A123 Trying To Build Credibility, Goldman Still Neutral

A123 Systems, Inc.

reported 2Q revenues of $22.6M vs. $27.9M estimated by Goldman Sachs. Losses per share were $0.33, worse than Goldman's estimate of $0.28. A123 Systems has announced its withdrawal from negotiating with Chrysler Group LLC, but has also announced supply agreements with The AES Corporation

and Daimler

for hybrid buses and a major, unnamed OEM, according to Goldman. Goldman Sachs maintains its "neutral" rating and $9 price target. A123 Systems closed yesterday at $10.44.