The Motivational Effects of Awarding At-the-Money Equity ...

The mean announcement return is –0.98% and is statistically negative (t-statistic = -2.92). Most of the negative reaction occurs on the day before (-1) and the two days (+2) after the announcement. Untabulated results suggest that 56% of the events report a negative reaction and a ranked sign test rejects the null of no reaction at p = 0.02 ... ................
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