Research On The Evolution And Resolution Of Debt Defaults For Yongcheng Coal Telecom

Although bond default is an inevitable outcome of the continuous development of the capital market,the scale of credit default of local state-owned enterprises is increasing year by year,which will not only have a negative impact on the stability and development of the bond market,but also lead to the aggravation of investor panic,thus causing a huge impact on the entire financial market and even the national economy.Under the current downward pressure of China's economy,how does the credit default of local state-owned enterprises evolve? How to resolve the credit default of local state-owned enterprises before and after? It has aroused the common concern of theory and practice.However,at present,the researches on credit default in China mostly focus on private enterprises.Although some literatures begin to focus on the credit default of local state-owned enterprises,the research perspective mainly focuses on the causes and consequences of default,and insufficient attention is paid to the evolution process of default.Therefore,this paper focuses on local state-owned enterprises,starting from the initial evolution of credit default,explores how bond default factors converge and eventually lead to the outbreak of bond default,and analyzes how enterprises should resolve bond default before and after according to the characteristics of local state-owned enterprises.This paper firstly makes a statistical analysis of the overall characteristics of credit default of local state-owned enterprises in China,then defines relevant concepts,and then discusses the case of Local state-owned enterprise Yongcheng Coal and power according to relevant theories.Based on z-Score method and data of Yongcheng Coal power Company from 2013 to 2020,the evolution process of bond default is analyzed.Secondly,according to the theory of financial distress,yongcheng coal power credit default before and after resolving countermeasures are studied.Finally,from the bond issuers,investors,puts the intermediaries and regulators such as bond default beforehand prevention,control and post-processing measures,hoping to provide healthy and continuous development of our country's credit bond market new train of thought,for the enterprise to guard against credit default,improve the efficiency of enterprise credit debt default resolve to provide practical reference.This paper draws the following conclusions :(1)yongcheng coal power credit debt default has phased characteristics.On the basis of z-Score theory model of unlisted companies,combined with yongcheng coal power company's macro environment,internal governance and financial situation,it is found that yongcheng coal power company's credit default has three stage characteristics: initial,accumulation and outbreak.(2)Yongcheng coal power credit default is the accumulation and evolution of a variety of factors.The credit default of Yongcheng coal power company is caused by economic cycle,industry characteristics,internal control and financial factors.(3)Yongcheng Coal power credit debt default resolution methods include self-financing,debt restructuring,third-party compensation,government intervention,executive change,etc.When there is a signal of credit default,Yongcheng Coal power prevents the occurrence of bond default through "borrowing new to repay old,short to repay long",third-party assistance from parent company and local government and occupying employee funds.After the bond default,Yongcheng Coal and power obtained debt repayment funds through equity financing,actively carried out the payment of defaulted bonds,resolved the impact of bond default,and assumed the due responsibility of local state-owned enterprises.