EGRNF - Evergrande will be dealt with in a market-orientated way - PBOC

Fitch has become the first to label China Evergrande's (OTCPK:EGRNF, OTCPK:EGRNY) overseas bonds as "in default" after the heavily-indebted property developer missed coupon payments totaling $82.5M when a grace period expired on Monday. "There has been no announcement from the company or the trustee. In addition, the company did not respond to our request for confirmation," the credit ratings agency wrote in a press release. Overnight, Evergrande said there was "no guarantee" it could meet its debt repayments as it entered a restructuring process with assistance from local government officials. The downgrade by Fitch could trigger cross defaults on the developer's $19.2B of outstanding debt across international bond markets. It also raises concerns for what it will mean domestically for China's $5T property sector and the potential impact on the nation's economy. In response, China's central bank has freed up 1.2T yuan ($188B) of liquidity for the banking system -

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Evergrande will be dealt with in a market-orientated way - PBOC