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To: Sarmad Y. Hermiz who wrote (9374)	10/16/2004 5:41:16 PM
From: Sam Citron	Respond to of 13403

OT Thanks, Sarmad. I agree with the qualification that if the covered calls are sold when they are in-the-money, they may be treated somewhat differently for tax purposes and may suspend the holding period for the stock. The cc position as exemplified here demonstrates how simple it is to collect some decent "income" off a stock portfolio at a time when capital gains are hard to come by and interest rates are exceedingly low. Although the cc write certainly caps your upside potential, in a rangebound market that is the right thing to do. When I sell a cc, I always ask myself if I would be happy to take profits at the strike price. If the answer is no, then I don't write the call. Sam