importance of materials for cimportance of materials for c...
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Importance of materials for cImportance of materials for c--Si Si PV manufacturingPV manufacturingMarco Borgini – June 6th, 2013
Safe HarborSafe Harbor
With the exception of historical information, the matters disclosed in this presentationare forward-looking statements. Such statements involve certain risks anduncertainties that could cause actual results to differ materially from those in theforward-looking statements. Potential risks and uncertainties are described in theCompany’s filings with the Securities and Exchange Commission (SEC), including its2011 Form 10-K, and Q1 2012, Q2 2012 and Q3 2012 Form 10-Qs, in addition to therisks and uncertainties described on page 25 of this presentation. These forward-looking statements represent the Company’s judgment as of the date of thispresentation. The Company disclaims, however, any intent or obligation to update
P. 2 | SunEdison Confidential
presentation. The Company disclaims, however, any intent or obligation to updatethese forward-looking statements.
This presentation also includes non-GAAP financial measures. You can find areconciliation of each of these non-GAAP measures to the most directly comparableGAAP financial measure in our earnings press release filed on Form 8-K with the SECand posted in the Investor Relations portion of our web site at www.memc.com.
Company HighlightsCompany Highlights
MEMC/SunEdison is a Global Leader in Semiconductor Products and Solar Energy
� Formed in 1959
� Listed on NYSE (SUNE), Member of Fortune 1000
� 5,000+ employees in 25 global locations
� Manufacturing plants on 3 continents
≈990 MW of PV interconnected worldwide
KEY MILESTONES
1959 Monsanto Electronic Material
Company formed
1962 CZ silicon crystal process developed
1975 First commercial production of
100mm wafers
1995 MEMC I.P.O. on the NYSE
2003 SunEdison signs first solar PPA
(Power Purchase Agreement)
Semicon Russia PV Session | June 06th, 2013 P. 3 SUNEDISON CONFIDENTIAL
� ≈990 MW of PV interconnected worldwide
� 2.6 GW of projects pipeline
(Power Purchase Agreement)
2006 Announced entry into solar wafer
market on a large scale
2009 MEMC acquires leading solar project
developer SunEdison
2010 Acquired Solaicx and Continuous
Czochralski (CCZ) technology
2010 SunEdison builds largest PV plant in
Europe (70 MW)
2011 MEMC announces solar cell and
module partnerships
OutlineOutline
� SUNEDISON global presence and Geographic diversification
� From TCS/Polysilicon to Wafers
� Modules
� Solar Systems
Semicon Russia PV Session | June 06th, 2013 P. 5 SUNEDISON CONFIDENTIAL
� Solar Systems
� Q&A
Unique and diversified position in the value chains Unique and diversified position in the value chains
Semicon Russia PV Session | June 06th, 2013 P. 6 SUNEDISON CONFIDENTIAL
Why PolysiliconWhy Polysilicon
� Polysilicon is the nucleus of SunEdison’s three
Businesses
• Semiconductor Materials
• Solar Materials
• Solar Energy
Semicon Russia PV Session | June 06th, 2013 P. 7 SUNEDISON CONFIDENTIAL
Granular
Chunk
Polysilicon is the raw material used to manufacture
semiconductor and solar wafers. It comes in chunk or
granular form. MEMC manufactures both, and is the
world’s only volume producer of granular Polysilicon.
Ingot is Polysilicon after it has been melted, formed into a
crystal and cut. An ingot may be of a single crystal structure
(semiconductor or solar applications) or a multi-crystalline
MEMC Silicon ProductsMaterials and ProductsMaterials and Products
Semicon Russia PV Session | June 06th, 2013 P. 8 SUNEDISON CONFIDENTIAL
Ingot
Solar Wafer
Semiconductor
Wafer
(semiconductor or solar applications) or a multi-crystalline
structure (solar). It may also contain dopants.
Silicon Wafers are the foundation upon which
virtually all integrated circuits and solar cells are built.
Wafers are formed by slicing an ingot, and in the case
of semiconductor wafers, are built to very stringent
specifications, are polished and may involve
advanced treatment such as annealing, epitaxy or
layer transfer (Silicon-On-Insulator).
SunEdison Products and MarketSunEdison Products and Market
Semi LCD Mono PV Multi PV Ribbon PVThin Film
PV
Solar Cells/Modules
� �
Ingot/Wafers � � �
Silicon Parts �
Semicon Russia PV Session | June 06th, 2013 P. 9 SUNEDISON CONFIDENTIAL
Chunk Poly � � �
Granular Poly � � � �
Silane � � � � �
EG TCS �
SunEdison Gases Manufacturing Sites SunEdison Gases Manufacturing Sites
Semicon Russia PV Session | June 06th, 2013 P. 10 SUNEDISON CONFIDENTIAL
SunEdison Polysilicon Manufacturing Sites SunEdison Polysilicon Manufacturing Sites
Semicon Russia PV Session | June 06th, 2013 P. 11 SUNEDISON CONFIDENTIAL
SunEdison Ingots/Wafers Manufacturing Sites SunEdison Ingots/Wafers Manufacturing Sites
Semicon Russia PV Session | June 06th, 2013 P. 12 SUNEDISON CONFIDENTIAL
Migration to MonoMigration to Mono--crystallinecrystalline
Semicon Russia PV Session | June 06th, 2013 P. 15 SUNEDISON CONFIDENTIAL
Systems Economic view.Systems Economic view.
Semicon Russia PV Session | June 06th, 2013 P. 16 SUNEDISON CONFIDENTIAL
Supply Chain Quality Supply Chain Quality ––Operational ExcellenceOperational Excellence
� Class A test equipment utilized• Lowest uncertainty, tight test tolerance, and repeatability
� Utilizing ISO 14001 and 9001 standards with TS-style • TS16949 is quality standard for automotive and is more rigorous than ISO
� Management emphasis on high quality product• Quality dashboard being developed to provide information on yield, Income Quality Checks,
etc.
• Statistical control trend charts for key parameters on incoming materials
• Statistical control trend charts on key manufacturing stages
Semicon Russia PV Session | June 06th, 2013 P. 17 SUNEDISON CONFIDENTIAL
• Statistical control trend charts on key manufacturing stages
• Monthly audits by MEMC Quality Assurance
• Weekly audits by Flextronics
� QA Inspections• Above industry standard incoming sampling with AQL level II – 0.4
• 100% visual inspection at multiple points in manufacturing line
• 100% end of line inspection before lamination and after flash
• 100% visual inspection by Flextronics and MEMC
� Additional audits by Supply Quality Engineering
32 MEMC CONFIDENTIAL
Module Product RoadmapModule Product Roadmap
350W, 72 cellSolaicx™ CCzn-type mono
AC Module250W, 60 cell
Semicon Russia PV Session | June 06th, 2013 P. 18 SUNEDISON CONFIDENTIAL18
280W, 72 cell multi-waferModule ŋ : 14.3%
290W, 72 cell multi-waferModule ŋ : 14.8%
320W, 72 cellSolaicx™ monoModule ŋ : 16.5%
250W, 60 cell mono-waferModule ŋ : 14.6%
n-type monoModule ŋ : 19%
265W, 60 cellSolaicx™ monoModule ŋ : 16.1%
250W, 60 cellModule ŋ : 15.2%
•Differentiation
Reduced BOS costs, Reduced BOS costs, reduced $/w, DCPM, reduced $/w, DCPM,
micromicro--invertersinverters •Rapid
IE reports, multiple IE reports, multiple suppliers for key suppliers for key
components, industry components, industry
MEMC Module StrategyMEMC Module Strategy
Supply SunEdison Supply SunEdison demanddemand
Supply to EPC & Supply to EPC & Project DevelopersProject Developers
Create opportunities Create opportunities --ODMsODMs & Cell Partners& Cell Partners
Semicon Russia PV Session | June 06th, 2013 P. 19 SUNEDISON CONFIDENTIAL
•Differentiation
1000V UL, positive 1000V UL, positive power binning, linear power binning, linear
warranty, warranty, IP67 JIP67 J--Box, smart Box, smart
modulesmodules
•Continual Power Output Increases
micromicro--invertersinverters •Rapid Advantage of Market Trends
Tariffs, 1000V UL, local Tariffs, 1000V UL, local contentcontent
•Bankable Supplier
components, industry components, industry leading qualityleading quality
Value Chain IntegrationValue Chain Integration
Semicon Russia PV Session | June 06th, 2013 P. 20 SUNEDISON CONFIDENTIAL
Solid Interconnections Growth & Impressive PipelineSolid Interconnections Growth & Impressive Pipeline
990 MW of PV Interconnected 2.6GW of PV Pipeline**
110
283
430
200
400
600
Installed PV Volume (MW/year)
● Cumulative 675 solar power systems interconnected.
● SunEdison installed 430 MW in 2012.Pipeline by Geography
● SunEdison has 2.6 GW of pipeline and continues to work of ‘green-field’ development for new projects
USUS
48%48%EMEA & LAEMEA & LA
21%21%
Emerging Emerging MarketsMarkets
17%17%
CanadaCanada
Semicon Russia PV Session | June 06th, 2013 P. 21 SUNEDISON CONFIDENTIAL
0
2010 2011 2012
Pipeline by System Size
*Figures refer to projects in operation and under construction; **A solar project is classified as "pipeline" where SunEdison has a signed or awarded PPA or other energy off-take agreement or has achieved each of the following three items: site control, an identified interconnection point with an estimate of the interconnection costs, and an executed energy off-take agreement or the determination that there is a reasonable likelihood that an energy off-take agreement will be signed.
10 ≤ MW <5010 ≤ MW <50
33%33%
1 ≤ MW <101 ≤ MW <10
10%10%
MW≥100
26%
MW <1MW <19%9%
50 ≤ MW <100
22%
CanadaCanada
14%14%
Diversified Business SegmentsDiversified Business Segments
● Some ≈100 kW – 1 MW
● Commercial and
Industrial Rooftops
● Systems Integrators for
PV Rooftops owned by
building owners, funds
● PPA programs for
● Below ≈100 kW
● Residential and Small
Commercial
● Based on a Certified
Installers Program
● Premium customer
services: training,
Residential & Residential &
Small SystemsSmall Systems
Commercial Commercial
RooftopsRooftops
● Large scale ground-
mount projects
● Distributed generation
for Utilities
● Development,
engineering,
construction and O&M
services
Utility ScaleUtility Scale
Semicon Russia PV Session | June 06th, 2013 P. 22 SUNEDISON CONFIDENTIAL
●
different hosts:
commercial, industrial,
public sector
logistic, financing,
software, after-sales
services
● Construction and long-
term financing
● Premium guarantees
How Does it All Come TogetherHow Does it All Come Together
1. INITIATE: Project development & financing:
A) Pipeline development
B) Regulatory/Policy design
C) Project Financing
2. CREATE: Project design & construction:
A) Distinctive products: Modules, trackers, SEEDS, Inverters*
Semicon Russia PV Session | June 06th, 2013 P. 23 SUNEDISON CONFIDENTIAL
A) Distinctive products: Modules, trackers, SEEDS, Inverters*
B) Standard platforms for DG and Utility customers
C) Ecosystem of local construction partners: for each region
3. MANAGE: Asset Monitor & Management:
A) Regional operation centers to manage plants worldwide
B) Client billing tools — web based
C) Localized Support & Maintenance
MEMC Website: MEMC Website: www.memc.comwww.memc.com
www.memc.com
Solar Solutions
Semicon Russia PV Session | June 06th, 2013 P. 24 SUNEDISON CONFIDENTIAL
Solar Solutions
Solar Modules
www.memc.comwww.memc.com > Solar Solutions> Solar Solutions
Solar Module
Solar Wafer
Semicon Russia PV Session | June 06th, 2013 P. 25 SUNEDISON CONFIDENTIAL
MEMC Advantage
Manufacturing Process
Technical DocumentationTechnical Documentation
Semicon Russia PV Session | June 06th, 2013 P. 26 SUNEDISON CONFIDENTIAL
One of the Largest Solar Companies in the WorldOne of the Largest Solar Companies in the World
Top 15 Global PV System Integrators in 2011 (MW)
Semicon Russia PV Session | June 06th, 2013 P. 31 SUNEDISON CONFIDENTIAL
Source: IMS Research (PV Integrator Report, Q2-2012)
Very Strong Financial PositionVery Strong Financial Position
� Traded on NYSE since 1995
� Named a Fortune 1000 company in 2012
� Liquidity of 850 M$ (including 573 M$ in cash & cash-equivalents)*
6,000
Balance Sheet – Total Assets (in
M$)
3,000
Net Sales (in M$)
P. 32 | SunEdison Confidential
2,937
3,567
4,6124,882
4,702
0
1,000
2,000
3,000
4,000
5,000
2008 2009 2010 2011 2012*As reported in Q4-2012 resultsSource: MEMC 2011 Annual Report and Q4-2012 Earnings Call
2,005
1,164
2,239
2,7162,530
0
500
1,000
1,500
2,000
2,500
3,000
2008 2009 2010 2011 2012
Demonstrated Outstanding EPC CapabilitiesDemonstrated Outstanding EPC Capabilities
Performance
● SunEdison systems are operating at >100% of underwritten investment*
Construction Velocity
● 60 MW built in 5 months under Bulgarian winter
Supply Chain Power
Supply Chain Power
● Through volume agreements with majorPV industry partners
P. 33 | SunEdison Confidential
Cost-Attractiveness
● Market-competitive EPC services for PV plantsBankabilityBankability
● Extensive track record and bank reputation after 990 MW interconnected in 650+ plants
Strong Engineering
Strong Engineering
● Most efficient design by an industry-leading team
EPC ServicesEPC Services
*SunEdison O&M Services ensure PV assets will perform according to forecasted levels