Canadian Bank Stock Reaction to the Citicorp Loan Loss Announcement of May, 1987

Managerial Finance - Tập 20 Số 4 - Trang 38-46 - 1994
Woodrow W.Cushing1
1University of West Florida, 11000 University Parkway, Pensacola, Florida 32514

Tóm tắt

This study examines the price behavior of a sample of Canadian bank stocks surrounding the announcement by Citicorp of a large increase in their provision for loan losses induced by their exposure to debt of lesser developed countries in general and their exposure to Brazilian debt in particular. Both the US and Canadian reactions were positive but the magnitude of the Canadian abnormal returns was higher than the US. Both responses differ from the UK negative reaction. The UK response is attributed to a substantive difference in tax policy.

Từ khóa


Tài liệu tham khảo

10.1016/0304-405X(80)90002-1

10.2307/1992244

10.1016/0378-4266(86)90020-8

Fama Eugene, 1976, Foundations of Finance (New York: Basic Books)

10.1111/j.1540-6261.1986.tb04521.x

10.1016/0378-4266(91)90093-2

10.1016/0378-4266(91)90043-L

Musumeci James J, 1990, Journal of Money, Credit, and Banking22

Sandler Linda, 1982, Institutional Investor, 139

Thompson Thomas W, 1982, Va.: Robert F. Dame

Thông tin
Thông tin xuất bản

Managerial Finance

Tập 20 Số 4

38-46

Thông tin tác giả