# kaal:claim:2629451-020

**Claim.** The positive post-announcement reaction is best read as the market rewarding both the end of a costly DOJ investigation and the governance terms the N/DPA is expected to impose.

**Type.** mechanism  **Support.** argued

**Holds when.**

- window t=0 to t=25 after the DOJ announcement

**Source quote.**

> the positive market reaction from t=0 to t=25 as a positive reaction to the end of the costly DOJ investigation and the anticipated governance terms imposed by the N/DPA.

**From.** Wulf A. Kaal, Timothy Lacine, *Stock Price Response to Non- and Deferred Prosecution Agreements* (2015), IV. Univariate Analyses, page 10

**Cite as.** Wulf A. Kaal, Timothy Lacine, Stock Price Response to Non- and Deferred Prosecution Agreements (2015). SSRN: https://ssrn.com/abstract=2629451

**Verify.** sha256 of source PDF `507404d641abb922ab6d8e3a0b032e35ead2befd7b88746d09d178a8fa816957` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20and%20Lacine%20-%202015%20-%20Stock%20Price%20Response%20to%20Non-%20and%20Deferred%20Prosecution%20Agreements.pdf

**Topics.** governance-design, systemic-risk

**Keywords.** investigation-costs, governance-terms, investor-reaction, resolution-of-uncertainty

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.