Puts Purchased on Reynolds American (RAI)

Shares of Reynolds American Inc. RAI are higher on the session by 0.94%, currently trading at $52.99. The stock has been moving largely sideways for the better part of six months. Options traders are picking up some protection for the second day in a row. The July $55 put was purchased 1,100 times on open interest of just 14 contracts. Put volume is now running at 2.5x the daily average. Reynolds American Inc. is a holding company. The Company's wholly owned subsidiaries include R. J. Reynolds Tobacco Company, Santa Fe Natural Tobacco Company, Inc., Lane, Limited, Conwood Holdings Inc., and American Snuff Company, LLC (formerly known as Conwood Company, LLC) and Rosswil LLC, collectively referred to as the Conwood companies.