LDK Solar says completed independent audit investigation; finds no errors

December 17, 2007: 04:21 AM EST

XINYU CITY, China, Dec. 17, 2007 (Thomson Financial delivered by Newstex) -- LDK Solar Co Ltd (NYSE:LDK) said its audit committee has completed an independent investigation into allegations made by a former employee that it incorrectly reported its inventories of silicon feedstock, as evidenced by an alleged discrepancy in its inventory on Aug 31.

LDK said the investigation found no material errors in its stated silicon inventory quantities, and concluded the allegations of an inventory discrepancy were incorrect as they had not taken into account all locations in which the company stored its silicon feedstock.

The investigation further concluded that LDK is using each of its various types of silicon feedstock in the production of its multicrystalline solar wafers, and that a provision for obsolete or excess silicon feedstock is not required, the company said.

LDK also noted it expects to release its financial results for its third fiscal quarter 2007 following the NYSE market close on Wednesday, Dec 19.