FerroChina is unable to repay part of its working capital loans amounting to Rmb706m, which is likely to further lead to a working capital fund shortage of Rmb2b. As a result, the company has temporarily ceased all of its manufacturing operations. The company is negotiating with its financial lenders and potential strategic investors to access funds or refinancing to address the repayment obligations. FerroChina will not resume production until the obligations are fulfilled, which will take at least one week, but most probably much longer. The company's shares will remain suspended, and no guidance from the management is given regarding the time of trading resumption.
