The Research On The Guarantee Risk Of Chinese Listed Companies

Guarantee is a kind of normal economic behavior in the process of operating a company. If we make use of it properly, it can make the creditor, the debtor and the third-guarantor profitable. The third-guarantor comes from the credit of debtor and asymmetric information between the creditor and the debtor. The third-guarantor enhances the credit class of the debtor , eliminates asymmetric information , guides the fund flowing , facilitates the loan market moving effectively , improves the walfare of the creditor and the debtor , and puts the social resources to rational use .Under the realistic circumstance, the credit resources of China are shortage, and the development of the specialized guarantee organization is also not very perfect. As the public company of our country, the listed companies' finance and management are relative transparent. And their real founds strength is much stronger and they have the inborn factor to be guarantors. For a long time, the bank also regards them as the very enterprise community, which has the highest reputation, because they contain mighty capital market as backing. They can send out the stocks to collect money when they cannot repay the debt, which causes lots of guarantee behaviors of Chinese listed companies objectively. According to the listed corporations balance sheets of 2002, there were 899 listed companies involving in important guarantee that year, accounting for 70% , up to 49%, 600 listed companies provided external guarantee and the total amount of money was ï¿¥119,777,000,000 . Of 2003, the incompletion statistics showed that there were 324 companies taking part in the guarantee activities of 1200 listed companies of Shanghai and Shenzhen from January to September 2003. Those companies have 1015 guarantee terms, involving a amount of money up to ï¿¥65,300,000,000. Because of guarantee, a lot of listed companies are in difficulty: the litigation disputes are continuously which are affecting the normal management of the listed companies seriously; and some even go to the edge of withdrawing from stock market. Many concern had been given to the problem of gurantee in England , France and USA over a long period of time . The homologous law is too more perfect . Because the development degree of national economic market is different, especially the state of the nation is different . So as to we study the result only on the certain degree . The beginning of our stock market is too late , and because the investigative purpose is different, the emphasis is also in different.The formative research result is mostly proceed from the angle of the law.In foundation the research result, analyzing the question and the guarantee risk in Chinese listed compnies , setting out a complete system against guarantee risk from the factor which raise the risk , is in great and realistic siganificance and in emergency.The full text is divided into five parts totally:The first part of the article firstly discusses the difficult position of the enterprise credit and the asymmetric information of both debit and credit sides according to the theories of enterprise guarantee. This causes the third guarantee, whose existence improves the reputation rank of the guarantee, dissolves both parties' information asymmetry availably, reduces the loan cost, guides the funds expense, urges the loan market to circulate availably, increases both parties' welfare, and comes to optimization disposition the social resources. Secondly, the paper announces that the uncertainty of the cost and the income in the process of the third guarantee offering the guarantee cause the existence of guarantee risk. The second part of the article analyzes the history and the classification of the guarantee risk of listed companies. Firstly the paper explores the track of the guarantee of Chinese listed companies, which contains three stages: 1, listed companies mainly guarantee for big shareholder and connection business enterprises before July 2000; 2, listed companies primarily guarantee with each othe...