"16 Birds Of Honor PPN001" Breach

On the night of November 11th, the precious bird bird (603555) announced that the first phase of the 2016 year's non-public directional debt financing tool failed to repay the principal and interest in full.

According to the announcement, the first non-public debt financing tool of the first time in 2016, the debt financing tool: 16 PPN001, the debt financing tool code: 031661035, should be paid in November 11, 2019. According to the noble bird, at the end of the maturity date, due to the serious limitation of the company's financing channels, the continuous deterioration of solvency, the tight liquidity, and the difficulty of the company's handling of related assets in the short term to raise funds for the current debt payment, the company failed to raise full payment in accordance with the agreement. "16 PPN001" fails to pay the principal and interest in full on time, and has constituted a substantial breach.

It is understood that "16 PPN001" issued a total of 500 million yuan, bonds for a period of 3 years, the interest rate debt financing instruments interest rate 5%, cash day November 11, 2019.

At present, the company actively negotiated with the relevant creditors and agreed to agree with the creditors concerned about the debt solution. At the same time, the company is still actively raising funds for debt repayment. If the related debt solution fails to be recognized, the company may be faced with litigation, arbitration and assets freeze due to overdue debts, which will further lead to a decline in the company's financing capability, which will have a certain impact on the normal production and operation of the company and the business development, and will eventually have an adverse impact on the company's performance.