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To: Don Hess who wrote (5452)	4/15/1999 4:28:00 PM
From: Don Hess	Respond to of 60323

Okay, so it wasn't a 40-pound mallet. It was a 15-pound mallet. - Don

To: Don Hess who wrote (5452)	4/15/1999 5:22:00 PM
From: Bruno Cipolla	Respond to of 60323

options .... read the cboe intro to options, their risks etc. www.cboe.com get sndk quotes from edreyfus.com you can use options for 1) very aggressive speculation (boom or bust) 2) insure your gains (that's ok) 3) other (read above) remember: with options you can make 20 times the money or lose everything. most (8 out of ten times) options don't get called (i.e. you lose everything or so) play only the money you can lose with options. iamgine gambling at the casino. sometimes i was quite right with the forecast for the stock, only the timing was wrong, my options expired worthless. B.

To: Don Hess who wrote (5452)	4/15/1999 5:40:00 PM
From: Sam	Respond to of 60323

Don, Options can be fun, but can be debillitating to your financial well being. With a stock like SNDK, you can't *know* what is going to happen. You can be "sure" that it will tread water for the next 3 months, but then.... there will be a favorable (or unfavorable) settlement in the Lexar suit. Or INTC will announce that they are getting out of making their own flash, and will invest in SNDK instead. Or buy them out. Or .... whatever. The only way to for someone to construct an options strategy for someone else is to sit down with them and go over their financial objectives, the reason for being in the market and for being in that particular stock, then outline various strategies that fit that particular person's temperament, strategies and needs. If you buy calls, you can lose every penny that you use if your timing isn't correct. If you sell calls against your position, you can get some downside protection, but if the stock soars, you will lose some upside appreciation. If you buy puts, you can protect your position, but your holding period will restart, if you aren't already long term and you want capital gains. Selling puts is a reasonable thing to if buying the stock at that level is acceptable to you. All that said, if SNDK is at 7 next September, mortgage your house and buy as many long term calls as you can.<vbg>* [*This is a joke, not meant to be acted on--just in case.]

To: Don Hess who wrote (5452)	4/15/1999 5:49:00 PM
From: Art Bechhoefer	Respond to of 60323

Here's a conservative strategy. Buy the stock now, when it is cheap, and later on, when it seems to be getting near a plateau, consider selling covered call options with an expiration date at least three months in the future and a striking price about 10 percent above the market price of the shares. That protects your profit, but also limits your profit should the shares suddenly take off. As for buying calls, the premium is usually too high on anything with expiration dates more than a month in advance, so your timing really has to be good to get in and get out on rising momentum. Generally speaking, it's too much of a gamble. As for selling puts, again with expiration date well in advance, this strategy allows you to take advantage of the premium on options with expiration date far in the future. The problem here is that you have to have money in your account to cover the cost of buying shares if the stock price falls and they "put" the shares to you at a price higher than market. Of the three strategies, the first, which is conservative, is most likely to generate a little extra profit. Art