Weighed down by these issues, LDK swung to an operating loss of $47.9 million in the quarter, from a profit of $78.6 million a year ago. A look at the books The balance sheet doesn't look particularly healthy. LDK has total debts of $3.3 billion, of which $2.2 billion is short-term. When compared against LDK's market capitalization of about $880 million, the debt level certainly looks worrying. In comparison, the company's cash and cash equivalents stand at $515.3 million along with short-term bank deposits of $515.3 million -- which doesn't bode too well, either. The company is planning to spin off its polysilicon business to raise money to pay off some of its debt. Hope of a turnaround The solar industry's performance has been pretty unimpressive so far this year. However, LDK sees prices stabilizing and shipment volumes improving. The company plans to more than double its module shipments in the ongoing quarter, and it expects the industry to look up in the second half.