ADDITIONAL INFORMATION — FINANCIAL STATEMENTS SCHEDULE I

CANADIAN SOLAR INC.

Schedule I has been provided pursuant to the requirements of Rule 12-04(a) and 4-08(e)(3) of Regulation S-X, which require condensed financial information as to financial position, changes in financial position and results of operations of a parent company as of the same dates and for the same periods for which audited consolidated financial statements have been presented as the restricted net assets of Canadian Solar Inc.'s consolidated and unconsolidated subsidiaries not available for distribution to Canadian Solar Inc. as of December 31, 2012 of $359,922,466, exceeded the 25% threshold.

These financial statements have been prepared in conformity with accounting principles generally accepted in the United States except that the equity method has been used to account for investments in subsidiaries.

FINANCIAL INFORMATION OF PARENT COMPANY

BALANCE SHEETS

	December 31, 2011

	(In U.S. dollars, except share and per share data)
ASSETS
Current assets:
Cash and cash equivalents		7,924,686		11,247,306
Restricted cash		5,731,365		—
Accounts receivable, net of allowance for doubtful accounts of $871,385 and $8,946,661 at December 31, 2011 and 2012, respectively		9,325,500		2,567,756
Inventories		12,824,582		2,984,075
Amounts due from related parties		85,731,327		214,254,589
Deferred tax assets		1,279,033		—
Prepaid expenses and other current assets		3,011,995		10,552,409

Total current assets		125,828,488		241,606,135
Investment in subsidiaries		399,437,561		209,194,706
Deferred tax assets		9,708,590		5,269,609
Amount due from related parties		150,000,000		150,000,000
Other non-current assets		14,972,773		35,356,421

TOTAL ASSETS		699,947,412		641,426,871

LIABILITIES AND EQUITY
Current liabilities:
Short-term borrowings		—		68,000,000
Accounts payable		4,025		4,104
Amounts due to related parties		177,769,708		159,471,359
Other current liabilities		11,323,481		6,616,028

Total current liabilities		189,097,214		234,091,491
Accrued warranty costs		32,401,893		32,833,031
Convertible notes		950,301		—
Long-term borrowings		—		70,063,488
Liability for uncertain tax positions		11,564,233		13,540,026

TOTAL LIABILITIES		234,013,641		350,528,036

Equity:
Common shares — no par value: unlimited authorized shares, 43,155,767 and 43,242,426 shares issued and outstanding at December 31, 2011 and 2012, respectively		502,402,939		502,561,705
Additional paid-in capital		(53,331,445	)	(38,296,275	)
Accumulated deficit		(28,693,433	)	(224,162,124	)
Accumulated other comprehensive income		45,555,710		50,795,529

Total equity		465,933,771		290,898,835

TOTAL LIABILITIES AND EQUITY		699,947,412		641,426,871

FINANCIAL INFORMATION OF PARENT COMPANY

STATEMENTS OF OPERATIONS

	Years Ended December 31

	2010			2011			2012
	(In U.S. dollars, except share and per share data)
Net revenues		1,248,400,119			829,016,524			111,414,327
Cost of revenues		1,201,713,356			792,643,306			80,190,744

Gross profit		46,686,763			36,373,218			31,223,583

Operating expenses:
Selling expenses		10,057,347			10,411,256			3,649,131
General and administrative expenses		13,355,609			13,461,891			11,955,578
Research and development expenses		792,509			1,255,945			764,145

Total operating expenses		24,205,465			25,129,092			16,368,854

Profit from operations		22,481,298			11,244,126			14,854,729
Other income (expenses):
Interest expense		(296,678	)		(267,979	)		(255,502	)
Interest income		933,372			474,886			1,559,207
Investment loss		(3,000,000	)		—			—
Foreign exchange gain (loss)		830,602			3,261,933			(622,816	)

Profit before income taxes and equity in earnings of subsidiaries		20,948,594			14,712,966			15,535,618
Income tax expense		(9,956,513	)		(6,742,827	)		(7,441,590	)
Equity in earnings (loss) of subsidiaries		39,576,838			(98,774,339	)		(203,562,719	)

Net Income (loss)		50,568,919			(90,804,200	)		(195,468,691	)

FINANCIAL INFORMATION OF PARENT COMPANY

STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

	Year ended December 31,

	2010		2011			2012
	(Amounts expressed in U.S. dollars)
Net income (loss)		50,568,919		(90,804,200	)		(195,468,691	)
Other comprehensive income:
Foreign currency translation adjustment		13,340,545		17,093,766			5,239,819

Comprehensive income (loss) attributable to Canadian Solar Inc.		63,909,464		(73,710,434	)		(190,228,872	)

FINANCIAL INFORMATION OF PARENT COMPANY

STATEMENTS OF CASH FLOWS

	Years Ended December 31,

	2010			2011			2012
	(In U.S. dollars)
Operating activities:
Net Income (loss)		50,568,919			(90,804,200	)		(195,468,691	)
Depreciation and amortization		5,888			5,864			6,950
Allowance for doubtful debts		(7,327,386	)		5,829,275			8,369,187
Investment loss		3,000,000			—			—
Amortization of discount on debt		39,816			44,485			49,699
Equity in earnings (loss) of subsidiaries		(39,576,838	)		98,774,339			203,562,719
Share-based compensation		3,876,671			4,060,838			5,185,242
Changes in operating assets and liabilities:
Inventories		2,140,423			17,598,617			9,840,507
Accounts receivable		37,753,416			99,826,223			(1,317,532	)
Amounts due from related parties		(16,299,621	)		(126,832,013	)		(121,173,334	)
Advances to suppliers		2,752,935			11,973,762			(293,911	)
Other current assets		(4,195,539	)		6,399,566			(7,540,414	)
Other non-current assets		(5,786,798	)		(9,177,091	)		(20,387,009	)
Accounts payable		3,937,109			(10,083,933	)		79
Advances from customers		130,350			(216,370	)		(452,417	)
Amounts due to related parties		(23,827,298	)		17,530,108			(18,298,349	)
Accrued warranty costs		11,874,837			5,416,935			431,138
Other current liabilities		10,848,840			(9,034,605	)		(4,255,036	)
Liability for uncertain tax positions		755,415			103,902			1,975,793
Deferred taxes		392,598			384,345			5,718,014

Net cash provided by (used in) operating activities		31,063,737			21,800,047			(134,047,365	)

FINANCIAL INFORMATION OF PARENT COMPANY

STATEMENTS OF CASH FLOWS

	Years Ended December 31,

	2010			2011			2012
	(In U.S. dollars)
Investing activities:
Decrease (increase) in restricted cash		(31,476,334	)		25,894,969			5,731,365
Investment in subsidiaries		(45,851,545	)		(75,955,691	)		(13,319,864	)
Purchases of property, plant and equipment		(1,172	)		—			(3,589	)

Net cash used in investing activities		(77,329,051	)		(50,060,722	)		(7,592,088	)

Financing activities:
Proceeds from short-term borrowings		—			—			68,000,000
Proceeds from long-term borrowings		—			—			70,063,488
Payment for repurchase of convertible notes		—			—			(1,000,000	)
Proceeds from issuance of warrants		—			—			2,500,000
Proceeds from exercise of stock options		823,560			1,256,948			158,766

Net cash provided by financing activities		823,560			1,256,948			139,722,254

Effect of exchange rate changes		13,340,647			17,093,770			5,239,819

Net increase (decrease) in cash and cash equivalents		(32,101,107	)		(9,909,957	)		3,322,620
Cash and cash equivalents at the beginning of the year		49,935,750			17,834,643			7,924,686

Cash and cash equivalents at the end of the year		17,834,643			7,924,686			11,247,306

Supplemental disclosure of cash flow information:
Interest paid		296,678			223,495			255,502
Income taxes paid		5,204,641			13,575,821			290,813