Disclosure Of External Guarantee Information Of Co.WY

With the development of socialist market economy,the listed company has more and more financing channels.Among them,the way of providing guarantee through huge corporate has become more and more popular in companies.External guarantee from the listed company can help guaranteed company to raise fund for production and management,also optimize configuration of social resources.However,once misused,the listed company who provides guarantee will be implicated,which will bring huge losses to the investor.Recently,because of the improper behavior of external guarantee,many listed companies have been delisted or even go into bankruptcy,which cause the society pays more attention to risks of external guarantee.Whether the listed company can provide entire and timely relevant information or not have been closely watched by people.To regulate the external guarantee information of the listed company,the relevant laws and regulations have stipulated that when listed company provides major guarantee,they must publish relevant information to society with an interim report.They also should publish in the publications of notes of the financial statement of a prior year and the appointed publication of the CSRC.However,after many scandals broke,the external guarantee of information disclosure fraud still occurred frequently in our country's listed companies.Which bring significant influences to normal production and operating activities of companies,also make the investors make the wrong decision in the situation of information asymmetry.So it has quite positive meaning to regulate the reveal of external guarantee of the listed company,because urge companies to disclose guarantee information can help to reduce guarantee risk and protect benefits of the general shareholders.This paper follows the principal from theory to practice,combines normative analysis with practical analysis,and also discusses the problems of external guarantee information disclosure of the listed company.On the premise of definitude research background and research significance,this paper summarizes the latest research of external guarantee information disclosure of the listed company,and also make an exposition of related concepts and theoretical basis of external guarantee information disclosure,then take WY company for example,analyze external guarantee information disclosure problems of this company.For case analysis,firstly,this paper introduces the situation of external guarantee information disclosure of WY companythrough data collection,secondly,this paper lists the existing problems of external guarantee information disclosure of WY company from four ways,which are concealing the large amount of guarantee of the management,non-standard disclosure of guarantee risks,incorrigible information disclosure fraud,and low effectiveness of guarantee information from independent auditing.Thirdly,this paper points out that the consequences of guarantee information disclosure,which are turbulence of the management,weakening the public right to know,credit standard of companies goes down and share prices fall.What's more,this paper analyzes the causes of this problem,which are defective of corporate governance,company participants lack recognition of fully disclosure of guarantee information,lax regulation of information disclosure fraud by regulators and the audit institutions function dislocation.Finally,this paper puts forward the strategies to improve the situation of external guarantee information disclosure of WY company from four aspects:Firstly,improve company's governance structure.Optimize the ownership structure,make stock capital diversity,eliminate the senior executives to cross appointment in this company,strengthening the shareholder's supervision of senior executives and bring institution investors in.On the supervisory board's hand,we should strength supervision function,reform the supervisors' appointments and removals,improve the supervision quality of supervisory board and confer authority of the supervisors.Secondly,make the company participants pay more attention to fully disclosure of guarantee information.For morality building of a company,we must perfect moral management systems,complete enterprise culture which will serve the public and make the management and the staff form an idea of sustainable development.In the meantime,we should strength the active consciousness of fully disclosure of guarantee information,and enhance the cognition and utilization degree of shareholders and lenders.Thirdly,devote greater efforts to supervising and punishing the behavior of information disclosure fraud.On the one hand,strengthen supervise to information of related party transactions and improve enforcement mechanisms,intensify supervision of the CSRC,clearly located its function,empower the local securities to supervision.On the other hand,intensify punishing,perfect civil compensation system and raise the cost of information disclosure fraud.Fourthly,strengthen the “economic guardian” function of the intermediaryinstitutions.On the one hand,we should strengthen the independence of the audit of the accounting firms,for example,hire the audit entity through open bidding,periodic rotation of the audit entity,strengthen the audit work quality review of the accounting firms and so on;On the other hand,establish specific audit system on external guarantee,regulate audit procedures of external guarantee information,which can ensure the quality of company's external guarantee information disclosure.This paper focuses on the analysis of WY company's external guarantee information disclosure,also put forward strategies to improve the situation of the listed company's external guarantee information disclosure.Aimed at contributing poor power to regulating the listed company's external guarantee information disclosure and promoting the healthy development of our market economy.