— We are well underway in the examination and replacement of affected modules.
— Our assessment validates that the affected modules represent a very small percentage of the modules produced within the 12 month period from June 2008-June 2009.
— We have made strong progress on global replacements of affected modules. As of October 2011 well more than 1/2 of the affected modules have been conclusively removed from a number of small and large affected sites and we have validated the post-replacement sites are performing as originally expected.
— We expect to conclude the remaining excursion-related claims in 2011.
— November 30, 2010 (extended from September 30,2010) marked the conclusion of the period during which customers could file extended warranty claims related to the excursion modules.
— We are now in the process of validating and verifying those claims. The vast majority (80%) of those claims were filed based simply on the dates of the excursion (June 2008 to June 2009), and not due to any specific issue demonstrated in the field.
— Unfortunately, approximately 30% of the claims submitted prior to November 30, 2010 LACKED sufficient data necessary to evaluate them. In those cases, First Solar and/or one of our partners has contacted the system owner and/or their related installer to obtain the necessary data. First Solar established a completion deadline for the submission of module serial numbers and electricity information of September 30, 2011. Claims not completed by September 30, 2011 have now been closed. First Solar’s standard module performance warranty remains in effect for any modules not claimed under this program.
— As of October 28, 2011, we have completed our evaluation of more than 90%of the submitted claims. Written responses have been mailed to both partners and end customers. We continue processing the remaining completed claims with valid site data. In addition, more than 50% of the sites with affected modules have completed module replacement. The number of accepted claims for affected sites is consistent with our original assessment of the size of the manufacturing excursion.
— Our technical teams continue to benefit from cycles of learning from returned module data. We are refining our identification techniques, which in turn improves our future accuracy rate for recovering affected modules from the field.