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Subject:  Re: Cost basis from a spin off Date:  2/23/2013  5:32 AM
Author:  TMFPMarti Number:  117848 of 124773

We used to own Pixar, which eventually was bought out by Disney. Shortly after Pixar shares were converted to Disney, Disney spun off a small company called Citadel Broadcasting, which started out being a penny stock (maybe 31 cents) and was only worth in total about $50 in our account, but then went to zero in short order.

I sold off our Disney shares this year and had my broker "sell" the worthless stock too, on the same day.

I would just allocate all the basis to Disney.

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