Commercial & Residential Solar Solutions

Newsletter: XsunX files Provisional Patent

Letter to Shareholders
Technology & Corporate Development Progress Update
Date: 11/30/2010

To Our Valued Shareholders,

As XsunX continues the technical and business development associated with our cross-industry CIGSolar™ technology, we wanted to provide an update on the current status and future direction of our efforts to commence the related patent protection process.

The recent progress of our co-evaporation efforts is an accomplishment made possible through a revised evaporation systems idea developed by our Chief Technology Officer, Robert Wendt. Robert is one of the industry’s most experienced CIGS process engineers and his expertise, coupled with his direct commercialization successes with CIGS, has helped XsunX develop new ideas, provide validation and obtain stellar results.

This new approach provides a vastly simplified and more robust system architecture we believe will deliver reductions to manufacturing costs and improved scalability for our CIGSolar™ system architecture.

While this modified technique approaches the co-evaporation aspects of our process in a fresh manner, the fundamental objective driving our CIGSolar™ approach remains unchanged. Our overall goal of enabling the profitable production of CIGS solar cells for use as an alternative in the multi-billion dollar silicon solar cell market continues to rely on our innovative approach of the use of controlled, small area, co-evaporation and sputtering techniques to produce CIGS solar cells sized to match silicon cells.

Recognizing that patents have always been the strongest tool for protecting technology innovations, XsunX is pleased to share with you that we have filed a provisional patent application with the United States Patent and Trademark Office (USPTO) to begin the process necessary to protect key elements of XsunX’s CIGSolar™ technology.

Our focus at XsunX is the continued refinement of our current technology and the development future ideas for CIGSolar™ in order to gain an advantage over prospective competitors while simultaneously enabling us to monetize our innovations.

As always, if you have any questions in the meantime, please contact our Investor Relations desk at or (888) 797-4527.


Joseph Grimes, President and COO, XsunX, Inc.

Safe Harbor Statement: Matters discussed in this shareholder newsletter contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this shareholder newsletter, the words “anticipate,” “believe,” “estimate,” “may,” “intend,” “expect” and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company

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