While Trina Solar Ltd. (Trina Solar) reported lower-than-expected total net revenues, its operating performance and earnings outperformed our expectations. Going forward, Management's PV modules shipment guidance for 2Q 09 is in line with our expectations, while the FY 2009 shipment guidance remains above our expectations. In addition, Management has guided for an improved gross margin going forward. In light of the new company…

Sustained low crude oil prices and tight credit conditions have reduced the attractiveness and feasibility of solar power as an alternative source of energy. As a result, solar companies are witnessing a decline in demand for solar products. The decline in demand for Photovoltaic (PV) products, coupled with huge over-capacity created over the past few years across all verticals in the solar supply chain, has resulted in a sharp decline in PV product prices across the industry....

Although Trina Solar Ltd. (Trina Solar) experienced strong growth in total net revenues and adjusted operating income2 during 4Q 08, which exceeded our expectations for the quarter, growth in its adjusted net income was partially offset by a significant increase in tax and net interest expenses during the quarter. Going forward, although we are likely to revise our revenue estimates in line…