Good points. Although I have long option positions in Nokia, I have bought October 20th $3 puts to hold until the "warnings season" is past.
The future of the stock is very uncertain, until we get some idea as to whether Nokia's Windows 8 smart phones are going to get market share in developed markets. Or could Apple buy out the company for its mapping and camera technologies, and save itself half a billion dollars a year in royalties? With Apple having a great deal of currency overseas that it will have to pay tax to repatriate, this might make sense in the same way that Microsoft bought Skype which was originally based in Luxumbourg.
I get your approach. Hedge away, that is smart. I don't think apple will buy Nokia for maps. Apple is a build it yourself company, but if they were going to buy why not buy a firm that is almost there and not hand the competition anything. TOMTOM and Navtel or Wave. They could be bought for billion and invest very little to be equal to google maps. Navteq is unique because not gov't data but user inputs are used, but a google equivalent would be just fine.
Ultimately, not one is going to buy Nokia. They will dig out of this mess if they manage the firm correctly and find other avenues for revenues. The idea this thing is going back to $10 is 95% not happening without seeing it coming from a mile away.