Sunday, May 23, 2010

BUCY-COVERED CALL PLAY

Bucyrus International, Inc.

(Public, NASDAQ:BUCY)

Bucyrus International, Inc. is currently trading at $50.06. The June $50.00 Calls (BUCY20100619C00050000) are trading at $3.90. That provides a return of about 8% if BUCY is above $50.00 on expiration Friday in June.

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Bucyrus International, Inc. (Bucyrus) is a designer and manufacturer of safe and mining equipment for the extraction of coal, copper, oil sands, iron ore and other minerals in mining centers throughout the world. In addition to the manufacture of original equipment, Bucyrus also provides the aftermarket replacement parts and service for this equipment. Bucyrus operates in two business segments: surface mining, including the principal products of Terex Mining, and underground mining. All of its products and services are marketed under the Bucyrus name. The Company has manufacturing facilities in Australia, China, the Czech Republic, Germany, Mexico, the United Kingdom and the United States, and service and sales centers in Australia, Brazil, Canada, Chile, China, England, India, Indonesia, Mexico, Peru, Russia, South Africa and the United States. On February 19, 2010, Bucyrus completed the acquisition of Terex Corporation, the mining equipment business.





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