Trade - 6/12/09 - PPG

STO (1) Naked Put - PPG July 09 @ $45 for $2.05 each. Net Premium $204.

I made some good money on this one last year but have stayed out of it so far this year. I feel like it has formed a good floor now around $45 and I feel the dividend is very safe because it is only a small percentage of Free Cash Flow. If put the dividend to me will be around 5%. If there is a pull back I will look to quickly double or triple this position.

Risk Management:

Ticker: PPG
Expiratoin: 17-Jul-09
Invest Date 11-Jun-09

Current Stock Price $45.38
Strike Price $45.00
Premium $2.05
Annual Dividend $2.12

Days to Expiration 36
Return (Assumes CSP) 4.56%
Annualized Return 46.19%
Downside Protection 5.35%
Effective Dividend if Put 4.94%