The determinants of contract terms in bank revolving credit agreements

Journal of Financial and Quantitative Analysis

Volumn 35, Issue 1, 2000, Pages 87-110

  Dennis, Steven ^a   Nandy, Debarshi ^b   Sharpe, Ian G ^b  

^a BALL STATE UNIVERSITY   (United States)

^b UNIVERSITY OF NEW SOUTH WALES   (Australia)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 0034387349     PISSN: 00221090     EISSN: None     Source Type: Journal    
DOI: 10.2307/2676240     Document Type: Article

References (43)

1. Amemiya, T. "The Estimation of a Simultaneous Equation Tobit Model." International Economic Review, 20 (Feb. 1979), 169-181.
2. Barclay, M., and C. Smith. "The Maturity Structure of Corporate Debt." Journal of Finance, 50 (June 1995a), 609-631.
3. _. "The Priority Structure of Corporate Liabilities." Journal of Finance, 50 (July 1995b), 899-917.
4. _. "On Financial Architecture: Leverage, Maturity, and Priority." Journal of Applied Corporate Finance, 8 (Winter 1996), 4-17.
5. Berger, A., and G. Udell. "Collateral, Loan Quality and Bank Risk." Journal of Monetary Economics, 25 (Jan. 1990), 21-42.
6. _. "Relationship Lending and Lines of Credit in Small Firm Finance." Journal of Business, 68 (July 1995), 351-381.
7. Berkovitch, E., and S. J. Greenbaum. "The Loan Commitment as an Optimal Financing Contract." Journal of Financial and Quantitative Analysis, 26 (March 1991), 83-95.
8. Berkovitch, E., and E. H. Kim. "Financial Contracting and Leverage Induced Over-and Under-Investment Incentives." Journal of Finance, 45 (July 1990), 765-794.
9. Blackwell, D., and D. Winters. "Banking Relationships and the Effect of Monitoring on Loan Pricing." Unpubl. Paper, Goizueta Business School, Emory Univ. (March 1996).
10. Boot, A., and A. Thakor. "Moral Hazard and Secured Lending in an Infinitely Repeated Credit Market Game." International Economic Review, 35 (Nov. 1994), 899-920.
11. Brick, I., and A. Ravid. "On the Relevance of Debt Maturity Structure." Journal of Finance, 40 (Dec. 1985), 1423-1437.
12. Chan, Y., and G. Kanatas. "Asymmetric Valuations and the Role of Collateral in Loan Agreements." Journal of Money, Credit, Banking, 17 (Feb. 1985), 84-95.
13. Chan, Y., and A. Thakor. "Collateral and Competitive Equilibria with Moral Hazard and Private Information." Journal of Finance, 42 (June 1987), 345-363.
14. Diamond, D. "Reputation Acquisition in Debt Markets." Journal of Political Economy, 97 (Aug. 1989), 828-862.
15. _. "Monitoring and Reputation: The Choice between Bank Loans and Directly Placed Debt." Journal of Political Economy, 99 (Aug. 1991a), 689-721.
16. _. "Debt Maturity Structure and Liquidity Risk." Quarterly Journal of Economics, 106 (Aug. 1991b), 709-737.
17. _. "Seniority and the Maturity of Debt Contracts." Journal of Financial Economics, 53 (June 1993), 341-368.
18. Flannery, M. "Asymmetric Information and Risky Debt Maturity Choice." Journal of Finance, 41 (March 1986), 18-38.
19. Greene, W. H. Econometric Analysis, 2nd Ed. New York, NY: Macmillan (1993).
20. Greenbaum, S.; G. Kanatas; and I. Venezia. "Equilibrium Loan Pricing under the Bank-Client Relationship." Journal of Banking and Finance, 13 (May 1989), 221-235.
21. Guedes, J., and T. Opler. "The Determinants of the Maturity of New Corporate Debt Issues." Journal of Finance, 51 (Dec. 1996), 1809-1833.
22. Harris, M., and A. Raviv. "The Theory of Capital Structure." Journal of Finance, 46 (March 1991), 297-355.
23. Houston, J., and C. James. "Bank Information Monopolies and the Mix of Public and Private Debt Claims." Journal of Finance, 51 (Dec. 1996), 1863-1889.
24. Johnson, S. A. "An Empirical Analysis of the Determinants of Corporate Debt Ownership Structure." Journal of Financial and Quantitative Analysis, 32 (March 1997), 47-69.
25. Kale, J., and T. Noe. "Risky Debt Maturity Choice in a Sequential Game Equilibrium." Journal of Financial Research, 13 (Summer 1990), 155-166.
26. Kane, A.; A. Marcus; and R. McDonald. "Debt Policy and the Rate of Return Premium to Leverage." Journal of Financial and Quantitative Analysis, 20 (Dec. 1985), 479-499.
27. Leeth, J., and J. Scott. "The Incidence of Secured Debt: Evidence from the Small Business Community." Journal of Financial and Quantitative Analysis, 24 (Sept. 1989), 379-394.
28. Loan Pricing Corporation. Dealscan 5.3 User's Manual. New York, NY: Loan Pricing Corporation (1994).
29. Mauer, D., and W. Lewellen. "Debt Management under Corporate and Personal Taxation." Journal of Finance, 42 (Dec. 1987), 1275-1291.
30. Melnik, A., and S. Plaut. "Loan Commitment Contracts, Terms of Lending, and Credit Allocation." Journal of Finance, 41 (June 1986), 425-435.
31. Merton, R. C. "On the Pricing of Corporate Debt: The Risk Structure of Interest Rates." Journal of Finance, 29 (May 1974), 449-470.
32. Myers, S. "Determinants of Corporate Borrowing." Journal of Financial Economics, 5 (Nov. 1977), 147-149.
33. Nelson, F., and L. Olson. "Specification and Estimation of a Simultaneous-Equation Model with Limited Dependent Variables." International Economic Review, 19 (Oct. 1978), 695-709.
34. Peterson, M., and R. Rajan. "The Benefits of Lending Relationships: Evidence from Small Business Data." Journal of Finance, 49 (March 1994), 3-37.
35. Rajan, R. "Insiders and Outsiders: The Choice between Informed and Arm's-length Debt." Journal of Finance, 47 (Sept. 1992), 1367-1406.
36. Rajan, R., and A. Winton. "Covenants and Collateral as Incentives to Monitor." Journal of Finance, 50 (Sept. 1995), 1113-1146.
37. Saunders, A. "Credit Spreads in the Market for Highly Leveraged Transactions Loans." Working Paper, New York Univ. (1996).
38. Sharpe, S. "Asymmetric Information, Bank Lending, and Implicit Contracts: A Stylized Model of Customer Relationships." Journal of Finance, 45 (Sept. 1990), 1069-1087.
39. Shockley, R. L., and A. V. Thakor. "Bank Loan Commitment Contracts: Data, Theory and Tests." Journal of Money, Credit and Banking, 29 (Nov. 1997), 517-534.
40. Smith, C., and J. Warner. "On Financial Contracting: An Analysis of Bond Covenants." Journal of Financial Economics, 7 (1979), 117-161.
41. Smith, C., and R. Watts. "The Investment Opportunity Set and Corporate Financing, Dividend, and Compensation Policies." Journal of Financial Economics, 32 (Dec. 1992), 263-292.
42. Stohs, M. H., and D. C. Mauer. "The Determinants of Corporate Debt Maturity Structure." Journal of Business, 69 (July 1996), 279-312.
43. Stulz, R., and H. Johnson. "An Analysis of Secured Debt." Journal of Financial and Quantitative Analysis, 14 ( Dec. 1985), 501-521.