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Dear Mr. Berko:

E.L., Syracuse, N.Y.

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Dear E.L.:

There are a lot of lads out there who are young enough to be my son, and although you consider long-term to be four to eight weeks, their definition of long-term is several years or more. You’ve got 25 or so years till you hang up your slide rule, so be patient, and you’ll endure! And yes, they’re off a tad, and I’m disappointed, too.

In total, those bank stocks, except for Regions Financial Corp. (RF-$20.81), are down less than 1.5 percent. Today’s prices on those issues might look cheap 18 to 24 months hence, and I strongly suggest that you buy 100 more shares of each.

Here are nine income and growth issues. I promise that you will not be disappointed again if you promise to make me three promises:

1. Buy 100 shares of each.

2. Be a long-term investor.

3. Reinvest the dividends every quarter.

Pfizer Inc. (PFE-$22.24) has a five-star rating from Morningstar. Its $1.28 dividend, which has been raised for 27 consecutive years, yields 5.8 percent. The past few years have been a little confining, but that’s about to change.

Wachovia Corp. (WB-$29.48) also has Morningstar’s five-star ranking. This classy bank has a superb dividend of $2.56 per share, which yields a swell 8.7 percent. WB has little capital exposure, and earnings for the next couple of years look just fine.

Bank of America Corp. (BAC-$38.78) is another five-star issue with a $2.56 dividend yielding 6.6 percent. Its purchase of Countrywide Financial Corp. should be very earnings positive, and its exposure to the subprime market has already been written off.

American Capital Strategies Ltd. (ACAS-$35.73), a business development firm, is given a solid 10, which is MSN’s highest possible ranking. Its $4.04 dividend yields a hearty 11.3 percent, and 2008 earnings look positive.

MCG Capital Corp. (MCGC-$11.69) is also a business development firm and rates MSN’s highest score. The $1.76 dividend yields 15.1 percent, and next year’s earnings look strong.

Ares Capital Corp. (ARCC-$12.74), a business development company, has also been given a 10 designation by MSN. The $1.68 dividend is worth a 13.2 percent yield, and earnings for this year are looking good.

The New York Times Co. (NYT-$18.41) has fallen more than 50 percent in the past two years, but it’s on the cusp of a solid turnaround.

Warwick Valley Telephone Co. (WWVY-$11.30) has been providing phone service in New York and New Jersey since 1902. Its 80-cent dividend payout yields 7.1 percent.

And finally Deerfield Capital Corp. (DFR-$3.11) focuses on extremely risky residential mortgage-backed securities as well as unsecured loans, collateralized debt obligations and distressed debt securities. This very risky issue pays a dividend of $1.68 (54 percent yield), which must certainly be reduced to 75 cents this year providing investors with a 24 percent yield. Buy 300 shares.

Now 100 shares of each issue (300 of Deerfield) will cost $19,000 including commission and the dividend income of approximately $1,700 yields 8.9 percent.