In 2010 I owned 2200 shares of WEL which I paid $11,714.99 for in 2003.
HAL (Haliburton) bought WEL (in 9/2010), and paid out $1.72 per share, so I got $3784 cash. They also gave $21.76 cash in lieu and 90 shares of their own company (HAL) @ $30.855/share, which is equal to $2776.95
I sold the 90 shares of HAL on 1/10/2010

How do I handle this on my taxes?
Do I adjust the costs basis for WEL based upon receiving the cash in lieu and HAL stock at price issued?
Any help is greatly appreciated. Thanks!