Mark is also interested in reducing the cost of selling of his Christian Dior shares, Ali suggested that he should use European electronic crossing network to sell some of his shares. He told Mark that these networks are cheap, preserve anonymity and allows for 6 crossing opportunities of trades per day. They also allow participants to place some restrictions such as price and minimum fill. All orders submitted to the network is good for day which is means that any unfulfilled part of an order is automatically resubmitted to subsequent crossing sessions during the day. Following Ali’s advice, Mark has submitted his 150,000 CD shares to be sold in the European crossing network with a minimum fill of 125,000. The following orders are on the network for the shares of CD at the time of the first crossing session of the day. The most recent trading price of CD at the Paris Bourse is € 37.

A. order: a market order to buy 100,000 shares

B. order: a market order to sell 50,000 shares

C. an order to buy 20,000 shares at € 36

In the next crossing session new orders are submitted. The most recent trading price of CD at the Paris Bourse is € 38.

D. order: a market order to buy 150,000 shares

E. order: A market order to sell 50,000

1. In the first crossing session discuss what trades would take place on the crossing network and what orders remain unfilled?

2. In the second crossing session discuss what trades would take place on the crossing network and what orders remain unfilled?