3 Min Read
* To meet creditors in Wuxi on May 22
* Seeks more time to restate statements for 2010, 2011
* Says revenue for 2012 nearly halved to $1.63 bln
May 1 (Reuters) - Suntech Power Holdings Co Ltd, whose main unit is in insolvency proceedings, said it would delay filing full-year results for 2012 as it needed more time to restate financial statements for the previous two years.
Suntech, which said revenue fell by an estimated 48 percent in 2012, had planned to file the restated results by April 30 but said it would need more time to assess the impact of restructuring at its main unit in China, a moratorium on debt repayments in Europe and its ongoing discussions with holders of 3 percent convertible notes.
Suntech said it would meet creditors of its main manufacturing unit in China, Wuxi Suntech, on May 22.
Chinese banks that lent to Wuxi Suntech dragged the unit into insolvency proceedings in March, after Suntech failed to meet a $541 million payment on the 3 percent notes.
A majority of the noteholders have agreed not to exercise their rights until May 15.
"We are making progress and are evaluating solutions that will take into account the rights and interests of all of our stakeholders," CEO David King said in a statement, adding that company was underataking a a number of restructuring initiatives.
Suntech has not released quarterly results since the second quarter of 2012, and had reported losses for the four quarters before that amid a relentless fall in prices for solar panels.
Suntech determined that its financial results between 2010 and the first quarter of 2012 could no longer be relied upon after it found that German bonds pledged as collateral by a partner in a solar development fund did not exist.
Suntech struck a deal with the partner, GSF Capital Pte Ltd, and its founder Javier Romero earlier this year. The settlement, however, does not involve any admission of liability.
The company said on Wednesday it needed more time to restate its results as reassessment of GSF's audited financials and other matters had not been completed.
"The underlying legal dispute has been settled but I can understand that the associated accounting is extremely complex and requires more time to be finalized," Raymond James analyst Pavel Molchanov said.
Suntech estimated fourth-quarter revenue of about $358 million. It reported $629 million a year earlier.
Revenue for 2012 nearly halved to $1.63 billion, the company said on Wednesday.
Suntech shares were down about 4 percent at $66 cents on the New York Stock Exchange on Wednesday.