In a message released by one of China's leading business publications, it was revealed that Evergrande Group (03333.HK) held its annual results conference on March 31st. At the conference, Xia Haijun, vice chairman and president of Evergrande Group's board of directors, candidly disclosed the company's specific plans for the next three years aimed at reducing debt. The target is set as follows: by June 30, 2021, the interest-bearing liabilities will be cut to less than 590 billion yuan; by June 30, 2022, they will be further reduced to less than 450 billion yuan; and by June 30, 2023, they will be eventually reduced to less than 350 billion yuan. In response to the regulatory requirements of the industry's "three red lines", Evergrande has formulated a detailed response strategy. It plans to reduce its net debt ratio to below 100% by June 30, 2021, achieve a cash-to-short-debt ratio of more than 1 by December 31, 2021, and control its gearing ratio to below 70% by December 31, 2022. The Company is committed to reaching its targets on a year-by-year basis and ultimately fully complying with regulatory requirements.
