emunki--

I'd like to have Pam's take on the options action, too, and when she's ready I expect we'll get it.

Meantime, as another player of KRY options, here's mine: some of what's happening with KRY options is as strange and bizarre as anything I've seen. There are now 17 Nov. 7.5 puts open; that means whoever sold the options has obligated him/herself to buy 1700 shares at $7.50 within the next three weeks. The buyers of those puts have a right to sell at $7.50, but they paid $7.30, apparently, for the option. They can break even on the trade only if they hold or can buy KRY stock for twenty cents. Go figure.

Currently there are 1366 April 2.5 call option contracts outstanding. I can understand why the sellers of those did what they did--since I sold a good chunk of that total myself. I locked in a 10% APR return on my investment in KRY, and I'm obligated to sell at 2.5, which will, if the calls are exercised, yield a satisfactory profit. And I can understand why the buyers of those calls did what they did: they expect at least a modest rise in KRY's SP--which could yield them a 500% profit, easily, by selling the call back into the market.

Both the sellers and the buyers of those April calls benefit if KRY's SP rises--so their actions are optimistic signals for us, I believe.

For a while yesterday the bid/ask for the April 2.5's rose from $.00/.05 to .05/.10. That's a good sign, too--but today both have fallen back.

Lope