  Single crystals of LaFeAsO were successfully grown out of KI flux.
Temperature dependent electrical resistivity was measured with current flow
along the basal plane, \rho_perpend(T), as well as with current flow along the
crystallographic c-axis, \rho_parallel(T), the latter one utilizing electron
beam lithography and argon ion beam milling. The anisotropy ratio was found to
lie between \rho_parallel/\rho_perpend = 20 - 200. The measurement of
\rho_perpend(T) was performed with current flow along the tetragonal [1 0 0]
direction and along the [1 1 0] direction and revealed a clear in-plane
anisotropy already at T \leq 175 K. This is significantly above the
orthorhombic distortion at T_0 = 147 K and indicates the formation of an
electron nematic phase. Magnetic susceptibility and electrical resistivity give
evidence for a change of the magnetic structure of the iron atoms from
antiferromagnetic to ferromagnetic arrangement along the c-axis at T^\ast = 11
K.
