This is an excerpt from EERE Network News, a weekly electronic newsletter.
New Energy Corporation Retracts Claim of Solar Contract
New Energy Corporation announced last week that it had mistakenly claimed to have a contract to deliver solar electricity to Teixeira Farms of Santa Maria, California, and that in fact no such contract exists. The company now claims to have purchase orders from Distributed Power Systems for the installation of four solar electric systems, each with a generating capacity of one megawatt. The original story was covered in the January 9th edition of the EREN Network News.
Since January 18th, the trading of New Energy stock has been suspended by the U.S. Securities and Exchange Commission over "questions involving the adequacy and accuracy of public disclosures," in particular, "the value of certain power generation contracts, the existence and size of certain purchase orders for solar chips and its partner's relationship with the Los Angeles Department of Water and Power." Last week, Stratos Research, LLC, an investment research firm, announced that it had suspended coverage of New Energy and had removed its research report on the company from its Web site, due to concerns that the report "may contain factual errors." See all of the relevant press releases by selecting "Press Release" on the New Energy Web site.