Bought 10 Sep $2.50 puts at $1.60 on 7/27/10.
This was a very volatile day for PCBC. PCBC opened at $1.02, up from $.88 the previous day. The price peaked at $1.38 and closed $1.23. I do not remember the corresponding trading price of PCBC at the time of purchase.
I sold these puts on 8/17/10 at $2.00. PCBC closed at $1.06 that day. Thus, I made about $40 per contract or $4.00 (excluding commissions). Net was $368.78 or about a 22.8 percent gain.
There is a reason why for bringing up these numbers. I went to the "$.99 Store" on 8/19/10 - bought 1,000 shares of PCBC. Although for tax purposes the put and stock transactions are separate, I consider it part of a single game plan. The result is net cost of about $.629 per share ($997.95-$368.78=$629.17).
The result of all this "high finance"?
Well, my average cost will be about $.226 per share after subscribing.
The 52-week low for PCBC is $.61, which would make a post-rights offer average price $.225.
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