Create a free Manufacturing.net account to continue

Suntech CEO Steps Down, Shares Rise

Suntech Power Holdings Co. said Friday that David King is stepping down as the company's CEO and acting chief financial officer. The news sent the struggling solar company's shares up 8 cents, or 6.7 percent, to $1.27 in afternoon trading. Its shares have traded in a 52-week range of 30 cents to $1.99.

NEW YORK (AP) — Suntech Power Holdings Co. said Friday that David King is stepping down as the company's CEO and acting chief financial officer.

The news sent the struggling solar company's shares up 8 cents, or 6.7 percent, to $1.27 in afternoon trading. Its shares have traded in a 52-week range of 30 cents to $1.99.

Suntech named Zhou Weiping as interim CEO and interim CFO, effective immediately. He also will keep his current roles of president and director.

Suntech said its board will begin a search for a new CFO.

The leadership change comes about two weeks after three Suntech board members resigned citing serious concerns about the company's business.

The directors said at the time that they weren't being provided with information that was critical for them to fulfill their responsibilities. They also noted the company's failure to implement some of their proposed actions.

The trio also expressed concern over the company's severely declining cash flow, unclear prospects of securing new capital, lack of a clear business plan and failure to pay outside legal counsel.

Suntech, one of the world's biggest solar panel manufacturers, has struggled this year amid continued debt problems and the steep drop in solar prices.