I investigate the determinants of whether a fixed-price callable corporate bond is callable at par or at a premium. I first show that something as simple as the time-series ratio of par to premium-callable bonds is highly dependent on whether one is using SDC, FISD or Bloomberg as a data source....

Haiti, once the largest eighteenth-century economy in the Caribbean under French colonial rule, is now the poorest nation in the Western hemisphere and one of the poorest in the world. A broken financial system is partially to blame. We provide an in-depth examination of the state of financial...

We analyze a large sample of recent US corporate bond tender offers to understand what affects tender premiums as well as the percentage of bonds tendered. For the average (median) tender offer, the tender price is 4.75 (3.40) percent greater than the pre-tender market price while the percentage...

We use a structural model to examine whether make-whole call provisions - a recent yet surprisingly common innovation in corporate debt markets - are fairly priced at origination. The call provision cost is calculated as the callable bond yield minus the equivalent non-callable bond yield,...

I analyze a sample of 187 spinoffs, 204 selloffs and 181 carveouts that occurred between 1981 and 1998. Using pre-divestiture operating data for the divested division and parent, I quantify the determinants of the chosen divestiture method. Univariate and multivariate logistic regression results...

We analyze a new form of call provision known as a quot;make-wholequot; call which utilizes a floating call price based on the level of current interest rates. As rates drop (rise), the call price increases (decreases). Typically, a floor at par value prevents the call price from dropping below...

I analyze 181 equity carve-outs to determine whether the transactions are motivated by potential efficiency improvements or by an opportunity to sell overvalued equity. Carve-out operating performance peaks at issue, declining significantly thereafter. Parents sell a greater percentage of shares...

The Spanish language creates a communication barrier with English speaking United States. Insular (Puerto Rican) politicians have resisted reform of Spanish (Peninsular) ancient regime business laws and associated colonial economic institutions. Colonial Spanish commercial civil code has allowed...