Update: Official default has been declared as of this morning.
There are at least two things wrong with this, the first being that missing a payment would mean that a default has already happened. The second is that Evergrande cannot default twice, but somehow, in the magical twilight zone of 2021 corporations, are able to default, then un-default, then maybe default again (or something?), and continue this process seemingly forever.
Evergrande still has hundreds of billions of additional payments coming due over the next several years, but is unable to pay even a measly $85.2 million to offshore (dollar) bondholders right now. This means that the company has failed, and yet the corporate media refuses to acknowledge this fact.
Wall Street is likewise ignoring reality as the Federal Reserve under Jerome Powell, and the Treasury under Janet Yellen, continue to pump worthless fiat dollars into the markets, driving inflation and wrecking the global economy – oh, but at least obscenely rich criminals are still getting richer.
The S&P, refusing to call a spade a spade, hinted that Evergrande's "liquidity remains extremely weak," which sounds a little bit nicer than saying that Evergrande is basically no more. Fitch also downgraded the failed firm, releasing the following statement:
"Default or default-like process has begun, based on the company's announcement that it has not made payments or reached an agreement with creditors regarding its offshore financing, after it received notice from creditors demanding payment on financings with principal amount of around $651 million following recent rating actions by rating agencies."
The current system will be artificially propped up until the last possible moment; then comes the crash
The term "default-like process" is another invention of the financial terrorists to make it seem like everything is just fine. In reality, it is akin to saying that someone who got in a car wreck and is no longer alive is simply going through a "death-like process."
The whole thing is a shell game that quite frankly insults the intelligence of even the most financially unsavvy person out there. And the reason for it is that the corrupt U.S. financial system has quite a few pieces nestled in that Jenga tower, which is ready to fall.
Apparently the system thinks that manufacturing new concepts like "default-like process" is enough to just sweep it all under the rug and make it go away. This is impossible, of course, but the can will get kicked and kicked until it can no longer get kicked.
The problem is that the longer this drags on, the worse the crash is going to be. Like a spring being compressed, suppression becomes increasingly more difficult the more it gets pushed down. And once it releases, the pop will be unlike anything this world has ever seen.
"Is 'a default-like process' something similar to being 'a little bit pregnant?'" asked one commenter at Zero Hedge. "Inquiring minds want to know."
"The media is poised to blame the economic s*** storm collapse on covid (which is the main reason covid was propagated)," wrote another. "With a little blame left over for Russia, of course. And the international banking cabal / cartel is poised to 'save humanity' with a new brand of toilet paper (fake fiat currency). Cut the head off the snake."
"If the company cannot make an $82.5 million interest payment which represents 0.000275 of total liabilities, do we really need to think about how this will end?" noted another about Evergrande specifically.
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