On 7/22/08, I sold 2 BAC Aug08 35 Covered Calls for a net deposit of $56.50 in an IRA account.  After option premiums, but without considering dividends, my basis is now 45.77 for these BAC shares.

BAC pays a decent dividend at .64 per share per quarter for a 7.91% annualized return.  BAC reaffirmed this dividend in quarterly meeting.

I am still underwater with BAC but feel pretty good that it will end up being a good investment for me.  It would have been better to have gotten in at a better price though.  :-)  I am actually considering selling some new puts for BAC, perhaps at the 25 strike price.  If put to me it would reduce my average price nicely.  If not, it would be nice additional revenue.  By the way, I am considering doing the same for WFC which I think is probably a stronger bank.