tranches inflicted severe losses on banks, calling into question the credibility of Rating Agencies. I discuss the limits of …

tranches inflicted severe losses on banks, calling into question the credibility of Rating Agencies. I discuss the limits of …

The literature on debt restructuring usually assumes that banks behave in a uniform way towards firms in distress …. Using a recent survey of Italian banks, we show that banks follow different strategies when they decide whether to take part … in distress, while others do not. We explain this heterogeneity by considering the role of banks' internal organization …

firms across banks and can be attributed to the existence of switching costs. We also offer evidence that banks price …

capitalization and scarce liquidity. The ability of borrowers to compensate through substitution across banks appears to have been … limited. We also document that larger less-capitalized banks reallocated loans away from riskier firms, contributing to credit … pro-cyclicality. Such ‘flight to quality' has not occurred for smaller less-capitalized banks. We argue that this may have …

Brothers demise to help banks retain access to wholesale funding. We describe the evolution and the pattern of bond issuance … new market, namely the significant “tiering” of the spreads paid by banks at issuance, finding that they mainly reflect …