New research suggests that companies with over the top CEO pay lag behind the competition. The two studies, one from professor Lucian Bebchuk of Harvard Law School and the other from Raghavendra Rau of Purdue University, are summarized in this WSJ article from Dec. 26.
We hope you have an excellent and happy holiday season!
With M&A deal volume down significantly in 2008 and most of 2009, activist shareholders had few opportunities to stifle transactions. However, as the year comes to a close, it’s clear that shareholders in Europe are getting more active according to a WSJ article published on Dec. 24. In 2010, “after one of the worst deal downturns in memory, shareholders are expected to play a key role in which deals get done – and which deals don’t.”