B.2.11 Example 11

Vanilla option with barrier settling fixed amount payment at maturity

MT 306 is generated during book.

Table B-69 Parameters of the contract

Contract Type	Value
Option Style	Vanilla
Booking Date	3 Jan 2023
Maturity Date	31 Jan 2023
Barrier Type	Knocked in
Expiration Style	American
Earliest Exercise Date	20 Jan 2023
Exercise Payment at	Maturity
Payment Lag days	2

Table B-70 Event wise contract status

Event	Date	Contract Status
Book	3 Jan 2023	Active
KNIN	17 Jan 2023	Knocked in
EXER	20 Jan 2023	Exercise initiated

Also, MT 306 is generated during KNIN (i.e., 22k Type of Event is KNIN) should populate 30F - Final Settlement Date (sequence B)

On Maturity date 31 Jan 2023, contract status remains Exercise initiated. Considering SGEN as 1 day.

Table B-71 Event wise contract status

Event	Date	Contract Status
SGEN (payment message)	01 Feb 2023	Exercise initiated
EXST (Accounting)	03 Feb 2023	Exercised

Since 02 Feb 2023 is being a holiday, EXST is triggered on Feb 3rd once EXST and the contract status will change to Exercised.