HONG KONG (AP) — Chinese property developer Country Garden warned Tuesday that it cannot repay on time a 470 million Hong Kong dollar ($60 million) loan in the latest sign of distress after Beijing clamped down on mounting debts in the industry.
The company said its sales were under “remarkable pressure.”Country Garden earlier had been hailed as a model real estate company by Chinese authorities.
Country Garden's sales slumped nearly 44% in January-September from the same period a year earlier, the company said.
Since there has not been an industry-wide improvement in property sales, Country Garden said “its liquidity position is expected to remain very tight in the short- to medium-term.”However the company is still finishing and delivering residential housing.
Country Garden had more than $180 billion in liabilities as of June.
Persons:
Evergrande
Organizations:
Hong Kong, Hong Kong Stock Exchange, China Minsheng Banking Corporation, Hong, Industrial & Commercial Bank of China
Locations:
HONG KONG, Beijing, China, Hong Kong