RE: Phelps Dodge Corporation (“PD/PD1C”) Special Cash Distribution Ex-Distribution Date: May 12, 2006
Phelps Dodge Corporation (“PD/PD1C”) has announced a special cash distribution of $2.00 per PD common share. The record date is May 16, 2006; with a payable date of June 2, 2006. The New York Stock Exchange (“NYSE”) has set Friday, May 12, 2006 as the PD ex-distribution date for this distribution.
PD1C Contract Adjustment
Pursuant to The Options Clearing Corporation rules, on May 12, 2006, The OCC and Chicago Mercantile Exchange Clearing Division will adjust the “start of day price” for the adjusted contracts by reducing the May 11 settlement price by the special cash distribution amount (i.e. $2.00). The variation margin will be calculated using May 12 start of day prices and May 12 end of day settlement prices.
None of the symbols for OneChicago PD1C contract months will change. The contract unit of each adjusted Phelps Dodge Corporation futures contract will remain at 100 shares. The contract multiplier will remain at 100, i.e., 1.00 will equal $100.
Questions regarding this memo can be addressed to The Options Clearing Corporation at 800-621-6072. This and all other OneChicago corporate event circulars can be accessed from the OneChicago Web site at www.OneChicago.com PDF