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To: GVTucker who wrote (178880)7/26/2004 10:36:32 AM
From: rkral  Read Replies (1) | Respond to of 186894
 
OT ... GVTucker, re "Dividends almost always do not reduce the strike price of a listed option."

Agreed, but when the dividend exceeds 10% of the total market value, the options are almost always adjusted.

re "Extraordinary dividends like the MSFT dividend are settled on a case by base basis."

For this case, the OCC has already decided to reduce the strike of all options by $3. theocc.com

Ron