SIZE: in total asset; PROF: the carrying cost; TANG: property; gross planet and equipment/total asset; growth opportunity: MTB market value of equity/book value of equity; NDTS: depreciation and amortization/total assets; BR the inverse of the interest coverage ratio (interest expense/earnings before interest and taxes); BLOC 3: the sum of the capital held by three main shareholders; MSO: managerial ownership by percentage of shares held by executive officers; Age: the logarithm of the difference between the year t and the year in which the firm was founded; RETE: retained earnings/total equity; RETA: retained earnings/total assets; FCF: the difference between operating cash flow and investment scaled by total assets; liquidity is computed as the ratio of current assets to current liabilities. CRISIS binary variable; takes the value 1 in subprime crisis period and 0 otherwise