Research On Debt Financing Risk Of Hainan Airlines

Since the global financial crisis,the world economy has entered the recovery state,China’s economy also began to rise slowly,the development of the aviation industry has entered a high state,The competition of most airlines of is increasingly fierce,and the airline’s high debt and high risk characteristics make the company faces the risk of debt financing.Therefore,this paper takes the risk of debt financing as the main research object and selects Hainan Airlines as an example,we use the methods of empirical analysis,comparative analysis and quantitative and qualitative analysis to study the status quo of debt financing of Hainan Airlines.The main financing methods are direct debt financing and indirect debt financing,analyze the related risk of debt financing and compare with China Southern Airlines,Finally establishing the BP neural network early warning model and related risk control.The study found that: the rapid expansion of Hainan Airlines led to the pressure of high debt financing,and a large number of debt financing made the company face a large risk of debt financing.Therefore,Hainan Airlines needs to strengthen its management and control of its debt financing risk.Secondly,according to the BP neural network early warning model established in this paper,we use the data of the past four years to predict the debt financing risk of Hainan Airlines in the first two quarters of fifth years,and provide a support for managers’ decision-making.Third,it puts forward relevant suggestions on the debt financing risk of Hainan Airlines,in order to minimize the losses caused by the debt financing risk.