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Hi, all,

Came across a slightly perplexing, (as in new to me), options question, and I'm hoping an options pro can help me sort it out -- and also make sure I'm getting the right thing from my broker.

I sold covered calls against my Activision shares, VCDAC, at what I thought was a very attractive premium -- however, because there was a 4:3 split, the contract is for 177 shares not 100 shares.

My worry now, due to the higher premium, is that the listed strike price of $15 will also be adjusted for the split.

Here's the language from the confirmation:

CALL ACTIVISION JAN 015 ****
LONG TERM OPTIONS EXP 01/20/07
ADJ 4:3 STK SPLIT,DEL:177 ATVI
EXP 01/20/2007
UNSOLICITED
INTERNET ORDER
OPEN CONTRACT

If, indeed, I would have to deliver the shares at $15, I will be quite pleased with the $3.70 premium . . . but if the strike price will be split adjusted, then I want to reverse this transaction quickly.

Help?

Thanks you!

-- Beth
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