On November 01, 2014, Agilent Technology (A), distributed shares of Keysight (KEYS), to the holders of record of Agilent Technology common stock as of 5:00 p.m. Eastern Standard Time on October 22nd, 2014.
In the Distribution, Agilent Technologies Shareholders of record received 1 share of Keysight
common stock for every 2 shares of Agilent Technology common stock.
This is a standard spinoff, which can be entered using the basic steps on FAQ 54 at https://www.iclub.com/faq/Home/Article?id=54 for the online accounting at www.myICLUB.com
The following information was taken from the Shareholder Tax Basis letter posted in the Investor Relations portion of the Agilent web site.
The number of shares of the new company: Divide the number of shares of Agilent that the club had by 2 to find the shares of Keysight you will want to enter. The broker statement will usually only show the whole shares that the club received, but if you received cash as part of the transaction, our accounting system needs you to enter both whole and fractional shares as part of the spinoff.
The Remaining Basis of the parent company: The Remaining Basis is 72.39
While it is possible to use the price per share for Agilent, we strongly suggest to use the remaining basis instead; this determines how much of the cost basis is transferred from Agilent over to Keysight.
The price per share of Keysight: Based on the information in the write-up, we suggest to use 31.15 (This is the price per share used in the example when determining the cost basis allocation). If your broker shows a different figure, we suggest to use that instead.