oppd prepayment - terri did the deal for $ 1 . 5 million gain to enron .
- above profit was negotiated based on $ 4 million up - front payment .
- for income smoothing reasons , oppd asked to defer the payment , which we agreed to do .
- oppd also asked to retain the option for early payment in the event their circumstances changed . we agreed to do this , but also negotiated the libor discount .
i . e . : they gave us the potential time value for free , but have now exercised their option : therefore we have only had the free time value for 5 . 5 months , instead of 11 ( ish ) .
dave
oppd prepayment
- terri did the deal for $ 1 . 5 million gain to enron .
- above profit was negotiated based on $ 4 million up - front payment .
- for income smoothing reasons , oppd asked to defer the payment , which we agreed to do .
- oppd also asked to retain the option for early payment in the event their circumstances changed . we agreed to do this , but also negotiated the libor discount .
i . e . : they gave us the potential time value for free , but have now exercised their option : therefore we have only had the free time value for 5 . 5 months , instead of 11 ( ish ) .
dave