EFTA01393154.txt Text dataset_10 View on DOJ

This document outlines the rules for adjusting options series in response to corporate actions like cash dividends, stock splits, and stock distributions, effective February 1, 2009. It provides specific examples and guidelines for determining when adjustments are necessary and how they should be calculated.

Subject

Options Series Adjustment Rules

Sender

—

Recipients

—

Document ID

SDNY_GM_00244775

Date

2009-02-01

In the case of all other options series. a cash dividend or distribution announced on or after February 1, 2009, will generally be considered "ordinary," regardless of size, if OCC believes that it was declared pursuant to a policy or practice of paying such dividends or distributions on a quer. terty or other regular basis (and no adjustment will normally be made for any cash dividend or distribution that amounts to less than $12.50 per contract).

As a general rule, a 2 for 1 or a 4 for 1 stock split, stock distribution or stock dividend will result In the number of outstanding options being proportionately increased and the exercise price being proportionately decreased.

Financial transactions/money flowLegal matters/litigation

OCC

Tone

Professional

Purpose

To provide updated rules regarding the adjustment of options series, particularly concerning cash dividends, stock dividends, stock distributions, and stock splits.

Significance

This document outlines the specific rules and examples for adjusting options series based on various corporate actions, which is crucial for investors and market participants.

File Name

EFTA01393154.txt

Dataset

dataset_10

Type

Text

Model

gemini-2.0-flash-001

Processed

2026-02-07T18:43:59.683964

DOJ Source

View on DOJ