This article analyses the effect of rating agencies' decisions on stock risks for European issuers concerning five kinds of events. Our approach is an extension of dummy variable regression event study methodology, using a GARCH(1,1) estimation to capture simultaneously the impact on both...

[fre] Une étude économétrique multiple linéaire a été menée afin de mettre en évidence et d'analyser les caractéristiques de la relation entre la prime de risque exigée par le marché à l'émission et la notation des titres obligataires en France sur la période 1987-1993. Ces...

This study has two purposes: Copyright 2006 The Authors Journal compilation 2006 Banca Monte dei Paschi di Siena SpA

We examine the role of reputation when firms use dividends to signal their profitability. We analyze a signaling model in which reputation plays no role in equilibrium. We then show that taking reputation into account as a link between sequential dividend decisions makes it possible to...

This paper is the first to investigate rescheduling of distressed corporate debt when both the representative shareholder and the creditor face reservation prices. Parties expect from rescheduling both recovery and growth, but reservation prices are key dimensions to consider in the analysis in...