Henderson, M. Todd
October 2007
Northwestern University Law Review;Fall2007, Vol. 101 Issue 4, p1543
Academic Journal
The article examines how chief executive officers (CEO) are compensated during bankruptcy. The compensation practices in firms where agency costs are dramatically reduced are discussed. Theoretical predictions about the role agency costs play in determining how and how much executives are compensated are examined. A study suggested that creditors in corporate reorganizations had significant incentives to bargain over CEO compensation. Findings also showed that sophisticated investors had little influence in reducing CEO compensation or changing the compensation structure when a firm faces financial distress.


Related Articles

  • The Wall Street example: Bringing excessive executive compensation into line. Hodgson, Paul // Ivey Business Journal;May/Jun2004, Vol. 68 Issue 5, p1 

    The market is up, and the CEO is rewarded with a huge compensation package. The market is down, and the CEO is rewarded with a huge compensation package. There's plenty wrong with this picture, not the least of which is the lack of any link between pay and performance, and the absence of any...

  • What Credit Union Regulators Think About CU CEO Compensation. Umholtz, Marvia C. // Credit Union Journal;11/8/2004, Vol. 8 Issue 45, p8 

    The article presents information on what credit union regulators think about CEO compensation? Every credit union official should be intensely curious about this question, especially compensation for CEOs of large and fast growing credit unions. The regulators were not only talking about large...

  • Why are CEOs paid so much?  // Hudson Valley Business Journal;6/26/2006, Vol. 17 Issue 13, p12 

    The article provides information on the reasons why CEOs of companies in the U.S. are well compensated. It is said that the average pay for CEOs of 500 of the largest companies in the nation is $11.75 million. Some of them collected pay packages worth more than $200 million a year. This is...

  • Aligning Interests. Monks, Robert A. G. // Conference Board Review;Sep/Oct2008, Vol. 45 Issue 5, p7 

    The article presents a reprint of the article "Aligning Interests," by Robert A. G. Monks, which appeared in the book "Corporacy: How CEOs and the Business Roundtable Hijacked the World's Greatest Wealth Machine--and How to Get It Back." It focuses on the issue of financial and business...

  • CEO compensation: Turning conventional wisdom on its head (almost). Chowdhury, Shamsud D.; Wang, Eric // Ivey Business Journal;Nov/Dec2004, Vol. 69 Issue 2, p1 

    Contrary to conventional wisdom, a CEO's fixed salary, or non-contingent pay, has not increased in recent years. In fact, a CEO's fixed salary, as a proportion of his or her total compensation, has been decreasing. Moreover, the greater the independence of a compensation committee, the more a...

  • How Much Pay... for how much performance? Delves, Donald P. // Across the Board;Jul/Aug2004, Vol. 41 Issue 4, p14 

    Discusses the issue of CEO compensation in the event of greater scrutiny of executive pay by boards of directors and the shift to greater creativity and accountability in paying for performance by management. Tools in compensation practice; Rationale for determining the amount a CEO should be...

  • New Bearings for Compensation Committees. Poerio, Mark // Venulex Legal Summaries;2002 Q4, p1 

    The article provides information on the new policies applicable to executive compensation and employee benefits in the U.S. William McDonough, president of the New York Federal Reserve said that chief executives and board members should decide to cut excessive expenses on the part of top...

  • CEO Compensation in Canada, 1971-2008. GĂ©linas1, Patrice; Baillargeon, Lisa // International Journal of Business & Management;Jun2013, Vol. 8 Issue 12, p1 

    This paper draws from a unique database spanning over 35 years of Canadian CEOs' compensation to explore the interplay among: the information available to boards of directors of Canadian companies for making executive pay decisions, the Canadian business environment, and the compensation that...

  • Compensation under fire. Berube, Gerard // CA Magazine;Nov2000, Vol. 133 Issue 9, p10 

    Comments on compensation packages for senior executives. Criticisms of institutional investor Warren Buffet against executive compensations; Stock appreciation rights plans (SARP) as alternative compensations for senior executives; Examples of compensation benefits received by senior executives.


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics