Research On Default Risk Of Wintime Energy Bond

Bond market is the market of buying,selling and issuing bonds,which is an important part of financial market.Issuing bonds to raise funds is one of the important financing channels for enterprises.In recent years,the scale of China's bond market has expanded rapidly,while the default risk of corporate bonds has increased.Since 2014 when Shanghai Chaori Solar Energy Company defaulted on 89.8 million yuan of interest due to its inability to repay "11 Chaori bonds",the bond default event began to attract attention from the market.With the economy growth being slowdown,monetary tightening,and stricter regulation,the environmental changes in the bond market have led to limited corporate financing leading to that the frequency of bond default events in China's bond market is accelerating.By the end of 2018,there were 194 bond defaults,of which the number of private enterprises is considerable.As a private coal enterprise giant,Wintime Energy Co.,Ltd is under the influence of internal and external comprehensive factors such as changes in financing environment,rapid industrial expansion,higher company's debt?and limited refinancing,and its break of capital chain which leads to the bond default.That is,the principal and interest payable on the fourth term short-term financing bonds issued by the company in 2017 totaled 1.605 billion yuan,which failed to be paid on time on the maturity date,constituting a material default and even the cross default of 13 other bonds.In the short term,the capital payment pressure is so great.This paper takes the default event of the fourth term short-term financing bonds of Wintime Energy Co.Ltd in 2017 as the research object.Firstly,it introduces the company itself and comprehensively sorts out the occurrence process of bond default.Then the risk of the company is analyzed,including macro environmental risk,industry risk and company risk.By analyzing and revealing the internal and external reasons for the existence of bond default risk in the company,the internal reasons include capital turnover,and the external reasons include industry,financing environment,and rating.Finally the paper proposes suggestions for preventing bond default risk according to the default reasons.It is hoped that lessons can be drawn from the Wintime Energy Co.,Ltd bond default event to improve the company's asset and liability management level,reduce the default risk of corporate bonds,improve the supervision and rating mechanism,help investors identify risks,and promote the healthy and orderly development of China's bond market.