Don't understand GE options. Someone please kindly explain

[freewilly]

GE now price is $10.18, March 01 $11 put option price is $0.40. Why is that? should not be at least $0.82 for $11 put?

Thanks,

freewilly

 

[Robert Morse]

GE now price is $10.18, March 01 $11 put option price is $0.40. Why is that? should not be at least $0.82 for $11 put?

Thanks,

freewilly

Are you looking at the regular options for 100 shares of just GE or one with another delivery?

 

[freewilly]

got it. It is NS option. GE distribution is $0.53

 

[SumZero]

GE had a spin off this week and holders were allocated GE (new) and WAB. Not sure how the old options worked out with that.

 

[ironchef]

GE had a spin off this week and holders were allocated GE (new) and WAB. Not sure how the old options worked out with that.

I have old GE options, they are now call GE1 (at Schwab) and is new GE option + a piece of the spin off.