The pervasiveness of option backdating practices has resulted in broad regulatory scrutiny, formal investigations by federal authorities and internal inquiries by more than 200 implicated companies. Prior studies (Yermack 1997; Aboody and Kasznik 2000; Lie 2005; Heron and Lie 2006) find a pattern of timing...

When annual earnings are regressed on annual returns, the returns coefficient is higher when returns are negative. The difference between the coefficients of earnings on positive and negative returns is called asymmetric timeliness of earnings and, in the accounting literature, is used...

The goal of this study is to compare and contrast the market performance of Brazilian companies that have implemented a full scale EVA financial management system under Stern Stewart amp; Co. guidance with that of the broad national stock market index, the Ibovespa index and also a comparison...

This paper investigates the role of earnings per share management in the decision to repurchase shares. We identify the conditions under which repurchases increase EPS and document the frequency of EPS increasing and EPS decreasing repurchases among U.S. firms from 1988 to 2001. We then compare...

In this paper we offer explanations for why firms began voluntarily adopting the expensing provisions of FAS 123 in the second half of 2002. First, we find that firms with greater publicity exposure are more likely to voluntarily expense stock options, controlling for other factors such as the...

This study examines the widespread belief that executive pay should reflect firm performance. We compile a hand-collected data set of compensation paid to executive directors of Dutch listed companies and analyze if executive compensation is indeed determined by firm performance. A variety of...

Keynote Address to the European Financial Management Association, London, June 2002This paper received the European Financial Management Readers' Choice Best Paper Award for 2004My intention today is to provide a way to understand some of what's currently happening in the world of finance and...

I present a novel dataset of over 4,000 firm-level repricings of executives and employees' stock options over the period 1987-2002. For a sub-sample of 587 repricings characterized by a homogeneous institutional environment, I investigate determinants and consequences of the structure of the...

This paper examines the price reaction around the announcements of CEO option grants in Australia. Our aim is to explore if there is a price reaction and if so, is the reaction consistent with the argument that options grants align the interests of managers and shareholders and motivate managers...

The empirical research examining the association between typical measures of corporate governance and various accounting and economic outcomes has not produced a consistent set of results. We believe that these mixed results are partially attributable to the difficulty in generating reliable and...