Put Options on PAY on 6/6/2013

Verifone Systems (PAY) designs, markets, and services electronic payment solutions worldwide. It provides countertop electronic payment systems that accept magnetic, smart card, contactless or radio frequency identification cards, and near field communication(NFC) payment options, as well as support credit, debit, check, EBT, and pre-paid products; an array of software applications and application libraries; and mobile solutions that support CDMA, GPRS, Bluetooth, and WiFi technologies.

The company also offers products for consumer-facing functionality at the point of sale; contactless/NFC payment solutions consisting of contactless readers for consumer-facing transactions for indoor and outdoor payment system solutions; and integrated electronic payment systems that combine electronic payment processing, fuel dispensing, and ECR functions, as well as payment systems for integration.

The Company guided lower today and that has sent shares sharply lower. We expect the sell off to continue.

52-Week Trading Range: $17.08 - $39.00

Last Trade: $17.41

Trade Buy 1 July $17.00 Put at $0.90 For a net debit of $0.90 Profit/Loss Analysis Breakeven at $16.10 Maximum profit is unbounded Maximum loss is ($90.00) at strike of $17.00 Closing Summary Sold 1 July $17.00 Put at $0.00

Position closed on 7/22/2013 at price of $0.00 with a -100.00% loss in 45 days.

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