Case Study On Bond Default Of Yongmei Group

In order to adapt to the rapid development of the national economy,China's domestic bond market has grown at an amazing speed this year.While creating a large amount of funds needed for the development of the real economy,the frequency of bond default is also increasing year by year.Since the "11-Day bond" broke the implicit promise of "rigid payment" in the domestic bond market for the first time in 2014,bond defaults have been occurring continuously this year due to the broken window effect.Especially in 2020,due to the impact of COVID-19 on the macro-economy,a large number of highly rated state-owned enterprises have defaulted in China's domestic bond market for the first time,which makes researchers shift their focus from private enterprises to highly rated state-owned enterprises for the first time.We should pay enough attention to the hidden debt default risk of similar local State-Owned enterprises after seeing the extensive impact on the domestic financial market caused by the debt default of yongmei,Brilliance and other local state-owned enterprises with the "aura of state-owned enterprises".In this context,this paper takes The Debt default event of Yongmei Group as a case,deeply analyzes the deep reasons for the debt default of Yongmei Group,and discusses how bond issuing enterprises should strengthen management at the corporate level to prevent and control risks and reduce the probability of similar events as much as possible.Analysis method adopted in this paper are mainly literature study,case analysis and financial analysis,first of all,the article analyzes the related concepts and theoretical basis of involved in the,second,default happens to review wing coal group and the effect of,respectively from the macro and company level after analyze the deep reason default wing coal group,Finally,relevant suggestions and conclusions are summarized in the hope of providing ideas and inspiration for the prevention and control of debt risks for domestic related debt issuing enterprises.