Just from the production of Zhejiang Martial Law Group Holdings ( “Martial Law”) look in the past, is precisely what Kim Keqiao Shaoxing Road, along the King’s Road Keqiao to the direction of the Hangzhou-Ningbo Expressway, according to the plan, there will be 100 Foreign Trade Building.

It now appears that the plan to the stranded. October has become the “black month”: Asia’s largest PTA producer Hualian Sanxin plight of the bankruptcy settlement, liabilities as high as 10.5 billion; then, China’s largest printing and dyeing business group jianglong Holdings is also facing bankruptcy crisis. So far, the crisis did not stop local production of the leading enterprises emerging, “plate-like” symptoms of the collapse of the crisis is increasingly apparent.

Keqiao crisis in a number of local enterprises plight of depression

“China’s first textile city” of Shaoxing County, two pillars of the local textile industry and foreign trade is. As a result, there is an ambitious, “Kim Keqiao” Foreign Trade Building, 100 plans, and there was nothing strange. But the union and the Martial holding Sanxin in trouble, the Foreign Trade Building, 100 may be a schedule of the project.

Keqiao Shaoxing in the vicinity of the town of odd-yin, rings the door Spandex Industry Group Co., Ltd. (hereinafter referred to as “Spandex Five Rings”) Menkeluoque, the past is no longer busy. Office of the gate in a prominent place, close to a notice: from Oct. 13 to start a formal cessation of production, Qixian town government set up a special commission of members of the Working Group has been accepted into business.

“From the beginning of this year, companies often non-payment of wages, salaries for months only made a part of.” Spandex rings a woman surnamed Chen from Anhui’s staff told reporters that “a few Little Sisters hometowns in Keqiao workers, most of the textile enterprises are depressed, even if the job did not know where to jump. ”

Frequent crises, Sanxin Hualian Group, one of the shareholders outlook of the banking sector in Zhejiang Province has become the focus of regulatory targets, major banks have now been suspended loans to the outlook. Zhejiang also added Bai Li Holdings Limited, the current business situation is even more worrying, in the company on the brink of bankruptcy, plus Nigel Burley’s departure has been chairman of the board.

These have Keqiao is a leading enterprise. On the previous year, also raised Keqiao “headquarters economy” concept, according to the China Light & Textile Industrial City “611” project, Ke Metro North in the next 6 years will focus on planning and construction of the headquarters building 100.

If you look at the previous business qualification, it seems that the trouble is that each enterprise, “Miyoshi students.” For example, just stop production of polyurethane rings, public information, this enterprise from 1998 to 2003 for 5 years as advanced private enterprises.

“Martial Law and issues, is insolvent, due out too much money.” Rings an official from the Office of the Spandex said.

Martial Law is the expansion of high-speed chain off funding cut-off non-payment of wages

Now, it seems, is the Martial Law Group as a whole Keqiao economic crisis broke out the fuse.

Also from the payment of arrears of wages and employee exposure to the start. Shanghai, a supplier of Mr. Hu told reporters that since last year, the Martial Law Group, one after another on the loans in arrears, in the second half of last year, no money had paid on time, in June this year, there will be no money to give too. Co-operation for more than three years, Mr. Hu to Martial Law or one after another for more than three months of the cargo, which is now part of the cargo into a single supplier debt, a figure: 2,000,000 yuan.

In that time the bank seems to be a number of smart, “In fact, the beginning of this year, only a small number of banks in the Martial Law to continue to provide loans, loan due this year, basically did not release a new.” Shaoxing, a state-owned The bank told reporters, the local news travels fast, the following sales even heard of Martial Law, the senior management of the red in 2007 have not been made, they decisively to stop the loan.

And Martial Law, of Wuhuan spandex crisis from the beginning of the wages in arrears. “The first half of this year there will be no full-fat salaries, wages every month using incomplete.” Surnamed Chen told reporters that the workers, they do not know the business situation so bad.

Martial Law has become a typical case of a representative of the business, despite the couple from Jiangsu, although in 2003 they began to run, but they caught up with the best of times. A representative of the supplier, said: “They quickly into the circle of Shaoxing. Shaoxing in the past two years in the textile policy to support them at home.”

This story and other examples of companies do not have different sounds. Shaoxing, a joint-stock banks am lucky, Martial Law arrears 15,000,000 yuan, 23 in the Credit Bank, into the first 21, “there is no official statement, due to the specific jianglong how much.” Shaoxing, a city government Informed sources said that the position.

Martial Law in an emergency there is a security ring 8 enterprise security, “a loss will also be ruined”

Shaoxing County, a 100 industrial enterprises in the list of tax shows that this year, 1-4 in the month of a list of statistics, the Seiko Group, tax is included in the first, eighth out Sanxin Union, to bless the 14th Chemical Fiber, Zhejiang Jiang Long Textile Printing and Dyeing Co., Ltd. came in the seventh, the Martial Law of the South’s holding out in the first 20. Prospects Group, added Li Bai also ranked the top 50 or so. In addition, five foreign Zhejiang printing and dyeing at the 47th, Xiong Feng Group 67.

In the list, basically textile enterprises play a leading role, “this is the first half of this year, if placed in the first half of last year, it may be better to see more data.” Industry sources.

If the sum of these enterprises pay taxes, it will be a very impressive figure. However, many dressed on the surface of the large enterprises in the industry has exposed its capital in the chain of vulnerability.

The first is the Sanxin Union, the Asia had the largest PTA producer, it includes the union, holding more than 93 enterprises with total security guarantee, the Huaxi Group, Seiko Group provided a guarantee for part of the counter-guarantee .

Mutual insurance become a very common pattern. Prospects Group, Nigel Burley added that the two are at a precarious in the enterprise, Hualian Sanxin for the loan guarantees were provided by at least 20 billion yuan and 1.5 billion.

8 local businesses to the Martial holding security has been provided, the largest of the Import and Export Co., Ltd., a Zhejiang Xiong Feng 450,000,000 provide security, together with the Printing and Dyeing Co., Ltd. Zhejiang Jishan, five foreign Printing and Dyeing Co., Ltd., Zhejiang, the three companies to Martial Law Holding to provide security for its loans account for more than 80% of the total.

Hualian Holdings and looking forward to the group, plus Nigel Burley Holdings, Zhejiang Tianma, Wing Lung Industrial, South Holding Group Co., Ltd. and Zhejiang thanks Holdings Limited which many companies have been involved, even more terrible is that these enterprises , Have secured the existence of each other. Once the point has been a point of explosion, it will cause a surface explosion.

Shaoxing City, a security industry to industry sources, “for example, the Martial holding of the South’s Holdings, in order to provide security Sanxin Union, the two companies involved in their own mutual insurance companies on a lot, so on Equivalent to weave a dense network of this network in the end how much, no one can say is not clear. “Martial Law of holding a vendor told reporters that their group also is a subsidiary group of companies and mutual security, as they Such a situation rarely seen in Shaoxing, Shaoxing is basically the big companies and mutual guarantees between the companies.

Analysis of the structure of the debt crisis is “model of grass basket”

Weather in the laws and regulations, “black signal” is a typhoon warning and the highest level of defense, the meaning of the “tropical cyclone in the next 12 hours, local or near the landing, the wind an average of 12 or above, in particular the need to enter a state of emergency wind. “And” red signal “of the state of emergency, second only to the” black signal. ”

For a long time, a number of Shaoxing in the fall of the local large-scale enterprises, rely on bank borrowings to maintain the size of the expansion of high-speed, a lot of capital into the market of sufficient liquidity to provide the opportunity for development. However, the macro-control firm contraction of credit markets, reduce the mobility of these former high-speed expansion of the business almost overnight in a difficult position. In order to maintain the direction of the investment project, which started non-financial enterprises, the approach, or a series of guarantees, or loan sharks, the dismantling of high interest rates to staggering proportions.

Are particularly worrying, not just single enterprise funds connected chain, and industry, the area between the horizontal and vertical number of enterprises constitute a “mesh” of the capital structure of the chain. For months, reporters at the Yangtze River Delta’s manufacturing industry is relatively developed regions in the interview, to a certain region or even business-to-business “basket”-like binding debt structure, horizontal, vertical, three-dimensional development, financing almost be able to think of ways to And are thought to do a. However, as long as there is a broken link, enterprises rely on the business model is almost in an instant became surrounded by a leakage of the “basket grass.” In particular, seriously, a “grass basket” linked to the fate of a number of “grass basket”, then became a knock-on effect on the band.

From the business, failed to fully foresee the cost of raw materials and human rapid rise in the export situation is grim, the sharp appreciation of the RMB, has become increasingly difficult financing, the export tax rebate rate down side factors such as macroeconomic changes, which can not be contracted for a rainy day, of course, a The plight of a direct cause of the. Many export-oriented manufacturers, foundry business is the weight before the trip. And camels over the last straw may be the wages of workers, may be the maturity of a loan-sharking.

Therefore of the opinion that there are observers, and the Martial holding Sanxin Union’s crisis is clear that the primary responsibility should be attributed to its own. An economist bluntly pointed out that the financial regulatory system, there is a loophole for local governments to make a big business and adding fuel to the fire, is also a deep-seated reasons.