Tuesday, June 10, 2008

Edison Unit Cancels Suzlon Order

From the Wall Street Journal:
Suzlon Energy Ltd. of India, the world's fifth-largest wind-turbine manufacturer by sales, said Edison Mission Energy, its largest U.S. customer, canceled an order for 150 turbines.

The cancellation comes after blades on turbines that Edison Mission bought from Suzlon began cracking last year because of design problems. Edison Mission, of Irvine, Calif., has decided not to buy the 2.1-megawatt turbines, which were due for delivery in 2009, Suzlon said in a filing to the Bombay Stock Exchange.

Vivek Kher, a Suzlon spokesman, declined to comment on the reason for the cancellation beyond saying Edison Mission had signed an agreement a year ago to buy 300 units -- half this year and half in 2009 -- and had the contractual right to cancel the second half of the order....MORE