* Abound Solar had warned of bankruptcy
* Abound Solar received $70 mln from U.S. government
* Company had tried to find buyer
July 2 Abound Solar filed for bankruptcy on
Monday and will liquidate, becoming the latest U.S. solar panel
company to fold despite government support.
Stiff competition from China and subsidy cuts in Europe have
created a steep fall in panel prices, sending solar companies,
including Solyndra LLC and Evergreen Solar Inc, into
Abound Solar, which filed for a Chapter 7 liquidation in U.S.
Bankruptcy Court in Delaware, had said last week that it planned
to shut down and would lay off 125 employees.
The Loveland, Colorado-based maker of thin-film panels said
it had taken about $70 million of a $400 million loan that had
been guaranteed by the U.S. Department of Energy.
The government, which guaranteed the seven-year loan in
December 2010, froze payments in August 2011. The loan had been
aimed at helping Abound increase manufacturing in Colorado and
Indiana. Abound was also funded with $300 million in private
investment, according to its website.
The DOE has been criticized by Republicans for a loan
guarantee of more than $500 million to solar module maker
Solyndra, which went bankrupt last year amid allegations the
White House had pushed for the loans for political reasons.
In the statement last week, Abound said that it had been in
discussions with buyers but was unable to come to an agreement
and ended negotiations. Solyndra had also sought a buyer, but it
is now being sold off piecemeal in bankruptcy as well.
Abound listed assets and liabilities between $100 million
and $500 million each in the filing. Affiliates Abound Solar
Manufacturing and Abound Solar Technology Holdings also filed
The case is In re: Abound Solar Inc, U.S. Bankruptcy Court,
District of Delaware, No:12-11972.