FW: December Crude Let's discuss how you recommend to proceed.

Bill

 -----Original Message-----
From: 	Fuller, Robert  
Sent:	Tuesday, November 20, 2001 3:20 PM
To:	Moran, Tom; Shankman, Jeffrey A.; Bradford, William S.
Subject:	December Crude

Tomorrow is the final day to schedule December barrels, and we are currently short 1,220,000 barrels.  We have exhausted all measures of buying crude including: settling sales financially, buying from companies where we have short positions, and selling physical puts.  As a group, we have reduced our short physical position from over 10 million barrels to 1.2 under extremely difficult credit terms.  We believe we cannot cover the remaining 1.2 without prepaying a counterparty.  This requires a cash infusion of approximately $22,631,000 (1,220 X $18.55/barrel). 

Every effort will be made within the next 24 hours to reduce this position, but the outlook is not bright.  Please let me know as soon as possible what can be made available to us.

Sincerely,

Rob Fuller

