We are recommending the following credit spreads to the JULY expiration cycle.

We are recommending credit spreads for our Portfolio #1 in the following issues.

FSLR - First Solar, Inc. provides solar energy solutions. It operates in two segments, Components and Systems. The Components segment engages in the design, manufacture, and sale of solar modules that convert sunlight into electricity. It primarily serves project developers, system integrators, and operators of renewable energy projects. The Systems segment provides turn-key photovoltaic solar power systems to investor owned utilities, independent power developers and producers, commercial and industrial companies, and other system owners. This segment provides project development; engineering, procurement, and construction; operating and maintenance; and project finance services. The company was formerly known as First Solar Holdings, Inc. and changed its name to First Solar, Inc. in 2006. First Solar, Inc. was founded in 1999 and is headquartered in Tempe, Arizona.

NAV - Navistar International Corporation, through its subsidiaries, manufactures and sells commercial and military trucks, buses, diesel engines, and recreational vehicles, as well as provides service parts for trucks and trailers worldwide. The company operates in four segments: Truck, Engine, Parts, and Financial Services. The Truck segment manufactures and distributes trucks and buses for the common carrier, private carrier, government, leasing, construction, energy/petroleum, military vehicles, and student and commercial transportation markets under the International and IC brands; assembles components; and produces sheet metal components, including truck cabs. This segment markets its products through its independent dealer network, and distribution and service network retail outlets comprising 784 in the United States and Canada, 86 in Mexico, and 292 internationally, as well as markets reconditioned used trucks to owner-operators and fleet buyers through its network of used truck centers. The Engine segment designs, manufactures, and sells diesel engines under the MaxxForce brand for use in the medium trucks, heavy trucks, and military vehicles, as well as for its IC branded school buses and other applications. The Parts segment provides customers with products required to support the company?s brands, as well as offers other truck, trailer, and engine service parts.

UAL - United Continental Holdings, Inc., Denver, Guam, Houston, Los Angeles, New York/Newark, San Francisco, Tokyo, and Washington, D.C. It also sells fuel, as well as offers catering, ground handling, and maintenance services for third parties. The company was formerly known as UAL Corporation and changed its name to United Continental Holdings, Inc. in October 2010. United Continental Holdings, Inc. was founded in 1934 and is headquartered in Chicago, Illinois.

DHI - D.R. Horton, Inc. operates as a homebuilding company. The company engages in the acquisition and development of land; and construction and sale of residential homes in 26 states and 77 markets in the United States primarily under the D.R. Horton, America?s Builder name. It builds traditional single-family detached homes; and attached homes, such as town homes, duplexes, triplexes, and condominiums. The company markets and sells its homes primarily through independent real estate brokers. It is also involved in the origination and sale of mortgages, as well as provision of title insurance policies, and examination and closing services primarily to the purchasers of its homes. D.R. Horton, Inc. was founded in 1978 and is headquartered in Fort Worth, Texas.

We are recommending the following specific credit spreads.

Call credit spreads = bearish call spreads.

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We are recommending credit spreads for our Portfolio #2 in the following issues.

FFIV - F5 Networks, Inc. provides application delivery networking technology that secures and optimizes the delivery of network-based applications, and the security, performance, and availability of servers and other network resources. It offers Local Traffic Manager, which provides intelligent load-balancing and traffic management; Global Traffic Manager that automatically directs users to the closest or best-performing data center; Access Policy Manager, which provides secure, granular, and context-aware control of access to applications; and Application Security Manager, an application firewall. The company also provides Link Controller that monitors the health and availability of each connection in organizations with more than one Internet service provider; WAN Optimization Manager, which integrates application delivery with WAN optimization technologies; WebAccelerator that speeds Web transactions by optimizing individual network object requests, connections, and end-to-end transactions from browser to databases; and Message Security, which extends security for message applications to the edge of the corporate network and eliminates unwanted e-mail. In addition, it offers BIG-IP and VIPRION application delivery controllers; Edge Gateway, a remote access product that provides context-aware, policy controlled, and remote access to applications at LAN speed; Enterprise Manager, which allows customers to discover and view its products in a single window; Traffix Signaling Delivery Controller for diameter signaling and routing; and ARX product family, a series of high performance and enterprise-class intelligent file virtualization devices. The company sells its products to enterprise customers and service providers through various channels, including distributors, value-added resellers, and systems integrators in the Americas, the Middle East, Africa, Japan, and the Asia Pacific. F5 Networks, Inc. was founded in 1996 and is headquartered in Seattle, Washington.

MC0 - Moody's Corporation provides credit ratings; and credit, capital markets, and economic related research, data, and analytical tools worldwide. It also provides software solutions and related risk management services; quantitative credit risk measures, financial services training, and certification services; and outsourced research and analytical services to institutional customers. Its Moody?s Investors Service segment publishes credit ratings on debt obligations and entities that issue such obligations comprising various corporate and governmental obligations, structured finance securities, and commercial paper programs. This segment provides ratings in approximately 110 countries. Its ratings are disseminated via press releases to the public through print and electronic media, including the Internet and real-time information systems for use by securities traders and investors. As of December 31, 2012, this segment had ratings relationships with approximately 10,000 corporate issuers and approximately 22,000 public finance issuers. It also rated and monitored ratings on approximately 82,000 structured finance obligations. The company?s Moody?s Analytics segment develops products and services that support financial analysis and risk management activities of institutional participants in financial markets. It also distributes research and data, such as research on debt issuers, industry studies, and commentary on topical credit related events. In addition, this segment provides economic research, and credit data and analytical tools, such as quantitative credit risk scores; software solutions and related risk management services; and outsourced research and analytical services with financial training and certification programs. It serves approximately 4,100 institutions in approximately 115 countries.

COG - Cabot Oil & Gas Corporation, an independent oil and gas company, engages in the development, exploitation, exploration, production, and marketing of natural gas, crude oil, and natural gas liquids in the United States. The company primarily focuses on the Marcellus Shale in Pennsylvania with approximately 200,000 net acres in the dry gas window of the play; the Eagle Ford in south Texas with approximately 60,000 net acres in the oil window of the play; and the Marmaton oil play in Oklahoma with approximately 70,000 net acres in the play. It also transports, stores, gathers, and produces natural gas for resale. The company sells its natural gas to industrial customers, local distribution companies, and gas marketers through on and off its pipeline and gathering system, as well as to intrastate pipelines, natural gas processors, and marketing companies. As of December 31, 2012, it had proved reserves of approximately 3,842 billion cubic feet of natural gas equivalent. The company was founded in 1989 and is headquartered in Houston, Texas.

We are recommending the following specific credit spreads.

Call credit spreads = bearish Call spreads.