摘要:

AbstractThis paper examines shareholder wealth responses to bankruptcy filing announcements between 1974 and 1989 to draw inferences about the impact of the adoption of the Bankruptcy Reform Act of 1978. The authors find that post‐Reform Act announcements are associated with more negative pre‐filing and announcement period returns to shareholders. Unlike prior research, this study finds that large firms and NYSE‐listed firms experience more negative returns. It also finds that the market can discriminate between firms that are ultimately worthless and those that may retain some value for shareho

ISSN:0732-8516    

DOI:10.1111/j.1540-6288.1995.tb00822.x

出版商:Blackwell Publishing Ltd    

年代:1995

数据来源: WILEY

摘要:

AbstractEmpirical studies of the announcement effects of equity offerings have generally defined the event date as the earlier of the SEC registration date or the first mention in theWall Street Journal (WSJ), the implicit assumption being that the two types of announcements are equally informative. This study examines whether the source of the event announcement might influence a study's results and whether subsequent announcements from other sources elicit a market reaction. Specifically, this paper investigates whether Dow Jones News Wire (DJNW) announcements that differ in timing from either of these information events elicit a market response and, more important, whether impacts from the DJNW announcements alter the validity of the widely used methodology. The results of the paper indicate that, for issues that are not mentioned in theWSJ Index, there is a negative and significant return on the registration date. However, no matter whether the registration occurs before or after its mention on the DJNW, the share price reaction is greater from mention on the DJNW than at registration. This finding leads to the conclusion that the DJNW should be used as the event date and that press coverage

ISSN:0732-8516    

DOI:10.1111/j.1540-6288.1995.tb00823.x

出版商:Blackwell Publishing Ltd    

年代:1995

数据来源: WILEY

摘要:

AbstractThis paper examines the investor reaction to the use of corporate selloffs as antitakeover devices. The results show that firms subject to takeover speculations prior to the divestiture announcement experience insignificant changes in share prices while firms that have no takeover bid report significant wealth increases. The majority of the firms that undergo defensive divestitures remain independent one year after the selloffs. These findings are consistent with the authors' proposition that investors regard divestitures following rumors of takeover attempt as antitakeover strategies. On the other hand, investors perceive selloffs in a takeover‐free environment as a positive net present value decisio

ISSN:0732-8516    

DOI:10.1111/j.1540-6288.1995.tb00824.x

出版商:Blackwell Publishing Ltd    

年代:1995

数据来源: WILEY

摘要:

AbstractThis paper examines the savings and loan (S&L) equity market reaction to the 1985 Ohio S&L Crisis. In contrast to the expectation of negative abnormal returns associated with contagion, the authors find, during the crisis period, significant positive abnormal returns that are larger for a portfolio of less solvent S&Ls, and a significant decline in systematic risk. The results are consistent with an insurance subsidy hypothesis whereby news of the FSLIC's inadequacy in conjunction with the crisis signaled greater future reluctance by regulators to close large federally‐insured S&L

ISSN:0732-8516    

DOI:10.1111/j.1540-6288.1995.tb00825.x

出版商:Blackwell Publishing Ltd    

年代:1995

数据来源: WILEY

摘要:

AbstractInvestors appear to respond to both an investment‐opportunity signal and a valuation signal when an equity offering is announced or canceled. While prices fall in response to equity offers and rise when offers are withdrawn, the price changes are greater for offers used to reduce debt than for offers used for capital expenditures. Consistent with asymmetry theory, offerings and withdrawals of convertible debt and utility stock cause less price change when compared to industrial stock offers. Finally, the reaction to cancellations made because of market conditions, indicating undervaluation, are similar to the reaction to cancellations made for other reason

ISSN:0732-8516    

DOI:10.1111/j.1540-6288.1995.tb00826.x

出版商:Blackwell Publishing Ltd    

年代:1995

数据来源: WILEY

摘要:

AbstractThis paper attempts to identify some of the factors that help explain the losses experienced by S&Ls during the 1980s. Texas institutions are the focus of this study because they account for over half of the total failure costs incurred for the entire industry during the 1980s. Differences in risk‐taking behavior by S&Ls according to both charter type and ownership type are examined. The empirical results suggest that deregulation was not the fundamental cause of the industry losses. Instead, the results indicate that the basic behavioral determinants are ownership structure and owner‐contributed equity capi

ISSN:0732-8516    

DOI:10.1111/j.1540-6288.1995.tb00827.x

出版商:Blackwell Publishing Ltd    

年代:1995

数据来源: WILEY

摘要:

AbstractAn important concern for empirical analysis of market responses to public releases of information is whether the voluntary nature of announcement and publication decisions imparts a selectivity bias and, if so, how this bias affects empirical results. Using a database of SEC filings of equity issues, all relatedWall Street Journalpublished announcements are identified. The published announcements are used to classify proposed issues into subsamples with homogeneous information structures. Announcement andWSJpublication decisions are found to be non‐random but, for industrial firms, not significantly related to firm size or exchange listing. Coefficients estimated without controlling for selectivity are found not to be significantly biased for either industrial or utility issues. However, for industrial issues, significance levels are considerably lower when selectivity bias is controlled. The hypothesis common to other studies of new issue announcement effects that observations from different information structures can be pooled, with coefficient estimates restricted to be equal across information structures, is rejected. The results have implications for the methods used to study cross‐sectional market respo

ISSN:0732-8516    

DOI:10.1111/j.1540-6288.1995.tb00828.x

出版商:Blackwell Publishing Ltd    

年代:1995

数据来源: WILEY

摘要:

AbstractUsing U.S. Treasury bill and Eurodollar futures to proxy for domestic and external interest rates, respectively, this study examines ex ante interest rate transmission across markets for the period 1982‐1991. The results indicate that these interest rates are cointegrated and that they Granger‐cause each other, implying that both domestic and offshore interest rates move together and that both markets are integrated. Interest rate transmission is found to be more rapid in recent years, a result supporting the idea that the international financial markets are becoming more integra

ISSN:0732-8516    

DOI:10.1111/j.1540-6288.1995.tb00829.x

出版商:Blackwell Publishing Ltd    

年代:1995

数据来源: WILEY