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The purpose of the paper is to determine if banks that solved the Y2K problem early created value for their shareholders.

The method of analysis is an event study.

The primary finding of the analysis is that solving the Y2K problem did not create value for bank shareholders. That is, announcements of solving the Y2K problem were not accompanied with positive stock price reactions.

While the paper does not find support for a positive reaction to solving Y2K, it does find some evidence of concerns about banks that were having trouble solving Y2K. However, the sample size of banks with problems was small and therefore we caution readers about generalizing these results.

All banks needed to solve the Y2K problem, but those solving Y2K do not appear to create value for their shareholders. From this we conclude that it is better to buy the solution to a required project than to develop it internally.

This paper is of interest to anyone in a capital budgeting decision making process that includes required projects.

The State of Delaware recently passed a new banking law that allows banks and bank affiliates chartered in Delaware to sell and underwrite insurance nationwide. The new laws provide two potential benefits to banks; (1) increased profits from selling insurance and (2) reduced interest rate risk exposure from underwriting insurance. We find support for increased profit potential to banks from the law, but we fail to find a reduction in the interest rate risk exposure of the banks.

The purpose of this paper is to provide a descriptive analysis of the role of computer usage in determining the credit score for small business owners.

Bitler, Robb, and Wolken report over three‐quarters of all small business use computerized systems. Since such systems are faster, more accurate, and less fallible than manual systems, we investigate whether increased use of computers leads to better credit ratings and leads to access to larger credit lines.

The results suggest that computer usage has virtually no effect in the determination of credit by financial service providers. Credit analysis and risk measures dominate the decision‐making process.

The 3,561 surveyed firms are skewed toward very small firms with approximately 64 per cent having less than five employees and an 20 per cent having less than ten employees. Forty per cent of the firms have annual sales of less than $100,000 while only 1.8 per cent of the firms have sales in excess of $10 million.

Computerization is an operational necessity but credit worthiness is a function of the overall management characteristics of the firm and not the tools employed by the management team.

A minority of small businesses do not use computerization and these tend to be among the smallest in size and with the lowest levels of credit‐worthiness. Nonetheless, credit worthiness is determined by standard credit analysis and risk measures rather than operational efficiency.

New technologies have provided new tools we may use as finance professors to communicate with our students. Instant messaging (IM) has become a common communication tool in industry and among students. The purpose of this paper is to investigate the use of IM as a communication tool in finance courses.

After reviewing the advantages and disadvantages of IM, the students were surveyed to determine how they viewed IM in comparison to other communication techniques.

The paper finds that 50 per cent or students use IM at any time (not just for class). The majority of the IM users, use it several times a day and have used it for two to three years. Only about 15.7 per cent of our students have used IM for our classes. The range of IM usage in the classes is 7‐25 per cent. Of those students who have used IM for our courses, they have used it 2‐5 times during the semester and almost all students found it useful. Students were asked to rate various methods of professor/student communication. The students strongly like face‐to‐face communication, followed by (in order of preference) email, IM, and telephone. Students disagree with the statement that IM is a substitute for face‐to‐face interaction and agree that IM is a supplement to face‐to‐face interaction.

The findings suggest ways to improve communications with students and other persons.

The purpose of this paper is to analyze the OpenIPO process, vis‐à‐vis traditional bookbuilding, and evaluate the suitability of the OpenIPO for various types of companies, market conditions, and assets.

This paper develops the pros and cons of the OpenIPO process, vis‐à‐vis the traditional bookbuilding method, in light of the recent academic literature on securities auctions and the results of the OpenIPOs Hambrecht has conducted, as of mid‐2004.

The main advantage of the OpenIPO process is that it precludes many of the abuses recently observed in investment banking; however, it is not well suited for complex businesses that are either difficult to value or far removed from the public eye.

Only nine OpenIPOs have been conducted by Hambrecht, or using the Hambrecht method, as of the completion of this paper in mid‐2004.

The paper foresees the OpenIPO process of Hambrecht as supplementing, rather than supplanting, the traditional bookbuilding method. This could come about through the emergence of the OpenIPO as a more viable alternative to bookbuilding, or possibly through some hybrid type of offering in which individual investors play a larger role in price discovery, via the internet, and shares are allocated through both the internet auction and traditional bookbuilding.

Managers considering an initial public offering have a choice between the OpenIPO process of Hambrecht, used in the Google offering, and the traditional bookbuilding process. The choice of the OpenIPO has become more viable not only because of the Google offering, but due to the severe criticism the traditional method has received in recent years for alleged abuses related to the pricing and allocation of shares. This paper assists managers in evaluating this choice IPO offer type while rigorously evaluating the pros and cons of the OpenIPO process and its likely future role in the investment banking industry.

The purpose of this paper is to detail how the adoption of enterprise resource planning (ERP) systems creates major distortions in the corporate decision‐making process.

The approach is to focus on the distortion in the capital – budgeting process of corporations emanating from the rigidity of ERP software. The rigidity negatively influences decision‐making because ERP software often dictates that the firm must change its core business procedures and processes to fit the software.

Lack of flexibility limits the introduction of new products, or targeting a new customer segment by increasing costs and imposing delays in implementation.

Firms would benefit from performing detailed analysis of the impact of ERP systems on their ability to make operational decisions.

This paper focuses on the problem of decreased flexibility in making changes in the production and accounting components of the firm when purchasing and installing ERP systems that cannot accommodate minor or major changes in the corporation.

Kindergarteners’ (n=41) concept of peace, a foundational social studies concept, was investigated via pre- and post-assessments that first, asked them to physically demonstrate how they looked or felt when they were at peace, second, asked them to draw a scene showing peace, and third, to caption the drawing. In pre-assessments all but three children demonstrated aggression and drew aggressive stances accompanied by captions indicating aggression. After opportunities to read about, discuss, and explore the concept of peace over five weeks, post-assessment occurred. In the post-assessments none of the data indicated aggression. Categories coded showed peace described as enjoyable activities, pro-social behaviors, and quietness/calmness/privacy. The study suggests hypotheses for further research investigating the concept of peace among very young children and possible factors influencing their concept and implications for social studies curriculum.

In order to study the importance of climate comfortable conditions of urban public open spaces in marginal season of winter cities for people's outdoor activities, first, the paper ascertained the specific times of Harbin's outdoor and marginal seasons based on meteorological data from 1984 to 2013. Second, this paper conducted field survey, which includes in situ measurement and structured interview, in three typical urban public open spaces in marginal season. The calculated results show that Harbin has an outdoor season from Apr 25th to Oct 1st, and the spring marginal season is from Apr 4th to Apr 24th, the fall marginal season is from Oct 2nd to Oct 24th. At the same time, the results of in situ measurement show that there is great room for the improvement of climatic conditions of urban public open spaces in the marginal season of winter cities, especially the public open spaces near to the high-rise buildings and waterfront, and the apparent temperature in these two open spaces is about 3°C lower than the air temperature simultaneously. The results of structured interview show that people would like to do some outdoor activities when it is nice weather outside in marginal season, and the regression analysis results show that people's outdoor activities time are severely affected by climate comfortable conditions in marginal season. They feel that fine microclimate is much more important for a person than enough facilities and green landscape of urban public open spaces in marginal season. The paper suggested that the specific times of outdoor and marginal seasons should be added to some urban design guidance as a specification in urban planning practice, and this paper advanced some urban planning strategies related to urban design to improve climatic conditions of urban public open spaces in the marginal seasons of winter cities.

This issue is a selected bibliography covering the subject of leadership.