How do I find out the particulars of a NS option.
I am looking at a NS option and trying to understand what the rights and responsiblities are.

it is the CTIC Jan 2.5 Put (l-10) (+KGXMZ)

it says it is just 10 shares.

I am thinking about selling the put and anticipating the option to be worthless at expiration. But I am not sure what I will get if the option is exercised.

How can I figure this out?



1) I assume NS refers to a non-standard option.

2) CTIC underwent a reverse stock split of 1 for 10.  Each 10 shares is now one share.  Thus each option contract is now exercisable into 10 of the new, post-reverse split shares.  Details:

The symbol changed to CTICD, but is once again CTIC.

3) The original contract allowed the put owner to exercise and receive $250 by delivering (selling) 100 shares. Nothing should change for that put owner as a result of the reverse split.  By that I mean that he/she neither makes nor loses money.  Thus, the put owner has the right to sell - and you as the seller would be forced to purchase - 10 shares of stock at a cost of $250.

With the stock trading near $1.40 and 10 shares of stock being worth $14, it seems that these puts are valuable, and deep in the money (deep ITM for a put with a 2.5 strike price!).

4) If you are assigned an exercise notice, you will 'get' 10 shares (100 old shares) for each option you sold, and you will be obligated to pay $250 cash for those 100 shares.

But there is something going on that I don't get.  My broker (Interactive Brokers) does not show that this option exists, yet the CBOE circular (link above) clearly states that it does.

Because a bad decision here may cost a lot of money, I suggest that you get the definitive answer from the options clearing corporation (OCC) (  You can reach them:  They reply fairly quickly.  You can call, but I feel safer with a response in writing.


Mark D. Wolfinger

The Rookie's Guide to Options:The Beginner's Handbook of Trading Equity Options