I

II

III

IV

Upstream breach

0.0343***

0.0352***

(0.01)

(0.01)

Downstream breach

0.0190***

0.0184***

(0.00)

(0.00)

Overall IT budget

−2.47e-06***

−2.44e-06***

(0.00)

(0.00)

Comm budget

−0.0000701

−0.0000869

(0.00)

(0.00)

Hardware budget

−0.000098

−0.0000825

(0.00)

(0.00)

Services budget

−2.51e-05*

−0.0000194

(0.00)

(0.00)

Software budget

3.49e-05*

0.00003

(0.00)

(0.00)

Storage budget

0.00173***

0.00154***

(0.00)

(0.00)

Software vendors

0.0699***

0.0698***

0.0717***

0.0716***

(0.01)

(0.01)

(0.01)

(0.01)

Std dev of site IT budget

0.0536**

0.0644***

0.0489**

0.0588***

(0.02)

(0.02)

(0.02)

(0.02)

ROE

−0.00257

−0.00295

−0.00199

−0.00221

(0.02)

(0.02)

(0.02)

(0.02)

Sales growth

0.617**

0.700***

0.669***

0.749***

(0.25)

(0.24)

(0.24)

(0.24)

Liquidity

−0.153**

−0.154**

−0.134*

−0.136*

(0.08)

(0.07)

(0.07)

(0.07)

Debt/Equity ratio

0.00254

0.00272

0.00208

0.00219

(0.00)

(0.00)

(0.00)

(0.00)

Market to book ratio

0.000288

0.000207

0.000474

0.000415

(0.00)

(0.00)

(0.00)

(0.00)

PE ratio

0.000429*

0.000435*

0.000410*

0.000415*

(0.00)

(0.00)

(0.00)

(0.00)

Market Cap

8.54e-06***

8.98e-06***

8.25e-06***

8.63e-06***

(0.00)

(0.00)

(0.00)

(0.00)

Tobin’s Q

0.0139

0.0147

0.0208

0.0219

(0.04)

(0.04)

(0.04)

(0.04)

Cashflow

0.169***

0.159***

0.172***

0.161***

(0.04)

(0.04)

(0.04)

(0.04)

Constant

−4.508***

−4.563***

−4.438***

−4.476***

(0.13)

(0.13)

(0.12)

(0.13)

R-square

0.100

0.105

0.095

0.100

Observations

12,543

12,543

12,543

12,543