Empiircal Study Of Debt Restructuirng Regarding Listed Companies’ Performance Influence

The New Accounting Standards> has been formally implemented since Jan1st2007; the capital market in our country is gradually matured while accountingstandard and relevant system are not perfect. Meanwhile the public companies whichbelong to the capital market keep searching various ways to reform and developthemselves. The procedure of exploration is tough, and the firms must be in troubleso that managers should look for the methods to solve those problems. The liabilityrestructuring can be a significant solution which regards as good medicine forenterprises to be rid of financial dilemma. It can be widely used for publiccompanies to reach the aim of resources optimized.To be accompanied by the rapidly development of Chinese market economy,the liability restructuring of public companies has been changed in form and content.The capital market in China gradually merges with economic integration, and thefactors of that are becoming more and more. The Chinese stock market hasexperienced a process of gradually development. The liability restructuring has beenemployed by public companies to settle the financial problems, and promote thelevel of performing and core competitiveness. Some companies which have seriousdebts crises also see it as life-saving straw, to avoid delisting. Additionally, someother public companies exploit the leak of accounting system in China, so that thereare many defects in defining the liability reforming. Those public companies whichdo not sink into the crises of liabilities also employ the methods of debtsrestructuring to relieve liabilities and optimize capital structures. Others use the opportunities of debts-to equity to enhance the value of core competitiveness whichcan be a foundation for further developing. However, whether these companies canachieve their goals in implementing the liabilities restructuring, and whether thebehavior of liabilities restructuring can change the performance of companies thatstill need to research.Consequently, this study will aim at the problem of performance of liabilitiesrestructuring. In order to avoid various factors affect different industries, thisdissertation will select manufacturing industry which is the most representative to bethe example. In addition, consider with the change of new accounting standards andthe completeness of data in choosing the sample. It begins with2007, and observesliabilities restructuring in2008that changes the public companies. The data will beselected from2007to2010, which will observe and investigate the performance ofliabilities restructuring. Based on domestic and overseas researchers this studythrough the financial analysis method to construct the performance evaluationsystem, using principal component analysis of selected sample companyperformance score of comprehensive calculation and implementation of debtrestructuring in restructuring the company before and after happened a comparativeanalysis of the performance.The results show that, liabilities restructuring did not promote the performancesof public companies in that year, but they have rising trend after that.