The Market Reaction to Legal Shocks and Their Antidotes: Lessons from the Sovereign Debt Market

In October 2000 a hedge fund holding an unpaid debt claim won an enormous victory against the debtor, the Republic of Peru, through an opportunistic interpretation of the common pari passu clause by a Brussels court. This development was met by charges from policy makers and practitioners that the court\u27s decision (its novel interpretation of the pari passu clause) would lead to a dramatic increase in the risks of holdout litigation faced by sovereign debtors. Over the ensuing years, multiple reform solutions were proposed including the revision of certain contractual terms, the filing of amicus briefs in a key case, and the imposition of an international bankruptcy regime for sovereigns. The question, looking back, that this Article empirically investigates is whether the capital markets actually perceived a significant increase in risk at the time of the October 2000 Brussels court decision. Equally important is whether markets discriminate among competing versions of the pari passu clause based on their relative risks for holdouts. And, to the extent the markets did react to the increase in legal risk, did any of the antidotes that were implemented to reduce the supposed increased holdout risk work? We offer evidence that bond prices did respond to this legal shock, that markets do discriminate based on the relative holdout risk posed by differing forms of the pari passu clause, and provide surprising evidence regarding the efficacy of the government-sponsored antidote, the advent of collective action clauses

The market reaction to legal shocks and their antidotes : lessons from the sovereign debt market

This Article examines the market reaction to a series of legal events concerning the judicial interpretation of the pari passu clause in sovereign debt instruments. More generally, the Article provides insights into the reactions of investors (predominantly financial institutions), issuers (sovereigns), and those who draft bond covenants (lawyers), to unanticipated changes in the judicial interpretation of certain covenant terms

The birds and habitat of Kings Park

Kings Park is a large urban park in the centre of Perth with extensive areas of semi-natural bushland. The park is an important refuge for birds in the metropolitan area but is losing species through habitat disturbance. Understanding the way in which birds are related to their habitat helps to understand the effect of habitat disturbance on the bird community. The aim of this project was to generate guidelines which will aid in the management and conservation of birds in the park, through an understanding of the relationship of the birds to their habitat. The avifauna and various habitat factors were sampled at selected points along the Mt Eliza escarpment and the Serventy and Recher transect in Kings Park. Notable differences in the abundance and composition of birds were found between the two study areas. Areas classified as disturbed on the Mt Eliza escarpment had a differing composition of bird species to areas classified as non-disturbed. Broad relationships were found to exist between patterns of the abundance and composition of the bird community and patterns in the habitat. The results suggest that continued disturbance to the habitat of Kings Park will lead to an altered composition of the bird community, including a loss of further species. To conserve the existing species, careful management is required to minimise disturbance and restore degraded areas. Specific management guidelines that resulted from this study include maximising habitat diversity, minimising the spread of weeds, reducing weed cover, and reversing the decline of eucalypts within the park. Further study is necessary for the conservation of birds that are in decline or are rare in the park. The individual habitat factors and disturbance agents also need to be examined

Metallic foam processing from the liquid state

A model is developed to describe the formation of metallic foams in which liquid drainage acts to collapse the foam before it can freeze. Numerical solution of the foam drainage equation, combined with the equations of heat conduction, provides new insight into the competition between these two processes. It also stimulates and confirms a theoretical analysis which leads to criteria for creating uniform samples of frozen metal foam. The analysis suggests new experiments to clarify the role of the various processes leading to foam formation

Exploratory Insights into Cross-Cultural On-line Shopping Differences between U.S. and French Millennials and Generation Zs

Online retail sales have shown double-digit growth in the U.S. for the last decade lead by millennials and more recently generation Z. While extensive research has been done exploring U.S. online shopping behaviors of these generations, little cross-cultural work has been done. This paper explores the differences between the U.S. and French millennial and gen z online shoppers. The research focused on four questions; was there a difference in the number of times per week that individuals shopped online, the percentage of shopping funds spent online versus in store, the types of products purchased online, and the percentage of low priced products (below $25 or €25. Results showed significant differences between the online shopping and purchasing behaviors between French and U.S. online shoppers

Inflammation Combined with Ischemia Produces Myelin Injury and Plaque-Like Aggregates of Myelin, Amyloid-β and AβPP in Adult Rat Brain.

BackgroundIschemia, white matter injury, and Alzheimer's disease (AD) pathologies often co-exist in aging brain. How one condition predisposes to, interacts with, or perhaps causes the others remains unclear.ObjectivesTo better understand the link between ischemia, white matter injury, and AD, adult rats were administered lipopolysaccharide (LPS) to serve as an inflammatory stimulus, and 24 h later subjected to 20-min focal cerebral ischemia (IS) followed by 30-min hypoxia (H).MethodsMyelin and axonal damage, as well as amyloid-β (Aβ) and amyloid-β protein precursor (AβPP) deposition were examined by Western blot and immunocytochemistry following LPS/IS/H. Findings were compared to the 5XFAD mouse AD brain.ResultsMyelin/axonal injury was observed bilaterally in cortex following LPS/IS/H, along with an increase in IL-1, granzyme B, and LPS. AβPP deposition was present in ischemic striatum in regions of myelin loss. Aβ(1-42) and AβPP were deposited in small foci in ischemic cortex that co-localized with myelin aggregates. In the 5XFAD mouse AD model, cortical amyloid plaques also co-localized with myelin aggregates.ConclusionsLPS/IS/H produce myelin injury and plaque-like aggregates of myelin. AβPP and Aβ co-localize with these myelin aggregates