We are recommending the following credit spreads to the February 2014 expiration cycle.
We are recommending credit spreads for February 2014 in the following positions
for Portfolio #3:
JCP - J. C. Penney Company, Inc., through its subsidiary, J. C. Penney Corporation, Inc., operates department
stores. The company sells family apparel and footwear, accessories, fine and fashion jewelry, beauty products, and home
furnishings. It also provides various services, such as styling salon, optical, portrait photography, and custom
decorating. As of February 2, 2013, it operated 1,104 department stores in 49 states and Puerto Rico. The company also
sells its products through its Internet Website, jcp.com. The company was founded in 1902 and is based in Plano,
AGO - Assured Guaranty Ltd., through its subsidiaries, provides credit protection products to public finance,
infrastructure, and structured finance markets in the United States and internationally. It offers insurance that protect
holders of debt instruments and other monetary obligations from defaults in scheduled payments, including scheduled
interest and principal payments. The company insures various securities, including taxable and tax-exempt obligations
issued by the United Sates state or municipal governmental authorities, and utility districts or facilities; notes or
bonds issued to finance international infrastructure projects; and asset-backed securities issued by special purpose
entities. It also insures and reinsures various types of the United States public finance obligations, such as general
obligation, tax-backed, municipal utility, transportation, healthcare, higher education, housing revenue, infrastructure,
investor-owned utility, and other public finance bonds; and various types of non-United States public finance obligations
comprising infrastructure projects and other projects, such as regulated utilities, pooled infrastructure obligations, and
other public finance obligations. In addition, the company insures and reinsures various types of the United States and
non-United States structured finance obligations, including pooled corporate obligations, residential mortgage-backed
securities, financial products, structured credit securities, consumer receivables securities, commercial mortgage-backed
securities, commercial receivables securities, insurance securitization securities, and other structured finance
securities. Assured Guaranty Ltd. markets its credit protection products directly to issuers and underwriters of public
finance, and infrastructure and structured finance securities, as well as to investors in debt obligations. The company
was founded in 2003 and is based in Hamilton, Bermuda.
VHC - VirnetX Holding Corporation develops software and technology solutions for securing real-time
communications over the Internet. The companyÂ’s software and technology solutions include secure domain name registry and
GABRIEL Connection Technology that are designed to secure various types of real-time communications over the Internet, as
well as enable organizations and individuals to establish communities of secure registered users, and transmit information
between various devices, networks, and operating systems. These secure network communities are designed to support content
applications, such as Instant messaging, voice over Internet protocol, mobile services, streaming video, file transfer,
and remote desktop in a secure environment. It also intends to provide a portfolio of licenses and services comprising
VirnetX technology; GABRIEL Connection Technology software development kit, including object libraries, sample code,
testing and quality assurance tools, and supporting documentation required by customers to implement the companyÂ’s
technology; domain name registrar service; registrar server software; connection server software; and relay server
software, as well as technical support and secure domain name master registry and connection services. The company serves
developers and original equipment manufacturers of chips, servers, smart phones, tablets, e-Readers, laptops, net books,
and other devices in the IP-telephony, mobility, fixed-mobile convergence, and unified communications markets. VirnetX
Holding Corporation was incorporated in 2005 and is headquartered in Zephyr Cove, Nevada.
We are recommending the following specific credit spreads.
Call credit spreads = Bearish Call spreads.
We may add a few late tonight in Portfolio #1 and #2, but more likely this weekend.