BANKRUPTCY AND CORPORATE GOVERNANCE - THE IMPACT OF BOARD COMPOSITIONAND STRUCTURE

In this study, we examined the relationships among governance structur es and corporate bankruptcy. A logistic regression analysis of bankrup t major corporations and a matched group of survivor firms indicated r obust power for financial indicators, constituent common stock holding s, board of director quality, and corporate governance structures as p redictors of bankruptcy. Specifically, the model indicates differences between the bankrupt and matched groups in proportions of affiliated directors, chief executives, board chairperson structure, and their in teraction.