The acquisition includes a 550 megawatt (MW) AC solardevelopment project under a power purchase agreement with PG&E;a project pipeline of additional 1,300MW AC, which are innegotiation with Western region utilities for solar developmentprojects; strategic land rights of approximately 136,000 acres(approximately 210 square miles) with the potential to deploy up to19 gigawatts (GW) AC of utility-scale solar power projects; thecore development team responsible for assembling and executing onthe solar project pipeline.

First Solar says it expects to construct solar power plantsdeveloped under the acquired solar power project pipeline over thenext several years and sell them to a combination of regulatedutilities, diversified energy companies and other independent powerproducers. Project development is planned to begin as early as2010.

The transaction gives First Solar more firepower for its USutility expansion. In November 2007, First Solar gained EPCcapabilities of utility scale solar plants in the US by acquiringTurner Renewable Energy. Since that time, First Solar hasconstructed a 10MW AC plant in El Dorado, Nev., with SempraGeneration and entered into a strategic agreement with EdisonMission Energy to develop and construct utility-scale solargeneration in California. First Solar was awarded the first threeprojects in Southern California Edison's utility owned generationprogram.