Bought:
 10,000 calls expiring on Nov. 20 with strike K1 = $60.00 
    for C = $1.39 each.

Simultaneously Sold:
 10,000 calls expiring on Nov. 20 with strike K2 = $62.50
     at C = $0.26 each.

Amount invested: 10,000($1.39-$0.26) = 10,000($1.13) = $11,300

Payoff: If S(T) < K1, then all calls are worthless and payoff = 0.

        If K1 < S(T) < K2, then the calls with strike K2 are worthless
        but the calls with strike K1 are worth S(T)-K1, so payoff is
        S(T)-K1 per call, or 10,000 (S(T)-K1).

        If S(T) > K2, then 
           each call bought with strike K1 is worth S(T)-K1 and 
           each call sold  with strike K2 is worth S(T)-K2 to the
              purchaser, so
        payoff =  10,000(S(T)-K1) - 10,000(S(T)-K2)
               =  10,000(K2 - K1)

What actually happened?

On Nov. 20 2009, P&G closed at 61.80 on Nov. 20 2009.
Assume all calls were exercised at close.

S(T) = 61.80 falls between K1 and K2.
Payoff = 10,000($61.80-$60.00) = 10,000(1.80) = $18,000.
Investment = 10,000($1.13) = $11,300.
Profit = $18,000 - $11,300 = $6,700.

If the initial $11,300 had been invested instead at 
a fixed annual rate r, it would have grown to $11,300(1+rt)
where t is the time in years between the the investment
and Nov 20 2009.


We don't know the date at which the investor purchased
the call spread, however since the story was published 
Nov. 6, the purchase was probably about 3 weeks prior 
to the expiration date, so t = (3/52). If r = 4% = .04,
the factor 1+rt = 1 + (0.04)(3/52) = 1.0023.
The $11,300 would have grown to $11,326.
As compared with putting the initial investment in a bank,
the profit is $6,674