-----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,
 I5cUZEpvJKfF93six/a/lQR+yC91Eq8HuqvbRCGXIst++lONg1rh+rY5eZnZO3kH
 bb4/gdV4yfVVKVGYpg9P9Q==

<SEC-DOCUMENT>0000950123-09-052253.txt : 20091022
<SEC-HEADER>0000950123-09-052253.hdr.sgml : 20091022
<ACCEPTANCE-DATETIME>20091022144307
ACCESSION NUMBER:		0000950123-09-052253
CONFORMED SUBMISSION TYPE:	40-17G
PUBLIC DOCUMENT COUNT:		1
FILED AS OF DATE:		20091022
DATE AS OF CHANGE:		20091022
EFFECTIVENESS DATE:		20091022

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Flaherty & Crumrine PREFERRED INCOME OPPORTUNITY FUND INC
		CENTRAL INDEX KEY:			0000882071
		IRS NUMBER:				954355600
		STATE OF INCORPORATION:			MD
		FISCAL YEAR END:			1130

	FILING VALUES:
		FORM TYPE:		40-17G
		SEC ACT:		1940 Act
		SEC FILE NUMBER:	811-06495
		FILM NUMBER:		091132308

	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:		(626) 795-7300

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

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	PREFERRED INCOME OPPORTUNITY FUND INC
		DATE OF NAME CHANGE:	19920929
</SEC-HEADER>
<DOCUMENT>
<TYPE>40-17G
<SEQUENCE>1
<FILENAME>item2.txt
<DESCRIPTION>PFO BOND FILING 102209
<TEXT>
                                                       FEDERAL INSURANCE COMPANY

                                                       Endorsement No. 4 Revised

                                                           Bond Number: 82052988

 NAME OF ASSURED: FLAHERTY & CRUMRINE INCORPORATED/
                  PREFERRED INCOME OPPORTUNITY FUND

- --------------------------------------------------------------------------------

                           REVISE ITEM 2. ENDORSEMENT

It is agreed that this Bond is amended by deleting ITEM 2. in its entirety on
the DECLARATIONS and substituting the following:

ITEM 2. LIMITS OF LIABILITY-DEDUCTIBLE AMOUNTS:

If "Not Covered" is inserted below opposite any specified INSURING CLAUSE,  such
INSURING  CLAUSE and any other  reference to such  INSURING  CLAUSE in this Bond
shall be deemed to be deleted.  THERE SHALL BE NO  DEDUCTIBLE  APPLICABLE TO ANY
LOSS UNDER INSURING CLAUSE 1 SUSTAINED BY ANY INVESTMENT COMPANY.

<TABLE>
<CAPTION>
                                                  SINGLE LOSS                  DEDUCTIBLE
 INSURING CLAUSE                                  LIMIT OF LIABILITY           AMOUNT
- ----------------                                  ------------------           ------
<S>                                               <C>                          <C>
1. Employee                                       $ 525,000                    $ 0
2. On Premises                                    $ 525,000                    $ 25,000
3. In Transit                                     $ 525,000                    $ 25,000
4. Forgery or Alteration                          $ n/a                        $ n/a
5. Extended Forgery                               $ n/a                        $ n/a
6. Counterfeit Money                              $ n/a                        $ n/a
7. Threats to Person                              $ n/a                        $ n/a
8. Computer System                                $ n/a                        $ n/a
9. Voice Initiated Funds Transfer Instruction     $ n/a                        $ n/a
10. Uncollectible Items of Deposit                $ n/a                        $ n/a
11. Audit Expense                                 $ 25,000                     $ 0
</TABLE>



This Endorsement applies to loss discovered after 12:01 a.m. on August 6, 2009.

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.




Date: September 3, 2009                      By /S/ ROBERT HAMBURGER
                                               -------------------------------
                                                 Authorized Representative

ICAP Bond
Form 17-02-1582 (Ed. 5-98)                                               Page 1
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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