Suntech Power Holdings Co Ltd, the solar panel manufacturer from China, said that it has reached an agreement with a number of its lenders to further defer fulfillment of its US$541 million obligation. The main unit of the firm is still in the process of insolvency.

The company was deemed in default on the principal payment on the 3% convertible notes last March 15. Prior to that date, the company was able to reach a deal with 60% of its note holders for the deferment of the same payable to May 15.

The main provision of the deferment agreement is that the confirming bondholders have agreed to withhold the exercise of their rights until June 28.

The creditors are the International Finance Corp together with several domestic financial institutions in China. The first deferment was to allow the company's executive leadership to pursue restructuring finances to pay off loans it has obtained previously.