According to reports, the struggling Chinese real estate developer Country Garden has been announced to have defaulted on a US dollar bond.
According to Bloomberg on Tuesday, struggling Chinese real estate developer Country Garden Holdings Co. (2007. HK) has been declared in default on a US dollar bond and failed to pay interest of $15.4 million as scheduled after a grace period ended.
The report cites a notice issued by Citicorp International Ltd., the trustee of the bond, to bondholders stating that Country Garden's failure to pay interest on time constitutes a "default event". This interest was originally scheduled to be paid on September 17th and was granted a 30 day grace period, but Country Garden was unable to pay within that grace period.
Citicorp, the parent company of Citibank International, did not comment on Bloomberg, and Country Garden did not respond to requests for comment. A senior executive at Country Garden told Bloomberg last week that the developer is unable to fulfill all overseas debt repayment obligations as scheduled. On Tuesday, the Hang Seng Index rose 1.2%, while the China CSI 300 Index rose 0.6%.

According to Bloomberg on Tuesday, struggling Chinese real estate developer Country Garden Holdings Co. (2007. HK) has been declared in default on a US dollar bond and failed to pay interest of $15.4 million as scheduled after a grace period ended.
The report cites a notice issued by Citicorp International Ltd., the trustee of the bond, to bondholders stating that Country Garden's failure to pay interest on time constitutes a "default event". This interest was originally scheduled to be paid on September 17th and was granted a 30 day grace period, but Country Garden was unable to pay within that grace period.
Citicorp, the parent company of Citibank International, did not comment on Bloomberg, and Country Garden did not respond to requests for comment. A senior executive at Country Garden told Bloomberg last week that the developer is unable to fulfill all overseas debt repayment obligations as scheduled. On Tuesday, the Hang Seng Index rose 1.2%, while the China CSI 300 Index rose 0.6%.