Applied Solar, Inc. (fka APSOQ)

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Manufacturing and License Agreement with Suntech


On December 17, 2008, the Company entered into a manufacturing and license agreement (the “Membrane License Agreement”) with Suntech pursuant to which, among other things, the Company granted Suntech an exclusive license of the intellectual property associated with the Company’s solar membrane product and any similar or new generation membrane products (the “Membrane Products”). Pursuant to the Membrane License Agreement, Suntech will have the exclusive right to manufacture and sell the Membrane Products on a worldwide basis during the term of the Membrane License Agreement, which extends through December 31, 2013. The Company will earn royalties as a percentage of Suntech’s total sales of the Membrane Products on a quarterly basis during the term of the Membrane License Agreement in accordance with a formula specified in the Membrane License Agreement.

http://sec.gov/Archives/edgar/data/1176193/000101968709000232/oegyob_10q-113008.htm

http://finance.yahoo.com/q/pr?s=stp