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Bankruptcy As A Corporate Strategy : Implications For Turnover In The Top Management Team And Board Of Directors, Cynthia Lane Krom
Bankruptcy As A Corporate Strategy : Implications For Turnover In The Top Management Team And Board Of Directors, Cynthia Lane Krom
Legacy Theses & Dissertations (2009 - 2024)
This paper examines Chapter 11 bankruptcy as a corporate strategy, segregating filings for corporate reorganization in the U.S. from 1998 through 2007 into those due to financial distress (FDB) and those believed to be for risk-management purposes (RMB). Twenty-seven RMB and 199 FDB firms were compared to each other, and to 226 matched non-bankrupt firms. Altman's Z-score clearly differed between the RMB and FDB firms, suggesting that the two are separate constructs financially as well as legally. A subset of 81 firms (the 27 RMB matched to 27 non-bankrupt and 27 FDB) were studied for turnover among the members of …