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To: semi_infinite who wrote (7515)	1/20/2004 12:22:04 PM
From: Sam Citron	Respond to of 13403

OT primary rule is to write against cash or shorts Writing against cash is what I have always done instinctively with puts, though I have never heard of this expression. I was tempted to follow you in this particular case, but felt there was no rush due to the cloud of litigation, SEC investigation, etc. Problem is I got complacent, expecting it to test its 12 month low in single digits, but it never got much below 12. I especially like the put write approach where there is already an element of distress because that is where you get juicy premiums in return for an extra level of protection relative to simply buying the shares at the market. Size is something I always have problems with because diversification was drilled into me very early by someone who saw banks close during the depression.