500 Chinese State Owned Enterprises Going Belly-up
Beijing plans to approve the bankruptcy of around 500 more state-owned enterprises (SOE) before the end of the year.
China's State-owned Assets Supervision and Administration Commission (SASAC) has received more than 2000 SOES wanting to throw in the towel before 2008. So far, 619 have been approved.
These last 2000 SOEs will be treated individually. After that, all of China's 8 million companies will follow a unified corporate bankruptcy law if they can't make it.
In the past, money recovered from insolvent SOEs managed the unemployed first and then the creditors.
The good news is the employees of these companies don't have to worry about being laid off before Christmas. There is no Christmas in China.
What do you think?
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12/12/2006
sure, they will just have to wait for the chinese new year to come