Research On The Causes Of Bond Default And Risk Warning Of Bohai Leasing Company

In recent three years,the COVID-19 has had a huge impact on the civil aviation transp ortation industry.As the upstream industry of the civil aviation transportation industry,the t urnover and net profit level of companies related to the aircraft leasing industry have also d eclined significantly,and the balance sheet has deteriorated sharply.Bohai Leasing Co.,Lt d.(hereinafter referred to as "Bohai Leasing"),as a leading company in the domestic aircra ft leasing industry,experienced bond defaults for the first time in March 2022,attracting wi despread attention both domestically and internationally.Taking Bohai Leasing as an exam ple,this paper reveals the development of the aircraft leasing industry in the context of the COVID-19,further analyzes the company’s internal business management model,and expl ores the deep causes of its bond default,risk warning methods and countermeasures.This article conducts research on the default events of Bohai Leasing bonds and analy zes the macro and micro factors that lead to the occurrence of bond default events.The stud y found that the bond default of Bohai Leasing was not only impacted by the COVID-19,b ut also the result of multiple factors such as intensified industry competition,blind expansio n of companies,highly indebted operations and related party transactions.This article first outlines the temporal context of the default events of Bohai Leasing bonds,and then explor es the causes of bond defaults from both external and internal factors.In terms of external f actors,firstly,the impact of the epidemic cannot be ignored;Secondly,the aircraft leasing i ndustry has entered a mature period and competition in the industry has intensified.In term s of internal factors,the company’s blind and aggressive expansion strategy in recent years has not brought more benefits to Bohai Leasing,but has instead increased its liquidity risk;The inappropriate financing method has caused Bohai Leasing to face problems such as det eriorating debt structure and term mismatch,while the large amount of bad debts caused by related party transactions further penetrated the company’s cash flow.Based on the above analysis,this article further conducts early warning analysis on the credit risk of Bohai Leasing through the Z-score model and KMV model,and compares th em with the credit rating results.Research has found that the credit rating results of Bohai L easing lack timeliness and have high false ratings;The Z-score model can effectively meas ure the financial risks of Bohai Leasing and has a certain risk warning effect;The KMV mo del detection results match the risk situation of Bohai Leasing,and the default risk warning effect is good.Finally,this article summarizes the case inspiration and puts forward corresponding su ggestions for regulatory authorities.In terms of case inspiration,for heavy asset enterprises such as Bohai Leasing,the first step is to avoid blind expansion of development strategies,and to scientifically formulate strategic plans and adjust them in a timely manner accordin g to the situation;Then,enterprises should adopt appropriate financing methods based on th eir own operating conditions,avoid short-term debt and long-term investment,and continu ously optimize their capital structure;Secondly,enterprises should strengthen the managem ent of related party transactions and establish more effective management mechanisms for r elated party transactions;Next,it is necessary to steadily improve the operational capacity of the enterprise and improve the efficiency of asset utilization;Finally,the risk warning ca pability should be improved to prevent the occurrence of bond defaults.In terms of supervi sion of listed enterprises,it is recommended that regulatory authorities strengthen the super vision of enterprise credit ratings and related party transactions to protect the interests of bo nd investors and small and medium-sized shareholders.