Accelerated Share Repurchases

Accelerated share repurchases (ASRs) are credible commitments by firms to repurchase shares immediately. Including an ASR in a repurchase program reduces the flexibility that firms have to alter an announced program in response to subsequent changes in the price and liquidity of its shares, unexpected shocks to cash flow and/or investment, etc. Thus, we investigate whether firms’ decisions to include ASRs in their repurchase programs are associated with factors expected to influence the costs of lost flexibility and the benefits of enhanced credibility and immediacy. We find robust evidence consistent with the costs of lost flexibility and the benefits of credibility and immediacy being important determinants of ASR adoption. Additionally, we find that ASR announcements are associated with positive average abnormal stock returns

Crowding-In Between Public and Private Investment in Developing Countries

The tendency for public investment to crowd-in or crowd-out private investment is the subject of controversy in economic literature. This paper studies the relationship between public and private investment in fixed capital from 1970 to 2019 in 68 developing countries across Africa, Asia, Eastern Europe and Latin America. I find evidence for a crowding-in relationship between public and private investment overall. The crowding-in effect is larger in countries with high scores for measures of good governance, including a score that measures legal framework for businesses and a score that measures corruption

Does Board Independence Reduce the Cost of Debt?

Using the passage of the Sarbanes-Oxley Act and the associated change in listing standards as a natural experiment, we find that while board independence decreases the cost of debt when credit conditions are strong or leverage low, it increases the cost of debt when credit conditions are poor or leverage high. We also document that independent directors set corporate policies that increase firm risk. These results suggest that, acting in the interest of shareholders, independent directors are increasingly costly to bondholders with the intensification of the agency conflict between these two stakeholders

THE CONTINUING VITALITY OF THE TRADITION: A CLASSICAL MUSLIM PARADIGM OF CHILDREN AND FAMILY

La sostenida reflexión sobre la naturaleza de los niños ha animado a la historia intelectual y socio-cultural en diferentes ámbitos: el Mundo Antiguo, el Occidente Europeo, Bizancio. Sin embargo, poco se ha hecho en el contexto islámico. No obstante, incluso un estudio de textos relevantes, aunque dispersos y aislados, muestra que los niños fueron para los musulmanes, una seria preocupación intelectual y moral. El trabajo de abÅ« HÄmid Muhammad al-GhazÄlÄ« (d. 505 A.H./1111 CE), brinda datos importantes a partir de los cuales reconstruir una teoría de la niñez como una etapa distintiva en las “edades de la vida”, un período que impuso deberes especiales sobre los padres. Este estudio examina y construye una teoría Ghazaliana del niño y la niñez. Su pensamiento pone en claro relieve ideales societales y normas de comportamiento que se combinaron para facilitar el objetivo social de la crianza de los jóvenes moralmente recta, educada, empática y con conciencia cívica. Mi investigación descubre, reconstruye y explica la génesis de la niñez en el Islam, investigando el pensamiento de un primer pensador con la tradición intelectual musulmana pre-moderna. Mi investigación también muestra definitivamente la continua significancia y vitalidad de los valores tradicionales socio-culturales e intelectuales islámicos que rodearon al niño y su entorno familia

The Buffering Effect of Brands for Companies Facing Legislative Homogenization: Evidence from the Introduction of Sarbanes-Oxley

Brands not only enhance the positive impact of marketing initiatives, but also buffer the firm from the full consequences of unexpected and negative market shifts. While this protective effect has been demonstrated for firm-specific events (e.g., product recalls, public relations crises), its impact has not been observed in response to market-wide environmental shifts. Our study demonstrates the buffering properties of strong brands in exactly such a context: the passing of new legislation. By examining responses to the introduction of the Sarbanes-Oxley Act of 2002, we show that (1) firms exhibit a rapid and homogeneous response as they comply and adjust strategy to a new environmental incentive/cost structure; (2) from a marketing perspective, this homogeneity in competitive responses leads to a systemic decrease in marketing efficiency; and (3) stronger brands existing prior to this environmental shift help buffer their companies from this loss in efficiency. We further show that this advantage only holds for the strongest of brands in the market

Forest Resources Digital Information System

Forestry Images, the digitized documented forest health image archive, was developed with the aim to gather, create, maintain, and distribute digital information as tools to enhance and complement information exchange and educational activities. The Forestry Images System exists under the umbrella of Bugwood Network (Bargeron, Douce, & Moorhead, 2000). The increased volume of images and its usage statistics required major changes to enhance the system access, better content management, and security. The enhanced system is standard compliant based on recommendations from the World Wide Web Consortium (W3C) and the U.S. government Section 508

Pine straw yields and economic benefits when added to traditional wood products in loblolly, longleaf and slash pine stands

Paper presented at the 12th North American Agroforesty Conference, which was held June 4-9, 2011 in Athens, Georgia.In Ashton, S. F., S.W. Workman, W.G. Hubbard and D.J. Moorhead, eds. Agroforestry: A Profitable Land Use. Proceedings, 12th North American Agroforestry Conference, Athens, GA, June 4-9, 2011.Many forest landowners have the opportunity to manage their loblolly, longleaf and slash pine stands for pine straw (fresh undecomposed needles; the litter layer) for additional revenues. Pine straw is used primarily as mulch in landscaping and has grown in revenues paid to landowners from $15.5 million in 1999 to$81 million in 2009 in Georgia. Pine straw is typically sold by the acre or by the bale. Selling pine straw by the acre is advantageous for absentee landowners. Selling pine straw by the bale can generate more annual income but bale counts need to be accurate and bale size must be clearly defined. Recent (2005-09) per acre revenues range from $50 to$125/year. Rectangular (13x13x28 inches) bale prices range from $0.25 to$0.40 for loblolly, $0.50 to$1.25 for longleaf, and $0.50 to$0.65 for slash pine in Georgia. Per rake yields from loblolly stands tend to be 15 to 30% greater (150 to 425 bales/acre) than slash (120 to 375 bales/acre) and longleaf pine (100 to 350 bales/acre). Pine straw raking starts at canopy closure continuing to the first thinning, generating from $300/acre to over$1000/acre in new income.E. David Dickens (1), David J. Moorhead (1), Charles T. Bargeron (1),and Bryan C. McElvany (2) ; 1. Warnell School of Forestry & Natural Resources. 2. College of Agriculture & Environmental Sciences, The University of Georgia, Statesboro, Tifton, and Soperton, GA.Includes bibliographical references

Do Target CEOs Sell Out Their Shareholders to Keep Their Job in a Merger?

CEOs have a potential conflict of interest when their company is acquired: they can bargain to be retained by the acquirer and for private benefits rather than for a higher premium to be paid to the shareholders. We investigate the determinants of target CEO retention by the acquirer and whether target CEO retention affects the premium paid by the acquirer. The probability that a CEO is retained increases with a private bidder, the performance of the target, and with the fraction of target shares held by insiders. Regardless of the bidder type, we find no evidence that the premium paid is lower when the CEO is retained by the acquirer. Strikingly, the target stock price increases more at the announcement of an acquisition by a private firm when the CEO is retained than when she is not. This result holds whether the private acquirer is a private equity firm or an operating company and for management buyouts.

The Timing and Source of Long-Run Returns Following Repurchases

This paper investigates the timing and source of anomalous positive long-run abnormal returns following repurchase authorizations. Returns between program authorization and completion announcements are indistinguishable from 0. Abnormal returns occur only after completion announcements. Long-run returns are largely attributable to announcement returns at subsequent authorizations and takeover attempts; that is, anomalous post-authorization returns are not persistent drifts but rather step functions. These findings have important implications for prior papers examining this most persistent and widespread anomaly. Further, our results serve to refocus the search for a rational explanation for the anomaly on subsequent repurchase announcements and takeover bids.12 month embargo; Published online: 21 April 2017This item from the UA Faculty Publications collection is made available by the University of Arizona with support from the University of Arizona Libraries. If you have questions, please contact us at [email protected]