This morning I was surprised to see that I sold 14 FBR Jan10 2.50 Covered Calls for a net deposit of $51.50 in my taxable account.  My basis for these FBR shares is now 9.14, excluding dividends received.

This sale resulted from a GTC order I placed weeks ago that finally hit.  So far, there are no more options being offered on FBR after Jan10.  I should probably sell these shares after these options expire in January.  I seriously doubt if FBR will be at 2.50 by then.  FBR paid its last dividend in Sep07.  The situation changes if FBR begins to pay a dividend again.

This morning I sold 20 FBR Jan10 2.50 Covered Calls for a net deposit of $61.00 in 3 IRA accounts.  My basis for these FBR shares, by account, is 8.47, 8.94, and 9.23, excluding dividends received.

I had placed a Good Till Cancelled (GTC) sale order at .05 for these Covered Calls several weeks ago.  Some hit earlier, these hit today and I still have 14 outstanding.  It is not much but is still better than nothing and the stock is so low I find it okay to wait for the company to recover, if it ever does.  My cost to wait is pretty low with the stock at .17 at the market close today.  My real wonder is that anybody is willing to buy these Covered Calls at all.  Maybe somebody actually knows something and there may be some hope for the stock yet.

Today I sold 10 FBR Jan10 2.50 Covered Calls for a net deposit of $34.50 in an IRA account.  My basis for these FBR stocks is now 9.15.

I had placed several GTC 60 day orders a couple of weeks ago and was pleasantly surprised to see that another one hit today.  I don’t really expect to see FBR get up to 2.50 but if it does I think I will be glad to be done with it (I say that now).  Unless something changes, these shares will be completely dead money after these options expire because no additional options are offered after Jan10.

I’ve written several times in the past about FBR.  Please use the search feature to find those ramblings if you are interested.