Solar Millennium offers an opportunity to participate in one of the world’s most advanced solar thermal power plants

• Sustainable and innovative investment with an expected return of 8%
• High degree of certainty due to guaranteed feed-in tariff with inflation protection
• Solar Millennium´s fund concept creates new options for additional growth

Solar Millennium AG (ISIN DE0007218406) is for the first time offering investors the opportunity to benefit from the returns of a solar thermal power plant via a closed-end fund, and simultaneously, to support the use of renewable energies. Investors in the fund will acquire an interest in a defined project: the 50 MW Andasol 3 parabolic trough power plant located in the South of Spain. The company expects an average annual return of 8.0% over the life of the investment (excluding the so called Agio and German withholding tax).

Through this fund investors acquire and hold a profit participation right in the Andasol 3 Kraftwerks GmbH, which in turn holds a 13% stake in the power plant company for the Spanish solar thermal power plant Andasol 3. The subscription volume totals approx. € 48 million, while the Agio amounts to 2.5% (until 15th January 2010) and 5% thereafter. The fund is aimed at investors domiciled in Germany, who can participate starting from a minimum amount of € 5,000.

The statutorily guaranteed feed-in tariff provides for stable income with inflation protection over the entire life of the power plant. The power plant is already under construction and the generation of the forecast quantity of electricity has been contractually guaranteed.

With its fund concept, Solar Millennium has chosen an instrument in addition to traditional means of financing that will provide Solar Millennium Group with increased financial flexibility and more options. Private investors can use the fund to optimize their capital investment portfolio, as the expected return from the fund is largely independent of the economic cycle. Moreover, due to the structure chosen for the fund, investors are expected to receive nearly half of the original capital invested within the first three years.

Thomas Mayer, CFO of Solar Millennium AG: "Solar thermal power plants are both safe and attractive investments, with additional certainty due to the statutorily guaranteed feed-in tariff over the entire lifecycle. Our fund offers an attractive and solid investment opportunity for investors pursuing a long-term strategy. In light of our strong project pipeline, closed-end funds will in future not only present an ideal alternative, but become one of the supporting pillars for financing our projects."

Andasol 3 is the third power plant of its kind in Europe and has been under construction since mid-2009. Collector surface of more than 60,000 sqm has already been assembled. Together with its Andasol 1 and 2 sister projects located in the immediate vicinity, the plant, with a capacity of 50 MW, will supply about half a million people with climate-friendly electricity. Thanks to thermal storage facilities, the plants are also able to supply solar power after sunset on demand.

About solar-thermal power plant technology:
Solar-thermal power plants generate electricity by converting solar radiation into heat energy. In a parabolic trough power plant, trough-shaped mirrors concentrate the incidental radiation onto a pipe in the focal line of the collector. Its absorption heats a fluid heat medium in the pipe, generating steam in the power block through a heat exchanger. As in conventional power plants, the steam powers a turbine to generate electricity. By integrating thermal storage, electricity can be supplied on demand, even after sunset.

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