HONG KONG -- Bondholders of commodities trader Tewoo Group accepted heavy losses as part of a debt restructuring plan, in a move S&P Global Ratings dubbed the first offshore default in two decades by a Chinese state-owned company.
The restructuring of bonds issued by Tewoo, which is based in the northern port city of Tianjin, underscores the credit risks ahead for China as a slowing economy curtails the ability of state-run enterprises to meet principal and interest payments.
