The Impact of Unrealized Fair Value Adjustments on Dividend Policy

References

• Anderson, R. C., & Reeb, D. M. (2003). Founding-family ownership and firm performance: Evidence from the S&P 500. Journal of Finance, 58(3), 1301–1328. doi: 10.1111/1540-6261.00567
   Web of Science ®Google Scholar
• Athens Stock Exchange. (2001). The 125 years of the Athens stock exchange. Athens: ASE Edition.
   Google Scholar
• Ball, R. (2006). International financial reporting standards (IFRS): Pros and cons for investors. Accounting and Business Research, 36(special issue), 5–27. doi: 10.1080/00014788.2006.9730040
   Google Scholar
• Ballas, A. (1994). Accounting in Greece. European Accounting Review, 3(1), 107–121. doi: 10.1080/09638189400000005
   Google Scholar
• Barth, M. E. (2007). Standard-setting measurement issues and the relevance of research. Accounting and Business Research, 37(1), 7–15. doi: 10.1080/00014788.2007.9730079
   Google Scholar
• Barth, M. E., Beaver, W. H., & Landsman, W. R. (1996). Value-relevance of banks’ fair value disclosures under SFAS No. 107. The Accounting Review, 71(4), 513–537.
   Web of Science ®Google Scholar
• Barth, M. E., Beaver, W. H., & Landsman, W. R. (2001). The relevance of the value relevance literature for financial accounting standard setting: Another view. Journal of Accounting and Economics, 31(1–3), 77–104. doi: 10.1016/S0165-4101(01)00019-2
   Web of Science ®Google Scholar
• Ben-David, I., Graham, J. R., & Harvey, C. R. (2007). Managerial overconfidence and corporate policies (Working Paper). National Bureau of Economic Research.
   Google Scholar
• Brav, A., Graham, J. R., Harvey, C. R., & Michaely, R. (2005). Payout policy in the 21st century. Journal of Financial Economics, 77(3), 483–527. doi: 10.1016/j.jfineco.2004.07.004
   Web of Science ®Google Scholar
• Campbell, T. C., Galleyer, M., Johnson, S. A., Rutherford, J., & Stanley, B. W. (2011). CEO optimism and forced turnover. Journal of Financial Economics, 101(3), 695–712. doi: 10.1016/j.jfineco.2011.03.004
   Web of Science ®Google Scholar
• Caramanis, C., Dedoulis, E., & Leventis, S. (2010, May). The establishment of EU-inspired ‘independent’ oversight boards: Local constraints and the elusive feat of Europeanization in Greece. Paper presented at the 33rd Annual Congress of the European Accounting Association, Istanbul, Turkey.
   Google Scholar
• Caramanis, C., Dedoulis, E., & Leventis, S. (2015). Transplanting Anglo-American accounting oversight boards to a diverse institutional context. Accounting, Organizations and Society, 42, 12–31. doi: 10.1016/j.aos.2015.01.001
   Web of Science ®Google Scholar
• Chambers, D., Linsmeier, T. J., Shakespeare, C., & Sougiannis, T. (2007). An evaluation of SFAS No. 130 comprehensive income disclosures. Review of Accounting Studies, 12(4), 557–593. doi: 10.1007/s11142-007-9043-2
   Web of Science ®Google Scholar
• Christensen, H. B., Lee, E., & Walker, M. (2009). Do IFRS reconciliations convey information? The effect of debt contracting. Journal of Accounting Research, 47(5), 1167–1199. doi: 10.1111/j.1475-679X.2009.00345.x
   Web of Science ®Google Scholar
• Christensen, H. B., & Nikolaev, V. (2013). Does fair value accounting for non-financial assets pass the market test? Review of Accounting Studies, 18(3), 734–775. doi: 10.1007/s11142-013-9232-0
   Web of Science ®Google Scholar
• Citron, D. B. (1992). Accounting measurement rules in UK bank loan contracts. Accounting and Business Research, 23(89), 21–30. doi: 10.1080/00014788.1992.9729857
   Google Scholar
• Correia da Silva, L., Marc, G., & Renneboog, L. (2004). Dividend policy and corporate governance. Oxford: Oxford University Press.
   Google Scholar
• Danbolt, J., & Rees, W. (2008). An experiment in fair value accounting: UK investment vehicles. European Accounting Review, 17(2), 271–303. doi: 10.1080/09638180701819865
   Web of Science ®Google Scholar
• Dasilas, A. (2009). Analysis of the dividend policy of the ASE firms: Dividend and ex-dividend announcements (Doctoral dissertation). University of Macedonia, Thessaloniki, Greece.
   Google Scholar
• Dasilas, A., & Leventis, S. (2011). Stock market reaction to dividend announcement: Evidence from the Greek stock market. International Review of Economics and Finance, 20(2), 302–311. doi: 10.1016/j.iref.2010.06.003
   Web of Science ®Google Scholar
• Dasilas, A., & Leventis, S. (2013). Corporate governance, dividend status, ownership structure and the performance of Greek seasoned equity offerings. International Journal of the Economics of Business, 20(3), 387–419. doi: 10.1080/13571516.2013.783527
   Google Scholar
• Day, J. F. S., & Taylor, P. J. (1996). Loan contracting by UK corporate borrowers. Journal of International Banking Law, 11(8), 318–325.
   Google Scholar
• DeAngelo, H., & DeAngelo, L. (1990). Dividend policy and financial distress: An empirical investigation of troubled NYSE firms. Journal of Finance, 45(5), 1415–1431. doi: 10.1111/j.1540-6261.1990.tb03721.x
   Web of Science ®Google Scholar
• DeAngelo, H., DeAngelo, L., & Skinner, D. J. (1992). Dividends and losses. Journal of Finance, 47(5), 1837–1863. doi: 10.1111/j.1540-6261.1992.tb04685.x
   Web of Science ®Google Scholar
• DeAngelo, H., DeAngelo, L., & Skinner, D. J. (2004). Are dividends disappearing? Dividend concentration and the consolidation of earnings. Journal of Financial Economics, 72(3), 425–456. doi: 10.1016/S0304-405X(03)00186-7
   Web of Science ®Google Scholar
• DeBondt, W. F., & Thaler, R. (1995). Financial decision-making in markets and firms: A behavioral perspective. Handbooks in OR & MS, 9, 385–410.
   Google Scholar
• Deshmukh, S., Goel, A. M., & Howe, K. M. (2013). CEO overconfidence and dividend policy. Journal of Financial Intermediation, 22(3), 440–463. doi: 10.1016/j.jfi.2013.02.003
   Web of Science ®Google Scholar
• Dichev, I. D., & Skinner, D. J. (2002). Large-sample evidence on the debt covenant hypothesis. Journal of Accounting Research, 40(4), 1091–1123. doi: 10.1111/1475-679X.00083
   Web of Science ®Google Scholar
• Enria, A., Cappiello, L., Dierick, F., Grittini, S., Haralambous, A., Maddaloni, A., … Poloni, P. (2004). Fair value accounting and financial stability (European Central Bank occasional paper series, 13). Frankfurt: European Central Bank.
   Google Scholar
• Faccio, M., Lang, L., & Young, L. (2001). Dividends and expropriation. American Economic Review, 91(1), 54–78. doi: 10.1257/aer.91.1.54
   Web of Science ®Google Scholar
• Fama, E. F., & Babiak, H. (1968). Dividend policy: An empirical analysis. Journal of the American Statistical Association, 63(324), 1132–1161. doi: 10.1080/01621459.1968.10480917
   Web of Science ®Google Scholar
• Farinha, J. (2003). Dividend policy, corporate governance and the managerial entrenchment hypothesis: An empirical analysis. Journal of Business Finance and Accounting, 30(9–10), 1173–1209. doi: 10.1111/j.0306-686X.2003.05624.x
   Google Scholar
• Farinha, J., & Lopez-de-Foronda, O. (2009). The relation between dividends and insider ownership in different legal systems: International evidence. The European Journal of Finance, 15(2), 169–189. doi: 10.1080/13518470802588718
   Web of Science ®Google Scholar
• Gelman, A., & Stern, H. (2006). The difference between “significant” and “not significant” is not itself statistically significant. The American Statistician, 60(4), 328–331. doi: 10.1198/000313006X152649
   Web of Science ®Google Scholar
• Geltner, D., & Mei, J. (1995). The present value model with time-varying discount rates: Implications for commercial property valuation and investment decisions. The Journal of Real Estate Finance and Economics, 11(2), 119–135. doi: 10.1007/BF01098657
   Web of Science ®Google Scholar
• Goergen, M., Renneboog, L., & Correia da Silva, L. (2005). When do German firms change their dividends? Journal of Corporate Finance, 11(1–2), 375–399. doi: 10.1016/j.jcorpfin.2003.09.001
   Web of Science ®Google Scholar
• Goncharov, I., & van Triest, S. (2011). Do fair value adjustments influence dividend policy? Accounting and Business Research, 41(1), 51–68. doi: 10.1080/00014788.2011.549637
   Web of Science ®Google Scholar
• Goncharov, I., & van Triest, S. (2014). Unintended consequences of changing accounting standards: The case of fair value accounting and mandatory dividends. Abacus, 50(3), 341–367. doi: 10.1111/abac.12033
   Web of Science ®Google Scholar
• Guay, W., & Harford, J. (2000). The cash-flow permanence and information content of dividend increases versus repurchases. Journal of Financial Economics, 57(3), 385–415. doi: 10.1016/S0304-405X(00)00062-3
   Web of Science ®Google Scholar
• Gugler, K., & Yurtoglu, B. B. (2003). Corporate governance and dividend pay-out policy in Germany. European Economic Review, 47(4), 731–758. doi: 10.1016/S0014-2921(02)00291-X
   Web of Science ®Google Scholar
• Hail, L., Leuz, C., & Wysocki, P. D. (2010). Global accounting convergence and the potential adoption of IFRS by the U.S. (Part II): Political factors and future scenarios for U.S. accounting standards. Accounting Horizons, 24(4), 567–588. doi: 10.2308/acch.2010.24.4.567
   Web of Science ®Google Scholar
• Hail, L., Tahoun, A., & Wang, C. (2014). Dividend payouts and information shocks. Journal of Accounting Research, 52(2), 403–456. doi: 10.1111/1475-679X.12040
   Web of Science ®Google Scholar
• Hann, R. N., Heflin, F., & Subramanyam, K. R. (2007). Fair-value pension accounting. Journal of Accounting and Economics, 44(3), 328–358. doi: 10.1016/j.jacceco.2007.04.001
   Web of Science ®Google Scholar
• Hatherly, D. (2013). The failure and the future of accounting: Strategy, stakeholders, and business value. Farnham, Surrey: Gower.
   Google Scholar
• Hellenic Commission of Auditing and Accounting Regulation. (2006). Guidelines regarding earnings distribution for business units which prepare annual financial statements according to IFRS (document 110/27.02.06). Athens: ΕΛΤΕ.
   Google Scholar
• Hitz, J. M. (2007). The decision usefulness of fair value accounting—a theoretical perspective. European Accounting Review, 16(2), 323–362. doi: 10.1080/09638180701390974
   Web of Science ®Google Scholar
• Hodder, L., Hopkins, P., & Schipper, K. (2014). Fair value measurement in financial reporting. Foundations and Trends in Accounting, 8(3–4), 143–270.
   Google Scholar
• Hribar, P., & Collins, D. W. (2000). Earnings-based and accrual-based market anomalies: One effect or two? Journal of Accounting and Economics, 29(1), 101–123. doi: 10.1016/S0165-4101(00)00015-X
   Web of Science ®Google Scholar
• Hung, M., & Subramanyam, K. R. (2007). Financial statement effects of adopting international accounting standards: The case of Germany. Review of Accounting Studies, 12(4), 623–657. doi: 10.1007/s11142-007-9049-9
   Web of Science ®Google Scholar
• Jagannathan, M., Stephens, C. P., & Weisbach, M. S. (2000). Financial flexibility and the choice between dividends and stock repurchases. Journal of Financial Economics, 57(3), 355–384. doi: 10.1016/S0304-405X(00)00061-1
   Web of Science ®Google Scholar
• Jensen, M. (1993). The modern industrial revolution, exit, and the failure of internal control systems. Journal of Finance, 48(3), 831–880. doi: 10.1111/j.1540-6261.1993.tb04022.x
   Web of Science ®Google Scholar
• Jensen, M., & Meckling, W. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305–360. doi: 10.1016/0304-405X(76)90026-X
   Web of Science ®Google Scholar
• Kasanen, E., Kinnunen, J., & Niskanen, J. (1996). Dividend-based earnings management: Empirical evidence from Finland. Journal of Accounting and Economics, 22(1–3), 283–312. doi: 10.1016/S0165-4101(96)00435-1
   Web of Science ®Google Scholar
• Kormendi, R., & Zarowin, P. (1996). Dividend policy and permanence of earnings. Review of Accounting Studies, 1(2), 141–160. doi: 10.1007/BF02918229
   Google Scholar
• KPMG. (2008, January). Feasibility study on alternative to capital maintenance regime established by the Second Company Law Directive 77/91/EEC of 13 December 1976 and an examination of the impact on profit distribution of the new EU accounting regime. Retrieved from the EU single market website: http://ec.europa.eu/internal_market/company/capital/index_en.htm
   Google Scholar
• Landsman, W. R., Peasnell, K. V., & Shakespeare, C. (2008). Are asset securitizations sales or loans? The Accounting Review, 83(5), 1251–1272. doi: 10.2308/accr.2008.83.5.1251
   Web of Science ®Google Scholar
• La Porta, R., López De Silanes, F., & Shleifer, A. (1999). Corporate ownership around the world. Journal of Finance, 54(2), 471–517. doi: 10.1111/0022-1082.00115
   Web of Science ®Google Scholar
• La Porta, R., López De Silanes, F., Shleifer, A., & Vishny, R. (2000). Agency problems and dividends policy around the world. Journal of Finance, 55(1), 1–33. doi: 10.1111/0022-1082.00199
   Web of Science ®Google Scholar
• Laux, C., & Leuz, C. (2009). The crisis of fair-value accounting: Making sense of the recent debate. Accounting, Organizations and Society, 34(6–7), 826–834. doi: 10.1016/j.aos.2009.04.003
   Web of Science ®Google Scholar
• Lennox, C., Francis, J., & Wang, Z. (2012). Selection models in accounting research. The Accounting Review, 87(2), 589–616. doi: 10.2308/accr-10195
   Web of Science ®Google Scholar
• LeRoy, S. F. (1989). Efficient capital markets and martingales. Journal of Economic Literature, 27(4), 1583–1621.
   Web of Science ®Google Scholar
• Leuz, C. (1998). The role of accrual accounting in restricting dividends to shareholders. European Accounting Review, 7(4), 579–604. doi: 10.1080/096381898336204
   Google Scholar
• Leuz, C. (2003). IAS versus U.S. GAAP: Information asymmetry-based evidence from Germany's new market. Journal of Accounting Research, 41(3), 445–472. doi: 10.1111/j.1475-679X.2003.00111.x
   Web of Science ®Google Scholar
• Lintner, J. (1956). Distribution of incomes of corporations among dividends, retained earnings and taxes. American Economic Review, 46(2), 97–113.
   Web of Science ®Google Scholar
• Malmendier, U., & Tate, G. (2005). CEO overconfidence and corporate investment. Journal of Finance, 60(6), 2661–2700. doi: 10.1111/j.1540-6261.2005.00813.x
   Web of Science ®Google Scholar
• Mancinelli, L., & Ozkan, A. (2006). Ownership structure and dividend policy: Evidence from Italian firms. European Journal of Finance, 12(3), 265–282. doi: 10.1080/13518470500249365
   Google Scholar
• Modigliani, F., & Miller, M. (1958). The cost of capital, corporation finance and the theory of investment. American Economic Review, 48(3), 261–297.
   Web of Science ®Google Scholar
• Moir, L., & Sudarsanam, S. (2007). Determinants of financial covenants and pricing of debt in private debt contracts: The UK evidence. Accounting & Business Research, 37(2), 151–166. doi: 10.1080/00014788.2007.9730066
   Web of Science ®Google Scholar
• Nissim, D., & Ziv, A. (2001). Dividend changes and future profitability. Journal of Finance, 56(6), 2111–2133. doi: 10.1111/0022-1082.00400
   Web of Science ®Google Scholar
• O'Hanlon, J., & Pope, P. (1999). The value-relevance of U.K. dirty surplus accounting flows. British Accounting Review, 31(4), 459–482. doi: 10.1006/bare.1999.0116
   Google Scholar
• Owusu-Ansah, S., & Yeoh, J. (2006). Relative value relevance of alternative accounting treatments for unrealized gains: Implications for the IASB. Journal of International Management and Accounting, 17(3), 228–255.
   Google Scholar
• Penman, S. (2007). Financial reporting quality: Is fair value a plus or a minus? Accounting and Business Research, 37(1), 33–44. doi: 10.1080/00014788.2007.9730083
   Google Scholar
• Poon, W. W. (2004). Using fair value accounting for financial instruments. American Business Review, 22(1), 39–41.
   Google Scholar
• Renneboog, L., & Szilagyi, P. G. (2007). How relevant is dividend policy under low shareholder protection? (Discussion Paper). Netherlands: Tilburg University.
   Google Scholar
• Samuelson, R. A. (1965). Proof that properly anticipated prices fluctuate randomly. Industrial Management Review, 6(2), 41–49.
   Web of Science ®Google Scholar
• Samuelson, R. A. (1973). Proof that properly discounted present values of assets vibrate randomly. Bell Journal of Economics and Management Science, 4(2), 369–374. doi: 10.2307/3003046
   Google Scholar
• Schrand, C. M., & Zechman, S. L. C. (2012). Executive overconfidence and the slippery slope to financial misreporting. Journal of Accounting and Economics, 53(1–2), 311–329. doi: 10.1016/j.jacceco.2011.09.001
   Web of Science ®Google Scholar
• Sellhorn, T., & Gornik-Tomaszewski, S. (2006). Implications of the ‘IAS regulation’ for research into the international differences in accounting systems. Accounting in Europe, 3(1), 187–217. doi: 10.1080/09638180600920392
   Google Scholar
• Shivakumar, L. (2013). The role of financial reporting in debt contracting and in stewardship. Accounting and Business Research, 43(4), 362–383. doi: 10.1080/00014788.2013.785683
   Web of Science ®Google Scholar
• Skinner, D. J., & Soltes, E. (2011). What do dividends tell us about earnings quality? Review of Accounting Studies, 16(1), 1–28. doi: 10.1007/s11142-009-9113-8
   Web of Science ®Google Scholar
• Sloan, R. G. (1996). Do stock prices fully reflect information in accruals and cash flows about future earnings? The Accounting Review, 71(3), 289–315.
   Web of Science ®Google Scholar
• Smith, C. W., & Watts, R., Jr. (1992). The investment opportunity set and corporate financing, dividend and compensation policies. Journal of Financial Economics, 32(3), 263–292. doi: 10.1016/0304-405X(92)90029-W
   Web of Science ®Google Scholar
• Taylor, P. (2013). What do we know about the role of financial reporting in debt contracting and debt covenants? Accounting and Business Research, 43(4), 386–417. doi: 10.1080/00014788.2013.798551
   Web of Science ®Google Scholar
• Truong, T., & Heaney, R. (2007). Largest shareholder and dividend policy around the world. The Quarterly Review of Economics and Finance, 47, 667–687. doi: 10.1016/j.qref.2007.09.002
   Google Scholar
• Tsalavoutas, I. (2011). Transition to IFRS and compliance with mandatory disclosures: What is the signal? Advances in Accounting, Incorporating Advances in International Accounting, 27(2), 390–405.
   Google Scholar
• Wallison, P. (2008). Fair value accounting: A critique. American Enterprise Institute for Public Policy Research outlook series. Retrieved from http://www.aei.org/article/27917
   Google Scholar
• Whited, T. (1992). Debt, liquidity constraints, and corporate investment: Evidence from panel data. Journal of Finance, 47(4), 1425–1460. doi: 10.1111/j.1540-6261.1992.tb04664.x
   Web of Science ®Google Scholar
• Wilson, A. C., & Rasch, R. H. (1998). New accounting for derivatives and hedging activities. CPA Journal, 68(10), 22–27.
   Google Scholar
• Wu, C. H., & Liu, V. W. (2011). Payout policy and CEO overconfidence (Working Paper). Taiwan: National Sun Yat-sen University.
   Google Scholar