United Solar parent company to skip loan payment

By Ryan Jeltema • Last Updated 11:05 am on Thursday, December 15, 2011

AUBURN HILLS — The parent company of United Solar Ovonic has announced that it will skip a loan payment while negotiations with lenders continue.
Energy Conversion Devices Inc. (ECD) was supposed to pay interest charges on Thursday but will defer, taking advantage of a 30-day grace period allowed in the loan.
Company officials stressed the move is not an issue of ability to pay, just a delay due to negotiations. ECD is trying to restructure its debt to continue investing and growing United Solar amid difficult market conditions.
“We are continuing to pursue a repositioning of our solar business for future success,” ECD Chief Restructuring Officer Jay Knoll said in a statement.
United Solar has suspended all manufacturing work for November and December while it sells off a backlog of inventory. The company also has cut more than 1,000 jobs in 2011.

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