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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: frank/fla. who wrote (48784)	6/16/1998 2:55:00 PM
From: Souze	Read Replies (2) \| Respond to of 61433

Worth of an option?... If, come Oct. 1, LU makes a bid for ASND, and if that bid is 1 share LU for each ASND share, and if LU is then trading at about $70, can anyone give some guidance as to what an ASND Jan 45 call would be worth then? In a similar vein, what would happen to the price of LU stock if LU does make a one-for-one bid for ASND? Will it tank like NT's did yesterday following their bid for BAY? Relative to the price of ASND options in general, it seems to me that, o with ASND joining the S&P500, o and with earnings becoming more stable and more predictable, that ASND's stock price will loose a lot of its volatility, and o this will be a drag on option prices, o and that this (hypothesized) drag is not yet priced into the options. Thoughts? Thanks in advance.