Attention, those of you who own Alcoa, Inc. (AA): AA has completed a corporate restructuring and has split into two companies, Alcoa Corporation (AA) and Arconic Inc. (ARNC). AA owners have received a quantity of shares of ARNC equal to the number they previously owned of AA, and have also received 1 share of the new AA for every 3 shares currently owned of ARNC. Because of this restructuring and the previous reverse split with AA, you should sell your shares of AA and ARNC, and transmogrify if necessary.
Please note: when calculating the Price of Old Stock, you will want to take the combined net proceeds you receive from the sale of ARNC and AA, and divide them by the number of shares that you owned of ARNC.
Lattco PRO clients: Please use this link to access the transmogrification document for your accounts. Also, please give us a call after you have purchased shares for your new position and before your sell your options; we will need to make some adjustments to your account to properly reflect the transmogrification.
Lattco AutoPilot clients: At this time, trading screens for Transmogrification are not included in the AutoPilot system. You will need to login to TradeKing to place three orders to complete the Transmogrification process:
- Sell your existing shares of ARNC and AA
- Buy the same amount of shares for your new stock that you previously owned of ARNC
- Sell to Open a put at the top of the lower band to replace the purchase for the current month
Once this is complete please notify us and we will adjust your AutoPilot account so that it can suggest the appropriate call option orders.
If you have any questions, please don’t hesitate to contact us at email@example.com or 1-888-6-SNIDER. We’ll be happy to walk you through the process.