Purchased Canadian Solar (CSIQ)

We purchased Canadian Solar Incorporated at $10.60/share yesterday. Canadian Solar is a Chinese solar manufacturer incorporated in Canada. It is valued very low on revenue multiple basis because the company is not yet profitable and also because there are questions about the quality of raw material used in solar cells manufacturing process.

The renewable energy exposure in the portfolio is only slightly elevated because it is highly likely that our Suntech (STP) holdings will get called away as the call option we wrote is very much in the money.

Here is our updated Stock Portfolio:

Stock	Buy Date	Buy Price	Current Price	Unrealized % Return	Current % Of Portfolio	Current Yield
Philip Morris (MO)	1/4/2005	46.54	72.76	56.33	8.75	4.29
Kraft Foods (KFT)	1/4/2005	21.11	32.6	54.40	2.70	3.15
Plum Creek Timber (PCL)	5/12/2005	35.5	43.18	21.62	7.79	3.74
Pfizer (PFE)	2/6/2006	25.15	24.45	-2.80	5.88	4.63
ICICI Bank (IBN)	5/18/2006	27.57	66.41	140.85	11.98	0.92
Taiwan Semi (TSM)	7/27/2006	8.71	10.4416	19.88	6.28	3.4
Harvest Energy (HTE)	11/2/2006	23.46	27.67	17.93	7.07	17.48
Advantage Energy Fund (AAV)	11/2/2006	11.22	12.39	10.39	4.84	15.03
SunTech Power (STP)	3/14/2007	36.73	45	22.53	5.41	0
Central Europe & Russia Fund (CEE)	6/28/2007	51.5	62.5	21.20	5.64	9.6
Patni Computers (PTI)	8/10/2007	20.85	22.42	7.45	6.74	0.64
Bank Of Ireland (IRE)	10/1/2007	76.43	71.4084	-6.57	5.37	4.5
Asure Software (ASUR)	10/5/2007	1.31	1.32	0.66	3.97	0
Frontline Limited (FRO)	10/26/2007	43.51	43.4601	-0.11	5.23	13.81
Canadian Solar Inc. (CSIQ)	10/30/2007	10.60	10.10	-4.71	6.07	0
Cash					6.29

• For SunTech Power (STP), we wrote a call option for March 45 (see first table) and so the price is listed as $45 as we won’t participate in the appreciation beyond that plus the premium received.

A detailed analysis of Canadian Solar will follow.