Research On Debt Restructuring Of BaoTa Industry

Debt restructuring as a common way to solve the debt problem in the world,it plays a very positive effect on both sides of the debt dispute.For financially troubled listed companies,through debt restructuring can change the unreasonable debt structure and make the company get new vitality and go out of bankruptcy.For creditors,a debt restructuring would also reduce losses so as to better help protect their interests.Debt restructuring guidelines in our country has been revised three times since its promulgation in 1998,however,it is still imperfect now,and sill there are listed companies through the fair value of the debt restructuring criteria specified in the principles and the accounting treatment of debt restructuring gains for earnings management,however,it misconstrued the essence of debt restructuring.Such restructuring is only to help enterprises achieve the purpose of lifting the hat,but has not achieved long-term development of the company's performance.This article collated the current relevant literature on debt restructuring,and on the basis of this theory,this paper selects BaoTa industry as a case company,and studies the debt restructuring activities of BaoTa industry in 2012 and 2014.It also analyzes the financial statements before and after the debt restructuring of BaoTa industry.Through the research,it is found that BaoTa industry has improved its operating profit in the year of debt restructuring,so that BaoTa industry profits in a continuous loss,and eventually withdrew special treatment.However,the research on the financial indicators after the restructuring of BaoTa industry has found that its profitability and operational capacity have not been substantially improved.On this basis,the debt restructuring of Baota industry is based on the reorganization of the reporting level or the comprehensive reorganization including the adjustment of the company's industry,the adjustment of product structure and the adjustment of the governance structure was analyzed.It points out the problems existing in Baota industry's debt restructuring,operation and management,financial and internal control,and the urgent need for improvement.In order to make the role of debt restructuring better,this paper takes the case of Baota industry as the breakthrough point to make a specific analysis of the debt restructuring,with a view to providing some suggestions for other enterprises to achieve long-term development and achieve the goal of treatment by debt restructuring.And put forward relevant suggestions form the level of the enterprise itself and the government on the better implementation of debt restructuring:Formulating a reasonable debt restructuring plan;Reorganize in a timely manner with its own circumstances;Strengthening government supervision;Improve the accounting standards system;Improve the internal mechanism of the enterprise;Establish a corresponding agency.