St-listed Company In China (manufacturing) Financial Warning

The study of The enterprise's financial plight is researchtopic which widely pays attention. it not only has a higher academic value, but also it has tremendous value.In the growing China which is not yet a mature market, the health of listed companies is related to the interest of creditors and the investment, so the research of its financial Status is extremely important. If the results of their research could be used to promote other non-listed companies,and be used to guide all types of business enterprises and prevent risks ,it would become more meaningful.In this context, The article reviewed domestic and foreign financial distress prediction mode 1 in the field of classical literature,first. On the basis of summing up the previous study and research achievements, analyzed the present situation of Chinese ST companies, Selected 13 listed companies as sample which is in the 58 A-share listed companies in 2006 which were Special handed for "financial situation abnormal" .At the same time, According to matching the scale industries and the standards, Choosed the same number of the financial condition of listed companies constitute control samples. Using Altman's Z-SCORE model to build a multivariate of financial distress prediction model, test sample data On the model .Then on the basis of quantitative analysis,studied the Qualitative analysis and research.Introduction of the cash flow warning system, with the main operating net is used to observe the short-term solvency ratio, surplus cash to protect multiple observation enterprise profitability.Further improved the business model of decision-making role in guiding.