- Evergrande Rocked By WSJ Report China “Making Preparations For Its Demise”; EV Unit Stops Paying Staff, Suppliers
by Tyler Durden, https://www.zerohedge.com/
Update (0810ET): Piling on to the chaotic swings in Evergrande, Bloomberg reports that the embattled property developer’s electric-car unit has missed salary payments to some of its employees and has fallen behind on paying a number of suppliers for factory equipment, according to people familiar with the matter.
Most employees at Evergrande NEV are paid at the start of every month and again on the 20th, however for some mid-level managers, the second installment for September hasn’t arrived, the people said. Several equipment suppliers, meanwhile, began withdrawing their on-site personnel from the Shanghai and Guangzhou sites as early as July after payments for machinery in Evergrande NEV’s factories weren’t made.
This is clear evidence that the company’s financial fragilities are having an impact beyond its core business.