company or any of the Purchasers to the Investors in
connection with its due diligence investigation of the Operating Company or the negotiation and execution of this Agreement contains or will contain any untrue statement of a material fact or omits or will omit to state any material fact required to
be stated therein or necessary in order to make the statements therein, in light of the circumstances in which they are made, not misleading. 
 4.18. Insurance. The Operating Company has maintained, and as of the Closing Date maintains, various insurance policies or self insurance for certain liabilities and exposures related to the Assets and various occurrences which may
arise from time to time as a result of the operation of the Principal Business by the Operating Company. Section 4.17 of the Disclosure Schedule lists and briefly summarizes all of the Operating Company’s commercial insurance policies
related to the Principal Business since its incorporation, which policies are in full force and effect. The Operating Company has complied with the provisions of such policies in all material aspects. 
 4.19. Financial Statements. The Operating Company has delivered to the Investors (i) its consolidated balance sheet, income statement and
statement of cash flow for the twelve-month period ending on December 31, 2005 reviewed by independent auditors of the Company and (ii) its management accounts for the month ending on January 31, 2006 (the foregoing financial
statements and any notes thereto are hereinafter referred to as the “Financial Statements” and January 31, 2006, the “Balance Sheet Date”). Such Financial Statements (a) are in accordance with the books
and records of the Operating Company, (b) are true, correct and complete and present fairly the financial condition of the Operating Company at the date or dates therein indicated and the results of operations for the period or periods therein
specified, and (c) have been prepared in accordance with PRC generally accepted accounting principles (“PRC GAAP”) applied on a consistent basis. Specifically, but not by way of limitation, each balance sheet of the Financial
Statements discloses all of the Operating Company’s material debts, liabilities and obligations of any nature, whether due or to become due, as of their respective dates (including, without limitation, absolute liabilities, accrued liabilities,
and contingent liabilities) to the extent such debts, liabilities and obligations are required to be disclosed in accordance with PRC GAAP. The Operating Company maintains a standard system of accounting established and administered in accordance
with PRC GAAP and will maintain a standard system of accounting established and administered in accordance with International Accounting Standards. 
  

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 4.20. Activities Since Balance Sheet Date. Since the Balance Sheet Date, with respect to the
Operating Company, except as contemplated by this Agreement and the Ancillary Agreements and except as set forth in Section 4.20 of the Disclosure Schedule, there has not been: 
 (a) any change in the assets, liabilities, financial condition or operating results of the Operating Company from that reflected in the Financial
Statements, except changes in the ordinary course of business that have not been and would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect; 
 (b) any material change in the contingent obligations of the Operating Company by way of guarantee, endorsement, indemnity, warranty or otherwise;

 (c) any damage, destruction or loss, whether or not covered by insurance, having Material Adverse Effects (as presently conducted and as
presently proposed to be conducted); 
 (d) any waiver by the Operating Company of a valuable right or of a material debt; 
 (e) any satisfaction or discharge of any lien, claim or encumbrance or payment of any obligation by the Operating Company, except such satisfaction,
discharge or payment made in the ordinary course of business that is not material to the assets, properties, financial condition, operating results or business of the Operating Company; 
 (f) any material change or amendment to a material contract or arrangement by which the Operating Company or any of its assets or properties is bound or
subject, except for changes or amendments which are expressly provided for or disclosed in this Agreement; 
 (g) any material change in any
compensation arrangement or agreement with any present or prospective director or Key Employee not approved by the Operating Company’s Board of Directors or comparable governing body; 
 (h) any sale, assignment or transfer of any Proprietary Assets or other material intangible assets of the Operating Company; 
 (i) any resignation or termination of any Key Employee of the Operating Company; 
  

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 (j) any mortgage, pledge, transfer of a security interest in, or lien created by the Operating Company,
with respect to any of its material properties or assets, except for Permitted Liens; 
 (k) any debt, obligation, or liability incurred,
assumed or guaranteed by the Operating Company individually in excess of US$50,000 or in excess of US$100,000 in the aggregate, other than trade or business liabilities incurred in the ordinary course of business; 
 (l) any declaration, setting aside or payment or other distribution in respect of the Operating Company’s registered capital, or any direct or
indirect redemption, purchase or other acquisition of any of such registered capital by the Operating Company; 
 (m) any failure to conduct
business in the ordinary course, consistent with the Operating Company’s reasonably prudent past practices; or 
 (n) any agreement or
commitment by the Operating Company to do any of the things described in this Section 4.20. 
 4.21. Tax Matters. The provisions
for taxes in the respective Financial Statements are sufficient for the payment of all material accrued and unpaid applicable taxes of the Operating Company, whether or not assessed or disputed as of the date of each such balance sheet. There have
been no extraordinary examinations or audits of any tax returns or reports by any applicable governmental agency. The Operating Company has duly filed all tax returns required to have been filed by it and paid all taxes shown to be due on such
returns, except where the failure to make such payment would not result in a Material Adverse Effect. The Operating Company is not subject to any waivers of applicable statutes of limitations with respect to taxes for any year. Since the Balance
Sheet Date, the Operating Company has not incurred any taxes, assessments or governmental charges other than in its ordinary course of business and the Operating Company has made adequate provisions on its books of account for all taxes, assessments
and governmental charges with respect to its business, properties and operations for such period. 
 4.22. Interested Party
Transactions. To the best knowledge of the Purchasers, no Purchaser or officer or director of the Operating Company or any “Affiliate” or “Associate” of the Purchasers or the Operating Company (as those terms
are defined in Rule 405 promulgated under the Act) has any agreement, understanding, proposed transaction with, or is indebted to, the Operating Company, nor is the Operating Company indebted (or committed to make loans or extend or guarantee
credit) to any of them (other than for accrued salaries, reimbursable expenses or other standard employee benefits). No Purchaser has any direct or indirect ownership interest in any firm or corporation with which the Operating Company and the PRC
Subsidiary are affiliated or with which the Operating Company or the PRC Subsidiary has a business relationship, or any firm or corporation that competes with the Operating Company or the PRC Subsidiary, except that any such Purchaser may have
record ownership interest in the Company or own shares in publicly traded companies that may compete with the Operating Company or the PRC Subsidiary. No Purchaser or officer or director of the Operating Company or any Affiliate or Associate of the
Purchasers or the Operating Company has had, either directly or indirectly, a material interest in: (a) any person or entity which purchases from or sells, licenses or furnishes to the Operating Company any goods, property, intellectual or
other property rights or services; or (b) any contract or agreement to which the Operating Company is a party or by which it may be bound or affected. 
  

 11 

 4.23. Employee Matters. There are no controversies pending or, to the knowledge of the Operating
Company, threatened between the Operating Company and any of its personnel and, to the Operating Company’s knowledge, there are no organizational efforts currently being made or threatened involving any of its personnel. Except as disclosed in
Section 4.23 of the Disclosure Schedule, the Operating Company has complied in all material aspects with all applicable employment and labor laws including without limitation, laws and regulations pertaining to welfare funds, social
benefits, medical benefits, insurance, retirement benefits, pensions or the like. The Operating Company is not aware that any Key Employee intends to terminate their employment, nor does the Operating Company have a present intention to terminate
the employment of any Key Employee. 
 4.24. No Other Business. The Operating Company is engaged solely in the Principal Business and
has no other activities. 
 4.25. Minute Books. The internal records of the Operating Company contain a complete summary of all
material meetings and actions taken by directors and equity interest holders of the Operating Company since its time of formation, and reflect all transactions referred to in such minutes accurately in all material respects. 
 4.26. Government Filings and Registrations. All filings and registrations with the PRC authorities required in respect of the Operating Company
and its operations, including but not limited to the registrations with the State Administration of Industry and Commerce, tax bureau, customs authorities, product registration authorities, and labor authorities have been duly completed in
accordance with the relevant rules and regulations. 
 4.27. Representations Regarding the Purchasers. Each Purchaser represents and
warrants to the Company and the Investors, with respect to itself: 
 (a) Accredited Investor; No-US Investor. Such Purchaser either
(1) is an Accredited Investor within the definition set forth in Rule 501(a) under the Act, or (2) is not a “U.S. Person,” and is not acquiring the Warrants for the account or benefit of any U.S. person, within the meaning of
Regulation S under the Act. If such Purchaser is not a U.S. Person, such Purchaser agrees to resell such securities only in accordance with the provisions of Regulation S under the Act, pursuant to registration under the Act, or pursuant to an
available exemption from registration, and agrees not to engage in hedging transactions with regard to such securities unless in compliance with the Act. 
 (b) Purchase for Own Account. The Warrants will be acquired by such Purchaser for its own account, not as a nominee or agent, and not with a view to or in connection with the sale or distribution of any part
thereof. 
 (c) Exempt from Registration; Restricted Securities. Such Purchaser understands that the Warrants will not be registered
under the Act or registered or listed publicly pursuant to any other applicable securities laws and regulations, on the ground that the sale provided for in this Agreement is exempt from registration under the Act or the registration or listing
requirements of any other applicable securities laws and regulations, and that the reliance of the Company on such exemption is predicated in part on such Purchaser’s representations set forth in this Agreement. Such Purchaser understands that
the Warrants are restricted securities within the meaning of Rule 144 under the Act; that the Warrants (and the Ordinary Shares issuable upon their exercise) are not registered or listed publicly and must be held indefinitely unless they are
subsequently registered or listed publicly or an exemption from such registration or listing is available. 
  

 12 

	5.	COVENANTS OF THE PURCHASERS AND THE OPERATING COMPANY 

 Each of the Purchasers and the Operating Company covenants to the Company and the Investor as follows: 
 5.1. Purchase Price
under the Equity Transfer Agreement. Upon receipt of the purchase price for its equity interest in the Operating Company from the Company pursuant to the Equity Transfer Agreement (the “ETA Purchase Price”), each Purchaser shall
immediately remit all of such purchase price received by it to the Operating Company as a bona fide donation. Each party hereby acknowledge that the Purchasers’ covenant in the foregoing sentence has been given in exchange for good and valuable
consideration from the Company and the Investor, the receipt of which is hereby confirmed. Each Purchaser further agrees that in the event that, at the time of the exercise of its Warrant, its portion of the ETA Purchase Price shall not have been
remitted to the Operating Company as provided in this Section 5.1, such Purchaser shall, concurrently with the issuance of Ordinary Shares upon exercise of its Warrant, (x) pledge to the Investor all of its Ordinary Shares so issued as
security for its obligation hereunder to remit its portion of the ETA Purchase Price to the Operating Company, which pledge shall continue until the remittance in full of its portion of ETA Purchase Price, and (y) deliver to the Investor any
share certificate(s) evidencing its Ordinary Shares so pledged, an assignment form duly executed by such Purchaser in blank and a pledge agreement duly executed by such Purchaser in form and substance satisfactory to the Investor. 
 5.2. Use of Proceeds. The proceeds from the loan under the Loan Agreement and any additional contribution to registered capital from the
Purchasers shall be used to fund: (1) the procurement of raw materials; (2) the second and third solar cell line costs, and (3) the purchase and installment of R&D tools and equipment of the Operating Company. 
 5.3. Purchaser Shares Lock-up. Any Ordinary Shares issuable upon the exercise of the Warrants shall not be transferable except as provided in the
Shareholders Agreement. 
 5.4. Business of the Operating Company. The business of the Operating Company shall be restricted to its
Principal Business. 
 5.5. Employment Agreement; Confidentiality, Non-compete and Invention Assignment Agreement. The Purchasers and
the Operating Company shall cause (i) each key officer and employee of the Operating Company set forth in Exhibit F (the “Key Employees”) hereto to enter into an Employment Agreement in form and substance satisfactory to
the Company and the Investor and (ii) all existing employees to enter into a Confidentiality and Invention Assignment Agreement and Non-compete and Non-solicitation Agreement in such form and substance satisfactory to the Company and the
Investor. 
 5.6. Loan Agreement and Equity Transfer Agreement. Each of the Operating Company and the Purchasers shall use its best
efforts to comply with each of the Loan Agreement and the Equity Transfer Agreement and cause all of the transactions contemplated thereunder to be consummated in accordance with the term and conditions thereof. 
 5.7. Mortgage Agreement and Pledge Agreement. Each of the Operating Company and the Purchasers shall use its best efforts to comply with each of
the Mortgage Agreement and Pledge Agreement and cause all of the transactions contemplated thereunder to be consummated and perfected in accordance with the term and conditions thereof. 
  

 13 

 5.8. Founder Note Purchase Agreement. Each of the Purchasers who is a party to the Founder Note
Purchase Agreement shall use its best efforts to comply with the Founder Note Purchase Agreement and cause all of the transactions contemplated thereunder to be consummated in accordance with the term and conditions thereof. 
 5.9. Shareholders Agreement. Each of the Purchasers shall execute and deliver the Shareholders Agreement upon the exercise of its Warrant.

 5.10. Compliance. Each of the Purchasers shall, at its expense, fully comply with all requirements of the PRC governmental
authorities with respect to their holding of the Warrants and the Ordinary Shares issuable upon exercise of the Warrants on a continuing basis (including, but not limited to, all reporting obligations imposed by, and all consents, approvals and
permits required by, the State Administration for Foreign Exchange (“SAFE”) and other PRC governmental authorities in connection therewith). 
 5.11. Composition of the Board of the Operating Company. On and after the Closing, the Board of Directors of the Operating Company shall be re-constituted so that it shall include at least one director who is
appointed by the Investor. 
 5.12. D&O Insurance. As soon as practicable upon the consummation of the transactions contemplated
under the Equity Transfer Agreement, the Company shall provide directors’ and officers’ liability insurance to each director appointed by the Investor with coverage of at least US$500,000 for as long as such director remains in office.

 5.13. Additional Covenants. Except as required by this Agreement or any Ancillary Agreement or in connection with New Financing (as
defined below), no resolution of the directors, owners, members, partners or shareholders of the Operating Company shall be passed, nor shall any contract or commitment be entered into, in each case, at any time after the date hereof and prior to
Closing without the written consent of the Investor, except that the Operating Company may carry on its respective business in the same manner as heretofore and may pass resolutions and enter into contracts for so long as they are effected in the
ordinary course of business. For the purpose of this Agreement, “New Financing” means any equity financing of the Company where (i) the pre-money valuation of all of the issued and outstanding share capital of the Company is at
least US$150,000,000 and (ii) any rights, preferences or privileges of any new equity securities issued in connection with such equity financing that are superior to or more preferential than those held by holders of Series A Shares immediately
prior to the completion of such equity financing, whether provided in the constitutional documents of the Company, pursuant to contractual arrangements or otherwise, shall be equally enjoyed by the holders of the Series A Shares following the
completion of such equity financing. 
 If at any time after the date hereof and before Closing, the Operating Company comes to know of any
material fact or event which: 
 (a) is in any way materially inconsistent with any of the representations and warranties given by any of the
Operating Company and/or the Purchasers, and/or 
 (b) suggests that any material fact warranted may not be as warranted or may be
materially misleading, and/or 
 (c) might affect the willingness of the Company to issue the Warrants to the Purchasers, 
  

 14 

 the Operating Company and the Purchasers shall give immediate written notice thereof to the Investor in which event the
Investor may within fourteen (14) business days of receiving such notice terminate this Agreement by written notice without any penalty or future obligations whatsoever; provided, however, nothing herein shall relieve any party
from liability for any breach of this Agreement. 
  

	6.	COVENANTS OF THE COMPANY AND THE INVESTOR 

 6.1.
Capital Contribution by the Investor. The Investor shall make capital contributions into the Company (in the form of the subscription of the Series A Shares or otherwise) in the aggregate amount of US$13,110,400 to enbable the Company to fund
its obligations under the Loan Agreement and the Founder Note Purchase Agreement. 
 6.2. Use of Proceeds from Capital Contribution by the
Investor. The proceeds from the capital contribution by the Investor shall be used to fund the Company’s obligations under the Loan Agreement and the Founder Note Purchase Agreement. 
 6.3. Shareholders Agreement. Each of the Company and the Investor shall execute and deliver the Shareholders Agreement upon exercise of the
Warrants by the Purchasers. 
 6.4. Loan Agreement.Upon Closing, the Company shall cause the Loan Agreement to be cancelled and all
outstanding principal and interest owing thereunder to be forgiven. 
  

	7.	CONDITIONS TO PURCHASERS’ OBLIGATIONS AT THE CLOSING 

 The obligations of the Purchasers at the Closing are subject to the fulfillment, to the satisfaction of the Purchasers on or prior to the Closing, or waiver by the Purchasers of the following conditions: 
 7.1. Representations and Warranties True, Correct and Complete. The representations and warranties made by the Company in Section 3 hereof
shall be true and correct and complete when made, and shall be true and correct and complete as of the date of the Closing with the same force and effect as if they had been made on and as of such date, subject to changes contemplated by this
Agreement. 
 7.2. Performance of Obligations. Each of the Company and the Investor shall have performed and complied with all
agreements, obligations and conditions contained in this Agreement that are required to be performed or complied with by it on or before the Closing. 
 7.3. Proceedings and Documents. All corporate and other proceedings in connection with the transactions contemplated hereby and all documents and instruments incident to such transactions to be passed, executed
and/or delivered by the Company and the Investor shall be satisfactory in substance and form to the Purchasers, and the Purchasers shall have received all such counterpart originals or certified or other copies of such documents as it may reasonably
request. 
 7.4. Securities Laws. The offer and sale of the Warrants to the Purchasers pursuant to this Agreement shall be exempt from
the registration and/or qualification requirements of all applicable securities laws. 
  

 15 

 7.5. Amendment to Constitutional Documents. The Restated Articles shall have been duly adopted by
the Company by all necessary corporate action of its shareholders and filed with the British Virgin Islands Registrar of Companies. 
 7.6.
Register of Members. The Purchasers shall have received a copy of the Company’s register of members, certified by a director of the Company as true and complete as of the date of the Closing. 
 7.7. Loan Agreement. The Loan Agreement shall have been duly executed and delivered by the Company and the Company shall have duly performed its
disbursement obligations under the Loan Agreement. 
 7.8. Equity Transfer Agreement. The Equity Transfer Agreement shall have been
duly executed and delivered by the Company. 
 7.9. Founder Note Purchase Agreement. The Founder Note Purchase Agreement shall have
been duly executed and delivered by the Company. 
 7.10. No Material Adverse Effect. There shall have been no material adverse effect
on the Company’s condition (financial or otherwise), assets and properties, results of operation or business (as presently conducted), other than any effect resulting from general economic conditions or conditions that generally affect the
industry of the Company since the date of this Agreement. 
  

	8.	CONDITIONS TO COMPANY’S AND INVESTOR’S OBLIGATIONS AT THE CLOSING 

 The obligations of the Company and the Investor under this Agreement at the Closing are subject to the fulfillment, to their respective satisfaction, at or before the Closing, or waiver by the Company and the
Investor, of the following conditions. 
 8.1. Representations and Warranties True, Correct and Complete. The representations and
warranties of the Purchasers and the Operating Company contained in Section 4 shall be true, correct and complete when made, and shall be true, correct and complete as of the date of the Closing with the same force and effect as if they had
been made on and as of such date, subject to changes contemplated by this Agreement. 
 8.2. Performance of Obligations. Each of the
Purchasers and the Operating Company shall have performed and complied with all agreements, obligations and conditions contained in this Agreement that are required to be performed or complied with by it on or before the Closing. 
 8.3. No Material Adverse Effect. There shall have been no Material Adverse Effect on the Operating Company since the date of this Agreement.

 8.4. Proceedings and Documents. All corporate and other proceedings in connection with the transactions contemplated hereby and all
documents and instruments incident to such transactions to be passed, executed and/or delivered by the Purchasers and the Operating Company shall be satisfactory in form and substance to the Company and the Investor and the Company and the Investor
shall have received all such counterpart originals or certified or other copies of such documents as it may reasonably request. 
  

 16 

 8.5. Consents and Waivers. The Operating Company and each of the Purchasers shall have obtained
any and all consents and waivers necessary for consummation of the transactions contemplated by this Agreement, including, but not limited to, all filing, registration and reporting requirements of SAFE in connection with the holding of the Warrants
(and the Ordinary Shares issuable upon exercise thereof) by the Purchasers and all other permits, authorizations, approvals, consents or permits of any governmental authority or regulatory body. 
 8.6. Compliance Certificate. At the Closing, the Operating Company and each of the Purchasers shall deliver to the Company and the Investor
certificates, dated the date of the Closing, certifying that the conditions specified in Sections 8.1, 8.2 and 8.3 have been fulfilled and stating, where applicable, that there shall have been no Material Adverse Effect since the Balance Sheet Date.

 8.7. Employment Agreement; Confidentiality and Invention Assignment Agreement; Non-compete and Non-solicitation Agreement. Each of
the Key Employees shall have entered into a standard form Employment Agreement and a Confidentiality and Invention Assignment Agreement and a Non-compete and Non-solicitation Agreement. 
 8.8. Opinion of the Counsel. The Company and the Investor shall have received from the PRC counsel to the Operating Company a legal opinion
addressed to the Company and the Investor, dated as of the date of the Closing, in substantially the form attached hereto as Exhibit L. 
 8.9. Equity Transfer Agreement. The Equity Transfer Agreement shall have been duly executed and delivered by each of the Purchasers and the Operating Company and all transactions contemplated under the Equity Transfer Agreement shall
have been consummate to the satisfaction of the Investor. 
 8.10. Loan Agreement. The Loan Agreement shall have been duly executed
and delivered by the Operating Company and no Event of Default (as defined in therein) shall have existed thereunder. The Operating Company and each of the Purchasers shall have obtained any and all consents and waivers necessary for consummation of
the transactions contemplated by the Loan Agreement and all other permits, authorizations, approvals, consents or permits of any governmental authority or regulatory body. 
 8.11. Mortgage Agreement and Pledge Agreements. Each of the Mortgage Agreement and Pledge Agreements shall have been duly executed and delivered
by each of the Purchasers and the Operating Company, as applicable, and there shall not have been any breach on the part of any Purchaser or the Operating Company thereunder. 
  

	9.	MISCELLANEOUS 

 9.1. Governing Law. This
Agreement shall be governed by and construed exclusively in accordance the internal laws of the State of New York (as permitted by Section 5-1401 of the New York General Obligations Law (or any similar successor provision) without giving effect
to any choice of law rule that would cause the application of the laws of any jurisdiction other than the internal laws of the State of New York to the rights and duties of the parties hereunder. 
 9.2. Survival. The representations, warranties, covenants and agreements made herein shall survive for a period of eighteen (18) months
following the Closing and shall in no way be affected by any investigation made by or on behalf of the Investor or the Company. 
  

 17 

 9.3. Successors and Assigns. Except as otherwise expressly provided herein, the provisions hereof
shall inure to the benefit of, and be binding upon, the successors, assigns, heirs, executors and administrators of the parties hereto whose rights or obligations hereunder are affected by such amendments. This Agreement and the rights and
obligations therein may not be assigned (i) by any Purchaser or the Operating Company without the written consent of all other parties, and (ii) by the Company or the Investor without the written consent of the Operating Company and the
Purchasers subscribing for a majority of the Ordinary Shares issuable under the Warrants. 
 9.4. Entire Agreement. This Agreement,
the Ancillary Agreements, and the schedules and exhibits hereto and thereto, which are hereby expressly incorporated herein by this reference constitute the entire understanding and agreement between the parties with regard to the subjects hereof
and thereof. 
 9.5. Notices. Except as may be otherwise provided herein, all notices, requests, waivers and other communications made
pursuant to this Agreement shall be in writing and shall be conclusively deemed to have been duly given (a) when hand delivered to the other party, upon delivery; (b) when sent by facsimile at the number set forth in Exhibit M
hereto, upon receipt of confirmation of error-free transmission; (c) seven (7) business days after deposit in the mail as air mail or certified mail, receipt requested, postage prepaid and addressed to the other party as set forth in
Exhibit M; or (d) three (3) business days after deposit with an overnight delivery service, postage prepaid, addressed to the parties as set forth in Exhibit M with next business-day delivery guaranteed, provided that
the sending party receives a confirmation of delivery from the delivery service provider. 
 Each person making a communication hereunder by
facsimile shall promptly confirm by telephone to the person to whom such communication was addressed each communication made by it by facsimile pursuant hereto but the absence of such confirmation shall not affect the validity of any such
communication. A party may change or supplement the addresses given above, or designate additional addresses, for purposes of this Section 9.5 by giving, the other party written notice of the new address in the manner set forth above.

 9.6. Amendments and Waivers. Any term of this Agreement may be amended only with the written consent of the Company, the Investor,
the Operating Company and the Purchasers subscribing for a majority of the Ordinary Shares issuable under the Warrants. 
 9.7. Delays or
Omissions. No delay or omission to exercise any right, power or remedy accruing to any party hereto, upon any breach or default of any other party hereto under this Agreement, shall impair any such right, power or remedy of such former party nor
shall it be construed to be a waiver of any such breach or default, or an acquiescence therein, or of any similar breach of default thereafter occurring. 
 9.8. Interpretation; Titles and Subtitles. This Agreement shall be construed according to its fair language. The rule of construction to the effect that ambiguities are to be resolved against the drafting party
shall not be employed in interpreting this Agreement. The titles of the sections and subsections of this Agreement are for convenience of reference only and are not to be considered in construing this Agreement. Unless otherwise expressly provided
herein, all references to Sections and Exhibits herein are to Sections and Exhibits of this Agreement. 
  

 18 

 9.9. Counterparts. This Agreement may be executed in any number of counterparts, each of which
shall be an original, but all of which together shall constitute one instrument. 
 9.10. Severability. If any provision of this
Agreement is found to be invalid or unenforceable, then such provision shall be construed, to the extent feasible, so as to render the provision enforceable and to provide for the consummation of the transactions contemplated hereby on substantially
the same terms as originally set forth herein, and if no feasible interpretation would save such provision, it shall be severed from the remainder of this Agreement, which shall remain in full force and effect unless the severed provision is
essential to the rights or benefits intended by the parties. In such event, the parties shall use best efforts to negotiate, in good faith, a substitute, valid and enforceable provision or agreement which most nearly effects the parties’ intent
in entering into this Agreement. 
 9.11. Confidentiality and Non-Disclosure. 
 (a) Disclosure of Terms. The terms and conditions of this Agreement, any of the Ancillary Agreements, and all exhibits and schedules attached
hereto and thereto (collectively, the “Financing Terms”), including their existence, shall be considered confidential information and shall not be disclosed by any party hereto to any third party except in accordance with the
provisions set forth below; provided that such confidential information shall not include any information that is in the public domain other than caused by the breach of the confidentiality obligations hereunder. 
 (b) Press Releases. Any press release issued by any party shall not disclose any of the Financing Terms and the final form of such press release
by such party shall be approved in advance in writing by the other parties. No other announcement regarding any of the Financing Terms in a press release, conference, advertisement, announcement, professional or trade publication, mass marketing
materials or otherwise to the general public may be made by any party without the other parties’ prior written consent. 
 (c)
Permitted Disclosures. Notwithstanding the foregoing, any party may disclose any of the Financing Terms to its current or bona fide prospective Investor, employees, investment bankers, lenders, partners, accountants and attorneys, in each
case only where such persons or entities are under appropriate nondisclosure obligations. 
 (d) Legally Compelled Disclosure. In the
event that any party is requested or becomes legally compelled (including without limitation, pursuant to securities laws and regulations) to disclose the existence of this Agreement, any Ancillary Documents, or any of the exhibits and schedules
attached hereto or thereto, or any of the Financing Terms hereof in contravention of the provisions of this Section 9.11, such party (the “Disclosing Party”) shall provide the other parties (the “Non-Disclosing
Parties”) with prompt written notice of that fact and use all reasonable efforts to seek (with the cooperation and reasonable efforts of the other parties) a protective order, confidential treatment or other appropriate remedy. In such
event, the Disclosing Party shall furnish only that portion of the information which is legally required to be disclosed and shall exercise reasonable efforts to keep confidential such information to the extent reasonably requested by any
Non-Disclosing Party. 
  

 19 

 (e) Other Information. The provisions of this Section 9.11 shall be in addition to, and not
in substitution for, the provisions of any separate nondisclosure agreement executed by any of the parties with respect to the transactions contemplated hereby. 
 9.12. Further Assurances. Each party shall from time to time and at all times hereafter make, do, execute, or cause or procure to be made, done and executed such further acts, deeds, conveyances, consents and
assurances without further consideration, which may reasonably be required to effect the transactions contemplated by this Agreement. 
 9.13. Dispute Resolution. The parties agree to negotiate in good faith to resolve any dispute between them regarding this Agreement. If the negotiations do not resolve the dispute to the reasonable satisfaction of all parties within
thirty (30) days, such dispute shall he referred to and finally settled by arbitration at the Hong Kong International Arbitration Centre in accordance with the UNCITRAL Arbitration Rules (the “UNCITRAL Rules”) in effect, which
rules are deemed to be incorporated by reference into this Section 9.13. The arbitration tribunal shall consist of three arbitrators to be appointed according to the UNCITRAL Rules. The language of the arbitration shall be English. 

9.14. Expenses. Any and all reasonable costs and expenses incurred by Investor in connection with conducting legal, financial, commercial and
technical due diligence of the Operating Company, the preparation and negotiation of this Agreement and the Ancillary Agreements, and the consummation of the transactions contemplated hereunder (“Investor Costs”), up to an aggregate
amount of US$200,000, shall be borne by the Operating Company. All such costs and expenses incurred by the Company and the Investor on or prior to the disbursement under the Loan Agreement shall be paid or reimbursed by the Operating Company
immediately upon receipt of the proceeds therefrom. In the event that the disbursement by the Company under the Loan Agreement shall not have occurred, all cost and expenses shall be borne by the party incurring such costs and expenses;
provided that if the non-occurrence of the disbursement by the Company under the Loan Agreement shall have been primarily due to the acts or omissions of the Operating Company or any of the Purchasers, the Operating Company shall bear all
Investor Costs up to an aggregate amount of US$200,000. 
 9.15. Termination. This Agreement may be terminated by any party hereto on
or after March 31, 2008, with respect to the rights and obligations of such party, by written notice to each of the other parties, if the Closing has not occurred on or prior to such date. Such termination under this Section 9.15 shall be
without prejudice to any claims for damages or other remedies that the parties may have under this Agreement or applicable law. 
 [REMAINDER
OF THIS PAGE INTENTIONALLY LEFT BLANK] 
  

 20 

 IN WITNESS WHEREOF, the parties hereto have caused their respective duly authorized representatives to
execute this Agreement as of the date and year first above written. 
  

									
	THE COMPANY:	 		 	THE INVESTOR:
			
	CHINA SUNERGY CO., LTD.	 		 	PRAXCAPITAL FUND II, L.P.
					
	By:	 	 /s/ Fernando R. Vila
	 		 	By:	 	/s/ Fernando R. Vila By Praxcapital II
	Name:	 	Fernando R. Vila	 		 	Name:	 	Fernando R. Vila
	Title:	 	Director	 		 	Title:	 	Managing Director
				
	THE OPERATING COMPANY:	 		 		 	
				
	CEEG (NANJING) PV-TECH CO., LTD.	 		 		 	
	(Seal)	 		 		 	
	By:	 	 /s/ Lu Tingxiu
	 		 		 	
	Name:	 		 		 		 	
	Title:	 		 		 		 	
				
	THE PURCHASERS:	 		 		 	
				
	NANJING XINDE ASSET MANAGEMENT CO., LTD	 		 		 	
	(Seal)	 		 		 	
	By:	 	 /s/ Lu Tingxiu
	 		 	 /s/ Zhao Jianhua

	Name:	 		 		 	Zhao Jianhua
	Title:	 		 		 	
			
	 /s/ Zhang Fengming
	 		 	 /s/ Wang Aihua

	Zhang Fengming	 		 	Wang Aihua

  

 LIST OF EXHIBITS            

  

											
		 		 	Exhibit A	  	Schedule of Purchasers	  		  	
						
		 		 	Exhibit B	  	Form of Warrant	  		  	
						
		 		 	Exhibit C	  	Restated Articles	  		  	
						
		 		 	Exhibit D	  	Shareholders Agreement	  		  	
						
		 		 	Exhibit E	  	Disclosure Schedule	  		  	
						
		 		 	Exhibit F	  	Key Employees	  		  	
						
		 		 	Exhibit G	  	Loan Agreement	  		  	
						
		 		 	Exhibit H	  	Mortgage Agreement	  		  	
						
		 		 	Exhibit I	  	Equity Transfer Agreement	  		  	
						
		 		 	Exhibit J	  	Pledge Agreement	  		  	
						
		 		 	Exhibit K	  	Founder Note Purchase Agreement	  		  	
						
		 		 	Exhibit L	  	PRC Legal Opinion	  		  	
						
		 		 	Exhibit M	  	Notices	  		  	

  

 3 

 Exhibit A 
 Schedule of Purchasers 
  

					
	 	  	 Number of Ordinary
 Shares under Warrant
	  	Exercise Price (US$)
	 Xinde
	  	604,800	  	6,048.00
	 Zhao Jianhua
	  	151,440	  	1,514.40
	 Zhang Fengming
	  	237,600	  	2,376.00
	 Wang Aihua
	  	51,600	  	516.00
	 Total
	  	1,045,440	  	10,454.40
		  	 	  	 

  

 4 

 Exhibit B 
 Form of Warrant 
  

 5 

 Exhibit C 
 Restated Articles 
  

 6 

 Exhibit D 
 Shareholders Agreement 
  

 7 

 Exhibit E 
 Disclosure Schedule 
  

 8 

 Exhibit F 
 Key Employees 
 Lu Tingxiu 
 Yin Guangyou 
 Zhao Jianhua 
 Wang Aihua 
 Zhang Fengming 
 Guo Shiliang 
 Zhu Zhiping 
  

 9 

 Exhibit G 
 Loan Agreement 
 This Loan Agreement (this “Agreement”) is made in Nanjing, Jiangsu
Province, the People’s Republic of China (the “PRC”) as of the 8th day of March, 2006, by and between: 
 The Borrower:
CEEG (Nanjing) PV-Tech Co., Ltd, a Chinese-Foreign Equity Joint Venture organized under the laws of the PRC, whose legal address is the Business Incubator, Jiangning Economic & Technical Development Zone, Nanjing, China (the
“Borrower”); 
 The Lender: China Sunergy Co., Ltd., a private limited company organized under the laws of British Virgin Islands, whose
legal address is P.O. Box 3321, Drake Chambers, Road Town, Tortola, British Virgin Islands (the “Lender”). 
 (the Borrower and the Lender
hereinafter referred to as the “Parties”). 
 The Parties hereby reach the following agreement: 
  

	1	Loan 

 To ensure the normal operation of the Borrower, the Lender
agrees to grant the Borrower the loan on the following terms and conditions: 
  

	1.1	Amount of the Loan: Loan of $10,000,000 in cash in US dollars or in other currency equivalent to US$ 10,000,000 (the “Loan”) as agreed upon by the Parties
(the exchange rate shall be subject to the middle price of the exchange rate publicized by the People’s Bank of China on the date the Loan is granted). 

  

	1.2	Purpose of the Loan: Provide the borrower of (i) capital to pay for the raw materials. 

  

	1.3	Due Date: shall be the earlier of (i) twelve months after the payment date, or (ii) accelerated maturity of the Loan upon the events of default (as defined below)
(the “Due Date”). On the Due Date, the Borrower shall pay into the bank account designated by the Lender the entire principal and interest of the Loan, expenses and any other sum in cash in US dollars on a lump-sum basis. The
Borrower may postpone the repayment of the principal and interest of the Loan if the Parties enter into an agreement with respect to the extension of the Due Date at any time prior to the Due Date. 

  

	1.4	Interest Rate: The interest rate of the Loan hereunder shall be the lower of (i) 4% per annum, or (ii) the highest interest rate of external Loan permitted by
the laws of the PRC. 

  

	1.5	Calculation of Interest: The interest of the Loan hereunder shall accrue from the date the Lender advances the Loan and shall be settled on the Due Date. The principal and
interest shall be repaid in full on the Due Date. Overdue interest rate of 20% per annum (the “Overdue Interest Rate”) shall be imposed on all overdue principal and interest during the overdue period. 

 

 10 

	1.6	Payment Date: Payment date shall be within five (5) working days after the later of (i) this Agreement and the guarantee agreement (as defined below) take into
effect or (ii) the precedent conditions as provided in Section 7 hereof are satisfied. 

  

	1.7	Payment Account: The Lender shall remit the relevant Loan to the account designated by the Borrower on the payment date. 

  

	2	Effectiveness of the Agreement 

 This Agreement may take into effect
only after approved by and registered with the foreign exchange administration authority. 
  

	3	Early Repayment 

 If the Borrower wants to early repay the Loan, it
shall notify the Lender in writing at least thirty (30) days in advance and obtain the written consent from the Lender and shall satisfy the following conditions: (i) repay in full the Loan hereunder; (ii) simultaneously pay off the
outstanding interest (calculated in accordance with the above Section 1.4) accrued on the principal early repaid until the early repayment date; and (iii) the Borrower shall indemnify the Lender for any actual loss, cost or expense (as
reasonably calculated and proved by the Lender) incurred by early repayment, including the interest (calculated in accordance with the above Section 1.4) the Lender shall be entitled to until expiration of this Agreement, provided however, that
the total amount of such interest shall not exceed the interest calculated at the Overdue Interest Rate of 20% per annum for the period from the payment date to the repayment date. 
  

	4	Security 

 The Lender reserves the right to require the Borrower to
provide the security for the Loan to the satisfaction of the Lender. 
  

	5	Representations and Warranties of the Borrower 

 The Borrower makes
the following representations and warranties as of the execution date of this Agreement and the payment date: 
  

	5.1	Organizational Form of the Borrower The Borrower shall (i) be a limited liability company duly organized, validly existing and normally operated under the laws of the
PRC; (ii) have the rights and authority to carry on the business currently carried on and planned to be carried on by it, to possess properties and to use the leased properties; (iii) comply with all the terms and conditions of its
articles of association (including all the revisions, schedules and supplements thereof) in all material aspects. 

  

	5.2	Status of the Borrower The Borrower shall have legal qualification to carry on its businesses at the properties owned or leased by it and the places as required by the
businesses carried on by it. Schedule A hereof sets forth, on the execution date , (i) the list of shareholders and the share proportion and investment method of each shareholder; (ii) names, addresses and titles of all the
in-service directors and officers; (iii) investment in other companies and entities within and out of the PRC and the list of proprietary shares; and (iv) all the loan agreements and guarantee and/or security agreements where the Borrower
bears the obligations of a guarantor and/or uses its assets as the collateral. 

  

 11 

	5.3	Authorization The Borrower shall have the right to enter into this Agreement and perform its obligations hereunder. Its board of directors has duly authorized it to enter
into and perform this Agreement and the transaction hereunder. With necessary and appropriate approval by the relevant government department of the PRC, the terms and conditions of this Agreement shall legally bind the Borrower.

  

	5.4	Registered Capital According to the latest articles of association of the Borrower as of the execution date of this Agreement, the registered capital of the Borrower as of
the execution date of this Agreement is USD10,800,000. 

  

	5.5	Line of the Loan The sum of the total amount of the principal and the registered capital does not exceed the approved total investment amount of the Borrower.

  

	5.6	No Violation of the Relevant Provisions Conclusion, delivery and performance of this Agreement and the transaction hereunder will not violate any prevailing laws and
regulations, or order, judgment or decree of any court or other government department, or the provisions of the articles of association of the Borrower, or any agreement or restriction to which the Borrower or a shareholder of the Borrower is a
party or is bound, will not result in or constitute the breach of any contract or agreement to which the Borrower or a shareholder of the Borrower is a party or is bound, and will not result in early maturity of the loan under any loan agreement to
which the Borrower or a shareholder of the Borrower is a party or is bound. 

  

	5.7	Financial Statements The Borrower’s balance sheet, income statement, stockholder’s equity and financial status variation report as of the Closing Date of Reviewing
Report (as defined below) (i) are prepared by Deloitte & Touche in accordance with generally accepted international accounting standards consistently applied, (ii) reflect fairly the financial status and the variation of the
financial status of the Borrower as of each closing date and during each period, and (iii) are complete, accurate and prepared in accordance with the financial accounting books of the Borrower. 

  

	5.8	Tax The Borrower has duly handled tax declaration according to the requirement of all the relevant provisions, and each declaration accurately presented all the tax
obligations of the Borrower (including but not limited to income tax, business tax, import duty, value-added tax) and other information as required to be declared. The Borrower has paid all the taxes due and payable described in the above
declaration and all the penalties or tax gap incurred by or accumulated against the Borrower before the Closing. 

  

 12 

	5.9	No Mortgage on the Assets As of the execution date of this Agreement, the assets, property and interest of the Borrower are not subject to any mortgage, pledge, lien or other
claims. 

  

	5.10	Land Use Right Schedule B (1) is a true and complete list of all the real estates leased or used by the Borrower or to which the Borrower has the land use right.
The Borrower has complete and undisputable land use right to all the real estates as stated in such Schedule. 

  

	5.11	Fixed Assets Schedule B (2) is the list of all the fixed assets owned, used, exploited or held by the Borrower on the execution date of this Agreement, including
factory buildings, equipments, furniture, attachment and other tangible assets (other than inventory) with a book value more than equivalent RMB 1,000,000. All such fixed assets are recorded in the books of the Borrower, where the specific statement
of characteristics, cost and a book value as of the latest date are contained for each fixed asset. 

  

	5.12	Industrial Property Schedule B (3) states all the patents, trademarks, trade names, copyrights, know-how, trade secrets or other industrial property, data or
technology (the “Industrial Property”) owned by the Borrower used or to be used for carrying on its business as of the execution date of this Agreement. The use or publication of such industrial properties is not subject to any
mortgage, pledge, lien and limitation or obligation to pay a royalty to any person. 

  

	5.13	Litigation There is no pending action, lawsuit, litigation, legal proceedings, labor dispute or investigation of any nature involving, affecting or against the Borrower.

  

	5.14	Contracts Schedule C lists all the material contracts, agreements and other arrangements to which the Borrower is a party or relating to the Borrower or having
influence upon the Borrower, including (i) contracts, agreements and commitments of US$ 1,000,000 (or RMB 8,000,000) or more; (ii) contracts, agreements or arrangements with the loan or credit line therein equal to or exceeding
RMB10,000,000; (iii) contracts and agreements of any nature with the in-service or former directors, officers, shareholders or long-term advisors of the Borrower; (iv) any agreements or other arrangements with respect to the sale or
purchase of assets, other than those occurred during the ordinary course of business; (v) formal or informal grant of bonus, annuity, distribution of profit, retirement pension, stock warrant, stock option, medical insurance or similar plans to
its employees or other persons; (vi) investment contract or letter of intent; and (vii) intellectual property transfer and license agreement (including those where the Borrower is transferor, transferee, licensor or licensee). The Borrower
warrants that it has not entered into any other contracts or letters of intent which is material to its business or operation other than the contracts as set forth in Schedule C. 

  

	5.15	Contracts with Affiliates The Borrower has not entered into any written or oral contract or other agreement with its affiliates as of the execution date of this Agreement. In
this Agreement, “Affiliate” refers to the natural person, company, partnership, joint venture or other entity directly or indirectly controlling or controlled by or under the common control of one party. “Control” in the
definition of “Affiliate” refers to having the right to direct or form the management and system of a certain entity, whether such right is realized through holding securities bearing 50% or more of the voting right or having the
contractual right to nominate and elect the members of the board of directors or otherwise. 

  

 13 

	5.16	Business Operation of the Borrower The Borrower is not engaged in any business beyond its approved business scope. 

  

	5.17	Loan Agreement, Guarantee Agreement Schedule D lists all the loan agreements and guarantee agreements between the Borrower and various institutions (including domestic
and overseas financial, non-financial institutions and individuals). As of the execution date of this Agreement, all such agreements are valid pursuant to the prevailing laws of the PRC, and constitute legally binding obligations of the Borrower and
the above mentioned various institutions, and the borrower does not breach any of such agreements. 

  

	5.18	Compliance with Law The Borrower complies with the requirements of all the applicable laws of the PRC. 

  

	5.19	No Material Adverse Change Since the Closing Date of Reviewing Report, there is no material adverse change in the assets, management team, financial status, goodwill,
business and other rights of the Borrower. 

  

	5.20	Inventory and Contracts of Silicon Raw Materials The Borrower shall provide (i) The information of the inventory of silicon raw materials; (ii) the executed
and effective silicon raw materials purchase contracts of 2006; and (iii) the potential silicon raw materials purchase contracts of 2006 of the Borrower as of the execution date of this Agreement in accordance with the format of Schedule E, in
order to truly, accurately and completely reflect the inventory of silicon raw materials of the Borrower and the purchase status and forecast of silicon raw materials in 2006. 

  

	6	Undertakings of the Borrower 

  

	6.1	The Borrower shall obtain the authorization for conducting the transaction hereunder as required by the provisions of relevant laws prior to the payment date, and comply with and
take all measures to maintain the full validity of such authorization. 

  

	6.2	The Borrower shall provide the Lender with the copies of all such authorization prior to the payment date so that the Lender may perform its obligations hereunder.

  

	6.3	The Borrower shall register this Agreement with the relevant government department of foreign exchange administration within five (5) days after the execution of this
Agreement. 

  

 14 

	6.4	As requested by the Lender, or upon the occurrence of the relevant event below, the Borrower shall accurately provide the following materials or information required by the Lender:

  

	 	1)	Provide the audited consolidated income statement, balance sheet and cash flow statement within three (3) months after the end of each financial year; 

 

	 	2)	Provide the monthly management statements and the separate standard statements of each entity of the company within fifteen (15) working days after the end of each month;

  

	 	3)	Provide the consolidated quarterly management statements within thirty (30) days after the end of each quarter; 

  

	 	4)	Provide the annual budget and financial forecast no later than thirty (30) days prior to the beginning of each financial year; 

  

	 	5)	Allow the Lender to access to the books and records, facilities, real estates, management, employees and accountant and legal advisers of the Borrower within the reasonable time
after notified by the Lender in advance; 

  

	 	6)	Upon the bank revokes any credit line of the Borrower, timely notify the Lender of such revocation and the best efforts made by the Borrower to revive sufficient bank credit line;

  

	 	7)	Timely inform of any material lawsuit and conditions that may result in material lawsuits; 

  

	 	8)	Inform in advance of any change of shareholding structure of the Borrower, any of its subsidiary, affiliates or the joint ventures to which the Borrower is a party;

  

	 	9)	Timely inform the resignation of any important personnel of the management; 

  

	 	10)	In the event of (i) an Event of Default (as defined below), or (ii) an Event of Default event caused by a notification or lapse of time (or both), the Borrower shall
notify the Lender in writing of each event as soon as possible within three (3) days after the occurrence of such event, stating the details of the above event and the relevant action to be taken by the Borrower; and 

 

	 	11)	As reasonably requested by the Lender at any time, the Borrower shall provide the Lender with other information relating to the operation and prospect (financial or otherwise) of
the Borrower. The Borrower shall provide such information within seven (7) days after receiving the request notice. If the borrower needs more than seven (7) days to provide such information, it shall provide a clear proof that it has used
its best efforts. 

  

 15 

	6.5	The Borrower shall use the Loan in accordance with the purpose as provide in Section 1.2 hereof. 

  

	6.6	The Borrower shall not use the Loan to commit illegal operation, and if the Borrower learns afterwards that its behavior is illegal, it shall correct such behavior within thirty
(30) days upon learning that its behavior is illegal. 

  

	6.7	Before repaying in full the Loan hereunder, the Borrower shall not conduct any of the following behaviors without notifying the Lender and obtaining a written consent from the
Lender thirty (30) days in advance: 

 1) Consolidation, merger, restructuring, liquidation, dissolution or winding up;
disposal of important business or material assets (other than floating assets) and the acquisition and grant of operation right relating thereto; 
 2) Modification of the articles of association; 
 3) Any change of shareholding right; 
 4) Changes in registered capital or investment method; 
 5) Sale, mortgage, pledge, lease, transfer or disposal of assets more than equivalent RMB 1,000,000; 
 6)
Declaration or payment of dividend; 
 7) Entering into any joint venture, partnership or alliance arrangement; 
 8) Granting loan to any director, officer or employee; 
 9) Any associated transaction beyond the ordinary course of business; 
 10) Any single external loan more
than USD 2,000,000 or equivalent RMB, or a series of external loan with an accumulated amount more than USD 2,000,000 or equivalent RMB within twelve months; 
 11) Changes in the compensation terms of any employee whose basic salary is more than USD 50,000 /year; 
 12) employment or termination of the employment of any key executives; 
 13) execution of any contract or arrangement (other than
the purchase of raw materials or equipments) under which the consideration or sum payable within one year exceeds USD 500,000; 
 14) Change
in audit firm or material change in any accounting system or policy; or 
 15) formation of or changes in the annual budget; 
  

 16 

	6.8	Upon the incurrence of any event which endangers Loan objectively (including a lawsuit related to material economic dispute, or material deterioration of financial status and etc.),
the Borrower shall notify the Lender in writing within one month after the occurrence of such event and ensure the repayment of the principal and interest of the Loan when due and payable. 

  

	6.9	The Borrower shall timely obtain and maintain all the governmental approvals as necessary for its business operation, including but not limited to obtaining the confirmation of the
competent government department within ten (10) days after the execution of this Agreement with respect to the legitimacy and validity of the land use right under the Investment Agreement entered into between the Borrower and Administration
Committee of Jiangning Economic & Technical Development Zone, Nanjing on August 22, 2004. 

  

	6.10	Before the payment date, the Borrower shall register the mortgage agreement with the relevant government department to consummate the mortgage, and shall seek security method other
than the Borrower’s assets as collateral to the satisfaction of Nanjing Commercial Bank with respect to the Loan Contract entered into between the Borrower and Nanjing Commercial Bank on November 18, 2004, and shall obtain a written waiver
from Nanjing Commercial Bank that Nanjing Commercial Bank regarding any of its security rights which may impose on the Borrower’s assets pursuant to the foregoing Loan Contract. 

  

	6.11	Before the payment date, the Borrower shall consummate the undisputable ownership of the company in the intangible assets (including but not limited to “Know-how of the
manufacturing of silicon solar cells”) served for investment contribution, and shall cause its overseas shareholders to obtain from their employers and possible claimers any ownership certification, non-dispute confirmation letter or waiver
certification (as the case may be) with respect to such intangible assets to the satisfaction of the Lender both in form and content. 

  

	6.12	Before the payment date, the Borrower shall acquire the legal, valid, undisputable written license from CEEG with regard to the Industrial Property exclusively owned by CEEG
(including but not limited to the trademark “CEEG PV”), which the Borrower is using or will use as necessary for its business. 

  

	6.13	The Borrower shall timely buy property insurance from insurance companies and maintain full validity of such insurance. The insurance amount, type and deduction must be the amount,
type and deduction generally maintained by the companies which carry on the business similar to that of the company under similar commercial environment. 

  

	6.14	The Borrower shall maintain its entity and business license, use its reasonable efforts to maintain the current governmental preference, fully comply with all the relevant laws and
continues to carry on the businesses currently conducted by it. 

  

 17 

	6.15	The Borrower shall conduct its business by such means as consistent with the standards of the relevant industry, keep its material property and assets in good working order and
condition and conduct all necessary and reasonable repairs, replacement and improvement so as to make sure that the above businesses may be conducted reasonably and carefully all the way. 

  

	6.16	Before the payment date, the Borrower shall provide the reviewing report (the “Reviewing Report”) from December 1, 2005 to December 31, 2005 (the
“Closing Date of Reviewing Report”) and unaudited financial report (the “Unaudited Financial Report”) of January 2006 of the Borrower issued by Deloitte & Touche in accordance with international accounting
standards. 

  

	6.17	Before the payment date, the Borrower shall procure overseas shareholders and other officers of the Borrower to conclude non-disclosure, non-competition and intellectual property
ownership agreement with the Borrower to the satisfaction of the Lender both in form and content. 

  

	7	Precedent Conditions 

 The payment by the Lender to the Borrower and
drawing of the Loan by the Borrower shall be conditioned on the satisfaction of all the following conditions on or before the payment date: 
  

	7.1	The Lender completes the operational, technical, legal and financial due diligence of the Borrower to the satisfaction of the Lender. 

  

	7.2	The Borrower and its overseas shareholders obtain all the approvals, consents and resolutions as required by the Lender and necessary for the execution of this Agreement.

  

	7.3	The representations and warranties made by the Borrower herein shall be true and accurate as of the execution date of this Agreement and the payment date and as valid as if they are
made on the payment date. 

  

	7.4	The Borrower shall have performed and complied with in all material aspects of all the obligations and stipulations hereunder which shall be performed or be complied with on or
before the payment date, including but not limited to: 

  

	 	1)	The Borrower has obtained the confirmation from the competent government department with respect to the legitimacy and validity of the land use right under the Investment Agreement
entered into between the Borrower and Administration Committee of Jiangning Economic & Technical Development Zone, Nanjing on August 22, 2004; 

  

	 	2)	The Borrower has obtained the written confirmation from Nanjing Commercial Bank that the latter waives any of its security rights which may impose on the Borrower’s assets
under the Loan Contract entered into between it and Nanjing Commercial Bank on November 18, 2004; 

  

	 	3)	Overseas shareholders have obtained any ownership certification, non-dispute confirmation letter or waiver certification (as the case may be) from their employers and possible
claimers with respect to the intangible assets used for investment (including but not limited to “Know-how of the manufacturing of silicon solar cells”) to the satisfaction of the Lender both in form and content; 

 

 18 

	 	4)	The Borrower has acquired the legal, valid, undisputable written license from CEEG with regard to the Industrial Property (including but not limited to the trademark “CEEG
PV”) exclusively owned by CEEG which the Borrower is using or will use as necessary for its business. 

  

	 	5)	Overseas shareholders and other officers of the Borrower have concluded non-disclosure, non-competition and intellectual property ownership agreement with the Borrower to the
satisfaction of the Lender both in form and content. 

  

	7.5	The Borrower and its legal representative shall issue a confirmation letter to confirm that the Borrower conforms with all the representations and warranties hereunder and will
perform all the obligations hereunder. 

  

	7.6	There is no actual or threatened legal proceedings, claim or demand against the Borrower or the Lender for restricting or preventing the completion of the transaction hereunder or
for acquiring material damages for the completion of the transaction hereunder, and also there is no valid order of competent government departments restricting, forbidding or otherwise preventing the completion of the transaction hereunder.

  

	7.7	The Borrower shall submit the Reviewing Report and the Unaudited Financial Report. 

  

	7.8	The Borrower shall submit the employment agreements entered into with the executives of overseas shareholders and listed in Schedule A hereto to the satisfaction of the
Lender both in form and content (with a term of three years, including non-disclosure, non-soliciting and non-competition clauses). 

  

	7.9	The Lender has obtained all the approvals from its investment committee. 

  

	7.10	Accountant of the Borrower shall issue a capital verification report verifying that the registered capital has been paid in full by all the shareholders of the Borrower and the
investment methods conform with the latest effective Sections of association. 

  

	7.11	The Borrower shall present the updated approval certificate and business license embodying the full payment of the registered capital. 

  

	7.12	The Borrower shall submit to the Lender the foreign debt registration document issued by foreign exchange administration department for this Agreement. 

  

	7.13	7. Chinese legal counsel of the Borrower shall issue legal opinion for this Agreement to the satisfaction of the Lender both in form and content. And, 

  

	7.14	Since the Closing Date of Reviewing Report, there is no material adverse change in the assets, management, financial status, goodwill, business and other rights of the Borrower.

  

 19 

	8	Events of Default 

 If the Borrower commits any of the following
behavior or any of the following events (the “Event of Default”) occurs, the Borrower shall indemnify the Lender and hold it harmless against all the costs, liquidated damages, loss, expenses or other obligations (including legal
costs and other expenses occurred during the investigation, consummation, recovery and defense of any request or claim) caused by the Borrower’s violation of its representations, warranties and undertakings hereunder, the Schedule hereto or
documents or materials provided relating to this Agreement: 
  

	8.1	The Borrower is unable to repay the principal and interest on the Due Date. 

  

	8.2	The Borrower materially breaches any of its obligations under any other agreements with the Lender; such breach may not be remedied, or may be remedied but is not remedied within
fifteen (15) days after the Lender issues a written notice to the Borrower, or the remedy is not reasonably satisfactory to the Lender. 

  

	8.3	The Borrower materially breaches any other loan agreement or debt document to which it is a party or is bound; such breach may not be remedied, or may be remedied but is not
remedied within fifteen (15) days after the Lender issues a written notice to the Borrower, or the remedy is not reasonably satisfactory to the Lender. 

  

	8.4	The Borrower materially breaches any representation and warranty hereunder; such breach may not be remedied, or may be remedied but is not remedied within fifteen (15) days
after the Lender issues a written notice to the Borrower, or the remedy is not reasonably satisfactory to the Lender. 

  

	8.5	The Borrower breaches any of its obligations hereunder; such breach may not be remedied, or may be remedied but is not remedied within fifteen (15) days after the Lender issues
a written notice to the Borrower, or the remedy is not reasonably satisfactory to the Lender. Or: 

  

	8.6	The Borrower, for any reason, winds up, is dissolved, closes its business for reorganization or its business license is revoked. 

 If the Borrower incurs any events set forth in the above Sections 8.2, 8.3, 8.4, 8.5 or 8.6, all the debts hereunder will immediately become due and payable without any
action taken by the Lender, and the Borrower shall immediately pay to the Lender the above sum. Upon the occurrence of a Event of Default, the interest payable upon all the debts hereunder shall be calculated at the highest interest rate (as defined
in Section 1.5 hereof) permitted by the relevant laws. The Borrower agrees to pay the Lender all the reasonable expenditures and expenses incurred by the Lender for taking any action to exercise its rights hereunder, including reasonable
lawyer’s fee, and pay the interest payable upon the above expenditures and expenses at the highest interest rate permitted by the relevant laws. 
  

 20 

	9	Miscellaneous 

  

	9.1	Applicable Laws The execution and interpretation of this Agreement is governed by the laws of the People’s Republic of China; the issues not covered by the foregoing
laws shall be governed by the laws of Hong Kong Special Administrative Region of the People’s Republic of China. 

  

	9.2	Entire Agreement This Agreement and its exhibits and schedules, as well as the agreements and other documents delivered in accordance with this Agreement constitute the whole
of this Agreement and supersede any previous agreements and stipulations between the Parties with regard to the subject matter of this Agreement. 

  

	9.3	Severability If at any time a certain provision of this Agreement in a certain aspect is or becomes illegal, invalid or unenforceable under any law of any jurisdiction, the
legitimacy, validity or enforceability of other provisions of this Agreement as well as the legitimacy, validity or enforceability of such provision under the laws of other jurisdictions shall not be affected or impaired in any way.

  

	9.4	Notice The notice, demand, request, instruction and other information communication herein shall be made in writing, and will be deemed duly delivered after serviced in
person, by fax or prepaid registered airmail. The notice serviced in person or by fax will take effect at the time of service, while the notice serviced by mailing will take effect within ten (10) days after sending out. The above notice and
etc. must be sent to: 

  

			
	 To the Borrower:
	  	CEEG (Nanjing) PV-Tech Co., Ltd
		  	 Business Incubator, Jiangning Economic &
 Technical
Development Zone, Nanjing, PRC

	 Telephone:
	  	86-25-52766688
	 Fax:
	  	86-25-52766882
		
	 To the Lender:
	  	China Sunergy Co., Ltd.
		  	 Suite 6A, Hongqiao Business Building, 2272
 Hongqiao
Road, Shanghai

		  	Zip Code: 200336
		  	Contact: Yao Jiping, Xu Lei
	 Telephone:
	  	86-21-6237 6673
	 Fax:
	  	86-21-6237 6709

  

	9.5	Waiver and Cumulative Remedy Failure to exercise or delay in exercising any right or remedy hereunder shall not be deemed as a waiver; and separate or partial exercise of any
right or remedy shall not preclude further or other exercise or the exercise of other right or remedy. The rights or remedies provided herein are cumulative and do not exclude any right or remedy provided by laws. 

  

	9.6	Amendment and Modification Any amendment to or modification or revision of this Agreement must be agreed upon in writing by the Parties. 

  

 21 

	9.7	Dispute Settlement Any dispute which can not be settled by the Parties shall be irrevocably and unconditionally settled through arbitration in accordance with the arbitration
rules of the International Chamber of Commerce. The arbitration shall be conducted in English at Hong Kong International Arbitration Centre. The arbitration tribunal shall be composed of three arbitrators. Each Party shall nominate an arbitrator and
such two arbitrators shall nominate the third arbitrator. The arbitration award shall be final and bound to the Parties. The relevant arbitration costs shall be borne pursuant to the decision of the arbitration tribunal. 

 [No text below] 
  

 22 

 In witness whereof, the respective authorized representatives of the Parties hereto have executed this Agreement in
Nanjing, China. 
  

			
	China Sunergy Co., Ltd.
	
	 /s/ Fernando R. Vila

	Title:	 	Director
	Date:	 	
	
	CEEG (Nanjing) PV-Tech Co., Ltd (Seal)
	
	 /s/ Lu Tingxiu

	Title:	 	
	Date:	 	

 Signature Page of Nanjing PV Loan Agreement 

 Appendix A 
 Name List of Shareholders 
  

			
	 Nanjing Xinde Assets Management Co., Ltd.
	  	56%
	 Zhang Fengming
	  	24%
	 Zhao Jianhua
	  	15%
	 Wang Aihua
	  	5%

 Name List of Directors and Officers 
 Chairman of the Board: Lu Tingxiu 
 Managing Director: Zhao Jianhua 
 Operating Deputy Managing Director: Yin Guangyou 
 Administration Deputy
Managing Director: Xu Chengrong 
 Technology Deputy Managing Director: Zhang Fengming 
 Director: Zhu Minglong 
 Director: Zhang Huaibing 
 Director: Guo Hongjian 
 Director: Xue Jun 
 R&D Assistant Chief Engineer: Wang Aihua 
 Chief Financial Officer: Zhu Zhiping 
 Chief Engineer Office Manager: Zhang Zhongwen 
 Assistant General Manager:
Feng Guoliang 
 General Department Manager: Huang Yingchun 
 Human Resource Department Manager: Sun Chenglin 
 Production Department Manager: Fang Bo 
 Quality Control Department Manager: Chen Shuming 
 Equipment Department Deputy
Manager: Li Boping (direct the work) 
 Sales Department Manager: Feng Guoliang 
 Project Department Deputy Manager: Sun Renbao 
 List of External Investment 
 N/A 

 Appendix B 
  

	(1)	List of Real Estates 

  

	 	A.	Land Use Right (Note: the certificate for land use right has not been obtained yet, but the corresponding lease fee for the land has been paid.) 

  

	 	B.	Temporary offices, research and development building, general building, phase one workshop, phase two workshop and the outdoor facilities of CEEG PV. 

 For details please refer to the list of the construction work. (Note: The work is still under construction examination and the corresponding property
right certificates for the promises have not been obtained yet.) 
  

	(2)	List of Fixed Assets 

  

	 	A.	Temporary offices, research and development building, general building, phase one workshop, phase two workshop and the outdoor facilities of CEEG PV. 

 For details please refer to the list of the construction work. (Note: The work is still under construction examination and the corresponding property
right certificates for the promises have not been obtained yet.) 
 B. Equipments 
 For details please refer to the list of equipments. 
  

	(3)	List of Industrial Properties 

 A. Know-how; 
 B. Right to use the Kingdee Financial Software. 

 Appendix C 
 Sales Contracts and Contracts for Manufacturing with Customers’ Materials 
  

	 	1.	The Supply Contract signed by and between CEEG (Nanjing) PV-Tech Co., Ltd.(hereinafter refereed to as “CEEG PV-Tech”) and S.E. PROJECT S.r.l. (Buyer)on Nov 11, 2005.

  

	 	2.	The Sales Contract signed by and between CEEG PV-Tech and Zhejiang Gongyuan Electric Co., Ltd. on Nov 22, 2005. 

  

	 	3.	The Supply Contract signed by and between CEEG PV-Tech and Renergies Itallia srl (Buyer) on Dec 2, 2005. 

  

	 	4.	The Sales Contract signed by and between CEEG PV-Tech and Wuxi Xinte’er Technology Co., Ltd. on Dec 12, 2005 

  

	 	5.	The Supply Contract signed by and between CEEG PV-Tech and GIRASOLAR BV (Buyer) on Dec 22, 2005 

  

	 	6.	The Sales Contract signed by and between CEEG PV-Tech and Shanghai Dingyisheng Industry Co., Ltd. on Dec 29, 2005 

  

	 	7.	The Sales Contract signed by and between CEEG PV-Tech and Shanghai Yuxian Solar Power Technology Co., Ltd. on Dec 30, 2005 

  

	 	8.	The Sales Contract signed by and between CEEG PV-Tech and Changzhou (Kinder) Jingda Machinery Industry Co., Ltd. on Feb 10, 2006 

  

	 	9.	The Contract Manufacturing with Customers’ Materials signed by and between CEEG PV-Tech and Wuxi Guofei Green Power Sourse Co., Ltd.on Jan 13, 2006 

 Purchase Contracts 
  

	 	1.	The Contract signed by and between CEEG PV-Tech and Roth & Rau AG on April 28, 2005(regarding SiNA Antireflective Coating Equipment for Crystalline Silicon Solar
Cells) 

  

	 	2.	The Purchase Contract signed by and between CEEG PV-Tech and Baccini Spa of Treviso Italy on Jun 20, 2005(on Automatic Printing (rotary table) & Drying &
Sorting & Testing Line for Solar Cells) 

  

	 	3.	The Purchase Contract signed by and between CEEG PV-Tech and RENA Sondermaschinen GmbH on Sept. 19, 2005 (on InTex Inline Texturing and Saw damage etch) 

  

	 	4.	The Long-Term Supply Contract signed by and between CEEG PV-Tech and Jiangsu Shunda Semiconductor Development Co., Ltd. on Aug 24, 2004 

  

	 	5.	The Long-Term Supply Contract signed by and between CEEG PV-Tech and Shandong Linuo PV High-Tech Co., Ltd. on May 2005 

	 	6.	The Sales Contract signed by and between CEEG PV-Tech and Shanghai Yuxian Solar Power Technology Co., Ltd. on May 21, 2005 

  

	 	7.	The Purchase Contract signed by and between CEEG PV-Tech and Wuxi Guofei Green Power Source Co., Ltd. on May 25, 2005 

  

	 	8.	The Framework Agreement, CEEG PV-Tech and Zhejiang Jinggong Photoelectric Co., Ltd. on Jun 20, 2005 

  

	 	9.	The Long-Term Supply Contract signed by and between CEEG PV-Tech and Shanghai Camdenk Semiconductor Co., Ltd. on Aug 29, 2005 

  

	 	10.	The Contract signed by and between CEEG PV-Tech and Konca Solar Cell (Wuxi) Co., Ltd. on Sep 9, 2005 

  

	 	11.	The Sales Contract signed by and between CEEG PV-Tech and Zhejiang Yuhui Solar Energy Source Co., Ltd. on Nov 28, 2005 

  

	 	12.	The Contract signed by and between CEEG PV-Tech and Matex Electronic Equipment & Material SAS on Nov 30, 2005 

  

	 	13.	The Purchase Agreement signed by and between CEEG PV-Tech and Konca Solar Cell (Wuxi) Co., Ltd. on Dec 1, 2005 

  

	 	14.	The Industrial Product Sales Contract (No. NJPV-20051209-Z), signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	15.	The Industrial Product Sales Contract (No. NJPV-20051209-Z1) (6 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	16.	The Industrial Product Sales Contract (No. NJPV-20051209-Z1) (8 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	17.	The Industrial Product Sales Contract (No. NJPV-20051209-Z2) (6 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	18.	The Industrial Product Sales Contract (No. NJPV-20051209-Z2) (8 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	19.	The Industrial Product Sales Contract (No. NJPV-20051209-Z3) (6 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	20.	The Industrial Product Sales Contract (No. NJPV-20051209-Z3) (8 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	21.	The Industrial Product Sales Contract (No. NJPV-20051209-Z4) (6 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

	 	22.	The Industrial Product Sales Contract (No. NJPV-20051209-Z4) (8 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	23.	The Industrial Product Sales Contract (No. NJPV2005CF1220-1) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	24.	The Industrial Product Sales Contract (No. NJPV2005CF1220-2) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	25.	The Industrial Product Sales Contract (No. NJPV2005CF1220-3) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	26.	The Industrial Product Sales Contract (No. NJPV2005CF1220-4) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	27.	The Industrial Product Sales Contract (No. NJPV2005CF1220-5) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	28.	The Sales Contract signed by and between CEEG PV-Tech and Perfectenergy (Shanghai) Limited on Dec 20, 2005 

  

	 	29.	The Industrial Product Sales Contract signed by and between CEEG PV-Tech and Shanghai Qunying Machinery Co., Ltd. on Dec. 20, 2005 

  

	 	30.	The Contract signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Jan 9, 2006 

  

	 	31.	The Sales Contract signed by and between CEEG PV-Tech and Wuxi Guofei Green Power Source Co., Ltd. on Jan 13, 2006 

  

	 	32.	The Industrial Product Sales Contract signed by and between CEEG PV-Tech and Guangzhou Ruxing Technology Development Co., Ltd. on Jan 24, 2006 (on purchase of silver and aluminum
paste and other auxiliary materials) 

 Loan Agreement and Security Agreement 
 Details as per the below Appendix D 
 Agreement with Employees and
Management 
  

	 	1.	The Employment Contract of Nanjing (sample contract) between CEEG PV-Tech and its employees 

  

	 	2.	The Supplementary Agreement to the Employment Contract (sample contract) on confidentiality and non-competition between CEEG PV-Tech and concerned key employees and management.

	 	3.	The service agreement (sample contract)on training to employees between CEEG PV-Tech and technical employees 

 Others 
  

	 	1.	The investment agreement signed by and between CEEG PV-Tech and The Administrative Committee of Nanjing Jiangning Economic & Technical Development Zone on Aug 22, 2004

  

	 	2.	The Contract of Assignment of the Use Right of State-Owned Land signed by and between CEEG PV-Tech and Nanjing Municipal Bureau of State Land and Resources Jiangning Branch on Feb
16, 2006. 

 Appendix D 
 Loan Agreement and Security Agreement 
 1. The loan contracts signed by CEEG PV-Tech (as Debtor) are as the
below table: 
  

											
	 Contract
	  	 Creditor
	  	Signing Date	  	 Term of Loan
	  	 Principal
 (1m)
	  	 Note

	RMB Loan Contract	  	Nanjing City Commercial Bank	  	Nov 23, 2004	  	11/18/04-11/18/07	  	RMB50	  	Add mortagage after the project is completed; transfer of property right is subject to the written consent of the creditor beforehand
						
	Loan Contract	  	China Merchants Bank, Nanjing Branch	  	Mar 8, 2005	  	03/08/05-03/08/06	  	RMB20	  	Equity transfer is subject to notification of the creditor beforehand and fulfillment of protective measures
						
	Line of Credit Agreement	  	China Merchants Bank, Nanjing Branch	  	Unavailable	  	11/24/05-03/31/07	  	US$4.3	  	Involving external guarantee; Equity transfer is subject to notification of the creditor beforehand and fulfillment of protective measures
						
	Line of Credit Agreement	  	China Merchants Bank, Nanjing	  	Unavailable	  	11/24/05-03/31/07	  	€3	  	Involving external guarantee; Equity transfer is subject to notification of the creditor beforehand and fulfillment of protective measures
						
	RMB Loan Contract	  	China CITIC Bank, Nanjing Branch	  	Mar 23, 2005	  	03/23/05-03/23/06	  	RMB25	  	Equity transfer is subject to the written consent of the creditor beforehand
						
	RMB Loan Contract	  	China CITIC Bank, Nanjing Branch	  	Nov 30, 2005	  	11/30/05-12/29/05	  	RMB25	  	The loan is paid off
						
	RMB Loan Contract	  	China CITIC Bank, Nanjing Branch	  	Jan 6, 2006	  	01/06/06-01/06/07	  	RMB25	  	Equity transfer is subject to the written consent of the creditor beforehand
						
	Contract of Working Capital Loan	  	Industrial and Commercial Bank of China, Nanjing Hanfu Sub-branch	  	Jun 29, 2005	  	06/29/05-06/28/06	  	RMB50	  	Change in equity is subject to the written consent of the creditor beforehand

  

 6 

											
						
	Contract of Working Capital Loan	  	Industrial and Commercial Bank of China, Nanjing Hanfu Sub-branch	  	Aug 2, 2005	  	08/02/05-08/01/06	  	RMB10	  	Change in equity is subject to the written consent of the creditor beforehand
						
	Contract of Working Capital Loan	  	Industrial and Commercial Bank of China, Nanjing Hanfu Sub-branch	  	Sep 29, 2005	  	09/29/05-03/28/06	  	RMB20	  	Change in equity is subject to the written consent of the creditor beforehand
						
	RMB Loan Contract	  	China Construction Bank Nanjing Xinjiekou Sub-branch	  	Oct 24, 2005	  	10/24/05-10/23/06	  	RMB20	  	The behavior which may endanger the creditor’s right is subject to the written consent of the creditor beforehand
						
	Loan Contract	  	Bank of Communications, Nanjing Branch	  	Oct 31, 2005	  	10/31/05-10/26/07	  	RMB20	  	Transfer of property right is subject to the written consent of the creditor beforehand
						
	Loan Contract	  	Bank of Communications, Nanjing Branch	  	Oct 31, 2005	  	10/31/05-10/26/06	  	RMB10	  	Transfer of property right is subject to the written consent of the creditor beforehand

  

	 	2.	The Security Agreement entered into by and between CEEG PV-Tech and China Merchants Bank Nanjing Branch on Nov 22, 2005 on entrusting China Merchants Bank, Nanjing Branch open
Letter of Indemnity/Standby Letter of Credit. The agreement is a part of the Line of Credit Agreement between the parties on giving CEEG PV-Tech the credit line of USD 4,300,000. 

  

	 	3.	The Security Agreement entered into by and between CEEG PV-Tech and China Merchants Bank Nanjing Branch on Nov 23, 2005 on entrusting China Merchants Bank, Nanjing Branch open
Letter of Indemnity/Standby Letter of Credit. The agreement is a part of the Line of Credit Agreement between the parties on giving CEEG PV-Tech the credit line of €3,000,000. 

  

 7 

 Schedule E 
 Inventory of Silicon Raw Materials and Form of Contract 
  

 8 

 English Translation 
 Exhibit H 
 Assets Mortgage Agreement 
 This Assets Mortgage Agreement (this “Agreement”) is made as of the 8th day of March, 2006, by and between: 
 Mortgagor: CEEG (Nanjing) PV-Tech Co., Ltd, a sino-foreign equity joint venture incorporated under the laws of the PRC, with the
legal address of the Business Incubator, Jiangning Economic & Technical Development Zone, Nanjing, China (the “Party A”). 
 Mortgagee: China Sunergy Co., Ltd., a private limited company incorporated under the laws of British Virgin Islands, whose legal address is P.O. Box 3321, Drake Chambers, Road Town, Tortola, British Virgin
Islands (the “Party B”). 
 The above two parties hereinafter are respectively referred to as a
“Party” and collectively referred to as the “Parties”. 
 Whereas: 
  

	1.	Party A and Party B entered into a Loan Agreement (as defined below) on the 8th day of March, 2006 in the form as set forth in Schedule 1 hereto. Party B will grant the Loan
(as defined below) to Party A according to such Loan Agreement. 

  

	2.	As the security for the satisfaction of the Secured Debts (as defined below) to Party B, Party A mortgages, to Party B, the assets (see Schedule 2 hereto for details) legally owned
by it as stipulated hereunder. 

 Article 1 Definitions and Interpretation 
  

	1.1	Definitions: Unless otherwise specified, the following terms herein shall have the meanings provided below. 

  

			
	“Loan Agreement”	  	Refers to Loan Agreement signed by Party A and Party B
on March 8, 2006.
		
	“Loan”	  	Refers to a Loan of $ 10,000,000 in cash in the US dollars or other currencies equivalent to USD 10,000,000 agreed upon by both parties (exchange rate shall be subject to the middle price of the
exchange rate published by the People’s Bank of China or its appointed organization on the date the Loan is provided) granted by Party B to Party A in accordance with the terms and conditions of the Loan Agreement.
		
	Interest	  	Refers to the interest amount calculated by the lending rate provided in Article 1.4 of the Loan Agreement.

  

 9 

			
		
	Overdue Repayment Interest	  	Refers to the interest amount calculated by the overdue rate provided in Article 1.5 of the Loan Agreement.
		
	“the PRC”	  	Refers to the People’s Republic of China (for the purpose of this Agreement only, exclusive of Taiwan, Hong Kong and Macao).
		
	“Laws of the PRC “	  	Any effective laws and regulations promulgated by the PRC.
		
	“ RMB”	  	Refers to RMB, the legal currency of China.
		
	“Mortgage Assets”	  	All the assets listed in Schedule 2 hereto, including the accessory things of such assets.
		
	“Secured Debts”	  	Includes the Loan, Interest, Overdue Repayment Interest, compensation for breach of contract, damages and expenses for achieving principal credit and Right of Pledge.
		
	“Mortgage right”	  	Refers to the security rights and interests of mortgage upon the Mortgage Assets.
		
	“Foreign Exchange Administration Authority”	  	Refers to the State Administration of Foreign Exchange Jiangsu Branch.
		
	“Mortgage Registration Authority”	  	Refers to the relevant mortgage things registration authority as provided in the Security Law of the People’s Republic of China, including but not limited to the land administration
department which issues the certificate of land use right, factory building and other buildings registration department, vehicle registration department of local people’s government at or higher than county level, industry and commerce
administration department where machinery, equipment and other chattel are located, or the notary public office where Party A is located.
		
	“Effective Date”	  	 The date on which all the following registration matters are completed:
  
 (a) Foreign exchange administration authority registers the external security matters relating to the
assets mortgage hereunder and issues External Security Registration Certificate; and
  
 (b) The mortgage registration of mortgage assets with the corresponding mortgage registration authority is completed.

  

	1.2	Interpretation: Headings in this Agreement are for reference only and do not impact meanings or explanation of any articles herein. Any articles or appendices mentioned herein shall
refer to the articles or appendices included herein. Plural reference also includes singular reference and vice versa. Unless otherwise specified, day, month or year mentioned herein shall refer to calendar day, calendar month or calendar year.
Business day mentioned herein shall refer to the days when commercial banks open for business in both USA and China. Male reference also includes female reference and vice versa. 

  

 10 

 Article 2 Assets mortgage 
  

	2.1	As the security for the satisfaction of the Secured Debts to Party B, Party A hereby mortgages the mortgage assets as defined herein to Party B, and Party B owns mortgage right and
priority of payment upon the mortgage assets. 

  

	2.2	Mortgage of the mortgage assets shall take into effect as of the effective date and shall expire on the date of the satisfaction in full of the Secured Debts or prior to such date
upon the consent in writing by Party B. 

  

	2.3	Party A’s Asset Evaluation Report in Schedule 3 hereto is the determination basis of value of the Mortgage Assets. During the effective period of this Agreement, Party B shall
not be responsible for any value reduction of the Mortgage Assets except for the losses due to Party B’s intention or any fault that have direct causal relation with the result and Party A shall not be entitled to claim in any form against or
raise any requirement to Party B. 

  

	2.4	Without prejudice of the Section 2.3 above, in the event any obvious decrease in the value of the mortgage is sufficient to harm Party B’s rights, Party B may require
Party A to provide the corresponding additional security. If Party A fails to provide such additional security, subject to the provisions of the laws of the PRC at that time and the requirements of the relevant external security and/or mortgage
registration organs, Party B may require and act as the agent of Party A to auction or sell the mortgage assets and reach an agreement with Party A that the proceeds from the auction or sale shall be used for early satisfaction of the secured debts
or deposited with the notary public office where Party A is located (Any reasonable expenses arising from this shall be solely borne by Party A). 

  

	2.5	In the event any part or all of the Mortgage Assets are lost, damaged or requisitioned, the mortgagee will have the priority of repayment upon the insurance compensation, damages or
compensation of the Mortgage Assets. 

  

	2.6	Party B, as the mortgagee, shall be entitled to the secured interest at the first priority of the Mortgage Assets. In the event that Party A fails to repay timely to Party B all the
Loans in accordance with the provisions of the Loan Agreement, Party B is entitled to dispose of the Mortgage Assets in accordance with the provision of Article 3 herein. 

  

	2.7	If the failure by Party A to satisfy the Secured Debts upon expiration of the term as provided by the Loan Agreement results in the distrainment of the Mortgage Assets by
People’s Court, from the date of the distrainment, the legal interest accruing from and separate from the Mortgage Assets received by Party B shall be used to satisfy the Secured Debts to Party B according to the satisfaction sequence as
provided by the laws of the PRC. 

 Article 3 Exercise of Mortgage Right 
  

	3.1	The Parties agree that if Party A fails to repay the Loans in full to Party B as scheduled in accordance with the provisions of the Loan Agreement, Party B is entitled to, after
notifying Party A in writing, exert all the rights and authorities of default remedies provided in the Chinese Laws, the Loan Agreement, this Agreement and other relevant agreements to which the Parties are parties, including (but not limited to)
repayment with whole or partial Mortgage Assets at the discount value agreed by the Parties, or auctioning and selling off the Mortgage Assets to repay in priority. Party B shall not be responsible for any losses caused by its reasonable exertion of
such rights and authorities unless Party B has caused damages to Party A intentionally or at its fault. 

  

 11 

	3.2	Party B shall be entitled to appoint its lawyer or other agents in writing to exercise any and all of the above-mentioned rights and authorities. Party A shall not dissent from
this. 

  

	3.3	Party A shall bear the reasonable expenses occurring when Party B exerts any or all of the above-mentioned rights and authorities. Party B is entitled to deduct such expenses
actually incurred from the amount acquired in its exertion of the rights and authorities. However, the taxes payable to the customs or the taxation department for the disposal of the Mortgage Assets shall be borne by Party B.

  

	3.4	The sum acquired by Party B in its exertion of rights and authorities shall be handled in accordance with the following sequences: 

 Firstly, pay all the reasonable expenses incurred in the disposal of the Mortgage Assets and the exertion of its rights and authorities (including the
compensation paid to its lawyer and agents); 
 Secondly, pay taxes payable for the disposal of the Mortgage Assets; and 
 Thirdly, repay the Secured Debt to Party B; 
 If there is still a remaining amount after deduction of the above-mentioned sum, Party B shall return the remaining amount to Party A or others that are entitled to such amount in accordance with relevant laws and regulations, or deposit it
at the notary authority of the place where Party A is located (any reasonable expenses caused thereby shall be fully borne by Party A). After the Mortgage Assets are converted for repayment, auctioned or sold off, the portion of the sum that is less
than the repayment amount of the Secured Debt shall be repaid by Party A. 
  

	3.5	When Party B exercises its right of pledge in accordance with this Agreement, Party A may not set any obstacles and shall take all the necessary and indispensable measures and sign
all the necessary and indispensable documents to assist Party B in the exertion of its right of mortgage. 

  

	3.6	In the event of any default events stated in Article 8 hereof, Party A shall compensate for any losses of Party B. 

 Article 4 Representations, Warranties and Covenants 
  

	4.1	Party A represents and warrants to Party B that: 

  

	 	4.1.1	Party A (i) is a sino-foreign equity joint venture duly organized, validly existing and normally operated under the laws of the PRC; (ii) has the rights to own and operate
its assets and carry on the business within the business scope as provided in its business license; (iii) its operation is consistently in compliance with the provisions of all applicable laws and its joint venture contract and articles of
association (including all the revisions, Schedules and supplements thereof) since its establishment; (iv) has full right and authorization to sign and fulfill this Agreement and to complete the issues stated herein and can act as an
independent principal of action; (v) has ability to fulfill the obligations and secured liabilities hereunder and conforms to all requirements of the laws of the PRC with regard to a guarantor of external security. 

  

 12 

	 	4.1.2	Party A shall have legal and complete ownership of all of its assets, which shall not be subject to any secured rights and interests as well as any third party rights. There is no
violation of the contract or agreement that has binding force on Party A, nor is there any litigation, arbitration or other legal actions relating to Party A or its assets. 

  

	 	4.1.3	On the execution date and the effective date of this Agreement, the registered capital of Party A is USD 10,800,000, and the shareholders of Party A have completely fulfilled their
obligations for registered capital contribution to Party A. 

  

	 	4.1.4	On the execution date and effective date of this Agreement, Party A is the sole legal owner of the Mortgage Assets and has obtained the relevant ownership certificate according to
the laws of the PRC. There is no existing dispute with regard to the ownership of the Mortgage Assets. If the Mortgage Assets include the right to use state-owned land, Party A shall have paid off the granting fee on schedule. Party A has right to
dispose of the Mortgage Assets and any part thereof. 

  

	 	4.1.5	On the execution date and the effective date of this Agreement, except for the secured rights and interests of the Mortgage Assets provided herein, there is not any other secured
rights and interests or third party rights and interests of the Mortgage Assets. 

  

	 	4.1.6	On the execution date and the effective date of this Agreement, the Mortgage Assets may be duly mortgaged and transferred and Party A have sufficient rights and authorities to
mortgage its Mortgage Assets to Party B in accordance with the provision hereof. 

  

	 	4.1.7	Prior to the payment date under the Loan Agreement, Party A shall ensure its board of directors to make the unanimous resolution in the format as set out in Schedule 4 hereof and
provide an original of the same to Party B. 

  

	 	4.1.8	Upon the effectiveness of this Agreement, the provisions hereof constitute legal, effective and binding obligations to Party A and may be enforceable, in accordance with the
provisions hereof, to Party A. 

  

	 	4.1.9	On the effective date, what have to be acquired, including but not limited to any third party’s consent, permission, waiver, authorization provided in Articles 4.1.7 and 4.2.1
hereof or approval, permission and exemption of any government department, or formalities of registration or record (if required by law) at any government departments, with respect to the execution and fulfillment of this Agreement and the assets
mortgage hereunder, have already been acquired or processed and will be fully effective during the effective period of this Agreement. 

  

	 	4.1.10	The execution and performance of this Agreement by Party A does not violate or conflict with all the applicable laws, any agreement to which it is a party or its assets are bound,
any court judgment, any verdict of arbitration organization and any decision of the administrative authority. 

  

	 	4.1.11	The assets mortgage hereunder constitutes the secured rights and interests of the first priority on the Mortgage Assets. 

  

	 	4.1.12	On the effective date, all the taxes and fees that shall be paid by Party A due to the acquisition of the Mortgage Assets shall have been paid in full by Party A.

  

 13 

	 	4.1.13	On the execution date and the effective date of this Agreement, there is no litigation, legal procedure or request pending or, as long as Party A knows, threatening, against Party
A, its assets or the Mortgage Assets at any courts or arbitration tribunals, nor is there any litigation, legal procedure or request pending or, as long as Party A knows, threatening, against Party A, its assets or the Mortgage Assets at any
government organizations or administrative authorities, that will have major or adverse impacts on Party A’s financial status or its capability of fulfilling the obligations and the secured liabilities hereunder. 

  

	 	4.1.14	All the reports, documents and information, provided by Party B to Party A, of all the matters related to Party A and required by this Agreement are authentic, accurate and
effective in all the material aspects on the execution date and the effective date of this Agreement. 

  

	4.2	Party A warrants to Party B that: 

  

	 	4.2.1	Party A shall be responsible for handling and ensure the completion of the following matters within thirty days after the payment date under the Loan Agreement or the later time
limit as agreed by Party B: 

  

	 	(a)	The mortgage registration certification about the relevant Mortgage Assets issued by the mortgage registration authority, and provide Party B with a copy of the ownership
certification and mortgage registration certification of all the Mortgage Assets; and 

  

	 	(b)	The External Security Registration Certificate issued by the foreign exchange administration authority, and provide Party B with a copy of such External Security Registration
Certificate. 

  

	 	4.2.2	Without prior written consent of Party B, Party A may not reset or be allowed to set new mortgage or any other secured rights and interests. 

  

	 	4.2.3	Without notifying Party B in a written form in advance and receiving prior written consent of Party B, Party A may not transfer Mortgage Assets to any other parties except to Party
B, otherwise such transfer shall be invalid. The sum acquired by Party A for transferring Mortgage Assets shall be firstly used for repaying Secured Debt to Party B. 

  

	 	4.2.4	It shall timely purchase property insurance for all the Mortgage Assets from insurance companies and maintain such insurance completely valid within the term of this Agreement. The
insurance amount, type and deduction must be the amount, type and deduction generally maintained by the companies which carry on the business similar to that of Party A under similar commercial environment. 

  

	 	4.2.5	In the event that any lawsuit, arbitration or other requests occur, which may possibly have adverse impacts on benefits of Party A or Party B under this Agreement and the Loan
Agreement, Party A shall, as soon as possible and promptly, notify Party B in a written form and take all necessary measures to ensure Party B’s rights and interests to the Mortgage Assets. 

  

	 	4.2.6	Party A shall not conduct or allow any behaviors or actions that may possibly have adverse impacts on the benefits of Party B under the Loan Agreement and this Agreement or the
Mortgage Assets. 

  

 14 

	 	4.2.7	Party A guarantees to, in accordance with Party B’s reasonable requirements, take all necessary measures and sign all necessary documents (including, but not limited to
Supplementary Agreement of this Agreement) so as to ensure Party B’s right to the Mortgage Assets and the exertion and achievement of such rights by Party B. 

  

	 	4.2.8	In case of transfer of any Mortgage Assets caused by exertion of right of mortgage under this Agreement, Party A shall ensure to take all measures to achieve such transfer.

  

	 	4.2.9	Once events of breach of contract described in Article 8 hereof occur or possibly occur, Party A shall inform Party B immediately in writing. 

  

	4.3	Party B represents and warrants to Party A that: 

  

	 	4.3.1	It is a private limited company that is incorporated in accordance with laws of British Virgin Islands and continues to exist legally; has complete and independent legal status and
legal ability to sign, deliver and fulfil this Agreement. 

  

	 	4.3.2	It owns complete internal corporate authority and authorization to sign and deliver this Agreement and to complete transactions described in this Agreement. This Agreement is
legally and appropriately signed and delivered. Once this Agreement becomes effective, its any articles constitute legal, effective and binding obligations to Party B and may be compulsorily executed to Party B in accordance with articles of this
Agreement. 

 Article 5 Continuity and Non-waiver 
 The assets mortgage under this Agreement is a consecutive security, which shall be valid until Secured Debt are completely discharged. Exemption and grace that Party B grants with regard to any breach of contract of
Party A or any rights under the Loan Agreement and this Agreement that Party B postpones to exert, may not impact rights of Party B to ask Party A to strictly execute, at any time in the future, the Loan Agreement and this Agreement or rights
enjoyed by Party B due to Party A’s violation of Loan Agreement and/or this Agreement, under this Agreement, Loan Agreement and relevant Chinese laws. 
 Article 6 Release of the Mortgage 
 After Party A fully and completely fulfill all of its obligations respectively
under the Loan Agreement and this Agreement, the mortgage set over the Mortgage Assets under this Agreement shall be automatically released, or Party B may, at any time after the effective date, release the mortgage with prior written consent of
Party B (“Release of the Mortgage”). 
 Upon Release of the Mortgage, Party B shall cooperate with Party A to process
cancellation of the mortgage registration and external security of the Mortgage Assets. Reasonable expenses occurring due to release of the Mortgage shall be borne by Party A. 
 Article 7 Fundamental Change of Circumstances 
 As an implement and not in conflict with other
articles of this Agreement and the Loan Agreement, in the event that at any time, due to promulgation or change of any Chinese laws, rules or regulations, or change of interpretation or application on such laws, rules or regulations, or change of
relevant registration procedure, Party B believes that maintaining effectiveness of this Agreement and/or handling Mortgage Assets with the method provided in this Agreement become illegal or conflict with such laws, rules or regulations, Party A
shall immediately, in accordance with written instruction and reasonable requirements of Party B and in compliance with applicable laws, rules or regulations, take any actions, and/or sign any agreements or other documents, so as to: 
 (1) Maintain this Agreement effective; 
  

 16 

 (2) Handle Mortgage Assets with the method provided in this Agreement conveniently; and/or 
 (3) Maintain or achieve security set or to be set in this Agreement. 
 Article 8 Default Events 
  

	8.1	Party A materially breaches any of its obligations under this Agreement, the Loan Agreement and any other agreements between it and Party B; and such breach may not be remedied, or
may be remedied but is not remedied within fifteen days after Party B giving written notice to it, or the remedy is not reasonably satisfactory to Party B. 

  

	8.2	Party A materially breaches any representation, warranty and covenant under this Agreement and/or the Loan Agreement. 

  

	8.3	Party A goes out of business, is dissolved, puts up the shutters for adjustment or its business license is revoked for its own faults. 

 Article 9 Notice 
  

	9.1	All the notices and communications between the Parties shall be made in writing, and shall be sent to the following appropriate address by fax, special person delivery (including
urgent-mail service), registered airmail or e-mail: 

  

			
	Party A: CEEG (Nanjing) PV-Tech Co., Ltd
		
	Address :	  	Business Incubator, Jiangning Economic & Technical Development Zone, Nanjing
		
	Fax :	  	86-21-52766882
		
	Recipient :	  	Lu Tingxiu
	
	Party B: China Sunergy Co., Ltd.
		
	Address :	  	6A Hongqiao Business Building, 2272 Hongqiao Road, Shanghai
		
	Fax :	  	86-21 6237 6709
		
	Recipient	  	Yao Jiping, Xu Lei

  

	9.2	The following time shall be deemed as the service time of notices or communications: 

  

	 	(1)	In case of delivery by fax?it shall be the time listed in corresponding delivery record, except that the fax in question is delivered after 5:00 pm at the place where the receiver
is located or on the date when is not a working day in terms of the place of the receiver. Under such circumstances, the receiving day shall be the next working day; 

  

 16 

	 	(2)	In case of delivery by a dedicated person (including express mail), it shall be the date when the receiver signs to confirm receipt of the document; or 

  

	 	(3)	In case of delivery by registered mail, it shall be the 10th day after the date indicated in return of registered mail issued by post office. 

 Article 10 Applicable Laws and Dispute Settlement 
  

	10.1	Chinese laws shall be applicable to conclusion, effect, interpretation, fulfilment, amendment, termination of this Agreement and resolution of disputes; the laws of Hong Kong
Special Administrative Region is applicable to matters not covered in Chinese laws. 

  

	10.2	Any disputes that both parties fail to resolve shall be irrevocably and unconditionally resolved through arbitration in accordance with rules of International Chamber of Commerce.
Arbitration shall be conducted at Hong Kong International Arbitration Center; the language of English shall be used; arbitration tribunal shall be composed of three arbitrators; each party nominates one arbitrator; these two arbitrators shall
nominate the third arbitrator. Arbitration verdict shall be final and have binding force on all parties. Relevant arbitration expenses shall be borne in accordance with decision of arbitration tribunal. 

 Article 11 Miscellaneous 
  

	11.1	Without written document signed by both parties (the document in question shall be used as appendix to this Agreement), articles of this Agreement may not be waived, amended or
altered. 

  

	11.2	No failure by either party to exercise, nor any delay of either party in exercising, any right or remedy under this Agreement shall operate as a waiver thereof.

  

	11.3	The invalidity of any article under this Agreement shall not affect the validity of any other articles under this Agreement which has no relation to the article in question.

  

	11.4	Any separate or partial exercise of any right or remedy hereunder shall not prevent any further or other exercise thereof or the exercise of any other such right or remedy. Rights
or remedies provided in this Agreement are cumulative and any rights or remedies methods provided by law are not excluded. 

  

	11.5	Any articles under this Agreement shall not be interpreted as a waiver of the defence right on bona fide by either party. 

  

	11.6	All the stamp tax and governmental charges, taxation and reasonable actual expenses (including fees of lawyer) occurring in preparation and fulfilment of this Agreement shall be
borne by both parties respectively. 

  

	11.7	This Agreement shall have binding force on both parties and respective successors and transferees (if any). 

  

	11.8	Party B may transfer, wholly or in part, rights and/or obligations under this Agreement to any third party without consent of Party A, after notifying Party A and completing
formalities of examination and approval, registration and record. However, without prior written consent of Party B and completion formalities of examination and approval, registration and record, Party A may not transfer or transfer in an indirect
way any rights or obligations under this Agreement. 

  

	11.9	This Agreement will take into effect as of the effective date and expire on the date the Secured Debts are completely satisfied. After the effective date of this Agreement and
during the term hereof, if Party B fails to perform its obligations in accordance with the Loan Agreement, the security obligation of Party A hereunder shall be released automatically and the Parties shall handle the relevant registration
formalities for releasing the mortgage of the Mortgage Assets. 

  

 17 

 In witness whereof, the Parties hereto or their duly authorized representatives (if any) have executed this
agreement at the date first above written. 
  

			
	Party A: CEEG (Nanjing) PV-Tech Co., Ltd. (Seal)
		
	Signature:	 	 /s/ Lu Tingxiu

	Name:	 	
	Title:	 	
	Seal of the Company:
	
	Party B: China Sunergy Co., Ltd.
		
	Signature:	 	 /s/ Fernando R. Vila

	Name:	 	FERNANDO R. VILA
	Title:	 	DIRECTOR

 Signature page of Nanjing PV assets mortgage agreement 

 Schedules: 
  

			
	 Schedule 1:
	  	Loan Agreement
		
	 Schedule 2:
	  	List of Mortgage Assets
		
	 Schedule 3:
	  	Assets Appraisal Report of CEEG (Nanjing) PV-Tech Co., Ltd
		
	 Schedule 4:
	  	Resolution of the Board of Directors of CEEG (Nanjing) PV-Tech Co., Ltd

 Schedule 1 
 Loan Agreement 

 Schedule 2 
 List of Mortgage Assets 
 Land Use Right 
 The legal and valid right to use the land indicated in the granting agreement entered into by and between Party A and Nanjing City Land Resources Bureau Jiangning
Branch on February [16] , 2006 (the “Granting Agreement”). 

 Equipment list of CEEG (Nanjing) PV-Tech Co., Ltd (First Production Line) 
  

											
	Number	  	 Description
	  	Import Country	  	Price in Original
Currency	  	 Converted into
 RMB
	  	Remarks
	  1	  	Printed Line	  	Italy baccini	  	Euro 1159416.00	  	13,077,748.71	  	Foreign
	  2	  	Anti-reflection coat daubing equipments	  	Germany roth&rau	  	Euro 1036001.00	  	11,685,676.88	  	Foreign
	  3	  	Bake-out furnace	  	US rtc	  	USD 198600.00	  	1,646,175.54	  	Foreign
	  4	  	Diffusion furnace and cleaning trough	  	Czech svcs	  	USD 852000.00	  	7,062,142.80	  	Foreign
	  5	  	Oval Polarized Gauge	  	US rtc	  	USD 19255.50	  	159,606.91	  	Foreign
		  	Total of imported equipments	  		  		  	33,631,350.85	  	
	  6	  	Open side chemical cleaning line	  		  		  	510,000.00	  	Domestic
	  7	  	Quartz tube cleaning equipment	  		  		  	155,000.00	  	Domestic
	  8	  	Pure water equipment	  		  		  	1,680,000.00	  	Domestic
	  9	  	Cold Water Unit	  		  		  	438,000.00	  	Domestic
	10	  	Exhaust gas treatment system	  		  		  	238,000.00	  	Domestic
	11	  	Low temperature liquid storage trough	  		  		  	386,000.00	  	Domestic
	12	  	Clean compressed air system	  		  		  	158,000.00	  	Domestic
	13	  	Integrated direct- fired machine	  		  		  	850,000.00	  	Domestic
	14	  	Plasma Etching Machine	  		  		  	336,000.00	  	Domestic
	15	  	 Workshop decontamination, Comfortable air-conditioning engineering
	  		  		  	1,460,000.00	  	Domestic
	16	  	PNC special gas pipe	  		  		  	1,253,582.17	  	Domestic
		  	Total of Domestic Equipments	  		  		  	7,464, 582.17	  	
		  	Total of Equipments	  		  		  	41,095,933.02	  	

 Unit Account of Plant ZDGF-SJ-J03-024-2005 (Second Production Line) 
  

																					
	No.	 	 Name
	 	Model
Number	 	 Manufacturer
	 	Manufacture
Date	 	Date of
putting
into use	 	Quantity	 	Foreign
Currency	 	 Domestic
Currency
 (RMB) (Yusn)
	 	Term of
Use	 	Remarks
	1	 	Flocking-making machine	 		 	SHENZHEN SC EXACT EQUIPMENT CO., LTD.	 	Dec. 2005	 	Mar. 2006	 	One unit	 		 	83800	 		 	Line 2
											
	2	 	Chemical cleaning machine	 		 	BEIJING SEVENSTAR HUACHUANG ELECTRONIC CO., LTD.	 	Dec. 2005	 	Mar. 2006	 	One unit	 		 	60000	 		 	Line 2, 3
											
	3	 	Silicon wafers drier	 		 	BEIJING SEVENSTAR HUACHUANG ELECTRONIC CO., LTD.	 	Dec. 2005	 	Mar. 2006	 	One unit	 		 	130000	 		 	Line 2
											
	4	 	High temperature diffusion furnace	 		 	BEIJING SEVENSTAR HUACHUANG ELECTRONIC CO., LTD.	 	Dec. 2005	 	Mar. 2006	 	One unit	 		 	1500000	 		 	Line 2
											
	5	 	Dephosphorylate silicon glass trough	 		 	BEIJING SEVENSTAR HUACHUANG ELECTRONIC CO., LTD.	 	Dec. 2005	 	Mar. 2006	 	One unit	 		 	560000	 		 	Line 2, 3
											
	6	 	Silicon wafers drier	 		 	BEIJING SEVENSTAR HUACHUANG ELECTRONIC CO., LTD.	 	Dec. 2005	 	Mar. 2006	 	One unit	 		 	130000	 		 	Line 2
											
	7	 	Plasma Etching Machine	 	M42200-
3/UM	 	CETC 48th Research Institute	 	Dec. 2005	 	Mar. 2006	 	One unit	 		 	336000	 		 	Line 2
											
	8	 	Plasma Etching Machine	 	M42200-
3/UM	 	CETC 48th Research Institute	 	Dec. 2005	 	Mar. 2006	 	One unit	 		 	336000	 		 	Line 2
											
	9	 	PEYCD coating machine	 		 	Germany ROTH&RAU	 	Jan. 2006	 	Mar. 2006	 	One unit	 	EUR948000	 	9074350.8	 		 	Line 2
											
	10	 	Screen Printing System	 		 	Italy BACCINI	 	Jan. 2006	 	Mar. 2006	 	One unit	 	EUR1100000	 	10529310	 		 	Line 2
											
	11	 	Quick Sintering Furnace	 		 	US DESPATCH	 	Jan. 2006	 	Mar. 2006	 	One unit	 	USD209100	 	1685283.27	 		 	Line 2
											
		 	Total	 		 		 		 		 		 		 	25718944.07	 		 	

 Schedule 3 
 Assets Appraisal Report of CEEG (Nanjing) PV-Tech Co., Ltd 

 Schedule 4 
 Resolution of the Board of Directors of CEEG (Nanjing) PV-Tech Co., Ltd 
 Date:                            , 2006 
 Place: Conference Room of the Company 
 Directors Present the Meeting:

 The board of directors of CEEG (Nanjing) PV-Tech Co., Ltd. (this “Company”) have reviewed the Loan Agreement (the
“Loan Agreement”) and Assets Mortgage Agreement (the “Assets Mortgage Agreement”) entered into by and between this Company and China Sunergy Co., Ltd. on the eighth day of March 2006, and hereby adopt the following resolution
with respect to the matters of assets mortgage involved in the Assets Mortgage Agreement: 
  

	 	1.	Resolved, to approve the Company to mortgage its assets listed in Schedule 3 of the Assets Mortgage Agreement in favour of China Sunergy Co., Ltd, as the security for the loan
borrowed by the Company from China Sunergy Co., Ltd. according to Loan Agreement, 

  

	 	2.	Resolved, to authorize the Company to handle the corresponding external security registration formalities and assets mortgage registration formalities with the foreign exchange
administration authority and the relevant mortgage registration authority for the above assets mortgage. 

 These Resolutions
shall take into effect as of the date first above mentioned. 
 Signatures of All the directors: 

 English Translation 
 Exhibit I 
 Equity Transfer Agreement 
 This agreement (hereinafter refereed to as the “Agreement”) is entered into by and among the parties as below on March 24, 2006. 
 Party A: China Sunergy Co., Ltd. 
 Legal Address: P.O. Box 3321, Drake
Chambers, Road Town, Tortola, British Virgin Islands 
 Party B: 
 1: 
 Nanjing Xinde Assets Management Co., Ltd.(hereinafter referred to as “Xinde”) 
 Registered Address: Jiangning Development Zone High Tech Venture Center, Nanjing, China 
 Legal Representative: Lu Tingxiu 
 Legal Status: Limited liability company 
 2: 
 Zhao Jianhua 
 Address: Jiangning Development Zone High Tech Venture Center, Nanjing, China 
 Nationality: Australia 
 Passport No.: L5162256 
 3:

 Zhang Fengming 
 Address: Jiangning Development Zone High Tech
Venture Center, Nanjing, China 
  

 1 

 Nationality: Australia 
 Passport No.: L3798159 
 4: 
 Wang Aihua 
 Address: Jiangning Development Zone High Tech Venture Center, Nanjing, China 
 Nationality: Australia 
 Passport No.: L4142723 
 Party C 
 CEEG (Nanjing) PV-Tech Co., Ltd. 
 Address: Jiangning Development Zone High Tech Venture Center, Nanjing, China 
 Legal Status: Sino-foreign joint venture 
 Legal Representative: Lu Tingxiu 
 (Party A is hereinafter referred to as the
“Transferee”; Party B are hereinafter collectively referred to as the “Transferors”, each a “Transferor”; CEEG (Nanjing) PV-Tech Co., Ltd. is abbreviated as “CEEG PV-Tech”.) 
 WHEREAS 
 Whereas, CEEG
PV-Tech, a company organized and existing under the laws of China and having its registered office at Jiangning Development Zone High Tech Venture Center, is incorporated in accordance with the Joint Venture Contract (Appendix I(A), “Joint
Venture Contract”) and the Articles of Association (Appendix I(B), “Original Articles of Association”) entered into by and between China Electrical Equipment Group and Zhao Jianhua on Jun 24, 2004, with the current
shareholders being Xinde, Zhao Jianhua, Zhang Fengming and Wang Aihua; 
 Whereas, the net assets of CEEG PV-Tech as of Dec 31, 2005 is
RMB58,172,906.29 in accordance with its independent assets appraisal report; 
  

 2 

 Whereas, the capital contributions of Xinde, Zhao Jianhua, Zhang Fengming and Wang Aihua account for 56%,
15%, 24% and 5% respectively (“Equity of Transferors”) in the registered capital of CEEG PV-Tech. According to the current business license of CEEG PV-Tech, its registered capital (“Registered Capital”) is
USD10,800,000 and fully paid; 
 Whereas, the Transferors have signed the share pledge agreement (“Share Pledge Agreement”)
with the Transferee with its shares pledged for CEEG PV-Tech’s loan from the Transferee; 
 Whereas, the Transferors wish to sell shares
to the Transferee and the Transferee wishes to purchase shares from the Transferors; 
 Whereas, the Transferors wish to replace the Share
Pledge Agreement with this agreement (if taken effect) and cancel its pledge and the related obligations under the Share Pledge Agreement; 
 Whereas, the Transferors hereto undertake to waive their preemptive right of purchase and sale of other Transferors’ shares; and 
 Whereas, the Transferee shall, after purchasing the shares of CEEG PV-Tech from the Transferors, have 100% of the shares of CEEG PV-Tech. Therefore, the Chinese shareholders and the Transferee wish to terminate the Joint Venture Contract,
the original Articles of Association and all relative amendments and enter into a new Articles of Association, whereby CEEG PV-Tech shall be changed to a wholly foreign owned enterprise of the Transferee. 
 NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties agree as follows: 
  

	1.	Transfer of Shares 

 The Transferors hereby agree to
sell all their shares of CEEG PV-Tech to the Transferee for the Purchasing Price set out in Clause 2. The Transferee hereby agrees to purchase the abovesaid shares from the Transferors as the Purchasing Price. 
  

	2.	Purchasing Price 

 The Purchasing Price is
USD10,336,848, of which USD 4,046,811 is paid for Xinde, USD 2,034,367 for Zhao Jianhua, USD3,678,348 for Zhang Fengming and USD577,322 for Wang Aihua. 
  

	3.	Effectiveness of the Agreement 

 The agreement shall
take effect on the day (hereinafter refereed to as “Effective Date”) on which the original examination and approval authorities (“Examination and Approval Authorities”) of CEEG PV-Tech has cancelled its current
Approval Certificate for Enterprises with Foreign Investment (hereinafter refereed to as “Approval Certificate”) and issued a new Approval Certificate establishing that the Transferee has owned 100% shares of CEEG PV-Tech, and upon
the fulfilment of all the conditions set out in the Article 7 herein. 
  

 3 

	4.	Compliance with Labor Law 

 The Transferee shall
comply with the regulations relating to employment and other regulations in China’s Labor Law after the agreement takes effect. 
  

	5.	Obligations of CEEG PV-Tech and the Transferor  

  

					
	5.1	 		 	After the agreement is signed, CEEG PV-Tech and all Transferors shall be responsible for or push CEEG PV-Tech to make any and all necessary or appropriate filing, application and registration
and obtain all approval with Chinese government or other departments or entities relating to the share transfer stipulated herein.
			
	5.2	 		 	As required by the Transferee, CEEG PV-Tech and the Transferors shall coordinate properly and from time to time sign and deliver all documents and take any activities the lawyers of the
Transferee thinks necessary or appropriate in order to implement share transfer.
			
	5.3	 		 	Before the Agreement takes effect, the Transferors hereby covenant not to take any of the following activities without the written consent of the Transferee:
			
		 	1)	 	Consult with other parties (including companies the Transferors set up in China and overseas) regarding its shares in CEEG PV-Tech or enter into share transfer intent, agreement or pledge all
or part of its shares.
			
		 	2)	 	Change of the registered capital or forms of capital contribution of CEEG PV-Tech;
			
		 	3)	 	Change of the directors and management of CEEG PV-Tech;
			
		 	4)	 	Change of the salary of the directors of CEEG PV-Tech;
			
		 	5)	 	Change of the annual budget (including capital expenditure) of CEEG PV-Tech; or
			
		 	6)	 	Merger, acquisition, liquidation and dissolution of CEEG PV-Tech.
			
	5.4	 		 	Before the agreement takes effect, CEEG PV-Tech shall have the obligations as follows:
			
		 	1)	 	Allow the Transferee to access the accounts, records, facilities, real estate, management, employees, accountants and legal counsel of CEEG PV-Tech;

  

 4 

					
			
		 	2)	 	Inform the Transferee immediately of the revocation of CEEG PV-Tech’s line of credit and make the largest efforts to recover the line of credit;
			
		 	3)	 	Inform immediately any significant litigation or the situation that may lead to significant litigation ;
			
		 	4)	 	Inform the Transferee in advance of any change in share structure in CEEG PV-Tech, its subsidiaries, affiliates or joint venture companies with CEEG PV-Tech as an investor;
			
		 	5)	 	Inform the Transferee immediately of the resignation of any important executive in CEEG PV-Tech; and
			
		 	6)	 	As required by the Transferee at any time, provide the Transferee with other information relating to the conditions, operation or prospect (financial or other aspect) of CEEG PV-Tech. CEEG
PV-Tech shall provide the above information within 2 days after receiving the requirement, or provide the certificate that CEEG PV-Tech has tried his best if more than 2 days are needed.
			
	5.5	 		 	Before the Agreement takes effect, CEEG PV-Tech agrees hereby, as for the following issues, the written consent of the Transferee shall be required:
			
		 	1)	 	Merger, restructure, liquidation, dissolution and winding-up; disposition of main businesses or significant assets (excluding current assets) and acquisition and grant of relative operation
rights;
			
		 	2)	 	Amendment of Articles of Association;
			
		 	3)	 	Any change of controlling percentage of shares;
			
		 	4)	 	Change of registered capital or form of capital contribution;
			
		 	5)	 	Sale, mortgage, pledge, lease, assignment or disposition of material assets;
			
		 	6)	 	Declaration or payment of dividends;
			
		 	7)	 	Reach any joint venture, partnership or association;
			
		 	8)	 	Provide loans to any director, management or employee;
			
		 	9)	 	Related party transaction outside regular businesses ;
			
		 	10)	 	Every external borrowing exceeding USD 2,000,000 or RMB of equivalent value or a series of external borrowings during 12 months totaling above USD 2,000,000 or RMB of equivalent
value;

  

 5 

					
			
		 	11)	 	Change of the salary of any employee whose base annual salary is USD 50,000 or more;
			
		 	12)	 	Hire or dismiss important management member;
			
		 	13)	 	Enter into any contract or arrangement with the consideration or payment (excluding purchase of raw materials or equipment) exceeding USD 500,000 payable within one year ;
			
		 	14)	 	Change audit firm or any accounting system or policies; or
			
		 	15)	 	Formulate or change annual budget.

  

	6.	Obligations of the Transferee 

  

	 	6.1	The Transferee shall pay the purchasing price in the form agreed otherwise by the Transferor and Transferee within ninety (90) days or a longer approved by the examination and
approval authorities after the Agreement takes effect. Notwithstanding, in case the Transferor or CEEG PV-Tech owes the Transferee debts, the Transferee has the right (without obligations) offset the purchasing price with any part of the debts from
at any time with the consent of the Transferee and Transferor and under Chinese laws and the approval of the examination and approval authorities or foreign exchange administrations. 

  

	 	6.2	On the effective date, the Transferee shall release all Transferors from the pledge on transfer and other liabilities and obligations as stipulated in the Share Pledge Agreement
made on March 24, 2006. 

  

	7.	Effectivity Clauses 

  

	 	7.1	The Agreement shall take effect and the Transferee shall fulfil the obligations under the Agreement under the premise that the blow conditions are fulfilled

  

	 	1)	The Transferors shall sign and deliver a Waiver (“Waiver”)in the form of Appendix II. According to the Waiver, the Transferors shall waive, with respect to
all or any part of the shares, any pre-emptive right that they may possess or that may apply to the transfer to the Transferee; 

  

	 	2)	The Transferors shall sign and deliver a termination agreement (“Termination Agreement”) made in the form of Appendix III and taking effect on the effective date.
According to the termination agreement, the Transferors shall agree to terminate the joint venture contracts and the original Articles of Association; 

  

	 	3)	The Transferee completes the due diligence research on the business, technology, legal affairs and finance of CEEG PV-Tech; 

  

 6 

	 	4)	CEEG PV-Tech and The Transferors obtain all the approvals, consents and resolutions as required by the Transferee; 

  

	 	5)	The Transferors and CEEG PV-Tech obtain any and all the necessary governmental approval relating to the equity transfer, including but not limited to the letters of consent issued
by the administrative authorities of Xinde on the equity transfer, and the approval issued by the examination and approval authorities on the equity transfer and CEEG PV-Tech’s restructuring to a wholly foreign owned enterprise;

  

	 	6)	The representations and warranties made by the Transferors and CEEG PV-Tech in the Agreement shall be true and accurate on the signing date and effective date of the Agreement, just
as the representations and warranties are made on the effective date; 

  

	 	7)	The Transferors and CEEG PV-Tech shall fulfil or observe all the obligations and stipulations that should be fulfilled or observed under the Agreement on the significant aspects;

  

	 	8)	The Transferors, CEEG PV-Tech and its legal representative shall present confirmation letters for the Transferors and CEEG PV-Tech’s complying with all the statements and
guarantees and fulfilling all the obligations under the Agreement; 

  

	 	9)	There is no legal proceedings, right or claim lodged or likely to be lodged against the Transferors, CEEG PV-Tech or the Transferee to restrict or prevent the completion of the
transactions hereunder or claim for compensation arising from the completion of the transactions hereunder; nor is there any effective orders issued by jurisdictional governmental departments restricting, prohibiting or preventing in other means the
completion of the transactions hereunder. 

  

	 	10)	The Transferors and CEEG PV-Tech shall deliver the review report (“Review Report”) for the period from Dec 1 to Dec 31, 2005 (“Closing Date of Review
Report”) and the unaudited financial statement (“Unaudited Financial Statement”) for January 2006, which are provided by Deloitte; 

  

	 	11)	The accountants of CEEG PV-Tech shall present the capital verification report to certify the its registered capital has been paid up by the Transferors and the capital contribution
is in conformity with the new and effective Articles of Association; 

  

	 	12)	CEEG PV-Tech shall provide the updated approval certificate and business license showing and reflecting its registered capital is paid up; 

  

 7 

	 	13)	The Chinese legal counsel of the Transferors and CEEG PV-Tech provide the legal opinions, whose forms and contents are satisfied to the Transferee; 

  

	 	14)	The board of directors of CEEG PV-Tech agrees to adopt the amendment and the new edition of the Articles of Association formulated by the Transferee; 

  

	 	15)	No any substantial adverse change in the capital, management, financial position, business and other rights of CEEG PV-Tech as of the closing date of the Review Report.

  

	 	7.2	The parties hereto shall make reasonable efforts to ensure the conditions stipulated in the Section 7.1 are fulfilled as soon as possible. In case the conditions stipulated in
Section 7.1 fails to be fulfilled within one year since signing of the Agreement, the Transferee shall have right and not obligations to notify at any time the Transferors of terminating the Agreement by writing. 

  

	8.	The Representations and Warranties of the Transferors and CEEG PV-Tech 

 The Transferors and CEEG PV-Tech represents and warrants as follows on the signing date and effective date: 
  

	 	8.1	The Transferors are the only beneficial owner of the equity in the registered capital of CEEG PV-Tech. Except for the share pledge stated in the Whereas clauses herein, the shares
are not restricted by any mortgage, pledge, guarantee right, lien or any other type or form when the Agreement is signed; 

  

	 	8.2	The Transferors have obtained all necessary approval, permission and conformation relating to transfer of all their shares in the registered capital of CEEG PV-Tech from all their
investors or the organizations that are entitled to dispose or supervise equity transfer, so the Transferors have the right to transfer all the equity and all accompanying rights without any defects they hold in CEEG PV-Tech;

  

	 	8.3	CEEG PV-Tech (i) is a limited liability company established, existing or operating normally in accordance with Chinese laws; (ii) has the right and license to engage in
the present and planed business and owns the property and uses the property for leasing; (iii) complies with the Articles of Association (including all amendment, accessories and supplements) at all substantial aspects ;

  

	 	8.4	CEEG PV-Tech has the legal qualification to operate at the place that it owns or rent for the business. The Appendix A lists the following information as of the date the Agreement
is signed (i) shareholders, shares and capital contribution; (ii) name, address and position of all directors and management in office; and (iii) ownership in other companies or entities CEEG PV-Tech invested or holding interest in

  

 8 

	 	8.5	According to the original Articles of Association, the registered capital of CEEG PV-Tech is USD 10,800,000 on the date of signing the contract. 

  

	 	8.6	The net assets of CEEG PV-Tech is RMB 58,172,906.29 on the date when the agreement is signed. 

  

	 	8.7	The signing, delivery and fulfillment of the Agreement and the transactions hereunder shall not violate any present and effective laws, any orders, rulings or decrees by any court
or other governmental department, the Articles of Association, or any agreement or restriction binding upon CEEG PV-Tech or its shareholders who are the party hereto. The signing, delivery and fulfillment of the Agreement and the transactions
hereunder shall not breach or constitute breach to the contract or agreement of CEEG PV-Tech or its shareholders who are the party hereto. 

  

	 	8.8	The balance sheet, income statement, shareholders’ equity and financial statement ended on the closing date of the review report of CEEG PV-Tech is (i) prepared by
Deloitte in accordance with the continuously used International Accounting Standards; (ii) a fair reflection of the financial position and change of CEEG PV-Tech at all closing dates and periods; and (iii) complete, correct and prepared in
accordance with the financial accounts of CEEG PV-Tech. 

  

	 	8.9	CEEG PV-Tech has made tax declaration in accordance with all the relative regulations. Every declaration shall correctly reflect all the tax obligations (including but not limited
to income tax, sales tax, import tariff, value added tax, etc.) and other information of CEEG PV-Tech required to declare. CEEG PV-Tech has paid all the due taxes as above said and all the taxes, penalty, penalty duty or tax difference incurred or
accumulated before the equity transfer. 

  

	 	8.10	Except for the share pledge stated in the Whereas clauses herein, the shares are not restricted by any mortgage, pledge, guarantee right, lien or any other type or form when the
Agreement is signed; 

  

	 	8.11	Appendix B(1) is a true and complete detailed list of all real estates CEEG PV-Tech has land use rights of, leases or uses. CEEG PV-Tech has the complete and indisputable
land use right to all the real estates listed in the Appendix. 

  

	 	8.12	Appendix B(2) is a detailed list of all fixed assets CEEG PV-Tech owns, uses or controls on the signing date of the Agreement, including factory buildings, equipment,
furniture, attachments and other tangible assets (except inventory) with the equivalent book value above RMB 2,000. All the assets are recorded in the accounts of CEEG PV-Tech and every fixed asset are described with features, cost and the book
value as of the most recent fiscal date. 

  

	 	8.13	Appendix B(3) lists all the patents, trademarks, commercial name, copyright, proprietary know-how, business secret or other industrial property rights, data or technologies
(“Industrial property right”) CEEG PV-Tech owns and use or will use in business. The industrial property rights are not subject to any mortgage, pledge, lien and restriction in its use or publication, and CEEG PV-Tech has no
obligation to pay for use or license to anybody. 

  

 9 

	 	8.14	No pending appeal, controversy, lawsuit, legal proceeding, labor dispute or research of any nature involving, affecting or targeting CEEG PV-Tech 

  

	 	8.15	Appendix C lists all important contracts, agreements and other arrangements where CEEG PV-Tech is one party, involved in or has influence including (i) the contracts,
agreements and undertakings involving US$ 1,000,000(or RMB 8,000,000) or above; (ii) the contracts, agreements and undertakings involving the borrowing or line of credit of RMB10,000,000 or above; (iii) any contracts and agreements signed
by the present or former directors, management, shareholders or long-term consultants; (iv) any agreements and other arrangements regarding purchase or sales of the assets of CEEG PV-Tech, except those occurring during day-to-day production and
operation; (v) the plans or similar plans on formally or informally granting its employees or others bonus, pension, profit distribution, purchase of shares, stock option and medical insurance; (vi) investment contracts or letters of
intent; and (vii) the agreements on transfer of intellectual property right and license use (including as transfer, Transferee, licensor or licensed user). Apart from the contracts listed in Appendix C, CEEG PV-Tech guarantees the listed
are all the contracts or letters of intent with significance to its business or operation. 

  

	 	8.16	CEEG PV-Tech does not enter into any written or verbal contract or other agreement with its related parties on the date when the Agreement is signed. (the “related party”
herein refers to the natural persons, companies, partnership companies, joint venture companies or other entities directly or indirectly controlling a party, directly or indirectly controlled by the party or under the normal control of the party.
“Control” herein refers to the right to instruct or establish the management and system of a entity, being it the securities accounting for 50% or above, the contract-regulated right to nominate and elect members of the Board of Directors
or other forms.) 

  

	 	8.17	CEEG PV-Tech does not operate other activities beyond its legal business scope. 

  

	 	8.18	Appendix D lists all loan agreements and Security Agreements signed by CEEG PV-Tech with various institutions (including financial or non-financial institutions and
individuals both at home and abroad) on the date when the Agreement is signed. All the agreements are valid according to the present and effective Chinese laws and constitute the legally binding obligations CEEG PV-Tech has to the above
institutions. CEEG PV-Tech has no breach under these contracts. 

  

	 	8.19	CEEG PV-Tech shall comply with all the applicable laws of the People’s Republic of China 

  

 10 

	 	8.20	As of the closing date of the review report, CEEG PV-Tech has no substantial adverse change in its assets, management, financial position, business reputation, business and other
rights. 

  

	9.	Liabilities for Breach of the Contract 

  

	 	9.1	Should one party hereto fail to fulfill or violate the statements, guarantees, undertakings, agreement, liabilities or obligations it makes or promises in the Agreement, the party
shall compensate to other parties hereto (“the parties compensated”) and undertakes to prevent the parties compensated from any and all damage, loss, claim, liabilities, requirement, accusation, litigation, penalty, cost and expenses
incurred from the above said behaviors. 

  

	 	9.2	Should the Transferors or CEEG PV-Tech fail to fulfill or violate the statements, guarantees, undertakings, agreement, liabilities or obligations they make or promise in the
Agreement, except the rights as stipulated in the above 9.1, the Transferee shall have the right to terminate the Agreement by informing the Transferors and CEEG PV-Tech in writing. The Agreement shall be invalid thereafter and the Transferee shall
not undertake the obligations under the Agreement. 

  

	10.	Miscellaneous 

  

	 	10.1	Applicable Law The Agreement is signed and construed in accordance with the laws of the People’s Republic of China. However, in case the dispute is not covered by
Chinese laws, the laws of Hong Kong Special Administrative Region of the People’s Republic of China shall prevail. 

  

	 	10.2	Entire Agreement The Agreement, its accessories, appendixes and the agreements and other documents delivered under the Agreement constitute the entire agreement and replace
any previous agreement in connection with the matters in the Agreement. 

  

	 	10.3	Severability If any provision of the Agreement shall be deemed unlawful, void, or for any reason unenforceable at any time in accordance with any laws in any jurisdictional
area, then the provision shall be deemed severable from the remaining provisions in the Agreement and shall not affect or damage in any form the legality, validity and enforceability of any remaining provisions. 

  

	 	10.4	Notices All notices, requirements, requests, orders and other communications under the Agreement shall be in writing and be deemed as officially delivered to the recipient
after being delivered in person, by fax, prepaid register and airmail. The delivery in person or by fax shall take effect upon receipt and delivery by post shall take effect 10 days after delivery. 

  

	 	10.5	Waiver & Accumulated Remedies The Creditor’s failure or delay in executing any rights or remedies as provided in the Agreement shall not be deemed as waiver;
the execution of any individual or part of rights and remedies shall not interfere further execution or other execution or execution of other rights or remedies. The rights or remedies as stipulated in the Agreement is accumulative and does not
exclude any rights or remedies as stipulated in the laws. 

  

 11 

	 	10.6	Amendment & Change Any amendment or change of the Agreement is subject to the written consent of both parties. 

  

	 	10.7	Settlement of Disputes Any disputes the parties cannot settle shall be settled through arbitration in accordance with the rules of international chamber of commerce. The
arbitration shall be made by Hong Kong International Arbitration Centre in English. The tribunal is made up of 3 members, of which one by either party respectively and one is selected by the above two members. The arbitration award shall be final
and binding upon both parties. The expenses in connection with the arbitration shall be born according to the decision of the tribunal. 

 [Remainder of the page intentionally left blank.] 
  

 12 

 IN WITNESS WHEREOF, the representatives of all Parties have set their hands hereto, as indicated
by the signatures below. 
  

			
	Party A
	
	China Sunergy Co., Ltd.
	
	 /s/ Fernando R. Vila

	Name:	 	Fernando R. Vila
	Title:	 	Director
	
	Party B
	
	Nanjing Xinde Assets Management Co., Ltd. (Seal)
	
	 /s/ Lu Tingxiu

	Name:	 	
	Title:	 	
	
	 /s/ Zhao Jianhua

	Zhao Jianhua
	
	 /s/ Zhang Fengming

	Zhang Fengming
	
	 /s/ Wang Aihua

	Wang Aihua

 The signature page for the Equity Transfer Agreement of CEEG (Nanjing) PV-Tech Co., Ltd.

			
	Party C
	
	CEEG (Nanjing) PV-Tech Co., Ltd. (Seal)
	
	 /s/ Lu Tingxiu

	Name:	 	
	Title:	 	

 The signature page for the Equity Transfer Agreement of CEEG (Nanjing) PV-Tech Co., Ltd.

 Appendix I(A) 
 Joint Venture Contract of CEEG PV-Tech 

 Appendix I(B) 
 Original Articles of Association of CEEG PV-Tech 

 Appendix II 
 Waiver 
 The signatory hereby agrees as follows on      2006:

  

	 	 •
	 	 The signatory hereby permanently waives the preemptive right as set out in the 14th Section of the Articles of Association of CEEG (Nanjing) PV-Tech Co., Ltd. (hereinafter refereed to as “CEEG PV-Tech”) and in
accordance with the Equity Transfer Agreement (”Equity Transfer Agreement”) between China Sunergy Co, Ltd. (“BVI COMPANY”) and Nanjing Xinde Assets Management Co., Ltd. and Zhao Jianhua, Zhang Fengming and Wang
Aihua (“Shareholders”) on transferring the shares of CEEG PT-Tech to BVI Company; and 

  

	 	•	 	 The signatory shall permanently waive any and all rights as the shareholder of CEEG PT-Tech as set out in its Articles of Association as of the effective date of
the Equity Transfer Agreement. 

  

			
	Nanjing Xinde Assets Management Co., Ltd.
	
	(Seal)
	
	 /s/ Lu Tingxiu

	Name:	 	
	Title:	 	
	Date:	 	

 The signature page for the Waiver of Xinde 

 Waiver 
 The signatory hereby agrees as follows on      2006: 
  

	 	 •
	 	 The signatory hereby permanently waives the preemptive right as set out in the 14th Section of the Articles of Association of CEEG (Nanjing) PV-Tech Co., Ltd. (hereinafter refereed to as “CEEG PV-Tech”) and in
accordance with the Equity Transfer Agreement (“Equity Transfer Agreement”) between China Sunergy Co, Ltd. (“BVI COMPANY”) and Nanjing Xinde Assets Management Co., Ltd. and Zhao Jianhua, Zhang Fengming and Wang
Aihua (“Shareholders”) on transferring the shares of CEEG PT-Tech to BVI Company; and 

  

	 	•	 	 The signatory shall permanently waive any and all rights as the shareholder of CEEG PT-Tech as set out in its Articles of Association as of the effective date of
the Equity Transfer Agreement. 

  

			
	 /s/ Zhao Jianhua

	Name:	 	Zhao Jianhua
	Date:	 	

 The signature page for the Waiver of Zhao Jianhua 

 Waiver 
 The signatory hereby agrees as follows on      2006: 
  

	 	 •
	 	 The signatory hereby permanently waives the preemptive right as set out in the 14th Section of the Articles of Association of CEEG (Nanjing) PV-Tech Co., Ltd. (hereinafter refereed to as “CEEG PV-Tech”) and in
accordance with the Equity Transfer Agreement (“Equity Transfer Agreement”) between China Sunergy Co, Ltd. (“BVI COMPANY”) and Nanjing Xinde Assets Management Co., Ltd. and Zhao Jianhua, Zhang Fengming and Wang
Aihua (“Shareholders”) on transferring the shares of CEEG PT-Tech to BVI Company; and 

  

	 	•	 	 The signatory shall permanently waive any and all rights as the shareholder of CEEG PT-Tech as set out in its Articles of Association as of the effective date of
the Equity Transfer Agreement. 

  

			
	 /s/ Zhang Fengming

	Name:	 	Zhang Fengming
	Date:	 	

 The signature page for the Waiver of Zhang Fengming 

 Waiver 
 The signatory hereby agrees as follows on      2006: 
  

	 	 •
	 	 The signatory hereby permanently waives the preemptive right as set out in the 14th Section of the Articles of Association of CEEG (Nanjing) PV-Tech Co., Ltd. (hereinafter refereed to as “CEEG PV-Tech”) and in
accordance with the Equity Transfer Agreement (“Equity Transfer Agreement”) between China Sunergy Co, Ltd. (“BVI COMPANY”) and Nanjing Xinde Assets Management Co., Ltd. and Zhao Jianhua, Zhang Fengming and Wang
Aihua (“Shareholders”) on transferring the shares of CEEG PT-Tech to BVI Company; and 

  

	 	•	 	 The signatory shall permanently waive any and all rights as the shareholder of CEEG PT-Tech as set out in its Articles of Association as of the effective date of
the Equity Transfer Agreement. 

  

			
	 /s/ Wang Aihua

	Name:	 	Wang Aihua
	Date:	 	

 The signature page for the Waiver of Wang Aihua 

 Appendix III 
 Termination Agreement 
 The termination agreement (hereinafter refereed to as “the
Agreement”) was entered into by and among Nanjing Xinde Assets Management Co., Ltd. (“Xinde”), Zhao Jianhua, Zhang Fengming, Wang Aihua and China Sunergy Co., Ltd. (“BVI COMPANY”) on
             2006. (Xinde, Zhao Jianhua, Zhang Fengming and Wang Aihua are referred to herein individually as “the Transferor” and BVI Company is referred to herein as
“the Transferee”. 
 Whereas 
 Whereas the Transferor holds 100% ownership of CEEG (Nanjing) PV-Tech Co., Ltd. (hereinafter refereed to as “CEEG PV-Tech”). According to the equity transfer agreement (“Equity Transfer
Agreement”) between the Transferor and the Transferee, the Transferee wishes to purchase all the Transferors’ shares in CEEG PV-Tech and the Transferors wishes to sell all their shares in CEEG PV-Tech; 
 Whereas CEEG PV-Tech shall become the Transferee’s wholly-owned subsidiary, i.e., a wholly foreign owned enterprise under the law of the
People’s Republic of China after the equity transfer; 
 NOW, THEREFORE, the parties agree as follows: 
 1. Termination of Joint Venture Contract. The joint venture contracts on CEEG PV-Tech made by and between the parties hereto shall terminate on the
effective date of the Equity Transfer Agreement. 
 2. Termination of Articles of Association. The Articles of Association and any
amendments on CEEG PV-Tech signed by and between the parties hereto shall terminate on the effective date of the Equity Transfer Agreement. 
 3. Applicable Law. The establishment, validity, interpretation and settlement of disputes are governed by the issued or promulgated laws of the People’s Republic of China; however, in case the dispute is not covered by Chinese
law, general international commercial law shall prevail. 
 (Remainder of the page intentionally left blank.) 

 IN WITNESS WHEREOF, the representatives of all Parties have set their hands hereto in Nanjing,
China, as indicated by the signatures below. 
  

			
	China Sunergy Co., Ltd.
	
	 /s/ Fernando R. Vila

	Name:	 	Fernando R. Vila
	Title:	 	Director
	
	Nanjing Xinde Assets Management Co., Ltd. (Seal)
	
	 /s/ Lu Tingxiu

	Name:	 	
	Title:	 	
	
	 /s/ Zhao Jianhua

	Zhao Jianhua
	
	 /s/ Zhang Fengming

	Zhang Fengming
	
	 /s/ Wang Aihua

	Wang Aihua

 The signature page for the Termination Contract of CEEG (Nanjing) PV-Tech Co., Ltd.

 Appendix A 
 Name List of Shareholders 
 Name List of Directors and Officers 
 List of External Investment 

 Appendix B 
 (1) List of Real Estates 
 (2) List of Fixed Assets 
 (3) List of Industrial Properties 

 Appendix C 
 Sales Contracts and Contracts for Manufacturing with Customers’ Materials 
  

	 	1.	The Supply Contract signed by and between CEEG (Nanjing) PV-Tech Co., Ltd. (hereinafter refereed to as “CEEG PV-Tech”) and S.E. PROJECT S.r.l. (Buyer)on Nov 11, 2005.

  

	 	2.	The Sales Contract signed by and between CEEG PV-Tech and Zhejiang Gongyuan Electric Co., Ltd. on Nov 22, 2005. 

  

	 	3.	The Supply Contract signed by and between CEEG PV-Tech and Renergies Itallia srl (Buyer) on Dec 2, 2005. 

  

	 	4.	The Sales Contract signed by and between CEEG PV-Tech and Wuxi Xinte’er Technology Co., Ltd. on Dec 12, 2005 

  

	 	5.	The Supply Contract signed by and between CEEG PV-Tech and GIRASOLAR BV (Buyer) on Dec 22, 2005 

  

	 	6.	The Sales Contract signed by and between CEEG PV-Tech and Shanghai Dingyisheng Industry Co., Ltd. on Dec 29, 2005 

  

	 	7.	The Sales Contract signed by and between CEEG PV-Tech and Shanghai Yuxian Solar Power Technology Co., Ltd. on Dec 30, 2005 

  

	 	8.	The Sales Contract signed by and between CEEG PV-Tech and Changzhou (Kinder) Jingda Machinery Industry Co., Ltd. on Feb 10, 2006 

  

	 	9.	The Contract Manufacturing with Customers’ Materials signed by and between CEEG PV-Tech and Wuxi Guofei Green Power Source Co., Ltd. on Jan 13, 2006 

Purchase Contracts 
  

	 	1.	The Contract signed by and between CEEG PV-Tech and Roth & Rau AG on April 28, 2005 (regarding SiNA Antireflective Coating Equipment for Crystalline Silicon Solar
Cells) 

  

	 	2.	The Purchase Contract signed by and between CEEG PV-Tech and Baccini Spa of Treviso Italy on Jun 20, 2005 (on Automatic Printing (rotary table) & Drying &
Sorting & Testing Line for Solar Cells) 

  

	 	3.	The Purchase Contract signed by and between CEEG PV-Tech and RENA Sondermaschinen GmbH on Sept. 19, 2005 (on InTex Inline Texturing and Saw damage etch) 

  

	 	4.	The Long-Term Supply Contract signed by and between CEEG PV-Tech and Jiangsu Shunda Semiconductor Development Co., Ltd. on Aug 24, 2004 

	 	5.	The Long-Term Supply Contract signed by and between CEEG PV-Tech and Shandong Linuo PV High-Tech Co., Ltd. on May 2005 

  

	 	6.	The Sales Contract signed by and between CEEG PV-Tech and Shanghai Yuxian Solar Power Technology Co., Ltd. on May 21, 2005 

  

	 	7.	The Purchase Contract signed by and between CEEG PV-Tech and Wuxi Guofei Green Power Source Co., Ltd. on May 25, 2005 

  

	 	8.	The Framework Agreement, CEEG PV-Tech and Zhejiang Jinggong Photoelectric Co., Ltd. on Jun 20, 2005 

  

	 	9.	The Long-Term Supply Contract signed by and between CEEG PV-Tech and Shanghai Camdenk Semiconductor Co., Ltd. on Aug 29, 2005 

  

	 	10.	The Contract signed by and between CEEG PV-Tech and Konca Solar Cell (Wuxi) Co., Ltd. on Sep 9, 2005 

  

	 	11.	The Sales Contract signed by and between CEEG PV-Tech and Zhejiang Yuhui Solar Energy Source Co., Ltd. on Nov 28, 2005 

  

	 	12.	The Contract signed by and between CEEG PV-Tech and Matex Electronic Equipment & Material SAS on Nov 30, 2005 

  

	 	13.	The Purchase Agreement signed by and between CEEG PV-Tech and Konca Solar Cell (Wuxi) Co., Ltd. on Dec 1, 2005 

  

	 	14.	The Industrial Product Sales Contract (No. NJPV-20051209-Z), signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	15.	The Industrial Product Sales Contract (No. NJPV-20051209-Z1) (6 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	16.	The Industrial Product Sales Contract (No. NJPV-20051209-Z1) (8 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	17.	The Industrial Product Sales Contract (No. NJPV-20051209-Z2) (6 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	18.	The Industrial Product Sales Contract (No. NJPV-20051209-Z2) (8 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	19.	The Industrial Product Sales Contract (No. NJPV-20051209-Z3) (6 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	20.	The Industrial Product Sales Contract (No. NJPV-20051209-Z3) (8 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

	 	21.	The Industrial Product Sales Contract (No. NJPV-20051209-Z4) (6 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	22.	The Industrial Product Sales Contract (No. NJPV-20051209-Z4) (8 Inch) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 9, 2005 

  

	 	23.	The Industrial Product Sales Contract (No. NJPV2005CF1220-1) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	24.	The Industrial Product Sales Contract (No. NJPV2005CF1220-2) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	25.	The Industrial Product Sales Contract (No. NJPV2005CF1220-3) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	26.	The Industrial Product Sales Contract (No. NJPV2005CF1220-4) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	27.	The Industrial Product Sales Contract (No. NJPV2005CF1220-5) signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Dec 20, 2005 

  

	 	28.	The Sales Contract signed by and between CEEG PV-Tech and Perfectenergy (Shanghai) Limited on Dec 20, 2005 

  

	 	29.	The Industrial Product Sales Contract signed by and between CEEG PV-Tech and Shanghai Qunying Machinery Co., Ltd. on Dec. 20, 2005 

  

	 	30.	The Contract signed by and between CEEG PV-Tech and KaiWa Hong Kong Limited on Jan 9, 2006 

  

	 	31.	The Sales Contract signed by and between CEEG PV-Tech and Wuxi Guofei Green Power Source Co., Ltd. on Jan 13, 2006 

  

	 	32.	The Industrial Product Sales Contract signed by and between CEEG PV-Tech and Guangzhou Ruxing Technology Development Co., Ltd. on Jan 24, 2006 (on purchase of silver and aluminum
paste and other auxiliary materials) 

 Loan Agreement and Security Agreement 
 Details as per the below Appendix D 
 Agreement with Employees and
Management 
  

	 	1.	The Employment Contract of Nanjing (sample contract) between CEEG PV-Tech and its employees 

	 	2.	The Supplementary Agreement to the Employment Contract (sample contract) on confidentiality and non-competition between CEEG PV-Tech and concerned key employees and management.

  

	 	3.	The service agreement (sample contract) on training to employees between CEEG PV-Tech and technical employees 

 Others 
  

	 	1.	The investment agreement signed by and between CEEG PV-Tech and The Administrative Committee of Nanjing Jiangning Economic & Technical Development Zone on Aug 22, 2004

  

	 	2.	The Contract of Assignment of the Use Right of State-Owned Land signed by and between CEEG PV-Tech and Nanjing Municipal Bureau of State Land and Resources Jiangning Branch on Feb
16, 2006. 

 Appendix D 
 Loan Agreement and Security Agreement 
  

	 	1.	The loan contracts signed by CEEG PV-Tech (as Debtor) are as the below table: 

  

											
	 Contract
	  	 Creditor
	  	 Signing Date
	  	 Term of Loan
	  	 Principal
 (1m)
	  	 Note

	 RMB Loan Contract
	  	Nanjing City Commercial Bank	  	Nov 23, 2004	  	11/18/04-11/18/07	  	RMB50	  	Add mortgage after the project is completed; transfer of property right is subject to the written consent of the creditor beforehand
						
	 Loan Contract
	  	China Merchants Bank, Nanjing Branch	  	Mar 8, 2005	  	03/08/05-03/08/06	  	RMB20	  	Equity transfer is subject to notification of the creditor beforehand and fulfillment of protective measures
						
	 Line of Credit Agreement
	  	China Merchants Bank, Nanjing Branch	  	Unavailable	  	11/24/05-03/31/07	  	US$4.3	  	Involving external guarantee; Equity transfer is subject to notification of the creditor beforehand and fulfillment of protective measures
						
	 Line of Credit Agreement
	  	China Merchants Bank, Nanjing	  	Unavailable	  	11/24/05-03/31/07	  	€3	  	Involving external guarantee; Equity transfer is subject to notification of the creditor beforehand and fulfillment of protective measures
						
	 RMB Loan Contract
	  	China CITIC Bank, Nanjing Branch	  	Mar 23, 2005	  	03/23/05-03/23/06	  	RMB25	  	Equity transfer is subject to the written consent of the creditor beforehand
						
	 RMB Loan Contract
	  	China CITIC Bank, Nanjing Branch	  	Nov 30, 2005	  	11/30/05-12/29/05	  	RMB25	  	The loan is paid off
						
	 RMB Loan Contract
	  	China CITIC Bank, Nanjing Branch	  	Jan 6, 2006	  	01/06/06-01/06/07	  	RMB25	  	Equity transfer is subject to the written consent of the creditor beforehand
						
	 Contract of Working
 Capital Loan
	  	Industrial and Commercial Bank of China, Nanjing Hanfu Sub-branch	  	Jun 29, 2005	  	06/29/05-06/28/06	  	RMB50	  	 Change in equity is subject to the written
 consent of the creditor beforehand

	  	  	  	  	  

											
						
	 Contract of Working Capital Loan
	  	Industrial and Commercial Bank of China, Nanjing Hanfu Sub-branch	  	Aug 2, 2005	  	08/02/05-08/01/06	  	RMB10	  	Change in equity is subject to the written consent of the creditor beforehand
						
	 Contract of Working Capital Loan
	  	Industrial and Commercial Bank of China, Nanjing Hanfu Sub-branch	  	Sep 29, 2005	  	09/29/05-03/28/06	  	RMB20	  	Change in equity is subject to the written consent of the creditor beforehand
						
	 RMB Loan Contract
	  	 China Construction
 Bank Nanjing Xinjiekou Sub-
branch
	  	Oct 24, 2005	  	10/24/05-10/23/06	  	RMB20	  	The behavior which may endanger the creditor’s right is subject to the written consent of the creditor beforehand
						
	 Loan Contract
	  	Bank of Communications, Nanjing Branch	  	Oct 31, 2005	  	10/31/05-10/26/07	  	RMB20	  	Transfer of property right is subject to the written consent of the creditor beforehand
						
	 Loan Contract
	  	Bank of Communications, Nanjing Branch	  	Oct 31, 2005	  	10/31/05-10/26/06	  	RMB10	  	Transfer of property right is subject to the written consent of the creditor beforehand

  

	 	2.	The Security Agreement entered into by and between CEEG PV-Tech and China Merchants Bank Nanjing Branch on Nov 22, 2005 on entrusting China Merchants Bank, Nanjing Branch open
Letter of Indemnity/Standby Letter of Credit. The agreement is a part of the Line of Credit Agreement between the parties on giving CEEG PV-Tech the credit line of USD 4,300,000. 

  

	 	3.	The Security Agreement entered into by and between CEEG PV-Tech and China Merchants Bank Nanjing Branch on Nov 23, 2005 on entrusting China Merchants Bank, Nanjing Branch open
Letter of Indemnity/Standby Letter of Credit. The agreement is a part of the Line of Credit Agreement between the parties on giving CEEG PV-Tech the credit line of €3,000,000. 

 Exhibit J 
 Share Pledge Agreement 
 This Share Pledge Agreement (hereinafter referred to as “this
Agreement”) is concluded and signed by the following parties on March 24, 2006: 
 Pledgor: Zhao Jianhua, an Australian
citizen; passport number: L5162256; address: Business Incubator, Jiangning Economic & Technical Development Zone, Nanjing, China; 
     Zhang Fengming, an Australian citizen; passport number: L3798159; address: Business Incubator, Jiangning Economic & Technical Development Zone, Nanjing, China; 
     Wang Aihua, an Australian citizen; passport number: L4142723; address: Business Incubator, Jiangning Economic &
Technical Development Zone, Nanjing, China. 
 Pledgee: China Sunergy Co., Ltd., a private limited company incorporated in British
Virgin Islands under the laws of British Virgin Islands; legal address: P.O. Box 3321, Drake Chambers, Road Town, Tortola, British Virgin Islands (the “Pledgee”). 
 The above parties are referred to as “a Party” respectively and “the Parties” collectively. Among them, Zhao Jianhua,
Zhang Fengming and Wang Aihua are hereinafter referred to as “each Pledgor” respectively or the “Pledgors” collectively and China Sunergy Co., Ltd. is referred to as the “Pledgee”. 
 Whereas: 
  

	1.	On the date of execution of this Agreement, all the Pledgors are registered shareholders of the Company (as defined below), legally hold total 44% of shares of the Company and have
completely fulfilled their respective contribution obligations to the Company. 

  

	2.	Pledgee and the Company concluded and signed a Loan Agreement (as defined below) on March 8, 2006 in the format of Schedule I hereto. In accordance with such Loan Agreement,
Pledgee will grant a loan (as defined below) to the Company. 

  

	3.	As security for the Company to repay in full Secured Debt (as defined below) to the Pledgee, the Pledgors pledge all the shares of the Company that they hold to the Pledgee.

 Article I Definition and Interpretation 
  

	1.1	Definition: Unless otherwise specified, the following terms herein shall have the meanings provided below. 

  

			
	 “Company”
	  	Refers to CEEG (Nanjing) PV-Tech Co., Ltd.
		
	 “Loan Agreement”
	  	Refers to Loan Agreement signed by the Pledgee and the Company on March 8, 2006.

			
		
	“Loan”	  	Refers to a Loan of USD 10,000,000 in cash or of cash in other currencies equivalent to USD 10,000,000 agreed upon by both parties to the Loan Agreement (exchange rate shall be subject to the
middle price of the exchange rate published by the People’s Bank of China or the appointed organization on the date the Loan is provided) granted by the Pledgee to the Company in accordance with the terms and conditions of the Loan
Agreement.
		
	Interest	  	Refers to the interest amount calculated by the lending rate provided in Article 1.4 of the Loan Agreement.
		
	Overdue Repayment Interest	  	Refers to the interest amount calculated by the overdue rate provided in Article 1.5 of the Loan Agreement.
		
	“China”	  	Refers to the People’s Republic of China (for the purpose of this Agreement only, exclusive of Taiwan, Hong Kong and Macao).
		
	“Chinese Law”	  	Refers to any effective laws and regulations promulgated in China.
		
	“RMB”	  	Refers to RMB, the legal currency of China.
		
	“Pledged Shares”	  	 Include, but not limited to:
  
 (a)    All the share interests and benefits on all the shares of the Company held respectively by the
Pledgors (i.e.: Zhao Jianhua holds 15% of the shares of the Company; Zhang Fengming holds 24% of the shares of the Company and Wang Aihua holds 5% of the shares of the Company), and
  
 (b)    Ancillary right generated from
the shares owned by them, no matter the right is currently owned or to be acquired afterwards.

		
	“Secured Debt”	  	Includes the Loan, Interest, Overdue Repayment Interest, compensation for breach of contract, damages and expenses for achieving principal credit and Right of Pledge.
		
	“Right of Pledge”	  	Refers to pledge security right and interest on the Pledged Shares.

			
	“Examination and Approval Authority of Foreign Investment”	  	Refers to the original examination and approval authority of the Company, namely Bureau of Foreign Trade and Economic Cooperation, Nanjing Municipality or its authorized
organization.
		
	“Company Registration Authority”	  	Refers to the administration for industry and commerce that the Company registered with, namely Nanjing Administration for Industry and Commerce
		
	“Effective Date”	  	Refers to the date when the Examination and Approval Authority issues an official reply to approve the Pledgor’s pledge over the Pledged Shares and registers the Pledged Shares with the
Company Registration Authority.

  

	1.2	Interpretation: Headings in this Agreement are for reference only and do not impact meanings or explanation of any articles herein. Any articles or appendices mentioned herein shall
refer to the articles or appendices included herein. Plural reference also includes singular reference and vice versa. Unless otherwise specified, day, month or year mentioned herein shall refer to calendar day, calendar month or calendar year.
Business day mentioned herein shall refer to the days when commercial banks open for business in both USA and China. Male reference also includes female reference and vice versa. 

 Article II Share Pledge 
  

	2.1	As security for the Company to repay in full the Secured Debt to the Pledgee, the Pledgors, as the shareholders of the Company, hereby pledge the Pledged Shares defined herein to
the Pledgee jointly and severally and respectively, and the Pledgee has the right of pledge and priority of compensation. The Pledgors bear joint and several warranty liabilities for the Secured Debt. 

  

	2.2	The pledge of the Pledged Shares shall take effect from the effective date, and shall be extinguished on the date when all the Secured Debt are repaid or the Pledgee agrees in
writing. 

  

	2.3	Corporate Asset Evaluation Report of Schedule II hereto is the determination basis of value of the Pledged Shares. During the effective period of this Agreement, the Pledgee shall
not be responsible for any value reduction of the Pledged Shares except for the losses due to the Pledgee’s intention or any fault that have direct causal relation with the result and the Pledgors are not entitled to claim in any form or raise
any requirement to the Pledgee. 

  

	2.4	On the premise that the provision of the above-mentioned Article 2.3 is not violated, in case that the value of Pledged Shares has any obvious reduction, which is sufficient to
damage the rights of the Pledgee, the Pledgee may require the Pledgors to provide corresponding additional security; if the Pledgors fail to provide such security, subject to the provisions of the current Chinese Laws and the requirements of the
relevant examination and approval authority of foreign investment and the relevant registration authority, the Pledgee may request and act as an agent of the Pledgors to auction or sell off the Pledged Shares, and negotiate with the Pledgors to
early repay the Secured Debt with the sum obtained by the auction or selling off or to deposit it at the notary authority of the place where the Pledgors are located (any reasonable expenses caused thereby shall be fully borne by the Pledgors).

	2.5	The Pledgee, as a Pledgee, enjoys the secured interest at the first priority of the Pledged Shares. In the event that the Company fails to repay timely to the Pledgee all the Loans
in accordance with the provisions of the Loan Agreement, the Pledgee is entitled to dispose the Pledged Shares in accordance with the provision of Article III herein. 

  

	2.6	The effectiveness of the Pledgee’s right of pledge hereunder shall affect the fructus of the Pledged Shares. During the effective period of this Agreement, on the premise of
prior written consent of the Pledgee, the Pledgors may obtain the share dividend or profit of the Pledged Shares. The dividend or profit of the Pledged Shares obtained by the Pledgors during the effective period of this Agreement shall be deposited
into the account appointed by the Pledgee, supervised by the Pledgee and as pledge used first for repaying the Secured Debt. 

 Article
III Exercise of the Right of Pledge 
  

	3.1	The Parties agree that if the Company fails to repay the Loans in full to the Pledgee as scheduled in accordance with the provisions of the Loan Agreement, the Pledgee is entitled
to, after notifying the Pledgors in writing, exert all the rights and authorities of default remedies provided in the Chinese Laws, the Loan Agreement, this Agreement and other relevant agreements to which the Parties are parties, including (but not
limited to) repayment with whole or partial Pledged Shares at the discount value agreed by the Parties, or auctioning and selling off the Pledged Shares to repay in priority. The Pledgee shall not be responsible for any losses caused by its
reasonable exertion of such rights and authorities unless the Pledgee cause damages to the Pledgors intentionally or at its fault. 

  

	3.2	The Pledgee is entitled to appoint its lawyer or other agents in writing to exercise any and all of the above-mentioned rights and authorities. Neither the Pledgors nor the Company
may dissent from this. 

  

	3.3	The Pledgors shall equally bear the reasonable expenses occurring when the Pledgee exerts any or all of the above-mentioned rights and authorities. The Pledgee is entitled to deduct
such expenses actually incurred from the amount acquired in its exertion of the rights and authorities. 

  

	3.4	The sum acquired by the Pledgee in its exertion of rights and authorities shall be handled in accordance with the following sequences? 

  

			
	Firstly,	  	pay all the reasonable expenses incurred in the disposal of the Pledged Shares and the exertion of its rights and authorities (including the compensation paid to its lawyer and
agents);
		
	Secondly,	  	pay taxes payable for the disposal of the Pledged Shares; and

			
	Thirdly,	  	repay the Secured Debt to the Pledgee;

 If there is still a remaining amount after deduction of the above-mentioned sum, the Pledgee shall
return the remaining amount to the Pledgors or others that are entitled to such amount in accordance with relevant laws and regulations, or deposit it at the notary authority of the place where the Pledgors are (any reasonable expenses caused
thereby shall be fully borne by the Pledgors). After the Pledged Shares are converted for repayment, auctioned or sold off, the portion of the sum that is less than the repayment amount of the Secured Debt shall be repaid by the Pledgors.

  

	3.5	When the Pledgee exerting its right of pledge in accordance with this Agreement, the Pledgors may not set any obstacles and shall take all the necessary and indispensable measures
and sign all the necessary and indispensable documents to assist the Pledgee in the exertion of its right of pledge. 

  

	3.6	In the event of any default events stated in Article VIII hereof, the Pledgors shall compensate for any losses of the Pledgee. 

 Article IV Representations, Warranties and Commitments 
  

	4.1	The Pledgors represent and warrant to the Pledgee as follows: 

  

	 	4.1.1	The Pledgors (i) are Australian citizens in full capacity for civil conduct; (ii) with full and independent legal status and legal capacity; ( iii) have full right and
authorization to sign and fulfill this Agreement and to complete the issues stated herein and can act as an independent principal of action; (iv) have ability to fulfill the obligations and secured liabilities hereunder.

  

	 	4.1.2	The Company is a sino-foreign joint venture duly incorporated and legally existing under the Chinese Laws and is entitled to own and operate its assets and operate business within
the business scope provided in its business license. Since the Company’s establishment, the business operation of the Company is always consistent with the provisions of all the applicable laws and the Company’s Joint Venture Contract and
articles of association (including all amendments, appendices and supplements). Except other secured rights and interests provided under the Loan Agreement, the Company shall have legal and complete ownership of all of its assets, which shall not be
subject to any secured rights and interests as well as any third party rights. There is no violation of the contract or agreement that has binding force on the Company, nor is there any litigation, arbitration or other legal actions relating to the
Company or its assets. 

  

	 	4.1.3	On the execution date and the effective date of this Agreement, the registered capital of the Company is USD 10,800,000. Among them, Zhao Jianhua has contributed USD 1,620,000,
accounting for 15% of the registered capital of the Company; Zhang Fengming has contributed USD 2,592,000, accounting for 24% of the registered capital of the Company; Wang Aihua has contributed USD 540,000, accounting for 5% of the registered
capital of the Company. The Pledgors have completely fulfilled their respective obligations for registered capital contribution to the Company. 

	 	4.1.4	On the execution date and the effective date of this Agreement, the Pledgors are the sole legal owners of their respective Pledged Shares. There is no existing disputes with regard
to the ownership of such Pledged Shares. The Pledgors are entitled to dispose of their respective Pledged Shares and any parts thereof. 

	 	

	 	4.1.5	On the execution date and the effective date of this Agreement, except the secured rights and interests of the Pledged Shares provided herein, there is not any other secured rights
and interests or third party rights and interests of the Pledged Shares. 

	 	

	 	4.1.6	On the execution date and the effective date of this Agreement, the Pledged Shares may be duly pledged and transferred and the Pledgors have sufficient rights and authorities to
pledge their respective Pledged Shares to the Pledgee in accordance with the provision hereof. 

	 	

	 	4.1.7	Prior to the payment date under the Loan Agreement, the Pledgors shall ensure to complete the following matters and provide relevant documents to the Pledgee:

  

	 	(a)	Board of Directors of the Company shall, in accordance with the format of Schedule III hereto, reach a resolution agreed by all the directors and provide an original version to the
Pledgee; 

  

	 	(b)	The Company shall, in accordance with the format of Schedule IV hereto, issue an original share pledge registration certificate to the Pledgee; 

  

	 	(c)	The Company shall, in accordance with the format of Schedule V, record the secured rights and interests of the Pledged Shares provided herein in the Company’s register of
shareholders and provide the Pledgee with a copy of such with the Company’s official chop; 

  

	 	(d)	The originals of Consent and Waiver Letter issued by the shareholders of the Company other than the Pledgors respectively, in accordance with the format of Schedule VI hereto, to
the Pledgee; and 

  

	 	(e)	An original of Consent Letter issued by the spouses of the Pledgors, in accordance with the format of Schedule VII hereto, to the Pledgee. 

  

	 	4.1.8	Upon the effectiveness of this Agreement, the provisions hereof constitute legal, effective and binding obligations to the Pledgors and may be enforceable, in accordance with the
provisions hereof, to the Pledgors. 

	 	

	 	4.1.9	On the effective date, what have to be acquired, including but not limited to any third party’s consent, permission, waiver, authorization provided in Articles 4.1.7 and 4.2.1
hereof or approval, permission and exemption of any government department, or formalities of registration or record (if required by law) at any government departments, with respect to the execution and fulfillment of this Agreement and the share
pledge hereunder, have already been acquired or processed and will be fully effective during the effective period of this Agreement. 

	 	4.1.10	The execution and performance of this Agreement by the Pledgors does not violate or conflict with all the applicable laws, any agreement to which it is a party or its assets are
bound, any court judgment, any verdict of arbitration organization and any decision of the administrative authority. 

	 	

	 	4.1.11	The share pledge hereunder constitutes the secured rights and interests of the first priority on the Pledged Shares. 

	 	

	 	4.1.12	On the effective date, all the taxes and fees that shall be paid by the Pledgors due to the acquisition of the Pledged Shares have been paid in full respectively by the Pledgors.

	 	

	 	4.1.13	On the execution date and the effective date of this Agreement, there is no litigation, legal procedure or request pending or, as long as the Pledgors know, threatening, against the
Pledgors, their assets or the Pledged Shares at any courts or arbitration tribunals, nor is there any litigation, legal procedure or request pending or, as long as the Pledgors know, threatening, against the Pledgors, their assets or the Pledged
Shares at any government organizations or administrative authorities, that will have major or adverse impacts on the Pledgors’ financial status or their capability of fulfilling the obligations and the secured liabilities hereunder.

	 	

	 	4.1.14	All the reports, documents and information, provided by the Pledgee to the Pledgors, of all the matters related to the Pledgors and required by this Agreement are true, accurate and
effective in all the material aspects on the execution date and the effective date of this Agreement. 

  

	4.2	The Pledgors commits to the Pledgee as follows: 

  

	 	4.2.1	The Pledgors shall be responsible for processing and ensure to acquire relevant written and official reply issued by the Examination and Approval Authority of Foreign Investment
consenting to the pledge of the Pledged Shares by the Pledgors, completing recording of Pledged Shares at Company Registration Authority and providing one copy of such written and official reply and record to Pledgee within thirty days after the
payment day under Loan Agreement or within a later time limit agreed by pledge. 

	 	

	 	4.2.2	Without prior written consent of Pledgee, Pledgor may not reset or be allowed to set new pledge or any other secured rights and interests. 

	 	

	 	4.2.3	Without notifying Pledgee in written form in advance and receiving prior written consent of Pledgee, Pledgor may not transfer Pledged Shares to any other parties except Pledgee,
otherwise such behaviors of transferring Pledged Shares are ineffective. The sum acquired by Pledgor for transferring Pledged Shares shall be firstly used for repaying Secured Debt to Pledgee. 

	 	4.2.4	In the event that any lawsuit, arbitration or other requests occur, which may possibly have adverse impacts on Pledgor or benefits of Pledgee under this Agreement and Loan
Agreement, Pledgor shall, as soon as possible and promptly, notify Pledgee in written form and adopt all the necessary measures to ensure Pledgee’s rights and interests to the Pledged Shares. 

	 	

	 	4.2.5	Pledgor may not conduct or allow any behaviors or actions that may possibly have adverse impacts on the benefits of Pledgee under Loan Agreement and this Agreement or Pledged
Shares. 

	 	

	 	4.2.6	Pledgor guarantees to, in accordance with Pledgee’s reasonable requirements, adopt all the necessary measures and signs all the necessary documents (including, but not limited
to Supplementary Agreement of this Agreement) so as to ensure Pledgee’s right to the Pledged Shares and the exertion and achievement of such rights by Pledgee. 

	 	

	 	4.2.7	In case of transfer of any Pledged Shares caused by exertion of right of pledge under this Agreement, Pledgor shall guarantee to adopt all the measures to achieve such transfer.

	 	

	 	4.2.8	Prior to the full repayment of secured credit, any dividend or other sums acquired by Pledgor from the Company shall only be used for repaying secured credit to Pledgee.

	 	

	 	4.2.9	Once events of breach of contract described in Article VIII of this Agreement occur or possibly occur, Pledgor shall, in written form, inform Pledgee immediately.

  

	4.3	Pledgee represents and warrants to Pledgor as follows: 

  

	 	4.3.1	It is a private limited company that is incorporated in accordance with laws of British Virgin Islands and continues to exist legally; has complete and independent legal status and
legal ability to sign, deliver and fulfil this Agreement. 

	 	

	 	4.3.2	It owns complete internal corporate authority and authorization to sign and deliver this Agreement and to complete transactions described in this Agreement. This Agreement is
legally and appropriately signed and delivered. Once this Agreement becomes effective, its any articles constitute legal, effective and binding obligations to Pledgee and may be compulsorily executed to Pledgee in accordance with articles of this
Agreement. 

 Article V Continuity and Non-waiver 
 Share pledge set under this Agreement is guarantee of continuity, of which validity shall continue until Secured Debt are completely liquidated. Exemption and grace that Pledgee grants with regard to any breach of
contract of Pledgor or any rights under Loan Agreement and under this Agreement that Pledgee postpones to exert, may not impact rights of Pledgee to ask Pledgor to strictly execute, at any time in the future, the Loan Agreement and this Agreement or
rights enjoyed by Pledgee due to Pledgor’s violation of Loan Agreement and/or this Agreement, under this Agreement, Loan Agreement and relevant Chinese laws. 

 Article VI Dissolution of pledge 
 After the Company and Pledgor fully and completely fulfill their respective obligations under Loan Agreement and this Agreement, pledge set over the
Pledged Share under this Agreement shall be automatically dissolved, or Pledgee may, at any time after the effective date, dissolve pledge with prior written consent of Pledgee (Dissolution of Pledge). 
 In the event that pledge is dissolved, Pledgee shall cooperate with Pledgor and the Company to process cancellation of registration of share pledge in
register of shareholders. Reasonable expenses occurring due to dissolution of pledge shall be borne by Pledgor. 
 Article VII Substantial change of
circumstances 
 As an implement and not in conflict with other articles of this Agreement and Loan Agreement, in the event that at
any time, due to promulgation or change of any Chinese laws, rules or regulations, or change of interpretation or application on such laws, rules or regulations, or change of relevant registration procedure, Pledgee believes that maintaining
effectiveness of this Agreement and/or handling Pledged Share with the method provided in this Agreement become illegal or conflict with such laws, rules or regulations, Pledgor and the Company shall immediately, in accordance with written
instruction and reasonable requirements of Pledgee and in compliance with applicable laws, rules or regulations, take any actions, and/or sign any agreements or other documents, so as to: 
  

	 	(1)	Maintain this Agreement effective; 

  

	 	(2)	Handle Pledged Share with the method provided in this Agreement conveniently; and/or 

  

	 	(3)	Maintain or achieve security set or to be set in this Agreement. 

 Article XIII Events of breach of contract 
  

	8.1	Pledgor seriously violates any obligations under this Agreement and any other agreements signed with Pledgee, or the Company seriously violates any obligations under Loan Agreement;
breach of contract in question cannot be remedied, or can be remedied, but fails to be remedied after Pledgee sends out a written notification to Pledgor within fifteen (15) days, or its remedy cannot satisfy Pledgee in a reasonable manner.

  

	8.2	Pledgor seriously violates any statements, guarantee and commitment under this Agreement or the Company violates any statements, guarantee and commitment under Loan Agreement.

  

	8.3	The Company withdraws from business, is dissolved, stops business for rectification or is revoked of business license. 

 Article IX Notification 
  

	8.1	All the notifications among parties shall be made in written form and delivered to the under-mentioned appropriate address by fax, delivery by dedicated person (including express
service), air registered mail or email: 

  

					
	Pledgor: Zhao Jianhua
	Address (c/o)	  	:	  	 Business Incubator, Jiangning Economic & Technical
 Development Zone, Nanjing, China

			
		  	:	  	
			
	Fax	  	:	  	86-21-52766882
	
	Pledgor: Zhang Fengming
	Address (c/o)	  	:	  	 Business Incubator, Jiangning Economic & Technical
 Development Zone, Nanjing, China

			
		  	:	  	
			
	Fax	  	:	  	86-21-52766882
	
	Pledgor: Wang Aihua
	Address (c/o)	  	:	  	 Business Incubator, Jiangning Economic & Technical
 Development Zone, Nanjing, China

			
		  	:	  	
			
	Fax	  	:	  	86-21-52766882
	
	Pledgee: China Sunergy Co., Ltd.
	Address (c/o)	  	:	  	 Room 6A Hongqiao Business Building, No. 2272 Hongqiao
 Road, Shanghai

			
		  	:	  	
			
	Fax	  	:	  	86-21-6237 6709
			
	Receiver	  	:	  	Yao Jiping, Xu Lei

	8.2	The following time shall be deemed as time of service of notification or message: 

  

	 	(1)	In case of delivery by fax, it shall be the time listed in corresponding delivery record, except that the fax in question is delivered after 5:00 pm at the place where the receiver
is located or on the date when is not a working day in terms of the place of the receiver. Under such circumstances, the receiving day shall be the next working day; 

  

	 	(2)	In case of delivery by dedicated person(including express mail), it shall be the date when the receiver signs and receives the document; or 

  

	 	 (3)
	 In case of delivery by registered mail, it shall be the 10th day after the date indicated in return of registered mail issued by post office. 

 Article X Applicable laws and disputes resolution 
  

	10.1	Chinese laws are applicable to conclusion, effect, interpretation, fulfilment, amendment, termination of this Agreement and resolution of disputes; the law of Hong Kong Special
Administrative Region is the applicable to matters not covered in Chinese laws. 

  

	10.2	Any disputes that all parties fail to resolve shall be irrevocably and unconditionally resolved through arbitration in accordance with rules of International Chamber of Commerce.
Arbitration shall be conducted at Hong Kong International Arbitration Center; the language of English shall be used; arbitration tribunal shall be composed of three arbitrators; each party nominates one arbitrator; these two arbitrators shall
nominate the third arbitrator. Arbitration verdict shall be final and have binding force on all parties. Relevant arbitration expenses shall be borne in accordance with decision of arbitration tribunal. 

 Article XI Miscellaneous items 
  

	11.1	Without written document signed by all parties (the document in question shall be used as appendix to this Agreement), articles of this Agreement may not be waived, amended or
altered. 

  

	11.2	No failure by any party to exercise, nor any delay of any party in exercising, any right or remedy under this Agreement shall operate as a waiver thereof. 

 

	11.3	The invalidity of any one article under this Agreement shall not impact the force of any other articles under this Agreement which has no relation to the article in question.

  

	11.4	Any single or partial exercise of any right or remedy hereunder shall not prevent any further or other exercise thereof or the exercise of any other such right or remedy. Rights or
remedying methods provided in this Agreement are cumulative and any rights or remedying methods provided by law are not excluded. 

	11.5	Any articles under this Agreement shall not be interpreted as that any party to this Agreement abandons bona fide right of pleadings endowed by law. 

  

	11.6	All the stamp tax and governmental charges, taxation and reasonable actual expenses (including fees of lawyer) occurring in preparation and fulfilment of this Agreement shall be
borne by all parties respectively. 

  

	11.7	This Agreement shall have binding force on all parties and respective successors and transferees (if any). 

  

	11.8	Pledgee does not need to solicit for consent of Pledgor and may transfer, wholly or in part, rights and/or obligations under this Agreement to any third party after notifying
Pledgor and completing formalities of examination and approval, registration and record. However, without prior written consent of Pledgee and completing formalities of examination and approval, registration and record, Pledgor may not transfer or
transfer with other methods any rights or obligations under this Agreement. 

  

	11.9	This Agreement becomes effective on the effective date. Time limit of this Agreement shall last until Secured Debt are completely repaid. After the effective date of this Agreement
and within the effective time limit of this Agreement, if the Pledgee fails to fulfill obligations and the Company’s debts are exempted thereby, then the secured obligations of Pledgor under this Agreement shall be cancelled automatically. All
parties and the Company shall process formalities of examination, registration and record of pledge related to cancellation of the pledge over the Pledged Shares. 

 In witness whereof: This Agreement has been concluded and signed by all parties to this agreement or
representatives formally authorized (if any) on the date described at the beginning of this Agreement. 
  

			
	Pledgor: Zhao Jianhua
		
	Signature:	 	 /s/ Zhao Jianhua

	Name:	 	
	Title:	 	
	Official seal:	 	
	
	Pledgor: Zhang Fengming
		
	Signature:	 	 /s/ Zhang Fengming

	Name:	 	
	Title:	 	
	Official seal:	 	
	
	Pledgor: Wang Aihua
		
	Signature:	 	 /s/ Wang Aihua

	Name:	 	
	Title:	 	
	Official seal:	 	
	
	Pledgee: China Sunergy Co., Ltd.
		
	Signature:	 	 /s/ Fernando Vila

	Name:	 	
	Title:	 	Director

 Signing Page of Share Pledge Agreement of CEEG (Nanjing) PV-Tech Co. Ltd. 

 Schedule: 
  

			
	Schedule I:	 	Loan Agreement
		
	Schedule II:	 	Asset Evaluation Report of CEEG (Nanjing) PV-Tech Co. Ltd.
		
	Schedule III:	 	Board Resolution of CEEG (Nanjing) PV-Tech Co. Ltd.
		
	Schedule IV:	 	Share Pledge Registration Certificate of CEEG (Nanjing) PV-Tech Co. Ltd.
		
	Schedule V:	 	Register of Shareholders of CEEG (Nanjing) PV-Tech Co. Ltd.
		
	Schedule VI:	 	Consent and Disclaim Letter
		
	Schedule VII:	 	Consent Letter

 Schedule I 
 Loan Agreement 

 Schedule II 
 Asset Evaluation Report of CEEG (Nanjing) PV-Tech Co. Ltd. 

 Schedule III 
 Board Resolution of CEEG (Nanjing) PV-Tech Co. Ltd. 
  

	Time:	             Month      Day, 2006 

  

	Place:	Meeting room of the Company 

 Directors participating in the meeting:

 Share Pledge Agreement concluded and signed between Zhao Jianhua, Zhang Fengming, Wang Aihua, shareholders of CEEG (Nanjing) PV-Tech Co.
Ltd. (hereinafter referred to as this Company) and China Sunergy Co., Ltd. on              Month      Day, 2006 is reviewed at the meeting of Board of
Directors and the resolution with regard to the request of share pledge put forward by the above-mentioned shareholders is as follows: 
  

	 	3.	Approve that pledges in favour of China Sunergy Co., Ltd. are created over all the shares held by the following shareholders of this Company, i.e., 15% of shares of the held by Zhao
Jianhua, 24% of shares of the held by Zhang Fengming and 5% of shares of the held by Wang Aihua; 

  

	 	4.	Authorize this Company to record the above-mentioned share pledge in register of shareholders and issue registration certificate of share pledge? 

  

	 	5.	Authorize this Company to process formalities of examination and approval, registration and record in terms of the above-mentioned share pledge at the original examination and
approval organ and Company Registration Authority. 

 This resolution becomes effective from the date when it is made.

 Signatures of all the directors: 

 Schedule IV 
 Share Pledge Registration Certificate of CEEG (Nanjing) PV-Tech Co. Ltd. 
 CEEG (Nanjing) PV-Tech
Co. Ltd. (hereinafter referred to as This Company) hereby certifies that: 
  

	1.	Pledges in favour of China Sunergy Co., Ltd. are created over all the shares held by the following shareholders of this Company, i.e., 15% of shares of the held by Zhao Jianhua, 24%
of shares of the held by Zhang Fengming and 5% of shares of the held by Wang Aihua, in accordance with Share Pledge Agreement signed between these shareholders and China Sunergy Co., Ltd. on
             Month      Day, 2006; 

  

	2.	Scope of security of the above-mentioned share pledge includes loan principal, interest, overdue repayment interest, fine for breach of contract, damages and expenses for achieving
principal credit and right of pledge under Loan Agreement signed between this Company and China Sunergy Co., Ltd. on March 8, 2006. 

  

	3.	The above-mentioned share pledge has been registered in register of shareholders of this Company on             
Month      Day, 2006. 

 This pledge registration certificate becomes effective from the date when
the legal representative of this Company signs and stamps official seal of this Company and becomes ineffective until the day when secured credit within the security scope of the above-mentioned share pledge is completely repaid. 
  

	
	CEEG (Nanjing) PV-Tech Co. Ltd.
	(seal)
	Legal representative (signature)
	 /s/ Tingxiu Lu

	             Month      Day, 2006

 Share Pledge Registration Certificate 

 Schedule V 
 Register of Shareholders of CEEG (Nanjing) PV-Tech Co. Ltd. 
  

									
	 	  	 Name of
 shareholders
	  	 Registration
 number/ID number
	  	 Share
 proportion
	  	 Pledge registration

	1	  	Nanjing Xinde Asset Management Co. Ltd.	  		  	56%	  	
					
	2	  	Zhao Jianhua	  		  	15%	  	Has been completely pledged to China Sunergy Co., Ltd. on              Month      Day,
2006.
					
	3.	  	Zhang Fengming	  		  	24%	  	Has been completely pledged to China Sunergy Co., Ltd. on              Month      Day,
2006.
					
	4.	  	Wang Aihua	  		  	5%	  	Has been completely pledged to China Sunergy Co., Ltd. on              Month      Day,
2006.

  

	
	CEEG (Nanjing) PV-Tech Co. Ltd.
	(seal)
	Legal representative(signature):
	 /s/ Tingxiu Lu

	             Month      Day, 2006

 Register of Shareholders 

 Schedule VI 
 Consent and Disclaim Letter 
 China Sunergy Co., Ltd.: 
 I understand that relevant shareholders of the Company (hereinafter referred to as Pledgor), in accordance with Share Pledge Agreement signed with
China Sunergy Co., Ltd. (hereinafter referred to as Pledgee) on              Month      Day, 2006, have pledged all the shares (hereinafter referred
to as Pledged Share) of CEEG (Nanjing) PV-Tech Co. Ltd. held by Pledgors to Pledgee. 
 I agree that Pledgors pledge the Pledged
Shares to Pledgee and hereby irrevocably waives pre-emption right as shareholder of CEEG (Nanjing) PV-Tech Co. Ltd. with regard to transfer occurring due to Pledgee’s exertion of right of pledge. 
  

			
	Name of shareholder: Nanjing Xinde Asset
	
	Management Co. Ltd.
	(seal)
	Signature:	 	 /s/ Tingxiu Lu

	Date:	 	             Month      Day, 2006
	
	Name of shareholder: Zhao Jianhua
	Signature:	 	 /s/ Zhao Jianhua

	Date:	 	             Month      Day, 2006
	
	Name of shareholder: Wang Aihua
	Signature:	 	 /s/ Wang Aihua

	Date:	 	             Month      Day, 2006
	
	Name of shareholder: Zhang Fengming
	Signature:	 	 /s/ Zhang Fengming

	Date:	 	             Month      Day, 2006

 Consent and Disclaim Letter 

 Schedule VII 
 Consent Letter 
 China Sunergy Co., Ltd.: 
 I, as spouse of [            ] ( hereinafter referred to as Pledgor), hereby agree that
Pledgor pledges [            ]% of shares of CEEG (Nanjing) PV-Tech Co. Ltd. (hereinafter referred to as Pledged Shares) to Pledgee in accordance with Share Pledge Agreement signed
with China Sunergy Co., Ltd. (hereinafter referred to as Pledgee) on              Month      Day, 2006 and agree that Pledgee handles Pledged Share
when exerting right of pledge. 
  

			
	Name of spouse:
	Signature:	 	

			
	Date:	 	             Month      Day, 2006

 Spouse Consent Letter 

 Exhibit K 
 Founder Note Purchase Agreement 

 Exhibit L 
 PRC Legal Opinion 

 Exhibit M 
 Notices 
 To the Company and the Investor: 
 Address: 6A, 2272 Hongqiao Road, Shanghai 200336 
 China Fax: 86-21-6237 6709 
 Attention: Jeff Yao and Michael Xu 
 To the Operating Company: 
 Address: Science & Technolgy Business Starting Center of Jiangning Development Zone, Nanjing City 
 China Fax: 86-21-52766882 
 Attention: Lu Tingxiu 
 To Nanjing Xinde Asset Management Co., Ltd.: 
 c/o: Science & Technolgy Business Starting Center of Jiangning
Development Zone, Nanjing City 
 China Fax: 86-21-52766882 
 Attention: Lu Tingxiu 
 To Zhao Jianhua: 
 c/o:
Science & Technolgy Business Starting Center of Jiangning Development Zone, Nanjing City 
 China Fax: 86-21-52766882 
 To Zhang Fengming: 
 c/o: Science & Technolgy Business Starting
Center of Jiangning Development Zone, Nanjing City 
 China Fax: 86-21-52766882 
 To Wang Aihua: 
 c/o: Science & Technolgy Business Starting Center of Jiangning Development Zone, Nanjing City

 China Fax: 86-21-52766882 

 WARRANT TO PURCHASE 
 ORDINARY SHARES OF 
 CHINA SUNERGY CO., LTD. 
  

			
	 No. [    ]
	  	
	 [            ] Ordinary Shares
	  	April 26, 2006

 This certifies that
            , or assigns (collectively, the “Holder”), for value received, is entitled to purchase, at the Exercise Price (as defined below), from CHINA
SUNERGY CO., LTD., a BVI business company organized under the laws of the British Virgin Islands (the “Company”), up to [            ] fully paid and nonassessable
ordinary shares, par value US$0.01 per share, of the Company (collectively, the “Warrant Shares” and such ordinary shares of the Company, the “Ordinary Shares”). This Warrant shall be exercisable at any time from
time to time from and after the date of this Warrant (such date being referred to herein as the “Initial Exercise Date”) up to and including 5:00 p.m. (Beijing Time) on the ten (10) year anniversary of the date hereof (such
date being referred to herein as the “Expiration Date”) upon surrender to the Company at its principal office (or at such other location as the Company may advise the Holder in writing) of this Warrant properly endorsed with
(i) the Form of Subscription attached hereto duly completed and executed, and (ii) payment pursuant to Section 2 of the aggregate Exercise Price for the number of Ordinary Shares for which this Warrant is being exercised determined in
accordance with the provisions hereof. For purposes of this Warrant, the term “Exercise Price” shall mean US$0.01 per Ordinary Share. The Exercise Price and the number of Ordinary Shares purchasable hereunder are subject to
adjustment as provided in Section 4 of this Warrant. 
 1. Exercise; Issuance of Certificates; Acknowledgement. This Warrant is
exercisable at the option of the holder of record hereof, at any time or from time to time from or after the Initial Exercise Date up to the Expiration Date for all or any part of the Warrant Shares (but not for a fraction of an Ordinary Share)
which may be purchased hereunder. The Company agrees that the Ordinary Shares purchased under this Warrant shall be and are deemed to be issued to the Holder hereof as the record owner of such Ordinary Shares as of the close of business on the date
on which this Warrant shall have been surrendered, properly endorsed, the completed, executed Form of Subscription delivered and payment made for such Ordinary Shares. Certificates for the Ordinary Shares so purchased, together with any other
securities or property to which the Holder hereof is entitled upon such exercise, shall be delivered to the Holder hereof by the Company at the Company’s expense within a reasonable time after the rights represented by this Warrant have been so
exercised. Each certificate so delivered shall be in such denominations of the Warrant Shares as may be requested by the Holder hereof and shall be registered in the name of such Holder. In case of a purchase of less than all the Warrant Shares, the
Company shall execute and deliver to Holder within a reasonable time an Acknowledgement in the form attached hereto indicating the number of Warrant Shares which remain subject to this Warrant, if any. 
 2. Payment for Shares. The aggregate purchase price for Warrant Shares being purchased hereunder may be paid by cash or wire transfer of
immediately available funds. 

 3. Shares to be Fully Paid; Reservation of Shares. The Company covenants and agrees that all
Ordinary Shares which may be issued upon the exercise of the rights represented by this Warrant will, upon issuance, be duly authorized, validly issued, fully paid and non-assessable and free from all preemptive rights of any shareholder and free of
all taxes, liens and charges with respect to the issue thereof. The Company further covenants and agrees that during the period within which the rights represented by this Warrant may be exercised, the Company will at all times have authorized and
kept available, for the purpose of issue or transfer upon exercise of the subscription rights evidenced by this Warrant, a sufficient number of authorized but unissued Ordinary Shares, or other securities and property, when and as required to
provide for the exercise of the rights represented by this Warrant. 
 4. Adjustment of Exercise Price and Number of Shares. The
Exercise Price and the number of shares purchasable upon the exercise of this Warrant shall be subject to adjustment from time to time upon the occurrence of certain events described in this Section 4. Upon each adjustment of the Exercise
Price, the Holder of this Warrant shall thereafter be entitled to purchase, at the Exercise Price resulting from such adjustment, the number of shares obtained by multiplying the Exercise Price in effect immediately prior to such adjustment by the
number of shares purchasable pursuant hereto immediately prior to such adjustment, and dividing the product thereof by the Exercise Price resulting from such adjustment. 
 4.1 Subdivisions, Combinations and Dividends. In case the Company shall at any time subdivide its outstanding shares capital into a greater number of shares or pay a share dividend in respect of any of its
outstanding share capital, the Exercise Price in effect immediately prior to such subdivision or at the record date of such dividend shall be proportionately reduced, and conversely, in case the outstanding share capital of the Company shall be
combined into a smaller number of shares, the Exercise Price in effect immediately prior to such combination shall be proportionately increased. 
 4.2 Reclassification. If any reclassification of the share capital of the Company shall be effected in such a way that holders of Ordinary Shares shall be entitled to receive shares, securities, or other assets or property, then, as
a condition of such reclassification, lawful and adequate provisions shall be made whereby the Holder hereof shall thereafter have the right to purchase and receive (in lieu of the Ordinary Shares immediately theretofore purchasable and receivable
upon the exercise of the rights represented hereby) such securities or other assets or property as may be issued or payable with respect to or in exchange for a number of outstanding Ordinary Shares equal to the number of Ordinary Shares immediately
theretofore purchasable and receivable upon the exercise of the rights represented hereby. 
 4.3 Notice of Adjustment. Upon any
adjustment of the Exercise Price or any increase or decrease in the number of Ordinary Shares purchasable upon the exercise of this Warrant, the Company shall give written notice thereof, by first class mail postage prepaid, addressed to the
registered Holder of this Warrant at the address of such Holder as shown on the books of the Company. The notice shall be signed by the Company’s Chief Financial Officer and shall state the Exercise Price resulting from such adjustment and the
increase or decrease, if any, in the number of Ordinary Shares purchasable at such price upon the exercise of this Warrant, setting forth in reasonable detail the method of calculation and the facts upon which such calculation is based. 

 

 2 

 4.4 Other Notices. If at any time: 
 (a) the Company shall declare any dividend upon its issued share capital; 
 (b) there shall be any capital reorganization or reclassification of the share capital of the Company; or consolidation or merger of the Company with, or sale of all or substantially all of its assets to, another
business entity; or 
 (c) there shall be a voluntary or involuntary dissolution, liquidation or winding-up of the Company; 
 then, in any one or more of said cases, the Company shall give, by first class mail, postage prepaid, addressed to the Holder of this Warrant at the address of such
Holder as shown on the books of the Company, (a) at least thirty (30) days prior written notice of the date on which the books of the Company shall close or a record shall be taken for such dividend or for determining rights to vote in
respect of any such reorganization, reclassification, consolidation, merger, sale, dissolution, liquidation or winding-up, and (b) in the case of any such reorganization, reclassification, consolidation, merger, sale, dissolution, liquidation,
winding-up or public offering, at least thirty (30) days prior written notice of the date when the same shall take place. 
 4.5
Acquisition. In the event of any reorganization, consolidation or merger of the Company, transfer of all or substantially all of the assets of the Company or any simultaneous sale of more than a majority of the then outstanding securities of
the Company (an “Acquisition”), then, as a condition of such Acquisition, lawful and adequate provisions shall be made whereby the Holder hereof shall thereafter have the right to purchase and receive (in lieu of the Ordinary Shares
immediately theretofore purchasable and receivable upon the exercise of the rights represented hereby), at the same aggregate Exercise Price, such shares, securities or other assets or property as may be issued or payable with respect to or in
exchange for a number of outstanding Ordinary Shares equal to the number of Ordinary Shares immediately theretofore purchasable and receivable upon the exercise of the rights represented hereby. 
 5. No Voting or Dividend Rights. Nothing contained in this Warrant shall be construed as conferring upon the Holder hereof the right to vote or to
consent to receive notice as a shareholder of the Company or any rights whatsoever as a shareholder of the Company. No dividends or interest shall be payable or accrued in respect of this Warrant or the interest represented hereby or the shares
purchasable hereunder until, and only to the extent that, this Warrant shall have been exercised. 
 6. Transfer. Subject to
compliance with all applicable securities laws, this Warrant and all rights hereunder may be transferred, in whole or in part, without charge to the holder hereof (except for transfer taxes), upon surrender of this Warrant properly endorsed and in
compliance with the provisions of this Warrant; provided that, other than any transfer to an affiliate of the Holder, any such transfer shall be subject to the prior written consent of (i) the Board of Directors of the Company and
(ii) the holders of a majority of the issued and outstanding Series A preferred shares, par value US$0.01 per share, of the Company. 
  

 3 

 7. Lost Warrants. Upon receipt of evidence reasonably satisfactory to the Company of the loss,
theft, destruction, or mutilation of this Warrant and, in the case of any such loss, theft or destruction, upon receipt of an indemnity reasonably satisfactory to the Company, or in the case of any such mutilation upon surrender and cancellation of
such Warrant, the Company, at its expense, will make and deliver a new Warrant, of like tenor, in lieu of the lost, stolen, destroyed or mutilated Warrant. 
 8. Modification and Waiver. Any term of this Warrant may be amended and the observance of any term of this Warrant and all Warrants issued pursuant to that certain Warrant Purchase Agreement dated as of
March 8, 2006 by and among the Company, CEEG (Nanjing) PV-Tech Co., Ltd., PraxCapital Fund II, L.P. and the warrant purchasers set forth in Exhibit A thereto (the “Warrant Purchase Agreement”) may be waived (either generally or
in a particular instance and either retroactively or prospectively), only with the written consent of (i) the Company, (ii) the holders of Warrants representing at least a majority of the aggregate number of Warrant Shares issuable upon
exercise of all outstanding Warrants issued pursuant to the Purchase Agreement, and (iii) the holders of a majority of the outstanding Series A Shares. Any amendment or waiver effected in accordance with this section shall be binding upon the
Company, the Holder and the holders of all Warrants issued pursuant to the Warrant Purchase Agreement. 
 9. Third Party
Beneficiaries. 
 The Company and the Holder intend that the Series A Holders shall be third party beneficiaries of this Warrant and that
such Series A Holders shall have the right to enforce the obligations of the Holder hereunder separately and independently of the Company. The Series A Holders’ status as third party beneficiaries of this Warrant and their rights to enforce the
obligations of the Holder thereunder are material elements of this Warrant. 
 10. Notices. Except as may be otherwise provided
herein, all notices, requests, waivers and other communications made pursuant to this Warrant shall be made in accordance with Section 9.5 of the Warrant Purchase Agreement. 
 11. Titles and Subtitles. The titles and subtitles used in this Warrant are used for convenience only and are not to be considered in construing
or interpreting this Warrant. 
 12. Governing Law. This Warrant shall be governed by and construed exclusively in accordance the
internal laws of the State of New York (as permitted by Section 5-1401 of the New York General Obligations Law (or any similar successor provision) without giving effect to any choice of law rule that would cause the application of the laws of
any jurisdiction other than the internal laws of the State of New York to the rights and duties of the parties hereunder. All disputes and controversies arising out of or in connection with this Warrant shall be resolved in accordance with
Section 9.13 of the Warrant Purchase Agreement. 
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 
  

 4 

 IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed by its officers, thereunto
duly authorized as of the date first above written. 
  

			
	CHINA SUNERGY CO., LTD.
		
	By:	 	 /s/ Fernando R. Villa

	Name: Fernando R. Villa
	Title: Director

 SIGNATURE PAGE TO CHINA SUNERGY WARRANT [NAME OF HOLDER] 

 SUBSCRIPTION NOTICE 
  

	To:	The Board of Directors 

 CHINA SUNERGY CO., LTD.

 The undersigned, the holder of a right to purchase Ordinary Shares of CHINA SUNERGY CO., LTD. (the “Company”) pursuant to that
certain Warrant to Purchase Ordinary Shares of the Company (the “Warrant”), dated as of April 26, 2006, hereby irrevocably elects to exercise the purchase right represented by such Warrant for, and to purchase thereunder,
[                                        ]
Ordinary Shares of the Company and herewith makes payment of US$[            ] therefor in cash. 
 The undersigned represents that it is acquiring such securities for its own account for investment and not with a view to or for sale in connection with any distribution thereof. 
  

					
	DATED:                     	 		 	  

			
		 	By:	 	  

		 	Name:	 	
		 	Title:	 	

 ACKNOWLEDGMENT 
 To: [NAME OF HOLDER] 
 The undersigned hereby acknowledges that as of the date hereof,
[                     (            )] shares of Ordinary Shares of CHINA
SUNERGY CO., LTD. (the “Company”) remain subject to the right of purchase in favor of [NAME OF HOLDER] pursuant to that certain Warrant to Purchase Ordinary Shares of the Company, dated as of
[            ], 2006. 
  

					
	 DATED:
                    
	 	
		 	CHINA SUNERGY CO., LTD.
			
		 	By:	 	  

		 	Name:	 	
		 	Title:	 	

 Schedule 
  

							
	 No.
	  	 Name of Holder
	  	 Number of Ordinary
Shares underlying the
Warrant
	  	 Date of
Subscription
Notice

	1	  	Elite Shine Group Limited	  	391,842	  	April 26, 2006
	2	  	Smooth King Investments Limited	  	212,958	  	April 26, 2006
	3	  	Brightest Power Holdings Limited	  	203,040	  	April 26, 2006
	4	  	Luck Great Investments Limited	  	97,200	  	April 26, 2006
	5	  	Talent Day Investments Limited	  	86,400	  	April 26, 2006
	6	  	Deutsche Bank AG acting through its London Branch	  	54,000	  	August 23,2006

 EXECUTION COPY 
 FOUNDER NOTE PURCHASE AGREEMENT 
 THIS FOUNDER NOTE PURCHASE AGREEMENT (this
“Agreement”) is entered into as of March 8, 2006 by and among China Sunergy Co., Ltd., a British Virgin Islands business company (the “Purchaser”), and the individuals listed on Exhibit A hereto
(collectively, the “Founders” and each, a “Founder”). 
 WHEREAS, the Founders are equity interest holders
in CEEG (Nanjing) PV-Tech Co., Ltd., a Sino-foreign joint venture organized under the laws of the PRC (the “Company”), which was established pursuant to a joint venture agreement dated August 2, 2004 (the “JV
Agreement”); the Company have entered into a Loan Agreement with the Purchaser concurrently herewith for the Purchaser to extend a loan to the Company in the principal amount of US$10,000,000 subject to the terms and conditions thereof (the
“Loan Agreement”); 
 WHEREAS, the parties hereto, together with certain other equity interest holders in the Company, have
entered into an Equity Transfer Agreement concurrently herewith for the Purchaser to purchase 100% of the equity interests in the Company subject to the terms and conditions thereof (the “Equity Transfer Agreement”); 
 WHEREAS, the parties hereto, together with certain other equity interest holders in the Company, have entered into a Warrant Purchase Agreement
concurrently herewith for the Founders and other equity interest holders in the Company to purchase ordinary shares in the Purchaser subject to the terms and conditions thereof (the “Warrant Purchase Agreement” and collectively with
the Loan Agreement and the Equity Transfer Agreement, the “Transaction Agreements”); 
 WHEREAS, the parties hereto desire
that the entering into this Agreement shall be a condition to the entering into by the parties of each of the Transaction Agreements and that the completion of the transactions contemplated under this Agreement shall be a condition precedent to the
completion of the transactions contemplated under each of the Transaction Agreements; 
 NOW THEREFORE, THE PARTIES HEREBY AGREE AS FOLLOWS:

 SECTION 1 
 ISSUANCE
OF FOUNDER NOTES 
 1.1 Issuance of Founder Notes. Subject to the terms and conditions of this Agreement, at the Closing (as
defined below), each Founder shall issue and sell to the Purchaser, and the Purchaser shall purchase from such Founder, a promissory note (each such note, a “Founder Note” and collectively, the “Founder Notes”) in
the principal amount (the “Principal Amount”) equal to the amount set forth beneath the caption “Principal Amount” set forth opposite such Founder’s name on Exhibit A attached hereto. 
 1.2 Form of Founder Notes. The Founder Notes shall be in the form of Exhibit B attached hereto. 

 SECTION 2 
 CLOSING 
 2.1 Closing. Subject to the satisfaction of the conditions set forth in
Section 4 below or waiver by the Purchaser thereof, the closing of the purchase and sale of the Founder Notes hereunder (the “Closing”) shall be held at the offices of Hogan & Hartson LLP in Shanghai on or about
March 8, 2006 or at such other place and date as is mutually agreeable to the Purchaser and the Founders issuing Founder Notes representing a majority of the aggregate Principal Amounts of all Founder Notes to be issued at the Closing.

 2.2 Delivery. At the Closing (i) the Purchaser shall deliver the Principal Amount applicable to such Founder in accordance
with Section 2.3 below, and (ii) each Founder shall execute and deliver to the Purchaser (A) a Founder Note reflecting the date of the Closing and the name of the Purchaser in such principal amount equal to the Principal Amount
applicable to such Founder and (B) a written authorization for the Purchaser to deliver a portion of the applicable Principal Amount to the Company directly as payment by such Founder of its portion of unpaid registered capital of the Company
owing under the JV Agreement in form and substance satisfactory to the Purchaser and confirmed by the Certified Public Accountant engaged by the Company to conduct capital verification. Each such Founder Note shall be a binding obligation of the
Founder issuing such Founder Note upon execution thereof by such Founder and delivery thereof to the Purchaser. 
 2.3 Method of Delivery
of Principal Amount. Of the total Principal Amount applicable to each Founder as set forth in Exhibit A, the Purchaser shall (i) deliver the amount set forth opposite the name of such Founder in Exhibit C hereto under the
caption “To Company” (such amount, the “Unpaid Registered Capital Amount”) to an account designated by the Company in writing at least five (5) days prior to the Closing as the payment by such Founder of its unpaid
portion of registered capital required under the JV Agreement in accordance with Section 5.1 below and the “Use of Proceeds” provisions under the Founder Note to be issued by such Founder at the Closing, and (ii) deliver the
amount set forth opposite the name of such Founder in Exhibit C under the caption “To Founder” to an account designated by such Founder in writing at least five (5) days prior to the Closing. 
 SECTION 3 
 REPRESENTATIONS AND
WARRANTIES OF THE FOUNDERS 
 Each Founder hereby, jointly and severally, represents and warrants to the Purchaser that: 
 3.1 Power; Binding Obligation. Such Founder has the requisite power to execute and deliver, and perform all of its obligations under, this
Agreement. Each of this Agreement and the Founder Note applicable to such Founder constitutes the valid and legally binding obligation of such Founder, enforceable against such Founder in accordance with its terms. 
 3.2 Litigation. There is no action, suit, proceeding or investigation pending or currently threatened against such Founder that questions the
validity of this Agreement, the right of such Founder to enter into this Agreement, or to consummate the transactions contemplated hereby. There is no action, suit, proceeding or investigation by such Founder currently pending or that such Founder
intends to initiate. 
  

 2 

 3.3 Absence of Required Consents; No Violations. No consent, approval, order or authorization of,
or registration, qualification, designation, declaration or filing with, any governmental authority on the part of such Founder is required in connection with the consummation of the transactions contemplated by this Agreement. Such Founder is not
in violation or default of any instrument, judgment, order, writ, decree or contract to which it is a party or by which it is bound, or of any provision of any statute, rule or regulation applicable to such Founder. The execution, delivery and
performance of this Agreement and the consummation of the transactions contemplated hereby will not result in any such violation or be in conflict with or constitute, with or without the passage of time and giving of notice, either a default under
any such provision, instrument, judgment, order, writ, decree or contract. 
 SECTION 4 
 CONDITIONS TO CLOSING 
 The
obligations of the Purchaser under this Agreement at the Closing are subject to the fulfillment, to the Purchaser’s satisfaction, at or before the Closing, or waiver by the Purchaser of the following conditions: 
 4.1 Representations and Warranties Ture, Correct and Complete. The representations and warranties of the Founders contained in Section 3
shall be true, correct and complete when made, and shall be true, correct and complete as of the date of the Closing with the same force and effect as if they had been made on and as of such date, subject to changes contemplated by this Agreement.

 4.2 Performance of Obligations. Each of the Founders shall have performed and complied with all agreements, obligations and
conditions contained in this Agreement that are required to be performed or complied with by it on or before the Closing. 
 4.3 Equity
Transfer Agreement. The Equity Transfer Agreement shall have been duly executed and delivered by the parties thereto (other than the Purchaser). 
 4.4 Transaction Agreements. There shall not have been any material breach by any party other than the Purchaser under each of the Transaction Agreements. 
 4.5 Founder Notes. The Founder Notes shall have been duly executed and delivered by the respective Founders in accordance with the terms hereof.

 SECTION 5 
 COVENANTS
OF FOUNDERS 
 5.1 Use of Proceeds. Out of the total Principal Amount applicable to each Founder, at least the Unpaid Registered
Capital Amount applicable to such Founder shall be paid to the Company as registered capital. 
 5.2 Guarantee. Each of the Founders,
unconditionally and irrevocably, guarantees all of the obligations of the other Founders under this Agreement and the Founder Notes issued by such other Founders. 
  

 3 

 5.3 Capital Verification Report. As soon as practicable, but in any event within five
(5) days, following the Closing, the Founders shall cause a capital verification report to be issued by a reputable PRC accounting firm and delivered to the Purchaser, which capital verification report shall indicate (i) the full payment
of all outstanding registered capital of the Company and (ii) the method of such payment of registered capital being in compliance with the articles of association of the Company then in effect. 
 SECTION 6 
 MISCELLANEOUS

 6.1 Governing Law. This Agreement shall be governed by and construed exclusively in accordance the internal laws of the State
of New York (as permitted by Section 5-1401 of the New York General Obligations Law (or any similar successor provision) without giving effect to any choice of law rule that would cause the application of the laws of any jurisdiction other than
the internal laws of the State of New York to the rights and duties of the parties hereunder. 
 6.2 Survival. The representations,
warranties, covenants and agreements made herein shall survive any investigation made by any party hereto and the closing of the transactions contemplated hereby. 
 6.3 Successors and Assigns. Except as otherwise expressly provided herein, the provisions hereof shall inure to the benefit of, and be binding upon, the successors, assigns, heirs, executors and administrators
of the parties hereto whose rights or obligations hereunder are affected by such amendments. This Agreement and the rights and obligations therein may not be assigned by any Founder without the written consent of the Purchaser. 
 6.4 Entire Agreement. This Agreement, the Transaction Agreements, and the schedules and exhibits hereto and thereto, which are hereby expressly
incorporated herein by this reference constitute the entire understanding and agreement between the parties with regard to the subjects hereof and thereof. 
 6.5 Notices. Except as may be otherwise provided herein, all notices, requests, waivers and other communications made pursuant to this Agreement shall be in writing and shall be conclusively deemed to have been
duly given (a) when hand delivered to the other party, upon delivery; (b) when sent by facsimile at the number set forth in Exhibit D hereto, upon receipt of confirmation of error-free transmission; (c) seven (7) business
days after deposit in the mail as air mail or certified mail, receipt requested, postage prepaid and addressed to the other party as set forth in Exhibit D; or (d) three (3) business days after deposit with an overnight delivery
service, postage prepaid, addressed to the parties as set forth in Exhibit D with next business-day delivery guaranteed, provided that the sending party receives a confirmation of delivery from the delivery service provider.

 Each person making a communication hereunder by facsimile shall promptly confirm by telephone to the person to whom such communication was
addressed each communication made by it by facsimile pursuant hereto but the absence of such confirmation shall not affect the validity of any such communication. A party may change or supplement the addresses given above, or designate additional
addresses, for purposes of this Section 6.5 by giving, the other party written notice of the new address in the manner set forth above. 
  

 4 

 6.6 Amendments and Waivers. Any term of this Agreement may be amended only with the written
consent of the Purchaser and the Founders issuing Founder Notes which constitute more than 50% of the aggregate Principal Amounts. 
 6.7
Delays or Omissions. No delay or omission to exercise any right, power or remedy accruing to any party hereto, upon any breach or default of any other party hereto under this Agreement, shall impair any such right, power or remedy of such
former party nor shall it be construed to be a waiver of any such breach or default, or an acquiescence therein, or of any similar breach of default thereafter occurring. 
 6.8 Interpretation; Titles and Subtitles. This Agreement shall be construed according to its fair language. The rule of construction to the effect that ambiguities are to be resolved against the drafting party
shall not be employed in interpreting this Agreement. The titles of the sections and subsections of this Agreement are for convenience of reference only and are not to be considered in construing this Agreement. Unless otherwise expressly provided
herein, all references to Sections and Exhibits herein are to Sections and Exhibits of this Agreement. 
 6.9 Counterparts. This
Agreement may be executed in any number of counterparts, each of which shall be an original, but all of which together shall constitute one instrument. 
 6.10 Severability. If any provision of this Agreement is found to be invalid or unenforceable, then such provision shall be construed, to the extent feasible, so as to render the provision enforceable and to
provide for the consummation of the transactions contemplated hereby on substantially the same terms as originally set forth herein, and if no feasible interpretation would save such provision, it shall be severed from the remainder of this
Agreement, which shall remain in full force and effect unless the severed provision is essential to the rights or benefits intended by the parties. In such event, the parties shall use best efforts to negotiate, in good faith, a substitute, valid
and enforceable provision or agreement which most nearly effects the parties’ intent in entering into this Agreement. 
 6.11 Dispute
Resolution. The parties agree to negotiate in good faith to resolve any dispute between them regarding this Agreement. If the negotiations do not resolve the dispute to the reasonable satisfaction of all parties within thirty (30) days,
such dispute shall he referred to and finally settled by arbitration at the Hong Kong International Arbitration Centre in accordance with the UNCITRAL Arbitration Rules (the “UNCITRAL Rules”) in effect, which rules are deemed to be
incorporated by reference into this Section 6.11. The arbitration tribunal shall consist of three arbitrators to be appointed according to the UNCITRAL Rules. The language of the arbitration shall be English. 
 [REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK] 
  

 5 

 IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

  

			
	THE PURCHASER:
	
	CHINA SUNERGY CO., LTD.
		
	By:	 	 /s/ Fernando R. Vila

	Name:	 	FERNANDO R. VILA
	Title:	 	DIRECTOR
	
	THE FOUNDERS:
		
		 	 /s/ Zhao Jianhua

	Name:	 	Zhao Jianhua
		
		 	 /s/ Wang Aihua

	Name:	 	Wang Aihua
		
		 	 /s/ Zhang Fengming

	Name:	 	Zhang Fengming

 SIGNATURE PAGE TO NJPV FOUNDER NOTE PURCHASE AGREEMENT 

 EXHIBIT A 
 SCHEDULE OF FOUNDERS 
  

			
	 Name
	  	 Principal
 Amount (US$)

	 Zhao Jianhua
	  	950,400
	 Wang Aihua
	  	216,000
	 Zhang Fengming
	  	1,944,000
	 TOTAL
	  	3,110,400
		  	 

 EXHIBIT B 
 FORM OF FOUNDER NOTE 

 PROMISSORY NOTE 
  

			
	US$950,400	 	March 8, 2006

 FOR VALUE RECEIVED, ZHAO JIANHUA, a citizen of Australia (Passport No. L5162256) (the
“Issuer”), promises to pay to the order of CHINA SUNERGY CO., LTD., a BVI business company (the “Company”), or its assigns (the “Holder”), the principal sum of Nine Hundred Fifty Thousand
Four Hundred United States Dollars (US$950,400) with interest on the outstanding principal amount at the rate of four percent (4%) per annum (computed on the basis of actual calendar days elapsed and a year of 365 days) or, if less, at the
highest rate of interest then permitted under applicable law; provided, however, that from and after an Event of Default (as defined below), all indebtedness hereunder shall accrue interest at the rate of twenty percent (20%) per
annum (computed on the basis of actual calendar days elapsed and a year of 365 days) or, if less, at the highest rate permitted by applicable law (the “Default Interest Rate”). Interest shall commence with the date hereof and shall
continue on the outstanding principal until paid or converted in accordance with the provisions hereof. In the event that any interest is paid on this Promissory Note (this “Note”) which is deemed to be in excess of the then legal
maximum rate, then that portion of the interest payment representing an amount in excess of the then legal maximum rate shall be deemed a payment of principal and applied against the principal of this Note. 
 Founder Note Purchase Agreement. This Note is issued pursuant to the terms of that certain Founder Note Purchase Agreement (the
“Agreement”) dated as of March 8, 2006, by and among the Issuer, certain other individuals and the Company. This Note is one of a series of notes (the “Notes”) having like tenor and effect (except for
variations necessary to express the name of the issuer and the principal amount of each of the Notes) issued or to be issued in accordance with the terms of the Agreement. 
 Maturity. The entire unpaid principal amount and all unpaid accrued interest shall become fully due and payable on the earlier of (i) the one
(1) year anniversary of the date hereof, (ii) the acceleration of the maturity of this Note by the Holder upon the occurrence of an Event of Default, or (iii) the date on which all governmental approvals in connection with the
consummation of the transactions contemplated under the Equity Transfer Agreement (as defined in the Agreement) shall have been obtained (such earlier date, the “Maturity Date”). 
 Payment. 
 Form of Payment. All
payments of interest and principal shall be (i) in lawful money of the United States of America to Holder, at the address specified in the Agreement, or at such other address as may be specified from time to time by Holder in a written notice
delivered to the Issuer, or (ii) in the form of cancellation of obligation to pay purchase price by the Company to the Issuer pursuant to the Equity Transfer Agreement. All payments shall be applied first to accrued interest, and thereafter to
principal. 
 Prepayment. Prepayment of principal or interest under this Note without the express written consent of Holder is not
permitted. 

 Use of Proceeds. At least US$460,020 of proceeds from this Note shall be paid to CEEG (Nanjing)
PV-Tech Co., Ltd., a Sino-foreign joint venture organized under the laws of the PRC, as registered capital owing by the Issuer under the joint venture agreement pursuant to which the joint venture was established. 
 Events of Default. 
 Definition. For purposes of this Note, an Event of Default shall be deemed to have occurred if: 
 (i) any indebtedness under
this Note is not paid when and as the same shall become due and payable, whether at maturity, by acceleration or otherwise; 
 (ii) any
material default shall occur in the observance or performance of any covenant, obligation or agreement of the Issuer under this Note or the Agreement; 
 (iii) any material breach of the representations, warranties and covenants contained in the Agreement by any party thereto other than the Company; 
 (iv) any material breach of any covenant, obligation or agreement under any of the other Notes by the issuer thereof; or 
 (v) any material breach of the representations, warranties and covenants contained in any of the Transaction Agreements (as defined in the Agreement) by
any party thereto other than the Company. 
 Consequences of Events of Default. 
 (vi) If an Event of Default occurs, all indebtedness under this Note shall become immediately due and payable without any action on the part of Holder,
and the Issuer shall immediately pay to Holder all such amounts. From and after an Event of Default, all indebtedness hereunder shall accrue interest at the Default Interest Rate from and after the Event of Default. The Issuer agrees to pay Holder
all reasonable out-of-pocket costs and expenses incurred by Holder in any effort to collect indebtedness under this Note, including reasonable attorney fees, and to pay interest at the Default Interest Rate on such costs and expenses to the extent
not paid when demanded. 
 (vii) Holder shall also have any other rights which Holder may have been afforded under any contract or agreement
at any time and any other rights which Holder may have pursuant to applicable law. 
 Lost, Stolen, Destroyed or Mutilated Notes. In
case any Note shall be mutilated, lost, stolen or destroyed, the Issuer shall issue a new Note of like date, tenor and denomination and deliver the same in exchange and substitution for and upon surrender and cancellation of any mutilated Note, or
in lieu of any Note lost, stolen or destroyed. 
 Governing Law. This Note shall be governed by and construed exclusively in
accordance the internal laws of the State of New York (as permitted by Section 5-1401 of the New York General Obligations Law (or any similar successor provision) without giving effect to any choice of law rule that would cause the application
of the laws of any jurisdiction other than the internal laws of the State of New York to the rights and duties of the parties hereunder. 

 Amendment. Any term of this Note may be amended and the observance of any term of this Note may be
waived (either generally or in a particular instance and either retroactively or prospectively), only with the written consent of the Issuer and the holder hereof. Any amendment or waiver effected in accordance with this paragraph shall be binding
upon the Issuer, the Holder and its assigns. 
 Notices. Except as may be otherwise provided herein, all notices, requests, waivers
and other communications made pursuant to this Note shall be made in accordance with Section 6.5 of the Agreement. 
 Severability. If one or more provisions of this Note are held to be unenforceable under applicable law, such provision shall be excluded from this Note and the balance of the Note shall be interpreted as if such provision were so
excluded and shall be enforceable in accordance with its terms. 
 [REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK] 

 IN WITNESS WHEREOF, the Issuer has caused this Note to be duly executed as of the date first above
written. 
  

	
	ISSUER:
	
	 /s/ Zhao Jianhua

	Name: Zhao Jianhua

 SIGNATURE PAGE TO FOUNDER NOTE – ZHAO JIANHUA 

 PROMISSORY NOTE 
  

			
	 US$216,000
	 	March 8, 2006

 FOR VALUE RECEIVED, WANG AIHUA, a citizen of Australia (Passport No. L4142723) (the
“Issuer”), promises to pay to the order of CHINA SUNERGY CO., LTD., a BVI business company (the “Company”), or its assigns (the “Holder”), the principal sum of Two Hundred Sixteen Thousand
United States Dollars (US$216,000) with interest on the outstanding principal amount at the rate of four percent (4%) per annum (computed on the basis of actual calendar days elapsed and a year of 365 days) or, if less, at the highest rate of
interest then permitted under applicable law; provided, however, that from and after an Event of Default (as defined below), all indebtedness hereunder shall accrue interest at the rate of twenty percent (20%) per annum (computed
on the basis of actual calendar days elapsed and a year of 365 days) or, if less, at the highest rate permitted by applicable law (the “Default Interest Rate”). Interest shall commence with the date hereof and shall continue on the
outstanding principal until paid or converted in accordance with the provisions hereof. In the event that any interest is paid on this Promissory Note (this “Note”) which is deemed to be in excess of the then legal maximum rate,
then that portion of the interest payment representing an amount in excess of the then legal maximum rate shall be deemed a payment of principal and applied against the principal of this Note. 
 1. Founder Note Purchase Agreement. This Note is issued pursuant to the terms of that certain Founder Note Purchase Agreement (the
“Agreement”) dated as of March 8, 2006, by and among the Issuer, certain other individuals and the Company. This Note is one of a series of notes (the “Notes”) having like tenor and effect (except for
variations necessary to express the name of the issuer and the principal amount of each of the Notes) issued or to be issued in accordance with the terms of the Agreement. 
 Maturity. The entire unpaid principal amount and all unpaid accrued interest shall become fully due and payable on the earlier of (i) the one
(1) year anniversary of the date hereof, (ii) the acceleration of the maturity of this Note by the Holder upon the occurrence of an Event of Default, or (iii) the date on which all governmental approvals in connection with the
consummation of the transactions contemplated under the Equity Transfer Agreement (as defined in the Agreement) shall have been obtained (such earlier date, the “Maturity Date”). 
 Payment. 
 Form of Payment. All
payments of interest and principal shall be (i) in lawful money of the United States of America to Holder, at the address specified in the Agreement, or at such other address as may be specified from time to time by Holder in a written notice
delivered to the Issuer, or (ii) in the form of cancellation of obligation to pay purchase price by the Company to the Issuer pursuant to the Equity Transfer Agreement. All payments shall be applied first to accrued interest, and thereafter to
principal. 
 Prepayment. Prepayment of principal or interest under this Note without the express written consent of Holder is not
permitted. 

 Use of Proceeds. All of the proceeds from this Note shall be paid to CEEG (Nanjing) PV-Tech Co.,
Ltd., a Sino-foreign joint venture organized under the laws of the PRC, as registered capital owing by the Issuer under the joint venture agreement pursuant to which the joint venture was established. 
 Events of Default. 
 Definition. For purposes of this Note, an Event of Default shall be deemed to have occurred if: 
 (i) any indebtedness under
this Note is not paid when and as the same shall become due and payable, whether at maturity, by acceleration or otherwise; 
 (ii) any
material default shall occur in the observance or performance of any covenant, obligation or agreement of the Issuer under this Note or the Agreement; 
 (iii) any material breach of the representations, warranties and covenants contained in the Agreement by any party thereto other than the Company; 
 (iv) any material breach of any covenant, obligation or agreement under any of the other Notes by the issuer thereof; or 
 (v) any material breach of the representations, warranties and covenants contained in any of the Transaction Agreements (as defined in the Agreement) by
any party thereto other than the Company. 
 Consequences of Events of Default. 
 (vi) If an Event of Default occurs, all indebtedness under this Note shall become immediately due and payable without any action on the part of Holder,
and the Issuer shall immediately pay to Holder all such amounts. From and after an Event of Default, all indebtedness hereunder shall accrue interest at the Default Interest Rate from and after the Event of Default. The Issuer agrees to pay Holder
all reasonable out-of-pocket costs and expenses incurred by Holder in any effort to collect indebtedness under this Note, including reasonable attorney fees, and to pay interest at the Default Interest Rate on such costs and expenses to the extent
not paid when demanded. 
 (vii) Holder shall also have any other rights which Holder may have been afforded under any contract or agreement
at any time and any other rights which Holder may have pursuant to applicable law. 
 Lost, Stolen, Destroyed or Mutilated Notes. In
case any Note shall be mutilated, lost, stolen or destroyed, the Issuer shall issue a new Note of like date, tenor and denomination and deliver the same in exchange and substitution for and upon surrender and cancellation of any mutilated Note, or
in lieu of any Note lost, stolen or destroyed. 
 Governing Law. This Note shall be governed by and construed exclusively in
accordance the internal laws of the State of New York (as permitted by Section 5-1401 of the New York General Obligations Law (or any similar successor provision) without giving effect to any choice of law rule that would cause the application
of the laws of any jurisdiction other than the internal laws of the State of New York to the rights and duties of the parties hereunder. 
  

 2 

 Amendment. Any term of this Note may be amended and the observance of any term of this Note may be
waived (either generally or in a particular instance and either retroactively or prospectively), only with the written consent of the Issuer and the holder hereof. Any amendment or waiver effected in accordance with this paragraph shall be binding
upon the Issuer, the Holder and its assigns. 
 Notices. Except as may be otherwise provided herein, all notices, requests, waivers
and other communications made pursuant to this Note shall be made in accordance with Section 6.5 of the Agreement. 
 Severability. If one or more provisions of this Note are held to be unenforceable under applicable law, such provision shall be excluded from this Note and the balance of the Note shall be interpreted as if such provision were so
excluded and shall be enforceable in accordance with its terms. 
 [REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK] 
  

 3 

 IN WITNESS WHEREOF, the Issuer has caused this Note to be duly executed as of the date first above
written. 
  

	
	ISSUER:
	
	 /s/ Wang Aihua

	Name: Wang Aihua

 SIGNATURE PAGE TO FOUNDER NOTE – WANG AIHUA 

 PROMISSORY NOTE 
  

			
	 US$1,944,000
	 	March 8, 2006

 FOR VALUE RECEIVED, ZHANG FENGMING, a citizen of Australia (Passport No.L3798159) (the
“Issuer”), promises to pay to the order of CHINA SUNERGY CO., LTD., a BVI business company (the “Company”), or its assigns (the “Holder”), the principal sum of One Million Nine Hundred
Forty-Four Thousand United States Dollars (US$1,944,000) with interest on the outstanding principal amount at the rate of four percent (4%) per annum (computed on the basis of actual calendar days elapsed and a year of 365 days) or, if less, at
the highest rate of interest then permitted under applicable law; provided, however, that from and after an Event of Default (as defined below), all indebtedness hereunder shall accrue interest at the rate of twenty percent
(20%) per annum (computed on the basis of actual calendar days elapsed and a year of 365 days) or, if less, at the highest rate permitted by applicable law (the “Default Interest Rate”). Interest shall commence with the date
hereof and shall continue on the outstanding principal until paid or converted in accordance with the provisions hereof. In the event that any interest is paid on this Promissory Note (this “Note”) which is deemed to be in excess of
the then legal maximum rate, then that portion of the interest payment representing an amount in excess of the then legal maximum rate shall be deemed a payment of principal and applied against the principal of this Note. 
 1. Founder Note Purchase Agreement. This Note is issued pursuant to the terms of that certain Founder Note Purchase Agreement (the
“Agreement”) dated as of March 8, 2006, by and among the Issuer, certain other individuals and the Company. This Note is one of a series of notes (the “Notes”) having like tenor and effect (except for
variations necessary to express the name of the issuer and the principal amount of each of the Notes) issued or to be issued in accordance with the terms of the Agreement. 
 Maturity. The entire unpaid principal amount and all unpaid accrued interest shall become fully due and payable on the earlier of (i) the one
(1) year anniversary of the date hereof, (ii) the acceleration of the maturity of this Note by the Holder upon the occurrence of an Event of Default, or (iii) the date on which all governmental approvals in connection with the
consummation of the transactions contemplated under the Equity Transfer Agreement (as defined in the Agreement) shall have been obtained (such earlier date, the “Maturity Date”). 
 Payment. 
 Form of Payment. All
payments of interest and principal shall be (i) in lawful money of the United States of America to Holder, at the address specified in the Agreement, or at such other address as may be specified from time to time by Holder in a written notice
delivered to the Issuer, or (ii) in the form of cancellation of obligation to pay purchase price by the Company to the Issuer pursuant to the Equity Transfer Agreement. All payments shall be applied first to accrued interest, and thereafter to
principal. 
 Prepayment. Prepayment of principal or interest under this Note without the express written consent of Holder is not
permitted. 

 Use of Proceeds. At least US$1,296,000 of proceeds from this Note shall be paid to CEEG (Nanjing)
PV-Tech Co., Ltd., a Sino-foreign joint venture organized under the laws of the PRC, as registered capital owing by the Issuer under the joint venture agreement pursuant to which the joint venture was established. 
 Events of Default. 
 Definition. For purposes of this Note, an Event of Default shall be deemed to have occurred if: 
 (i) any indebtedness under
this Note is not paid when and as the same shall become due and payable, whether at maturity, by acceleration or otherwise; 
 (ii) any
material default shall occur in the observance or performance of any covenant, obligation or agreement of the Issuer under this Note or the Agreement; 
 (iii) any material breach of the representations, warranties and covenants contained in the Agreement by any party thereto other than the Company; 
 (iv) any material breach of any covenant, obligation or agreement under any of the other Notes by the issuer thereof; or 
 (v) any material breach of the representations, warranties and covenants contained in any of the Transaction Agreements (as defined in the Agreement) by
any party thereto other than the Company. 
 Consequences of Events of Default. 
 (vi) If an Event of Default occurs, all indebtedness under this Note shall become immediately due and payable without any action on the part of Holder,
and the Issuer shall immediately pay to Holder all such amounts. From and after an Event of Default, all indebtedness hereunder shall accrue interest at the Default Interest Rate from and after the Event of Default. The Issuer agrees to pay Holder
all reasonable out-of-pocket costs and expenses incurred by Holder in any effort to collect indebtedness under this Note, including reasonable attorney fees, and to pay interest at the Default Interest Rate on such costs and expenses to the extent
not paid when demanded. 
 (vii) Holder shall also have any other rights which Holder may have been afforded under any contract or agreement
at any time and any other rights which Holder may have pursuant to applicable law. 
 Lost, Stolen, Destroyed or Mutilated Notes. In
case any Note shall be mutilated, lost, stolen or destroyed, the Issuer shall issue a new Note of like date, tenor and denomination and deliver the same in exchange and substitution for and upon surrender and cancellation of any mutilated Note, or
in lieu of any Note lost, stolen or destroyed. 
 Governing Law. This Note shall be governed by and construed exclusively in
accordance the internal laws of the State of New York (as permitted by Section 5-1401 of the New York General Obligations Law (or any similar successor provision) without giving effect to any choice of law rule that would cause the application
of the laws of any jurisdiction other than the internal laws of the State of New York to the rights and duties of the parties hereunder. 
  

 2 

 Amendment. Any term of this Note may be amended and the observance of any term of this Note may be
waived (either generally or in a particular instance and either retroactively or prospectively), only with the written consent of the Issuer and the holder hereof. Any amendment or waiver effected in accordance with this paragraph shall be binding
upon the Issuer, the Holder and its assigns. 
 Notices. Except as may be otherwise provided herein, all notices, requests, waivers
and other communications made pursuant to this Note shall be made in accordance with Section 6.5 of the Agreement. 
 Severability. If one or more provisions of this Note are held to be unenforceable under applicable law, such provision shall be excluded from this Note and the balance of the Note shall be interpreted as if such provision were so
excluded and shall be enforceable in accordance with its terms. 
 [REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK] 
  

 3 

 IN WITNESS WHEREOF, the Issuer has caused this Note to be duly executed as of the date first above
written. 
  

	
	ISSUER:
	
	 /s/ Zhang Fengming

	Name: Zhang Fengming

 EXHIBIT C 
 DELIVERY OF PRINCIPAL AMOUNT 
  

					
	 Name
	  	To Company (US$)	  	To Founder (US$)
	 Zhao Jianhua
	  	460,020	  	490,380
	 Wang Aihua
	  	216,000	  	0
	 Zhang Fengming
	  	1,296,000	  	648,000
	 TOTAL
	  	1,972,020	  	1,138,380Share Incentive Plan

 EXHIBIT 10.1 
 CHINA SUNERGY CO., LTD. 
 SHARE INCENTIVE PLAN 
 ARTICLE 1 
 PURPOSE 

The purpose of the China Sunergy Co., Ltd. Share Incentive Plan (the “Plan”) is to promote the success and enhance the value of China
Sunergy Co., Ltd., a company formed under the laws of the Cayman Islands (the “Company”) by linking the personal interests of the members of the Board, Employees, and Consultants to those of Company shareholders and by providing
such individuals with an incentive for outstanding performance to generate superior returns to Company shareholders. The Plan is further intended to provide flexibility to the Company in its ability to motivate, attract, and retain the services of
members of the Board, Employees, and Consultants upon whose judgment, interest, and special effort the successful conduct of the Company’s operation is largely dependent. 
 ARTICLE 2 
 DEFINITIONS AND CONSTRUCTION 
 Wherever the following terms are used in the Plan they shall have the meanings specified below, unless the context clearly indicates otherwise. The
singular pronoun shall include the plural where the context so indicates. 
 2.1 “Applicable Laws” means the legal
requirements relating to the Plan and the Awards under applicable provisions of the corporate, securities, tax and other laws, rules, regulations and government orders, and the rules of any applicable stock exchange or national market system, of any
jurisdiction applicable to Awards granted to residents therein. 
 2.2 “Award” means an Option award granted to a
Participant pursuant to the Plan. 
 2.3 “Award Agreement” means any written agreement, contract, or other instrument or
document evidencing an Award, including through electronic medium. 
 2.4 “Board” means the Board of Directors of the
Company. 
 2.5 “Change in Control” means a change in ownership or control of the Company after the Registration Date
effected through either of the following transactions: 
 (a) the direct or indirect acquisition by any person or related group of persons
(other than an acquisition from or by the Company or by a Company-sponsored employee benefit plan or by a person that directly or indirectly controls, is controlled by, or is under common control with, the Company) of beneficial ownership (within
the meaning of Rule 13d-3 of the Exchange Act) of securities possessing more than fifty percent (50%) of the total combined voting power of the Company’s outstanding securities pursuant to a tender or exchange offer made directly to
the Company’s shareholders which a majority of the Incumbent Board (as defined below) who are not affiliates or associates of the offeror under Rule 12b-2 promulgated under the Exchange Act do not recommend such shareholders accept, or

 (b) the individuals who, as of the Effective Date, are members of the Board (the “Incumbent
Board”), cease for any reason to constitute at least fifty percent (50%) of the Board; provided that if the election, or nomination for election by the Company’s shareholders, of any new member of the Board is approved by a vote of at
least fifty percent (50%) of the Incumbent Board, such new member of the Board shall be considered as a member of the Incumbent Board. 
 2.6 “Code” means the Internal Revenue Code of 1986 of the United States, as amended. 
 2.7
“Committee” means the committee of the Board described in Article 8. 
 2.8 “Consultant” means any
consultant or adviser if: (a) the consultant or adviser renders bona fide services to a Service Recipient; (b) the services rendered by the consultant or adviser are not in connection with the offer or sale of securities in a
capital-raising transaction and do not directly or indirectly promote or maintain a market for the Company’s securities; and (c) the consultant or adviser is a natural person who has contracted directly with the Service Recipient to render
such services. 
 2.9 “control” (including the terms “controlled by” and “under common control
with”) means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a person, whether through the ownership of voting securities, by contract or otherwise. 
 2.10 “Corporate Transaction” means any of the following transactions, provided, however, that the Committee shall determine under
(d) and (e) whether multiple transactions are related, and its determination shall be final, binding and conclusive: 
 (a) an
amalgamation, arrangement or consolidation or scheme of arrangement in which the Company is not the surviving entity, except for a transaction the principal purpose of which is to change the jurisdiction in which the Company is incorporated;

 (b) the sale, transfer or other disposition of all or substantially all of the assets of the Company; 
 (c) the complete liquidation or dissolution of the Company; 
  

 2 

 (d) any reverse takeover or series of related transactions culminating in a reverse takeover (including,
but not limited to, a tender offer followed by a reverse takeover) in which the Company is the surviving entity but (A) the Ordinary Shares outstanding immediately prior to such takeover are converted or exchanged by virtue of the takeover into
other property, whether in the form of securities, cash or otherwise, or (B) in which securities possessing more than fifty percent (50%) of the total combined voting power of the Company’s outstanding securities are transferred to a
person or persons different from those who held such securities immediately prior to such takeover or the initial transaction culminating in such takeover, but excluding any such transaction or series of related transactions that the Committee
determines shall not be a Corporate Transaction; or 
 (e) acquisition in a single or series of related transactions by any person or related
group of persons (other than the Company or by a Company-sponsored employee benefit plan) of beneficial ownership (within the meaning of Rule 13d-3 of the Exchange Act) of securities possessing more than fifty percent (50%) of the total
combined voting power of the Company’s outstanding securities but excluding any such transaction or series of related transactions that the Committee determines shall not be a Corporate Transaction. 
 2.11 “Disability” means that the health status of the Participant falls within the definition of long-term disability under the Service
Recipient’s long-term disability insurance program, as it may be amended from time to time, to which the Participant provides services regardless of whether the Participant is covered by such policy. If the Service Recipient to which the
Participant provides service does not have a long-term disability plan in place, “Disability” means that a Participant is unable to carry out the responsibilities and functions of the position held by the Participant by reason of any
medically determinable physical or mental impairment for a period of not less than ninety (90) consecutive days. A Participant will not be considered to have incurred a Disability unless he or she furnishes proof of such impairment sufficient
to satisfy the Committee in its discretion. 
 2.12 “Effective Date” shall have the meaning set forth in Section 9.1.

 2.13 “Employee” means any person, including an officer or member of the Board of the Company, any Subsidiary of the
Company, who is in the employ of a Service Recipient, subject to the control and direction of the Service Recipient as to both the work to be performed and the manner and method of performance. The payment of a director’s fee by a Service
Recipient shall not be sufficient to constitute “employment” by the Service Recipient. 
 2.14 “Exchange Act”
means the Securities Exchange Act of 1934 of the United States, as amended. 
 2.15 “Fair Market Value” means, as of any
date, the value of Shares determined as follows: 
 (a) If the Shares are listed on one or more established stock exchanges or national market
systems, its Fair Market Value shall be the average closing sales price for such shares (or the closing bid, if no sales were reported) for the five trading days as quoted on the principal exchange or system on which the Shares are listed (as
determined by the Committee) 

  

 3 

 
immediately prior to the date of determination (or, if no closing sales price or closing bid was reported for such days, on the last five trading days such
closing sales price or closing bid was reported), as reported in The Wall Street Journal or such other source as the Committee deems reliable; 
 (b) If the Shares are regularly quoted on an automated quotation system (including the OTC Bulletin Board) or by a recognized securities dealer, its Fair Market Value shall be the average closing sales price for such shares as quoted on
such system or by such securities dealer for the five trading days immediately prior to the date of determination, but if selling prices are not reported, the Fair Market Value of an Ordinary Share shall be the mean between the high bid and low
asked prices for the Ordinary Shares on such days prior to the date of determination (or, if no such prices were reported on such days, on the last five days such prices were reported), as reported in The Wall Street Journal or such other source as
the Committee deems reliable; or 
 (c) In the absence of an established market for the Shares of the type described in (a) and (b),
above, the Fair Market Value thereof shall be determined by the Committee in good faith and in its discretion by reference to (i) the placing price of the latest private placement of the Shares and the development of the Company’s business
operations and the general economic and market conditions since such latest private placement, (ii) other third party transactions involving Shares and the development of the company’s business operation and the general economic and market
conditions since such sale, (iii) an independent valuation of the Shares, or (iii) such other methodologies or information as the Committee determines to be indicative of Fair Market Value. 
 2.16 “Independent Director” means a member of the Board who is not an Employee of the Company. 
 2.17 “Initial Public Offering” means the initial offering of the Company’s Ordinary Shares to the public on a reputable share
exchange or national market system as approved by the Board. 
 2.18 “Option” means a right granted to a Participant
pursuant to Article 5 of the Plan to purchase a specified number of Shares at a specified price during specified time periods. 
 2.19
“Participant” means a person who, as a member of the Board, Consultant or Employee, has been granted an Award pursuant to the Plan. 
 2.20 “Plan” means this China Sunergy Co., Ltd. Share Incentive Award Plan, as it may be amended from time to time. 
 2.21 “Related Entity” means any business, corporation, partnership, limited liability company or other entity in which the Company or a Subsidiary of the Company holds a substantial ownership
interest, directly or indirectly but which is not a Subsidiary and which the Board by a majority of not less than three quarters of the entire Board designates as a Related Entity for purposes of the Plan. 
  

 4 

 2.22 “Securities Act” means the Securities Act of 1933 of the United States, as amended.

 2.23 “Service Recipient” means the Company, any Subsidiary of the Company or any Related Entity to which a Participant
provides services as an Employee, Consultant or as a Director. 
 2.24 “Share” means the ordinary shares of the Company, par
value $0.0001 per share, and such other securities of the Company that may be substituted for Shares pursuant to Article 7. 
 2.25
“Subsidiary” means any corporation or other entity of which a majority of the outstanding voting shares or voting power is beneficially owned directly or indirectly by the Company. 
 ARTICLE 3 
 SHARES SUBJECT TO THE
PLAN 
 3.1 Number of Shares. 
 (a) Subject to the provisions of Article 7 and Section 3.1(b), the maximum aggregate number of Shares which may be issued pursuant to all Awards is 2,500,000. 
 (b) To the extent that an Award terminates, expires, or lapses for any reason, any Shares subject to the Award shall again be available for the grant of
an Award pursuant to the Plan. To the extent permitted by Applicable Law, Shares issued in assumption of, or in substitution for, any outstanding awards of any entity acquired in any form of business combination by the Company or any Subsidiary of
the Company shall not be counted against Shares available for grant pursuant to the Plan. 
 3.2 Shares Distributed. Any Shares
distributed pursuant to an Award may consist, in whole or in part, of authorized and unissued Shares, treasury Shares (subject to applicable law) or Shares purchased on the open market. Additionally, in the discretion of the Committee, American
Depository Shares in an amount equal to the number of Shares which otherwise would be distributed pursuant to an Award may be distributed in lieu of Shares in settlement of any Award. If the number of Shares represented by an American Depository
Share is other than on a one-to-one basis, the limitations of Section 3.1 shall be adjusted to reflect the distribution of American Depository Shares in lieu of Shares. 
 ARTICLE 4 
 ELIGIBILITY AND PARTICIPATION 
 4.1 Eligibility. Employees, Consultants, all members of the Board and candidates of members of the Board are eligible to participate in this Plan,
provided that a candidate of member of the Board shall not be entitled to exercise any Award before he becomes a member of the Board. 
  

 5 

 4.2 Participation. Subject to the provisions of the Plan, the Committee may, from time to time,
select from among all eligible individuals, those to whom Awards shall be granted and shall determine the nature and amount of each Award. No individual shall have any right to be granted an Award pursuant to this Plan. 
 4.3 Jurisdictions. In order to assure the viability of Awards granted to Participants employed in various jurisdictions, the Committee may provide
for such special terms as it may consider necessary or appropriate to accommodate differences in local law, tax policy, or custom applicable in the jurisdiction in which the Participant resides or is employed. Moreover, the Committee may approve
such supplements to, or amendments, restatements, or alternative versions of, the Plan as it may consider necessary or appropriate for such purposes without thereby affecting the terms of the Plan as in effect for any other purpose; provided,
however, that no such supplements, amendments, restatements, or alternative versions shall increase the share limitations contained in Section 3.1 of the Plan. Notwithstanding the foregoing, the Committee may not take any actions hereunder,
and no Awards shall be granted, that would violate any Applicable Laws. 
 ARTICLE 5 
 OPTIONS 
 5.1 General. The
Committee is authorized to grant Options to Participants on the following terms and conditions: 
 (a) Exercise Price. The exercise
price per Share subject to an Option shall be determined by the Committee and set forth in the Award Agreement which may be a fixed price or a variable price related to the Fair Market Value of the Shares. 
 (b) Time and Conditions of Exercise. The Committee shall determine the time or times at which an Option may be exercised in whole or in part,
including exercise prior to vesting; provided that the term of any Option granted under the Plan shall not exceed ten years. The Committee shall also determine any conditions, if any, that must be satisfied before all or part of an Option may
be exercised. 
 (c) Payment. The Committee shall determine the methods by which the exercise price of an Option may be paid, the form
of payment, including, without limitation, to the extent permitted by the Applicable Laws, (i) cash or check denominated in U.S. Dollars, (ii) cash or check in Chinese Renminbi, (iii) cash or check denominated in any other local
currency as approved by the Committee, (iv) Shares held for such period of time as may be required by the Committee in order to avoid adverse financial accounting consequences and having a Fair Market Value on the date of delivery equal to the
aggregate exercise price of the Option or exercised portion thereof, (v) after the Shares are listed on a regulated securities exchange or are otherwise publicly traded the delivery of a notice that the Participant has placed a market sell
order with a broker with respect to Shares then issuable upon exercise of the Option, and that the broker has been directed to pay a sufficient portion of the net proceeds of the sale to the Company in satisfaction of the Option exercise price;
provided that payment of such proceeds is then made to the Company upon settlement of such sale, or (vi) any combination of the 

  

 6 

 
foregoing. Notwithstanding any other provision of the Plan to the contrary, no Participant who is a member of the Board or an “executive officer”
of the Company within the meaning of Section 13(k) of the Exchange Act shall be permitted to pay the exercise price of an Option in any method which would violate Section 13(k) of the Exchange Act. 
 (d) Evidence of Grant. All Options shall be evidenced by an Award Agreement between the Company and the Participant. 
 ARTICLE 6 
 PROVISIONS APPLICABLE TO
AWARDS 
 6.1 Award Agreement. Awards under the Plan shall be evidenced by Award Agreements that set forth the terms, conditions
and limitations for each Award which may include the term of an Award, the provisions applicable in the event the Participant’s employment or service terminates, and the Company’s authority to unilaterally or bilaterally amend, modify,
suspend, cancel or rescind an Award. Each Award Agreement shall be in the standard form set forth in Annex A to this Plan. Any Award Agreement may include such additional provisions not inconsistent with the terms set forth in the standard form as
may be specified by the Committee. Variation from or waiver of any terms set forth in the standard form shall be approved by the Board by at least a three quarters majority of the entire Board. 
 6.2 Limits on Transfer. No right or interest of a Participant in any Award may be pledged, encumbered, or hypothecated to or in favor of any party
other than the Company or a Subsidiary, or shall be subject to any lien, obligation, or liability of such Participant to any other party other than the Company or a Subsidiary. Except as otherwise provided by the Committee, no Award shall be
assigned, transferred, or otherwise disposed of by a Participant other than by will or the laws of descent and distribution. The Committee by express provision in the Award or an amendment thereto may permit an Award to be transferred to, exercised
by and paid to certain persons or entities related to the Participant, including but not limited to members of the Participant’s family, charitable institutions, or trusts or other entities whose beneficiaries or beneficial owners are members
of the Participant’s family and/or charitable institutions, or to such other persons or entities as may be expressly approved by the unanimous approval of the Committee, pursuant to such conditions and procedures as the Committee may establish
in such approval. Any permitted transfer shall be subject to the condition that the Committee receive evidence satisfactory to it that the transfer is being made for estate and/or tax planning purposes (or to a “blind trust” in connection
with the Participant’s termination of employment or service with the Company or a Subsidiary to assume a position with a governmental, charitable, educational or similar non-profit institution) and on a basis consistent with the Company’s
lawful issue of securities. 
 6.3 Beneficiaries. Notwithstanding Section 6.2, a Participant may, in the manner determined by the
Committee, designate a beneficiary to exercise the rights of the Participant and to receive any distribution with respect to any Award upon the Participant’s death. A beneficiary, legal guardian, legal representative, or other person claiming
any rights pursuant to 

  

 7 

 
the Plan is subject to all terms and conditions of the Plan and any Award Agreement applicable to the Participant, except to the extent the Plan and Award
Agreement otherwise provide, and to any additional restrictions deemed necessary or appropriate by the Committee. If the Participant is married and resides in a community property state, a designation of a person other than the Participant’s
spouse as his or her beneficiary with respect to more than 50% of the Participant’s interest in the Award shall not be effective without the prior written consent of the Participant’s spouse. If no beneficiary has been designated or
survives the Participant, payment shall be made to the person entitled thereto pursuant to the Participant’s will or the laws of descent and distribution. Subject to the foregoing, a beneficiary designation may be changed or revoked by a
Participant at any time provided the change or revocation is filed with the Committee. 
 6.4 Share Certificates. Notwithstanding
anything herein to the contrary, the Company shall not be required to issue or deliver any certificates evidencing shares of Share pursuant to the exercise of any Award, unless and until the Board has determined, with advice of counsel, that the
issuance and delivery of such certificates is in compliance with all Applicable Laws, regulations of governmental authorities and, if applicable, the requirements of any exchange on which the Shares are listed or traded. All Share certificates
delivered pursuant to the Plan are subject to any stop-transfer orders and other restrictions as the Committee deems necessary or advisable to comply all Applicable Laws, and the rules of any national securities exchange or automated quotation
system on which the Shares are listed, quoted, or traded. The Committee may place legends on any Share certificate to reference restrictions applicable to the Share. In addition to the terms and conditions provided herein, the Board may require that
a Participant make such reasonable covenants, agreements, and representations as the Board, in its discretion, deems advisable in order to comply with any such laws, regulations, or requirements. The Committee shall have the right to require any
Participant to comply with any timing or other restrictions with respect to the settlement or exercise of any Award, including a window-period limitation, as may be imposed in the discretion of the Committee. 
 6.5 Paperless Administration. Subject to Applicable Laws, the Committee may make Awards, provide applicable disclosure and procedures for exercise
of Awards by an internet website or interactive voice response system for the paperless administration of Awards. 
 6.6 Foreign
Currency. A Participant may be required to provide evidence that any currency used to pay the exercise price of any Award was acquired and taken out of the jurisdiction in which the Participant resides in accordance with Applicable Laws,
including foreign exchange control laws and regulations. In the event the exercise price for an Award is paid in Chinese Renminbi or other foreign currency, as permitted by the Committee, the amount payable will be determined by conversion from U.S.
dollars at the official rate promulgated by the People’s Bank of China for Chinese Renminbi, or for jurisdictions other than the Peoples Republic of China, the exchange rate as selected by the Committee on the date of exercise. 
 ARTICLE 7 
 CHANGES IN CAPITAL
STRUCTURE 
 7.1 Adjustments. In the event of any dividend, share split, combination or exchange of Shares, amalgamation,
arrangement or consolidation, spin-off, recapitalization or other 

  

 8 

 
distribution (other than normal cash dividends) of Company assets to its shareholders, or any other change affecting the shares of Shares or the share price
of a Share, the Committee shall make such proportionate and equitable adjustments to (a) the aggregate number and type of shares that may be issued under the Plan (including, but not limited to, adjustments of the limitations in
Section 3.1); (b) the terms and conditions of any outstanding Awards (including, without limitation, any applicable performance targets or criteria with respect thereto); and/or (c) the grant or exercise price per share for any
outstanding Awards under the Plan, as determined by the Committee. 
 7.2 Acceleration upon a Change of Control. Except as may
otherwise be provided in any Award Agreement or any other written agreement entered into by and between the Company and a Participant, if a Change of Control occurs and a Participant’s Awards are not converted, assumed, or replaced by a
successor, such Awards shall become fully exercisable and all forfeiture restrictions on such Awards shall lapse. Upon, or in anticipation of, a Change of Control, the Committee may in its sole discretion provide for (i) any and all Awards
outstanding hereunder to terminate at a specific time in the future and shall give each Participant the right to exercise such Awards during a period of time as the Committee shall determine, (ii) either the purchase of any Award for an amount
of cash equal to the amount that could have been attained upon the exercise of such Award or realization of the Participant’s rights had such Award been currently exercisable or payable or fully vested (and, for the avoidance of doubt, if as of
such date the Committee determines in good faith that no amount would have been attained upon the exercise of such Award or realization of the Participant’ s rights, then such Award may be terminated by the Company without payment),
(iii) the replacement of such Award with other rights or property selected by the Committee in its sole discretion the assumption of or substitution of such Award by the successor or surviving corporation, or a parent or subsidiary thereof,
with appropriate adjustments as to the number and kind of Shares and prices, or (iv) provide for payment of Awards in cash based on the value of Shares on the date of the Change of Control. 
 7.3 Outstanding Awards – Corporate Transactions. In the event of a Corporate Transaction, each Award will terminate upon the consummation of
the Corporate Transaction, unless the Award is assumed by the successor entity or parent thereof in connection with the Corporate Transaction. Except as provided otherwise in an individual Award Agreement, in the event of a Corporate Transaction
and: 
 (a) the Award either is (x) assumed by the successor entity or parent thereof or replaced with a comparable Award (as determined
by the Committee) with respect to shares of the capital shares of the successor entity or parent thereof or (y) replaced with a cash incentive program of the successor entity which preserves the compensation element of such Award existing at
the time of the Corporate Transaction and provides for subsequent payout in accordance with the same vesting schedule applicable to such Award, then such Award (if assumed), the replacement Award (if replaced), or the cash incentive program
automatically shall become fully vested, exercisable and payable and be released from any restrictions on transfer (other than transfer restrictions applicable to Options) and repurchase or forfeiture rights, immediately upon termination of the
Participant’s employment or service with all Service Recipient within twelve (12) months of the Corporate Transaction without cause; and 
  

 9 

 (b) For each Award that is neither assumed nor replaced, such portion of the Award shall automatically
become fully vested and exercisable and be released from any repurchase or forfeiture rights (other than repurchase rights exercisable at Fair Market Value) for all of the Shares at the time represented by such portion of the Award, immediately
prior to the specified effective date of such Corporate Transaction. 
 7.4 Outstanding Awards – Other Changes. In the event of
any other change in the capitalization of the Company or corporate change other than those specifically referred to in this Article 7, the Committee may, in its absolute discretion, make such adjustments in the number and class of shares subject to
Awards outstanding on the date on which such change occurs and in the per share grant or exercise price of each Award as the Committee may consider appropriate to prevent dilution or enlargement of rights. 
 7.5 No Other Rights. Except as expressly provided in the Plan, no Participant shall have any rights by reason of any subdivision or consolidation
of Shares of any class, the payment of any dividend, any increase or decrease in the number of shares of any class or any dissolution, liquidation, merger, or consolidation of the Company or any other corporation. Except as expressly provided in the
Plan or pursuant to action of the Committee under the Plan, no issuance by the Company of shares of any class, or securities convertible into shares of any class, shall affect, and no adjustment by reason thereof shall be made with respect to, the
number of shares subject to an Award or the grant or exercise price of any Award. 
 ARTICLE 8 
 ADMINISTRATION 
 8.1 Committee.
The Plan shall be administered by the Compensation Committee appointed by the Board; provided, however that the Compensation Committee may delegate to a committee the authority to grant or amend Awards to Participants other than Independent
Directors and executive officers of the Company (such committee being the “Committee”). The Committee shall consist of at least two individuals who are officers and/or directors of the Company. Reference to the Committee shall refer to the
Board if the Compensation Committee has not been appointed, or ceases to exist and the Board does not appoint a successor Committee. Notwithstanding the foregoing, the full Board, acting by majority of its members in office shall conduct the general
administration of the Plan if required by Applicable Law, and with respect to Awards granted to Independent Directors and executive officers of the Company and for purposes of such Awards the term “Committee” as used in the Plan shall be
deemed to refer to the Board. Notwithstanding the foregoing, following the Initial Public Offering, the Committee shall consist solely of two or more members of the Board each of whom is a Non-Employee Director and an “independent
director” under the rules of the principal securities market on which Shares are traded. Notwithstanding the foregoing, the full Board, acting by a majority of its members in office, shall conduct the general administration of the Plan with
respect to all Awards granted to Independent Directors and for purposes of such Awards the term “Committee” as used in this Plan shall be deemed to refer to the Board. 
 8.2 Action by the Committee. A majority of the Committee shall constitute a quorum. The acts of a majority of the members present at any meeting
at which a quorum is 

  

 10 

 
present, and acts approved in writing by a majority of the Committee in lieu of a meeting, shall be deemed the acts of the Committee. Each member of the
Committee is entitled to, in good faith, rely or act upon any report or other information furnished to that member by any officer or other employee of the Company or any Subsidiary, the Company’s independent certified public accountants, or any
executive compensation consultant or other professional retained by the Company to assist in the administration of the Plan. No member of the Committee may act as to matters under the Plan specifically relating to such member. The Company will bear
the expenses in relation to the administration and execution of the Plan. 
 8.3 Authority of Committee. Subject to any specific
designation in the Plan, the Committee has the exclusive power, authority and discretion to: 
 (a) Designate Participants to receive Awards;

 (b) Determine the type or types of Awards to be granted to each Participant; 
 (c) Determine the number of Awards to be granted and the number of Shares to which an Award will relate; 
 (d) Determine the terms and conditions of any Award granted pursuant to the Plan, including, but not limited to, the exercise price, grant price, or
purchase price, any restrictions or limitations on the Award, any schedule for lapse of forfeiture restrictions or restrictions on the exercisability of an Award, and accelerations or waivers thereof, any provisions related to non-competition and
recapture of gain on an Award, based in each case on such considerations as the Committee in its sole discretion determines; 
 (e) Determine
whether, to what extent, and pursuant to what circumstances an Award may be settled in, or the exercise price of an Award may be paid in, cash, Shares, other Awards, or other property, or an Award may be canceled, forfeited, or surrendered;

 (f) Prescribe the form of each Award Agreement, which need not be identical for each Participant; 
 (g) Decide all other matters that must be determined in connection with an Award; 
 (h) Establish, adopt, or revise any rules and regulations as it may deem necessary or advisable to administer the Plan; 
 (i) Interpret the terms of, and any matter arising pursuant to, the Plan or any Award Agreement; and 
 (j) Make all other decisions and determinations that may be required pursuant to the Plan or as the Committee deems necessary or advisable to administer
the Plan. 
 8.4 Decisions Binding. The Committee’s interpretation of the Plan, any Awards granted pursuant to the Plan, any
Award Agreement and all decisions and determinations by the Committee with respect to the Plan are final, binding, and conclusive on all parties. Benefits will be paid only if the Committee determines, in its discretion, that the claimant is
entitled to them. 
  

 11 

 ARTICLE 9 
 EFFECTIVE AND EXPIRATION DATE 
 9.1 Effective Date. The Plan is effective as of the date the
Plan is approved by the Company’s shareholders (the “Effective Date”). The Plan will be deemed to be approved by the shareholders if it receives the affirmative vote of the holders of a majority of the share capital of the
Company present or represented and entitled to vote at a meeting duly held in accordance with the applicable provisions of the Company’s Memorandum of Association and Articles of Association. 
 9.2 Expiration Date. The Plan will expire on, and no Award may be granted pursuant to the Plan after, the tenth anniversary of the Effective Date.
Any Awards that are outstanding on the tenth anniversary of the Effective Date shall remain in force according to the terms of the Plan and the applicable Award Agreement. 
 ARTICLE 10 
 AMENDMENT, MODIFICATION, AND TERMINATION 
 10.1 Amendment, Modification, And Termination. With the approval of the Board, at any time and from time to time, the Committee may terminate,
amend or modify the Plan; provided, however, that (a) to the extent necessary and desirable to comply with Applicable Laws, or stock exchange rules, the Company shall obtain shareholder approval of any Plan amendment in such a manner and
to such a degree as required, and (b) shareholder approval is required for any amendment to the Plan that (i) increases the number of Shares available under the Plan (other than any adjustment as provided by Article 7), (ii) permits
the Committee to grant Options with an exercise price that is below Fair Market Value on the date of grant, (iii) permits the Committee to extend the term of the Plan or the exercise period for an Option beyond ten years from the date of grant,
or (iv) results in a material increase in benefits or a change in eligibility requirements. 
 10.2 Awards Previously Granted.
Except with respect to amendments made pursuant to Section 10.1, no termination, amendment, or modification of the Plan shall adversely affect in any material way any Award previously granted pursuant to the Plan without the prior written
consent of the Participant. 
  

 12 

 ARTICLE 11 
 GENERAL PROVISIONS 
 11.1 No Rights to Awards. No Participant, employee, or other person shall
have any claim to be granted any Award pursuant to the Plan, and neither the Company nor the Committee is obligated to treat Participants, employees, and other persons uniformly. 
 11.2 No Shareholders Rights. No Award gives the Participant any of the rights of a Shareholder of the Company unless and until Shares are in fact
issued to such person in connection with such Award. 
 11.3 Taxes. No Shares shall be delivered under the Plan to any Participant
until such Participant has made arrangements acceptable to the Committee for the satisfaction of any income and employment tax withholding obligations under Applicable Laws. The Company or any Subsidiary shall have the authority and the right to
deduct or withhold, or require a Participant to remit to the Company, an amount sufficient to satisfy federal, state, local and foreign taxes (including the Participant’s payroll tax obligations) required or permitted by law to be withheld with
respect to any taxable event concerning a Participant arising as a result of this Plan. The Committee may in its discretion and in satisfaction of the foregoing requirement allow a Participant to elect to have the Company withhold Shares otherwise
issuable under an Award (or allow the return of Shares) having a Fair Market Value equal to the sums required to be withheld. Notwithstanding any other provision of the Plan, the number of Shares which may be withheld with respect to the issuance,
vesting, exercise or payment of any Award (or which may be repurchased from the Participant of such Award after such Shares were acquired by the Participant from the Company) in order to satisfy the Participant’s federal, state, local and
foreign income and payroll tax liabilities with respect to the issuance, vesting, exercise or payment of the Award shall, unless specifically approved by the Committee, be limited to the number of Shares which have a Fair Market Value on the date of
withholding or repurchase equal to the aggregate amount of such liabilities based on the minimum statutory withholding rates for federal, state, local and foreign income tax and payroll tax purposes that are applicable to such supplemental taxable
income. 
 11.4 No Right to Employment or Services. Nothing in the Plan or any Award Agreement shall interfere with or limit in any
way the right of the Service Recipient to terminate any Participant’s employment or services at any time, nor confer upon any Participant any right to continue in the employ or service of any Service Recipient. 
 11.5 Unfunded Status of Awards. The Plan is intended to be an “unfunded” plan for incentive compensation. With respect to any payments
not yet made to a Participant pursuant to an Award, nothing contained in the Plan or any Award Agreement shall give the Participant any rights that are greater than those of a general creditor of the Company or any Subsidiary. 
 11.6 Indemnification. To the extent allowable pursuant to applicable law, each member of the Committee or of the Board shall be indemnified and
held harmless by the Company from any loss, cost, liability, or expense that may be imposed upon or reasonably incurred by such member in connection with or resulting from any claim, action, suit, or 

  

 13 

 
proceeding to which he or she may be a party or in which he or she may be involved by reason of any action or failure to act pursuant to the Plan and against
and from any and all amounts paid by him or her in satisfaction of judgment in such action, suit, or proceeding against him or her; provided he or she gives the Company an opportunity, at its own expense, to handle and defend the same before
he or she undertakes to handle and defend it on his or her own behalf. The foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such persons may be entitled pursuant to the Company’s
Memorandum of Association and Articles of Association, as a matter of law, or otherwise, or any power that the Company may have to indemnify them or hold them harmless. 
 11.7 Relationship to other Benefits. No payment pursuant to the Plan shall be taken into account in determining any benefits pursuant to any pension, retirement, savings, profit sharing, group insurance,
welfare or other benefit plan of the Company or any Subsidiary except to the extent otherwise expressly provided in writing in such other plan or an agreement thereunder. 
 11.8 Expenses. The expenses of administering the Plan shall be borne by the Company and its Subsidiaries. 
 11.9 Titles and Headings. The titles and headings of the Sections in the Plan are for convenience of reference only and, in the event of any conflict, the text of the Plan, rather than such titles or headings, shall control.

 11.10 Fractional Shares. No fractional shares of Share shall be issued and the Committee shall determine, in its discretion,
whether cash shall be given in lieu of fractional shares or whether such fractional shares shall be eliminated by rounding up or down as appropriate. 
 11.11 Limitations Applicable to Section 16 Persons. Notwithstanding any other provision of the Plan, the Plan, and any Award granted or awarded to any Participant who is then subject to Section 16 of
the Exchange Act, shall be subject to any additional limitations set forth in any applicable exemptive rule under Section 16 of the Exchange Act (including any amendment to Rule 16b-3 of the Exchange Act) that are requirements for the
application of such exemptive rule. To the extent permitted by applicable law, the Plan and Awards granted or awarded hereunder shall be deemed amended to the extent necessary to conform to such applicable exemptive rule. 
 11.12 Government and Other Regulations. The obligation of the Company to make payment of awards in Share or otherwise shall be subject to all
Applicable Laws, rules, and regulations, and to such approvals by government agencies as may be required. The Company shall be under no obligation to register any of the Shares paid pursuant to the Plan under the Securities Act or any other similar
law in any applicable jurisdiction. If the Shares paid pursuant to the Plan may in certain circumstances be exempt from registration pursuant to the Securities Actor other Applicable Laws the Company may restrict the transfer of such shares in such
manner as it deems advisable to ensure the availability of any such exemption. 
 11.13 Governing Law. The Plan and all Award
Agreements shall be construed in accordance with and governed by the laws of the Cayman Islands. 
  

 14 

 11.14 Section 409A. To the extent that the Committee determines that any Award granted under
the Plan is or may become subject to Section 409A of the Code, the Award Agreement evidencing such Award shall incorporate the terms and conditions required by Section 409A of the Code. To the extent applicable, the Plan and the Award
Agreements shall be interpreted in accordance with Section 409A of the Code and the U.S. Department of Treasury regulations and other interpretative guidance issued thereunder, including without limitation any such regulation or other guidance
that may be issued after the Effective Date. Notwithstanding any provision of the Plan to the contrary, in the event that following the Effective Date the Committee determines that any Award may be subject to Section 409A of the Code and
related Department of Treasury guidance (including such Department of Treasury guidance as may be issued after the Effective Date), the Committee may adopt such amendments to the Plan and the applicable Award agreement or adopt other policies and
procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, that the Committee determines is necessary or appropriate to (a) exempt the Award from Section 409A of the Code and /or preserve
the intended tax treatment of the benefits provided with respect to the Award, or (b) comply with the requirements of Section 409A of the Code and related U.S. Department of Treasury guidance. 
 11.15 Appendices. The Committee may approve such supplements, amendments or appendices to the Plan as it may consider necessary or appropriate for
purposes of compliance with applicable laws or otherwise and such supplements, amendments or appendices shall be considered a part of the Plan; provided, however, that no such supplements shall increase the share limitations contained in Sections
3.1 and 3.3 of the Plan. 
 *  *  *  *  * 
 I hereby certify that the foregoing Plan was duly adopted by the Board of Directors of China Sunergy Co., Ltd. on April 24, 2007. 
 *  *  *  *  * 
 I hereby certify that the foregoing Plan was approved by the
shareholders of China Sunergy Co., Ltd. on April 24, 2007. 
 Executed on this 24th day of April, 2007. 
  

	
	  

	Corporate Secretary

  

 15 

 CHINA SUNERGY CO., LTD. (THE “COMPANY”) 
 SHARE OPTION AWARD AGREEMENT 
  

					
	Name:	 	Plan:	 	China Sunergy Co., Ltd. Share Incentive Plan
	Address:	 		 	
		 	Grant:	 	Option to purchase                      ordinary shares of the
Company
		
		 	Exercise Price:
	Signature:	 	
		 	Grant Date:

  

	1.	This share option award granted hereunder is made pursuant to the China Sunergy Co., Ltd. Share Incentive Plan (the “Plan”). Capitalized terms used herein shall have the
meaning ascribed to them in the Plan. Effective on the grant date written hereinabove (the “Grant Date”) you have been granted an the option to purchase the number of Shares at the exercise price designated above, in accordance with the
provisions of the China Sunergy Co., Ltd. Share Incentive Plan (the “Plan”). This option may be exercised for whole shares only. 

 Twenty-five percent (25%) of the Shares subject to the option will vest and become exercisable on the first anniversary of the Grant Date, and additional twenty-five percent (25%) of the Shares subject to
the option will vest and become exercisable on each of the second, third and fourth anniversaries of the Grant Date. 
  

	2.	In the event of the termination of your employment or service with the Company, any of its Subsidiaries or a Related Entity for any reason other than Termination by Employer for
“cause” as described in Paragraph 3 below, whether such termination is occasioned by you, by the Company or any of its Subsidiaries or Related Entities (“Termination of Service”), your right to vest in your option under the Plan,
if any, will terminate effective as of the earlier of: (i) the date that you give or are provided with written notice of Termination of Service, or (ii) if you are an employee of the Company or any of its Subsidiaries or a Related Entity,
the date that you are no longer actively employed by such entity, regardless of any notice period or period of pay in lieu of such notice required under any applicable statute or the common law (each, the “Notice Period”). For greater
clarity, you have no rights to vest in your option during the Notice Period. 

  

	3.	Notwithstanding the foregoing, if your Termination of Service is by reason of “cause,” then your right to exercise the option shall terminate concurrently with your
Termination of Service. For this purpose “cause” shall have the meaning as expressly defined in any then-effective written agreement regarding your employment with the Company, any Subsidiary or Related Entity. In the absence of such
then-effective written agreement and definition, “cause” is based on a determination by the Committee, in its discretion, that you have: (i) performed an act or failed to perform any act, in bad faith and to the detriment of the
Company, a Subsidiary or any Related Entity; (ii) engaged in dishonesty, intentional misconduct or material breach of any agreement with the Company, a Subsidiary or a Related Entity; (iii) been indicted for commission of a crime involving
dishonesty, breach of trust, or physical or emotional harm to any person, or (iv) failed to discharge competently your duties and responsibilities expressly stated or customarily expected in respect of your position at the Company, a Subsidiary
or Related Entity. 

	4.	The option may not be exercised until vested. Subject to Paragraph 3, once vested, the vested portion of the option may be exercised in whole or any part, at any time. However, a
vested option (or a vested portion of the option) must be exercised, if at all, prior to the earlier of: 

  

	 	(a)	one year following your Termination of Service with the Company, its Subsidiaries and Related Entities by reason of death or Disability; 

  

	 	(b)	90 days following your Termination of Service (which does not include Termination by Employer without cause) for any reason other than death or Disability or for cause; for this
purpose your last day of active employment or service will be deemed to occur on the date of the closing of the sale of all or substantially all of the shares or assets of a Subsidiary or Related Entity for which you are employed at the time of the
transaction; 

  

	 	(c)	the tenth anniversary of the Grant Date; 

 and if not exercised prior thereto shall terminate and no longer be exercisable. 
  

	5.	The option will be deemed exercised upon your completing the exercise procedures established by the Company and your payment of the option exercise price per share and any
applicable tax withholding to the Company. Payment may be made in cash or such other method as the Company may permit from time to time as set forth in the Plan. 

  

	6.	The Shares acquired upon exercise of the option may in the discretion of the Company be subject to such restrictions as the Company may require such as rights of first refusal,
rights of repurchase or requirements that you consent not to transfer the Shares for a period of time in connection with any public offering of the Shares. 

  

	7.	Notwithstanding anything in the Plan to the contrary and in accordance with Section 4.3 of the Plan, if you are a resident for tax purposes in the Peoples Republic of China
(“PRC”), you may exercise your option only when the Shares underlying and issuable upon exercise of you option are freely transferable on a stock exchange or are otherwise publicly traded, and only by placing a market sell order with a
broker with respect to Shares then issuable upon exercise of the option as described in Section 5.1(c) of the Plan. 

  

	8.	The Company has the authority to deduct or withhold, or require you to remit to the Company, an amount sufficient to satisfy applicable national, local and foreign taxes arising
from this option. You may satisfy your tax obligation, in whole or in part, by either: (i) electing to have the Company withhold Shares otherwise to be delivered with a Fair Market Value equal to the minimum amount of the tax withholding
obligation; or (ii) surrendering to the Company previously owned Shares with a Fair Market Value equal to the minimum amount of the tax withholding obligation. 

  

	9.	This option is not transferable except by will or the laws of descent and distribution. 

  

	10.	 You acknowledge and consent to the collection, use, processing and transfer of personal data as described in this paragraph. The Company, its affiliates and your
employer hold certain personal information, including your name, home address and telephone number, date of birth, social security number or other employee tax identification number, salary, nationality, job title, any shares 

	 	 
awarded, cancelled, purchased, vested, unvested or outstanding in your favor, for the purpose of managing and administering the Plan (“Data”). The
Company and its affiliates will transfer Data to any third parties assisting the Company in the implementation, administration and management of the Plan. These recipients may be located in the European Economic Area, the PRC or elsewhere such as
the United States. You authorize them to receive, possess, use, retain and transfer the Data, in electronic or other form, for the purposes of implementing, administering and managing your participation in the Plan, including any requisite transfer
of such Data as may be required for the administration of the Plan and/or the subsequent holding of shares on your behalf to a broker or other third party with whom you may elect to deposit any shares acquired pursuant to the Plan. You may, at any
time, review Data, require any necessary amendments to it or withdraw the consent herein in writing by contacting the Company; however, withdrawing the consent may affect your ability to participate in the Plan. 

  

	11.	Your participation in the Plan is voluntary. The value of the option is an extraordinary item of compensation outside the scope of your employment contract, if any. As such, the
option is not part of normal or expected compensation for purposes of calculating any severance, resignation, redundancy, end of service payments, bonuses, long-service awards, pensions or retirement benefits or similar payments unless specifically
and otherwise provided. Rather, the awarding of an option under the Plan represents an incentive for you to align your interests with the interests of the shareholders of the Company. 

  

	12.	This option is granted under and governed by the terms and conditions of the Plan. You acknowledge and agree that the Plan is discretionary in nature and may be amended, cancelled,
or terminated by the Company, in its sole discretion, at any time. The grant of an option under the Plan is a one-time benefit and does not create any contractual or other right to receive a grant of options or benefits in lieu of options in the
future. Future grants of options, if any, will be at the sole discretion of the Company, including, but not limited to, the timing of the grant, the number of options, vesting provisions, and the exercise price. The Plan has been introduced
voluntarily by the Company and in accordance with the provisions of the Plan may be terminated by the Company at any time. By execution of this Agreement, you consent to the provisions of the Plan and this Agreement. Defined terms used herein shall
have the meaning set forth in the Plan, unless otherwise defined herein. 

  

	
	 COMPANY:

	
	 CHINA SUNERGY CO., LTD.

	
	  

	 By:

	 Its:

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