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Addition MCM MAY 2008 recommendations

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We are adding the following recommendations to our MAY recommended list

We are recommending credit spreads in the following issues

BK - Bank of New York is a bank holding company and one of the world's larger financial institutions. They provide comprehensive financial services to individuals, small and mid-sized businesses, multinational corporations, financial institutions, governments and public agencies worldwide. Their products and services are organized into five business lines: Securities Servicing and Global Payment Services, Private Client Services and Asset Management, Corporate Banking, Global Markets and Retail Banking



Commentary:

The banks, what can I say for them, maybe the worse is behind, but there iare still significant issues ahead. It may be a while before we finally see a true bottom to this subprime and credit crunch crisis or at least until we stop getting these,"By the way we have additional write downs of.......$$$$" surprise annoucements from the same institutions that say that is all behind us. Time will tell

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NOK - Nokia is the world leader in mobile communications. Backed by its experience, innovation, user-friendliness and secure solutions, the company has become the leading supplier of mobile phones and a leading supplier of mobile, fixed and IP networks. By adding mobility to the Internet Nokia creates new opportunities for companies and further enriches the daily lives of people. Nokia is a broadly held company with listings on six major exchanges.




Commentary:
It becomes a matter of competition and the slowdown in consumer disposable income. The telecommunications are fearless competitors and profit margins and demand are going to be issues that Nokia will have to deal with near term a well as its competitors in this extremely competitive environment.


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SOLF - Solarfun Power Holdings Co., Ltd., through its subsidiary, Jiangsu Linyang Solarfun Co., Ltd., engages in the development, manufacture, and sale of photovoltaic (PV) cells and PV modules primarily in the People's Republic of China. It offers monocrystalline silicon cells and modules, and multicrystalline silicon cells and modules to system integrators, as well as through third party distributors. It also provides PV cell processing services to convert silicon wafers into PV cells on behalf of third parties, including silicon suppliers; and solar system integration services to end-users in China.




Commentary:
The Solar game was played out heavily throughout November and December of 2007. The sector game down from its loafty bubble and the better issues have returned to repectable trading levels. We believe SOLF has now had its almost 50% retracement from its lows and will find significant consolidation from these prices before any attempt can be made to find higher prices in the near future.
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We are recommending the following specific credit spreads for portfolio #1: The Equity portfolio


BK $42.37

BUY BK-EJ BK MAY $50.00 CALL DEBIT = $0.15
SELL BK-EI BK MAY $45.00 CALL CREDIT= $0.60
NET CREDIT = $0.45

INITIAL "NET- CREDIT TARGET= $0.45 or $45.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.45 = $450.00
MARGIN REQUIRE. (x 10 CONTRACTS $4,550.00
RETURN ON INVESTMENT= 9.89%

EXIT STRATEGY =1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE RISES TO: $43.50
2. EQUITY ISSUES
A STOP LIMIT will be placed on the SHORT STRIKE PRICE on any EQUITY OPTION that has a STRIKE PRICE DIFFERENCE OF $5.00 or MORE.
THE STOP LIMIT ON THIS POSITION IS NOTED BELOW:
BUY POSITION STOP BELOW
BK-EI EXIT >> = $2.40 STOP LIMIT
If and when the STOP LIMIT IS EXECUTED - A contingency order should be in place to then SELL the LONG SIDE of the Spread and close the position with a Market Order if and when the SHORT side needs to be STOPPED OUT


NOK $29.00

BUY NAY-ET NOK MAY $33.00 CALL DEBIT = $0.15
SELL NAY-EW NOK MAY $31.00 CALL CREDIT= $0.35
NET CREDIT = $0.20

INITIAL "NET- CREDIT TARGET= $0.20 or $20.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.20 = $200.00
MARGIN REQUIRE. (x 10 CONTRACTS $1,800.00
RETURN ON INVESTMENT= 11.11%

EXIT STRATEGY = 1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE RISES TO: $30.00
2. ON SPREADS WITH 2.50 or less difference in STRIKE PRICES
THOSE POSITIONS. THEY WILL GO ON THE WATCH LIST AND BE FOLLOWED WITH INSTRUCTIONS AS TO HOW TO PROCEED OR/WHAT EXIT POINT NEEDS TO BE ESTABLISHED

`SOLF $14.71

BUY QFG-ED SOLF MAY $20.00 CALL DEBIT = $0.15
SELL QFG-EW SOLF MAY $17.50 CALL CREDIT= $0.40
NET CREDIT = $0.25

INITIAL "NET- CREDIT TARGET= $0.25 or $25.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.25 = $250.00
MARGIN REQUIRE. (x 10 CONTRACTS $2,250.00
RETURN ON INVESTMENT= 11.11%

EXIT STRATEGY = 1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE RISES TO: $15.50
2. ON SPREADS WITH 2.50 or less difference in STRIKE PRICES
THOSE POSITIONS. THEY WILL GO ON THE WATCH LIST AND BE FOLLOWED WITH INSTRUCTIONS AS TO HOW TO PROCEED OR/WHAT EXIT POINT NEEDS TO BE ESTABLISHED





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