{"corpus_id":166825515,"paper_sha":"eb0bab876785d71e74f22d6733d0a47e12855215","doi":"10.1017/s0022109018001084","arxiv_id":null,"pmid":null,"pmcid":null,"mag_id":null,"dblp_id":null,"acl_id":null,"title":"Relationship Bank Behavior during Borrower Distress","year":2018,"publication_date":"2018-09-19","venue":"Journal of Financial and Quantitative Analysis","journal":{"name":"Journal of Financial and Quantitative Analysis","pages":null,"volume":null},"journal_issn":null,"journal_title":null,"publication_types":[],"pubmed_pub_types":null,"s2_fields_of_study":[],"reference_count":46,"citation_count":41,"influential_citation_count":2,"is_open_access":false,"arxiv_categories":null,"arxiv_license":null,"arxiv_journal_ref":null,"mesh_headings":null,"chemicals":null,"comments_corrections":null,"source_flags":1,"s2_open_access_pdf_url":null,"s2_open_access_landing_url":null,"s2_open_access_license":null,"s2_open_access_status":null,"pmc_open_access_pdf_url":null,"pmc_open_access_landing_url":null,"pmc_open_access_license":null,"pmc_open_access_status":null,"unpaywall_open_access_pdf_url":null,"unpaywall_open_access_landing_url":null,"unpaywall_open_access_license":null,"unpaywall_open_access_status":null,"abstract":"This article provides a comprehensive examination of the time-series behavior of relationship banks around and during borrower distress. Relationship and outside loans have similar interest rates during distress and even 2 years prior to distress. Relative to outside loans in distress, relationship loans in distress have lower maturity. The fraction of bank lending given by relationship banks reduces during borrower distress. Overall, borrowers in distress do not derive benefits from relationship banks. These findings are inconsistent with models that suggest banks have an implicit commitment to help their borrowers in distress due to reputation concerns.","claims":[{"public_id":"cl_be43c4d9d2d78e1112fc485c633cca12","status":"active","text":"Borrowers in distress do not derive benefits from relationship banks.","confidence":0.93,"contributors":[{"id":1,"public_id":"12632b8b5f","public_label":"Anonymous (12632b8b5f)","roles":["extraction"],"url":"https://sah.borca.ai/u/12632b8b5f"}],"url":"https://sah.borca.ai/claims/cl_be43c4d9d2d78e1112fc485c633cca12"},{"public_id":"cl_caf8b85355b8507d9dcfe2c7fc15c731","status":"active","text":"Relationship and outside loans have similar interest rates during borrower distress and in the two years preceding distress.","confidence":0.98,"contributors":[{"id":1,"public_id":"12632b8b5f","public_label":"Anonymous (12632b8b5f)","roles":["extraction"],"url":"https://sah.borca.ai/u/12632b8b5f"}],"url":"https://sah.borca.ai/claims/cl_caf8b85355b8507d9dcfe2c7fc15c731"},{"public_id":"cl_4cfbed200a403abb2e6c1438c80ec2d3","status":"active","text":"Relationship loans in distress have lower maturity than outside loans in distress.","confidence":0.97,"contributors":[{"id":1,"public_id":"12632b8b5f","public_label":"Anonymous (12632b8b5f)","roles":["extraction"],"url":"https://sah.borca.ai/u/12632b8b5f"}],"url":"https://sah.borca.ai/claims/cl_4cfbed200a403abb2e6c1438c80ec2d3"},{"public_id":"cl_96dfdf7b5a2cc1f389596df5fe54b305","status":"active","text":"The fraction of bank lending provided by relationship banks decreases during borrower distress.","confidence":0.97,"contributors":[{"id":1,"public_id":"12632b8b5f","public_label":"Anonymous 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