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To: Andeveron who wrote (6505)	6/18/1998 12:05:00 AM
From: Jan Crawley	Read Replies (2) \| Respond to of 164684

Yes, the person left holding the option at expiry is the market maker, who makes the market in options - he buys, he sells, he clears the table at expiration and makes sure that any open options are closed out. He does not have to exercise. My recollection of Macmillan's book isn't what it used to be but this was the gist of it. However, the market makers do buy/short stocks in the open market to adjust his inventory?? If more calls are to be closed, then selling pressure Monday after? Ty

To: Andeveron who wrote (6505)	6/21/1998 9:40:00 PM
From: Mike M	Respond to of 164684

Ande- <<Yes, the person left holding the option at expiry is the market maker, who makes the market in options >> I agree that most options are sold, but to whom...unless the writer of the option buys them back, to close out an open position, then that option continues to have value (assuming the stock price is above the strike price) until the day it expires....So, for every seller there is a buyer. .... Ultimately, if the option reaches expiration with value, then it must be exercised....or expire worthless (why would the new buyer allow that?) ! If the market maker is still left holding the option (I agree that is a possibility) then I am sure he will have to exercise the option and decide what to do with the stock... Mike