Earnings Management to Avoid Losses: a cost of debt explanation

In this paper we analyze firms’ earnings management behavior to avoid losses conditional on the (asymmetric) incentive underlying market (positive/negative) returns. Our intuition is that firms with negative returns in the period (bad news, BN) face a higher incentive to undertake earnings management, and that their ultimate intention is to hide from credit markets a signal (loss) that could be translated into a negative impact on their cost of debt. The empirical evidence supports this intuition. BN firms show higher earnings management pervasiveness than their counterparts with good news (GN), and the set with simultaneous BN and prior period positive earnings undertake more pervasive earnings manipulation than BN firms in general. Within this restricted set of firms, and consistent with a cost of debt explanation, we find that firms with larger needs of debt show a higher incidence of earnings management to avoid losses. The overall empirical evidence challenges the implicit assumption in Burgstahler and Dichev (1997) that the incentive to manage earnings is homogeneous to all firms, and suggests that the discontinuities around zero in the earnings distributions are driven, at least partly, by firms’ earnings management behavior.earnings management, earnings thresholds, earnings discontinuities, cost of debt

Piecewise Linear Accrual Models: do they really control for the asymmetric recognition of gains and losses?

The asymmetric recognition of gains and losses underlying conservative accounting is not taken into account by Jones (1991)-type accrual models. Recently, Moreira (2002) and Ball and Shivakumar (2005a) have proposed piecewise linear accrual models designed to control for this asymmetric impact. Our paper first discusses the sign of the expected measurement error in discretionary accruals (DAC) estimates when models do not control for the asymmetry underlying conservatism. We find that DAC in firms with bad news (BN) are expected to be understated, while those in good news (GN) firms will be overstated. Based on this original result we empirically test, using graphical and statistical tools, whether piecewise linear accrual models correct such a measurement error. The empirical evidence shows mixed results. For GN firms the estimates are corrected downwards, as expected; for BN firms, unexpectedly, part of the estimates is also corrected downwards. The reason for this unexpected result seems to lie in a non-linear relationship between accruals and the proxy for BN that the models are unable to control for. Thus, DAC estimates under piecewise linear models are not deemed to be of better quality than those of traditional accrual models.accrual models; piecewise linear accrual models; conservatism; earnings management

Preclinical and Clinical Evidence of Antioxidant Effects of Antidepressant Agents: Implications for the Pathophysiology of Major Depressive Disorder

Major depressive disorder (MDD) is a common mental disorder associated with a significant negative impact on quality of life, morbidity/mortality, and cognitive function. Individuals who suffer with MDD display lower serum/plasmatic total antioxidant potentials and reduced brain GSH levels. Also, F2-isoprostanes circulatory levels are increased in MDD subjects and are correlated with the severity of depressive symptoms. Urinary excretion of 8-OHdG seems to be higher in patients with MDD compared to healthy controls. Despite the fact that antidepressant drugs have been used for more than 50 years, their mechanism of action is still not fully understood. This paper examines preclinical (in vitro and animal model) and clinical literature on oxidative/antioxidant effects associated with antidepressant agents and discusses their potential antioxidant-related effects in the treatment of MDD. Substantial data support that MDD seems to be accompanied by elevated levels of oxidative stress and that antidepressant treatments may reduce oxidative stress. These studies suggest that augmentation of antioxidant defences may be one of the mechanisms underlying the neuroprotective effects of antidepressants in the treatment of MDD

Long-term management practices successfully reduce bird-related electrical faults in a transmission grid increasingly used by white storks for nesting

Bird nests on transmission lines can cause electrical faults which reduce service reliability. To address this problem, since the mid-90s, the Portuguese Transmission System Operator (TSO) has undertaken management actions to discourage white storks Ciconia ciconia from nesting in hazardous locations of the pylons. Here, we compiled and analyzed an 18-year series of data on electrical faults, TSO management actions to tackle these, and stork nests on transmission pylons in Portugal to: (a) determine the relative importance of bird-related faults over the total number of faults; (b) describe variations in bird-related faults across time (season of the year and time of the day); (c) describe spatial variations in bird-related faults and their association with the occurrence of white stork nests on pylons; and (d) analyze the trends, over the years, of the number of white stork nests on pylons, the TSO management actions and their effectiveness in reducing bird-related fault rates. Overall, birds accounted, on average, for 25.3% of the electrical faults in the transmission network, with the vast majority being attributed to white storks. The seasonal pattern of bird-related faults showed higher rates in April and in October–November. Faults occurred more often during the night period, when storks spend more time on the pylons. We found a positive spatial relationship between the electrical fault rate and the proportion of pylons with stork nests (and the correlated number of nests per 100 km of line). There was, however, considerable variation in the fault rates not explained by the stork nest variables, particularly during the non-breeding season. The TSO management actions (namely removal/translocation of nests in hazardous locations of the pylons, installation of anti-perching devices and provision of alternative nesting platforms) significantly reduced, as a whole, the annual number of bird-related faults between 2001 and 2018, despite the three-fold increase in the number of white stork nests on transmission pylons. A deeper understanding of how white storks use the transmission pylons outside the breeding season is needed, so that targeted management actions can be taken to reduce the remaining bird-related fault rates to residual levels.info:eu-repo/semantics/publishedVersio

Surface photochemistry: photodegradation study of pyrene adsorbed onto microcrystalline cellulose and silica

Ground-state diffuse reflectance, time resolved laser-induced luminescence, diffuse reflectance laser flash-photolysis transient absorption and chromatographic techniques were used to elucidate the photodegradation processes of pyrene adsorbed onto microcrystalline cellulose and silica. Ground-state diffuse reflectance showed that on both substrates low concentrations display absorption of pyrene monomers. At high concentrations spectral changes attributed to aggregate formation were observed. Laser induced fluorescence showed that pyrene onto microcrystalline cellulose mainly presents fluorescence from monomers, while for silica, excimer-like emission was observed from low surface loadings (greater than or equal to 0.5 mumol g(-1)). Transient absorption and photodegradation studies were performed at concentrations where mainly monomers exist. On silica, pyrene presents transient absorption from its radical cation. On microcrystalline cellulose both radical cation, radical anion and pyrene triplet-triplet absorption were detected. Irradiation followed by chromatographic analysis showed that pyrene decomposes on both substrates. For pyrene on microcrystalline cellulose 1-hydroxypyrene was the main identified photoproduct since in the absence of oxygen further oxidation of 1-hydroxypyrene was very slow. For pyrene on silica photodegradation was very efficient. Almost no 1-hydroxypyrene was detected since in the presence of oxygen it is quickly oxidized to other photooxidation products. On both substrates, pyrene radical cation is the intermediate leading to photoproducts and oxygen it is not involved in its formation

Effects of the consumption of polyunsaturated fatty acids on the oxidative status of adult dogs

The present study evaluated the alterations of the oxidative stress markers in adult dogs fed with high levels of PUFA from the mixture of soybean oil enriched with docosahexaenoic acid (DHA) and supplemented with a natural algae-based antioxidant (AOX). Twelve healthy adult (2 years old) Beagle dogs (6 males and 6 females, 11.20 ± 1.92 kg BW), were distributed in 2 completely randomized blocks design and fed with 4 experimental diets coated with 2 lipid sources: saturated (13% bovine tallow) or unsaturated (13% soybean oil enriched with DHA), supplemented or not with 500 mg of AOX for 4 wk, intercalated with a 4 wk adaptation period. Blood samples were collected on days 0, 15, and 30 of each block. Glutathione peroxidase (GSH-Px), superoxide dismutase (SOD), sulfhydryl group (SH), protein carbonylation, thiobarbituric acid reactive substances (TBARS), and total reactive antioxidant potential (TRAP) were evaluated in the serum, while GSH-Px, SOD, glutathione S-transferase (GST), catalase (CAT), SH, and TBARS were measured in erythrocytes. There was no significant difference in most of the oxidative markers evaluated. In contrast, GST activity in erythrocytes was greater in the animals that consumed the diets coated with bovine tallow compared to dogs that consumed diets coated with soybean oil enriched with DHA (P < 0.05). Serum from dogs fed on diets supplemented with AOX presented greater TRAP values (P < 0.05). These data demonstrate that the concentrations of unsaturated fatty acids used in the diets for dogs were not sufficient to cause large changes in the oxidative status. It was not possible to evaluate the efficiency of the natural antioxidant in maintaining the oxidative balance of the animals as it appears that the oxidative status of the dogs was not challenged by the unsaturated diets. Our findings also suggest that dogs, as descendants from carrion carnivores, may have some natural protection against oxidatio

Towards a genome-wide transcriptogram: the Saccharomyces cerevisiae case

A genome modular classification that associates cellular processes to modules could lead to a method to quantify the differences in gene expression levels in different cellular stages or conditions: the transcriptogram, a powerful tool for assessing cell performance, would be at hand. Here we present a computational method to order genes on a line that clusters strongly interacting genes, defining functional modules associated with gene ontology terms. The starting point is a list of genes and a matrix specifying their interactions, available at large gene interaction databases. Considering the Saccharomyces cerevisiae genome we produced a succession of plots of gene transcription levels for a fermentation process. These plots discriminate the fermentation stage the cell is going through and may be regarded as the first versions of a transcriptogram. This method is useful for extracting information from cell stimuli/responses experiments, and may be applied with diagnostic purposes to different organisms

Estudo da Sensibilização aos Aeroalergenos Phl p 1, Phl p 5, Ole e 1 e Ole e 2 em Doentes com Patologia Alérgica Sazonal

Estudo da Sensibilização aos Aeroalergenos Phl p 1, Phl p 5, Ole e 1 e Ole e 2 em Doentes com Patologia Alérgica Sazonal Cátia Coelho2, Elsa Caeiro2,4, Maria Luísa Lopes1, Ana Filipa Lopes3, Raquel Ferro2, José Eduardo Moreira3, Célia Antunes3,4, Rui Brandão4,5 1Hospital de Santa Luzia, Elvas, Portugal; 2Sociedade Portuguesa de Alergologia e Imunologia Clínica (SPAIC), Lisboa, Portugal; 3Departamento de Química, Universidade de Évora, Portugal; 4Instituto de Ciências Agrárias e Ambientais Mediterrânicas (ICAAM), Universidade de Évora, Portugal; 5 Departamento de Biologia, Universidade de Évora, Portugal Introdução: A sensibilização aos pólenes depende de vários factores nomeadamente do tipo de vegetação local e sabe-se que a sintomatologia não está apenas associada à exposição aos pólens mas também a partículas, algumas das quais resultantes da rotura dos grãos de pólen sendo posteriormente aerossolizadas. Objectivos: Relacionar a sensibilização de doentes com a concentração polínica atmosférica e a concentração de alguns dos respectivos aerolergenos. Métodos: Das consultas externas de Imunoalergologia dos hospitais de Évora e Elvas seleccionaram-se doentes que apresentavam queixas sazonais de rinite alérgica e asma brônquica, aos quais foram realizados testes cutâneos em Prick, standardizados, aos pólenes identificados na região. A 55 doentes foram realizados testes ao extracto de Phleum, aos seus alergénios Phl p 1 e Phl p 5, bem como aos extractos das restantes gramíneas e a 47 doentes foram realizados testes ao extracto de Olea, aos seus alergénios Ole e 1 e Ole e 2. Monitorizaram-se diariamente as partículas polínicas e os aeroalergenos mediante 2 colectores específicos para cada tipo. Resultados: A percentagem de doentes que é sensível aos 3 extractos de Phleum (Phleum total, Phl p 1 e Phl p 5) é de 51% , a dos que são sensíveis aos extractos de Phleum total e Phl p 1 é de 16 % e a dos que são sensíveis a Phleum total e Phl p5 é de 2%. A percentagem de doentes que é sensível a somente um dos extractos é de 20% e os que não têm qualquer sensibilidade são 11%. A percentagem de doentes que é sensível aos 3 extractos de Olea (Olea total, Ole e 1 e Ole e 2) é de 23%, a dos que são sensíveis à Olea total e Ole e 1 é de 21 % e a dos que são sensíveis à Olea total e Ole e 2 é de apenas 4%. A percentagem dos que são sensíveis a um dos extractos é de 19% e a dos que não apresentaram qualquer sensibilidade é de 32%. Conclusões: Podemos concluir que 89% dos doentes mostraram ser sensíveis aos alergénios da gramínea Phleum pratense pois mostraram positividade tanto ao extracto de Phleum e/ou aos seus alergénios Phl p 1 e Phl p 5. Em relação à oliveira, 44% dos doentes são alérgicos a este pólen pois são sensíveis ao seu alergénio major, Ole e 1. Em ambos os casos estão correlacionados com os aeroalergenos detectados nas amostras de ar, sendo a sensibilidade aos pólenes de gramíneas maior que a sensibilidade ao pólen de oliveira. Mais estudos devem ser realizados para despiste de reacções cruzadas nomeadamente quanto à Olea com outras plantas da região

Enhanced proliferation of pre-osteoblastic cells by dynamic piezoelectric stimulation

[EN] This work reports on the influence of the polarization of electroactive poly(vinylidene fluoride), PVDF, on the biological response of cells cultivated under static and dynamic conditions. Non-poled and "poled +" beta-PVDF with and without a titanium layer were thus prepared. A thin titanium layer was deposited on PVDF films in order to obtain a more homogeneous surface charge. The MC3T3-E1 osteoblast cell culture exhibited different responses in the presence of PVDF films. The positively charged beta-PVDF films promote higher osteoblast adhesion and proliferation, which is higher under dynamic conditions on poled samples, showing that the surface charge under mechanical stimulation improves the osteoblast growth. Therefore, electroactive membranes and scaffolds can provide the necessary electrical stimuli for the growth and proliferation of specific cells.JLGR acknowledge the support of the Spanish Ministry of Education through project No. MAT2010-21611-C03-01 (including the FEDER financial support) and project EUI2008-00126.Ribeiro, C.; Moreira, S.; Correia, V.; Sencadas, V.; Rocha, JG.; Gama, FM.; Gómez Ribelles, JL.... (2012). Enhanced proliferation of pre-osteoblastic cells by dynamic piezoelectric stimulation. RSC Advances. 2(30):11504-11509. https://doi.org/10.1039/c2ra21841k115041150923

Gold nanoparticles functionalised with stable, fast water exchanging Gd3+ chelates as high relaxivity contrast agents for MRI

Gold nanoparticles functionalized with Gd3+ chelates displaying fast water exchange, superb pH stability and inertness towards transmetalation with Zn2+ have been prepared and characterized as a new high relaxivity (29 mM-1s-1, 30 MHz, 25 ºC) Contrast Agent potentially safe for in vivo MRI applications. The Lipari-Szabo treatment for internal rotation was used to evaluate the effect of linker flexibility on the relaxivity of the gold nanoparticles. The relaxivity is limited by chelate flexibility. The effect of fast water exchange on the relaxivity of gold nanoparticles functionalized with Gd3+ chelates is also addressed in this communication.Fundação para a Ciência e TecnologiaProjecto PTDC/QUI/70063/2006PhD grant SFRH/BD/63994/2008 to Miguel FerreiraRede Nacional de RMN REDE/1517/RMN/2005 for the acquisition of the Varian VNMRS 600 NMR spectrometer in Coimbra and the Bruker Avance-3 400 Plus in BragaB. Mousavi and L. Helm acknowledge financial support by the Swiss National Science Foundation.COST D38 Actio