Lohmann, ChristianChristianLohmannOhliger, ThorstenThorstenOhliger2022-06-172022-06-1720201468-036X1354-7798https://fis.uni-bamberg.de/handle/uniba/54233The cure of a defaulted company has important implications for the estimation of the loss given default. In this study, we estimate the probability of a defaulted company being cured using data on a large international sample of defaulted companies. More specifically, we examine whether historic accounting information on a defaulted company and loan‐related information are associated with that company's probability of being cured. The main finding of our analysis is that both accounting‐based and loan‐related independent variables increase the validity of cure prediction models.engaccounting information ; company cure ; collateralization ; cure probability ; defaulted company ; Global Credit Data650article10.1111/eufm.12279