Country Garden's entire offshore debt to be in default if Tuesday payment not made

<p>Reuters with the report saying that
Country Garden's entire offshore debt to be in default if payment is not made on a $15 million coupon payment on Tuesday, the end of a 30-day grace period.</p><ul><li>Non-payment of this tranche is set to trigger cross defaults
in other bonds as is standard in bond contracts.
</li><li> Lack of payment – which is expected after Country Garden
last week warned about its inability to meet offshore debt
obligations – would make the firm the latest in scores of
Chinese developers who have defaulted.
</li><li> Country Garden has nearly $11 billion of offshore bonds and $6 billion of
offshore loans.</li><li>Default would set the stage
for one of China's biggest corporate debt restructurings. </li></ul><p>A confirmed default would be a negative inpout for China trades.</p><p>—</p><p>Country Garden is China's
largest property developer.</p>

This article was written by Eamonn Sheridan at www.forexlive.com.