Shareholder Voice: SunEdison (SUNE) is the new Enron!

Equities Staff  |

A group of shareholders for SunEdison requested attention to their investment

I am writing to you to bring attention to the current SunEdison Chapter 11 Bankruptcy, SunEdison Prime Clerk case docket (16-10992) filed April 21, 2016 Honorable Judge Stuart Bernstein.

We are group of over 1000 shareholders both U.S and International. We are seeking justice. We are actively searching for media’s help to get our voices heard. SunEdison is the new Enron!

SunEdison hid its toxic financial state while granting hundreds of millions of dollars in benefits to its most powerful lenders before filing for bankruptcy. In an attempt to put off financial collapse and hide mismanagement, SunEdison gave a “sweetheart deal” to its first and second lien creditors. SunEdison replaced the lenders unsecured notes with secured debt that would give those lenders a leg up in the bankruptcy. Reference Docket # 1454

In late March 2016, the DOJ announced that it was investigating SunEdison intercompany transactions and various financing activities. The SEC also announced that it was investigating the accuracy and transparency of the SunEdison financial statements, including as to the accuracy of the cash-on-hand reported in 2015. As of Jan 2017 DOJ and SEC have done nothing. In fact SunEdison is being allowed to sell off valuable assets for pennies on the dollar all without submitting a 10-K or 10Q since the 3rd quarter of 2015.

To date Hundreds of shareholder letters have been written to Judge Bernstein, members of the SEC and DOJ outlining numerous inconsistencies and questions, regarding executive statements, shared financial number claims etc. with no response. In the absence of any substantiated financials, shareholders have repeatedly requested and been denied a committee to ensure that shareholders receive fair representation.

SunEdison executives claim to be hopelessly insolvent and have not been required to provide any financial documentation to substantiate those claims. Only general statements by SunEdison executives have been provided in court regarding current Equities.

SunEdison has submitted documentation regarding financial Mor's totaling some 13 billion in Equity, but then Mr. Dubel CEO, states that these are not correct or reliable? He fails to submit any documentation regarding equity that he will stand behind. Is this not in violation for SEC regulation and or Sarbanes Oxley?

In addition, SunEdison historically operated as a single enterprise with investors relying on the “entire bundle” of assets in ascertaining total enterprise value. Then, in July 2014, SunEdison created TERP as a yieldco subsidiary and pushed profitable projects down to the TERP level, which itself was a separate publicly traded company.

In August 2015, SunEdison created GLBL as another separate publicly traded company and pushed additional profitable projects down to the GLBL level. The impact of this new corporate structure on the total enterprise value is virtually unknowable at the moment without current, reliable financial information being made publicly available. Moreover, the validity of the intercompany transfers themselves have come under intense scrutiny, both as part of the allegations of fraud asserted by GLBL against SunEdison and with respect to the DOJ investigation regarding the validity of the intercompany transfers themselves.

There has also been talk of taking the company private as a means of avoiding a 10K. This company was built on the billions of dollars invested by American Taxpayers and we have a right to some real numbers!

The above information is just the tip of the iceberg. We will be more than happy to provide more information, details and documentation.

Thank you in advance,

SunEdison Shareholders

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