Puts Purchased on Reynolds American Inc.

Shares of Reynolds American Inc. RAI are lower on the session by 1.34%, currently trading at $38.96. The stock has been moving largely higher over the past six months and is currently trading above the 50-day and 200-day moving averages. Options traders are buying puts on the name today. A short while ago the July 2011 $39.00 put was purchased 1,200 times, on the offer, on open interest of 23 contracts. Overall put volume is now running at 6.72x the daily average with 91% of all puts traded being purchases on the offer. Reynolds American Inc. is a holding company. The company's operating subsidiaries include cigarette manufacturer in the United States, R. J. Reynolds Tobacco Company, and the smokeless tobacco products manufacturer in the United States, American Snuff Company, LLC.