Adam Smith, Save Us! How to solve California's power crisis: market pricing.
Forbes, 07/09/01

INDIA: Enron India chief "optimistic" about Dabhol project.
Reuters English News Service, 07/09/01

INDIA: Enron chief to discuss Dabhol with Indian officials.
Reuters English News Service, 07/09/01

Trying to Run a Country Like a Corporation
The New York Times, 07/08/01

Privatise MSEB distn & generation: Godbole panel report-II
Press Trust of India Limited, 07/08/01

Tough-talking energy adviser could head state power authority
Associated Press Newswires, 07/08/01

NIGERIA: INTERVIEW-Nigeria power project's success fuels AES expansion.
Reuters English News Service, 07/07/01

FOCUS ON ENERGY / As the clock ticks, rifts remain in Calif. electricity
refund talks
Houston Chronicle, 07/07/01

JUDGE URGES ON SETTLEMENTS FOR POWER OVERCHARGES
Portland Oregonian, 07/07/01

Sustainability isn't simple
The Seattle Times, 07/07/01

Campaign funds will pay for spots
The San Francisco Chronicle, 07/07/01

OutFront
Adam Smith, Save Us! How to solve California's power crisis: market pricing.
BY Lynn Cook

07/09/2001
Forbes
058
Copyright 2001 Forbes Inc.

Power Surge | Here's a novel scheme to balance supply and demand for
electricity in California. Hint: It's called market pricing.
Californians have a chance to keep the lights on this summer: Let commercial
customers take the power they would ordinarily use but decide not to, and
sell it back to the grid at a profit. Such "negawatt" auctions are already
being tested in Atlanta.
Wal-Mart, say, could cool down its California stores by an extra three
degrees during the nonpeak morning hours. In the afternoon, when temperatures
and wholesale power prices soar, it could shut off air-conditioning and
resell the power it would have consumed. Stores would be hot, but not
unbearable. All Wal-Marts would get to remain open with cash registers
operating instead of having to deal with scattershot closings and lost
business because of blackouts.
From steel fabrication plants to aluminum smelters that have already
shuttered for the summer, heavy industry is itching to sell negawatts, says
Marc Yacker, spokesman for the Electricity Consumers Resource Council
representing industrial users. So why hasn't the Golden State seized a golden
opportunity? Governor Gray Davis likes the idea, but not the
proponents--Houston energy giants Enron and Reliant Energy--and any
suggestion from Texas is, of course, anathema. Another little problem is that
California's attorney general is on record favoring jail sentences for energy
"profiteers." Let a big business like Wal-Mart make a spread on electricity?
Horrors!
Another hurdle: A multistate auction system of the sort that would rescue
California would require overriding the federal Public Utility Holding
Company Act, which prevents commercial and residential users from reselling
juice to the grid. In Atlanta, where Georgia Power offers large industrial
users a program called Daily Energy Credit, the utility was subject to
approval only by a state commission, not the Feds, because it runs the
negawatt program within its assigned borders and not across state lines. A
bill pending in the U.S. House Energy & Air Quality subcommittee would have
alleviated that. But in June the bill's sponsor, Representative Joe L.
Barton, a Republican from Texas, yanked the relief package off the table,
claiming House Minority leader Richard Gephardt, the Missouri Democrat, was
planning to wreck the deal because it did not promote price caps. Gephardt
denies the charge.
A shame that it's so much harder to turn down the political heat than the
central a/c.

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

INDIA: Enron India chief "optimistic" about Dabhol project.

07/09/2001
Reuters English News Service
(C) Reuters Limited 2001.

NEW DELHI, July 9 (Reuters) - The chief executive of Enron Corp's Indian arm
said on Monday he was optimistic about working through the company's payment
dispute with a local utility.
"There are a variety of options facing us with the project. We are just
trying to work through those," Wade Cline told reporters in the Indian
capital after a meeting with the country's finance secretary.
"We are having good meetings with the ministry, so we are optimistic," Cline
said. He added he had briefed the finance secretary ahead of Enron Corp
Chairman Kenneth Lay's meeting with Finance Minister Yashwant Sinha.
Lay is due to meet Sinha, the Indian power minister and senior officials in
connection with the payment dispute between Enron's Dabhol Power Co and the
Maharashtra State Electricity Board which has defaulted on payments of $48
million to Dabhol.
Enron's project is the largest direct foreign investment in India. Its first
phase of 740 MW was completed in 1998, while a second phase adding another
1,444 MW was almost complete when its contractor stopped work because of the
dispute.

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

INDIA: Enron chief to discuss Dabhol with Indian officials.

07/09/2001
Reuters English News Service
(C) Reuters Limited 2001.

NEW DELHI, July 9 (Reuters) - Enron Corp Chairman Kenneth Lay is due to meet
the Indian power minister and senior power ministry officials on Monday to
discuss a dispute between the U.S. firm's Indian unit and a local utility,
officials said.
The firm's Dabhol Power Co and the Maharashtra State Electricity Board (MSEB)
are locked in a payments dispute which provoked Enron to serve a preliminary
termination notice to the utility, which in turn stopped buying power from
Dabhol.
"He is scheduled to meet Power Minister Suresh Prabhu at 5:25 p.m. (1155
GMT)," a federal power ministry official told Reuters.
Lay was expected to discuss the future of the troubled Dabhol project, said
the official who did not want to be identified.
He said Lay would also meet senior officials in the federal power ministry
before visiting Prabhu.
MSEB, the sole buyer of Dabhol power, has defaulted on payments of $48
million to Dabhol.
Enron's project is the largest direct foreign investment in India. Its first
phase of 740 MW was completed in 1998, while a second phase adding another
1,444 MW was almost complete when its contractor stopped work because of the
dispute.

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

Week in Review Desk; Section 4
The Nation: Look Sharp
Trying to Run a Country Like a Corporation
By DAVID E. SANGER

07/08/2001
The New York Times
Page 1, Column 5
c. 2001 New York Times Company

WASHINGTON -- WHEN President Bush was sworn in nearly six months ago,
Washington was awash with loose talk of a ''C.E.O. presidency.'' The first
president with an M.B.A. to his name, from Harvard Business School no less,
would be the chairman of the board of the world's biggest conglomerate, his
aides boasted, a leader who delegated to his cabinet of experienced C.E.O.'s.
They said his administration would apply business discipline to a bloated
government. And cabinet sessions do look a lot like the Business Roundtable,
the organization of chief executives that, a few weeks ago, held part of its
annual meeting in the East Room. Next to the president sits Dick Cheney, late
of Halliburton, and Treasury Secretary Paul H. O'Neill, fresh from Alcoa.
Donald H. Rumsfeld is also at the table, in his second run as defense
secretary, after running G. D. Searle & Company.
Lower level officials, too, look and sound like business folk. ''We
effectively are the C.E.O.'s of wholly owned subsidiaries of the Department
of Defense,'' said Thomas E. White, who left Enron -- the Texas energy
company that wields great influence here -- to become secretary of the army
last month.
But cracks are already beginning to mar the smooth veneer of Bush & Co.'s
boardroom table. Part of the problem is Mr. Bush himself: He cast himself
first as a Reagan-style figure -- though less detached -- who would define
the missions his team would carry out. But on a host of issues, from energy,
to stem cell research, to ending bombing exercises on the island of Vieques
in Puerto Rico, Mr. Bush has second-guessed his C.E.O.'s and swept decisions
back into the White House.
At Bush & Co., the strategic plans are beginning to collide, and polls
suggest that shareholders are increasingly unconvinced by aspects of the
business plan.
One cause of the president's troubles may be that his C.E.O. approach to
running the government conspicuously lacks what Washington demands: the
flexibility required to appeal to a variety of constituencies and to horse
trade (something Mr. Bush did quite well in Texas).
While Mr. Bush scored a quick, major victory with the tax cut, for example,
his energy initiatives and his ''faith-based'' plan for federal aid to
religious groups that perform social services have run into the kind of
political cross-currents that are rarely seen in corporate America.
IN both cases, the White House has shown little willingness to compromise and
little ability to persuade voters to share its views.
''They run the meetings on time but he doesn't have much emotional range in
connecting these themes to the public,'' said Rahm Emanuel, a highly partisan
aide to President Clinton, who never ran meetings on time but knew how to
stir a crowd.
Mr. Bush's style has also vexed America's allies. They made it clear during
his trip to Europe that they are tired of being treated like foreign
subsidiaries of America, Inc. So Mr. Bush listened, and said he was humbled.
But as soon as he got home, he boasted to The Wall Street Journal that 15
leaders of the European Union ''told me how wrong I was'' on global warming,
but that he stood his ground because his position was ''right for America.''
Others say the problem is not Mr. Bush, it's the slowness of his C.E.O.'s to
readjust to a world where they do not have the last word. It's a huge change,
notes Peter G. Peterson, who moved from a chief executive's post to become
commerce secretary in the Nixon administration, and who is now chairman of
the Blackstone Group, the New York investment bank.
In the private sector, he notes, Mr. Bush's successful former executives had
''the undiffused power to implement their individual corporate visions.''
Not in Washington. ''When you are a C.E.O., you observe, listen, and
decide,'' Mr. Peterson said. ''When you are a cabinet secretary, you observe,
listen, testify, subject everyone to interagency review, get resistance from
Congress, and then, more often than not, someone else decides.''
That should have come as no surprise to Mr. Cheney, Mr. Rumsfeld or Mr.
O'Neill, who all had previous experience in government. ''And yet,'' said
Thomas Mann of the Brookings Institution, ''they seem like somewhere along
the line they forgot what they learned, and they've made some severe errors
in judgment.''
TAKE Mr. Cheney -- former Congressman, former White House chief of staff,
former defense secretary. To put together the administration's energy report,
he drew on the best minds he knew from his life at Halliburton. Yet his
reliance on one slice of his constituency -- his fellow energy executives --
only fed the perception that the Bush team is far too close to energy
interests.
Now, in a classic Washington battle, the General Accounting Office is
demanding to know who Mr. Cheney met with as his task force developed its
policy in secret sessions, and he has refused to reveal the list, fueling
suspicions about who has his ear.
''It was less than politically adept,'' one of Mr. Cheney's close friends
conceded last week. ''But Dick had strong views, and they were reinforced by
others he knew who had similarly strong views.''
Now Mr. Bush is trying to undo the damage, showing up in places like Sequoia
National Forest, restoring $300 million in Federal money for energy
conservation that Mr. Cheney cut out of the budget, and calling for Americans
to use energy efficient devices that Mr. Cheney ignored.
Similarly, Mr. Rumsfeld is backtracking from his go-it-alone approach. For
months he left the Joint Chiefs in the dark about his missile defense plans,
and conducted his top-to-bottom review in secret, with a few trusted aides.
''It was very corporate,'' said one senior military official, ''but we had no
idea what he was doing, and he had no idea why we do things the way we do.''
He has begun to change, but some of the Joint Chiefs remain wary of him.
Then there is Mr. O'Neill, a longtime friend of Mr. Cheney and the chairman
of the Federal Reserve, Alan Greenspan. But it's unclear who is setting
financial strategy -- Mr. O'Neill or the White House chief economic adviser,
Larry Lindsey -- and that has many of America's economic partners unsettled.
''Who makes dollar policy?'' a top aide to Japan's new prime minister asked a
reporter last week. So far, it's hard to say.
Mr. O'Neill has also shown a penchant for speaking more frankly than the
White House would wish. For example, when asked if it was smart to keep
pressing for the elimination of the corporate tax at a time the
administration is under fire for being too cozy with corporate America, the
former Alcoa chief dismissed the whole issue.
The corporate tax, he said, ''causes people to say we're getting those rotten
bastards who are corporations, and we are taking money away from them.'' But
''at the end of the day individuals pay all the taxes,'' he said, so by
cutting taxes for Exxon, I.B.M. and Alcoa, he's really helping consumers.
It is not an argument the White House wants to hear right now, and it seems
to be looking for another way of doing business. The president is in the
midst of what business schools might call a ''strategic refocusing.''
Issues that one might have expected to be decided by the C.E.O.'s have been
recalled to the White House. It was Karl Rove, Mr. Bush's political guru, who
told the Pentagon that its days of bombing Vieques were coming to an end --
even though the military has no alternative site to train its fliers. The
issue was just too important to Latino voters, or so Mr. Rove thought.
Similarly, the coming decision on federal funding for stem-cell research was
sucked back into the White House as soon as it became clear that it involved
not only science, but Catholics, anti-abortion groups and other key
constituencies.
Mr. Bush is likely to get into the middle of more decisions. With the surplus
shrinking and government revenues declining, Mr. Rumsfeld is trying to figure
out how to pay for missile defense and new conventional weapons, while Mr.
Cheney wants funding for his energy agenda.
AS Mr. Peterson says, ''when the aggregate of these individual visions don't
add up, something, and in particular somebody, has to give.''
It's possible that these are the usual contortions any new team finds itself
in as it struggles to its feet. But it's also possible that Mr. Bush, eager
to apply the lessons of private enterprise to Washington, overestimated how
transferable those lessons are.
''The problem isn't the model,'' insists Jeffrey E. Garten, the dean of the
Yale School of Management and author of the recent book, ''The Mind of the
C.E.O.'' (Perseus, 2001.) ''The problem is the Bush variant of the model.
''A good C.E.O. has to be able to execute the policy once it's set,'' he
said. Mr. Bush, like many politicians, is already ''compromising and
backpedaling. The C.E.O.'s aren't accustomed to dealing with that. And so
they get antsy.''

Photo: President Bush and Vice President Cheney display their concern for
punctuality in a photo released by the White House to commemorate the
administration's first 100 days. (Reuters)

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

Privatise MSEB distn & generation: Godbole panel report-II

07/08/2001
Press Trust of India Limited
(c) 2001 PTI Ltd.

Mumbai, Jul 8 (PTI) Even as India's western state of Maharashtra grapples
over its energy crisis with US energy major Enron, Godbole Review Committee
has recommended outright "privatisation" of the loss-making Maharashtra
electricity board's (MSEB) distribution network and generation unit in the
second part of its report to be submitted on July 11.
"The report outlines path breaking reforms, which not only suggests
restructuring of MSEB, but also makes its clear that its once-a-very-good
board will be destroyed, if it continues as a government body", official
sources told PTI here Sunday.
The report would be submitted to the state Chief Minister Vilasrao Deshmukh
on Tuesday morning, sources said.
"The committee has recommended that MSEB's government ownership should be
dissolved, however, the control of transmission network should rest with it".
"MSEB's current assets are close to worth Rs 120 billion and once cabinet
approves the proposal following submission of the report, process like
inviting tenders from private parties may be taken up", officials said.
According to the report, the interested companies would have to infuse
capital investment in the distribution and generation networks with an
increased rate of return at about 4.8 per cent, sources explained.
The 200-plus pages report draws a detailed road map for the need to privatise
MSEB, a different model from what was implemented in other states, sources
added.
(THROUGH ASIA PULSE) 08-07 2001

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

Tough-talking energy adviser could head state power authority
By DANNY POLLOCK
Associated Press Writer

07/08/2001
Associated Press Newswires
Copyright 2001. The Associated Press. All Rights Reserved.

LOS ANGELES (AP) - With his trademark Stetson hat, cowboy boots and raspy
Tennessee drawl, S. David Freeman has seized center stage in California's
power crisis.
Credited rightly or wrongly for keeping the lights on in Los Angeles as head
of the Department of Water and Power, the swashbuckling chief energy adviser
to Gov. Gray Davis is seen by many as the state's energy savior.
Others, however, call him a wily salesman and master of public relations
whose dealings with energy providers are overly confrontational.
"Maybe I'm a little of both," the 75-year-old Freeman said. "I know how to
sell a vision."
Indeed, Freeman's record is a conflicted one. He headed the nation's largest
municipal utility when it was one of the few power providers in California to
avoid the pain of deregulation. He kept the lights on and rates low for the
city's 3.8 million residents while pulling the DWP from the brink of
bankruptcy.
He also was one of the first public officials to talk tough about power
generators when energy prices soared, routinely accusing them of committing
"highway robbery" and "ripping off" consumers.
Yet Freeman himself has been accused of selling surplus power at premium
rates as head of the DWP.
His critics also note that Freeman was an early architect of deregulation who
helped devise the key mechanisms of the state's energy market, and that he
may not deserve the credit he claims for keeping the DWP in control of its
own generating plants.
Freeman makes no apologies for his record or his aggressive rhetoric.
"It distinguishes me from all the mealy-mouthed wusses who talk in language
people don't understand," he said. "It's a tough business we're in. We're not
playing pattycake."
Freeman made believers of many state officials while negotiating $43 billion
in long-term energy contracts for the state.
"We needed a pirate to negotiate with the pirates," said state Sen. Debra
Bowen, D-Redondo Beach, who chairs the Senate Energy Committee. "We didn't
want to send Snow White."
Freeman is in line to head the newly created state power authority, a key
element in his vision for ending the power crisis. The agency can issue up to
$5 billion in revenue bonds to build and buy power plants.
Freeman's faith in public power goes back to his days growing up in the
shadow of the Tennessee Valley Authority, the grandaddy of all public power
projects.
"The TVA and religion were the two biggest things in life," recalled Freeman,
who went to work for the TVA soon after college.
In the mid-1960s, he caught the attention of the White House with a major
study on energy conservation. President Lyndon Johnson made him the nation's
first coordinator of energy policy, a role he maintained under presidents
Nixon and Carter.
Since then, Freeman has headed four public power agencies, including the TVA.
"David Freeman has an almost religious belief in public power," said Jan
Smutny-Jones, executive director of the Independent Energy Producers
Association, which represents major providers such as Enron, Reliant and
Dynegy. "He really believes that can save the day. But he's flat wrong for
California ... The generation industry, with government stability, will bring
new investment."
In the mid-1990s, while Freeman was heading the Sacramento Municipal Utility
District, state officials considering deregulation recruited him to oversee
development of the Power Exchange and California Independent System Operator.
The agencies were to be the cornerstones of deregulation, handling the
auctioning of power and managing much of the state's transmission grid.
"I thought deregulation might work," Freeman said about the project. "I
wouldn't have done it if I'd have known what would happen."
That turnaround is one of many Freeman has made to dodge the political
fallout of deregulation, according to Brian D'Arcy, business manager of Local
18 of the International Brotherhood of Electrical Workers, which represents
6,000 municipal utility workers in Los Angeles and other cities.
"He's reinventing history and people aren't calling him on it because they're
trying to latch on to his star," said D'Arcy, who worked with Freeman after
he took over the DWP in 1997.
Freeman has been labeled a visionary for bucking deregulation and hanging on
to power plants that have since provided a lucrative energy surplus for Los
Angeles.
D'Arcy said Freeman actually favored selling outdated DWP plants because
plenty of cheap power was then available on the spot market. D'Arcy said he
fought a sell-off to save jobs for union members.
"He and I fought over (selling) generation, and that stalled it," D'Arcy
said.
Freeman, however, said he intentionally held on to those plants, a move that
allowed the DWP to sell excess power and make more than $200 million.
He said the agency charged reasonable rates for power under state guidelines,
but critics said Freeman's opportunism undercuts his verbal assaults on
private generators.
"It's the pot calling the kettle black," Smutny-Jones said. "I don't think
it's proper for him to be characterizing everyone else in a negative light."
John Stout, a senior vice president with Reliant Energy, declined to comment
specifically about Freeman. However, he said energy providers are being
unfairly targeted by accusations of price gouging.
"It's counterproductive,' he said. "It makes it difficult to sit down face to
face to solve problems when someone has their finger in your face."

AP Photo LA101

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

NIGERIA: INTERVIEW-Nigeria power project's success fuels AES expansion.
By Ebenezer Ademola

07/07/2001
Reuters English News Service
(C) Reuters Limited 2001.

LAGOS, July 7 (Reuters) - If successful, Nigeria's most ambitious independent
power project will be a beacon for other foreign ventures in the country, the
head of the project said at the weekend.
Dennis Skipper, project manager for AES Barge Nigeria Ltd, the Nigerian
subsidiary of the U.S. energy group AES Corp. , told Reuters in an interview
that many prospective investors based in the U.S. and Europe are watching
AES' attempt to generate 270 MW of electricity for Nigeria's power-starved
commercial capital Lagos.
"There is a great deal of interest in the United States to invest in Nigeria
and the success of this project is going to lead to an economic boom,"
Skipper said.
"Each year people invest in doing things in Nigeria, the risk factor goes
down - it has a snowball effect and attracts more investors," he said.
But just in case the political situation in Nigeria, which ended 15 years of
military rule in 1999, does turn for the worse, Skipper said AES has taken
out a $200 million political risk insurance policy from the U.S.-based
Overseas Private Investment Corporation (OPIC).
"If somebody seizes power and seizes my (power-generating) barges, I can be
paid," he said.
But after overcoming six months of repeated delays, Skipper said early
indications suggest the project will be a success and the company is has
large expansion plans.
READY TO SEND FIRST ELECTRIC BILL
Last month the generating barges - positioned next to the country's biggest
power plant at Egbin near Lagos - began injecting 60 MW into the national
grid.
Two additional barges are scheduled to be activated July 15, bringing the
project up to 120 MW. Skipper said the project should be operating at its
full capacity of 270 MW in September.
Nigerians have been anxiously watching the barge project in the hope that it
they will no longer have to rely solely on the erratic supplies of
electricity from the the State-run National Electric Power Authority (NEPA).
Africas' most populous country with more than 110 million people, needs about
3,400 MW daily but NEPA's decaying facilities generate only 1,500 MW.
Nigerians joke NEPA stands for "Never Expect Power Always".
At the end of July, AES will send its first monthly bill to NEPA.
"We've given away about $600,000 worth of electricity already," Skipper said.
He said $270 million has been invested in the project so far and AES is
negotiting with NEPA to expand the project by 60 MW to increase the capacity
to 330 MW.
TWO NEW PROJECTS IN WORKS
Skipper said the company is in advanced negotiations with NEPA on two new
projects The largest is a 800 MW extension to the Ughelli power plant in
Nigeria's oil-rich Delta state.
"We have actually built the engineering model that will be taken," he said.
"We have a financial proposal that in principle have been agreed to, all we
need to do is finalise the PPA (power purchase agreement)."
The second project is a 548 MW land-based power plant at Agbara, Ogun State,
an industrial centre near lagos.
When the Nigeria government privatises NEPA next year, Skipper said AES would
like to buy the Egbin power plant.
"AES is coming here to stay, we are not just here to make few thousand or few
million dollars and go home," Skipper said. "We came here to do business in
Nigeria, to be a Nigerian company."
To demonstrate AES's commitment to Nigeria, Skipper said the company is
creating a $500,000 education fund, which will provide scholarships and
promote education in the country.
AES bought majority interest in the barge power project from he original
contractor Enron Corp. in December. Nigerian energy firm YF Power Nigeria
owns the remaining shares in the business.

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

NEWS
FOCUS ON ENERGY / As the clock ticks, rifts remain in Calif. electricity
refund talks
DAVID IVANOVICH, LAURA GOLDBERG
Staff

07/07/2001
Houston Chronicle
3 STAR
1
(Copyright 2001)

WASHINGTON - California Gov. Gray Davis vowed Friday not to back down on his
demands electric power companies cough up $8.9 billion for overcharging the
state for electricity in the midst of a power crisis.
Negotiators from California and a group of power producers - including
representatives from Houston-based Reliant Energy, Enron Corp., Duke Energy
North America, Dynegy and El Paso Corp. - agreed to work through the weekend
in the hopes of resolving their refund disputes.
But with a Monday deadline fast approaching and the rhetoric still
confrontational, the two sides still sounded far from a negotiated
settlement.
The Federal Energy Regulatory Commission last month ordered the parties try
to reach an agreement. Otherwise, administrative law Judge Curtis L. Wagner
Jr., who is overseeing the negotiations, will craft his own compromise.
Wagner had threatened to issue his preliminary terms on Friday, only to back
off that warning to give the parties more time to haggle.
"We have several settlement offers pending," Reuters quoted Wagner as saying
Friday. Wagner added: "They could meet a consensus in a day or two if they
really wanted to."
Tamara Young-Allen, a spokeswoman for the commission, said Wagner is "very
optimistic. The talks are moving along."
But Wagner's optimism is not echoed by other parties at the bargaining table.
"Litigation is basically where we're headed," one industry source said early
Friday.
Davis claims the power companies overcharged the state to the tune of $8.9
billion between May 2000 through May 2001.
"Will I take less than $8.9 billion? No," the California governor told
reporters Friday.
Davis, however, has instructed his negotiators to make clear he is open to
several forms of repayments, including renegotiating some existing contracts
or contracting for future power at below-market rates.
California has been struggling to sign long-term power supply contracts, in
an effort to get away from its reliance on the volatile spot market, which
left the state's power companies vulnerable to the huge price spikes last
winter.
As of June 12, the state had signed deals totaling $42.8 billion with 18
different suppliers. As a result, California purchased only 1.9 million
megawatt hours of power on the spot market, down from 4 million megawatt
hours in May, Davis said.
Earlier this week, Davis' chief negotiator in the talks, California
Independent System Operator Chairman Michael Kahn, proposed allowing those
companies that have signed long-term deals to renegotiate those contracts for
lower rates. These discounts could be used to cover the refunds demanded by
the state, an industry source said.
But Davis said Friday he wants a substantial portion of the $8.9 billion in
the form of refunds.
The industry source complained that Davis has not been willing to go far
enough to reach a settlement.
Davis said Friday the state would not be willing to offer to drop ongoing
investigations that could result in civil or even criminal penalties as part
of those negotiations.
Companies from Houston, Oklahoma and North Carolina took advantage of
California, Davis said, "trying to suck us dry."
The power companies, meanwhile, are firing their own salvos.
In a report filed with the U.S. Securities and Exchange Commission Friday
titled "Myths Debunked: The Real Story of Wholesale Power Costs in
California," Reliant assailed the "disingenuous attempts . . . to paint the
picture that independent generators have been principal beneficiaries of the
increase in wholesale power costs in California."
Joe Bob Perkins, president of Reliant Energy's Wholesale Group, argued in an
interview that the higher wholesale prices in California were not caused by
generators trying to push up their operating margins.
Instead, Perkins argued, those prices were the result of a number of factors,
including high natural gas prices and a greater reliance on gas-fired power
generators because hydroelectric power was short.
Reliant's operating margin for its California operations between October 2000
through May 2001 - the peak of the power crisis - were $41.34 a megawatt
hour, the company revealed Friday.
This margin - which represents the profit for their generating operations per
megawatt hour - compares with $27.64 per megawatt hour in all of 2000, $11.21
in 1999 and $37.52 in 1998, the company said in its filing.
Between 1998 and 2001, the company's fuel costs rose seven-fold while its
sales quadrupled, said Reliant, parent company of Houston utilities Reliant
HL&P and Reliant Entex.
Reliant officials examined which companies collected the $27 billion paid for
wholesale power in California last year.
More than half the increase in cost, Reliant officials noted, went to
California's investor-owned utilities, San Diego Gas and Electric, Southern
California Edison and Pacific Gas & Electric, as well as the publicly-owned
Los Angeles Department of Water and Power.
"The real money stayed in California itself," Reliant said in its filing.
Gary Ackerman, executive director of the Western Power Trading Forum, a trade
association of wholesale power buyers and sellers in the Western states,
argued that "if the state of California insists on its fictitious number of
$8.9 billion, that won't help the negotiations any," he said.
If the parties fail to reach an agreement, Wagner will have one week to
devise his own settlement plan and present that recommendation to the full
Energy Regulatory Commission.
He said the talks would likely continue up to the midnight Monday deadline.
"Three minutes before closing time is when the most serious negotiations take
place," he said.

Mug: California Gov. Gray Davis: "Will I take less than $8.9 billion? No''
(p. 16)

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

BUSINESS
JUDGE URGES ON SETTLEMENTS FOR POWER OVERCHARGES
TOM DETZEL - The Oregonian

07/07/2001
Portland Oregonian
SUNRISE
B01
(Copyright (c) The Oregonian 2001)

Summary: About $15 billion in refund claims for electricity overcharges is at
issue at a settlement conference ordered by FERC
Optimistic that he can meet a looming deadline, a judge on Friday pushed to
keep a surge of momentum going in talks to settle as much as $15 billion in
refund claims for electricity overcharges across the West.
"We are making progress. We're swapping offers back and forth," said
administrative Judge Curtis L. Wagner, who earlier had threatened to issue
his own preliminary refund plan to give the negotiations a jolt.
Wagner said he dropped the threat after it served its purpose and to avoid
jeopardizing a deal before Monday, when the clock runs out on the 15-day
settlement conference ordered by the Federal Energy Regulatory Commission.
Oregon and Washington are among the parties at the meeting, which is aimed at
discharging financial and legal claims spawned by California's power
deregulation fiasco and the staggering wholesale electricity prices it
exported.
Huge sums are at stake.
California officials have demanded $8.9 billion in refunds for the year ended
in May, and some have put overcharges elsewhere across the 10 other states
connected to the Western power grid at as much as $6 billion.
Power suppliers such as Reliant Energy, Mirant, Dynegy, Enron and Duke Energy
dismiss charges of price gouging and counter that they haven't been paid for
billions of dollars worth of electricity sales into California.
Caught in a complicated middle ground are such Northwest utilities as
Portland General Electric, PacifiCorp, Puget Sound Energy, Avista Utilities,
Idaho Power, plus the Bonneville Power Administration and many consumer-owned
utilities.
In some cases, those utilities acted on both sides of the high- flying
wholesale power markets of the past year, benefiting from the extreme prices
when they sold electricity and paying a hefty premium when they were buyers.
How they might fare in a settlement is far from clear, and results might vary
greatly from utility to utility, said Bob Jenks, executive director of the
Oregon Citizens' Utility Board, a ratepayer advocacy group.
"For consumers in Oregon, it goes both directions," Jenks said. "If refunds
are ordered, some customers may see benefits from that, and a credit on their
bill. Other customers may see a charge on their bill."
He said PGE, for instance, made enough money off power sales last year to
withdraw a proposed 17 percent rate increase. Meanwhile, PacifiCorp was
forced to buy heavily into the wholesale market after its Hunter power plant
in Utah suffered a five-month generator failure. The utility wants a 15
percent rate hike starting Aug. 1.
Participants in the talks are under order to keep details confidential, but
Wagner on Friday shed light on a few areas:
* He said separate settlement offers were being prepared for his review by
Pacific Northwest parties and by utilities from outside California, but he
declined to clarify which utilities or states were behind each offer.
"There are so many parties in it, it's hard to keep them all in my head," the
judge said, explaining that some parties were represented in both offers.
* He described as "encouraging" statements by California Gov. Gray Davis that
the state might reduce its demand for refunds if power suppliers agreed to
renegotiate $43 billion in long-term power sales contracts with power
providers in the state.
Davis seemed to suggest for the first time Wednesday that renegotiating terms
of those contracts could be a way to deal with California's refund claim.
"We've offered various ways in which people could get us $8.9 billion," Davis
told the San Jose Mercury News in California on Wednesday. "You can
renegotiate our existing contracts and save us money. However you want to do
it, it's just got to net out close to $8.9 billion."
On Friday, however, Davis' chief representative at the conference stressed
that the state wasn't budging from its refund demand going into the talks.
"We came here saying we wanted $8.9 billion and we would justify the numbers,
and we want $8.9 billion," said Michael Kahn, chairman of agency that runs
California's power grid. "We have justified the numbers at every turn."
Kahn seemed to echo Wagner's optimism about the discussions, saying the judge
was doing "everything in his power" to reach a deal.
The settlement talks began June 25 at the insistence of FERC, which days
before ordered a broad expansion of market-based price controls across the 10
Western states that took collateral damage in the California-induced crisis.
Wagner said he had no plans to extend Monday's deadline. If no settlement is
reached, he is instructed to recommend one to FERC. That's one reason why he
considered putting out his own preliminary refund plan.
"It was just to put folks on notice that if they didn't settle, that this
might occur," Wagner said.
You can reach Tom Detzel at 503-294-7604 or by e-mail at
tom.detzel@newhouse.com.

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

Opinion
Sustainability isn't simple

07/07/2001
The Seattle Times
Fourth
B5
(Copyright 2001)

TWENTY-SEVEN wind turbines set to produce "green" electricity for 4,300 homes
have been stopped dead by a law to protect endangered species.
Who said sustainability was simple?
The species being so expensively saved is the Washington ground squirrel,
Spermophilus washingtoni. Gray with white spots, it is 5 to 7 inches long,
with a short, black-tipped tail and hints of red about the nose. It burrows
among the sagebrush along the Washington-Oregon border east of the bend in
the Columbia River.
Hardly a Goliath, the squirrel is asleep seven months of the year. In Oregon,
it lives only in three counties, and the state has listed it as endangered.
The machines it stops are 21st-century versions of the old Dutch windmill.
Made of steel alloys and guided by computers, they sip no oil or natural gas
and emit no carbon dioxide or sulfur dioxide.
Their fuel is free, though the power they generate is not because the
machines themselves are so expensive. They generate power at about $50 per
megawatt-hour--double the price of the late 1990s, but a nice price today.
The Stateline Wind Farm was to have created electricity for 70,000 homes. The
squirrel reduces that to 65,700. Presumably, the difference is to be made up
from Dynegy, Enron, B.C. Hydro or one of the other scalpers who now sell
power.
Do not curse the squirrel. Just be thankful it is not yet listed in
Washington.

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

NEWS
Campaign funds will pay for spots
Robert Salladay
Chronicle Sacramento Bureau

07/07/2001
The San Francisco Chronicle
FINAL
A.6
(Copyright 2001)

Gov. Gray Davis will begin a series of radio ads next week defending his
handling of the energy crisis -- further proof that political campaigning has
become a permanent sport.
Davis political adviser Garry South said the ads are designed to fill an
"information void" among Californians about what the state has accomplished.
But they are playing statewide just as millions of dollars of TV ads financed
by Republicans and power companies are attacking Davis.
"The campaign season has started early," said Rob Stutzman, a consultant with
the state GOP, which has not been involved with the anti-Davis TV spots
running since June 19.
Davis' 60-second radio spot takes the form of an "energy update," where the
governor informs listeners that "we" have licensed 16 new power plants,
including three Davis opened this month, and that "conservation is the best
way to fight back against high energy prices."
Davis' ads convey the same information as a series of state- financed "Flex
Your Power" ads run by the Department of Consumer Affairs, only those ads
don't mention Davis. Davis' campaign fund, worth well above $25 million, is
paying for the $150,000-per-week radio spots to avoid accusations he is using
state money to finance his political ambitions.
South dismissed the notion that the radio ads came in response to the TV ads
that make Davis a target, saying the governor's poll numbers are actually
going up. He said people laughed at the ads attacking the governor as
ridiculous, particularly one showing Davis in Red Square.
"One of the reasons we chose this ('energy update') tack," South said, "is
that people simply are not in the mood to have some full- out firefight and
some partisan battle about this problem. They are in a just-the-facts-ma'am
mood."
Stutzman said he didn't disagree with South about the ill-timed and partisan
nature of the TV ads, which are financed out of Washington, D.C., but he said
the governor is also launching a political firefight of his own.
"These ads, even though the the first iteration of them sound like public
service ads, very much are political ads," Stutzman said. "The reason they
may be poor political ads is they use the governor's voice, and I don't think
he has any credibility on this issue."
Davis already has updated his 2002 campaign Web site, www.gray- davis.com,
which includes an odd-looking caricature of the governor and a photo of Davis
standing with actor Martin Sheen, who plays a president on the TV show "The
West Wing." The Sheen photo dominates the home page.
"What we're trying to do with the Web site is have a little fun with it,"
said South, who declined to say whether Davis would run against President
Bush in 2004.
Last month, a conservative group with links to Republicans and energy
companies began running a series of ads blaming Davis for the energy crisis
and saying the state was suffering from "Grayouts."
Time magazine reported last month that hundreds of corporations had
contributed to the ads attacking Davis, who has accused Texas firms such as
Reliant Energy of "unconscionable price-gouging."
Reliant, which donated $10,000 to Davis before the energy crisis, has
contributed to the anti-Davis advertising effort, according to Time, and the
American Taxpayers Alliance hopes to raise as much as $25 million to keep the
ads running in California through July.
Scott Reed, a former campaign manager for Bob Dole's failed 1996 presidential
bid, formed the American Taxpayers Alliance in Washington to raise money for
the 30-second ads. He has refused to name his donors, and did not return a
call for comment yesterday.
Even though the 2002 elections are more than a year away, Republicans are
worried they are losing ground in Congress on Bush's energy policy, and
Davis' popularity has slipped somewhat in the polls.
But the ads mounted by both sides also are designed to change public policy.
Davis recently hired former Clinton-Gore campaign and White House strategists
Chris Lehane and Mark Fabiani, and Davis' public presence and political pull
dramatically increased.
Another conservative group, the 21st Century Energy Project, will begin
running TV ads next week in Washington to promote expansion of the energy
supply, more drilling and nuclear energy.
The $500,000, two-week advertising purchase is being coordinated by Ed
Gillespie, a former campaign strategist for Bush and a consultant for
Houston's Enron Corp., the world's largest energy trader.
Gillespie said yesterday his group wants to promote a "conservative,
market-oriented message" about energy, to counteract environmental groups
such as the Sierra Club. He said environmentalists aren't addressing the gap
between supply and demand, except through strict conservation.
"We're trying to shape the debate, because it's been pretty one- sided so
far," Gillespie said.

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


Attached are clean and marked versions of our comments to the LOI. We should
have the referenced Tolling Agreement term sheet to you by Wednesday.

Please let me know at your earliest convenience when you will be prepared to
discuss our comments. Thanks much.

Regards,

Ben

-----Original Message-----
From: "Douglas Turner" <dcturner@tecoenergy.com>@ENRON
Sent: Thu 5/24/2001 2:40 PM
To: Jacoby, Ben; Mitro, Fred
Cc: Michael Carlson; Becky Alex
Subject: Draft LOI

Gentlemen,

At the request of Becky Alex, attached for your review is a draft of a Letter
of Intent relating to the Midway project located in Central Florida.   Please
respond with questions or comments to Becky at 813-228-1107.

Cordially,
Doug Turner

 - Enron LOI.v1.522.doc <<Enron LOI.v1.522.doc>>


_________________________________________________________________

WEEKEND SYSTEMS AVAILABILITY

FOR

2/1/2002 5:00:00 PM through 2/4/2002 12:00:00 AM
_________________________________________________________________

Impact:   Corp
Time:   Sat 2/2/2002 5:30:00 PM CT thru Sat 2/2/2002 7:30:00 PM CT
	Sat 2/2/2002 3:30:00 PM PT thru Sat 2/2/2002 5:30:00 PM PT
	Sat 2/2/2002 11:30:00 PM London thru Sun 2/3/2002 1:30:00 AM London
Outage:   Maintenance of NAHOU-SQUFY04S & 05S
Environments Impacted:   Estate Unify Production.
Purpose:   Preventive maintenance on two cluster member servers.
Backout:   None
Contact(s):   Skinner, Tony  713-345-9334
	Jordan, Mark  713-286-5308
	Warner, John  713-345-1756

Impact:   EES
Time:   Fri 2/1/2002 3:00:00 PM CT thru Fri 2/1/2002 11:00:00 PM CT
	Fri 2/1/2002 1:00:00 PM PT thru Fri 2/1/2002 9:00:00 PM PT
	Fri 2/1/2002 9:00:00 PM London thru Sat 2/2/2002 5:00:00 AM London
Outage:   Upgrade EESHOU-DBRGS from NT 40 to W2K server
Environments Impacted:   SQL database
Purpose:   Server needs to be upgraded to windows 2000 and SQL 2000 to meet corp standards
Backout:   Restore original configuration from tape backup
Contact(s):   Nguyen, James  713-345-6137

Impact:   Corp
Time:   Thur 1/31/2002 5:00:00 PM CT thru Fri 2/1/2002 7:00:00 AM CT
	Thur 1/31/2002 3:00:00 PM PT thru Fri 2/1/2002 5:00:00 AM PT
	Thur 1/31/2002 11:00:00 PM London thru Fri 2/1/2002 1:00:00 PM London
Outage:   Replace disk on Envision
Environments Impacted:   Corporate-wide applications accessing the Envision web query, FileNet Panagon IDM Desktop, FileNet IDM for R3, Panagon Capture professional. Users will be able to access IBuyit and IPayit from SAP but will not be able to view invoices.
Purpose:   Maintenance is needed to repair bad disk
Backout:   None
Contact(s):   Vollmer, Mary  713-853-3381
	Rye, Gregory  713-345-3022

Impact:   Corp
Time:   Sat 2/2/2002 6:00:00 AM CT thru Sat 2/2/2002 9:00:00 AM CT
	Sat 2/2/2002 4:00:00 AM PT thru Sat 2/2/2002 7:00:00 AM PT
	Sat 2/2/2002 12:00:00 PM London thru Sat 2/2/2002 3:00:00 PM London
Outage:   Reindex Envision database
Environments Impacted:   Corporate-wide applications accessing the Envision web query, FileNet Panagon IDM Desktop, FileNet IDM for R3, Panagon Capture professional. Users will be able to access IBuyit and IPayit from SAP but will not be able to view invoices.
Purpose:   Maintenance needed to correct performance issues
Backout:   None
Contact(s):   Vollmer, Mary  713-853-3381
	Rye, Gregory  713-345-3022


System Outage Notification
Outage Description:
PR2 is unavailable due to system issues.
Outage Implication:
No access during outage.

Date & Time of Outage:
	Outage Commences:  March 4,2002 11:30:00 AM CST
	Outage Ends:  January 31,2003 12:00:00 PM CST
Contacts:
Contact:	Contact Information:
ISC Customer Care 	713-345-4727


[IMAGE]

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Please take a few minutes to complete this confidential travel survey, as your input is important and vital to the success of the overall travel program for Enron.

Thank you,
Global Strategic Sourcing

http://etcsurvey.corp.enron.com/wi/p0714726/i.asp?r=6377&s=VPHUONFN&l=9

Experiencing technical problems?  If this link does not automatically launch the questionnaire:
1.  Launch by copying the link above into your browser, or
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3.  Please do not forward this link to anyone else, as the responses should remain confidential.


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Joseph,

Have you been able to confirm a meeting for me on Friday AM, 11 May in your
offices in San Francisco with Jeff Dasovich and Sandi McCubbin.  I would like
to discuss with them our west coast LNG concepts and get their input
regarding regulatory and legislative issues that we should consider.

Thanks,

Kurt Lindahl


Larry, I noticed this picture on your desk, so I thought I'd forward the
message...

 <A HREF="http://www.shockeys.com/friends/mylife.htm">My Life is in Your Hands
</A>

http://www.shockeys.com/friends/mylife.htm


Celebrate  "500"  Master SWAP Agreements !!

    When:   Wednesday, March 7th

    Time:   6:00 - 8:00 p.m.

    Place: Cadillac Bar -- Party Shack room
      1802 Shepherd Drive
      (713) 862-2020

    Please R.S.V.P. by 5 p.m. Monday.


Joke, huh?


Rick and David,

Also give me your analysis wherein the Counterparty receivable financing is more generic, without specific references to contracts but a global reference to receivables in connection with a product type, and assume representations by Counterparty to Bank that do not include setoff rights as any type of "permitted encumbrance or charge."  Would the Bank still be put on reasonable inquiry vis a vis the Enron position?

 -----Original Message-----
From: 	Cook, Mary
Sent:	Monday, October 15, 2001 9:53 AM
To:	Taylor, Mark E (Legal); 'rantonof@cwt.com'; 'dmitchel@cwt.com'
Cc:	Shackleton, Sara
Subject:	Setoff and ISDA Section 7(b) Transfer Provision; Comments on New Draft of Master Netting

Item 1.  Please refer to Section 7, particularly 7(b), of the ISDA form regarding transfer of receivables and the following setoff language from our schedule.

(g)	Setoff.  (A) Upon the designation or deemed designation of an Early Termination Date the Non-defaulting Party or the non-Affected Party (in either case, "X") may, at its option and in its discretion, setoff, against any amounts Owed to the Defaulting Party or Affected Party (in either case, "Y") in Dollars or any other currency by X or any Affiliate of X under this Agreement or under any other agreement(s), instrument(s) or undertaking(s), any amounts Owed in Dollars or any other currency by Y to X or any of X's Affiliates (irrespective of place of payment or booking office of the obligation) under this Agreement or under any other agreement(s), instrument(s) or undertaking(s).  The obligations of Y and X under this Agreement in respect of such amounts shall be deemed satisfied and discharged to the extent of any such setoff exercised by X and/or X's Affiliates.  X will give Y notice of any setoff effected under this Section as soon as practicable after the setoff is effected provided that failure to give such notice shall not affect the validity of the setoff.  For purposes of this Section, "Owed" shall mean any amounts owed or otherwise accrued and payable (regardless of whether such amounts have been or could be invoiced) as of the Early Termination Date.
Amounts subject to the setoff permitted in this Section may be converted by X into any currency in which any obligation Owed is denominated at the rate of exchange at which X, acting in a reasonable manner and in good faith, would be able to purchase the relevant amount of the currency being converted.  If an obligation is unascertained, X may in good faith estimate that obligation and setoff in respect of the estimate, subject to the relevant party accounting to the other when the obligation is ascertained.  Nothing in this Section shall be effective to create a charge or other security interest except as may be provided under applicable law.  This setoff provision shall be without limitation and in addition to any right of setoff, netting, offset, combination of accounts, counterclaim, lien or other right to which X or any of X's Affiliates is at any time otherwise entitled (whether by operation of law, contract or otherwise).  Each of the parties represents and acknowledges that the rights set forth in this Section are an integral part of this Agreement between the parties and that without such rights the parties would not be willing to enter into Transactions.  Each of the parties further acknowledges that it is executing this Agreement on behalf of itself as principal and, with respect to this Section, as agent on behalf of its Affiliates, which Affiliates shall receive the benefits of this Section and otherwise be bound as if such Affiliates had directly signed this Agreement as it relates to this Section.
(B) Notwithstanding any provision to the contrary contained in this Agreement, the Non-defaulting Party or non-Affected Party, as the case may be, shall not be required to pay to the Defaulting Party or Affected Party any amount under Section 6(e) until the Non-defaulting Party or non-Affected Party receives confirmation satisfactory to it in its reasonable discretion (which may include an opinion of its counsel) that all other obligations of any kind whatsoever (whether pursuant to Specified Indebtedness as defined herein or otherwise) of the Defaulting Party or Affected Party to make any payments to the Non-defaulting Party or non-Affected Party or any of its Affiliates under this Agreement or under any other agreement(s), instrument(s) or undertaking(s), which are Owed as of the Early Termination Date hereof have been fully and finally satisfied.

The following are three areas of questions.

A.  Should a Counterparty effect an assignment of receivables under Section 7(b) for a financing to Bank, what is Enron's "priority" position (assuming Bank has filed a financing statement)?  Is the analysis below correct?

1.  Bank takes receivable assignment under contract subject to Enron setoff rights because Bank would be held to actual knowledge of the express setoff right in the contract under which it is taking the receivables.

2.  Is there any method by which the Bank can prime Enron (assuming Enron has made no public filings) without Enron's written consent?

B.  Assume a master netting agreement is in place.  I believe our assignment provisions protect us and are more prohibitive than the ISDA; however, we may want to expressly cite assignment of receivables rather than the master agreement and transactions "as security".  Please review and advise of any particular language you think should be added.

C.  Do you have any suggested language that we might add to the form 7(b) provision via our schedule, or is it necessary?   For example, adding at the end of 7(b), ";provided, any such assignment shall be made expressly subject [and subordinate] to this Agreement, including, without limitation, all rights of [ENA] under Section 6 and [reference setoff section]."

Item 2.  Can I get any other comments on the revised draft of master netting agreement?

Cordially,
Mary Cook
Enron North America Corp.
1400 Smith, 38th Floor, Legal
Houston, Texas 77002-7361
(713) 345-7732
(713) 646-3393 (fax)
mary.cook@enron.com


Two Executives Leave Houston-Based Energy Firm's Broadband Arm
Houston Chronicle - Texas, 08/31/01
Utility could raise some rates by 60 percent
Associated Press Newswires, 08/31/01
INDIA PRESS:Fincl Cos Want MSEB To Buy Dabhol Electricity
Dow Jones International News, 08/31/01
India: US and China: Back to courting
Business Line (The Hindu), 08/31/01

Two Executives Leave Houston-Based Energy Firm's Broadband Arm

08/31/2001
KRTBN Knight-Ridder Tribune Business News: Houston Chronicle - Texas
Copyright (C) 2001 KRTBN Knight Ridder Tribune Business News; Source: World Reporter (TM)

Two Enron Corp. executives who headed the company's foundering broadband business left Enron to pursue other opportunities, Enron said Thursday.
Ken Rice, 43, chairman and chief executive of Enron Broadband services left, as did Kevin Hannon, 41, chief executive of Enron Global Assets and Services. Hannon had been president and chief operating officer of the broadband unit.
Both men previously had other executive roles at Enron.
Rice had most recently been helping Enron to move its pared-down broadband operation into its wholesale services division. Wall Street has been expecting Rice to leave Enron.
Enron's broadband business suffered as the telecommunications industry melted down. A deal with Blockbuster that fell through earlier this year was also considered a setback.
For the second quarter, broadband reported a $102 million operating loss, compared with an $8 million operating loss for the same quarter a year ago.
When Enron reported second-quarter results in July, it said it would significantly reduce spending in broadband "to match the reduced revenue opportunities currently available."
The elimination of up to 250 broadband jobs in April preceded the announcement.
The two departures follow Jeff Skilling's surprise announcement about two weeks ago that he was stepping down as Enron's chief executive officer for personal and family reasons.

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

Utility could raise some rates by 60 percent

08/31/2001
Associated Press Newswires
Copyright 2001. The Associated Press. All Rights Reserved.

PORTLAND, Ore. (AP) - Nearly 730,000 Portland General Electric customers could see a rate hike of 30 to 60 percent Friday if state regulators approve the increase as expected.
PGE's 637,000 residential customers would see a rate increase of roughly 30 percent, while its 90,000 business customers could face increases of 40 to 60 percent, according to PGE estimates.
"The price increase is completely about power costs," said Peggy Fowler, the utility's president and chief executive officer. "We've tried to hold off as long as we could. But these truly are unprecedented times."
Since late last year, utilities throughout the Northwest have been raising rates by double-digit percentages. PGE avoided the trend by coming out ahead on power trades and deferring some costs.
The utility serves more Oregonians than any other in the state. Most of its customers are in the Willamette Valley.
PGE requested the increases a year ago. If the Oregon Public Utility Commission announces Friday it has approved the request - as is expected - the new rates will take effect Oct. 1.
Customer advocacy groups questioned whether PGE could justify the need for such a large increase.
"They should be looking for ways to cut spending" to offset the rise in power costs, said Bob Jenks, executive director of the Citizens Utility Board.
Julie Brandis, a lobbyist for the 19,000-member Associated Oregon Industries, said PGE should cut payrolls and slash operating budgets before raising its rates.
She said rate increases of up to 60 percent mean thousands of dollars of additional monthly expenses to businesses already struggling to survive.
"It will greatly impact the economy of Oregon," she said.
PGE officials said the rate increases reflect the projected costs of buying and generating electricity from Oct. 1 on.
Power costs beyond what had been anticipated for Jan. 1 through Sept. 30 have been accumulating in a deferred account set up by regulators. The company will file another rate request next spring to recover those costs, officials said.
PGE serves customers by generating electricity at utility-owned power plants and by buying power on wholesale markets. The split between company-generated and purchased power is roughly 50-50.
This year, wholesale prices on short-term, or "spot," markets have dropped dramatically, from a high on May 9 of $520 a megawatt hour to Thursday's low of $22.22 a megawatt hour.
The drop hurts PGE, which earlier this year purchased extra supplies of power in anticipation of profitable trades this summer and fall.
PGE residential customers pay about 5.8 cents a kilowatt hour, plus a monthly flat fee of $5.50. Customers use, on average, about 1,000 kilowatts a month.
The increase incorporates a new tiered-rate structure, in which customers pay one rate for the first 225 kilowatt hours and a higher rate for additional energy use.

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

INDIA PRESS:Fincl Cos Want MSEB To Buy Dabhol Electricity

08/31/2001
Dow Jones International News
(Copyright (c) 2001, Dow Jones & Company, Inc.)

NEW DELHI -(Dow Jones)- Indian lenders to U.S.-based Enron Corp.'s (ENE) unit, Dabhol Power Co., are insisting on the resumption of the purchase of power by its sole buyer, the Maharashtra State Electricity Board, from the 740 megawatt first phase of the DPC plant, reports the Economic Times.
The financial institutions, led by the Industrial Development Bank of India (P.IDB), have said that unless phase I of DPC is reactivated the cash flow of DPC won't improve and it will be difficult for the project to find a buyer, according to the report.
The matter was discussed by a committee comprising the financial institutions, MSEB, Central Electricity Authority and India's Ministry of Petroleum. The MSEB has not given any commitment, but has asked the financial institutions to submit a formal proposal in this connection, the report added.
The financial institutions supporting Dabhol have an exposure of over 51.25 billion rupees ($1=INR47.14). Enron has a 65% controlling stake in the Dabhol project.
The DPC's phase I 740 megawatt power plant has been inoperative since May 29 after the MSEB claimed the company's power tariffs were "exorbitant and unaffordable," and stopped drawing electricity. Work on the roughly 95% complete 1,444 megawatt Dabhol phase II was also stopped soon after the dispute began.
The Dabhol-MSEB dispute is before the courts.

Web site: http://www.economictimes.com
-By Himendra Kumar; Dow Jones Newswires; 91-11-461-9426;
himendra.kumar@dowjones.com

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

India: US and China: Back to courting

08/31/2001
Business Line (The Hindu)
Fin. Times Info Ltd-Asia Africa Intel Wire. Business Line (The Hindu) Copyright (C) 2001 Kasturi & Sons Ltd. All Rights Res'd

POLITICALLY hard and unyielding, but economically flexible and alluring.
Those are the defining characteristics of the present Chinese leadership.
Even while welcoming American businessmen with open arms and going out of its way to facilitate their business activities in China, Beijing never hesitated to stand firm against the US when its national interests were involved.
It never allowed its interest in US investment flows to dilute its adherence to its political principles, and it never allowed the frictions in its relations with Washington due to its adherence to its principles to prejudice it in its attitude towards American businessmen. Beijing learnt that what was really important was not the certificate of good governance from American political leaders, but from their businessmen.
The Chinese leadership also learnt many years ago that:
* Political frictions between two capitals do not necessarily deter US businessmen so long as they are assured of the safety of their lives and investments and have a free hand in making profits.
* In a globalising world, business interests are an important component of strategic interests and no US administration, Democratic or Republican, can afford to ignore the views and interests of its businessmen. Ultimately, the compulsions of business interests will prevail over those of ideology and politics.
Dark clouds had gathered over US-China relations ever since Mr George Bush Jr. was elected the US President in November last. A paranoia over what was projected as likely threats to US interests in the Asia-Pacific region due to the fast-emerging Chinese economic and military power was the dominant feature of the campaign speeches, of the debates in Republican circles before the inauguration, and of the actions of the new Administration in its first few months in office.
No other members of the new Administration reflected this paranoia more disturbingly than Mr Donald Rumsfeld, the new Defence Secretary, and to a lesser extent, Ms Condoleezza Rice, the National Security Adviser. China was projected as a strategic competitor and not partner as it had been glorified to be by Mr Bill Clinton, the previous President.
Actions such as the attention to the Dalai Lama when he visited Washington DC and clearance to arms sales to Taiwan in the face of Beijing's opposition were all influenced by the conservative, distrust- China lobby in the Republican Party.
Gen (retd). Colin Powell, Secretary of State, who is more a professional than an ideologue, found himself without adequate voice in policy-making with regard to China in the first few months. It is the ideologues who prevailed.
But things started changing from the day Mr Rumsfeld allegedly issued an order suspending periodic interactions between the armed forces of the US and China, which had been initiated by the Clinton Administration as a confidence-building measure. It was reported that the past President, Mr George Bush Sr, the father of the current incumbent, was shocked by this order and pointed out to Gen Powell and Ms Rice the inadvisability of unnecessarily needling China.
Mr Rumsfeld wriggled out of an embarrassing situation by claiming that his instruction for a case-by-case clearance of future interactions had been misinterpreted by a Pentagon official as suspension of the interactions. It was from that time onwards that one could see Gen Powell playing a more active role in China policy-making and a beginning of a possible diminution in the role of Mr Rumsfeld and Ms Rice. Other influential personalities too joined in strongly deploring the anti-China paranoia being created by the conservative ideologues which, they pointed out, could be counter-productive.
Dr Henry Kissinger, former National Security Adviser and Secretary of State, was one of the strongest critics of this artificially-created paranoia. How can a nation (China) with an annual defence budget of $12 billion pose a threat to a nation (the US) with an annual defence budget of $350 billion, he asked. He pointed out that just because China was modernising its Armed Forces in keeping with its present-day requirements, it could not be perceived as a threat to American interests.
China conducted itself during these difficult months in an exemplary manner. It kept up its strong criticism of the US policies towards Taiwan and Tibet and on espionage flights. It joined hands with Moscow in strongly opposing the missile defence initiative of Mr Bush. It kept up its clandestine supply of missile and missile components to Pakistan. According to American intelligence estimates, as quoted by the Washington Times, 12 consignments have gone by ship and road to Pakistan since Mr Bush Jr assumed office. It did not hesitate to prosecute American nationals/residents of Chinese origin arrested on charges of spying, but let them leave the country after a proforma conviction.
At the same time, it kept reiterating its continued interest in a co-operative relationship with the US and underlining the inevitability of the restoration of the warm vibrations of the past. It stepped up its imports from the US in order to reduce the trade deficit, which is presently unfavourable to Washington. It accelerated negotiations on pending business contracts with US companies. According to the latest Chinese Customs figures, Chinese imports from the US increased 17.9 per cent to $12.5 billion as against only a six per cent increase in exports to the US ($25.02 billion) during the first half of this year.
Beijing reportedly permitted five of its airline companies to buy 36 Boeing-737 aircraft with a combined price tag of $2 billion and the Air China to purchase four Boeing 737-800s.
One could see the benign impact of the pressures on the Administration from professional strategic experts and business interests in the changed language during Gen Powell's visit to Beijing in the last week of July, 2001. After his one- day talks in Beijing with President Jiang Zemin and other Chinese leaders, he said: "We view China as a friend, not as an adversary." He never once used the expression, 'strategic competitor'.
Gen Powell emphasised the Bush Administration's desire to build "constructive, forward-looking relations" with China. "China and the United States have a strong common interest in seeing a stable Asia and a world where economies can thrive and security needs can be met," he added.
He admitted that major differences remained on issues such as Taiwan, China's proliferation of weapons of mass destruction such as its continued supply relationship with Pakistan and human rights, but added that Beijing had agreed to the subjects of proliferation and human rights being further discussed by experts from the two countries before President Bush's visit to China in October.
Thus, one could see that Sino-US relations are on the mend as a result of re-thinking in Washington. Mr Clinton too came to office in January, 1992, with a negative image of China which later on turned into a very positive one, but this transformation took some time to come about. In the case of Mr Bush, it has come about within seven months of his assuming office.
India has valuable lessons to learn from this. Our policy towards the US is perceived by many to be politically malleable, but economically devoid of content. The rapidity with which we welcomed Mr Bush's missile defence initiative, even when the US' closest allies such as the UK preferred to wait and study before reacting, the way we seem to have allowed the positive assessment of the US security experts on Pakistan's Gen Pervez Musharraf to prevail over the negative assessment of our own experts, thereby, creating the Agra embarrassment, show a tendency to let judgments and actions in such matters be influenced by US perceptions.
At the same time, the economic dimension of India's relations with the US has not received the required attention. Even earlier, the analysts of conservative think-tanks close to the Republican Party viewed the economic management of the Government as lackadaisical.
This negative perception seems to have been strengthened by the Enron case. There is, consequently, a danger of the interests of US businessmen in India gradually evaporating.
The country seems to be under an illusion that foreign businessmen will flock to it just because it has a functioning democracy, a modern legal system and a population of one billion. More than this, what is important is their perception that India has a government which manages the economy competently and makes the business atmosphere investor-friendly, for domestic as well as foreign investors. One looks in vain for such a perception.
B. Raman
(The author is a former Additional Secretary, Cabinet Secretariat, Government of India.)

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


-----Original Message-----
From: 	Mims, Patrice L.
Sent:	Tuesday, February 05, 2002 2:35 PM
To:	Mims, Patrice L.
Subject:	RE: Contact Information

Hi Griff,

Here is the contact information for Edison Mission Marketing and Trading and Nicor Gas Company.  I still need to provide info on IdaCorp, but IdaCorp has requested that all credit arrangements be put in place prior to receiving any documentation from UBS.

Thanks for your help.

P.S. Can you let me know when these customers have received the packets?

Edison Mission Marketing and Trading
Christian Hnat
160 Federal Street
Boston, MA 02110
Phone: 617-912-5936
Fax (617) 912-570
email:chnat@edisonmission.com

and Nicor Gas Company

Nicor Gas Company
Beth Hohisel
1844 Ferry Road
Naperville, IL 60563-9600
Phone: 630-983-8676 Ext. 2869
email:bhohise@nicor.com

 -----Original Message-----
From: 	Mims, Patrice L.
Sent:	Monday, February 04, 2002 4:21 PM
To:	Gray, Mary Griff
Subject:	Contact Information

Hey lady,

Here is the contact info for Tenaska and Conoco and also, you can add Tom Donohoe's information to this list, we'll see if we can sneak him in.  II'll also be providing you contact info for IdaCorp and Edison Mission Marketing and Trade tomorrow.

Thanks

Tenaska
Troy Davis
11718 Nicholas Street
Omaha, NE 68154-4413
Fax: 402-758-6200
Phone: 402-758-6768
e-mail: tdavis@tmvgas.com

Conoco
Dennis Cornwell
600 N. Dairy Ashford
Mailstop CH-1081
Houston, Texas 77079
Phone: 281-293-3251
email: Dennis.A.Cornwell @Conoco.com

Nisource, Inc. - TPC Energy USA
Ed Seymour
2603 Augusta
Suite 1400
Houston, Texas 77057
Phone: 713-369-7371
Fax: 713-369-7504
email: eseymour@nisource.com


What about Barry and Eric? This looks good.

regards
Delainey
---------------------- Forwarded by David W Delainey/HOU/ECT on 06/09/2000
06:22 PM ---------------------------

Rob Milnthorp
06/08/2000 09:32 AM
To: David W Delainey/HOU/ECT@ECT
cc:
Subject: Toronto Staffing Update

Dave...a brief update re Toronto. We have moved from 3 employees Jan 1, 2000
to 13 employees. Recent hires are as follows:

1. Scott Gilbert (expat)   Manager  Volume Management
2. Chris Gaffney (from ENA)  Sr Counsel  Legal
3. Garrett Tripp (expat)   Manager  Power Trading
4. Jeff Borg (outside hire)  Director   Origination
5. Steven Leung (from ENA)  Analyst   Origination
6. Dave Ellis (outside hire)  Manager  Volume Management
7. Dan Dorland (UofC grad)  Analyst   Origination
8. Lindsey Huculiak (outside hire) Admin Asst  General
9.Jahnet Theberge (oustside hire) Sr Admin Asst  General
10. Neil Stuchbury (outside hire)  Sr Specialist  Volume Management

As discussed, we have attempted to obtain a good mix of  "Enron DNA" and
outside hires. We are currently in the process of hiring a marketer from Duke
who covers eastern industrials on the gas side (John Guerriero, an engineer,
background is UnionGas) and would like to target a couple of associates from
Houston.

Our national advertising campaign has finished its run and we received in
excess of 350 resumes. We are currently reviewing the resumes and have
scheduled an off-cycle Super Saturday for June 24th in Toronto (Davies, Le
Dain, Kitagawa, Devries, Dadson, McKay and myself will conduct the
interviews).

If you have any questions or concerns, please let me know.

Regards,
Milnthorp


Janet,
	Good to hear from you, what is it that they have you working on there days? Also, what meeting did you get pulled into that would have my name mentioned?

							Chris

 -----Original Message-----
From: 	Peake, Janet
Sent:	Thursday, August 16, 2001 1:46 PM
To:	Stokley, Chris
Subject:	Hello - A blast from the past

Chris - I was in a meeting today and your name came up - in a good way - and I thought I would send a short message to say HELLO.  I heard you are "commuting" to Houston to work every week.  WOW - your commute is worse than mine!!  I was glad to hear that you are still at Enron.
Janet Peake


All applications residing on the R: drive will be temporarily unavailable
from Saturday, June 30, 2001 at 10:30 P.M. (CST) until Sunday July 1, 2001 at
12:30 A.M. (CST) for users logging into the CORP domain serviced by Enron Net
Works.  The outage is needed to perform required system maintenance updates
and increase the storage capacity of the general application servers hosting
the applications managed by the Enron Net Works Distributed Application
Management group.

Any questions or concerns regarding this system outage can be directed to
Chris Jeska (713) 345-7004 or questions may also be directed to
Brian Larkin, Manager, Distributed Application Management (713) 853-6985

The following have been identified as business critical applications that
will be affected by the outage:

Enpower CAPS
Sitara
CMS
Equity trading systems (eqpm directory)
Adaytum
CQG
TMS
PowerMap Europe
PowerDat Europe
MapInfo Professional
Secretariat


are you going to the rodeo tonight?


Spoke with Richard Jordan at SWG this afternoon re: Phoenix ROW and El Paso F/R contracts.

Richard said if the FERC staff recommendation for F/R is accepted, it will leave SWG in the position of needing a "substantial" amount of new transport capacity.

As for Phoenix ROW, they are looking at possibly taking the 8-inch line out of service and conveying it to us for Sun Devil in exchange for transport capacity on the project.  Their ROW varies in  type and width plus some is single use.  If they traded the line segment to us, we could use the existing ROW and just replace the line.

Anyway, I said we would stay in touch with them as things progressed with SD, hoping that things move a little faster now that FERC has given the market some direction.


Got it.  Thanks.  I'll be sending mine around later this afternoon.

Best,
Jeff


REMINDER!!!!

Your are enrolled in the following.

What: Power Marketing
When: May 22 & 23, 2001
Where: EB552
Time: 8am - 5pm (both days)

Note:   If available, please bring a financial calculator with you to class.

Last day to cancel this class is today.

Gracie
3-3985


On June 13th the Commission issued an Order Denying Rehearing of its April 6th Order on creditworthiness requirements for the CAISO.  The Commission rejected requests by the ISO, California Electricity Oversight Board (CEOB) and the California PUC to weaken the creditworthiness provisions as they apply to DWR, PG&E and SCE.  The order is attached. The FERC also denied the Attorney General's motion to intervene -- this is important because only intervenors can appeal the decision to the courts.

Sue Mara
Enron Corp.
Tel: (415) 782-7802
Fax:(415) 782-7854
----- Forwarded by Susan J Mara/NA/Enron on 06/14/2001 11:24 AM -----

	"Jackie Gallagher" <JGallagher@epsa.org> 06/14/2001 07:46 AM 	   To: <acomnes@enron.com>, <bernadette.hawkins@enron.com>, <carin.nersesian@enron.com>, <Christi.L.Nicolay@enron.com>, <donna.fulton@enron.com>, <janelle.scheuer@enron.com>, <jhartso@enron.com>, <john.shelk@enron.com>, <jsteffe@enron.com>, <linda.j.noske@enron.com>, <linda.robertson@enron.com>, <Ray.Alvarez@enron.com>, <richard.shapiro@enron.com>, <sarah.novosel@enron.com>, <SScott3@enron.com>, <Susan.J.Mara@enron.com>, <tom.hoatson@enron.com>  cc:   Subject: Order Denying Rehearing on Creditworthiness

 - ER01-889-004.PDF


Please see attached. Ammendments highlighted in purple.

Aparna Rajaram
Ph: (713) 345-4563
Fax: (713) 853-9476
Aparna.Rajaram@enron.com


------------------------------------------------------------------------------------------------------
W E E K E N D   S Y S T E M S   A V A I L A B I L I T Y

F O R

June 1, 2001 5:00pm through June 4, 2001 12:00am
------------------------------------------------------------------------------------------------------

ECS to ECN Network Interconnection, June 9th 2001

This is a notification that the Enron Corp. I/T Networks team will be connecting the new building network infrastructure located in Enron Center South (ECS) to the existing Enron Center North (ECN) backbone network.  While this activity is not expected to produce a disruption to network services, this notice is designed to alert the organization to our activities.  No network hardware or systems are anticipated to be shutdown.  The actual physical interconnection of the networks will be performed in the EB 34th floor Data Center.

Interconnection activities are scheduled to occur the evening of June 9th 2001 starting from 7:00 p.m.(CT) and completing around 11:00 p.m. (CT). Application testing activities will begin at 11:00 p.m. (CT) once all network testing has completed.

If you have any further questions, please contact Pete Castrejana at 713-410-0642 for more information.

SCHEDULED SYSTEM OUTAGES:

ARDMORE DATA CENTER - FACILITY OPERATIONS: No Scheduled Outages.

AZURIX: No Scheduled Outages.

EB34 DATA CENTER - FACILITY OPERATIONS: No Scheduled Outages.

EDI SERVER: No Scheduled Outages.

ENRON CENTER SOUTH DATA CENTER - FACILITY OPERATIONS: No Scheduled Outages

ENRON NORTH AMERICAN LANS:
Impact:  ENS
Time:  Fri 6/1/2001 at  11:00:00 PM CT thru Fri 6/1/2001 at  11:45:00 PM CT
	Fri 6/1/2001 at    9:00:00 PM PT thru Fri 6/1/2001 at     9:45:00 PM PT
	Sat 6/2/2001 at  5:00:00 AM London thru Sat 6/2/2001 at  5:45:00 AM London
Outage:  Enable routing on new router ecn-34-cor-ccr1
Environments Impacted:  ENS
Purpose: This router will be used to connect to the new building
Backout: remove routing on the router.
Contact(s): 	Scott Shishido    713-853-9780

Impact:  AEP
Time:  Fri 6/1/2001 at  8:00:00 PM CT thru Fri 6/1/2001 at  8:30:00 PM CT
	Fri 6/1/2001 at  6:00:00 PM PT thru Fri 6/1/2001 at  6:30:00 PM PT
	Sat 6/2/2001 at  2:00:00 AM London thru Sat 6/2/2001 at  2:30:00 AM London
Outage:  Shutting off the internal link to 1201 Louisiana
Environments Impacted:  AEP
Purpose: Company occupying that space has been sold.
Backout: None
Contact(s): 	Garhett Clark         713-345-9953
                        Robert Humlicek   713-853-6366   713-406-8293

Impact:  ENS/GCO
Time:  Fri 6/1/2001    thru Wed 7/4/2001
Outage:  HPL migration to AEP
Environments Impacted:  GCO
Purpose: Sites sold
Backout: None
Contact(s): 	Garhett Clark         713-345-9953
		Robert Humlicek   713-853-6366   713-406-8293

FIELD SERVICES:  No Scheduled Outages.

INTERNET:
Impact:  Internet
Time:  Fri 6/1/2001 at  10:30:00 PM CT thru Fri 6/1/2001 at  10:45:00 PM CT
	Fri 6/1/2001 at    8:30:00 PM PT thru Fri 6/1/2001 at     8:45:00 PM PT
	Sat 6/2/2001 at  4:30:00 AM London thru Sat 6/2/2001 at  4:45:00 AM London
Outage:  Reboot Enron.com edge routers
Environments Impacted:  Internet
Purpose: Regular reboot to prevent such problems as memory corruption. Intermettent disruption to last about five minutes.
Backout:
Contact(s): 	John Shupak          713-853-7943
		Bryan Aubuchon    713-345-8446

MESSAGING:
Impact:  Corp Notes
Time:  Fri 6/1/2001 at  9:00:00 PM CT thru Sat 6/2/2001 at  1:00:00 AM CT
	Fri 6/1/2001 at  7:00:00 PM PT thru Fri 6/1/2001 at 11:00:00 PM PT
	Sat 6/2/2001 at  3:00:00 AM London thru Sat 6/2/2001 at  7:00:00 AM London
Outage:  cNotes Server Reboots
Environments Impacted:  All users on any of the mailservers listed below
Purpose: Scheduled @ 2 week interval
Backout: Make sure server comes up.
Contact(s): 	Trey Rhodes  (713) 345-7792

Impact:  EI
Time:  Fri 6/1/2001 at  9:00:00 PM CT thru Sat 6/2/2001 at  1:00:00 AM CT
	Fri 6/1/2001 at  7:00:00 PM PT thru Fri 6/1/2001 at 11:00:00 PM PT
	Sat 6/2/2001 at  3:00:00 AM London thru Sat 6/2/2001 at  7:00:00 AM London
Outage:  EI Notes Server Maintenance
Environments Impacted:  EI Local/Domestic/Foreign Sites
Purpose: Scheduled @ 2 week interval
Backout: N/A
Contact(s): 	David Ricafrente    713-646-7741

MARKET DATA: No Scheduled Outages.

NT: No Scheduled Outages.

OS/2:  No Scheduled Outages.

OTHER SYSTEMS: No Scheduled Outages.

SITARA:  No Scheduled Outages.

SUN/OSS SYSTEM: No Scheduled Outages.

TELEPHONY: No Scheduled Outages

TERMINAL SERVER:  No Scheduled Outages.

UNIFY:  No Scheduled Outages.

-------------------------------------------------------------------------------------------------------------------------------------
								FOR ASSISTANCE

(713) 853-1411   Enron Resolution Center

Specific Help:
Information Risk Management			(713) 853-5536
SAP/ISC                                                                               (713) 345-4727
Unify On-Call 					(713) 284-3757  [Pager]
Sitara On-Call					(713) 288-0101  [Pager]
RUS/GOPS/GeoTools/APRS			(713) 639-9726  [Pager]
OSS/UA4/TARP				(713) 285-3165  [Pager]
CPR						(713) 284-4175  [Pager]
EDI Support 					(713) 327-3893  [Pager]
EES Help Desk					(713)853-9797 OR (888)853-9797
TDS -Trader Decision Support On-Call                    (713) 327-6032 [Pager]


Echota Keller
6443 Smiley Avenue
St. Louis, MO 63139
echota_k23@hotmail.com

To Mr. Ken Lay,

I'm writing to urge you to donate the millions of dollars you made from selling Enron stock before the company declared bankruptcy to funds, such as Enron Employee Transition Fund and REACH, that benefit the company's employees, who lost their retirement savings, and provide relief to low-income consumers in California, who can't afford to pay their energy bills.  Enron and you made millions out of the pocketbooks of California consumers and from the efforts of your employees.

Indeed, while you netted well over a $100 million, many of Enron's employees were financially devastated when the company declared bankruptcy and their retirement plans were wiped out.  And Enron made an astronomical profit during the California energy crisis last year.  As a result, there are thousands of consumers who are unable to pay their basic energy bills and the largest utility in the state is bankrupt.

The New York Times reported that you sold $101 million worth of Enron stock while aggressively urging the company's employees to keep buying it.  Please donate this money to the funds set up to help repair the lives of those Americans hurt by Enron's underhanded dealings.

Sincerely,

Echota Keller


----- Forwarded by Sara Shackleton/HOU/ECT on 07/24/2000 08:42 AM -----

	E*TRADE <customers@etrade.0mm.com>
	06/09/2000 05:46 PM

		 To: Sara Shackleton/HOU/ECT@ECT
		 cc:
		 Subject: Your Step-by-Step Guide to Investing

Dear SARAH:

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Vice President, Service Quality
E*TRADE Securities, Inc.

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These are the latest versions of the EPC LOI and Development Agreement for
the CRRA Fuel Cell Deal. The Development Agreement has been revised since
this distribution to add back into the arbitration provision the stipulation
that the arbitrators selected by the parties need not be neutral. Jeff Ader
had wanted that stipulation deleted, but Richard Sanders objected and said it
should go back in, and I suggested Jeff discuss with Richard. Don't know
where that stands.

More to follow.
----- Forwarded by Barton Clark/HOU/ECT on 09/12/2000 09:51 AM -----

	Brenda Whitehead
	09/08/2000 10:41 AM

		 To: Scott Healy/HOU/ECT@ECT
		 cc: Barton Clark/HOU/ECT@ECT
		 Subject: LOI and Development Agreement re: CRRA

per the request of Bart Clark, please see these attachments: