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We revisit the optimal capital structure model with endogenous bankruptcyfirst studied by Leland \cite{Leland94} and Leland and Toft \cite{Leland96}.Differently from the standard case, where shareholders observe continuously theasset value and bankruptcy is executed instantaneously without delay, we assumethat the information of the asset value is updated only at intervals, modeledby the jump times of an independent Poisson process. Under the spectrallynegative L\'evy model, we obtain the optimal bankruptcy strategy and thecorresponding capital structure. A series of numerical studies are given toanalyze the sensitivity of observation frequency on the optimal solutions, theoptimal leverage and the credit spreads.

The Leland-Toft optimal capital structure model under Poisson observations