Yes I reckon that is right. It will cost $250 to exercise each...

Yes I reckon that is right.

It will cost $250 to exercise each contract and it has already cost $50 up front for the premium.

That will give you 1000 shares worth $350 for a profit of $ $90? Per contract. A profit of 25% - Not too shabby :)

I don't know what costs there are when you exercise a contract and how long after expiry you have to do it, or in fact how you do it?

cheers
raine