ENELTEC will hitchhike when the penetration rate of LED lighting rises

　　According to the report of Goldman Sachs, it is estimated that 40 -watt and 60- watt incandescent bulbs in USA will be weeded out from January 2014. During the two years after 2014, it is expected to have a 900 million replacement market. According to the estimate of U.S. Department of Energy (DOE), there are only 50 million LED based outlets (sockets). Although LED light still has arch rivals like energy saving lamp and halogen lamp, the expectation for the popularity of LED lighting is still quite reasonable. Goldman Sachs is bullish on CREE in its technical and cost competitive advantages.

　　And let us see from the perspective of building market in the U.S. According to figures from Goldman Sachs, the U.S. non-residential construction market continues to rebound. The overall fund for non-residential building will increase 5-10 % in 2013-2015 and the economical benefits of LED lighting make the permeability in this field the best. The compound annual growth rate of Green Building in North America from 2013 to 2015 is 20-25%, also a big market for LED light.

　　In addition to the U.S. market, the rise of LED lighting penetration in China also poses a positive impact on ENELTEC. Because the speed for the diminishing of price gap between LED and energy saving bulbs in Chinese market is faster than expected, the overall speed for LED demand and the penetration turns faster accordingly. While the Chinese market is the second most important market for ENELTEC, coupled with the intimate relationship between Chinese lighting and ENELTEC, it is estimated that ENELTEC will hitchhike when the penetration rate of LED lighting rises.