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Strategies & Market Trends : Calls and Puts for Income

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To: Jerome who wrote (1051)7/28/2007 7:43:28 AM
From: dealmakr   Read Replies (2) of 5891
 
Hi Jerome,

Looks like AHM won't pay up;

American Home Mortgage Investment Corp. Delays Payment of Quarterly Common Stock and Series A and Series B Preferred Stock Dividends

biz.yahoo.com

I haven't seen this type of thing happen too much over the years, not paying after declaring the dividend, but not a real good sign. IMHO the risk is still to the downside on these plays and the option premiums are weighing the size of that risk. You can look back at NEW,NFI,DRL etc. to see.

regards,

dealmakr
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