A geometric approach to finite rank unitary perturbations

For a fixed natural number n, we consider a family of rank n unitary perturbations of a completely non-unitary contraction (cnu) with deficiency indices (n,n) on a separable Hilbert space. We relate the unitary dilation of such a contraction to its rank n unitary perturbations. Based on this construction, we prove that the spectra of the perturbed operators are purely singular if and only if the operator-valued characteristic function corresponding to the unperturbed operator is inner. In the case where n=1 the latter statement reduces to a well-known result in the theory of rank one perturbations. However, our method of proof via the theory of dilations extends to the case of arbitrary n. We find a formula for the operator-valued characteristic functions corresponding to a family of related cnu contractions. In the case where n=1, the characteristic function of the original contraction we obtain a simple expression involving the normalized Cauchy transform of a certain measure. An application of this representation then enables us to control the jump behavior of this normalized Cauchy transform "across" the unit circle.