Srivastav, Abhishek; Armitage, Seth; Hagendorff, Jens - In: Journal of Banking & Finance 47 (2014) C, pp. 41-53
debt holders. In this paper, we provide insights on how CEO incentives stemming from inside debt (primarily defined benefit … CEOs with higher inside debt relative to inside equity are associated with more conservative bank payout policies …. Specifically, CEOs paid with more inside debt are more likely to cut payouts and to cut payouts by a larger amount. Reductions in …