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Hi all,

Recently LBTYK issued a stock dividend of LILAK (0.124769 LILAK shares for every LBTYK share.

I have two lots of LBTYK with 100 shares each (with lot A being older than lot B). So after the stock dividend I have the equivalent lots in LILAK:

lot A: 12.4769 shares
lot B: 12.4769 shares

My broker gave me cash in lieu of fractional shares to bring down my LILAK share count to 24, but how do I allocate this among the lots?

Do I

1. subtract 0.9538 shares from the older lot A for a result of:
lot A: 11.5231 shares
lot B: 12.4769 shares


or do I

2. subtract 0.4769 shares from each lot for a result of:
lot A: 12 shares
lot B: 12 shares

I am tending to option 1, even though I don't like to work with fractional shares going forward. I'm also aware that the practical difference is rather small in this particular case, but it's good to know, how to approach this in general.

Please note that - even though I pay my taxes in the U.S. - my broker is a European broker, so unfortunately they don't do the cost base tracking on a per-lot basis for me, like U.S. brokers do.

What do members on the board think is the best option do handle fractional shares?

Thanks in advance for your help,
Bernhard
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