Shareholder wealth effects of pooling-of-interests accounting: evidence from the SEC's restriction on share repurchases following pooling transactions

• 成果类型: Article
• 署名作者: Weber, JP
• 署名单位: Massachusetts Institute of Technology (MIT)
• 刊物名称: JOURNAL OF ACCOUNTING & ECONOMICS
• ISSN/ISSBN: 0165-4101
• DOI: 10.1016/j.jacceco.2003.05.001
• 发表日期: 2004
• 关键词: common-stock repurchases; MARKET; purchase; acquisition; returns

摘要

This paper examines the shareholders' perceptions of the costs and benefits associated with the use of pooling-of-interests. The paper focuses on the market's reaction to the SEC's adoption of SAB 96. This regulation-forced firms to chose between using pooling-of-interests and maintaining their share repurchase programs. Overall, the results suggest shareholders perceive there to be a net cost when managers choose to use pooling-of-interests. These findings should be of particular interest to regulators, practitioners and researchers. (C) 2003 Elsevier B.V. All rights reserved.