Germany's Solarworld disappoints shareholders

Solarworld of Germany has reported heavy losses for the first half of the current year after massive write-downs and revenues problems. The company blames its poor results on cheap Chinese solar panels. Solarworld, the biggest German maker of solar panels, announced on Monday the company had logged massive losses in the first six months of the year, amounting to a total of 159.3 million euros ($189 million). Losses before interest and tax (Ebit) were put at 143.8 million euros. Shareholders in Germany appeared shocked by Solarworld's poor performance, with the firm's stocks easing more than 10 percent in early Monday trading. The company said that given the negative figures for the first half year, it would not be able to uphold its earlier forecast for 2012, meaning it would not be in a position to say goodbye to operative losses. More jobs at stake Solarworld's revenues in the first half of 2012 dropped by 36.6 percent year-on-year to 340.08 million euros despite a marginal rise overall sales. The company attributed its problems to what it called dumping prices for solar panels from its main competitors in China. It also mentioned reduced subsidies for solar technology in Germany which it said had ate into profits. Solarworld Chief Executive Frank Asbeck announced the firm would lay off an additional 300 people by the end of the current year, after sacking 500 in 2011. The Bonn-based company currently employs 2,600 workers.