APPENDIX H ROBUSTNESS TESTS FOR RQ4
H.1. DIFFERENT PROXIES FOR INFORMATION ASYMMETRIES
In the main analysis (Section 5.5), IAINDEX was used to proxy for borrower information asymmetries. This appendix employs its four components (i.e., LN(FIRMAGE),R&D,FCSTERROR, and DISPERSION) as a robustness test. Tables H1 through H4 report the robustness test results using LN(FIRMAGE), R&D, FCSTERROR, and DISPERSION as a proxy for information asymmetries, respectively. They are consistent with the findings in Chapter 5, Section 5.5.
299
Table H1: Second stage regression results for RQ4 with information asymmetries proxied by LN(FIRMAGE)
This table documents the interaction effects of information asymmetries and lending relationship on loan terms with LN(FIRMAGE)as a proxy for information asymmetries.
Column (1) through (5) and Column (6) through to (10) are, respectively, the second stage regressions of equations 3.11 through 3.15 (the AISD, COLLATERAL, MATURITY, COVINDEX, and LN(FACSIZE) equations, respectively) after including LN(FIRMAGE)×REL(D) for revolving and term loan samples. Numbers in parentheses are standard errors corrected for heteroscedasticity.
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel A: Loan Terms
FittedCOLLATERAL 1.617*** 0.879*** 1.302*** -0.164*** 1.653*** 1.437*** 1.783*** -0.301***
(0.064) (0.116) (0.066) (0.046) (0.243) (0.328) (0.155) (0.109) FittedMATURITY -0.244*** -0.089*** 0.405*** 1.097*** -0.164** -0.010 0.143*** 1.289***
(0.030) (0.017) (0.021) (0.012) (0.071) (0.014) (0.038) (0.024) FittedCOVINDEX 0.112*** 0.118*** 0.428*** -0.285*** -0.027 0.023*** 0.102** 0.052***
(0.015) (0.012) (0.022) (0.013) (0.027) (0.005) (0.040) (0.013) FittedLN(FACSIZE) -0.072*** -0.116*** 0.385*** -0.100*** -0.056* -0.029*** 0.339*** 0.077***
(0.016) (0.007) (0.016) (0.014) (0.033) (0.005) (0.031) (0.019) Panel B: Information Asymmetry
LN(FIRMAGE) -0.013 -0.059*** 0.143*** 0.022 -0.152*** -0.034 -0.010 -0.051 -0.027 0.104***
(0.016) (0.011) (0.028) (0.017) (0.011) (0.036) (0.008) (0.055) (0.024) (0.021) Panel C: Lending Relationship
REL(D) -0.120** -0.055 -0.096 0.059 0.111*** 0.000 -0.007 -0.259 -0.060 0.440***
(0.052) (0.041) (0.097) (0.057) (0.039) (0.132) (0.028) (0.200) (0.082) (0.072) Panel D: Interaction Term
LN(FIRMAGE)×REL(D) 0.023 0.007 -0.045 0.010 0.062*** -0.060 -0.013 0.023 0.051 -0.048
(0.017) (0.010) (0.034) (0.021) (0.014) (0.050) (0.012) (0.077) (0.032) (0.029)
300
(Table H1 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel E: Other Borrower Characteristics
LN(TOTALASSETS) 0.494*** 0.472***
(0.007) (0.011) PROFITABILITY -0.147*** -0.208*** 0.087 0.096** -0.240*** -0.186* -0.098** 0.096 0.145*** -0.222***
(0.057) (0.039) (0.087) (0.049) (0.038) (0.097) (0.040) (0.122) (0.053) (0.040) LEVERAGE 0.187*** 0.618*** 0.203** -0.405*** -0.720*** 0.147 0.195*** 0.454*** -0.310*** -0.853***
(0.063) (0.042) (0.093) (0.051) (0.041) (0.125) (0.028) (0.142) (0.062) (0.058) M/B -0.016** -0.042*** 0.034** 0.003 0.014** -0.060*** -0.012*** 0.017 -0.015 0.109***
(0.008) (0.005) (0.015) (0.011) (0.006) (0.022) (0.004) (0.034) (0.016) (0.013)
TANGIBILITY -0.098*** -0.019
(0.027) (0.019)
LN(1+COVERAGE) -0.107*** -0.210***
(0.011) (0.029)
CONCENTRATION 0.497*** 0.082***
(0.040) (0.032)
LN(ASSETMATURITY) 0.072*** 0.102***
(0.017) (0.037)
EARNINGSVARIANCE -2.561*** -1.500***
(0.250) (0.515)
TAX_ASSETS 5.191*** 5.343***
(0.542) (1.047)
301
(Table H1 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel E: Other Borrower Characteristics (cont.)
REGULATED -0.290*** -1.147***
(0.072) (0.267)
CFVOLATILITY -0.663*** -0.355
(0.188) (0.226)
CURRENTRATIO -0.050*** -0.117***
(0.005) (0.008) Panel F: Lender Characteristic
TOPLENDERS -0.001 0.030** 0.187*** -0.113*** -0.125*** -0.237*** 0.009 -0.188*** -0.081*** 0.264***
(0.017) (0.012) (0.032) (0.020) (0.013) (0.044) (0.008) (0.064) (0.028) (0.023) Panel G: Other Loan Characteristics
SYNDICATION -0.114*** 0.074*** 0.127* 0.356***
(0.039) (0.027) (0.075) (0.040)
FIRSTLOAN -0.023 -0.003 0.146*** -0.168*** -0.100*** 0.022 0.003 0.294*** -0.138*** -0.169***
(0.027) (0.020) (0.047) (0.031) (0.020) (0.063) (0.014) (0.097) (0.044) (0.030)
TRANCHE 0.081*** 0.126*
(0.021) (0.075)
LENDERNUMBER 0.027*** 0.017***
(0.001) (0.001) RECAPITALIZATION 0.007 -0.032** -0.123*** 0.248*** 0.164*** 0.133** -0.006 -0.041 0.246*** 0.034
(0.023) (0.015) (0.037) (0.021) (0.016) (0.057) (0.011) (0.084) (0.034) (0.030)
302
(Table H1 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel G: Other Loan Characteristics (cont.)
ACQUISITION 0.059** 0.009 -0.060 0.186*** -0.028 0.287*** 0.007 0.365*** 0.329*** -0.487***
(0.029) (0.020) (0.059) (0.028) (0.024) (0.068) (0.013) (0.099) (0.042) (0.035) OTHERPURPOSE -0.282*** -0.345*** -1.309*** 0.362*** 1.560*** 0.043 -0.003 0.906*** -0.317*** -1.015***
(0.049) (0.044) (0.059) (0.057) (0.028) (0.117) (0.022) (0.190) (0.100) (0.070) Panel H: Macroeconomic Factors
LIBOR -0.022** -0.104***
(0.009) (0.024)
IRVOLATILITY 0.572 8.967***
(0.771) (1.778)
TERMPREMIUM -0.040** -0.245***
(0.020) (0.050) CREDITSPREAD 0.299*** 0.082*** -0.523*** 0.192*** 0.391*** 0.702*** -0.016 -1.185*** 0.372*** 1.441***
(0.031) (0.020) (0.036) (0.024) (0.019) (0.141) (0.023) (0.133) (0.068) (0.057)
Constant 1.723*** 0.184 -1.606*** -1.491*** 1.816*** 2.848*** -1.961*** -6.673***
(0.120) (0.160) (0.091) (0.079) (0.389) (0.380) (0.213) (0.181) Observations 11,179 7,878 11,431 12,434 12,434 4,067 3,461 4,246 4,490 4,490
R2 0.538 0.300 0.843 0.228 0.188 0.856
AdjustedR2 0.537 0.299 0.843 0.224 0.184 0.855
Ȥ2 1637 4982 240 1568
PseudoR2 0.294 0.143 0.132 0.107
Note:The superscripts ***, **, and * indicate statistical significance at the 1%, 5%, and 10% levels, respectively.
303
Table H2: Second stage regression results for RQ4 with information asymmetries proxied by R&D
This table documents the interaction effects of information asymmetries and lending relationship on loan terms with R&D as a proxy for information asymmetries. Column (1) through (5) and Column (6) through to (10) are, respectively, the second stage regressions of equations 3.11 through 3.15 (the AISD, COLLATERAL, MATURITY, COVINDEX, and LN(FACSIZE) equations, respectively) after including R&D×REL(D) for revolving and term loan samples. Numbers in parentheses are standard errors corrected for heteroscedasticity.
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel A: Loan Terms
FittedCOLLATERAL 1.640*** 0.836*** 1.259*** -0.102** 1.798*** 1.676*** 1.791*** -0.443***
(0.060) (0.109) (0.061) (0.045) (0.240) (0.322) (0.153) (0.110) FittedMATURITY -0.250*** -0.098*** 0.400*** 1.114*** -0.152** -0.003 0.142*** 1.293***
(0.032) (0.017) (0.021) (0.012) (0.071) (0.013) (0.036) (0.025) FittedCOVINDEX 0.119*** 0.130*** 0.412*** -0.275*** -0.006 0.025*** 0.093** 0.055***
(0.015) (0.012) (0.022) (0.012) (0.026) (0.005) (0.039) (0.012) FittedLN(FACSIZE) -0.066*** -0.122*** 0.396*** -0.103*** -0.073** -0.033*** 0.345*** 0.071***
(0.016) (0.007) (0.016) (0.014) (0.033) (0.004) (0.030) (0.018) Panel B: Information Asymmetry
R&D 0.468* 0.346** -0.544 -1.096*** 0.860*** -0.928* 0.232* 0.546 -2.310*** 0.969***
(0.252) (0.166) (0.343) (0.282) (0.163) (0.511) (0.120) (0.757) (0.394) (0.254) Panel C: Lending Relationship
REL(D) -0.059*** -0.020 -0.220*** 0.075*** 0.280*** -0.141*** -0.022** -0.164** 0.066** 0.277***
(0.019) (0.014) (0.034) (0.021) (0.014) (0.045) (0.010) (0.067) (0.028) (0.025) Panel D: Interaction Term
R&D×REL(D) 0.079 -0.258 -0.122 0.533 0.509** -0.073 0.142 -1.665 0.129 1.554***
(0.366) (0.197) (0.515) (0.443) (0.238) (0.781) (0.244) (1.156) (0.642) (0.375)
304
(Table H2 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel E: Other Borrower Characteristics
LN(TOTALASSETS) 0.480*** 0.481***
(0.008) (0.011) PROFITABILITY -0.122** -0.184*** 0.054 0.054 -0.169*** -0.254** -0.083** 0.113 0.064 -0.140***
(0.058) (0.038) (0.089) (0.050) (0.039) (0.102) (0.038) (0.131) (0.052) (0.041) LEVERAGE 0.202*** 0.653*** 0.184** -0.408*** -0.696*** 0.110 0.204*** 0.417*** -0.362*** -0.807***
(0.063) (0.041) (0.092) (0.051) (0.043) (0.125) (0.027) (0.142) (0.062) (0.058) M/B -0.022*** -0.038*** 0.030** 0.006 0.015** -0.034 -0.012*** 0.023 0.004 0.080***
(0.008) (0.006) (0.015) (0.010) (0.006) (0.023) (0.004) (0.034) (0.016) (0.013)
TANGIBILITY -0.093*** -0.010
(0.027) (0.018)
LN(1+COVERAGE) -0.103*** -0.207***
(0.011) (0.028)
CONCENTRATION 0.570*** 0.084***
(0.038) (0.030)
LN(ASSETMATURITY) 0.063*** 0.102***
(0.017) (0.037)
EARNINGSVARIANCE -2.644*** -1.485***
(0.256) (0.535)
TAX_ASSETS 4.926*** 5.587***
(0.537) (1.043)
305
(Table H2 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel E: Other Borrower Characteristics (cont.)
REGULATED -0.233*** -1.156***
(0.072) (0.266)
CFVOLATILITY -0.583*** -0.156
(0.187) (0.218)
CURRENTRATIO -0.049*** -0.123***
(0.005) (0.008) Panel F: Lender Characteristic
TOPLENDERS 0.002 0.034*** 0.190*** -0.111*** -0.124*** -0.230*** 0.011 -0.196*** -0.080*** 0.268***
(0.017) (0.012) (0.032) (0.020) (0.013) (0.044) (0.008) (0.064) (0.028) (0.023) Panel G: Other Loan Characteristics
SYNDICATION -0.117*** 0.060** 0.110 0.358***
(0.039) (0.026) (0.075) (0.039)
FIRSTLOAN -0.019 0.004 0.121** -0.168*** -0.078*** 0.026 0.001 0.292*** -0.122*** -0.184***
(0.027) (0.019) (0.047) (0.031) (0.020) (0.063) (0.014) (0.096) (0.044) (0.030)
TRANCHE 0.081*** 0.076
(0.021) (0.072)
LENDERNUMBER 0.028*** 0.017***
(0.001) (0.001) RECAPITALIZATION 0.004 -0.031** -0.130*** 0.245*** 0.166*** 0.116** -0.005 -0.038 0.233*** 0.042
(0.023) (0.015) (0.037) (0.021) (0.016) (0.056) (0.011) (0.084) (0.034) (0.030)
306
(Table H2 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel G: Other Loan Characteristics (cont.)
ACQUISITION 0.049* -0.001 -0.047 0.188*** -0.052** 0.246*** 0.002 0.365*** 0.325*** -0.483***
(0.029) (0.020) (0.058) (0.028) (0.024) (0.067) (0.013) (0.097) (0.041) (0.035) OTHERPURPOSE -0.276*** -0.359*** -1.294*** 0.359*** 1.586*** 0.038 -0.008 0.910*** -0.321*** -1.016***
(0.052) (0.044) (0.059) (0.057) (0.028) (0.118) (0.023) (0.189) (0.099) (0.070) Panel H: Macroeconomic Factors
LIBOR -0.023*** -0.103***
(0.009) (0.024)
IRVOLATILITY 0.508 9.118***
(0.785) (1.779)
TERMPREMIUM -0.043** -0.240***
(0.019) (0.050) CREDITSPREAD 0.294*** 0.071*** -0.497*** 0.201*** 0.372*** 0.686*** -0.013 -1.181*** 0.380*** 1.443***
(0.031) (0.020) (0.035) (0.023) (0.019) (0.141) (0.023) (0.132) (0.067) (0.057)
Constant 1.660*** 0.606*** -1.481*** -1.936*** 1.584*** 2.484*** -1.990*** -6.351***
(0.104) (0.122) (0.067) (0.070) (0.358) (0.341) (0.183) (0.175) Observations 11,179 7,878 11,431 12,434 12,434 4,067 3,461 4,246 4,490 4,490
R2 0.534 0.302 0.842 0.227 0.189 0.856
AdjustedR2 0.533 0.300 0.841 0.222 0.185 0.855
Ȥ2 1555 5000 233.9 1653
PseudoR2 0.286 0.144 0.130 0.110
Note:The superscripts ***, **, and * indicate statistical significance at the 1%, 5%, and 10% levels, respectively.
307
Table H3: Second stage regression results for RQ4 with information asymmetries proxied by FCSTERROR
This table documents the interaction effects of information asymmetries and lending relationship on loan terms with FCSTERROR as a proxy for information asymmetries.
Column (1) through (5) and Column (6) through to (10) are, respectively, the second stage regressions of equations 3.11 through 3.15 (the AISD, COLLATERAL, MATURITY, COVINDEX, and LN(FACSIZE) equations, respectively) after including FCSTERROR×REL(D) for revolving and term loan samples. Numbers in parentheses are standard errors corrected for heteroscedasticity.
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel A: Loan Terms
FittedCOLLATERAL 1.637*** 0.923*** 1.225*** -0.059 1.279*** 1.766*** 1.774*** -0.991***
(0.065) (0.126) (0.069) (0.052) (0.254) (0.347) (0.168) (0.114) FittedMATURITY -0.250*** -0.088*** 0.403*** 1.065*** -0.076 0.032** 0.157*** 1.275***
(0.032) (0.021) (0.023) (0.013) (0.076) (0.016) (0.044) (0.029) FittedCOVINDEX 0.077*** 0.138*** 0.366*** -0.231*** 0.008 0.033*** 0.066 0.054***
(0.015) (0.014) (0.024) (0.013) (0.029) (0.006) (0.045) (0.014) FittedLN(FACSIZE) -0.042** -0.136*** 0.422*** -0.149*** -0.113*** -0.049*** 0.376*** 0.053**
(0.017) (0.010) (0.019) (0.017) (0.037) (0.006) (0.036) (0.023) Panel B: Information Asymmetry
FCSTERROR 0.060*** 0.101*** -0.077*** -0.001 0.074*** 0.090*** 0.032 -0.139*** 0.024 0.165***
(0.013) (0.028) (0.017) (0.013) (0.008) (0.027) (0.021) (0.029) (0.015) (0.012) Panel C: Lending Relationship
REL(D) -0.045** 0.000 -0.197*** 0.067*** 0.269*** -0.111** -0.004 -0.142* 0.045 0.240***
(0.020) (0.019) (0.039) (0.023) (0.016) (0.050) (0.013) (0.078) (0.032) (0.028) Panel D: Interaction Term
FCSTERROR×REL(D) -0.002 -0.015 -0.012 0.012 -0.008 0.052 -0.023 0.034 -0.019 -0.036**
(0.021) (0.029) (0.029) (0.017) (0.012) (0.037) (0.030) (0.048) (0.020) (0.016)
308
(Table H3 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel E: Other Borrower Characteristics
LN(TOTALASSETS) 0.496*** 0.469***
(0.009) (0.014) PROFITABILITY -0.115* -0.166*** -0.035 0.079 -0.045 -0.145 -0.094** -0.090 0.198*** 0.024
(0.064) (0.046) (0.101) (0.054) (0.043) (0.107) (0.048) (0.127) (0.058) (0.042) LEVERAGE 0.256*** 0.759*** 0.148 -0.432*** -0.681*** 0.108 0.187*** 0.564*** -0.415*** -0.875***
(0.073) (0.055) (0.112) (0.059) (0.049) (0.156) (0.038) (0.177) (0.077) (0.077) M/B -0.024*** -0.026*** 0.004 -0.011 0.035*** -0.074*** -0.006 -0.009 -0.022 0.077***
(0.008) (0.007) (0.017) (0.012) (0.006) (0.024) (0.006) (0.039) (0.019) (0.013)
TANGIBILITY -0.118*** -0.004
(0.034) (0.024)
LN(1+COVERAGE) -0.068*** -0.185***
(0.012) (0.032)
CONCENTRATION 0.660*** 0.035
(0.050) (0.040)
LN(ASSETMATURITY) 0.076*** 0.027
(0.020) (0.043)
EARNINGSVARIANCE -3.027*** -1.367**
(0.311) (0.666)
TAX_ASSETS 4.928*** 6.097***
(0.619) (1.231)
309
(Table H3 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel E: Other Borrower Characteristics (cont.)
REGULATED -0.284*** -1.105***
(0.078) (0.284)
CFVOLATILITY -0.951*** -0.282
(0.232) (0.277)
CURRENTRATIO -0.051*** -0.105***
(0.006) (0.009) Panel F: Lender Characteristic
TOPLENDERS -0.022 0.034** 0.152*** -0.097*** -0.096*** -0.172*** 0.010 -0.195*** -0.028 0.229***
(0.018) (0.016) (0.036) (0.021) (0.015) (0.049) (0.011) (0.073) (0.032) (0.026) Panel G: Other Loan Characteristics
SYNDICATION -0.097** -0.034 0.065 0.449***
(0.047) (0.032) (0.102) (0.048)
FIRSTLOAN 0.017 0.002 0.017 -0.114*** 0.014 0.094 0.004 0.322*** -0.177*** -0.196***
(0.031) (0.025) (0.057) (0.037) (0.023) (0.085) (0.018) (0.120) (0.057) (0.037)
TRANCHE 0.098*** 0.097
(0.021) (0.087)
LENDERNUMBER 0.030*** 0.017***
(0.001) (0.002) RECAPITALIZATION 0.038 -0.049*** -0.018 0.226*** 0.084*** 0.063 -0.030* 0.117 0.241*** -0.132***
(0.025) (0.019) (0.042) (0.024) (0.017) (0.066) (0.016) (0.099) (0.041) (0.034)
310
(Table H3 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel G: Other Loan Characteristics (cont.)
ACQUISITION 0.063** -0.024 -0.132** 0.244*** 0.066** 0.259*** -0.020 0.281** 0.303*** -0.363***
(0.031) (0.026) (0.066) (0.030) (0.027) (0.073) (0.017) (0.111) (0.046) (0.037) OTHERPURPOSE -0.323*** -0.336*** -1.384*** 0.375*** 1.602*** -0.085 -0.069 1.138*** -0.346*** -1.283***
(0.054) (0.047) (0.063) (0.060) (0.031) (0.139) (0.048) (0.238) (0.122) (0.092) Panel H: Macroeconomic Factors
LIBOR -0.033*** -0.087***
(0.010) (0.026)
IRVOLATILITY 0.315 8.734***
(0.832) (2.030)
TERMPREMIUM -0.056*** -0.200***
(0.021) (0.058) CREDITSPREAD 0.286*** 0.077*** -0.483*** 0.207*** 0.336*** 0.771*** 0.015 -1.072*** 0.445*** 1.228***
(0.033) (0.024) (0.038) (0.025) (0.022) (0.161) (0.028) (0.159) (0.076) (0.065)
Constant 1.564*** 0.619*** -1.233*** -1.950*** 1.497*** 2.412*** -1.986*** -5.660***
(0.111) (0.136) (0.075) (0.081) (0.392) (0.376) (0.188) (0.193) Observations 8,776 5,937 8,961 9,756 9,756 2,810 2,307 2,894 3,056 3,056
R2 0.536 0.296 0.821 0.233 0.187 0.848
AdjustedR2 0.534 0.294 0.821 0.227 0.182 0.847
Ȥ2 1212 4230 205.4 1048
PseudoR2 0.281 0.153 0.158 0.107
Note:The superscripts ***, **, and * indicate statistical significance at the 1%, 5%, and 10% levels, respectively.
311
Table H4: Second stage regression results for RQ4 with information asymmetries proxied by DISPERSION
This table documents the interaction effects of information asymmetries and lending relationship on loan terms with DISPERSION as a proxy for information asymmetries.
Column (1) through (5) and Column (6) through to (10) are, respectively, the second stage regressions of equations 3.11 through 3.15 (the AISD, COLLATERAL, MATURITY, COVINDEX, and LN(FACSIZE) equations, respectively) after including DISPERSION×REL(D) for revolving and term loan samples. Numbers in parentheses are standard errors corrected for heteroscedasticity.
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel A: Loan Terms
FittedCOLLATERAL 1.640*** 0.879*** 1.218*** -0.116** 1.411*** 1.635*** 1.745*** -0.938***
(0.069) (0.129) (0.072) (0.053) (0.259) (0.345) (0.168) (0.116) FittedMATURITY -0.266*** -0.091*** 0.384*** 1.047*** -0.062 0.021 0.149*** 1.200***
(0.033) (0.023) (0.024) (0.013) (0.078) (0.016) (0.043) (0.032) FittedCOVINDEX 0.077*** 0.152*** 0.367*** -0.224*** -0.022 0.039*** 0.089* 0.026*
(0.015) (0.015) (0.025) (0.013) (0.030) (0.007) (0.045) (0.015) FittedLN(FACSIZE) -0.028 -0.145*** 0.419*** -0.164*** -0.106** -0.050*** 0.391*** 0.046*
(0.018) (0.011) (0.020) (0.018) (0.042) (0.007) (0.038) (0.025) Panel B: Information Asymmetry
DISPERSION 0.143*** 0.378*** -0.177** -0.116** 0.181*** 0.313*** 0.043 -0.395*** 0.122*** 0.476***
(0.053) (0.088) (0.075) (0.053) (0.033) (0.108) (0.042) (0.126) (0.047) (0.055) Panel C: Lending Relationship
REL(D) -0.063*** 0.006 -0.192*** 0.054** 0.262*** -0.110** -0.017 -0.188** 0.062* 0.306***
(0.021) (0.020) (0.040) (0.024) (0.016) (0.054) (0.014) (0.081) (0.034) (0.030) Panel D: Interaction Term
DISPERSION×REL(D) 0.061 -0.107 -0.036 0.126* -0.000 -0.144 0.074 0.123 -0.105 -0.177**
(0.072) (0.086) (0.111) (0.066) (0.048) (0.130) (0.077) (0.167) (0.069) (0.074)
312
(Table H4 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel E: Other Borrower Characteristics
LN(TOTALASSETS) 0.494*** 0.460***
(0.009) (0.016) PROFITABILITY -0.103 -0.178*** 0.025 0.064 -0.051 -0.209 -0.122** -0.073 0.210*** 0.034
(0.068) (0.050) (0.107) (0.056) (0.045) (0.132) (0.048) (0.141) (0.061) (0.045) LEVERAGE 0.289*** 0.801*** 0.164 -0.431*** -0.639*** 0.058 0.226*** 0.744*** -0.495*** -1.000***
(0.078) (0.059) (0.118) (0.062) (0.051) (0.173) (0.043) (0.188) (0.081) (0.088) M/B -0.030*** -0.032*** -0.009 -0.002 0.044*** -0.086*** -0.008 0.013 -0.014 0.049***
(0.009) (0.008) (0.018) (0.012) (0.006) (0.025) (0.006) (0.039) (0.019) (0.014)
TANGIBILITY -0.139*** -0.010
(0.037) (0.027)
LN(1+COVERAGE) -0.055*** -0.181***
(0.014) (0.034)
CONCENTRATION 0.703*** 0.065
(0.056) (0.044)
LN(ASSETMATURITY) 0.053** -0.011
(0.021) (0.044)
EARNINGSVARIANCE -3.062*** -1.638**
(0.337) (0.736)
TAX_ASSETS 5.156*** 5.280***
(0.649) (1.285)
313
(Table H4 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel E: Other Borrower Characteristics (cont.)
REGULATED -0.273*** -1.257***
(0.079) (0.280)
CFVOLATILITY -0.964*** -0.325
(0.243) (0.294)
CURRENTRATIO -0.060*** -0.130***
(0.006) (0.010) Panel F: Lender Characteristic
TOPLENDERS -0.006 0.041** 0.151*** -0.107*** -0.092*** -0.138*** 0.014 -0.214*** -0.041 0.241***
(0.018) (0.017) (0.037) (0.022) (0.015) (0.051) (0.012) (0.076) (0.033) (0.027) Panel G: Other Loan Characteristics
SYNDICATION -0.135** 0.019 0.161 0.573***
(0.053) (0.036) (0.118) (0.055)
FIRSTLOAN 0.014 -0.006 0.027 -0.085** 0.025 0.013 0.015 0.370*** -0.167*** -0.216***
(0.032) (0.028) (0.061) (0.038) (0.024) (0.088) (0.019) (0.126) (0.059) (0.039)
TRANCHE 0.117*** 0.100
(0.022) (0.090)
LENDERNUMBER 0.032*** 0.017***
(0.002) (0.002) RECAPITALIZATION 0.036 -0.058*** 0.007 0.222*** 0.060*** 0.083 -0.040** 0.125 0.235*** -0.104***
(0.025) (0.021) (0.044) (0.025) (0.018) (0.070) (0.018) (0.103) (0.043) (0.037)
314
(Table H4 continued)
VARIABLES
Revolving Loans Term Loans
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) AISD COLLATERAL MATURITY COVINDEX LN(FACSIZE) Panel G: Other Loan Characteristics (cont.)
ACQUISITION 0.066** -0.029 -0.136** 0.237*** 0.070*** 0.261*** -0.019 0.254** 0.285*** -0.275***
(0.031) (0.028) (0.068) (0.031) (0.027) (0.078) (0.018) (0.112) (0.047) (0.039) OTHERPURPOSE -0.370*** -0.325*** -1.406*** 0.320*** 1.563*** -0.098 -0.037 1.053*** -0.413*** -1.108***
(0.055) (0.048) (0.062) (0.061) (0.031) (0.142) (0.042) (0.254) (0.132) (0.104) Panel H: Macroeconomic Factors
LIBOR -0.033*** -0.090***
(0.010) (0.029)
IRVOLATILITY 0.772 10.367***
(0.856) (2.091)
TERMPREMIUM -0.066*** -0.224***
(0.021) (0.061) CREDITSPREAD 0.288*** 0.087*** -0.486*** 0.190*** 0.332*** 0.831*** 0.006 -1.118*** 0.400*** 1.279***
(0.034) (0.025) (0.040) (0.026) (0.023) (0.172) (0.031) (0.162) (0.079) (0.069)
Constant 1.512*** 0.683*** -1.084*** -1.907*** 1.167*** 2.436*** -1.833*** -5.269***
(0.113) (0.143) (0.078) (0.086) (0.393) (0.379) (0.185) (0.208) Observations 8,303 5,476 8,455 9,214 9,214 2,610 2,093 2,655 2,807 2,807
R2 0.514 0.295 0.803 0.225 0.196 0.822
AdjustedR2 0.512 0.293 0.803 0.218 0.190 0.821
Ȥ2 1153 4150 209 909
PseudoR2 0.278 0.159 0.165 0.107
Note:The superscripts ***, **, and * indicate statistical significance at the 1%, 5%, and 10% levels, respectively.
315