Stand up, Texas, against California's bullying
Houston Chronicle, 05/24/01

Markets / Your Money Senate Shift to Ripple Across Industries Politics:
Jeffords' decision could broadly affect range of sectors, from drugs and HMOs
to tobacco and energy.
Los Angeles Times, 05/24/01

Brazil asking power users to cut back
Houston Chronicle, 05/24/01

California Official Cites Evidence of Electricity Price Manipulation
KRTBN Knight-Ridder Tribune Business News: Contra Costa Times - Walnut Creek,
California, 05/24/01

Shrugging off energy ties / GOP gubernatorial hopeful downplays his Texas
investments
The San Francisco Chronicle, 05/24/01

India Appoints Nominee To Dabhol Power Dispute Panel
Dow Jones Asian Equities Report, 05/24/01

INDIA: New Delhi aims to help Enron patch up with utility.
Reuters English News Service, 05/24/01

POLAND: ANALYSIS-Central European gas markets head for shake-up.
Reuters English News Service, 05/24/01

India: A 'hurt' Godbole quits, persuaded to stay on
Business Line (The Hindu), 05/24/01

INDIAN GOVT TO ACCEPT PROPOSALS TO SETTLE POWER DISPUTE
Asia Pulse, 05/24/01

Endesa to sell coal-powered plants operated by Electra de Viesgo (Endesa
incluye una mayoria de centrales de carbon en Viesgo antes de venderla)
Expansion, 05/24/01

Is Pawar playing power politics with Enron?
The Economic Times, 05/24/01

Godbole does a Mamata; quits, then back
The Economic Times, 05/24/01

COMPANIES & FINANCE THE AMERICAS: Dynegy on the lookout for deals
Financial Times; May 24, 2001

May 24, 2001
Houston Chronicle
Stand up, Texas, against California's bullying
By JONATHAN WILCOX
LADIES and gentlemen: May I present to you the Hon. Bill Lockyer, attorney
general of the state of California, from the May 22 Wall Street Journal:
"I would love to personally escort (Enron Corp. Chairman Kenneth) Lay to an 8
x 10 cell that he could share with a tattooed dude who says, `Hi, my name is
Spike, honey.' "
When you stop gagging, join me in celebrating Lockyer's crude, lewd and
unsubdued behavior. It has stripped away whatever veneer of respectability
California officials had by virtue of the offices they hold and exposed them
as braggarts and bullies of the first order. But they also wield enormous and
destructive power -- and they intend to use it.
The sooner Texans realize this the better.
As citizens of the state that is home to much of the nation's energy
production, the people of Texas are intimately familiar with the booms and
busts of the oil and natural gas industries. Sometimes, prices are high, new
supply is nigh and willing buyers can only sigh.
Other times, gluts occur, demand fluctuates, competition grows ruthless and
revenues seep out like the last remnants of black crude from a stripper well.
These are the principles of American capitalism, free market forces and the
give-and-take and push-pull that separate this nation's economic capacity
from all others. It is a fundamentally fair system, it has served us
remarkably well and every time we have tampered with it, it has been to our
ultimate detriment.
Witness California's partial "deregulation" of its electricity market.
The Golden State, for all its vanity, pride and preening machismo, actually
knows very little of tough times. Sure, we can handle the occasional
spectacular episode, like an earthquake or wildfire. That's part of the
thrill of living in California.
But when it comes to our economic expectations and their interrelationship
with our desired lifestyle, we only know the California way: more, more often
and with no end in sight.
And if we don't get what we want, when we want it, it's someone else's fault.
In that light, it is no surprise that we are saddled with our current
governor, Gray Davis, and our current law enforcement chief, the
aforementioned Lockyer.
Despite his frequent jittery appearances on national television, Davis is a
politically shrewd man. He may not know which public policy choices are best
for the state's future, but that's not his highest priority.
Item No. 1 on Davis' "To Do" list is to get re-elected next year. But this
has been complicated by the state's year of energy woes, Davis' ineffectual
response and the fact that California is a largely one-party state.
Of California's eight statewide elected offices, seven are held by Democrats,
including Davis and Lockyer. You don't have to be a Delphic oracle to discern
that if Davis gets tossed out, he will take more than a few of his political
brethren with him.
So, as California tiptoes toward its long, hot summer of rolling blackouts
and unprecedented electricity shortages, Davis is busy digging his personal
bomb shelter. He's preparing for the big one, calculating that while the
damage will be great, and the fallout potentially lethal, he and the other
cockroaches, like Lockyer, will survive.
How will they do this? By finding some fall guys to take the rap.
Call it the Texas two-step: First, Davis declares "war" on Texas energy
producers. Next, Lockyer says he expects to file civil charges against
suppliers, with, he hopes, criminal counts to follow.
For a demonstration of how not to deal with Lockyer and other California
aggressors, examine the rejoinder of Mark Palmer, Enron's vice president for
corporate communications. Lockyer's comment about Lay, he said, "is so
counterproductive that it doesn't merit a response."
Wrong. Weak. Ineffective. Decency in the face of demagoguery may be
dignified, but it's little more than an invitation to further abuse and, for
Enron, public villainy.
Enron had a chance to do something corporations under hostile government fire
only dream about: Embarrass, disarm and neutralize a corrupt public official
out to smear their good name.
By challenging Lockyer to either reassess or renounce his remarks, Enron
could have injected common sense and rare truth into a debate that has become
twisted and warped by the tirades of California officials. Best of all, Enron
could have extracted the kind of retraction that would have adorned Lockyer
with the scarlet "A" of contrite politicians: apology.
Lockyer and other state officials may not yet know the ceiling of scorn Enron
will tolerate from them. But they surely know the floor: Joking with
journalists of the pleasure they would take from the arranged assault of
Kennth Lay in a California prison.

Business; Financial Desk
Markets / Your Money Senate Shift to Ripple Across Industries Politics:
Jeffords' decision could broadly affect range of sectors, from drugs and HMOs
to tobacco and energy.
JOSH FRIEDMAN
TIMES STAFF WRITER

05/24/2001
Los Angeles Times
Home Edition
C-1
Copyright 2001 / The Times Mirror Company

The expected defection of Sen. James M. Jeffords of Vermont from the
Republican Party could markedly affect the drug, HMO, defense, credit card
and tobacco industries, money managers and investment analysts said
Wednesday.
"I don't see any upside for the [stock] market. This looks like gridlock of
the worst possible kind," John Carey, manager of the Pioneer Fund, said of
the switch, which would give the Democrats control of the Senate for the
first time since 1995 and increase their ability to slow President Bush's
legislative agenda.
"The market was beginning to feel confident that the regulatory burden on
business would ease," he added, "and there was even hope for
business-friendly legislation. But no longer."
Analysts said the clearest winners in a switch to a Democratic Senate could
be lenders Fannie Mae and Freddie Mac, whose status as government-sponsored
enterprises is expected to remain intact. Both stocks were up strongly
Wednesday despite a weak market.
Still, most analysts said it's unlikely that a change in the balance of
congressional power would lead to what Carey termed "radical anti-business
legislation." And President Bush's income tax cut, passed by both houses and
headed for a conference committee, also is expected to remain intact.
"But I wouldn't expect another tax cut next year, not anymore," said Greg
Valliere, chief political analyst in Charles Schwab's Washington Research
Group. "The Jeffords defection, if it happens, doesn't mean the Bush agenda
is in tatters. It does mean gridlock for a lot of businesses."
Here's how some major industries could be affected:
* Drug makers
A Democratic Senate could produce a public relations nightmare for the
pharmaceutical industry, already under scrutiny over the pricing of some
medications.
"They can apply more heat to the pharmaceutical industry and inflame issues,
such as [supposedly] charging too much for drugs," said Tom Miller, a policy
analyst with Cato Institute, a conservative think tank.
"There's a headline risk. You know, 'Ted Kennedy Holding Hearings on Drug
Companies,' " added Valliere. Kennedy (D-Mass.) is in line to be chairman of
the Senate Health Committee.
Analysts said such tactics aren't likely to result in legislation, given
Republican control of the House.
Still, Andy Laperriere, a political economist at International Strategy &
Investment Group in Washington, said Democratic Senate control at least would
revive the "potential threat of price controls in some form."
* HMOs
Those stocks were hard hit Wednesday, perhaps as investors envisioned
industry critic Kennedy shaping a so-called patient's bill of rights or
Medicare reform.
Still, a power shift could work in Bush's favor if Kennedy and fellow
Democrats were to block administration health-care proposals at every turn,
said Alan Skrainka, chief market strategist at brokerage Edward Jones. The
GOP could end up gaining seats in the midterm election next year, he said, by
campaigning against stonewallers.
* Defense and aerospace
Most analysts said the expected shift would probably have little impact on
the defense industry, even if the leadership changes in the key committees
such as Armed Services and Appropriations, since both sides of the aisle
agree on the need for more defense spending.
But debate over already contentious issues such as missile defense and
whether to restart production on the B-2 Stealth bomber could intensify.
"These would be bones of contention anyway but maybe more so with the
Democrats' added power in the Senate," said Paul H. Nisbet, analyst with JSA
Partners.
Some analysts said defense stocks have run up since last summer on hopes of
increased spending, perhaps leaving them vulnerable.
* Credit card issuers
The bankruptcy reform bill approved by both houses, considered a boon for
major credit card issuers like MBNA and Bank One, could be watered down or
even killed, Laperriere said.
* Energy
Some money managers suggested environmental restrictions pushed by emboldened
Democrats could hinder a variety of energy companies.
"This news is good for the caribou, that's about it," said Pioneer's Carey,
referring to the chances that a Democratic Senate could block efforts to
drill for oil in sensitive arctic areas. "They can breathe easier."
But a Senate shift might not hurt energy companies as much as some expect,
analysts said. If the Democrats use their Senate control to block elements of
the president's new energy plan, it could be a plus for wholesale power
merchants and traders such as Enron, Reliant Energy and Duke Energy, said
Merrill Lynch analyst Donato J. Eassey.
"With gridlock you're going to have uncertainty, and uncertainty causes
volatility, which is good for [traders]," Eassey said.
Bush's plan to open the Arctic National Wildlife Refuge to limited oil and
gas exploration was politically dicey even before the possible Senate change,
several analysts said.
The majority of oil field services firms might actually do better if the
Alaskan proposal failed, according to analyst Poe Fratt of A.G. Edwards. Only
a handful of such companies stand to benefit from development of the wildlife
refuge tract, he said.
If exploration is blocked there, "more companies will benefit from drilling
elsewhere," he said.
* Tobacco
Huge jury verdicts against cigarette makers in recent years "really started
when industry executives got dragged before the Senate," Laperriere said, so
tobacco companies wouldn't look forward to another round of hearings. He
called new hearings "a real possibility" if the Democrats are running the
Senate.
* Fannie and Freddie
Laperriere said the threat of policy changes that would affect regulation of
Fannie Mae and Freddie Mac would be diminished under a Democratic Senate.
He noted that instead of Phil Gramm (R-Texas) leading the Senate Banking
Committee, it would be led by Paul S. Sarbanes (D-Md.), a major supporter of
the popular lending agencies.
* Telecommunications
Some analysts said chances for deregulation--for example, allowing the Baby
Bells fully into the long-distance market--won't survive a power shift in the
Senate.
"There was hope that the Telecommunications Act, which has actually impeded
competition, might be revisited," Carey said. "If this [Jeffords situation]
is bad news for any industry, it's telecom."
But several analysts and investors said the market impact of the Jeffords
defection already has been overblown. "The biggest thing we needed from this
administration was the tax cut, and it looks like we're getting it," said
Robert Nichols, chairman of Windward Capital Management in Los Angeles.
*
Times staff writers Denise Gellene, Thomas Mulligan and Peter Pae contributed
to this report.
RELATED STORIES
Switch: Jeffords has told aides he will quit the GOP today. A1
Markets: Stocks fall as investors mix caution with confidence. C4

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

May 24, 2001
Houston Chronicle
Brazil asking power users to cut back
Officials want to pare consumption by a fifth
Copyright 2001 Houston Chronicle News Services
SAO PAULO, Brazil -- The towering offices of Banco Itau and Microsoft Corp.
in Brazil's financial heartland greeted nightfall with their trademark lights
turned off.
Store owners celebrated astronomic weekend sales of energy-saving lamps.
That's good news as the government asks the nation to chop 20 percent off
energy consumption to avoid widespread blackouts and to haul South America's
biggest country and economy out of a chronic power shortage sparked by
drought.
"We are in the hands of the public. If people manage to economize 20 percent,
the likelihood of blackouts will be very small," said Mauro Arce, Sao Paulo
State energy secretary and member of an anti-crisis task force.
The plan to stave off California-style electricity cuts has borne encouraging
results so far. The program asks consumers, companies and industry to cut
electricity use by 15 percent to 25 percent, with the threat of price
surcharges of 50 percent to 200 percent. But it will come at a cost.
Economists fear rationing and its consequences could knock Brazil's economic
growth to less than 3 percent from expectations of 4 to 4.5 percent.
Government officials only say it will slow the economy but will not predict
how much.
And it may trigger moves by the government to encourage the aggressive power
plant program that has long been needed. Power plant builders, including
companies with big presences in Houston, have delayed plans to build plants
because they fear losses from the risk from local currency devaluations.
Rationing officially begins June 1 across most of Brazil, although its
biggest cities have already dimmed street lighting, and consumers have turned
to candles.
The government estimates it needs to expand the country's generation capacity
by 50 percent, or 31,000 megawatts, by 2008 at a cost of about 33 billion
reais, or $14 billion.
Brazil's power shortage has been hidden over the years by overuse of
reservoirs. The government increased generation in years with good rain by
failing to let the reservoirs fill to capacity. Hydroelectric power is
responsible for about 85 percent of Brazil's generation capacity.
"In the last 40 years there have been plenty of droughts, but we've never
been forced to ration energy," said Lido Luis Sauer, an energy-studies
professor at the University of Sao Paulo.
Reservoirs, the professors said, were often allowed to fill only to 70
percent of capacity. Reduced rainfall has cut the reservoir levels to as low
as 30 percent.
"We're on the verge of trying to generate power with mud," Sauer said. "We've
been warning them for years that this risk exists, but they told us `don't
panic.' "
For now, the power grid here depends on the weather and the cooperation of
the public.
If water levels fall farther, the country may need to cut up to 40 percent of
consumption, Arce said. Rationing is set to last through November, when the
rainy season resumes.
With cooperation and the weather on its side, the energy task force will just
need some understanding from the public.
In an early sign of irritation, Sao Paulo Internet company ATN Internet filed
a lawsuit seeking a judicial ban on power cuts. And Supreme Court President
Marco Aurelio Mello said some of the government's measures violated the
constitution.
"Unfortunately, the filing of injunctions and lawsuits has become a national
sport," said Pedro Parente, head of the task force. "The situation today is
serious. We need this to be understood by the judiciary."
If the public cooperates, Parente said the government could relax some of its
rationing measures. The task force had banned energy contracts for new
commercial or industrial projects.
Brazil's government realizes it has to end the drought in power plant
construction and is considering a program to protect some electricity
utilities from currency risk to attract the $14 billion it needs for new
power plants.
Companies such as AES Corp., Duke Energy Corp. and El Paso Energy Corp. have
delayed or limited expected investment in natural gas-fired generation plants
on concern that government rules limit their ability to pass along increases
in dollar-denominated fuel costs to electricity consumers who are billed in
reais, the local currency.
Devaluations cut the revenues of the power plant builders, but not their
expenses.
"The government hasn't had a policy to attract investment to generation,"
said Frank McGann, an oil analyst with Merrill Lynch & Co. in New York. "An
adjustment in gas prices is a major step forward, which should have been
taken two years ago."
The failure to build plants has come despite natural gas supplies piped in
from Bolivia, Argentina and fields of Brazil's Atlantic coast and a national
"emergency plan" to encourage the building of dozens of new plants to make up
the shortfall.
A new natural gas supply contract with power producers may spur some
much-needed construction.
Under the currency guarantee proposal, which could be adopted as government
policy as early as this week, Petroleo Brasileiro SA, the state-controlled
oil company, which is the lead investor in the country's major pipelines,
would sell gas to generators under a one-year contract with a fixed price in
reais, said Energy Minister Jose Jorge de Vasconcelos Lima.
If the dollar price of gas rose during the contract, Petrobras would charge
the difference to a special account. The generator would pay off that
account, plus interest and Brazilian inflation, by including them as part of
the next one-year, fixed price contract at the same time that the government
raises consumer power rates, a spokeswoman for the Energy Ministry said.
A utility now has to pay Petrobras and other distributors the market rate,
but is limited in the amount of the increase it can pass on to consumers.
With rationing likely to raise distributors' costs -- slashing profits more
-- these companies are reluctant to invest in any new venture, including
generation.
"It has never been decided who will pay for foreign exchange losses in the
gas contracts," said Luiz Maurer, vice president for the Brazilian
association of energy trading companies, as well as head of regulatory
matters for Enron in Latin America.
Enron, for its part, is moving ahead with plans to build about 800 megawatts
of new generation capacity. The move, as well as plans by Petrobras to become
a minority investor in a series of gas-fired plants, is a direct result of
the same problem.
With other companies holding back on generation projects, Enron and other gas
distributors need a market for their natural gas. AES said recently it may
cancel $240 million in investments in three plants.
"If we don't build plants or help others build them, we will be in an even
worse situation," said Ron Vaz Moreira, chief financial officer of Petrobras.
"We won't have any market for our gas."

California Official Cites Evidence of Electricity Price Manipulation
Mike Taugher

05/24/2001
KRTBN Knight-Ridder Tribune Business News: Contra Costa Times - Walnut Creek,
California
Copyright (C) 2001 KRTBN Knight Ridder Tribune Business News; Source: World
Reporter (TM)

An investigation into electricity prices has turned up evidence that
generators are throttling their power plants up and down to drive up prices,
according to California's top utility regulator.
Loretta Lynch, president of the state Public Utilities Commission, said
Wednesday that an investigation started last year to examine electricity
prices, and which later turned to examine unprecedented numbers of power
plant outages, has found instances where generating units were backed down
until electricity emergencies were declared and then brought back up in such
a way as to maximize profits.
"What we saw was a pattern of individual behavior," Lynch said.
Generators acknowledge that they vary the output from their power plants, but
say they do so for legitimate business reasons. Included among those reasons
is a little-known tactic to insure themselves against breakdowns that would
be limited under a federal order that is to take effect next week.
Although Lynch would not reveal more specifics, her comments, which echoed
revelations she made before a state Senate committee last week in Southern
California, come as accusations, legal threats and rhetoric are all swirling
to a boil.
Earlier this week, Attorney General Bill Lockyer, whose office is working
with the PUC in one of several ongoing electricity market investigations,
reportedly said that he wanted to escort Enron Corp. Chairman Kenneth Lay to
a prison cell "that he could share with a tattooed dude who says, `Hi, my
name is Spike, honey."'
The heated rhetoric and continuing legal threats have infuriated generators,
who continue to trot out figures showing that they are running power plants
harder than ever.
"There's nothing that gets under our skins more than somebody --some
government official -- who is ill-informed making those judgments," said Tom
Williams, a spokesman for Duke Energy, a North Carolina-based company that
owns three major power plants in California and is building a fourth.
Duke generated 50 percent more electricity from those plants last year than
it did the previous year, Williams said. And the company is on track to
generate even more this year, he added.
But Lynch and other state leaders are becoming increasingly hostile in their
remarks about the half- dozen out-of-state power companies that bought
utility-owned power plants in 1998 and 1999 as the state moved to restructure
the electricity industry.
Lynch said state regulators are at least a month away from taking legal
action, but she also said that in addition to looking at power plant outages,
the investigation was looking at patterns in the way power plants are run,
allegedly to influence prices and then capitalize on them.
"There are several ways the generators game the system," she said.
The companies acknowledge they might limit output because of environmental
restrictions and in situations where the cost of running a plant is higher
than the price they could get for electricity at a given point in time.
But there is another reason, too. It is a practice that has troubling
implications because it sets up a situation where the higher prices go, the
more incentive companies have to hold back power.
Documents filed with the Federal Energy Regulatory Commission show that some
companies ease off their units' throttles in order to insure themselves
against the possibility of a breakdown at another unit. Their logic is this:
Energy companies typically sell electricity in advance, so they have an
obligation to provide that electricity to their buyers. If they are running
at 100 percent capacity and a unit breaks down, the company has to scramble
to buy electricity at high, last-minute prices in order to meet its
contractual obligations.
Last summer, for example, a large, 750-megawatt unit at Duke's Moss Landing
power plant broke down, and Duke found itself spending $1.2 million an hour
to meet its contracts.
By holding some of their power-generating capacity in reserve, the companies
can insure themselves against a breakdown somewhere else. And the higher
prices go, the more insurance they might want to keep.
"That is a rationale they are using," said PUC energy division director Paul
Clanon.
Duke, Mirant Corp. and Pacific Gas & Electric were among the companies who
objected to a draft order from federal regulators that would put an end to
the practice of withholding power from the spot-market to cover the
possibility of a breakdown.
In papers that Mirant filed with FERC, the Atlanta-based generator said that
if its ability to withhold power in that way was restricted, then regulators
should allow the company to charge even more for its electricity.
But FERC shot that argument down, saying that although it is reasonable for a
company to not sell all of its electricity ahead of time, there is no reason
to hold back power from the hour-to-hour spot market, as Mirant wanted to do.
The federal commission said that, contrary to Mirant's claims, "the generator
faces no financial risk" if it is forced to sell all its available power on
the spot market.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

NEWS
Shrugging off energy ties / GOP gubernatorial hopeful downplays his Texas
investments
Carla Marinucci
Chronicle Political Writer

05/24/2001
The San Francisco Chronicle
FINAL
A.3
(Copyright 2001)

Wealthy GOP gubernatorial hopeful Bill Simon Jr., on a campaign stop
addressing California's power crunch yesterday, kicked off his own personal
energy crisis when he confided to an energy executive, "I'm an oil and gas
man from way back."
Simon, son of the late Nixon Treasury Secretary William E. Simon, later
insisted that he misspoke.
But in his first open campaigning in Northern California, the Los Angeles
businessman and philanthropist acknowledged both energy investments and his
role as a former board member of Houston's Hanover Compressor Co. The
publicly traded energy-related firm is a market leader in natural gas
compression and counts among its partners the Texas energy giant Enron.
Simon, who has also invested in educational technologies, Internet firms and,
most recently, South of Market real estate in San Francisco, stressed
yesterday that stocks in energy-related firms are only a small part of his
portfolio.
But ties to a Texas energy firm could negatively affect his first run for
public office in California. A Field Poll released this week showed an
increasing number of Californians holding energy firms responsible for power
shortages.
And, as President Bush prepares to visit the state next week, Texas oil and
gas firms have specifically been the target of Gov. Gray Davis, who asserts
that their hunger for profits accounts for the crisis.
Hanover Compressor, traded on the New York Stock Exchange under the symbol
HC, has 2,700 employees and had an estimated worth of $2.6 billion on April
30, according to a recent financial report.
A 1996 report in Oil and Gas Investor magazine described Hanover as a
fast-growing, profitable innovator in technologies to compress and transport
natural gas. The firm signed a $130 million deal with Enron Capital and Trade
Corporation in 1995, according to the magazine.
Yesterday, Simon insisted that he is not strongly tied to the firm, and said
that if he runs, he will release financial statements showing his holdings.
"I'm not an oil and gas man," Simon told The Chronicle. "Speaking loosely, I
said I have experience in looking at oil and gas investment opportunities.
"I was one of a group. I was on the board for a little bit," he said of his
relation to Hanover. "I still have a small piece. . . . We still have some
ownership of it . . . (but) I'm not active, never really was."
The focus on Simon's energy holdings came as the prospective candidate toured
Lawrence Livermore National Laboratory.
Simon also heard presentations -- and pitches for venture capital - - from
two energy executives: Rick Jeter, who heads X.L. Operating, a Fort Worth,
Texas, oil and gas producer; and Steve Doyle, chief executive of Clean Energy
Systems. As Simon met with them after their presentations, his greeting to
Doyle, overheard by reporters, was, "I'm an oil and gas man from way back."
"Hanover Compression was one company that we started 10 years ago now," he
explained to reporters. "It promotes the efficient use of gas. It helps it
come out of the ground. It helps it be transported. It's good technology.
"We have to continue to focus on these kinds of energy efficiencies," he
said. "This is our way out, ultimately, of the energy crisis."
Asked the extent of his financial interest in that and other energy-related
firms, Simon could not provide specifics. "I'd have to get you those
numbers," he said.
But he said, "We've looked at a broad variety of opportunities in virtually
every industry in the country. Oil and gas is one. . . . I'm not specific to
this industry. I'm an eclectic investor."
On energy issues, Simon said he would be "willing to look at" expanding oil
drilling in California, though he said he was opposed to offshore drilling.
He said he could support "temporary" price caps on the wholesale costs of
energy, but insisted any details would require more study. "You have to know
how urgent the problem is with respect to the supply and balance," he said.
Asked if Davis has been fair in criticizing Texas firms, Simon said, "I think
he ought to quit pointing fingers and start focusing on solutions."
But he said he did not yet have a detailed energy plan, adding, "We're
putting it together right now."
Simon, 50, said he expects to make his announcement about a gubernatorial run
the first week in June.
He told potential volunteers yesterday he would be a "major investor" in his
campaign, but would also raise funds for the estimated $40 million to $60
million needed in a gubernatorial race.
Simon said he is exploring his first political run because "I'm always
interested in being of service. I think here's a place I could be of some
help."
But "the reason I'd like to seek the office of governor, as opposed to
controller or even run for the Assembly, is that's where we have to focus our
attention," he said. "If you have a weak top of the ticket, you have less of
a chance at being elected further down on the ticket. Normally, I'm just
working my way up, paying my dues, but in this situation, I don't know we
have that option."

PHOTO (2); Caption: (1) Bill Simon Jr. listened to a presentation at Lawrence
Livermore National Laboratory while former U.S. Energy Secretary John
Herrington sat behind him., (2) On a campaign swing through Northern
California, Bill Simon Jr. got a lesson in forensic science at Lawrence
Livermore National Laboratory. / Photos by Michael Macor/ The Chronicle

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

India Appoints Nominee To Dabhol Power Dispute Panel

05/24/2001
Dow Jones Asian Equities Report
(Copyright (c) 2001, Dow Jones & Company, Inc.)

BOMBAY -(Dow Jones)- The Indian government Thursday announced measures,
including the appointment of a retired senior official as its nominee on the
negotiating panel that is sitting with Enron India Pvt. Ltd., to resolve the
Dabhol power supply dispute.
Retired Telecom Secretary A.V. Gokak has been appointed as the government's
nominee on the negotiating panel - set up by the state government of
Maharashtra - that's made up of state and federal government officials and
officers of Maharashtra State Electricity Board, or MSEB.
The long-standing dispute is over power tariffs on electricity generated from
a plant of the Dabhol Power Co., the Indian unit of U.S.-based Enron Corp.
(ENE). The plant that will generate 1,444 megawatts of power when the second
phase is completed later this year is India's biggest foreign investment to
date at $3 billion.
In a further move Thursday, New Delhi has set up a committee of senior
officers from various ministries to examine any proposals that might emerge
from the negotiating panel.
The panel was set up after last month's delivery to Maharashtra government of
the Godbole Report, a 198-page document prepared by a five-member team headed
by former federal home secretary, Madhav Godbole.
A key recommendation of the report included the renegotiation of a power
purchase agreement between the Dabhol Power Co. and the MSEB.
The negotiating panel was due to meet Wednesday for a second round of talks
with senior executives of the DPC but was cancelled after Godbole resigned
over criticism levelled by leader of the National Congress Party Sharad Pawar
that implied the panel had negative attitudes. Godbole subsequently withdrew
his resignation.
A further meeting has been scheduled Tuesday.
Meanwhile, federal Minister of Power Suresh Prabhu confirmed Thursday that
the Indian government is ready to consider any worthwhile idea emerging from
the negotiating panel.
- By Steve Percy, Dow Jones Newswires, 91 22 2884211; steve.percy@dowjones.com

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

INDIA: New Delhi aims to help Enron patch up with utility.

05/24/2001
Reuters English News Service
(C) Reuters Limited 2001.

NEW DELHI, May 24 (Reuters) - India's federal government will help Enron Corp
and Maharashtra state resolve their wrangle over the U.S. energy giant's
troubled $2.9-billion power project, an official statement said on Thursday.
Dabhol Power Co, 65 percent owned by Enron, and the Maharashtra State
Electricity Board (MSEB) have been embroiled in a dispute over payments for
six months.
The dispute provoked the Houston-based Enron Corp to issue a preliminary
notice last week to terminate its contract to sell power to the utility.
"The government of India will assist in the implementation of any agreed
proposals, which have the support of the concerned parties," the statement
said.
The federal government has nominated a representative in the state's panel
negotiating with Enron.
Another committee of senior officials has been set up in New Delhi to assess
the outcome of the negotiations, the statement said.
"The (junior) power minister, Suresh Prabhu, has confirmed that the
government of India is ready to consider any worthwhile idea emerging out of
the negotiating committee for the settlement of the dispute."
The statement said the federal government wanted the state to resolve the
dispute.
"The government of India is of the view that a quick settlement of the
dispute is essential for the power sector of Maharashtra."
The 2,184-MW power project was regarded as a test case of India's plans to
encourage private investment in the power sector.
The first phase of 740 MW of the project is up and running, while the second
phase of 1,444 MW is slated to be completed next month.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

POLAND: ANALYSIS-Central European gas markets head for shake-up.
By Marta Karpinska

05/24/2001
Reuters English News Service
(C) Reuters Limited 2001.

WARSAW, May 24 (Reuters) - Central Europe's gas market is heading for a
shake-up as Poland nears the go-ahead for a disputed transit pipeline and the
neighbouring Slovak and Czech republics launch key sector sell-offs, analysts
say.
The Polish government plans to examine an industry-backed proposal for a gas
link connecting Belarus and Slovakia-based transit systems which would carry
fresh Russian supplies to western Europe.
"The recommended route is not the worst possible, and I do not rule out that
the cabinet will approve it, although we may need some small adjustments,"
Economy Minister Janusz Steinhoff told reporters on Wednesday.
Russian Prime Minister Mikhail Kasyanov, who arrives later on Thursday in
Warsaw for a three-day visit, is due to meet Economy Ministry officials and
is expected to try to talk up the Russia-favoured pipeline project.
The decision - which could terminate an alternative plan by Russia's giant
Gazprom to lay a more pricey pipeline along the bed of the Baltic Sea - may
affect a key gas sell-off pending in neighbouring Slovakia, analysts said.
"Gazprom is very interested in the region, particularly in the Slovak transit
system, but its decision will partly depend on whether the new transit will
run across Poland," said Evgeny Solovyov, sector analyst at SG Securities in
London.
SLOVAK TRUMP CARD
Analysts say the sale of the Slovak SPP gas group, including a powerful and
highly lucrative gas transit system, is sure to attract heavy investor
interest and become the largest ever sale in the country.
"The national businesses in central Europe are all like individual pieces of
one puzzle, and Slovakia's SPP is the most important piece of that picture,"
said Bidzina Bejuashvili, oil and gas analyst at Raiffeisen Zentralbank in
London.
Last year SPP shipped almost 90 billion cubic metres (bcm) of Russian natural
gas to western Europe, making Slovakia the top cross-region gas transit
route.
The state wants to sell 49 percent of SPP - also a gas distribution and
transportation monopoly - all of which will likely go to a strategic
investor. A rough price tag put by analysts on the entire SPP varies from $2
billion to $8 billion.
So far, Gazprom and a consortium of Ruhrgas, Gaz de France PR and Italy's
Snam - a gas distribution arm of Eni - have expressed interest in acquiring
the stake.
Germany's RWE Gas and Wintershall have also said recently they would jointly
bid for the gas group.
The German consortium said it would bid too for SPP's neighbour, Czech gas
import monopoly Transgas, which the government wants to sell with eight gas
distributors, in a sale which attracted 14 preliminary bids earlier this
week.
"Czech and Slovak national markets are simply too small, and whoever pursues
the respective gas assets is likely to be looking for their transit pipelines
connecting Russian supplies and western consumers," said Bejuashvili.
POLISH LINK
Analysts say that Gazprom, Snam, Gaz de France, as well as Ruhrgas and
Wintershall - all involved in a consortium to build the Polish transit link -
will likely be the frontrunners in the regional gas asset acquisitions.
The consortium is now carrying out a feasibility study on a powerful transit
pipeline route running mostly along Poland's eastern border, but avoiding
most of its eastern national parks, due to link Belarussian and Slovak
pipelines.
Poland had initially opposed the transit project fearing the new volumes
would be complemented with Russian gas from the pipelines of its strategic
ally, Ukraine. But it has surrendered to pressure from both its commercial
partners and the European Union - which it is negotiating to join.
The government had hoped the new pipeline, likely to replace a previously
planned second stretch of the existing east-west Yamal pipeline running
across Poland, would be used to supply some Russian gas imports to its
industrial southwest.
The Yamal pipeline, which now has a capacity of 18 billion cubic metres (bcm)
per year, needs $350 million for three compressor stations to boost its
capacity to a planned 32 bcm.
POLISH POTENTIAL
Analysts said that Poland's 39-million-consumer market and relatively low gas
usage - only 8.5 percent of total primary fuel consumption - make the
domestic gas market growth potential much higher than that of its neighbours.
"It is quite reasonable to assume that Polish gas consumption will grow at a
faster pace than its economic growth in coming years," said Solovyov.
Poland's gas monopoly PGNiG expects last year's consumption of 10.9 bcm to
grow by five percent per year over the next three years to reach almost 13
bcm by 2003.
The government's long-range forecast - which a lot of analysts say is too
high - sees annual gas consumption up to 18.4 billion cubic metres by 2010.
In a highly disputed plan the Polish government wants to sign a long-term
agreement with Norway later this year which would enable it to diversify from
its currently mainly Russian gas supplies, and boost import volumes by 5 bcm
as of 2007.
"There is absolutely no guarantee the consumption will grow as expected, and
signing a new long-term contract may result in PGNiG being highly
overcontracted," the head of Enron Polska, Jaroslaw Astramowicz, told a
recent industry seminar in Warsaw.
Poland already has a 25-year deal with Russia under which it must buy up to
14 bcm annually, and analysts warn that a new long-term deal may seriously
dent the financial standing of Polish gas distribution firms ahead of their
planned sell-off.
Poland does not plan to start selling its four gas distributors until next
year, but analysts say that September general elections, strongly tipped to
be won by the opposition social democrats, may delay those plans further.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

India: A 'hurt' Godbole quits, persuaded to stay on

05/24/2001
Business Line (The Hindu)
Copyright (C) 2001 Kasturi & Sons Ltd (KSL); Source: World Reporter (TM) -
Asia Intelligence Wire

MUMBAI, May 23. DR MADHAV Godbole, Chairman of the Enron renegotiation panel,
resigned this morning but the Maharashtra Government persuaded him to stay
back and continue the renegotiation process with Enron. Dr Godbole withdrew
his resignation in the evening. The second meeting of the panel which was
scheduled for today with Enron representatives did not take place because of
the Chairman's resignation.
When contacted, Dr Godbole said: "I am withdrawing my resignation in the
light of the Chief Minister's letter to me in which the Cabinet has
unanimously asked me to take back my resignation. They have placed complete
faith in me and the committee. The Cabinet has asked me to carry on with the
complex and onerous task of negotiating with Dabhol Power Company."
Dr Godbole also said he had received calls from different political parties
and various other organisations asking him to reconsider the decision to
quit. He considered it a vote of their confidence in the committee and its
working.
Dr Godbole had quit in reaction to "derogatory remarks" made by the
Nationalist Congress Party (NCP) leader, Mr Sharad Pawar.
Last night, Mr Pawar had reportedly made a statement saying he was
"apprehensive of the outcome of discussions with Enron as those leading the
talks from the Government's side are working with a negative approach".
Dr Godbole submitted his resignation to the Chief Minister saying he was
"hurt" by Mr Pawar's statement. The NCP is one of the leading partners in
Maharashtra's Government.
"We will try and clear this misunderstanding. He (Godbole) has been appointed
by the State Government. And the Government has no doubt about the
committee's working. We want him to continue on the panel," Mr Chhagan
Bhujbal, Deputy Chief Minister and NCP leader, said.
- Our Bureau

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

INDIAN GOVT TO ACCEPT PROPOSALS TO SETTLE POWER DISPUTE

05/24/2001
Asia Pulse
(c) Copyright 2001 Asia Pulse PTE Ltd.

NEW DELHI, May 24 Asia Pulse - The federal government will accept
recommendations of the renegotiating committee headed by the Madhav Godbole
for the settlement of the dispute between Dabhol Power Company (DPC) and the
Maharashtra State Electricity Board (MSEB).
A government statement quoted Power Minister Suresh Prabhu as saying, "The
Government of India is ready to consider any worthwile idea emerging out of
the renegotiating committee for the settlement of the dispute."
The proposal, Prabhu said, has to be acceptable to the parties to the dispute
- MSEB and Enron-promoted DPC - adding that a quick settlement of the
differences was essential for the power sector of Maharashtra.
DPC had last week slapped a preliminary termination notice (PTN) on MSEB
following the dispute over payment of power bills.
While former telecom secretary, A V Gokak, has been appointed as the federal
government's nominee on the Godbole Committee constituted by the Maharashtra
Government, a committee of senior officers of the concerned ministries has
been set up to quickly examine the proposals emerging out of the negotiating
committee, the statement said.
The committee officers comprise officials of Ministries of Finance, Power and
Petroleum.
(PTI) 24-05 2000

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

Endesa to sell coal-powered plants operated by Electra de Viesgo (Endesa
incluye una mayoria de centrales de carbon en Viesgo antes de venderla)

05/24/2001
Expansion
Copyright(C) 2001 Abstracted from Expansion in Spanish, Source: World
Reporter (TM)

Endesa, the Spanish electricity company, has decided which assets to sell and
it will auction its Electra de Viesgo subsidiary, which has 560,000 clients
in the Cantabria region. This company has 2,610MW of generation assets and 36
per cent of its plants are coal powered. Electra de Viesgo is estimated to be
worth over 2bn euros (Pta332bn). Endesa is carrying out the sale in order to
raise funds which will finance operations in other European countries and it
has invited European and US energy companies to the auction. These include
Hidrocantabrico, of Spain; Eon and RWE, of Germany, and Enron and AES, of the
US. The winner will gain 3 per cent of the Spanish electricity distribution
market and 5 per cent of the generation market.
Hidrocantabrico is regarded as the favourite to acquire Electra de Viesgo.
Its market, Cantabria, borders Asturias and the cost of integrating the two
companies will enable it to make a higher offer than its rivals. However,
Hidrocantabrico's complicated shareholder situation (EDP, EnBW, CajAstur and
Ferroatlantica have to agree on the company's management), may be a
hindrance. In order to carry out the sale, Endesa will transfer a series of
power plants located throughout Spain to its subsidiary. These plants will
represent a quarter of the generation assets to be sold by Endesa. The
decision to sell follows Endesa's failed merger attempt with Iberdrola and
will enable the company to invest without increasing its debts. According to
market sources, Endesa may resume plans to merge with Iberdrola following the
sale.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

Is Pawar playing power politics with Enron?
Girish Kuber

05/24/2001
The Economic Times
Copyright (C) 2001 The Economic Times; Source: World Reporter (TM)

MAHARASHTRA'S former chief minister Sharad Pawar's statement criticising
Madhav Godbole, the head of the renegotiation team, and the timing chosen by
him to air his views, has focused attention on his role in the Enron
controversy.
Pawar, who had first inked the Enron deal as the chief minister of
Maharashtra in 1992, was at the center of controversy when the Opposition
accused him of "favouring" the US energy giant.
The issue of Rs 64 crore being spent by Enron on "educating" Indians had
become a political issue in the 1995 state Assembly elections which Pawar
lost.
In more recent times, Pawar has repeatedly intervened at crucial junctures.
On the eve of Wednesday's session of the Godbole panel, Pawar criticised
Godbole of having " a negative attitude" about Enron. Though Pawar did not
name Godbole, the message was loud and clear.
His statement comes at a time when the Maharashtra State Electricity is
planning to issue a pre termination notice to Enron after the Godbole panel's
scheduled meet on Wednesday.
The board officials had discussed the issue with the state's advocate-general
and were believed to have received a go-ahead from chief minister Vilasrao
Deshmukh.
Last October, when the state government had decided not to pay Enron's bills,
Pawar convinced the state government to release Enron payments. It was after
his intervention that the state government decided to appoint a committee to
review the project.
Surprisingly, last month, when Deshmukh had a meeting with Yashwant Sinha and
Suresh Prabhu at Delhi, Pawar was seen accompanying the chief minister though
his name did not figure on the official list of invitees.
However, subsequently, the committee could not be formed since the faction
loyal to Pawar in the state government was clearly against Godbole's
appointment.
State energy minister and Pawar's trusted aide, Padmasinh Patil, had publicly
expressed his ire against Godbole. It was only after the Janata Dal, Peasents
and Workers Party, CPI (M) and other anti-Enron groups threatened to withdraw
support of the government, the Godbole Committee came into being. But not
bofore a month was lost in a wrangling. Even after the committee's formation,
Patil continued his tirade against Godbole.
It was only chief minister Deshmukh's support that the Godbole Committee
could survive the opposition from within. Political observers believe that it
was the Congress' strategy to support the Godbole Committee that at the end
could expose the wrongdoings of the earlier governments.
As expected, the Godbole Committee, in its first report, exposed what it
called the "lack of governance at every stage" in finalising the Enron deal.
Godbole even suggested a judicial probe to pin those guilty for this "faulty
deal".
It was against this backdrop that Pawar's views on Godbole created a flutter
on Wednesday. Although Godbole withdrew his resignation, it has certainly
widened the rift between the NCP and Congress.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

Godbole does a Mamata; quits, then back
Our Bureau

05/24/2001
The Economic Times
Copyright (C) 2001 The Economic Times; Source: World Reporter (TM)

IT'S not a comparison that springs naturally to mind. But Madhav Godbole, the
former home secretary in charge of renegotiations with Enron, on Wednesday
managed a passable imitation of Mamata Banerjee by resigning in the morning
and withdrawing his resignation later in the day.
In a day marked by considerable drama that briefly threatened the
renegotiation process with Enron, Godbole decided not to press for his
resignation after chief minister Vilasrao Deshmukh personally expressed "full
faith and confidence" in his ability to "handle the complex and onerous task
of renegotiation".
Earlier in the day, Godbole, who took offence to former chief minister Sharad
Pawar's "derogatory" remarks, decided to walk out of the panel.
Pawar had last on Tuesday night said he was doubtful about the outcome of the
ongoing renegotiations between the state and DPC as those heading the state
government's panel did have a positive approach to resolve the issue.
Godbole's swift decision to quit the panel sent shock waves at the Mantralaya
-- headquarters of the state government -- as it seemed to threaten the
existence of the government.
The Janata Dal, Peasants and Workers Party and other splinter groups went to
the extent of saying they would pull out of the nine-party coalition if
Godbole's resignation was accepted.
Following these development, the state government had to cancel the crucial
second round of renegotiations with DPC slated for Wednesday. Enron and the
Centre's representative were to attend the meet.
"I have resigned due to the derogatory remarks made against me by Sharad
Pawar last night," Godbole said on Wednesday morning.
Godbole said instead of strengthening the negotiator's hands, such statements
"loosen the concerned authority's grip over the fragile situation".
However, chief minister Vilasrao Deshumukh appealed to him to reconsider his
decision. "Godbole's in-depth knowledge and experience makes him
indispensable for handling vexed issues such as renegotiation with the US
energy giant," Deshmukh said.
Deshmukh, after the Cabinet meet, sent a letter to Godbole expressing full
confidence in him. "Godbole should not respond to statements from those
outside the government," said Deshmukh.
Meanwhile, Pawar, too, tried to control the damage. "It was my personal
opinion that was not aimed at any particular person. Godbole should not have
resigned. He should complete his task."
Interestingly, Chagan Bhujbal, the state's deputy chief minister, was put on
a re-fighting mission and asked to express faith in Godbole on behalf of the
NCP, led by Pawar.
Later in the evening Godbole decided not to press for the resignation. "I
have received a letter from the chief minister expressing full confidence in
my abilities. It also states the views expressed by Sharad Pawar were his
personal views. He has said the state government had appointed me and they
had no complaints against me. I, therefore, see no reason to press for my
resignation," Godbole said.
Meanwhile, the next meeting of the renegotiating panel has been convened on
May 29.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

		COMPANIES & FINANCE THE AMERICAS: Dynegy on the lookout for deals
Financial Times; May 24, 2001
By JULIE EARLE

		Dynegy, the US gas and electricity supplier, has told analysts it will make
large imminent acquisitions or mergers in the US and overseas.
		The company told analysts at a conference in Texas on Tuesday that it was
keen to make mergers and acquisitions in the near future.
		The deals could include generation assets, gas pipeline and storage
infrastructure, entire utilities and communication assets. Dynegy's customers
are in North America, the UK and elsewhere in Europe.
		Dynegy, which is Houston-based, was tight-lipped yesterday about any possible
deals, saying only that it was "always looking for opportunities to enhance
shareholder value".
		The company told analysts it had an active oil, liquids, gas and power group
fully integrated with its US operations, and was "poised to exploit
opportunities".
		It said it would like to own more European assets, but added that prices
remained high, despite an oversupplied market.
		Jay Yannello, an analyst for UBS Warburg in New York, said Dynegy could
leverage aggressively any assets within its network infrastructure.
		"We would not rule out substantial transactions," he said.
		Dynegy told analysts it was looking for 10 per cent of the US power market
and an ongoing 15 per cent share of the US gas market.
		Dynegy and its competitors, including Enron and El Paso, have been recording
big profits in the past two quarters, and and have come under fire from
regulators over the California power crisis.
		Copyright: The Financial Times Limited


Should have included you guys as well.
---------------------- Forwarded by Kay Mann/Corp/Enron on 01/23/2001 10:20
AM ---------------------------

Kay Mann
01/23/2001 10:20 AM
To: Roger Balog/HOU/ECT@ECT, Kathleen Carnahan/NA/Enron@Enron, Barbara N
Gray/HOU/ECT@ECT, Jeffrey T Hodge/HOU/ECT@ECT
cc:

Subject: Illinois Projects Update

---------------------- Forwarded by Kay Mann/Corp/Enron on 01/23/2001 10:20
AM ---------------------------

"Townsend, Christopher J. - CHI" <chris.townsend@piperrudnick.com> on
01/22/2001 06:49:07 PM
To: "'Kay Mann (E-mail)'" <kay.mann@enron.com>
cc: "Elam, Michael H. - CHI" <Michael.Elam@piperrudnick.com>, "Shindler,
Donald A. - CHI" <Donald.Shindler@piperrudnick.com>, "Gershon, Mark A. - CHI"
<Mark.Gershon@piperrudnick.com>, "Nooney, Kathleen L. - CHI"
<Kathleen.Nooney@piperrudnick.com>, "Fein, David I. - CHI"
<david.fein@piperrudnick.com>, "Nora, Mark J. - CHI"
<Mark.Nora@piperrudnick.com>, "Way, Karen S. - CHI"
<karen.way@piperrudnick.com>

Subject: Illinois Projects Update

> Kay --
>
> Attached please find the update regarding ENA's Illinois projects.  Please
> do not hesitate to contact me with any questions or comments regarding the
> status of the various projects.
>
We hope that in the coming weeks we will be able to find a time that would
be convenient for the PMRW attorneys on the "Enron Team" to come to Houston
to meet with the Enron attorneys and development leaders.  Please let us
know if there are dates or times that would be more convenient for you.

> Thank you.
>
> Christopher J. Townsend
> Piper Marbury Rudnick & Wolfe
> 203 N. LaSalle Street
> Chicago, IL 60601
> (312) 368-4039 (direct line)
> (312) 630-6300 (direct fax)
> christopher.townsend@piperrudnick.com
 <<z_9q17_.WPD>>

____________________________________________________________________________
The information contained in this communication may be confidential, is
intended only for the use of the recipient named above, and may be legally
privileged.  If the reader of this message is not the intended recipient, you
are hereby notified that any dissemination, distribution, or copying of this
communication, or any of its contents, is strictly prohibited. If you have
received this communication in error, please re-send this communication to
the sender and delete the original message and any copy of it from your
computer system.
Thank you.

For more information about Piper Marbury Rudnick & Wolfe, please visit us at
http://www.piperrudnick.com/
____________________________________________________________________________

 - z_9q17_.WPD


Charles Schwab & Co., Inc.
Email Alert

Internet Daily
for Friday, November 16, 2001
by Frank Barnako CBS MarketWatch.com

NetLibrary's unhappy ending

Net Library Inc., founded to share university library resources
and costs, filed for bankruptcy. The Online Computer Library
Center has made an offer to buy the 4-year-old Dublin, Ohio,
company's assets including 40,000 digitized versions of books
for $10 million. "Ebooks complement our growing ejournal
collection and provide exciting new synergies for our
cataloging, resource sharing, reference and digital preservation
services," said OCLC President Jay Jordan.

-----------------------------------------------------------------
President gets Net tax ban bill

Legislation exempting the Internet from state and local taxes is
awaiting a signature from President Bush for it to become law.
The U.S. Senate OK'd the bill yesterday. It protects the Web
from levies until November 1, 2003. One study suggests states
lose $13.3 billion in uncollected sales taxes on Web commerce.

-----------------------------------------------------------------
GM to park ebusiness inside

General Motors will move its ebusiness division under the
company's corporate wing, according to The Wall Street Journal.
Mark Hogan, head of the 100-person eGM unit, said "We're on a
migration path to weave it into the organization." Hogan expects
to find another position within GM, he said. GM is still
interested in exploiting the Web, but "people are doing a lot
less arm-waving about it" with the end of the Internet bubble.

-----------------------------------------------------------------
AOL.com redesigned

AOL Time Warner's AOL.com Web site has been reworked to make its
member services, including Instant Messenger and email, more
easily accessible on the Net. The page is substantially less
complicated or busy than its previous form, offering links to
categories of information, but not highlighting numerous content
items.

-----------------------------------------------------------------

For late-breaking market news you can't afford to miss, go to
http://CBS.MarketWatch.com/

================================================================

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https://investing.schwab.com/trading/start

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email system may be retained, monitored and/or reviewed
by Schwab personnel. (0801-11478)

Copyright 2001 CBS MarketWatch. All rights reserved.
Commercial use or redistribution in any form, printed or
electronic, is prohibited.

Distribution by Quris, Inc.


Per your request for Project 22834, attached is the statistics for Enron Energy Services, which we will be filing.  The second tab shows detail.  Thanks.

Nancy A. Hetrick
Enron Corp.
Director, Government Affairs
Phone:  712-366-3399
Pager:   888-912-1426


<http://staging.charitech.org/usopen/house.jpg>
<http://staging.charitech.org/usopen/golfer.gif>
  <http://staging.charitech.org/usopen/header.gif>
  <http://staging.charitech.org/usopen/clear_spacer.gif>
  <http://staging.charitech.org/usopen/logo.gif> Paul A. Sallaberry,
Executive Vice President, Worldwide Field Operations at VERITAS, cordially
invites you to be our guest at the 2001 U.S. Open Championship.

Watch the world's best golfers compete for the most coveted title on the
tour at the historic Southern Hills Country Club in Tulsa, Oklahoma.

VERITAS has arranged especially for you, some of the most exquisite dining
experiences available featuring unique culinary delights found only in
Tulsa.

In addition to full hospitality in an air-conditioned tent next to the
Admission Gate, VERITAS will provide:

*	Hospitality tent at a private facility with a panoramic view
of the 11th green and 12th fairway

*	Airline Ticket to and from the event*

*	Transportation to and from the airport

*	Accommodations for two nights

*	Breakfast

*	Luncheon

*	Dinner

*	Daily pairing sheets, official programs and daily newspaper

*	Outdoor patio area with umbrella tables

*	Fully stocked open bar

*	Tickets to the event

*	Shuttle service to/from the entrance gate (5 minute trip)

*	Complimentary golf lessons from a teaching professional

*	Complimentary golf simulator/virtual golf

*	Tee times**

This invitation is non-transferable. Limited spots are available. Please
RSVP as soon as possible to: cbailey@veritas.com
<mailto:cbailey@veritas.com>

Please contact Cindy Bailey if you have questions or require additional
information.

* Travel and accommodations must be arranged through VERITAS travel service
by June 1, 2001
** Please reserve at time of RSVP. Subject to Availability.

Agenda

Friday, June 15th
*	Evening arrival/check in

*	Dinner

Saturday, June 16th
(Day three of the U.S .Open)
*	Breakfast

*	Available Tee times

*	Luncheon

*	Hors d'oeuvres/cocktails

*	Dinner

Sunday, June 17th
(Final Day of the U.S. Open)
*	Breakfast

*	Luncheon

*	Hors d'oeuvres/cocktails

*	Depart for home

 - house.jpg
 - golfer.gif
 - header.gif
 - clear_spacer.gif
 - logo.gif


Here is a draft of the compliance filing regarding our operational control
agreement with ECS.  Please let me know your comments by C.O.B. tomorrow.  At
this point I'm not planning to file the agreement, just a report as requested
by the Commission.

I'm still working with ECS to finalize the agreement.  Their attorney is
checking with his resident experts to make sure ECS, by expressly giving TW
Operational Control, does not somehow cross the line into retail wheeling.  I
do not expect the agreement to change significantly.


Start Date: 1/9/02; HourAhead hour: 3;  No ancillary schedules awarded.  No variances detected.

    LOG MESSAGES:

PARSING FILE -->> O:\Portland\WestDesk\California Scheduling\ISO Final Schedules\2002010903.txt


Please review the Collateral Threshold amount language added as item 12 to
the Firm GTC.  The 3rd party debt default language was added as a triggering
event.


pls print--I'm sending you several docs on ECS--please give me in one stack.
DF
---------------------- Forwarded by Drew Fossum/ET&S/Enron on 04/10/2000
12:14 PM ---------------------------

Steven Harris
04/10/2000 10:41 AM
To: Drew Fossum/ET&S/Enron@ENRON
cc:

Subject: Re: ECS and the $500k reduction

FYI, for our meeting.
---------------------- Forwarded by Steven Harris/ET&S/Enron on 04/10/2000
10:40 AM ---------------------------

James Centilli
04/05/2000 10:02 AM
To: Rod Hayslett/FGT/Enron@ENRON
cc: David Foti/ET&S/Enron@ENRON, Steven Harris/ET&S/Enron@ENRON

Subject: Re: ECS and the $500k reduction

We did not document the up front payments, because of Regulatory concerns.
FERC requested copies of the contracts that defined the payment for
electricity.  The $500k was negotiated in a meeting with George Fastuca and
Mark Courtney, where Mark agreed to share his profit.  We had worked very
closely with them to assure the officer group, how this project compared to
doing it with out ESC.  They never advised Dave Foti or myself of this
change.  The calculations for the up front payment was provided by them and
clearly reflects the revenue sharing agreed to by Mark.

Rod Hayslett

04/05/2000 06:47 AM
To: David Foti/ET&S/Enron@ENRON
cc: Steve Harris/HOU/ECT@ECT, James Centilli/ET&S/Enron@ENRON

Subject: Re: ECS and the $500k reduction

Did we have a contract that was written and spelled out?    If not, (pretty
sloppy business practice), then we are just going to have to tell Bill Cordes
that we didn't have a deal, and someone is going to have to suck it in to
make up the $500K.    If we did, what does the deal say?

David Foti
04/04/2000 05:45 PM
To: Rod Hayslett/FGT/Enron@ENRON, Steve Harris/HOU/ECT@ECT, James
Centilli/ET&S/Enron@ENRON
cc:

Subject: ECS and the $500k reduction

Rod, Steve, & James:

In rough terms, this is what I understand ECS' logic to be -

The $3.35 per KW for transmission demand charge was assumed not to be
avoidable and have a 5000 KW minimum when ET&S and ECS agreed on the $2.8MM
one time payment.
ECS says that they have negotiated to make the transmission demand charge
avoidable with no minimum.
$3.35 * 10,000HP / 1.341 = $25k
$25k discounted 10 years = $1.9MM
25% of 1.9MM = approx. $500k
Original one time payment = $2.8MM less $0.5MM = $2.3MM (the new payment ECS
wants to give ET&S)

ECS contends that Fastuca agreed to a 25% sharing of benefits received from
the avoidable demand.  My recollection is that the 25% was used as a
benchmark to estimate ECS' fee but was never established as a firm rule.

ECS is supposed to provide us with their own written explanation for the
$500k reduction.  They are also supposed to send us the "re-negotiated" rate
schedule 21 that shows the transmission demand charge becoming avoidable.

In any event, whether it is reasonable or not that ECS is due the $500k, it
is reasonable to expect that ET&S would have been notified of this change in
a more timely manner.

Dave Foti
x.31978


Ken, Jeff and Louise,

Below please find links for the Multimedia version of the Harvard cases completed in final form last month.  The text of the multimedia case is the same as that previously forwarded.  I have reviewed these multimedia cases and they are very cool!

I will be forwarding Releases to each of you for signature.  Please return the releases as soon as possible as Meg Wozny at Harvard, with whom I've been working on these for the past few months, is leaving HBS at the end of June--I'd like for her to have the satisfaction of finalizing this project before she leaves.

Harvard reports that these cases are best sellers!  Also, we enjoyed an "Enron day"at Harvard April 26th; it received such rave reviews that Harvard has requested a similar event for this summer.

Thanks to all of you for your participation and help!

--Christie.
---------------------- Forwarded by Christie Patrick/HOU/ECT on 06/18/2001 05:34 PM ---------------------------

Meg Wozny <mwozny@hbs.edu> on 06/11/2001 10:10:40 AM
To:	Christie.Patrick@enron.com
cc:

Subject:	Multimedia Harvard Cases

http://hbsdev.hbs.edu:8008/9-301-064/
http://hbsdev.hbs.edu:8008/9-301-085/


Misplaced the cover sheet but they basically said that the baseload deal fell
under an interruptilbe contract and was not subject ot damanges.  Laurie
Ellis has a copy.


Rodney,

I will attend the Monday morning meetings.

thanks,
Monika Causholli
 -----Original Message-----
From: 	Allan, David
Sent:	Wednesday, August 08, 2001 12:10 PM
To:	Causholli, Monika; Carter, Karen E.
Cc:	Malcolm, Rodney
Subject:	FW: Pulp Meeting Mondays

This is an opportunity for us. Could you get back to Rodney?
Dave

 -----Original Message-----
From: 	Malcolm, Rodney
Sent:	Wednesday, August 08, 2001 11:10 AM
To:	Allan, David
Cc:	Alcantara, Ana
Subject:	Pulp Meeting Mondays

Dave,

At a number of the pulp meetings we have had discussions around information we would like to gather in the marketplace.  Until now I had been erring on the side of smaller meetings to facilitate better discussion but I think it would be more helpful to have one person from fundamentals present at the pulp meetings on Mondays at 9:00.  This should be the person that is doing most of the work on pulp.  Please let me know who you think the best person to attend would be.

Thanks,
Rodney


This is great - please update and forward weekly.
Regards
Delainey
---------------------- Forwarded by David W Delainey/HOU/ECT on 06/02/2000
03:14 PM ---------------------------

Susan Helton
06/02/2000 11:20 AM
To: David W Delainey/HOU/ECT@ECT, Tammy R Shepperd/HOU/ECT@ECT
cc: Max Yzaguirre/NA/Enron@ENRON, Marc Sabine/NA/Enron@ENRON, Steve
Irvin/HOU/ECT@ECT
Subject: Vitro

Attached is the Vitro Project Summary.


Louise,

Attached please find the inception document requested. I would greatly
appreciated your comments. I will be consulting Colleen and Geoff for any
necessary revision. I will be requesting signatures on Wednesday afternoon,
March 21.

Thanks

Zhiyong

 -----Original Message-----
From:  Schoppe, Tammie   On Behalf Of Kitchen, Louise
Sent: Tuesday, March 13, 2001 4:24 PM
To: Wei, Zhiyong
Cc: Stock, Stephen; Storey, Geoff; Sullivan, Colleen; Perlman, Beth; Bibi,
Philippe A.
Subject: GTV II

I understand we have now finalized 90% requirements on the GTV II.

Please could we pull together the format inception document this week for
signature on your meeting next week with Geof and Colleen.

Document to include all requirements, dependencies and timelines.

I would suggest whoever is writing this spend some time with Geof this week.

Please circulate to draft all listed above including me.

Thanks,

Louise


-----Original Message-----
From: Curry, Mike
Sent: Wednesday, August 29, 2001 7:01 PM
To: Trefz, Greg; Compean, Karla
Subject: FW: Reliant RFP 10% Price to Beat

I'm putting this on your list.  Let me know who wants to work this one.  Due sep. 20th

-----Original Message-----
From: NBrady@Navigantconsulting.com
[mailto:NBrady@Navigantconsulting.com]
Sent: Friday, August 24, 2001 3:08 PM
Subject: Reliant RFP

The following email was sent earlier today regarding the Reliant RFP for
10% of its Price to Beat load.  We received your email back due to the size
of the file.  We have reconfigured "appendix b" and attached it below as
"special appendix b" so that the size of the file would be smaller and go
through your firewall.  The information contained in "special appendix b"
is the same as "appendix b" the original sent.  If you have any questions
or problems with the following please call me at 512.345.5415.

Thanks for your patience.

Nicole Brady

Attached is an electronic copy of the Reliant Energy Services Request for
Proposal for Power Supply to 10% of its Price to Beat Load.

A hard copy of this RFP has also been forwarded via FedEx for delivery to
your attention today.  The FedEx package also includes a CD with the detail
load profile information.

A "typical" transmittal letter is attached providing an overview of the
supply requirements, planned RFP administration and proposal requirements.
Proposals are due on September 20, 2001.

A pre-proposal meeting will be held August 30, 2001 at the Reliant Energy
Plaza in Houston, TX.  RSVP is required as lunch will be provided.

Your review and consideration of this RFP is appreciated.

(see attached file: RFPcoverletter.doc, FinalRFP.doc, AppendixA.doc,
AppendixB.doc)

Sincerely,

Nicole Brady
Navigant Consulting, Inc.
512.345.5415

(See attached file: RFP cover letter.doc)(See attached file: Final RFP.doc)
(See attached file: Appendix A.doc)(See attached file: special appendix
b.doc)


probably because jeff's out,, but let's go ahead and have it

To: John Arnold/HOU/ECT@ECT
cc:
Subject: Re: CANCELLED - Trader's Roundtable

Yes, I'm around all week and, I don't know why the Tuesday meeting was
cancelled.

Gary


dim-sum,

hey, i was up until at least 8:30 last night.

you should get a cell phone.  (or a pager if you're too cheap for that).

what's going on?

you're one of three friends i have in calgary and i don't see you anymore.
drinks at the auburn saloon?  golf this weekend?

	ice-man

vegas baby...

	Enron Capital & Trade Resources Corp.  From:  "Jai Hawker" <jaihawker@hotmail.com>                           05/02/2001 11:05 PM

To:	Cooper.Richey@enron.com
cc:
Subject:

Dude,

Got your message last night, but I figured you'd be in bed already.  It's
Wednesday and I didn't get an email from Bill.  What gives?  I would prefer
a Friday game this week because I have to pick my Mom up at the airport on
Saturday night (at about 11:30).

Let me know.

Zeus
_________________________________________________________________________
Get Your Private, Free E-mail from MSN Hotmail at http://www.hotmail.com.


-----Original Message-----
From: 	"Purtzki, Emily (CA - Calgary)" <epurtzki@deloitte.ca>@ENRON
Sent:	Friday, January 18, 2002 7:16 AM
To:	Richey, Cooper
Subject:	RE:

Hi Cooper!!
Well, it's finally Friday!!!  I hope work is going well....I just glad I don't work for Arthur Andersen,  otherwise we probably wouldn't be allowed to e-mail each other.
YIM this weekend sounds great!  How about the 11:15 class tomorrow???  I am running at 9,  so I should be done in time for yoga.  I'll call Yani.  About tomorrow night,  it's not so much a wine and cheese,
 but more of a mix any kind of drink that people want to drink.  Whatever you want to call it...it will be fun!! I'll talk to you tomorrow about directions to Jaimies and times etc.
Yes,  I am working at Earls this weekend.  I am working Sunday night. Speaking of Earls,  I know how much you liked the gingerbread....but the feature dessert just changed to carrot cake!  You'll have to come in and try it.
I a going for drinks this afternoon with Stephanie, Jaimie, and Sandy(I think you met her on Saturday at Lucky).  I think we're going to Ceilis after work.  You should come for a drink...afterall,  a drink with friends is a perfect compliment to a long work week!
Emily
-----Original Message-----
From: Cooper.Richey@enron.com [mailto:Cooper.Richey@enron.com ]
Sent: Thursday, January 17, 2002 3:03 PM
To: Purtzki, Emily (CA - Calgary)
Subject: RE:
i missed yoga last night too - do you want to try to YIM this weekend?
saturday night sounds good.  i'm not sure what's going on with crantina and
its not too personal nor a secret.  i'll pass the book along to jai.  are
you working at earls again this w/e to support your shooter-lifestyle?  - c
-
    -----Original Message-----
   From:   "Purtzki, Emily (CA - Calgary)" <epurtzki@deloitte.ca>@ENRON
   Sent:   Tuesday, January 15, 2002 7:06 PM
   To:     Richey, Cooper
   Subject:  RE:
   Hey Cooper,
   I don't know if I can make yoga tomorrow...I might have to work late.
   But I'll have a better idea by tomorrow afternoon.
   I'm glad that you liked Tuesday's with Morrie.  You can pass it along to
   Jai.  I have promised that book to so many people,  so I just hope that
   everyone reads it quickly so I can pass it along to the next!  The wine
   party is still on for the weekend, and of course you are invited!  It
   should be fun.  Alot of Earls people will be there but also alot of
   other fun people.  We are all going to the Whiskey afterwards,  so tell
   everyone to meet us there afterwards.  You can bring whoever you want to
   the wine party.  Speaking of bringing someone...whatever happened to
   that girl that you went on that date with, you know, the one who ordered
   the crantini??  I hope that isn't getting to personal...but come on, you
   can tell me, we're friends.  I promise I won't say anything.(even though
   you may think I have a big mouth, I can actually keep a
   secret...sometimes!!)
   By the time you read this it will be Wednesday, so...Happy Hump
   Day!(that was just too cheesy)
   Emily
   -----Original Message-----
   From: Cooper.Richey@enron.com [mailto:Cooper.Richey@enron.com  << File:
   mailto:Cooper.Richey@enron.com  >> ]
   Sent: Tuesday, January 15, 2002 2:09 PM
   To: Purtzki, Emily (CA - Calgary)
   Subject: RE:
   eze-
   glad to hear you are finally putting in an honest day's work!  let me
   know
   if you're planning on going to yoga tomorrow (wed).  i did like tuesdays
   with morrie, do you want me to pass it on to jai or give it back to you?
   are you still planning your wine event on saturday?  i want to come, but
   i
   think jai is going to a hockey game for work that night.  hopefully i
   see
   you tomorrow night at yoga.
   - c -
   **********************************************************************
   This e-mail is the property of Enron Corp. and/or its relevant affiliate
   and may contain confidential and privileged material for the sole use of
   the intended recipient (s). Any review, use, distribution or disclosure
   by others is strictly prohibited. If you are not the intended recipient
   (or authorized to receive for the recipient), please contact the sender
   or reply to Enron Corp. at enron.messaging.administration@enron.com and
   delete all copies of the message. This e-mail (and any attachments
   hereto) are not intended to be an offer (or an acceptance) and do not
   create or evidence a binding and enforceable contract between Enron
   Corp. (or any of its affiliates) and the intended recipient or any other
   party, and may not be relied on by anyone as the basis of a contract by
   estoppel or otherwise. Thank you.
   **********************************************************************


(h) 713 666 9737
(w) 713 853-6994
(c) 713 419-0203

email @ home: aazccb@swbell.net


If you'd like to watch the employee meeting next week on your computer,
follow the instructions below to install IPTV.  We'll also have it playing on
the plasma screen monitor.

Ginger - Please distribute to Rick's group outside of Houston.

Thanks!
---------------------- Forwarded by Elizabeth Linnell/HOU/EES on 02/22/2000
06:24 PM ---------------------------

	Danny Campbell
	02/17/2000 11:01 AM

To: Elizabeth Linnell/HOU/EES@EES
cc:
Subject: Instructions to install IP TV

The following are instructions to install IP TV.

1.  Make sure you are logged in as the user that owns the system, and that
you are on the network.
Select the following options, starting at the main desktop menu.
2. click - Start (button)
3. click - Settings
4. click - Control Panel
5. Double click - Add/Remove Programs  Icon
6. Double click - Wininstall Installer
7. Double click - Cisco IP TV
 and install.
8. Following the install, restart the system.
9.  When you boot back in, go to  Start/Programs/Cisco IP TV  and double
click the executable and your in.

Elizabeth, if you have any questions or problems, please give me a call.
39336.
Thanks,
Danny


The subject deal executed yesterday with Tri-State Generation and Transmission are both okay with credit for the confirms to be sent out.

Thanks again,

Veronica


Greg,  Attached is a redlined version  of the interconnect agreement with
their comments incorporated.  I did make some revision to their comments,
please review and if OK forward to Brazos Valley or their reps.

Do we have any concerns from a credit standing concerning this LP.  I don't
know the magnitude of cost on the HPL Facilities, but we need to make sure we
don't get stuck with their cost.  Might want to ask for cash up front with a
make whole once the facilities are completed.  I haven't made any changes to
reflects.  Thoughts?


One last Override.  As you will have seen in the ABB one and this one, I have
made some global comments that apply to these plus the GE override for the
LVCogenII turbine purchase agreement.  You will need to put them all together
to get it all incorporated.  Sorry about that.

 -----Original Message-----
From:  "Thompson, Peter J." <pthompson@akllp.com>@ENRON
[mailto:IMCEANOTES-+22Thompson+2C+20Peter+20J+2E+22+20+3Cpthompson+40akllp+2Ec
om+3E+40ENRON@ENRON.com]
Sent: Monday, June  4, 2001 6:36 PM
To: Tweed, Sheila; Mann, Kay; Rigby, John; Dieball, Scott; Bills, Lisa;
Engeldorf, Roseann; Williams, Bill
Subject: World Hunger Override Letter.DOC

 <<World hunger Override Letter.DOC>>
 Attached for you review is a draft of the World Hunger Override
Letter.
 - World hunger Override Letter.DOC << File: World hunger Override Letter.DOC
>>


Hi Team:

     I spent some time today working out answers to the two questions.  I
     claim no brilliance in this subject, but thought I would get us
     started.  There are definitely some holes in my answers (highlighted
     in red).  Please take a look and let's discuss at some point.  I hope
     my logic is transparent enough to make the spreadsheets useful to
     others.

     If everyone will be in class on Thursday maybe we can discuss the
     problems during the break and be finished before the weekend.  Woo
     Hoo!

     - Carolyn

 - proble~4.xls
 - proble~3.xls
 - proble~2.xls
 - proble~1.xls


This is a very good, easily digestible summary of the FERC order.  Alan
Zaremberg, CEO of the Chamber and located in Sacramento, asked if we had a
summary that we could provide him.  Zaremberg is convinced that no one in
California understands what FERC did and wanted to try to educate them.  If
we sanitize it to remove anything sensitive, are folks comfortable providing
it to Zaremberg?  Thanks.

Best,
Jeff
----- Forwarded by Jeff Dasovich/NA/Enron on 05/10/2001 01:45 PM -----

	Tom Briggs
	05/09/2001 03:30 PM

		 To: Jeff Dasovich/NA/Enron@Enron
		 cc:
		 Subject: FERC summary


Fred,  I forwarded you the notice prepared by Global Finance.  It requires
essentially the same information.

Kay

Fred Mitro@ECT
01/02/2001 06:22 PM
To: Chris Booth/NA/Enron@Enron, Rebecca Walker/NA/Enron@Enron, Kay
Mann/Corp/Enron@Enron
cc: Ben Jacoby/HOU/ECT@ECT

Subject: Intergen - Bill of Sale Schedule

Ben has asked me to prepare a draft Bill of Sale - Equipment schedule to
support the closing of the Intergen transaction.

I have generated the attached spread sheet showing the following information
for the two LM6000 turbines and the one ABB transformer:

 Unit Description (Column A)
 Unit Number (Column B)
 Unit Serial # (Column C)
 Unit Delivery Date (Column D)
 Physical location of the units as of the date of schedule (1/5/01) (Column E)
 The equipment and all rights provided to Buyer under Agreement dated ____
(Column F)

I have filled in descriptions for each piece of equipment (Column A).  I need
help with the following:

Chris:  Please fill in Columns B, C, D & E with current information from our
equipment contracts.

Rebecca:  Please obtain the information for Columns A, B, C, D, E, & F  from
Catherine in Global Finance.  This should be the information that was
recorded in the TurboPark financing documents when the equipment option
agreements were moved into TurboPark from West LB.

Kay:  Please fill in the dates for Column F and let me know if any additional
information is required to complete this schedule.

Please forward me a revised copy of this spreadsheet once you have completed
the relevant information.  I welcome your input on the information contained
within this schedule.

Our goal here is to create a schedule which is factually correct (based on
all of the relevant agreements) and does not create any
inconsistencies/conflicts with the TurboPark documents.  We need to deliver a
draft of this schedule to the TurboPark banks tomorrow  for their review.
This schedule represents one of four documents required to effect a smooth
transfer of the relevant equipment interests from TurboPark into the
respective CA Development entity and close this transaction prior to the
1/15/01 deadline.

Call me to discuss any of this information.

Fred


Not a problem.  There's 3 feet of power at Squaw.

The interest on the charges was $500.

	"Scott Laughlin" <scottwl@hotmail.com>
	04/10/2001 06:01 PM

		 To: Jeff.Dasovich@enron.com, cameron@perfect.com, psellers@Haas.Berkeley.EDU
		 cc:
		 Subject: Re: Merry Xmas?

Really? Jesus, I thought for sure I got charged. Didn't seem like I had any
extra cash on hand. I have to make sure they didn't charge me... Anyway,
I'll take care of that debt. What a joke! What happened when you put the
room on my card, Cameron? Why did I get so rejected at the ATM all weekend?

Damn irresponsible ski bums...

>From: Jeff.Dasovich@enron.com
>To: cameron@perfect.com, scottwl@hotmail.com, psellers@Haas.Berkeley.EDU
>Subject: Merry Xmas?
>Date: Tue, 10 Apr 2001 14:21:36 -0500
>
>Scott/Cameron:
>
>OK, wondering why there ain't no charges on your credit card from our
>FABULOUS trip to Squaw Valley?  I just found out that they're all on
>mine!!?!?!?   I had the best time up there, but I couldn't figure out how
>it coulda cost $1700.  Just called them to inquire.  They said:  There's no
>mistake those are all the carges for rooms 432 and 450.  They're sending
>receipts.  Unreal.
>
>Best,
>Jeff
>

_________________________________________________________________
Get your FREE download of MSN Explorer at http://explorer.msn.com


---------------------- Forwarded by Don Baughman/HOU/ECT on 12/27/2000 01:54
PM ---------------------------

	From:  Stacey W White                           12/27/2000 01:30 PM

To: Rogers Herndon/HOU/ECT@ect, Mike Carson/Corp/Enron@Enron, Fletcher J
Sturm/HOU/ECT@ECT, Dana Davis/HOU/ECT@ECT, Doug
Gilbert-Smith/Corp/Enron@ENRON, Laura Podurgiel/HOU/ECT@ECT, Larry
Valderrama/HOU/ECT@ECT, Corry Bentley/HOU/ECT@ECT, Matt Lorenz/HOU/ECT@ECT,
Jeff King/Corp/Enron@Enron, Paul J Broderick/HOU/ECT@ECT, Chris
Dorland/HOU/ECT@ECT, Clint Dean/Corp/Enron@Enron, Kayne Coulter/HOU/ECT@ECT,
Don Baughman/HOU/ECT@ECT, Larry Jester/Corp/Enron@ENRON, Juan
Hernandez/Corp/Enron@ENRON, Richard Hrabal/HOU/ECT@ect
cc: Kim S Theriot/HOU/ECT@ECT, Thresa A Allen/HOU/ECT@ECT, Jenny
Latham/HOU/ECT@ECT, Mitzie Scott/Corp/Enron@Enron, Jon Paul
Lewis/HOU/ECT@ECT, Casey Evans/Corp/Enron@Enron, Donald Wayne
Vinson/HOU/ECT@ECT, Andrea Dahlke/NA/Enron@ENRON, Rebecca M Grace/HOU/ECT@ECT
Subject: Southeast Curves

There are currently three Southeast curves being marked:
R3 - Serc
R3A - Florida/Georgia Border
R3C - Into FRCC

When trading at one of these points please enter the deals as Eastern
Prevailing Time.  Peak = HE 0800 to HE 2300.

We will change all deals that are live in the system as of last night.  If
you have any questions, please give myself or Mitzie Scott a call.

Thanks,
Stacey (3-1870)


If the bottom line is being able to start critical construction activities as
quickly as possible, rather than properly characterizing the type of permit
revision, we have developed an argument, based on the Clean Air Act (which is
the source for Arizona's air program), that would allow construction to
commence shortly after notice, without the need for a permit. Of course, TWP
has already submitted a permit revision application and would be willing to
see this process through to completion as long as TWP could begin
construction promptly and plan on beginning operation of the new equipment
when the permit is finallly issued, presumably in the spring.

The argument goes as follows: under CAA sec 502(b)(10), 42 USC 7661a(b)(10),
a state program needs to allowchanges within a permitted facility if the
changes are not "modifications" and do not exceed the emissions allowable
under the permit. A "modification" is defined as "any physical change in, or
change in the method of operation of, a stationary source which increases the
amount of any air pollutant emitted by such source or which results in the
emission of any air pollutant not previously emitted."

 Someone should confirm the technical status of the equipment changes and
whether they meet the criteria. This may be something to point out to Nancy
how she can exercise her discretion to get us where we need to go. Nancy can
give this approval after Shudeish completes his calculations confirming TWP's
netting calculations.

Van

The information contained in this electronic mail message is confidential
information intended only for the use of the individual or entity named
above, and may be privileged.  If the reader of this message is not the
intended recipient or the employee or agent responsible to deliver it to the
intended recipient, you are hereby notified that any dissemination,
distribution or copying of this communication is strictly prohibited.  If you
have received this communication in error, please immediately notify us by
telephone (602-382-6000), and delete the original message.  Thank you.

G. Van Velsor Wolf Jr.
Snell & Wilmer L.L.P.
One Arizona Center
Phoenix , Arizona 85004-2202
602.382.6201 (direct)
602.382.6000 (main number)
602.382.6070 (fax)
vwolf@swlaw.com


COLUMBIA GAS TRANSMISSION CORPORATION
                        NOTICE TO ALL INTERESTED PARTIES
                                OCTOBER 24, 2001

Notice ID: 3205
5 - NO RESPONSE REQUIRED

NOTE:  The following is being provided by Columbia as notice to all of its
shippers of potential outages or reductions in available capacity in the
identified portions of the system due to construction activities, routine
maintenance, modifications, tests or repairs undertaken to protect the
integrity and performance capability of its storage and transmission
facilities.  The information provided below is subject to change for numerous
reasons, including but not limited to, third-party controlled events and
decisions, weather, work schedules, equipment availability, force majeure
events, etc.  Thus, while Columbia is willing to provide this notice and update
it periodically as necessary, Columbia is unable to represent and warrant that
the specific activities will occur, or that they will occur on or near the
specified dates.

SUBJECT:   LINE SM-123

Due to long wall mining, effective October 26, 2001, Line 123 will be out of
service.  Therefore, 0 non-firm capacity is available at the following receipt
points until further notice.

The following receipt points will be affected:

   Equitable Gas:    Beaver Creek      (H1)
                     Hi Hat            (F3)

   CNR Pipeline:     Boldman           (CNR02)
                     Conoway           (CNR03)
                     Johns Creek       (CNR08)
                     Canada            (CNR09)
                     Canada            (CNR10)
                     Stafford          (CNR11)
                     Thacker/Majestic  (CNR12)
                     Briar Mtn.        (CNR13)
                     Huff Creek        (CNR14)

   Conoco:           Grant             (P1)

The same is true with respect to any Appalachian production flowing directly
into Columbia's Line KA between Columbia's Boldman Compressor Station and
Columbia's Huff Creek Compressor Station as well as production flowing into
Columbia's Lines SM-116, KA-15, PM-3 and PM-17.

If you have any questions, feel free to contact your Customer Services Team.


Jay,

Could you clear the composite pages on my EOL customer ID. I need to add some
products and I am having some trouble.

My ID is ADM08892.

Thanx,

Chris Dorland


Darren:
Please remove the price on the Tenaska IV sale, deal 384258, for July and enter the demand fee.  The amount should be $3,902,687.50.

Thanks,
Megan


Sure - just send me the numbers -- or maybe a website or two.  We run the risk that when you show up it's a crappy boat but then we'll know better the next time.

 -----Original Message-----
From: 	"Linda Hayman" <LHAYMAN@skadden.com>@ENRON [mailto:IMCEANOTES-+22Linda+20Hayman+22+20+3CLHAYMAN+40skadden+2Ecom+3E+40ENRON@ENRON.com]
Sent:	Monday, July 30, 2001 2:42 PM
To:	Taylor, Mark E (Legal)
Subject:	Re: Thank You!

Do you actually have to be in Woodstock to find a boat to charter for a sunset cruise?  Could I send you some phone numbers or something.  If you aren't going to arrive until Saturday, we could waste a lot of time driving around to boat yards on the Hudson.  I think we should have a sunset cruise for 6.

Linda Hayman
Skadden, Arps,Slate, Meagher & Flom, LLP
4 Times Square, 42nd Floor
New York, NY  10036
T:  212-735-2637
F:  917-777-2637

>>> "Taylor, Mark E (Legal)" <Mark.Taylor@ENRON.com> 07/30/01 01:23PM >>>
Had a great weekend and looking forward to next time.  Hope you made it
back to town ok.  I had no problems but I think you should just assume
that from the Newark airport it's at least 2.5 hours, probably a bit
more.  The Avis lady didn't bat an eye; of course I stood towards the
back of the car so she wasn't really looking at the front and there was
a big line forming behind me so she was in a hurry.  Did the kids get
away even close to on time?

Thanks again!

Mark Taylor
Vice President and General Counsel
Enron Wholesale Services
(713)853-7459

**********************************************************************
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**********************************************************************

 - Linda Hayman.vcf << File: Linda Hayman.vcf >>


Given tremendous energy market volatility and as we stretch resources to make
our commercial goals for 2000, it was decided that it would be appropriate to
postpone the ENA 2000 Offsite to early next year.  I trust this meets with
your approval and thanks for all the hard work.

Regards
Dave and John


-----Original Message-----
From: 	Griffith, John
Sent:	Wednesday, November 07, 2001 6:51 AM
To:	Maggi, Mike; Quigley, Dutch; Arnold, John; Zipper, Andy; May, Larry
Subject:	FW: Intelligence Test

 - intelligentietest.htm


Here are my corrections/concerns/questions about the EPMI portion of the
filing.

We need to coordinate this with PGE and Enron Wind and make sure they file to
revise their tariffs and agree to the change of the code of conduct.  Are you
handling that Sarah or do you want me to?
The filing and tariff do not include the Commission approved FTR sales into
California, that needs to be added.
Do we have any idea how close the SEC is to ruling?  It's my recollection
that FERC does not like indefinite notice periods, as we have requested, nor,
under their rules, do they permit a notice period of longer than 120 days.
Has counsel looked at whether FERC has made special exceptions for mergers?


---------------------- Forwarded by Andrea Ring/HOU/ECT on 07/11/2000 04:40
PM ---------------------------

John Craig Taylor
06/14/2000 12:05 PM
To: Sandra F Brawner/HOU/ECT@ECT, Andrea Ring/HOU/ECT@ECT, Susan W
Pereira/HOU/ECT@ECT
cc:
Subject:

> Subject: Fw: Funny quotes from famous people!!
>

> > > > > Ah, yes, divorce......., from the Latin word
> > > > > meaning to rip out a man's
> > > > > genitals through his wallet.
> > > > > Robin Williams
> > > > > -------------------------------------------------------
> > > > > Women complain about premenstrual syndrome, but I
> > > > > think of it as the only
> > > > > time of the month that I can be myself.
> > > > > Roseanne
> > > > > -------------------------------------------------------
> > > > > Women need a reason to have sex. Men just need a
> > > > > place.
> > > > > Billy Crystal
> > > > > -------------------------------------------------------
> > > > > You can say any foolish thing to a dog, and the
> > > > > dog will give you a look
> > > > > that says, "My God, you're right! I never would've
> > > > > thought of that!"
> > > > > Sean Connery
> > > > > ------------------------------------------------------
> > > > > According to a new survey, women say they feel
> > > > > more comfortable
> > > > > undressing in front of men than they do undressing
> > > > > in front of other women.
> > > > > They say that women are too judgmental, where, of
> > > > > course, men are just
> > > > > grateful.
> > > > > Robert De Niro
> > > > > -------------------------------------------------------
> > > > > I am not the boss of my house. I don't know how I
> > > > > lost it. I don't know
> > > > > when I lost it. I don't think I ever had it. But
> > > > > I've seen the boss's job
> > > > > and I don't want it.
> > > > > Bill Cosby
> > > > > ------------------------------------------------------
> > > > > In the last couple of weeks I have seen the
> > > > > ads for the Wonder Bra. Is
> > > > > that really a problem in this country? Men not
> > > > > paying enough attention to
> > > > > women's breasts?
> > > > > Hugh Grant
> > > > > ------------------------------------------------------
> > > > > We have women in the military, but they don't put
> > > > > us in the front lines.
> > > > > They don't know if we can fight or if we can kill. I
> > > > > think we can. All the
> > > > > general has to do is walk over to the women and say,
> > > > > "You see the enemy over
> > > > > there? They say you look fat in those uniforms."
> > > > > Elayne Boosler
> > > > > -------------------------------------------------------
> > > > > There's a new medical crisis. Doctors are
> > > > > reporting that many men are
> > > > > having allergic reactions to latex condoms. They say
> > > > > they cause severe
> > > > > swelling. So what's the problem?
> > > > > Dustin Hoffman
> > > > > ------------------------------------------------------
> > > > > When the sun comes up, I have morals again.
> > > > > Elizabeth Taylor
> > > > > -------------------------------------------------------
> > > > > There's very little advice in men's magazines,
> > > > > because men don't think
> > > > > there's a lot they don't know. Women do. Women want
> > > > > to learn. Men think, "I
> > > > > know what I'm doing, just show me somebody naked."
> > > > > Jerry Seinfield
> > > > > -------------------------------------------------------
> > > > > Instead of getting married again, I'm going to
> > > > > find a woman I don't
> > > > > like and just give her a house.
> > > > > Rod Stewart
> > > > > -------------------------------------------------------
> > > > > See, the problem is that God gives men a brain
> > > > > and a penis, and
> > > > > only enough blood to run one at a time.
> > > > > Robin Williams
> > > > >
> > > > >
> > > > >
> > > >