I purchased some P&G (PG) stock a while back (in 2004). Then, a couple of years ago, when Folgers merged with Smuckers, P&G common stock holders were given the option to exchange some/all/none of their stock for folgers stock, which then converted into 1 share of SJM stock. At the time the valuation was a good deal, so I exercised my option and exchanged some of my stock. Then, in 2009, I sold that stock. I'm having a hard time figuring out what the cost basis for the SJM stock should be.
Here's some more info on the exchange:
http://www.streetinsider.com/Merger...f+Folgers+and+J.M.+Smucker+(SJM)/4052459.html
In doing my taxes this year, I just took the cost basis of the original P&G shares purchased in 2004 that were later exchanged as the cost basis (plus fees yada yada yada), but I don't know if that's the correct way of doing it.