1988: Back to the human world for a few years

Chapter 115: Pawn (3)

It is not easy to promote the restructuring of state-owned enterprises, especially those that have grown to a certain size.

Especially when this state-owned enterprise has not yet reached the point of insolvency and can still barely maintain itself, it will be even more difficult to merge and reorganize it.

Of course, this refers to the general situation, referring to horizontal business mergers and reorganizations initiated by the companies themselves.

But if there is a push from the competent authorities or it comes from the will of the upper echelons, that is another matter.

………………

In May, the cabinet announced that the Industrial and Commercial Bank of China, Agricultural Bank of China, China Construction Bank, Bank of China and Bank of Communications would join forces, led by the People's Bank of China, to organize a nationwide cleanup of corporate "triangle debts."

But everyone on earth knows that this work involves a wide range of aspects and extremely complex relationships, and the difficulty of advancing it can be imagined.

But fortunately, as long as you are determined, some things can always be solved.

In the process of clearing triangular debts, a debt-clearing operation in Heilongjiang was once widely publicized as a typical example. Its solution was roughly as follows:
Heilongjiang Ning'an County Department Store owed MDJ City Sugar and Wine Company nearly 200 million yuan in payments for goods, and the latter in turn owed Ning'an County Sugar Factory 140 million yuan in payments for goods.

After negotiation between the two local authorities and the bank, the Industrial and Commercial Bank of China Mudanjiang Branch first loaned 140 million yuan to the Sugar and Wine Company, which was then paid to the sugar factory.

Then, the Ning'an Branch of the Industrial and Commercial Bank of China collected the 40 yuan payment from the sugar factory and sold the goods to the department store to repay the money owed to the sugar and wine company.

Finally, the Mudanjiang Branch of the Industrial and Commercial Bank of China recovered the same amount of loan from the Sugar and Wine Company; through this complex "reciprocal debt settlement", the 280 million yuan triangular debt of the three companies was finally resolved.

Although this case is used as a typical example, in fact, its scope of application is not wide.

It's very simple. In this case, the debt occurred between two adjacent counties and cities. If the radius of the "triangle debt" is slightly expanded, the difficulty of operation will be greatly increased. In this era when transportation is not well developed and factionalism is prevalent, if you want to use this method to solve the triangular debt problem between a Qilu enterprise and another Jiangnan enterprise, the communication cost and execution efficiency in the middle are enough to make people collapse.

In addition, in this case, the bank played the most important intermediary role. However, once the debt scale is too large or the intermediary links are too complicated, a new debt relationship will be created if it is included.

Moreover, in this era when the banking system has not yet been independently operated, it is easy to understand that once this new debt relationship is formed with the bank, it will most likely become a bad debt.

Facts have proved that this approach is not only laborious but also not very effective.

According to the original historical trajectory, by the end of November, local authorities and banks had worked extremely hard but had only cleared 11 billion yuan in debts... and due to the large number of "clearance first and debt later" phenomena, by the end of 700, the total amount of the debt chain was still as high as over 1989 billion yuan.

In fact, the problem of triangular debts was not really solved until 1993 when the domestic economy recovered again;
The fundamental problem of this thing is that the circulation between production-goods-digestion is blocked, which makes it impossible for related companies in this line to recover funds, and eventually they can only "die"... This situation is just like when a person suffers from cerebral thrombosis. As long as the blocked blood vessels are unblocked, they can immediately become full of energy.

But it is obvious that the domestic economy has begun to enter a three-year period of late spring cold snap. It is unrealistic to rely on the overall economic recovery to solve the triangular debt problem among state-owned enterprises in Linyi.

Therefore, Yang Mo pondered over it for a whole afternoon before deciding to use the "stealing method". On the surface, he was learning from the classic case widely publicized by the country to solve the triangular debt problems of these companies, but in fact he was taking the opportunity to expand the business empire he envisioned.

In fact, he has a better framework solution.

But there is no way. After all, the drilling company is a state-owned enterprise. In this special period, any larger action must follow precedents.

………………

Yang Mo's plan is actually not complicated.

The principle followed is also to "unblock the blood vessels"...or in other words, to unblock some of the blood vessels.

The first step is to preset the state-owned enterprises in sight into three levels of resource units according to the needs of your own business territory; namely, [upstream production units in the industrial chain], [midstream hub units in the industrial chain], and [downstream sales units in the industrial chain];
The second step is to maintain the survival of some high-quality midstream hub units in the industrial chain through financial support and create an atmosphere of "prosperity".

The third step is to use these high-quality midstream hub units of the industrial chain as intermediaries, use the reason of solving their own triangular debt problems and "debt-to-equity swaps" as bait to push them to merge and reorganize some [upstream production units of the industrial chain] that have debt ties with themselves and are small in scale but have value and potential.

The fourth step is that the downstream sales units of the industrial chain, represented by Qingfeng Food, which are firmly controlled by the drilling company/Yang Mo, establish in-depth cooperative relationships with these midstream hub units, including share restructuring, and use sales as a weapon to bind them to their own chariots while weakening their sales functions and channel reach capabilities, and finally firmly control them in their own hands. Look, do you see that the first three links are very similar to the learning case that the country vigorously promotes?

The only difference is that the main intermediary platform on Yang Mo's side is not a bank, but a drilling company; he is not playing "reciprocal debt settlement" but "debt-to-equity swap"... Although the nature of these two methods is completely different, they look very similar in many cases, especially when there is no reciprocal debt settlement object.

But there is a problem.

Although everyone is eager to understand and solve their own triangular debt problems, everyone is not an idiot;
Not to mention that "debt-to-equity" can turn into a bigger burden if not handled with care, Yang Mo's so-called "deep cooperative relationship" is also not something that no one can see through.

When something is considered to be a temporary solution, most people will hesitate.

At this time, a "supporter" is needed to step forward and be the first to accept the conditions offered by Yang Mo while everyone is still hesitating.

People always tend to follow the crowd. At this critical moment, when the first person jumps out, the second and third person will definitely jump out.

And if Yang Mo uses the method of buying bones with huge sums of money to support the first person who jumps out, and gives him enough benefits to make him a "successful case", it is obvious that everyone will rush to become Yang Mo's lackeys... no, to be lackeys for the drilling company.

And the Fifth Farm...is a very suitable pawn.

This is a medium-sized farm with more than 600 employees. Although the cultivated land area is only more than 400 mu, it is involved in economic forest planting, animal husbandry, and primary processing of agricultural products.
The most important thing is that in addition to having rich experience in breeding and raising, they also possess certain scientific research capabilities, especially in the areas of poultry hybridization and epidemic prevention.

That’s right, it’s scientific research ability.

Not all scientific researchers have to wear white coats and sit in the laboratory all day tinkering with reagents and glassware. In the agriculture and breeding industries, it is common to see scientific researchers working on the front line and working themselves up like old farmers...and these scientific researchers are actually often distributed in major farms and agricultural companies.

The reason why Yang Mo knew the situation of the Fifth Farm so clearly is actually something everyone can guess... His wife in his previous life was Tang Tingting, and Tang Tingting was from the Fifth Farm. When they were in love, he went to the Fifth Farm often.

Qilu is a major agricultural province. Strictly speaking, there must be units nearby that have better conditions in all aspects than the Fifth Farm!
But Yang Mo has always believed that unfamiliar things mean risks, and one should try not to touch risky things. Besides, it is better to arrive at the right time than to arrive early. Since Diao Sigui came to his door today, he naturally didn't bother to waste time looking for new candidates for his henchmen.

………………

"This……"

Diao Sigui was immediately tempted when he heard that Yang Mo was willing to inject no less than 100 million yuan into the Fifth Farm after the cooperation was reached.

As the vice president, he knows the current situation of his own farm better than anyone else. It can be said that if the business conditions do not improve, this unit will cease to exist in three to five years at most.

and……

100 million!

Add to that the 627 million that the drilling company placed with the supply and marketing system in the form of orders, and the two together, the total would be at least 150 million!

You know, the revenue of their Fifth Farm last year was only over 1100 million. After deducting various expenses, apportionments and taxes, of the revenue of over 1100 million, only about one million remained on the farm's books, which is not even enough to pay the employees' salaries!
Damn it, I'm almost starving to death, why would I care about whether I'm a lackey or not?
150 million for a statement of leading by example...

This business doesn’t seem to be losing money!
With a plan in mind, Diao Sigui's expression became more humble. "Team Leader Yang, after all, I am just a vice president of business... How about this, you wait for me for one night, and I will call our manager to report the situation, and then convene an emergency meeting of the farm's senior management. I guarantee that I will give you an accurate answer before noon tomorrow. Is that okay with you?"

State-owned enterprises have their own set of procedures. For such a big matter, they held a meeting overnight to discuss it and promised to give him a reply before tomorrow noon. Diao Sigui's attitude says it all.

"Okay! Then I'll wait for good news!"

Seeing Diao Sigui standing up impatiently, Yang Mo enthusiastically extended his hand and shook hands with him...

(End of this chapter)