Following the announcement of the suspension of 11 domestic bonds under Country Garden on August 13th, there were multiple reports on August 18th that creditors had recently received an extension proposal for Country Garden's "16 Country Garden 05". This is also the first bond that Country Garden has sought to extend after experiencing debt pressure. On August 21st, a reporter from Securities Daily confirmed this matter from someone familiar with Country Garden business. The person analyzed to the reporter that extending the domestic bond with the largest balance for three years in exchange for an opportunity to wholeheartedly seize business development may be the best solution that Country Garden can provide under the "internal and external difficulties". It is reported that "16 Country Garden 05" is a private equity bond that will mature on September 2. The current bond balance is 3.904 billion yuan, and it is also the largest domestic bond balance of Country Garden in the coming year. According to the plan, Country Garden plans to extend the term of "16 Country Garden 05" for three years and pay it in seven installments: a down payment of 6% (2% of the principal will be paid in the first, second, and third months after maturity); The principal redemption ratio for September 2024 is 10%; The principal redemption ratio for September 2025 is 15%; The principal redemption ratio for March 2026 is 25%; The principal redemption ratio for the last installment of 9 months in 2026 is 44%. Unlike many real estate companies that have deferred interest in the past, Country Garden plans to transfer 100% of the accrued unpaid interest generated by "16 Country Garden 05" from September 2, 2022 to September 1, 2023 on September 1, 2023. At the same time, it will also provide pledge guarantees for the equity returns of project companies in Longyan, Shandong Yantai, Jiangsu Shuyang, Huai'an, and Xinghua. People familiar with the business of Country Garden told Securities Daily that Country Garden's projects are mostly concentrated in third and fourth tier cities. The five credit enhancement projects selected this time are all projects with positive residual value and are recognized as relatively high-quality projects in the industry. I believe that third-party evaluation agencies and auditing agencies can ensure the repayment of bond principal and interest. Regarding this, Guan Rongxue, a senior analyst at Zhuge Data Research Center, told Securities Daily that compared to other real estate companies, the most significant feature exhibited by Country Garden's extension plan this time is "stability", which not only falls within the expected range but also reduces the risk of subsequent extensions; The plan conforms to the logic of sustainable development of Country Garden, demonstrating Country Garden's clear positioning for itself. For the extension of this pure credit bond, Country Garden also provides credit enhancement measures to strengthen the corresponding debt repayment ability to a certain extent and increase investor confidence, "said Guan Rongxue. Yan Yuejin, Research Director of E-House Research Institute, told Securities Daily that redemption also requires corresponding strategies. In situations where the pressure on one-time redemption funds is high, increasing the redemption ratio of principal step by step through the "easy first, then difficult" model is objectively a rational approach. At present, there has been a deep adjustment in the entire industry. As a key enterprise in the industry, Country Garden believes that it will provide certain support in the future, given the continuous attention of regulatory authorities to the debt problem of real estate enterprises. In 2022 and the first half of 2023, Country Garden, together with its joint venture and affiliated companies, delivered nearly 700000 and 278000 houses, respectively,