On 3/23/09, I sold 4 FNM Sep09 3 Covered Calls for a net deposit of $49.00 in an IRA account.  My basis for these FNM shares is now 8.60, excluding dividends received.

Yes, I still own FNM shares and am still able to sell options on them.  Of course, they are not paying dividends now.  I don’t know when they will again or even if they will again.  I’ll keep selling Covered Calls on them, probably for as long as I can.  At some point, my basis will get so low that my effective return will be pretty good.  All I need is for options to continue to be offered and I live long enough.