Study On The Debt-to-equity Swap Of Changjiang National Shipping (Group) Corporation

China Changjiang National Shipping (Group) Corporation (CSC) is a big state-owned group, which enjoys a high percentage out of shipping market. However, it always loses money due to its debt, which results in its lack of capital to support further development. This paper comes from such situation, in the view of solving the debt of CSC under the policy of debt-to-equity swap (DES).This paper can be divided into seven chapters.The first chapter brings forward the problem what CSC faces, defining research object and goal of the paper, introducing research method and steps.The second chapter introduces CSC, including asset, crew, product, project, market, equipment, technology, organic structure and accounting. Moreover, this section analyzes the reasons that lead to CSC in debt, pointing out that the state investment policy changing from giving money directly to loan is only a surface cause, but the distempered corporate governance structure is the deep reason.The third chapter introduces the meanings and operation mode of debt-to-equity-swap, furthermore, introduces the state policy about debt-to-equity swap, and sums up experiences of foreign countries operation. Also, pointing out that DES policy was set to relax the debt crisis of Chinese state-owned-enterprise and the bad-assets in state-owned-bank.The fourth chapter focuses on the feasibility of CSC debt-to-equity swap. After evaluating both benefits and strategies of each side in the process of DES, using game theory, this section sets up a complete information dynamic game model, and uses reserve induction method to solve such model. As a result, CSC debt-to-equity swap is an equilibrium strategy of such game, there is not a loser, and they are all-winners.The fifth chapter designs the plan of CSC debt-to-equity swap, from operation mode to working flow, giving detailed contents and steps.The sixth chapter estimates actual effects of CSC debt-to-equity swap. From four factors including decision-making mechanism, labor productivity, operating results and financing channels, compare fore-and aft-DES. The actual effects have proved game model.The seventh chapter gives a conclusion, summing up main points of the paper, and putting forward next research direction.