options & exercise price., page-3

Hi, all

if a holder has 3,500,000 options at an exercise price of 50cents expiring on the 25th july 2004, when the current share price is 33cents.

It means that if ELX's share price trades over 50 cents before on that date, that holders can make a profits.

Let's say 51 cents, if he exercise his optin right he can make 18cents profit per share.

If ELX's share price is not reached 50 cent before expiration, it becomes worthless and he doesn'e exercise so he only lose the premium that he pays to get option...

Hope it helps