-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 JEFf3JC0UMnu0qwPgeWU9NJG61a1rAWTHmQMxVMaG78QoBsmBinmb55kcQJrP/Kg
 h3BWWFq6qlIV9rRe8s0n6g==

<SEC-DOCUMENT>0000940400-01-500011.txt : 20010209
<SEC-HEADER>0000940400-01-500011.hdr.sgml : 20010209
ACCESSION NUMBER:		0000940400-01-500011
CONFORMED SUBMISSION TYPE:	NSAR-B
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20001130
FILED AS OF DATE:		20010208

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			PREFERRED INCOME OPPORTUNITY FUND INC
		CENTRAL INDEX KEY:			0000882071
		STANDARD INDUSTRIAL CLASSIFICATION:	 []
		IRS NUMBER:				954355600
		STATE OF INCORPORATION:			MD
		FISCAL YEAR END:			1130

	FILING VALUES:
		FORM TYPE:		NSAR-B
		SEC ACT:		
		SEC FILE NUMBER:	811-06495
		FILM NUMBER:		1528829

	BUSINESS ADDRESS:	
		STREET 1:		301 E COLORADO BLVD STE 720
		STREET 2:		C/O FLAHERTY & CRUMRINE INC
		CITY:			PASADENA
		STATE:			CA
		ZIP:			91101
		BUSINESS PHONE:		8187957300

	MAIL ADDRESS:	
		STREET 1:		301 COLORADO BLVD
		STREET 2:		STE 720
		CITY:			PASADENA
		STATE:			CA
		ZIP:			91101
</SEC-HEADER>
<DOCUMENT>
<TYPE>NSAR-B
<SEQUENCE>1
<FILENAME>0001.txt
<DESCRIPTION>N-SAR (6.1)
<TEXT>

<PAGE>      PAGE  1
000 B000000 11/30/2000
000 C000000 882071
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 6.1
000 J000000 A
001 A000000 PREFERRED INCOME OPPORTUNITY FUND INC.
001 B000000 811-06495
001 C000000 6267957300
002 A000000 301 E. COLORADO BOULEVARD, SUITE 720
002 B000000 PASADENA
002 C000000 CA
002 D010000 91101
003  000000 N
004  000000 N
005  000000 N
006  000000 N
007 A000000 N
007 B000000  0
007 C010100  1
007 C010200  2
007 C010300  3
007 C010400  4
007 C010500  5
007 C010600  6
007 C010700  7
007 C010800  8
007 C010900  9
007 C011000 10
008 A000001 FLAHERTY & CRUMRINE INCORPORATED
008 B000001 A
008 C000001 801-19384
008 D010001 PASADENA
008 D020001 CA
008 D030001 91101
010 A000001 PFPC INC.
010 C010001 WESTBOROUGH
010 C020001 MA
010 C030001 01581
011 A000001 LEHMAN BROTHERS INC.
011 B000001 8-12324
011 C010001 NEW YORK
011 C020001 NY
011 C030001 10285
012 A000001 PFPC INC.
012 B000001 85-825
012 C010001 WESTBOROUGH
012 C020001 MA
<PAGE>      PAGE  2
012 C030001 01581
013 A000001 PRICEWATERHOUSECOOPERS LLP
013 B010001 BOSTON
013 B020001 MA
013 B030001 02109
015 A000001 BOSTON SAFE DEPOSIT & TRUST COMPANY
015 B000001 C
015 C010001 BOSTON
015 C020001 MA
015 C030001 02108
015 E010001 X
018  000000 Y
019 A000000 N
019 B000000    0
020 A000001 GOLDMAN SACHS & CO.
020 B000001 13-5108880
020 C000001     61
020 A000002 FIRST UNION BROKERAGE
020 C000002      8
020 A000003 SALOMON SMITH BARNEY
020 B000003 13-5365580
020 C000003      4
020 C000004      0
020 C000005      0
020 C000006      0
020 C000007      0
020 C000008      0
020 C000009      0
020 C000010      0
021  000000       73
022 A000001 SBC WARBURG
022 C000001   1220505
022 D000001         0
022 A000002 SPEAR LEEDS & KELLOG
022 C000002    123669
022 D000002      2229
022 A000003 LEHMAN BROTHERS
022 B000003 13-2518466
022 C000003     26150
022 D000003     25623
022 A000004 SALOMON BROTHERS
022 B000004 13-5365580
022 C000004     19365
022 D000004     27387
022 A000005 GOLDMAN SACHS & CO.
022 B000005 13-5108880
022 C000005     24798
022 D000005     16396
022 A000006 GENERAL ELECTRIC CAPITAL CORP
022 C000006     15116
022 D000006      7874
<PAGE>      PAGE  3
022 A000007 MORGAN STANLEY & CO., INC.
022 B000007 13-2655998
022 C000007     10617
022 D000007      2744
022 A000008 MERRILL LYNCH
022 C000008      5225
022 D000008      4667
022 A000009 DEUTSCHE BANK CAPITAL CORP
022 B000009 13-6124068
022 C000009       368
022 D000009      7874
022 A000010 PAINE WEBBER, INC.
022 B000010 13-2638166
022 C000010      4694
022 D000010      2918
023 C000000    1471815
023 D000000     116151
024  000000 Y
025 A000001 LEHMAN BROTHERS
025 B000001 13-2518466
025 C000001 E
025 D000001    6994
025 A000002 DEUSTCHE BANK CAPITAL CORP.
025 B000002 13-6124068
025 C000002 E
025 D000002    2920
025 A000003 DELETE
025 D000003       0
025 D000004       0
025 D000005       0
025 D000006       0
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025 D000008       0
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<PAGE>      PAGE  4
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048 C020000 0.000
<PAGE>      PAGE  5
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<PAGE>      PAGE  6
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<PAGE>      PAGE  7
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<PAGE>      PAGE  8
074 A000000        0
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074 S000000    58091
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074 U010000     9839
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076  000000    12.13
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080 A000000 ITT HARTFORD
080 C000000      600
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<PAGE>      PAGE  9
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087 A020000 74037G106
087 A030000 PFD
088 A000000 N
088 B000000 N
088 C000000 N
088 D000000 Y
SIGNATURE   KEVIN CONNERTY
TITLE       ASSISTANT TREASURER

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.77BACCTLTTR
<SEQUENCE>2
<FILENAME>pfoaccountantsletter.htm
<TEXT>

<HTML>
<HEAD>
<TITLE>To the Shareholders and</TITLE>
</HEAD>
<BODY>

<FONT SIZE=3><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="CENTER">&#9;<B>Report of Independent Accountants</P>
</B>
<P>&nbsp;</P>
<P>To the Board of Directors and Shareholders of </P>
<P>Preferred Income Opportunity Fund Incorporated</P>

<P>In planning and performing our audit of the financial statements of the Preferred Income Opportunity Fund Incorporated (the &quot;Fund&quot;) for the year ended November 30, 2000 we considered its internal control, including control activities for
safeguarding securities, in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements and to comply with the requirements of Form N-SAR, not to provide assurance on internal control.</P>

<P>The management of the Fund is responsible for establishing and maintaining internal control.  In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of controls.
Generally, controls that are relevant to an audit pertain to the entitys objective of preparing financial statements for external purposes that are fairly presented in conformity with generally accepted accounting principles.  Those controls include the
safeguarding of assets against unauthorized acquisition, use or disposition.</P>

<P>Because of inherent limitations in internal control, errors or fraud may occur and not be detected.  Also, projection of any evaluation of internal control to future periods is subject to the risk that controls may become inadequate because of changes
in conditions or that the effectiveness of their design and operation may deteriorate.</P>

<P>Our consideration of internal control would not necessarily disclose all matters in internal control that might be material weaknesses under standards established by the American Institute of Certified Public Accountants.  A material weakness is a
condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements caused by error or fraud in amounts that would be material in relation to the financial
statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions.  However, we noted no matters involving internal control and its operation, including controls for
safeguarding securities, that we consider to be material weaknesses as defined above as of November 30, 2000.</P>
<SUP>
</SUP><P>This report is intended solely for the information and use of the Board of Directors, management and the Securities and Exchange Commission and is not intended to be and should not be used by anyone other than these specified parties.</P>

<P>&nbsp;</P>
<P>&nbsp;</P>
<P>&nbsp;</P>
<P>&nbsp;</P>
<P>PricewaterhouseCoopers LLP</P>
<P>Boston, Massachusetts</P>
<P>January 12, 2001</P>
</FONT><P ALIGN="JUSTIFY"></P></BODY>
</HTML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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