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LM-Polygraph Framework 8

I don't know Mog Hue. Please return this request to the person who originated it so that the Manager section can be completed. By including the manager's name, that will help me to identify who this person is, what job they perform and whether or not the request makes sense. I have over 400 people in my group, so without more detail on these requests it is not worth taking my time to approve these. --Sally

Your approval is requested

I don't know Sabrina Rank. Please return this request to the person who originated it so that the Manager section can be completed. By including the manager's name, that will help me to identify who this person is, what job they perform and whether or not the request makes sense. I have over 400 people in my group, so without more detail on these requests it is not worth taking my time to approve these. --Sally

Your approval is requested

To all Energy Operations employees: ENA has experienced extraordinary growth thus far in 2000. I am especially proud of the accomplishments of Energy Operations in supporting this growth. I wanted to express my appreciation for all the hard work and dedication that you have demonstrated. We have done great work and I want to recognize you for that. Although we have done much, we have additional goals to accomplish within ENA and Energy Operations this year. Therefore, as we go forward, I want to make sure that you have all the necessary tools to do the best possible job, and that any barriers that may impede your work are removed. To help in this effort, I have asked a consulting organization -- S.J. Bashen

Note from Sally

To my surprise, I was chosen today to sit on a jury to hear a felony charge. The judge believes that we can conclude the trial by end of the day on Wednesday or perhaps on Thursday. I will be back here working after trial hours in the office and checking voice mail messages during breaks in the proceedings. I will be back full time as soon as my civic duty is fulfilled! Enron is well presented in the court system over the next few days. I sat by Mark Koenig in the jury assembly room today, and he too was chosen to serve on another jury.

Jury Duty Continues

FYI - I will be out of the office for the two meetings on Wednesday this week. I will be working in Chicago Monday and Tuesday next week. I will be back in the office on Wednesday of next week. Todd tells me that a logo has been selected. Can you e:mail that to me? If not available electronically, I will see it when I am back in the office next Wednesday. If no one has stepped in to a look at hours spent on the confirmation process and opportunities that may be presented there, I will do that when I am back in the office next week. My first move will be to sit down with Jeff Sorenson who leads the confirmation group to put some meat around the hours that James Scribner sent you. When we look at numbers of confirmations and compare several months of data we will be better able to identify which activities were stressed by increased business and which activities seemed to absorb increased business more easily. I also think that Jeff will be the best source of information about ideas on streamlining, opportunities to simply life at Enron and perhaps create value externally. All of the advances made over the last several years (auto-confirm, the DECAF system, auto-faxing, digitized signatures, document scanning, etc. ) in our confirm group have been ideas generated by the business group and led by them for implementation. No doubt, Jeff has some good ideas on where to go next.

Key Contacts - Out of Office - July 26-28, July 31 and August 1

Please join Sally Beck, Rick Causey, David Haug and all the UT Summer Interns for lunch this Friday, July 21 at 11:30 AM. Location will be EB 50M Dining Room. Please RSVP to me by email or phone. We look forward to seeing you! Thanks,

Lunch for UT Summer Analysts and Associates

Today's ENA PRC was a pre-ranking session for VP's. All VP's will be reviewed at an Enron-wide PRC scheduled for early August. Representatives at that Enron PRC from ENA will be Janet Dietriech, Dave Delainey, John Lavorato and Greg Piper. They will use information from today's ENA PRC meeting in representing you at the Enron-wide VP PRC. I have provided copies of your accomplishments and consolidated supervisor feedback forms to Dave Delainey for reference during that process. Your reviews will be given after the Enron-wide VP PRC, and will not be completed before the end of July. I will schedule an August date with you for your review as soon as I know the exact date of the final PRC meeting. Separately, you both should sign up for the Executive Influence and Impact course that is required of VP's. I thought that the course was very good. All VP's are strongly encouraged to complete this course. It is a 2 or 3 day course that is offered every month or two here in Houston. I would contact Dick Amiable to inquire on how to sign up for this.

Update on PRC Process for VP's

I will be hosting a cookout at my home for OU summer interns, recently hired OU grads and the OU recruiting team on Sunday, July 30th in the late afternoon. More details will follow soon, but I wanted to let you know the date so that you can hold this on your calendar. I will look forward to hopefully seeing all of you there. And my husband will be glad to be surrounded by many fellow Sooners!

Save the Date - Cookout for OU Summer Interns and OU Grads

Please join us for an informal lunch on Friday, July 21st in the dining room in EB50M. Rick Causey, Enron's executive lead for the Analyst Program, and David Haug, Enron's executive lead for the Associates Program, have been invited to join us as well. We are interested in renewing acquaintances with those of you whom we met on campus and in getting to know those of you whom we did not see in the interview process. We hope that you are enjoying your summer assignments at Enron and we look forward to the opportunity to visit over lunch. Please let me know by return e:mail if you will be able to attend the lunch.

Lunch for UT Summer Analysts and Associates

Today was the final ENA PRC. Relative ranking results up through the Senior Director level are final. You and your management team can begin the process of giving performance reviews to your employees. I spoke with Sheila Walton today to inquire about an expected time frame for completing and conducting the employee reviews. She indicated that the target completion date should be the end of July. Promotions will be effective August 1st. It is Dave Delainey's intent to announce ENA promotions sometime after he returns from vacation on July 24. This drives the end of July target completion date for reviews. I do not yet know if Delainey wants all ENA promotions to be announced in a single memo, or if each group within ENA will prepare such a memo. I will keep you updated on this as I get direction from him. Please note the following change since our Energy Operations PRC in June. In order to place focus on the qualitative feedback during this mid-year review process, we will not share performance clusters with employees when conducting their reviews. It is very important for all of us to be consistent in this process, so please communicate this to all in your groups who will be giving performance reviews. It is important to note, however, that the content of an employee's review should be consistent with our view of that employee's relative ranking. In other words, an employee in the Satisfactory category should not be given a review that simply states that the employee is doing a great job. Clearly, a large number of employees performed at a higher level than those employees in the Satisfactory category, so the feedback to that employee should include some specific areas of improvement needed in order for the employee to make a stronger impact in the organization, help you achieve the groups goals, etc. Also please note the following: Performance reviews for anyone in the Satisfactory, Needs Improvement or Issues categories must be reviewed by HR prior to these reviews being given to the employees. This will ensure that our feedback is commensurate with the relative performance of that employee. (This has been the stated process for the bottom two categories, and we are adding Satisfactory to this process as well.) Please remember to include a more experienced member of your management team, yourself, or an HR professional in reviews being conducted by inexperienced members of your management team, or those management team members where you have a concern over their ability or willingness to deliver candid and perhaps tough performance feedback. I believe that we have spent some time in identifying these situations. I ask your help to ensure that we follow through on this commitment. Thanks for all of your efforts in making this mid-year PRC process a meaningful one. It is Dave Delainey's intent to announce It if 0

Update on PRC Process

I heard from Andrew regarding the status of a business continuity plan. Attached is a short presentation that he sent me that I thought you would like to see. Any interest in meeting with Andrew to get more detail? I plan to get with him. Let me know and I will be glad to set something up.

Disaster Recovery/Business Continuity Planning

Just wanted to let you know where we will be over the next week. I am still at the office hoping to get away before dinner so that I can head home and pack. I will call when we are back in Houston on Sunday, July 16. Mom and Dad, hope that you have fun if you are going on your trip! Love, Sally Saturday, July 8, 2000

Travel Itinerary

Just a reminder about my being on vacation next week. I also wanted to let you know that I gave your names as contacts while I am out! --Sally

Vacation Scheduled - Contact List

As mentioned, I will be out on vacation next week. This contact list should be helpful if you need anything while I am out. --Sally

Vacation Scheduled - Contact List

Attached are my accomplishments for the first half of 2000. I will also ask my assistant to deliver a hard copy to you on Wednesday, July 5. Let me know if you have any questions or need more information. Thanks.

Accomplishments - First Half of 2000

Attached is Bob Superty's summary of the impact on the late noms today. We do not anticipate any pipeline penalties. On those pipes where the nom type is "Intraday", there may be some pipeline imbalance created for us to work through. The logistics staff will have a lot of work to do on Thursday morning to contact customers asking them to renom on the pipes where our noms were late. Overall, these pipelines worked well with us today. Let me know if you have any questions. --Sally

System outage nomination impact

There are five summer interns and six recent full-time hires from OU that I will invite to the cookout at my house on Sunday, July 30th. I asked Jody's opinion on whether or not they would like to bring along a guest, and his answer was yes. So I will invite all to bring a spouse/guest. I thought that I would also include Lexi Elliott, the recruiter from the Analyst Program that will be covering OU. Have you decided on the make-up of the recruiting team at OU in the fall? If so, this might be a good event in which to include them as well. I left you a voice mail message about James Scribner as a potential good member of the team. Let me know your thoughts and I can include anyone else that you would like. I plan to get invitations out to everyone by July 7.

July 30th Cookout for OU Interns and Full-time Hires

Since receiving your e:mail message last Monday on your needs in power, I have spent three (!!!) full days in PRC meetings since then. I have shared your needs with both Todd Hall and Kristin Albrecht (my power business controller here in Houston) and have gotten their thoughts on how we could be of help. Sorry that I keep missing your calls. I will be meeting with Fernley, but I will also try to reach you by phone tomorrow.

Resources for Power

It is too late in the day in London for me to catch you by phone today. I will call you tomorrow and would like to throw out an idea regarding an on-going resource for operations in London. If you are comfortable with my idea, then I can discuss it in person with Fernley while he is here this week. We have time on the calendar plus dinner this week.

London Resources

Bruce, Just a reminder, this Wednesday (Dec 13) is the Associate PRC meeting in which Sally will be representing Cheryl Ingstad. She really needs your input in order to properly represent Cheryl. Please email information to her ASAP or call Sally with information Tuesday between 9:00 - 9:30 AM (3:00 - 3:30 PM London time). Thanks for your assistance,

Info on Cheryl Ingstad

I had to report for jury duty today (along with 500 others from Harris County), and to my surprise I was selected to be a juror in a felony case. The case will continue on Wednesday, so our scheduled time for a conference call may not work. I will try to reach you from my car while I am on my way in for jury duty - probably around 8:30 or 9:00 Houston time.

Conference Call on Wednesday morning

I would like to invite you as University of Oklahoma summer interns to join me for lunch on Friday, June 30. I have made reservations for 11:45 am at Nino's on West Dallas. I hope that you will be able to attend and can meet me in the Enron lobby at 11:30. We will provide transporation to and from lunch. Please call me at x35926 as soon as possible to let me know if you can attend. Mike McConnell, Vice Chairman and Chief Operating Officer of Enron NetWorks, will join us for lunch. Many of you may have met Mike, a fellow OU grad. He will serve as the Executive Lead for our continuing recruiting efforts at OU. Two other Enron employees will join us for lunch. James Scribner, a Senior Director in ENA Energy Operations, recently joined Enron after seven plus years with a Fortune 500 company in Edmond, Oklahoma. James will be helping us with our OU recruiting efforts. Lexi Elliott, a new recruiter with Enron's Associates and Analysts Program, will be coordinating Enron's recruiting efforts in the future at OU.

Lunch Invitation - Friday, June 30

Looks as if this date will work for Mike McConnell and his wife, too. I thought that I might also invite Ted Jacobs if he plans to be in Houston that weekend. Do you have an e:mail address for him? Thanks.

Further Follow Up

I have heard through the grapevine that you produce a weekly status report on the MG aquisition and assimilation. Would you please include me on that distribution list effective this week? I believe that it is assumed that Fernley Dyson will have day-to-day responsibility for this business once the aquisition is completed. However, in my role over Global Risk Management Operations, I find myself fielding questions regarding our assessment of operations and any issues surrounding assimilation. Brent Price, who reports to me and is on temporary assignment in the London office, has been keeping me updated on progress to date. His return soon to Houston, however, will create a potential information gap that the weekly status report may help to fill. Thanks in advance to your attention to this.

Weekly Update on MG Aquisition and Assimilation

Our mid year PRC meeting will be held Monday, June 19, at the Doubletree's Grainger "B" room. Please plan to be there to start the meeting at 8:00 AM, with a continental breakfast available starting at 7:30. We will take the time necessary to do a good job, but will also try to be time efficient. Patti has lunch and snacks ordered, so I would hope to be finished sometime in the afternoon. I am broadening the Energy Operations PRC committee beyond my direct reports to also include all directors in the organization. I look forward to everyone's participation and will be sending out more information later. Included below are the attendees for the meeting. PRC Attendees Energy Operations HR Outside Kristin Albrecht Sheila Walton Wes Colwell - Business Analysis & Reporting Scott Earnest Norma Villarreal David Oxley - Human Resources Sheila Glover Hector McLoughlin Jim Bouillion - Global Risk Markets (Insurance) Todd Hall Toni Graham Brad Blesie - Global Risk Markets (Origination) Susan Harrison Janet De La Paz (to run computer) Peggy Hedstrom Brenda Herod Steve Jackson Scott Mills Mike Moscoso Eugenio Perez Brent Price Leslie Reeves Stephen Schwarz James Scribner Mary Solmonson Bob Superty Sheri Thomas Steve Venturatos

Mid Year Energy Operations PRC Meeting

I apologize for the late notice, but Sally has just been notified that a cross-functional PRC meeting w/ Rick Causey has been set for this Friday, December 1. She will need a compilation of your accomplishments by Thursday. If you have directors reporting to you, please request that they also have data in to Sally by Thursday. Thanks for your help,

Accomplishments for 2000

I interviewed Analyst/Associate candidates in the office on Saturday, as did four other directors/senior directors from Energy Operations. I completed the evaluations of the four candidates that I interviewed and submitted those, but was unable to stay for the decision meeting after lunch due to commitments to attend a funeral. I talked with Ted Bland this morning and he suggested that I provide you with a list of candidates that could be a fit in Energy Operations. Analysts Tara Piazze - potential fit in one of my risk management operations teams Joseph Piotrowski - AA consulting background; would be a good fit for my operations team focused on EOL (these are ENA employees) -- I need to add

June 3 Candidates

I got the memo from Naomi that you sent. First, who is Doug Imrie? Does he have a strong background in trading operations? Will he be able to coordinate effective reviews from a controls perspective, and will he be able to be the front-runner on how MG runs its business so that we will get a jump start on how best to assimilate the business? I think that this effort should be much broader than deal testing. It should encompass assessing people, processes, controls, systems support, etc. To do this quickly and effectively will require persons who are knowledgeable about daily trading operations. I don't know Naomi's background, but I wonder if she will be the right person to lead one of these efforts since she does not work in operations on a daily basis. Patrick Conner left me a message today to be certain that we are plugged in with an appropriate team from ENA to review the Chicago and New York offices. From the sound of Naomi's memo, it looks as if Andy Cornfield is assume to have the US responsibility. Again, I don't know Andy. Should we circle the wagons and develop a plan for doorstep reviews that includes some others in the process, particularly those that have been involved in some doorstep reviews to date and those that have daily operational experience? I have also mentioned Shona as a good resource as well.

Merlin Doorstep Reviews

Scott Earnest announced in the staff meeting today that in a meeting he had earlier today with Jeff Shankman and Vince Kaminiski that Jeff announced that he had gotten the nod from Mark Frevert to manage the LNG book of business. (This sentence structure is bad, but you get the drift.) That is probably what Shankman has alluded to in terms of increased responsibility. I will assume that is in addition to gas, but I don't know that for sure. Scott has been working on setting up the risk books for LNG, working closely over the last several weeks with Vince Kaminski. We need to talk about this business and the best way to support it. Have you had any conversations with Jeff on this?

LNG

I didn't know that you were talking to Jennifer. I had put her on the list of attendees at last Thursday's meeting with Tom Gros. He had asked about someone being included that had been involved with Enron Online, I felt that she might be perfect to be involved in Networks with her exposure to EOL. I don't know whether or not you realized that she was in the room for that conference call. What is she going to do for you in gas? We may be hardpressed to find another strong candidate for the Networks project who has been as involved with EOL. --Sally

Aghh!

I assume that granting access for someone for whom Lorraine Becker is the supervisor should be approved by you. I get hundreds of these, many for employees outside Energy Operations. Thanks. --Sally

Your approval is requested

FYI - I believe that Shona will prove to be a great asset to Enron. We are following up on her leads for talent. --Sally

People to consider recruiting

I will be out of the office for one vacation day on Monday, May 22. My assistant, Patti Thompson, has home and cell phone numbers where I can be reached throughout the day, if needed. Primary operations contacts while I am out are as follows: DPR Mike Moscoso x35242 MPR David Maxwell x36983 Gas Operations Susan Harrison x33960 Power Operations Leslie Reeves x37962 Financial Products Sheila Glover x33210

Vacation Day - Monday, May 22

According to records from the Analysts Program, the following interns will be working within Energy Operations during the summer. The assignment stated below is as reflected in the program's spreadsheet. Name School Start Date Assignment Luna Carlson University of Florida July 5 ENA - Risk Reporting and Analysis Joshua Koenig University of Florida May 22 Energy Operations - Gas Operations Management Jolly Jose University of Houston June 5 Energy Operations - Gas Operations Management Michael Taylor LSU May 22 Central Desk Logistics Daniel Graham Morehouse May 15 ENA - Financial Settlements Angelique Woods University of Texas May 22 ENA - Risk Management First, please respond to me today and let me know to whom the analyst will be reporting and what their responsibilities will be for the summer. Hopefully none of this is a surprise and the appropriate arrangements have been made for desk, phone and computers for all. Secondly, please make a point of seeking out these interns and welcoming them to Enron. Finally, after I know where these analysts are placed, we will have a brief meeting with the analysts' managers and any of you under whom they will be working to discuss ideas on making the analysts assignments meaningful this summer. I welcome ideas on this from any of you.

Please Respond Promptly re: Summer Analysts

Sally has changed the time of her Thursday morning meeting to 8:30 - 10:30 AM (previously scheduled 8:00 - 10:00 AM). Please let me know if you can't make this new time. Topic for meeting: information from her ENA Executive Offsite and also a brainstorming session. Thanks,

Sally's Thursday morning meeting moved to 8:30 - 10:30 AM

Congratulations on your added role of CEO for Enron Europe. I look forward to continuing to work with you and the staff in London on risk management operations initiatives. I talk with Brent Price several times a week. I know that Fernley has appreciated his participation in London, and I hope that you have found his involvement to be beneficial as well. We are almost at the half way mark on his assignment, so I will talk with you next week when I return from Calgary to get your input on his role to date.

Added Role

I have been summoned for jury duty onTuesday, November 28 at 8:00 am. While wanting to fulfill my civic duty, I am also hoping to be an unlikely juror this time around so that I can be back in the office sometime on Tuesday. I will call in and let Patti know my status.

Jury Duty - November 28

Congratulations on your new role as Chief Strategy Officer. Your leadership in ENA was appreciated and I will miss your active participation in ENA's business. However, I hope that we will have opportunities to work together in the future. --Sally

New Role

I will be in the Calgary office from Wednesday afternoon, May 10 through noon on Friday, May 12. I can most easily be reached through Peggy Hedstrom, whose phone via tie line is 820-6753. My assistant, Patti Thompson, has a copy of my itinerary and phone and fax numbers at my hotel, if needed. Primary operations contacts in Houston while I am in Calgary are as follows: DPR Mike Moscoso x35242 MPR David Maxwell x36983 Gas Operations Susan Harrison x33960 Power Operations Leslie Reeves x37962 Financial Products Sheila Glover x33210

Trip to Calgary Office - May 10-12

Laura, I am attaching resume of Mark Mixon that Sally left you a voicemail regarding on Monday. If you are going to be in town and would like to see Mark, please let me know and I would be happy to make arrangements. Thanks,

Mark Mixon Resume

FYI - Let's talk. I am already booked for Tuesday AM - could you attend and would you want to? Let's talk before getting back to Margaret. --Sally

MEETING ON GLOBAL INFO COMMUNICATION

I understand that Ashley Worthing has been hired by Enron to start work this summer. I think that she is graduating from Texas A&M. She is my cousin's daughter, so I am just curious whether or not she is coming in as an analyst. Please let me know if that is the case. Thanks.

New Analyst

Barry sent me a copy of the draft memo announcing his role within EBS. Since Scott Pleus is currently in that role and does have people reporting to him in EBS that are in trading operations, I would suggest that the memo contain a mention of the transition: Example: Scott Pleus is currently Director of trading operations for EBS. He will be transitioning to an origination role within EBS in mid May as Barry Pearce assumes his responsibilities for EBS. The current trading staff for EBS will report to Barry effective with his start date in May. I also heard from Barry today that Todd Lindholm let him know that he is out of the picture with regard to commercial support for bandwidth trading operations and that Barry will report to John Echols. So sounds as if that is clarified.

Announcement on Barry Pearce's role

Charlene: Outlined below are the points I promised to send you before our meeting on Wednesday morning. I don't know your agenda for the meeting, so it may or may not be appropriate to discuss all of these items tomorrow. Background: As a long-time supporter of the analyst program, I became concerned over the last several months as frustration emerged from other supporters of the program. Many of those expressing frustration are heavily involved in the recruiting process. It is their commitment to both recruiting and providing analyst rotations that has been key in attracting talented candidates to what has been the Merchant Services Analyst Program. I initiated a meeting, announced at Rick Causey's staff meeting, that would bring us together so that we could consolidate our concerns and then discuss them with you in a constructive manner. Our intent is continued support and improvement of the program. The meeting took place on March 28 and included the following: Brenda Herod ENA - Energy Operations Executive Lead - LSU Brent Price ENA - Energy Operations Executive Lead - UT Jeff Sommers CALME Executive Lead - Univsersity of Florida Ed Coats Corp. Tax Core Team Member - UT, A&M, LSU and University of Florida Sally Beck ENA - Energy Operations Executive Lead - UT and OU Carolyn Barrett EBS Howard Selzer Enron Global E&P Summary of Concerns and Discussion Points: One program, or two: Prior to campus recruiting in the fall 1999, an announcement was made that there would be one analyst program. Not much materialized from that point to clarify what that meant or how that would be managed. In fact, those of us involved heavily in the recruiting process saw that the MSAP and the Commercial Anlayst programs were managed separately and differently in terms of campus recruiting, rotations and orientation. We feel uninformed and therefore are hampered in discussing the analyst program on campus. SIngle start date: The single start date of July 17 for analysts is impractical and inflexible; a concern from our points of view for an innovative company. The July start date does not consider December graduates and is not necessarily practical for undergrads whose graduation dates are in May. Lack of communication: We are some of the most involved and committed senior managers in the MSAP, and yet we have received little information or communication about the program. We hear rumors of "tracks", but no facts or details. Some of us had heard about the single July start date, and some had not. Commercial focus too heavy: Presentation materials, the attitudes of support staff in the Associates/Analysts Program and interview processes are heavily focused on commercial needs, without understanding support needs. Lack of input from biggest supporters: Given the time and effort that many of us put into the MSAP, we are concerned that we haven't been asked to join with you in some of your plans for the program. We are concerned that decisions (example: the single start date) are being considered in a vacuum without what could be some valuable input from some of us. MSAP has taken a step backward: Previously, with a dedicated leadership team and staff, the MSAP had made great strides in the consistency of our on campus efforts, the quality of candidates, the acceptance rate of top candidates and the pride of participants in the program. We feel that the focus on the MSAP has diminished considerably over the last nine months, and we are anxious to work with you to renew excitment for the program. Summary Concerns/Discussion Points: Disc

Discussion Points for Meeting on Analyst Program

I read the applications, letters of recommendation and resumes on the plane to Austin and in the hospital this weekend. Below are my suggested seven appointees to the Analyst Advisory Board. I made the selections based on their answers to the application questions, plus I attended to get a mix of male and female, commercial and merchant service analysts rotations, current operating company assignments, undergraduate schools, etc. I am sorry that I will not be able to join you in the meeting today. Analyst School Current Rotation Rationale Ilan Caplan UT CALME Structuring Both MSA and Commercial Analyst rotations Erin Rice Trinity CALME Structuring Vocal; good to be part of the solution; female minority Brian Hoskins Vanderbilt ENA Trading I will trust Jeff Shankman on this one Carrie Southard Texas A&M ENA - EOL Current MSA rotation Alejandro Veiga Rice ESA - Venezula Good ideas; diverse background Courtney Votaw Pepperdine Corp. - PR Adds interest to the mix with her rotation & background Adrian Woolcock Rice EES Sounds mature; good ideas

Suggested Analysts for Board Positions

I do know Susan so I could probably approve this request. However, in my staff meeting on Monday ( I know that Katherine was there, and not you), one of the major points that I made centered around my approval of requests for EOL access. We can discuss when we get together on Friday morning. Susan needs to put her managers name at the bottom of this form, and the manager should okay this as well. --Sally

Your approval is requested

I tried to call you back today, but was told that you had left the office. Tried to leave you a voice mail message, but no one in the office knew how to transfer my call into voice mail. They were good about answering your phone, however! I will call you tomorrow morning before my first meeting at 8:30. If I miss you, I will ask my assistant to interrupt me when you call back. I will be in meetings with operations people from London and Sydney tomorrow, but can easily step out to talk with you.

Returning your call

Per my voice mail message, attached is a draft memo regarding Brent's role in London. Any comments would be appreciated. Fernley and I plan to send this out sometime next week, prior to Brent's assignment starting on April 10.

Draft Memo re: Brent's Role in London

Energy Operations has two sets of season tickets for Astros games this season. One set is four tickets in the field box level, and the other set is two tickets in the terrace level. I have also purchased one parking spot in a lot that is a couple of blocks from the stadium. I have divided the tickets among you, with my husband's help. He identified "good games" (i.e. teams that everyone likes to see), and those are distributed equally across my direct reports. Tickets for the other games have been distributed based your percentage of Energy Operations employees. For most games, you will receive all six tickets. You can use these tickets for yourself and for a small reward for a job well done by someone in your group. The parking information will accompany the group of four field box tickets. Patti is including a map of downtown with the parking lot pinpointed. Your tickets will be distributed to you this week. I hope that you and your staff will enjoy these. I also received over 100 tickets from Cliff Baxter, Greg Whalley and Dave Delainey for the exhibition game on Saturday, April 1. I have chosen to distribute two tickets a piece to all directors and managers in Energy Operations who are not my direct reports. SInce you will have first call on the season tickets going to your group, I thought that it would be nice to make these tickets available to the next tier of leadership. I wanted to make you aware of this before these are distributed tomorrow. Finally, I have purchased a block of tickets for two upcoming games, one a weekday afternoon and one a weekend. I will let you know these dates soon, as I would like for my direct report group to join me at these games.

Astros Tickets

I will be out of the office Wednesday through Friday, March 15-17 to be with my children during part of their spring break. We will be in town, so I can be reached either at home (281-370=8568) or on my cell phone (713-417-1591). I will check voice mail messages during this time period, but probably once or twice a day. I will be in the London office next week. I will be in that office from about noon on Monday through the end of the day on Thursday. Patti will have a schedule of my appointments while I am there, and she will have an international cell phone number that I will have with me throughout the trip. Contact her if you need to speak directly with me. I will be responding to voice mail frequently throughout the week. I will be travelling back to Houston on Friday, March 24 (leaving my hotel in London around 1 AM Houston time). I will see you back in the office on Monday, March 27.

Days Out of Office

Per my earlier e:mail message, I am forwarding to you the draft of the report on the operations/controls review of Singapore. (It is an attachment to the message from Scott Earnest to me.) The most current drafts of the reports on Oslo and Frankfurt were compiled by the AA team in London. Nick Swingler is apparently out on vacation this week. I have asked AA personnel from Houston to coordinate with their London office to get you a copy of those two draft reports. Given the time difference, you should receive thos reports via e:mail from AA on Wednesday. --Sally

Draft of Singapore Office Findings

Attached is the list of PRC meetings that will cover operations for ENA, EIM and EGM. Location, times and attendees are listed for each meeting. There are five pre-review meetings that will take place starting today through December 5 in preparation for the Energy Operations PRC meeting that will be held on Friday, December 8. I invite you to sit in on any or all of these meetings if you would like to do so. The most meaningful meeting will be on December 8th. In that meeting, we will review the results from the pre-review meetings for Senior Specialists and below. I would anticipate that if at each pre-review meeting the preferred distribution is met as instructed, then this portion of the meeting will not take too long. We will then review in more detail the managers, who will have been pre-ranked in the pre-review meetings. We will also review and rank the directors and senior directors. I can also be prepared to review my suggested rankings for the three VP's who report to me, with you, Wes Colwell and David Oxley in attendance. Call me if you have any questions. --Sally

Energy Operations PRC Meetings

Brent Price and I will be in the London office next week, arriving Monday morning and returning to Houston on Friday. The purpose of my visit is in regard to my Global Risk Management Operations role, I believe that Rick Causey met with you regarding some operations support that Brent and I will provide to Fernley during a transition period prior to the arrival and during the assimilation of Michael Jordan, the JP Morgan staffer that Fernley has hired. Brent and I will be working with Fernley next week to iron out the details of our support for Fernley during that transition period. We will also map out an Enron trading operations introduction for Michael Jordan, which may involve a short stint for him in Houston. My goal is to provide a strong resource to Fernley during this transition period and to work with Fernley to provide whatever assistance, training, and orientation to Michael in his role so that his assimilation can be as smooth and effective as possible. Another purpose for the trip is to spend some time with Fernley and his business controllers to get their ideas on specific goals that as a group we would commit to for 2000. I know that Barry and Richard Sage have many good ideas on how we can leverage knowledge and best practices across all Enron locations with trading operations. My earlier trips to London this year were focused solely on Helsinki, and did not allow time to positively focus on leveraging worldwide operations experience. I value input from other trading operations professionals and I look forward to the ideas that can be generated in working with Barry, Richard and some of their direct reports. I also contacted Tani Nath about my trip to see how I could support her as she moves into her role in Global Products. I have not heard from Tani, but I understand from others that she will be in the Houston office next week. It will be unfortunate to miss her on my trip, but based on my commitments in Houston and Rick Causey's desire to move forward on providing trading operations support to Fernley, next week is the best for me to be in London. I did meet with Tani for an hour when she was here week before last and offered to help her in any way if she made the decision to accept the role over Global Products. I trust that she will contact me for that support as needed. I have scheduled a short meeting one on one with you while I am there to discuss how my global role can provide support and resources for your business efforts in London. I look forward to meeting with you next week. This trip is not a leg of the worldwide operations/control review that we are conducting at Joe Sutton's request. By circumstance, as you know, we have taken a look at Helsinki and subsequently Oslo and Frankfurt. There will be a similar review of Continental power, UK gas, UK power and global liquids. The review teams are currently focused on operations/controls reviews of North American locations and some entities in the US in which Enron has a large ownership position. It is likely that the continuation of this effort in London will occur in mid April. Copies of the drafts of the findings for Oslo and Frankfurt were provided to Fernley as soon as the team returned to Houston. We hope to finalise those drafts this week as we receive comments from Fernley and the business managers in Oslo and Frankfurt to whom those drafts were provided. Fernley suggested that you would like to see the drafts as opposed to the final copies, so I will have those forwarded to you today. The Sydney and Singapore trip was a lengthy one, as it also involved a last leg of the trip in London with regard to support for SIngapore. The Houston team returned the middle of last week and worked with AA on an early draft last Friday. I can also provide you with a draft of that report, the completion of which was pending input from Bill Bradford early this week (he made the trip but was out of the office last week). We did do a preliminary review of the Sydney and Singapore findings with Rick Causey and Rick Buy on Friday afternoon, to accommodate the fact that both are out on vacation this week. They understood the preliminary nature of the draft that was reviewed with them.

Trip to London Next Week

I didn't get a response from you regarding my e:mail that I sent last week, but I have heard through the grapevine that you will be making a trip to Houston next week. My plans for being in London next week are firm, so it looks as if we will miss one another. My offer stands to help you in any way as you take on your new role, so I trust that you will take me up on that offer as needed. I will look forward to working with you as we develop common standards for operations worldwide, with effective exception reporting. This is a key initiative for 2000 and will involve trading operations in all locations for all commodities.

Trip to London

Brent Price and I will be in the London office next week. Wanted to see if you, Frank and Mo might be available for dinner one evening. We arrive on Monday morning (March 20th) and will return to Houston on Friday morning. Our Tuesday night is booked, having dinner with Fernley. But Monday, Wednesday and Thursday are available. Does it work for you with the baby to do evenings? Let me know.

Dinner Next Week

Attached is a referral and resume on an HR professional that I thought might interest you. The referral comes from James Scribner, a guy that has just accepted a job offer from me. James and I worked together previously at a bank, and he is very discerning in his evaluation of talent. When I asked if he knew of any other talented people at Fleming (his current employer) that we should know, he immediately suggested Tana. His read is that she is very bright, creative, and innovative. She has worked on many special projects at Fleming, but James believes that she would certainly consider a generalist role as she learned Enron and would then "earn" her way into managing special projects. I thought that I would give ENA a first look at this candidate. If you are not interested or do not have a need, please pass this referral along to other HR groups. FYI - James will start work here on April 3.

Resume for Tana Cashion

I was forwarded a copy of Fernley's announcement regarding your new role fo= r=20 Global Products Trading Support. Your discussions in Houston last week mus= t=20 have swayed you to accept the challenges that are there. Congratulations o= n=20 your new role. As you step into your new position, please let me know how = I=20 can best support you in my role over Global Risk Management Operations. I = am=20 forwarding a copy of the announcement regarding my expanded role that was= =20 sent out in January. Assuming that you were not paying particular attentio= n=20 to trading operations issues at that point in time, this may be one of thos= e=20 e:mail messages that you skipped. I thought that it might be helpful for y= ou=20 to understand the focus that I will have in working with trading operations= =20 groups around the globe. I certainly will look forward to working with you= ,=20 Tim and Kevin. =20 I understand that Kevin will move into a role that is focused full-time on= =20 systems implementation. Who will assume the day-to-day lead responsibility= =20 for Global Products trading operations in Houston and how will that=20 individual report in to you? =20 I will be in the London office during the week of March 20. I will leave= =20 Houston on Sunday evening, so that I should be in the office by noon on=20 Monday. I plan to be there through Thursday evening. Let me know if you= =20 will be in town that week, so that we can schedule some time together. =20

Congratulations on New Role

The responsibility for granting access to the DPR and associated reports available through the Executive Viewer on line is being shifted from Scott Tholen's team to my operations team. (This makes a lot of sense, since it is our group that prepares all of these reports.) Fernley Dyson has requested access to this information via the Executive Viewer. In insuring a tight distribution list for these reports, please let me know via return e:mail or voice mail (x35926) that you would like for Fernley to have access to the Enron-wide DPR. Thanks.

Access to DPR for Fernley Dyson

Kevin Sweeney forwarded this message to me. Fernley may have made you aware of his decision with Tani when you and he talked yesterday. If not, I thought that you might be interested in this. --Sally

Organisational Announcement - Tani Nath

I will be out of the office on vacation on Thursday, Friday and Monday, March 2, 3, and 6th. My assistant, Patti Thompson (x39106) will have telephone and fax numbers for the hotel where I will be staying. I will be at Disneyworld with my family and 90 members of my daughter's high school drill team, so it is not likely that I will be available during the daytime. However, I can be contacted at the hotel in the evening, if needed. While I am out, please contact the following for any operational needs: Brent Price Business Controller for Natural Gas x37647 Kristin Albrecht * Business Controller for Power x34763 * Kristin will be in the office in the morning only on March 6: she will be in route to Portland in the afternoon. I will be back in the office on Tuesday, March 7.

Vacation - March 2, 3, and 6th

Rick: Sorry, I should have sent this to you several days ago. Is the level of detail correct on these goals as you look to assimilate these with others? I have stated the goals, but not the action plan to achieve the goals. I am working on those in some detail right now. --Sally

Goals for 2000

Ted Murphy and I met with the Arther Andersen team this morning that accompanied us on our trip to Buenos Aires. We reviewed the observations and recommendations in written form that we had discussed briefly with you on our last day your office. After making a few changes, AA should be forwarding to you a copy of the draft document later this afternoon. We would welcome your comments and your additions on anything that you think we may have missed. Ted and I will be meeting with Rick Causey and Rick Buy within the next couple of days to discuss our operations and control review, so your responses would be welcomed prior to that meeting. I look forward to working with you and others in your office in my role over Global Risk Management Operations. In addition to overseeing common standards and controls for opeartional practices, I will work as your advocate for system and resource needs in order to insure success for your business plan in Buenos Aires.

Output from Operations/Control Review in Buenos Aires

Ted Murphy and I met this morning with the Arthur Andersen team that accompanied us to Sao Paulo. We reviewed a summary of our observations and recommendations as a result of our visit. After a few suggested changes, AA should forward a copy of this draft to you via e:mail later today. We would welcome your comments on the document, and input on anything that you think we may have missed. Ted and I will be reviewing this information with Rick Buy and Rick Causey as soon as a meeting can be scheduled, so your prompt comments or feedback would be welcomed.

Output from Operations/Controls Review

Another FAS 133 Offsite meeting has been scheduled for Tuesday, Feb 29 (all day). Sally asked me to forward this to you - would like you to attend if at all possible. Scott, this is an FYI for you - I know you will be overseas on this date. Patti

FAS 133 Offsite

Mike & Scott, Sally asked me to forward this to you & wanted to know if there was any way possible you could attend. I apologize for the short notice, but with Sally going out of the country, things have been really hectic. Sheila Glover will also be attending. Please let me know as soon as possible & I will let Paige know. Thanks,

FAS 133 Offsite

I have asked Patti to send Sharron a list of all employees within Energy Operations (a BIG list) and another one with managers and above (perhaps a more manageable list) for this effort. Since you went to the meeting I didn't know whether or not you were following up on this. Just wanted to let you know that I have asked Patti to do this. Thanks.

Celebration

Please distribute attached memo to all Enron North America employees. If you need additional information, please call my assistant, Patti Thompson at ext. 39106. Thank you,

Memo to be distributed to Enron North America employees

Brent & Peggy, Memo complete with exception of last paragraph write-up of your promotions. Sally made a beginning stab at it, but would like you to read over your segment and make any corrections or additions that you see fit (Peggy, in your case, can you fill in the blank). When these are received back from you, I will call her (if it's this afternoon), and final copy will be distributed. Thanks for your help. Patti x39106

Promotions Memo edit

Please join us for a celebration of Energy Operations promotions, hosted by ENA Energy Operations Management Team. The following people will be honored at Irma's (22 N. Chenevert @ Franklin) on Thursday, February 3, 2000 from 5:30 pm - 7:30 pm. Brent Price Kristin Albrecht Brenda Herod Leslie Reeves Mary Solmonson Scott Pleus Sheri Thomas Bennett Kaufman Richard McKeel John Postlewaite Sylvia Campos Kam Keiser Phillip Love Anthony Campos Kori Loibl Trang Le Donnie Vinson Imelda Frayre Amy Degeyter Michael Nguyen Sherlyn Schumack Karie Hastings Leslie Smith Please RSVP by Friday, January 31 to Patti at ext. 39106 or e-mail reply. Directions will be available Monday at Patti's desk (3012f). Hope to see you there!

Invitation to Promotions Social

I liked the new signs for the new hire network this morning, as opposed to the signs for new hire orientation. Just wanted to let you know that I noticed the difference! I will be curious to hear about changes to the content as well. Hope your are doing well. We will have to have lunch after you get through January! --Sally

New Hire Network

Attached is a memo that Rick plans to send out - I hope that attaching this makes it easy for you to take care of this. I am delivering to him a highlighted copy of the memo so that he will know about a few wording changes that I have made since the last time that he saw this in draft form. He is certainly free to make any other changes before it goes out. Call me with any questions.

Memo for Rick to send

The industry quote below is interesting. I have a call in to Bob to ask him to get you key measurements on EOL business to date. --Sally

Press quote

THE ATTACHED IS THE CORRECT VERSION. Please disregard an earlier version of this form sent to Chris Shenkman by Dawn Doucet. That version was not complete.

Employee Profile - Peggy Hedstrom

The address list on the memo below contains the names of all ENA Energy Operations employees who worked in the offices in Houston, Denver and Calgary on January 1st to test our systems. Does it work for you to copy and paste this for Cliff's note? Let me know if it would be better to provide this to you in a different way. Thanks. --Sally

Thanks for January 1, 2000

Does the info as provided from HR indicate MBA's from UT? I know that Enron probably has a number of undergrads from UT. At this point, I am specifically interested in UT MBA's, as it is the Houston Chapter of UT's Graduate Business Network for which I will now serve on the steering committee. Thanks! --Sally

Alumni List

1) Y2K Team: Let me know if you would like to send a notes mail message from you to the individuals that were here on Saturday, January 1 for the Y2K testing. I have created an address list that contains those names that I could forward to Susan Skarness to use for that purpose. 2) Draft Memo from Rick Causey: Attached is a draft memo that Rick Causey proposes to send this week that describes a coordination role that I will play on certain operational policies and procedures that should be coordinated in all trading locations. I have left you some comments regarding this on my voice mail. I would welcome your comments or questions.

Per my voice mail

I am resending the original message that I sent to Kevin regarding Rick Causey's memo. Please refer him to the second point in my e:mail, as well as the attachment. Thanks.

Various Discussion Points

We are wrapping up several hours in the office and have tested all commodities front to back. We found a few minor issues, primarily reports with report dates that were incorrect. The content and underlying calculations in the reports were correct. These were really just query and formatting issues. All were quick fixes of five minutes or less. So at this point we feel confident about our system situation. More will unfold with counterparties next week, but hopefully all found this as uneventful as have we. Hope your new year's celebration was fun. We saw pictures of the London festivies on TV as we were cooking our New Year's eve dinner last night at home. See you soon.

Happy New Year - No Y2K Fear!

I know that over the past few weeks you have been handling your daily responsibilities and working on the transition of business from our aquisition of CES's wholesale business. I realize that balancing all of this has been demanding, especially with the holidays, bid week and other end of year actitivies. Thank you for the extra effort that you have given to effectively absorb the CES book of business. It is noticed and appreciated. As we look forward to the new year, I thank you for your accomplishments and

Work on CES Transition

Did you get a copy of this? It looks as if in September that our=20 intercompany balances were relatively low (EES and ENA), with an increase i= n=20 October with Enron Europe. Do you have details behind this? Are EES=20 balances gas only, or gas and power? How do we have imbalances with=20 ourselves? What kind of reporting do you get from financial ops on a regul= ar=20 basis that gives you the details behind this? I am assuming that these=20 imbalances are created from commodity transactions, so that we would really= =20 be closer to the details than would financial ops. Is that a good=20 assumption? --Sally=20

Intercompany Balances

Please note change in red on Key Contact List for week of December 27, 1999= . Attached please find a Key Contact list for Energy Operations for the weeks= =20 of December 20 and December 27, 1999. Note the following schedule for risk= =20 book reporting to accommodate the holidays.=20 Trade Date Enron Status NYMEX Equity Market Consolidated Risk Reporting= =20 Thursday, 12/23 Holiday Open Open DPR published =01) normal schedule ** Friday, 12/24 Holiday Closed Closed DPR not published ** Monday, 12/27 Open * Open Open DPR includes 12/24 & 12/27 P&L Tuesday, 12/28 Open * Open Open DPR published =01) normal schedule Wednesday, 12/29 Open Open Open DPR published =01) normal schedule =20 Thursday, 12/30 Open Open Open DPR published =01) normal month-end schedule Friday, 12/31 Holiday Closed Open DPR not published ** (closed 1PM EST) Monday, 1/3 Holiday Closed Open DPR not published ** Tuesday, 1/4 Open Open Open DPR includes 12/31, 1/3 & 1/4 =20 Notes: * Canadian holiday ** Trader P&L and Position reports will be produces for traded products = =20 Distribution:=20 ENA Office of the Chairman Commercial Pulp & Paper Energy Operations Cliff Baxter Greg Whalley Edward Ondarza Kristin Albrecht Kevin Hannon Sheila Glover

Holiday Coverage Contact-REVISED

I will commit to writing the three items that I had hoped to discuss with you today. Feel free to get back with me via voice mail (x35926). If you would prefer to discuss any of these with me, you can reach me at home from December 20-23 while I am on vacation. My home number is 281-370-8568. I will be back at work for the week between Christmas and New Years. 1) January 1: Do you want me to call you that day after we have tested all systems to give you a status update? I can leave a voice mail for you at your Enron number. Or if you prefer, I would be happy to call you if you will provide me with a number where you will be. Cliff Baxter and several key commercial personnel have asked that I call them after we have completed our testing of all systems that support each commodity and product that we trade in North America. I will make these phone calls myself, and will naturally treat all phone numbers that I have been given as confidential. Please let me know your preference for notification. 2) Definition of a global focus for trading operations: Attached is a draft memo that Rick Causey proposes to send. This memo describes a coordination role that I will play on certain operational policies and procedures that should be coordinated in all trading locations. Please let me and/or Rick know if you have any comments or suggestions. I had hoped to briefly discuss this with you in person, as I would want you to understand two points: (1) This role will not prevent me from continuing a very strong focus on the needs of ENA. I have worked very hard to assure a level of accuracy, control and service in ENA operations. Through that hard work, I believe that I have your confidence in my ability to deliver results. I would do nothing to jeopardize that. (2) There is a need for this coordination function, and some one will play that role. If I play that role, I can be in the best position to influence outcomes with ENA's needs in mind. 3) Gas Logistics: I will talk with Whalley about my thoughts on this, but I had wanted to make you aware that Jeff Shankman believes that he wants logistics to report to him. His stated reason to me is that he wants it to "look like power". I had wanted to discuss with you your thoughts on what the criteria should be on which we make that decision. I will propose to Greg and Jeff that gas logistics should be located in direct proximity to the regional traders in order to facilitate the flow of commercially viable information about the pipes and capacity. ( We have that now for the Central and West desks, and should be able to make this happen as the 32nd floor is built out for gas.) I believe, however, that gas logistics should now report to Brent Price, my business controller over gas for the East, Central and West regions. Brent would then have operations truly front to back (risk, confirmations, scheduling and invoicing) and he sits on 31 and works very closely with Jeff. Also, Brent would be in the best position to ensure that the logistics team meets requirements for timeliness and accuracy of volumetric information so that we can achieve our target headcount reduction in gas operations of 52 by year end 2000. Without a continuing focus in logistics on the downstream information needs, I will be concerned about our ability to deliver our projected cost savings. I also believe that Brent will be in the best position to ensure minimal flash to actual variances. While Greg and Jeff were certainly both with ECT in 1996 when we had an earnings hit as a result of flash to actual variances, I am not sure that either one was involved closely enough to appreciate the need for a strong front to back focus to prevent these problems, and that includes holding logistics accountable for their part in this. I will let you know the outcome of my conversations with Greg and Jeff on this issue.

Various Discussion Points

We are working very diligently to accommodate the need for space on the 30th floor. Unfortunately, we are not able to do any major construction to densify the floor during the next several months while Enron Property Services is completing the build-out of levels 29, 31 and 32. In the mean time, we are going to build out the window spaces on 30 to increase the capacity on the floor. While these locations are not prime spots, people will need to occupy them as our business continues to grow. Once the window seats have been constructed (estimated to be 2-3 weeks), we will realign groups on the floor and people will need to move once again. I am requesting your cooperation and patience to work with Lisa Cousino while she works with space planners to coordinate the location of Energy Operations personnel on the newly-constructed Commercial floors. Susan Harrison is working with Lisa to manage the space planning on 30 during this transition period. Chantelle Villanueva will be coordinating all moves of people and equipment on the 30th floor. If there are any problems once a move has occurred (i.e., missing or non-working phones, boxes, computer equipment, printers, etc. ), please contact Chantelle at Ext. 3-6279 as she will also coordinate the follow-up on all move-related items. If Chantelle is not available, Maria Sandoval will be her backup. Maria can be reached at Ext. 3-5586. I would also appreciate your help in cleaning up the floor, including the window spaces. We can no longer maintain unnecessary boxes, paper and supplies on the floor. Please coordinate with your assistant to have your area cleaned up by December 31. During this clean-up process, if you have any documents that need to be filed and/or archived, please contact Carolyn Gilley in the Information and Records Management group at Ext. 3-5237 and she will make arrangements to pick up the information from the 30th floor. Thank you in advance for your understanding and cooperation in maintaining a neat and professional work environment. Between now and the summer of 2001 when we will relocate to the new building, please keep in mind that we are all working in a temporary and makeshift environment. I would greatly appreciate your patience and good humor as we struggle to use the available space effectively. If I have missed anyone on the distribution list that has just recently moved to the 3oth floor, please forward this message to them.

Floor Space on 30

FYI: Effective today, the schedulers for HPL have relocated from the 42nd floor to the 30th floor. This team reports to my direct report, Brenda Herod, who is the Business Controller for the Asset Group and Texas trading region. They are on the west side of the building, just outside my office. While room for this scheduling team was not available on the 31st floor, this move was made to improve communications with the Texas desk traders. By being within the same elevator bank, we can now employ "squawk" boxes between the traders and this scheduling team. As we look at space usage on the 32nd floor, this team should be included in space requirements. We are working with Liz Taylor on those requirements.

Relocation of HPL Schedulers

Please give Gretel a final list of dates that you plan to be out of the office from December 20 through the end of the year. For the dates that you will be out, please provide the name and number of the key contact person in your group that will be in the office on the days that you are out. As I have in past years, I will compile a list of key contacts through the holiday period that we can use internally within Energy Operations. I will also provide this list to others outside Energy Operations who may needa contact list during this time period. Please get this info to Gretel by Wednesday at noon, so that I have time to finalize the contact list before I am out on vacation. FYI: I plan to be out of the office the week of December 20. I will be at home during that week and can be reached there if necessary. I will be back in the office on Monday, December 27 and I will be working through the end of the year.

Key Contacts in Your Area - December 20 - 31

I will be out of town on Thursday. I think that it would be great if you could attend this info session on CommodityLogic - it would be good to hear how this project is being described to a wider audience within Enron. If you can make it, please try to attend. And I would love to have a voice mail message afterwards with your feedback from the info session. Thanks.

Lite Bytz RSVP

I have put this meeting on my calendar. You don't need to forward to anyone else. Chantelle should handle that for Brent's EGM team. Thanks.

EGM All Employee Meeting

As a follow up to our discussion earlier this week on commercialization of mid and back office services and managing those responsibilities for EWS, I will have a timeline for your review on Monday that will pinpoint key dates: Unify conversion, EES absorption, HPL sale, commercialization, Todd Busby's arrival, etc. I will also have details of resource needs. We can use this to set internal expectations on the timing of successfully handling all of these initiatives. I will welcome your comments on the timeline. --Sally

Follow Up

I will be out of the office Tuesday and Wednesday this week. I can be reached at home (281-370-8568) or on my cell phone (713-417-1591) if needed. I will be checking and responding to voice mail messages while I am out as well. In my absence, please contact the following persons regarding trading operations issues: Gas Operations Jeff Gossett x37306 Leslie Reeves x37962 Power Operations Jenny Latham x33982 Leslie Reeves x37962 DPR Shona Wilson x39123 MPR David Maxwell x36983

Out of the Office - Tuesday and Wednesday, November 21 and 22

Hadn't talked with you in a while and thought that I would send a quick note to say hello. Saying it is busy here sounds a bit like a broken record, but it is busy here! Big challege currently is juggling our huge day-to-day business for Enron Americas, starting the absorption of some pieces of EES (my part alone looks like an additional 120 employees, with the intent to find ways to assimilate that business and ultimately reduce overall support costs for Enron), the sale of Houston Pipeline to AEP that should conclude in June or July and the commercialization of mid and back office services. All of these of course with top priority! I am really enjoying having Beth Apollo on the team. She has already made a very positive impact, while she is learning the details of the operations side. How is life treating you? I know that their is a lot going on in the London office, as well. How has Ted Murphy's assimilation into the London office been? Do you have plans to be in Houston any time soon? Keep me posted tomorrow on any news that you hear from Mike Jordan regarding their baby. Hope that all is well with you. --Sally

Head above water?

I will meet with Kim this afternoon on her comments on ConfirmLogic. Bottom line, no sign off from Kim at this point. Thought you might want to know.

Update on ConfirmLogic

Mary Solmonson has made a personal choice to resign from Enron. It is with regret that I have accepted Mary's letter of recommendation. Mary has contributed greatly during her tenure at Enron, particularly in the development of global information that has been critical in supporting our effective systems development and information gathering. I do appreciate Mary's personal decision, however, and I know that you will join me in wishing Mary well. Also effective April 16, we have made a realignment within Enron Net Works of the group led by Sheri Thomas. Sheri will now report directly to Andy Zipper, who leads EnronOnline. The Operations Product Control Team in its early stages was focused primarily on making our transition to EnronOnline a smooth one for operations. Much time was spent initially on the bridges necessary between EnronOnline and our legacy systems. The role of the team has evolved today to one that is intimately involved in the day-to-day operations of EnronOnline. With this evolution, it makes sense to have Sheri's team as an integral part of the larger EnronOnline team. Sheri's team will continue to support other e-commerce initiatives, such as Clickpaper, DealBench and CommodityLogic, so that we can leverage the experience of her team and avoid duplication of internal infrastructure. Sheri, Andy and I met with Sheri's team yesterday to announce this organizational realignment. Sheri has done a great job of leading the Product Control Group over the past 14 months. Sheri is committed to see that her team continues to work closely with Operations to ensure that any changes in Enron's e-commerce businesses that may impact trading operations are shared with us. We look forward to continuing to work closely with Sheri and her team.

Management Team Changes

I am taking Good Friday as my discretionary holiday for the year. I will be in Austin with my daughter for her official tour and info session at UT, plus a look at dorms. Patti will have numbers where I can be reached in Austin. We are making final changes to the orig presentation today - I will be reviewing those tomorrow in Austin. I am e:mailing you a current draft version, although it does not yet reflect all of the changes needed. I am still trying to eliminate some pages to make it more a more manageable size. I have taken the work that Rahil and Fred have done on the services and have made that into an appendix - nice work, but way too much detail for a presentation.

Discretionary Holiday - Friday, April 13

This is the note that I mentioned that I sent to Philippe today about space in the new building. You can take up the cause with Philippe when he returns. I am meeting with Tammy Shepperd at 1:30 tomorrow on some space planning details. I will tell her that Sheri's group should be located with yours, and by that time I should be able to tell her that Sheri's group will be reporting to you. I will call you tomorrow after I talk with Sheri - should be by 11:00 am.

Space Planning - Product Control Group

In re-reading this, I noticed that Todd Hall was included in the distribution list. He is the only one from Brent's team included. Do you want to copy Brent as well, or was Todd's inclusion due to his previous responsibility over the MPR, which now is managed by Susie Ayala. Either way, you may want to include Brent on the message just so that he and his team know about the creation of this common drive. What about Georgeanne Hodges? Should she be notified as well? You may also want to copy Wes as an FYI. Thanks.

Complete list?

According to Tammy Shepperd who is very involved in space allocation for the new building, a location for Sheri Thomas' Product Control Group remains up in the air. Sheri, Andy Zipper, John Cummings, and Surresh have met to discuss space, and all agree that Sheri's group needs to be located with their groups. My understanding is that you have designated a certain number of spaces for ENW on the trading floors, but that Sheri's group is not included in that count. Can we get together when you return to the office next week and discuss floor space? Thanks. --Sally

Space Planning - Product Control Group

Beth Apollo has recently joined the team and Brenda Herod has recently married. February and March were gone before I could get organized enough to try to celebrate both of these occasions. In honor of Beth's arrival and Brenda's marriage, I hope that you can join David and me for drinks and appetizers at our house on Saturday, May 5, followed by dinner at Champions Golf Club. Please include your spouse or a guest, and know that we will also be happy to just have you attend. Let me know if that date will work for you.

Hold the Date

Patti will be distributing Astros tickets to you for the 2001 season. We used a process that gives you tickets for games in proportion to the number of employees on your team. I hope that you will enjoy the games and that you will also be able to use some of the tickets to reward employees for a job well done. We have improved our tickets this year. Thanks to Patti, who scoped out options for new tickets, and to my husband, who studied advantages and disadvantages of each option, we have some good seats for the year. The new tickets (4 together) are Dugout tickets, located between home and third base, about 28 rows up from the field. Not aisle tickets this year, but I sat in the seats for the pre-season opener, and they are a big improvement over last year! We will work on the aisle for next year. We also still have the two Terrace level tickets as we did last year. For some games you will get all 6 tickets, and for others you may get either the Dugout Tickets or the Terrace tickets. Not a bad start to the season so far, so hopefully the new ballpark jinx is history! --Sally

Astros Tickets 2001 Season

Your recent voice mail message to me indicated that you maintain a list of board positions held by VP's and above. I thought that it might be helpful to have this in writing to add to your list. Beginning with a fiscal year that starts April 2001, I am now a member of the Board and President-Elect of National Charity League, a mother-daughter community volunteer organization. We have over 300 members, including mothers and their daughters in grades 7 through 12, in the Spring/Champions area. We run bingo games in local nursing homes, provide "coaching" during practices for Special Olympics volleyball, tennis, track and bowling, stock local food pantries, work with children in after-school programs in the local elementary schools, etc. It is a great way to create common goals for mother and daughter teams with a focus on others, at a time when girls would otherwise tend to be focused only on themselves. The hope is that this early introduction to volunteerism will remain with the girls as a lifelong commitment.

Community Board Position

I won't bury you with constant examples, but am copying you on this note regarding floor meetings. While operations is now a part of Enron Net Works, I believe that the only meaningful piece of that to Philippe and Greg is our commercialization effort. They are not in the habit of considering the 500 people who provide critical services to EA, EGM and EIM daily. Floor meetings set by Greg and Philippe were apparently aimed at the IT teams, and yet my group has added over 500 employees to Net Works in Houston alone with our reorganization late last fall. I will diligently work with Philippe and Greg on this on an on-going basis. While not fully embraced as part of Net Works, my operations team now is organizationally separated from the key Enron businesses that we support. I suspect that motivating and managing in this environment will become increasingly challenging. This is an FYI more than anything else. --Sally

Suggestions for Floor Meeting Locations