Research On The Financial Impact Of New Lease Standards On China Southern Airlines

With the improvement of the market economy system,leasing business came into being.As an emerging financing channel,leasing occupies an important position in domestic and foreign financial markets.The frequent development of leasing business has led to the prosperity of the leasing market,and the lease accounting standards have been born.The phenomenon of off-balance sheet financing under the operating lease model is serious,and financial frauds occur frequently,which has aroused widespread concern.The shortcomings of the current lease accounting standards have become increasingly obvious,and the reform of the current standards has been put on the agenda.In 2016,the International Accounting Standards Board(IASB)issued “International Accounting Lease Standard No.16-Leases”,which made corresponding adjustments to the lessee’s lease accounting treatment model,abolished the two lease classification models,and replaced it with a single lease Models,and put forward concepts such as the use right model,which enhanced the degree of disclosure of financial information.Based on the principle of convergence,the Ministry of Finance of China issued the “Accounting Standards for Business Enterprises No.21-Leases” in December 2018.Some listed companies taking China Southern Airlines as an example implemented the new lease accounting standards on January 1,2019.As the first batch of China Southern Airlines to implement the new lease accounting standards,operating lease assets account for a relatively high proportion of total assets.The revision of the new standards will have a greater impact on its financial data and financial indicators,and even bring certain financial risks.In this context,it is particularly important to study the impact of the revision of the new lease accounting standards on the air transport industry.This article first sorts out the formulation process of the lease accounting standards,understands the background of the formulation of the standards,and then analyzes the problems of the old lease accounting standards,such as the contradiction between the lease definition and the concept of assets,and companies use the standards to achieve off-balance-sheet financing purposes.Then,the new and old lease accounting standards were compared and analyzed,and the study found that there are differences between the old and new standards in lease definition,scope of application,lease classification standards,accounting treatment methods,and disclosure of financial statements.Finally,the case company Southern Airlines is selected to analyze the financial impact of the revision of the new lease accounting standards,including the following aspects: first analyze the basic situation of the domestic aviation industry and leasing;then analyze the operating status and leasing composition of China Southern Airlines.Then focus on the analysis of the financial impact of the new lease accounting standards on China Southern Airlines,and finally evaluate the response measures taken by China Southern Airlines.