The Expected Impact Of The New Leasing Standard On Spring Airlines And Its Countermeasures

In recent years,with the rapid development of China’s leasing industry,more and more attention has been paid to the impact of leasing on enterprises and their stakeholders.Has always been our country adopts the accounting standards for enterprises-leasing "(2006)requires companies leasing business by double model of lease,the lease is divided into an operating lease and finance lease,the lessee under this classification system for the classification of the lease is larger operating space,the lessee may through a large number of operating leases conceals a liability,beautify the company’s financial indicators.In order to improve the quality of financial information,the international leasing standards issued in 2016 require enterprises to adopt a single leasing model,and the assets of operating leasing should also be included in financial statements.Accounting standards in our country under the background of substantial convergence with international accounting standards,in order to make up for the shortage of the old leasing criterion,the new international leasing criterion for reference and considering the actual situation in our country,after the Treasury in December 2018 formally issued "accounting standards for enterprises no.21-leasing"(2018),and demand in domestic and at the same time,listed companies and listed on the outside and adopting international financial reporting standards or enterprise,enterprise accounting standards to prepare its financial statements shall be implemented as of January 1,2019.Other enterprises that implement the accounting standards for business enterprises shall enter into force as of January 1,2021.The new lease criterion has a greater change than the old one,which has a greater impact on the aviation enterprises with a higher proportion of lease business.This paper takes spring airlines as an example to study the impact of the new lease criteria on the aviation enterprises,and finds that :(1)the accounting treatment of spring airlines changes after the implementation of the new lease criteria,which affects the financial information of spring and autumn airlines.Their assets and liabilities will increase;The expenses on the profit statement will show thecharacteristics of high and low;In the cash flow statement,the original rental expenditure changes from cash outflow from operating activities to cash outflow from financing activities;At the beginning of the lease period,the corporate income tax will be reduced,but the total amount will remain the same.(2)the business model of spring airlines will also be affected by the impact of the new leasing standards on financial information: due to the change of financial indicators and the above table of operating leasing assets and liabilities,the financing difficulty of spring airlines may increase;Due to the disappearance of off-balance-sheet financing advantage of operating leasing,spring airlines may change the way of aircraft introduction.In the case of profit impact,spring airlines may optimize the flight design and route network construction to mitigate the impact of the new leasing rules on profits.In new lease criterion may impact can not be ignored in the spring and autumn airlines,spring airlines can take relevant measures to alleviate the impact of new lease criterion: the new lease accounting criterion of tenant has had the fundamental change,spring airlines should strengthen the construction of accounting system and communication with stakeholders in advance,improve the existing financing,during the guidelines did not officially implemented step by step to improve the way of aircraft to introduce,rational utilization of the new guidelines flexible with the exemption clauses in the lease contract.