Canadian Solar Completes Purchase of Two Solar Power Projects Totaling 24 MW (DC) from SunEdison

 Canadian Solar Completes Purchase of Two Solar Power Projects Totaling 24 MW
                             (DC) from SunEdison

PR Newswire

TORONTO and GUELPH, Canada, Dec. 28, 2012

TORONTO and GUELPH, Canada, Dec. 28, 2012 /PRNewswire-FirstCall/ --Canadian
Solar Inc. (the "Company", or "Canadian Solar")(NASDAQ: CSIQ), one of the
world's largest solar companies, and SunEdison Power Canada Inc.
("SunEdison"), a subsidiary of MEMC Electronic Materials, Inc., today
announced that they have completed a purchase and sale transaction wherein
Canadian Solar's direct subsidiary Canadian Solar Solutions Inc. has acquired
a majority interest in two utility-scale solar power projects in Ontario with
a total capacity of approximately 24 MW DC. Subject to certain contractual
conditions, Canadian Solar has the ability to complete a purchase of two
additional utility-scale solar power projects in Ontario with a total capacity
of approximately 22.5 MW DC, and an option to purchase a fifth solar project
at a later date from SunEdison. Each of the five solar power projects was
awarded a 20-year power purchase contract (a "FIT Contract") by the Ontario
Power Authority under Ontario's Feed-In-Tariff Program (FIT version 1.0). The
two projects purchased have each received Renewal Energy Approvals and are
expected to commence construction in early 2013 and be fully operational by
late 2013. The remaining solar energy projects are in the advanced permitting
stage and are expected to commence construction in early to mid-2013 and be
fully operational by late 2013 and early 2014.

The aggregate transaction price is approximately C$37 million (US$ 38 million)
payable in accordance with certain milestones. The completion of the
transaction also brings a settlement to litigation proceedings between
Canadian Solar and SunEdison commenced in the Ontario courts in October 2011.

"We are very pleased to announce this transaction with SunEdison which further
demonstrates Canadian Solar's ongoing investment and commitment to the Ontario
solar energy market, and continues Canadian Solar's growth of its global solar
project portfolio and higher margin total solutions business," said Dr. Shawn
Qu, Chairman and Chief Executive Officer at Canadian Solar. "Each of these
four solar projects will create and sustain green jobs in Ontario and will
generate clean, renewable energy for decades to come."

About the Feed-in-Tariff Program (FIT)

Ontario's Feed-In-Tariff (FIT) program for renewable energy generation is a
cornerstone of the province's Green Energy Act. Under the program,
participants are paid a fixed-price for the electricity they generate over a
20 year contract period. For more information, visit
http://fit.powerauthority.on.ca.

About Canadian Solar

Canadian Solar Inc. (NASDAQ: CSIQ) is one of the world's largest solar
companies. As a leading vertically integrated provider of ingot, wafer, solar
cell, solar module and other solar applications, Canadian Solar designs,
manufactures and delivers solar products and solar system solutions for
on-grid and off-grid use to customers worldwide. With operations in North
America, Europe, Africa, Australia, and Asia, Canadian Solar provides premium
quality, cost-effective and environmentally-friendly solar solutions to
support global, sustainable development. For more information, please visit
canadiansolar.com.

About SunEdison

SunEdison is a global provider of solar-energy services. The company develops
finances, installs and operates distributed power plants using proven
photovoltaic technologies, delivering fully managed, and predictably priced
solar energy services for its commercial, government and utility customers. In
2011 SunEdison interconnected approximately 300 Megawatts of solar throughout
the world. For more information about SunEdison, please visit
www.sunedison.com.

Safe Harbor/Forward-Looking Statements

Certain statements in this press release are forward-looking statements that
involve a number of risks and uncertainties that could cause actual results to
differ materially. These statements are made under the "Safe Harbor"
provisions of the U.S. Private Securities Litigation Reform Act of 1995. In
some cases, you can identify forward-looking statements by such terms as
"believes," "expects," "anticipates," "intends," "estimates," the negative of
these terms, or other comparable terminology. Factors that could cause actual
results to differ include the risks regarding the previously disclosed SEC
investigation as well as general business and economic conditions and the
state of the solar industry; governmental support for the deployment of solar
power; future available supplies of high-purity silicon; demand for end-use
products by consumers and inventory levels of such products in the supply
chain; changes in demand from significant customers; changes in demand in the
Canadian markets; changes in customer order patterns; capacity utilization;
pricing pressure and declines in average selling prices; delays in
utility-scale project approval process; delays in utility-scale project
construction; shortage in supply of materials or capacity requirements;
availability of financing; exchange rate fluctuations; litigation and other
risks as described in the Company's SEC filings, including its annual report
on Form 20-F filed on April 27, 2012. Although the Company believes that the
expectations reflected in the forward looking statements are reasonable, it
cannot guarantee future results, level of activity, performance, or
achievements. You should not place undue reliance on these forward-looking
statements. All information provided in this press release is as of today's
date, unless otherwise stated, and Canadian Solar undertakes no duty to update
such information, except as required under applicable law.

SOURCE Canadian Solar Inc.

Website: http://www.canadiansolar.com
Website: http://www.sunedison.com
Website: http://fit.powerauthority.on.ca
Contact: Canadian Solar Inc., Ed Job, CFA, Director, Investor Relations,
ir@canadiansolar.com and Suzanne Wilson, +1-519-837-1881 ext. 2232,
Suzanne.Wilson@na.canadiansolar.com or Global IR Partners, David Pasquale,
+1-914-337-8801, csiq@globalirpartners.com
 
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