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Technology Stocks : Dell Technologies Inc.

DELL 138.94

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Dec 5 9:30 AM EST

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To: GVTucker who wrote (137096)	7/20/1999 7:31:00 AM
From: GVTucker	Read Replies (3) of 176387

RE: DELL and European exercise Why does DELL structure their options with European exercise? The primary reason that DELL says they sell puts is to facilitate stock repurchase. If that was the case, then DELL would prefer American exercise, it seems to me. That way, there is a greater chance that DELL would be able to buy the shares back at the exercise price--and isn't that the whole purpose of the exercise? By selling European puts instead, DELL seems to prefer to pocket the premium income instead of buy the shares--or, at a minimum, DELL is trying to increase the probability of pocketing the premium income.

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