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additional OW FEBRUARY 2008 recommendations 1-27-08

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We are recommending the following put writes to our FEBRUARY recommended list


We are adding put writes in the following issues:

CALM - Cal-Maine Foods, Inc. is engaged in the production, cleaning, grading, and packaging of fresh shell eggs for sale to shell egg retailers. The company is the one of the largest producers and distributors of fresh shell eggs in the United States. The company markets its eggs primarily in the southwestern, southeastern, mid-western and mid-Atlantic regions of the United States

CREE - Cree, Inc. is a market-leading innovator and manufacturer of semiconductors that enhance the value of solid-state lighting, power and communications products by significantly increasing their energy performance and efficiency. Key to Cree's market advantage is its world-class materials expertise in silicon carbide and gallium nitride for chips and packaged devices that can handle more power in a smaller space while producing less heat than other available technologies, materials and products.

We are recommending the following specific put writes

CALM 25.88
SELL FEB 20 PUT = QKM-ND
Target Price $20.00
Potential Profit(10 x = $200.00
Initial Margin $5,376 10 (contracts)
Return on Investment 3.72%
Cost Basis in Stock = $19.80
Days to Expiration = 18
Stock goes on Watch List Price at: $23.00
STOP EXIT STRATEGY
Close option position if Stock CLOSES less than $20.00

CREE $30.13
SELL FEB 22.50 PUT = CQR-NX
Target Price $25.00
Potential Profit(10 x = $250.00

Initial Margin $6,276 10 (contracts)
Return on Investment 3.98%
Cost Basis in Stock = $22.25
Days to Expiration = 25
Stock goes on Watch List Price at: $27.00
STOP EXIT STRATEGY
Close option position if Stock CLOSES less than $22.50

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