Patent ID: 7827096
Filing Date: 2010-11-02
Classification: G06Q

Abstract:
1. A method of providing a company with a large quantity of stock shares issued by the company by borrowing the large quantity of shares from a lender and gradually repurchasing small quantities of the shares from the market in order to settle with the lender, the method comprising: receiving, from the company, a request for a first quantity of shares issued by the company; communicating, to the company, at least one dividend limit associated with the shares; communicating, to the company, a maturity window consisting of a start maturity date and an end maturity date, the maturity window being subject to change upon the at least one dividend limit associated with the shares being exceeded; receiving, from the company, compensation associated with a second quantity of shares issued by the company; borrowing, from at least one lender, the second quantity of shares issued by the company; conveying the second quantity of shares to the company; purchasing a plurality of quantities of the shares at market value; detecting that one or more ordinary dividends associated with the shares and declared by the company exceeds the at least one dividend limit; computing, using a computer, a value of an outstanding transaction with the company, the outstanding transaction comprising a potential revised maturity date; setting, as a consequence of said detecting and based on the computing, a revised maturity date outside of the maturity window; calculating a settlement number of shares as a difference between (1) a number of shares corresponding to the compensation and an average share value and (2) the second quantity of shares, wherein the average share value is determined over a time period associated with the revised maturity date; compensating the company if the settlement number of shares is negative; receiving compensation from the company if the settlement number is positive; and settling with the at least one lender.