SOURCE: Solar Thin Films, Inc.

February 24, 2010 09:00 ET

Solar Thin Films, Inc. Retains Chartered Capital Advisors, Inc.

NEW YORK, NY--(Marketwire - February 24, 2010) -  Solar Thin Films, Inc. (OTCBB: SLTZ) today announced that it has retained the services of Charter Capital Advisors, Inc. to issue a fairness opinion to ascertain the consideration required to complete the acquisition of Algatec Equity Partners LP. As previously announced, Algatec Equity Partners LP owns a 47% equity interest in the capital stock of Algatec Solar AG, a growing producer of silicon crystalline solar panels and modules. The stake in Algatec will be obtained in exchange for approximately 43.0 million shares of Solar Thin Films common stock; which number of shares are subject to adjustment based on the independent fairness opinion to be prepared by Charter Capital Advisors, Inc. Solar Thin Films also intends to continue its negotiations with all other Algatec stockholders to acquire the remaining 53% interest of the capital stock of Algatec Solar AG.

Headquartered in Prosen, Germany, Algatec sells its modules to a growing number of solar energy companies, and its modules have been designated for use in a number of power projects. The acquisition of Algatec Equity Partners LP and its 47% equity in Algatec Solar AG is subject to (i) execution of definitive exchange agreements, (ii) obtaining the requisite approvals and consents of the partners of the partnership, and (iii) any adjustments warranted by the fairness opinion. Solar Thin Films anticipates that the acquisition of the Algatec Equity Partners LP and its 47% equity interest in Algatec will be completed in approximately 30 days.

Algatec Solar's revenues for 2009 are estimated to be USD $30,000,000, with an estimated EBITDA of USD $2,000,000. Algatec has advised Solar Thin Films that, based on its order backlog, Algatec believes that it can achieve at least USD $70,000,000 in revenues and EBITDA of USD $8,400,000 in its fiscal year ending December 31, 2010. As a result of the material increase in anticipated orders, Algatec has invested significantly in upgrading its equipment and expanding its manufacturing facilities. This investment is expected to increase production capacity from 18MW in 2008 to approximately 95MW in 2010, enabling Algatec to better meet the anticipated increase in demand for its PV modules.

About Solar Thin Films, Inc.

Solar Thin Films (www.solarthinfilms.com) develops, manufactures and markets a complete line of manufacturing equipment for the production of "thin-film" amorphous silicon photovoltaic ("PV") modules through its subsidiary Kraft Elecktronikai Zrt. based in Budapest, Hungary. The Company sells both "turnkey systems" and sub-systems to customers currently located in China, Spain and the United States and has produced equipment for installations in the US, Germany, Portugal, Taiwan, Greece and Spain. The Company believes that its line of thin-film photovoltaic manufacturing equipment positions it to take advantage of the rapidly growing demand for solar modules and an expected market shift towards "thin-film" PV modules as part of a cost effective, "clean technology" energy solution.

Forward-Looking Safe Harbor Statement

Statements in this news release regarding future financial and operating results, potential applications of the Company's technology, opportunities for the Company, and any other statements about the future expectations, beliefs, goals, plans, or prospects expressed constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements that are not statements of historical fact (including statements containing the words "will," "believes," "plans," "anticipates," "expects," "estimates," and similar expressions) should also be considered to be forward-looking statements. There are a number of important factors that could cause actual results or events to differ materially from those indicated by such forward-looking statements including: limited operating history, need for future capital, and economic conditions generally. Additional information on potential factors that could affect results and other risks and uncertainties are detailed from time to time in the Company's periodic reports, including Forms 10-K, 10-Q, 8-K, and other forms filed with the Securities and Exchange Commission ("SEC).

These statements, and other forward-looking statements, are not guarantees of future performance and involve risks and uncertainties.