Study On The Countermeasures Of Deleveraging In State-owned Enterprises Under The Condition Of Over-indebtedness

High leverage ratio has become one of the major problems that must be solved in China’s economic market in recent years.As the scope of the problem of high leverage expands,the problem of low leverage permeates all industries and enterprises,especially in state-owned enterprises.It can be said that the problem of high leverage ratio has become a common problem of state-owned enterprises in China.The ratio of assets and liabilities of state-owned enterprises is basically more than 60%,while that of state-owned enterprises with high energy and heavy industry is more than 75%.High leverage has excessive debt pressure on enterprises,affecting the normal business activities of enterprises.For society,is not conducive to the development of the market economy,reduce the rate of capital flow,resulting in waste of resources.The National Development and Reform Commission issued the main points of work to reduce the leverage ratio of enterprises in 2018.In 2019,the NDRC and various departments jointly released the "points of work to reduce corporate leverage in 2019",where leverage reduction is not just an economic a policy issue.However,the current formal model of deleveraging has not yet been formed,reliable ways to reduce leverage have not been found,the legal basis for reducing leverage is not perfect,the problem of huge debts still exists,the problem of high leverage still exists,and the vast majority of state-owned enterprises exist.Deleveraging remains a serious problem for the country to address in the case of large amounts owed by several banks.In this economic market environment,it is very important to study the effective methods of reducing leverage and analyze the process of implementing reducing leverage for the long-term development of social economy and the long-term and healthy development of state-owned enterprises.Iron and steel industry has been an important pillar industry of the country since its development.Before the reform and development,the steel industry was controlled by the state.Although many private enterprises have entered it in recent years,the large steel enterprises are all state-owned enterprises.And,in recent years,the steel industry has made it possible for steel companies,for internal institutional reasons get a lot of loans.The downward trend in the external steel industry,lower steel prices,rising prices of steel raw materials,research and development of new steel material substitutes.Both drive the steel industry to oversupply,steel industry leverage remains high in China Railway,China Construction and other large steel companies asset-liability ratio are basically above 75%.As a large state-owned enterprise and steel enterprise,Sinosteel also had a high leverageratio,and in 2014 Sinosteel carried out debt-to-equity swaps due to excessive debt problems,and achieved considerable results.Therefore,the study of the state-owned enterprises leverage reduction countermeasures,can be done by studying the steel industry state-owned enterprises leverage reduction situation Analysis.Based on this,this paper uses case study and normative research method to analyze the debt restructuring and debt-to-equity conversion methods used by state-owned enterprises to reduce leverage,combined with the company background of Sinosteel Group and the process of reducing leverage of Sinosteel Group,to extract the common problems of state-owned enterprises with high debt ratio in reducing leverage This paper studies the process of reducing the leverage of Sinosteel Group,improves the method and countermeasures of reducing the leverage of state-owned enterprises,and makes it more important The debt-to-debt state-owned enterprises provide suggestions for the process of debt-to-equity conversion,so that it can play a better effect.