Powerful CEOs and their legacy: Evidence from credit risk around CEO turnovers

被引：1
作者：
Braga-Alves, Marcus, V [1 ]
Ismailescu, Iuliana [1 ]
Sen, Kaustav [1 ]
机构：
[1] Pace Univ, Lubin Sch Business, One Pace Plaza, New York, NY 10038 USA
来源：
QUARTERLY REVIEW OF ECONOMICS AND FINANCE | 2022年 / 84卷
关键词：
Credit default swaps; Credit risk; CEO turnover; CEO legacy; Powerful CEO; DETERMINANTS; SUCCESSION; EARNINGS; MANAGERS; SPREADS; IMPACT; MODEL;
D O I：
10.1016/j.qref.2020.10.008
中图分类号：
F [经济];
学科分类号：
02 ;
摘要：
In this study, we examine how changes in credit risk around CEO turnover announcements are affected by the nature of the succession (forced vs. voluntary), outgoing CEO's legacy, and concentration of job titles. We find that firms whose incumbent is forced out experience a greater increase in credit default swap (CDS) spreads than firms with voluntary departures, especially when the influence of the outgoing CEO lingers or the CEO is powerful. These results provide new insights into sources of uncertainty around CEO turnovers and extend the literature on the determinants of CDS spreads around this corporate event. (C) 2020 Board of Trustees of the University of Illinois. Published by Elsevier Inc. All rights reserved.
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收藏
页码：345 / 358
页数：14
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