Financial Management articles from September 1997

Financial Management archives from September 1997

The board of directors and dual-class recapitalizations.
September 22, 1997... This paper examines stock price reactions to announcements of dual-class recapitalizations as they relate to characteristics of the board of directors. Our results show that certain board characteristics provide insight into directors'...

The role of outside directors in bank acquisitions.
September 22, 1997... We examine the relation among the stock returns of successful bidders in bank acquisitions, the composition of the boards of directors, and directors' stock ownership. We find that abnormal returns are negatively related to the proportion of...

Evidence of selling by managers after seasoned equity offering announcements.
September 22, 1997... We examine insider trading following the announcement of a seasoned equity offering (SEO). Karpoff and Lee (1991) find significant insider selling prior to such announcements, which they interpret as consistent with the joint hypothesis that...

Layoff announcements: stock market impact and financial performance.
September 22, 1997... A layoff decision can be associated with either an increase or a decrease in firm value. Layoff decisions induced by adverse market conditions, such as demand declines or input price increases, should be associated with declines in sales and...

Treasury management: job responsibilities, curricular development, and research opportunities.
September 22, 1997... Financially speaking, what do publicly held corporations, privately held businesses, non-profit organizations, state and municipal governments, and colleges/universities all have in common? The answer may be a surprise. It isn't capital budgeting...

Market response to product-strategy and capital-expenditure announcements in Singapore: investment opportunities and free cash flow.
September 22, 1997... Recent research shows that the market's valuation of R&D investments can be explained by a firm's investment opportunities, as proxied by Tobin's q, but not the firm's free cash flow, as predicted by Jensen (1986).(1) The role of these variables...

A comparison of the market reaction to specially designated dividends and tender offer stock repurchases.
September 22, 1997... Miller and Modigliani's (1961) premise - that valuation depends only upon the productivity of the firm's assets and not the form of payout - is an issue that continues to draw attention in the literature (e.g., Brennan and Thakor, 1990). Much of...