NATIONAL STOCK EXCHANGE OF INDIA LIMITED

FUTURES & OPTIONS SEGMENT

CIRCULAR

Circular No. NSE/F&O/0032/2002 August 06, 2003

Download No: NSE/F&O/4319

Adjustment of Futures and Options contracts in the security I-FLEX Ltd.

In pursuance of SEBI guidelines for the adjustments to futures and options contracts on announcement of corporate action of bonus, the members are informed the following:

Corporate action

Symbol: I-FLEX

Bonus issue ratio: 1:1

Ex-date: September 05, 2003

Adjustment factor for Bonus issue of A:B is defined as (A+B)/B. In the case of I-FLEX the adjustment factor is (1+1)/1 = 2, since the bonus issue ratio is 1:1.

Adjustments for corporate action

The following adjustments shall be carried out on Futures and Options contracts on I-FLEX Limited.

Adjustments for Options Contracts:

1. Strike Price: The adjusted strike price shall be arrived at by dividing the old strike price by the adjustment factor.

2. Market Lot: The adjusted market lot shall be arrived at by multiplying the old market lot by the adjustment factor.

3. Position*: The adjusted position shall be arrived at by multiplying the old position by the adjustment factor.

Adjustments for Futures Contracts:

1. Market Lot: The adjusted market lot shall be arrived at by multiplying the old market lot by the adjustment factor.

2. Position*: The adjusted position shall be arrived at by multiplying the old position by the adjustment factor.

3. Futures price: The adjusted futures price shall be arrived at by dividing the old futures price by the adjustment factor.

* Detailed methodology for position adjustments shall be separately intimated by NSCCL.

Example for adjustment is given in Annexure 1.

The above changes shall be effective from September 05, 2003. Members are advised to note that GTC/GTD orders for the futures and options contracts on I-FLEX outstanding at the close of business on September 04, 2003 shall consequently stand cancelled.

For any clarifications, trading members are advised to contact the following officers:

Mr Santosh Viswanathan, Mr Shaju Paul, Mr Harshavardan Nayak at 022-26598151 and 022-26598152

For and on behalf of

National Stock Exchange of India Limited

Arup Mukherjee

Manager

Annexure-1

Option contracts before adjustment:

Instrument	Symbol	Expiry date	Strike	Type	Market Lot	Position
OPTSTK	I-FLEX	25-Sep-03	1020	CA	300	300
OPTSTK	I-FLEX	25-Sep-03	1020	PA	300	600
OPTSTK	I-FLEX	25-Sep-03	1080	CA	300	600
OPTSTK	I-FLEX	25-Sep-03	1080	PA	300	1200

Options contracts after adjustment

Instrument	Symbol	Expiry date	Strike	Type	Market Lot	Position
OPTSTK	I-FLEX	25-Sep-03	510	CA	600	600
OPTSTK	I-FLEX	25-Sep-03	510	PA	600	1200
OPTSTK	I-FLEX	25-Sep-03	540	CA	600	1200
OPTSTK	I-FLEX	25-Sep-03	540	PA	600	2400

Futures contract before adjustment:

Instrument	Symbol	Expiry date	Market Lot	Position	Futures Price
FUTSTK	I-FLEX	25-Sep-03	300	600	1140.00**

Futures contract after adjustment:

Instrument	Symbol	Expiry date	Market Lot	Position	Futures Price
FUTSTK	I-FLEX	25-Sep-03	600	1200	570.00**

**The price is only an indicative value for the purpose example.