This study examines whether financial statement comparability plays a significant role in mitigating costs of capital in the market for seasoned equity offerings (SEOs). The FASB refers to comparability as a qualitative characteristic of financial reporting that enhances the decision-usefulness...

We investigate the impact of mass layoff announcements on the equity value of industry rivals. When a layoff announcement conveys good (bad) news for the announcer, rivals on average witness a 0.44 percent increase (0.60 percent decrease) in cumulative abnormal stock returns. This effect is...

We investigate the impact of mass layoff announcements on the equity value of industry rivals. When a layoff announcement conveys good (bad) news for the announcer, rivals on average witness a 0.44 percent increase (0.60 percent decrease) in cumulative abnormal stock returns. This effect is...

Using data on layoff announcements by S&P 500 firms, we show that layoff announcements mostly contain industrywide news. Competitors' stock price reactions are positively correlated with the announcer's returns. This contagion effect is stronger for competitors whose values depend on growth...

We investigate the impact of mass layoff announcements on the equity value of industry rivals. When a layoff announcement conveys good (bad) news for the announcer, rivals on average witness a 0.44 percent increase (0.60 percent decrease) in cumulative abnormal stock returns. This effect is...

In this study, we replicate and extend Dichev and Skinner’s [DS: 2002] study on the debt covenant hypothesis (DCH). We start by replicating DS and find results consistent with theirs. We then extend their work by changing three aspects of the research design: histogram bin width, calculation...