Another Indebted Firm Helped by Local Gov't, Analysts Suspect

(Beijing) – Another indebted Chinese firm has averted a seemingly unavoidable bond default, the latest in a string of last-minute repayments with apparent local government support that analysts say reflects China's parental attitude to the securities market.

Xinjiang Chalkis Co. Ltd., a state-owned food company in Xinjiang Uygur Autonomous Region, repaid 400 million yuan in short-term financing bills on time on November 7.