David Uozumi
New York, NY 10010-5523
duozumi@nyc.rr.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,

David Uozumi


FYI

My trip to Wharton (yes, again).

Vince
---------------------- Forwarded by Vince J Kaminski/HOU/ECT on 11/08/2000
05:17 PM ---------------------------

FAP <FAP@management.wharton.upenn.edu> on 11/08/2000 12:15:10 PM
To:
cc: Weigelt <Weigelt@wharton.upenn.edu>, "'kemallor@wharton.upenn.edu'"
<kemallor@wharton.upenn.edu>, Thomas <Thomas@wharton.upenn.edu>,
"'vkamins@enron.com'" <vkamins@enron.com>
Subject: Enron Tiger Kick Off

Tiger Team Hosts, Faculty, Students and Teaching Assistants:

This is to confirm the date, time and location for the upcoming Tiger Team
Kick-Off.
The Enron project date will be Wed., Dec 6 at VH 210 from 3:00-5:00pm.
The purpose of the Kick-Off Meeting is for the teams, faculty, TA's and
hosts to meet, learn more about the hosting organization and to further
discuss the project.

For hosts who may need a campus map, please see
http://www.upenn.edu/fm/map.html
From the 30th Street train station, it is a quick taxi ride to Spruce St and
37th St.

The Inn at Penn, a new hotel, is one block from campus, if lodging is
necessary.  The phone number there is 215.222.0200.  Please mention you will
be at Penn for business.
The address is :
The Inn at Penn
Sansom Common
3600 Sansom Street
Philadelphia, PA 19104

Hosts, please let me know the names and titles of those representatives who
will be attending the Kick-Off.  Also, let me know if you will need
technology (laptop for ppt or overhead for slides) for presentation
purposes.

If you have any questions, please feel free to contact me.

Sincerely,
Donna Piazze
Program Director
Field Application Project
The Wharton School
Univ. of Pennsylvania
(215) 573-8394
(215) 573-5727 fax
fap@management.wharton.upenn.edu
piazze@wharton.upenn.edu


Max

I am glad you liked the presentation.

I had a look at the tool-kit - I think it is a good brief description of various products.  I did forward your email to Iris Mack and she might be able to provide you further input on that. She is also available as a resource (as a derivatives specialist) to analyze clients risk and provide solutions.

I would be more than happy to discuss any specific client situations you have and what we could offer to them. Would be happy to sit down and discuss more stuff with you if you are interested.

Harry

 -----Original Message-----
From: 	Sell, Maximilian
Sent:	Tuesday, October 16, 2001 11:00 AM
To:	Arora, Harry
Subject:	Option products

Hi Harry,

I heard you speak yesterday at the originator's meeting.  It was rather interesting.  I took the Derivatives 2 course a few weeks ago and they went into the complexities of options trading.  It was cool stuff.  I'd like to know more about options trading and I hope that you can recommend some good sources or books.  I'd appreciate any info you could pass on.

Also, I'm putting together an "Originator's Toolkit" which consists of the various financial products that the originators and mid marketers could offer to customers.  I'm attaching a list of option based products that I have put together so far.  I'd be grateful if you could take a minute, read through it, and let me know if there are any additional option products that I should include.  I want to make sure the toolkit has as many useful products as possible.

Thanks so much,
Max

   << File: Products-Options.doc >>


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You'll receive a second email when your order has shipped.  Some orders may
have separate shipments.

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Ship To:

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6802 Pebble Beach Dr
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Phone: 713 853-7705

Sold To Email: jim.schwieger@enron.com

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Internet Customer Service
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1-800-821-1287


Katie:
Thanks so much for the info.  Do you have the call-in number for the ISO call
today?

Best,
Jeff


Fyi
--------------------------
Sent from my BlackBerry Wireless Handheld (www.BlackBerry.net)

-----Original Message-----
From: Lindholm, Tod A. <Tod.A.Lindholm@ENRON.com>
To: Horton, Stanley <Stanley.Horton2@ENRON.com>; Umanoff, Adam <Adam.Umanoff@ENRON.com>
CC: Hayslett, Rod <Rod.Hayslett@ENRON.com>; Fitch, Gary <Gary.Fitch@ENRON.com>
Sent: Mon Nov 05 14:46:09 2001
Subject: Enron Wind Aviation

Adam / Stan,

I had a follow-up meeting with Gary Fitch regarding Enron Wind's aviation.  Gray indicated the following:

*	Aviation budget number look comparable to operator standards (approx. $1,900 / hour, 600 hour estimate)
*	The plane has a market value of $1.8 - $2.0 million and a book value of $2.2 million
*	Turbo prop charters for trips to Tehachapi would run in excess of $1,100 / hour and may be limited as there are only two qualified operators
*	The Cessna is the only jet suitable for use to Tehachapi based on runway length and altitude
*	Gary will make a site visit before the end of the year

Assuming that of the budgeted 600 hours of operation, only 400 hours would require charter, the cost of charter would approach $0.5 million of the total budget of $1.2 million.  This plus the flexibility of using the plan on longer hauls (e.g., to Houston) make it economically justified.

My recommendation is that based on the current situation, we retain the aircraft.

Tod


One more try

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MORE BUSINESS NEWS    TECHNOLOGY Homestore Fights for Life as Bad News Piles Up  Homestore.com tells a tale of Internet glory that vanished overnight.   Quiet, Please. This Is a Library After All.  A modernized library presents Lincoln Center with acoustical problems of a new sort: noise.   Hard Times Prompt an Entrepreneurial Itch  A Silicon Valley publicist did what an increasing number of senior managers uncertain of   their job prospects are doing: He set   himself up at his own company.     MORE TECHNOLOGY NEWS    POLITICS Powell Asks Bush to Reverse Stand on War Captives  The secretary of state has asked the president to declare that captives from the war on terror are entitled to protection under the Geneva Convention.   Poll Finds Enron's Taint Clings More to G.O.P. Than Democrats  Suspicions are growing that the Bush administration is hiding something or lying about its dealings with Enron, the latest New York Times/CBS Poll shows.   South Dakota Takes Center Stage in Political Wars  South Dakota has become the unlikely first battleground in a war of political superpowers.     MORE POLITICS NEWS    SPORTS An Amazing Victory for the Knicks  Overcoming hot 3-point shooting by Milwaukee and their own confounding penchant for critical errors, the Knicks outlasted the Bucks in double overtime.   Johansson Upsets Safin to Win His First Major  Sweden's Thomas Johansson won his first Grand Slam title with a 3-6, 6-4, 6-4, 7-6 (4) victory over Russia's Marat Safin in the men's final of the Australian Open.   Texas Tech Trips No. 6 Oklahoma  Andre Emmett had 26 points and 10 rebounds as Texas Tech upset No. 6 Oklahoma.     MORE SPORTS NEWS    ARTS To Be Alicia Keys: Young, Gifted and in Control  Alicia Keys's songs plunge into the unsettled domain of female identity in the hip-hop era,   determined to work their way through conflicting imperatives.   At 81, Dancing With New Partners  Anna Halprin collaborates with the Japanese-born Koma and his wife Eiko in "Be With," an   emotional movement-puzzle that spills its pieces on the floor to be reassembled anew.   When Japan Tried On the Modernist Mantle  An exhibit at the Honolulu  Academy of Arts looks at a heady period in Japan's long history of borrowing from, and refining, Western culture.     MORE ARTS NEWS    NY REGION Budget Pinch Greets New Governor in Trenton  Now that the realities of the recession have come back to haunt New Jersey lawmakers, the state is left with one of the nation's most acute budget problems.   What's in an Economic Forum? Visitors, Police and Protests  New Yorkers might not care about the coming World Economic Forum, but there is good reason to pay attention.   60 Firefighters Who Died on Sept. 11 Were Off Duty  A review of the 343 cases in which firefighters lost their lives on Sept. 11 found that 60 were off duty when they rushed to the twin towers.     MORE NY REGION NEWS    OP-ED  Planet of the Privileged   By MAUREEN DOWD  On Planet Enron, the atmosphere was so rarefied that its inhabitants were blissfully oblivious to how privileged they were.   The 2 Domes of Belgium   By THOMAS L. FRIEDMAN  Who were the killer pilots who went beyond passive support on Sept. 11 to become suicidal mass murderers?   The Trouble With Bubbles   By EDWARD CHANCELLOR  Enron's collapse can be seen as representative of the greatest speculative mania in the history of the world.     MORE OP-ED  NEWS    About This E-Mail You received these headlines because you requested The New York Times Direct e-mail service. 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TASK ASSIGNMENT

Status:		completed

Task Priority:
Task Due On:		2/14/2000
Task Start Date:	2/14/2000


none

 -----Original Message-----
From: 	Webb, Elizabeth
Sent:	Thursday, November 08, 2001 2:49 PM
To:	Lamadrid, Victor; Sullivan, Patti; Kinsey, Lisa; Farmer, Daren J.; Williams, Jason (Trading); Smith, George F.; Driscoll-Ernest, Marde L.; Dinari, Sabra L.; Muzzy, Charles T.
Cc:	Calcagno, Suzanne; Superty, Robert; Saldana, Alex; Jackson, Brandee
Subject:	Logistics Staffing - 11/12/01

Hi All,

Are there any employees that are leaving your group and/or coming to your group during the week of November 12, 2001?    Please let me know by Friday, November 9th at 12 noon.

Thanks,
Elizabeth

Elizabeth Webb
elizabeth.webb@enron.com
713-345-1694


---------------------- Forwarded by Darron C Giron/HOU/ECT on 11/27/2000
10:12 AM ---------------------------

"Clark Mayers" <jcmayers@earthlink.net> on 11/27/2000 10:03:15 AM
Please respond to "Clark Mayers" <jcmayers@earthlink.net>
To: "Sean Mayers" <smmayers@earthlink.net>, "Mike/Christine Richter"
<crich75206@aol.com>, "Mary Fate" <maryfate@planetkc.com>, "Kim
Mayers/Sprint" <Kim.Mayers@mail.sprint.com>, "Frank Frederic"
<fpfred@juno.com>, "Darron Giron" <Darron.C.Giron@enron.com>, "Darnell Moore"
<darnellmo@aol.com>
cc:
Subject: Fw: Have you done the Palm Beach Pokey yet?

?
?
?
http://www.dovewinds.com/dubya/alshokeypokey.html


what about extensions or a weave?  do you think those would look natural?
tell me what i should wear.


Stacey Neuweiler is enrolled in Communicating Effectively

Class Days and Times:
  03/02/2001  01:00:00 PM - 05:00:00 PM
Participant Fee: $300.00

Thank you for your support in providing quality and cost effective
development opportunites at Enron.
Your Company and RC will be charged $300.00

If you have any questions, please call the Development Center Team at
713-853-0357.

Thank you.


Ron and Seabron - thank you for responding so quickly and putting together
such a good product.  I would suggest only the following additions:  I would
mention that the Commission should also require simplified interconnections
and encourage faster certification of generation.  You simply touch on
hedging, I would explain why, given that they had the  opportunity, it would
have been prudent (with a simple example like how going to the spot market
and then asking for a price cap is like day trading your retirement and then
asking for legislation requiring a minimum price or something like that).  I
really like the gas industry discussion.  Seabron, can you verify the 20
loads and 40 gens - that was just a number Tim Belden through out (although
he should know)?  If you send me another version tomorrow, fax it to me at
the Ritz Carlton at Tysons Corner, I'll be in the Consulate Room from 9-11.
After that, call me on my cell phone at 503-807-0929.
---------------------- Forwarded by Mary Hain/HOU/ECT on 09/11/2000 08:55 PM
---------------------------

	Enron Capital & Trade Resources Corp.

	From:  "Ronald Carroll" <rcarroll@bracepatt.com>
09/11/2000 03:57 PM

To: "Andrea Settanni" <asettanni@bracepatt.com>, "Jeffrey Watkiss"
<dwatkiss@bracepatt.com>, "Kimberly Curry" <kcurry@bracepatt.com>, "Nancy
Pickover" <npickover@bracepatt.com>, <Christi.L.Nicolay@enron.com>,
<mary.hain@enron.com>, <smara@enron.com>, <snovose@enron.com>,
<seabron.adamson@frontier-economics.com>
cc:
Subject: Protest ot CalPX Price Cap Filing

The attached is a first draft that I wanted to get out today since it must be
filed tomorrow (Tuesday, Sept. 12).  I have not had a chance to review it so
it may be rough in parts.  Please give me your comments ASAP.  Thanks.

Thanks also to all who contributed to turning this around so quickly.  Ron

 - 0130864.01


Start Date: 1/2/02; HourAhead hour: 14;  No ancillary schedules awarded.  No variances detected.

    LOG MESSAGES:

PARSING FILE -->> O:\Portland\WestDesk\California Scheduling\ISO Final Schedules\2002010214.txt


Ann:
Here is the list of people who were responsible for helping put together the
Info Memo for the Peakers.  Please give me a call if you have any questions.
Thanks
Ben


RadioWallStreet.com Talks Morning Market News

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

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

View complete article at:
http://www.stockselector.com/newsarticle.asp?symbol=BBY&article=31418590

BEST BUY CO INC  26.500

PHILADELPHIA, Dec 12, 2000 (BUSINESS WIRE) -- Today on RadioWallStreet.com,
listen to the latest news on the morning market with RadioWallStreet.com
financial commentator, Ann Sundius, and Signal Report Editor, Bob Brogan.

Today's interview features discussions about Best Buy (NYSE:BBY),
Colga

Other Companies Involved:
CL
DCLK
EMLX
FON
GDT
GM
KFY
MDT
THE

To unsubscribe, please go to
http://www.stockselector.com/modifyportfolio.asp?portnumber=1

, Copyright 1998-99, StockSelector.com


When: Monday, March 19, 2001 1:00 PM-1:30 PM (GMT-06:00) Central Time (US &
Canada).
Where: EB3267

*~*~*~*~*~*~*~*~*~*


Julie ,

Futures Execution Brokers;

Paribas	Louis Caiafa	212-841-3366
	Bill Dowdell	212-590-1251

Fimat	Reid Maurer	212-590-1748

ABN 	Mark Silverman	212-738-6651
		212-590-3054

EDF Man	Brian Cox	212-738-6890
	Matt Mahar	212-590-3484

Tradition	Scott Waldman	212-590-3533

Carr	Mike Hefner	646-658-2970

Options Execution Brokers;

Clarion		(212) 590-1410
CRW		(212) 590-4128
SCS		(212) 590-4080
Capital		(212) 738-6838
Chicago		(212) 590-1676
Energex		(212) 590-1394
HQ		(212) 738-5757
VTM		(212) 590-3911
Paramount		(212) 590-3731
Nova		(212) 738-6610

Enron NYMEX Margin Operations Personal;

Todd Warwick , Account Mrg., Currently is waiting on the new company to be formed can be reached at 713-853-9380
Gerri Gosnell , Staff Member , Currently is waiting on the new company to be formed can be reached at 713-853-4849 or 281-252-9292
Frank Cernosek, Sr. Specialist ,  is currently working for Enron the Estate and can be reached at 713-853-1581

We were paying $3.50 a turn in NYMEX fees to execute and clear futures.

If you need and further information you can contact me at 713-853-9216

Dutch Quigley


Terry-

I can drive my Sequoia to practice and take 6 girls to Baskin Robbins as well.  Between you and me, that should be enough space for all the girls.

Susan

 -----Original Message-----
From: 	"Terry Lester" <TLESTER@firstunion1.com>@ENRON
Sent:	Monday, October 22, 2001 10:59 AM
To:	c4009@aol.com; JAR7133739@aol.com; jpiper5360@aol.com; PG1315@aol.com; tblackden@aol.com; Pereira, Susan W.; Terry Lester; bobgomez@hal-pc.org; pereira@houston.rr.com; tnreese@houston.rr.com; vwilbeck@houston.rr.com; rothfelder@hypercon.com; connollys3@juno.com; tclester@msn.com; angiodad@swbell.net; applej@swbell.net
Subject:	Wed. practice/ice cream

OK .  The girls got their mission accomplished and they will be treated to ice cream during the 2nd half of practice Wed.
I will bring my Suburban and take them to the Baskin and Robbins in the Randall's Shopping Center at Weslayan and Bissonnet. at about 8pm and you can pick them up there at the regular time of 8:30.

If you will notice they are progressing as a team right in line with what we have been teaching them.. They learned a little individual and team defensive tactics for the lst couple of weeks, so they started holding the oppositions scoring down to reasonable levels.  The last couple of weeks we have  been working strengthening their kicks, on finishing and on working crossing passes.  They have improved in all those areas. They gave us as many thrills as the Yankees on Sunday, so they now will get their just desserts.

I am trying to arrange a makeup for next Sun. and will let you know at practice.

Terry Lester


---------------------- Forwarded by Matthew Lenhart/HOU/ECT on 02/13/2001
01:08 PM ---------------------------

Mike Grigsby
01/22/2001 12:08 PM
To: Matthew Lenhart/HOU/ECT@ECT
cc:

Subject: Power Plants

Matt,

Please take a look at these spreadsheets and calc the gas usage by plant and
by pipe in CA.  Chris Foster is telling us that most of these palnts will be
shutting down in the next few weeks due to credit exposure.  Let's discuss
the impact on sendouts.

Thanks,
Grigsby
---------------------- Forwarded by Mike Grigsby/HOU/ECT on 01/22/2001 01:05
PM ---------------------------

	From:  Chris H Foster                           01/18/2001 03:45 PM

To: Mike Grigsby/HOU/ECT@ECT, Phillip K Allen/HOU/ECT@ECT
cc:
Subject: Power Plants

Philip is a list of the gas plants.  CEC list is all plants including QFs and
non QFs (i.e.utility plants and the IPPs - Reliant, SOuthern et al).

Chris


Joshua Doyle
1629 Arapahoe Ave.
Boulder, CO 80302
jidoyle@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,

Joshua Doyle


Bush Adviser Rove Owns Stock in Major U.S. Firms
The Wall Street Journal, 06/04/01

Saudi Arabia Sets Pacts With 9 Oil Firms
The Wall Street Journal, 06/04/01

Saudi Arabia in Pacts With Nine Global Oil Firms Energy: Deals to develop
natural gas fields and other projects, worth at least $25 billion, are first
major foreign funding in sector since 1975.
Los Angeles Times, 06/04/01

Enron is my spiritual teacher
The San Francisco Chronicle, 06/04/01

Gloom today, glut tomorrow
The San Francisco Chronicle, 06/04/01

INDIA: Rating firms may be judging India harshly-analysts.
Reuters English News Service, 06/04/01

INDIA: India rupee ends off lows, fwds close higher.
Reuters English News Service. 06/04/01

UK: Spectron trades UK's first post-NETA spark spread.
Reuters English News Service, 06/04/01

INDIA: Enron India lenders meet in Singapore on Tuesday.
Reuters English News Service, 06/04/01

INDIA: UPDATE 1-India's Prabhu says power reforms enter new phase.
Reuters English News Service, 06/04/01

Nigerian president slams US energy firm Enron for "poor performance"
BBC Monitoring, 06/04/01

India: India and Bush Administration: Beyond assumptions
Business Line (The Hindu), 06/04/01

Enron's Indian Creditors Seek to Salvage Dabhol Project
Bloomberg, 06/04/01

Enron Japan's Hirl on Power Deregulation: Commodity Comment
Bloomberg, 06/04/01

Bush Adviser Rove Owns Stock in Major U.S. Firms
By Jim VandeHei
Staff Reporter of The Wall Street Journal

06/04/2001
The Wall Street Journal
A4
(Copyright (c) 2001, Dow Jones & Company, Inc.)

WASHINGTON -- President Bush's chief political strategist owns hundreds of
thousands of dollars worth of stock in companies potentially affected by the
president's top legislative priorities, newly released federal records show.
Karl Rove, one of the president's most trusted advisers on almost every major
legislative initiative, owns between $100,000 and $250,000 of stock in Enron
Corp., Pfizer Inc., General Electric Co., Boeing Co. and Johnson & Johnson,
among other holdings. (Federal law requires public officials to report their
assets, income and debts in broad ranges only). All of these companies could
be affected by one or more of the policies or legislative initiatives on
which the president consults Mr. Rove: tax cuts, increased defense spending,
an industry-oriented energy policy and health-care reform.
Mr. Rove said yesterday that he has been waiting for several months for
approval from the Office of Government Ethics to sell all of his stock
holdings and roll the proceeds into a diversified account without having to
pay capital-gains taxes, as permitted by federal law. In the meantime, "I
have had to avoid being involved in matters that specifically and materially
affect my specific holdings," Mr. Rove said.
Mr. Rove said he filed his financial disclosure reports Dec. 30 and was later
informed by the Office of Government Ethics that he should sell all of his
stock holdings to avoid even the appearance of a conflict of interest.
But the government ethics office, which couldn't be reached for comment
yesterday, has yet to officially grant Mr. Rove a certificate of divestiture,
which would allow him to roll his proceeds into diversified accounts,
according to White House spokeswoman Anne Womack. It appears that Mr. Rove
has lost tens of thousands of dollars as a result of the delay because most
of his stocks have lost value since the beginning of the year.
Mr. Rove insisted that he has been careful to avoid any discussions that
directly affect companies he is invested in, as federal conflict-of-interest
laws require. But that can't be easy for Mr. Rove, widely regarded as one of
the most powerful and influential figures in the White House. Mr. Rove serves
as the president's top political adviser and runs the administration's
long-term strategy team. He is also the president's top liaison to outside
groups, including corporations.
"He's involved in virtually every decision that is made here," says a White
House aide. It is unclear how many times, if ever, Mr. Rove recused himself
from discussion inside the White House.
President Bush, already under fire from Democrats for his administration's
close ties to industry, is likely to draw more scrutiny as a result of the
new disclosures of financial links between top White House officials and
major U.S. corporations, especially energy firms.
The White House disclosed the personal finances of Mr. Rove and several other
top administration officials at the behest of the media. It appears that as a
result of an administrative backlog, Mr. Rove is the only member of the
senior staff who hasn't been given the green light to sell his stock,
according to a White House aide.
The reports show that Mr. Rove was one of several White House officials with
a financial connection, past or present, with Enron and other energy
companies. Larry Lindsey, the president's top economic adviser who helped
draft the energy plan, received $50,000 from Enron in 2000 for consulting
work he did for the company, the documents show.
Lewis Libby, chief of staff to Vice President Dick Cheney, who was chairman
of the White House task force that wrote the energy plan, recently sold tens
of thousands of dollars of stock in Enron and other energy companies,
including Texaco Inc., Exxon Mobil Corp. and Chesapeake Energy Corp. It is
unclear when the transaction went through.
Clay Johnson, director of presidential personnel, reported holding between
$100,000 and $250,000 in El Paso Energy Partners LP. And National Security
Adviser Condoleezza Rice had $250,000 to $500,000 worth of Chevron Corp.
stock and was paid $60,000 last year for her work as a director at the
company. Mr. Rove disclosed smaller holdings in BP PLC and Royal Dutch/Shell
Group.

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

International
Saudi Arabia Sets Pacts With 9 Oil Firms

06/04/2001
The Wall Street Journal
A17
(Copyright (c) 2001, Dow Jones & Company, Inc.)

JEDDAH, Saudi Arabia (AP) -- Saudi Arabia signed agreements with nine oil
companies yesterday, a move that marks the first major foreign investment in
its energy sector since the industry was nationalized in the 1970s.
The expected deal, valued at $25 billion at least, involves the development
of three natural-gas fields in the kingdom, as well as a number of related
power plants, transmission pipelines and water-desalinization projects.
Exxon Mobil Corp., the world's largest publicly traded oil company, is the
lead manager on two of the projects, including the $15 billion Ghawar Core
Venture 1 project. It also will lead the Red Sea Coast Core Venture 2
project. Royal Dutch/Shell Group was chosen to lead the Shaybah Core Venture
3 project.
The Western companies will help Saudi Arabia convert its utilities from oil
burning to natural gas, which would free up more of the kingdom's crude oil
for export.
The other companies selected were BP PLC, TotalFinaElf SA, Conoco Inc.,
Phillips Petroleum Co., Occidental Petroleum Corp., Enron Corp. and Marathon
Oil Canada Inc.
Saudi Arabia's state-owned energy company, Saudi Aramco, will be an equity
owner in the projects.
Saudi Arabia nationalized its oil fields in 1975 after tension caused by the
Arab oil embargo against the West that began two years earlier, and it closed
its energy exploration and production sectors to foreign investment.
Although locked out of the production of energy, Exxon Mobil has $5 billion
in refining and petrochemical joint ventures in the country, and it said it
is also the largest foreign purchaser of crude oil and other hydrocarbons
from Saudi Aramco.

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

Business; Financial Desk
Saudi Arabia in Pacts With Nine Global Oil Firms Energy: Deals to develop
natural gas fields and other projects, worth at least $25 billion, are first
major foreign funding in sector since 1975.
From Associated Press

06/04/2001
Los Angeles Times
Home Edition
C-2
Copyright 2001 / The Times Mirror Company

JIDDAH, Saudi Arabia -- Saudi Arabia signed agreements with nine
international oil companies Sunday, a move that marks the first major foreign
investment in its energy sector since nationalizing the industry in 1975.
The deals, worth a total of $25 billion or more, involve the development of
three natural gas fields in the kingdom and a number of related power plants,
transmission pipelines and water desalinization projects.
The Western companies will help Saudi Arabia convert its utilities from
oil-burning to natural gas, which would free up more of the kingdom's crude
oil for export.
Exxon Mobil Corp., the world's largest publicly traded oil company, is the
lead manager on two of the projects, including the $12-billion-to-$16-billion
Ghawar Core Venture 1 project. It also will lead a second core project. Royal
Dutch/Shell was chosen to lead a third project. The last two projects have a
value of $7 billion to $10 billion each, Prince Saud al Faisal told
reporters.
The other companies selected were BP of Britain, TotalFinaElf of France,
Conoco Inc. of Houston, Phillips Petroleum Co. of Bartlesville, Okla.,
Occidental Petroleum Corp. of Los Angeles, Enron Corp. of Houston and
Marathon Oil Co. of Houston.
Harry Longwell, director and senior vice president at Exxon Mobil, said the
financial terms of the deal are still being discussed. But he said his
company is ready to begin the work when the final contracts are signed.
"The Saudis' expectations are extremely aggressive," Longwell said. "It's a
very tight schedule and in recognition of that, the ability to get this done
is one of the key reasons we were chosen to lead two of these ventures. We
already have a senior management team in place and are ready to go to work
immediately."
Saudi Oil Minister Ali Ibrahim Naimi said the companies are expected to
profit on returns from the exploration and development of gas fields with
more than 15% of the investment cost.
Saudi Arabia's state-owned energy company, Saudi Aramco, will be an equity
owner in the projects.
Saud said if the companies discover oil, they will be compensated and the
fields will be repossessed by Saudi Arabia.
Saudi Arabia nationalized its oil fields in 1975 and closed its energy
exploration and production sectors to foreign investment.
Although locked out of the production of energy, Irving, Texas-based Exxon
Mobil has $5 billion in refining and petrochemical joint ventures in the
country and is the largest foreign purchaser of crude oil and other
hydrocarbons from Saudi Aramco.

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

DAILY DATEBOOK
JON CARROLL
Enron is my spiritual teacher
Jon Carroll

06/04/2001
The San Francisco Chronicle
FINAL
E.10
(Copyright 2001)

THE BUDDHA SAYS that we take wisdom where we find it. Perhaps the Buddha does
not say that, but it's not a bad idea anyway. The Buddha would have said it,
maybe, had he not been saying the other things.
Our enemies can teach us lessons. Our adversaries can make us stronger. They
can be consumed with greed and contempt, their very breath can be toxic, and
yet their actions can open upward-flowing paths.
Take Enron, the energy company, or Chevron, another energy company, or El
Paso Natural Gas, yet another energy company. These organizations are the
minions of Satan. They pillage and they profit. They are in the ascendant.
Their enemies fall before them like cordwood. Ordinary citizens cower and
meekly hand over tribute.
And yet we thank them. We send our investigators after them and we pray that
their executives land in jail, but we thank them. They have shown us the
nature of our enslavement. They have defined the nature of our sloth.
We have believed the Big Lie. We have believed in the free lunch. We have
trusted those who would pander to us. We have eaten energy in great dripping
gobs. Did we know it was not infinitely renewable? Oh yes. Did we understand
that energy companies could create "shortages" whenever they wanted merely by
closing plants for "maintenance"? You bet we did. And did we confuse the
energy companies with charitable organizations and/or alchemists able to
repeal the laws of nature? We did not.
But it was more convenient to forget those things, and so we did. We have
busy lives. We must do the things we must do. The infrastructure is
everywhere crumbling, and we are patching it up ourselves. We are paying
bureaucrats with taxes, but the bureaucrats are inadequate, so now the spirit
of volunteerism is much praised.
Volunteers are people who do jobs that other people are being paid to do but
don't.
AND SOMEHOW, EVEN in a society as relentlessly materialistic as this one, we
forgot about our own checking accounts. Already seduced by the idea that
credit card debt is good clean fun, we decided to waste a lot of money using
energy we didn't need.
I'm not talking about using a washing machine instead of going down to the
river and beating your clothes with small stones -- I'm talking about washing
machines with quarter-full loads and settings far too powerful for the task
at hand. Right? Lights burning in unoccupied rooms. Appliances plugged in but
never used.
We pay for it. We send our wonderful money straight to the largest villains
in American commerce because we are too stupid to do anything else. You
wonder why they have contempt for us. You wonder why Dick Cheney believes he
can fool all of the people all of the time. Because he has.
Look: Last week the secretary of commerce suggested means-testing Social
Security -- that is, means-testing a pension plan. You gave us the money, we
kept it for 40 years, now -- prove that you need it!
Why did he suggest that? Because he can! Why did PG&E demand additional
compensation for its executives, who are moral dimbulbs and social criminals
under any fair definition? Because they can get away with it! They will get
away with it! You watch!
I AM NOT saying that we have no one to blame but ourselves. There are active
villains, and there are people who allow villainy to occur. Everyone in a
corrupt system is corrupt. The fools are the ones who don't end up with any
extra money.
We are the fools. If we understand our foolishness, we begin to be wise. We
send lovely bread-and-butter notes to Enron -- once we were blind, but now we
see. And we await developments, or create them.
--------------------------------------------------------
It would be foolish to mention SUVs. When the brain is ready, the ear will
hear.

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

EDITORIAL
WASHINGTON INSIGHT
Gloom today, glut tomorrow
Carolyn Lochhead

06/04/2001
The San Francisco Chronicle
FINAL
A.19
(Copyright 2001)

WHAT GOES UP usually comes down. And few industries are more prone to boom
and bust than energy.
Imagine the news stories a few years from now: "Crisis hangover -- energy
stocks sink as prices plunge; But California consumers still stuck with high
bills."
"The energy industry is suffering its worst downturn since the supply glut of
the 1990s, as dozens of big new power plants come on line, and the
just-completed Alaskan gas pipeline sends natural gas prices to their lowest
levels in six years.
"The one bright spot for Texas generators is California, where consumers are
locked into long-term contracts for wholesale electricity that the state
signed at the peak of its blackouts in the summer of 2001.
"Sacramento lawmakers have appealed to President Daschle to help get the
state off the hook, arguing that California will never claw its way out of
its economic slump if businesses continue to flee to states where energy is
cheap.
"But top Enron lobbyist Gray Davis, a former governor of California, warned
Daschle that suppliers would have little choice but to go to court to enforce
the contracts the state signed."
Washington and Sacramento are agog with the energy crisis and bursting at the
seams with plans to fix it. But the one thing no one - - even
environmentalists -- suggests is letting high energy prices discourage energy
consumption or encourage new supplies.
"To economists, letting the price rise is the solution," said Paul Portney,
president of Resources for the Future, a Washington think tank. "To elected
representatives, having the price go up is the problem."
Political memories tend to be selective and short. But it was the energy glut
of the 1990s that contributed to California's blackouts, $3 gasoline and
$400-a-month heating bills. Likewise, high prices are now laying the seeds of
their own destruction.
As a story in the New York Times noted, an energy investment boom "promises a
cyclical increase in supplies that is expected to stabilize or reduce prices
in coming months, many industry executives and private analysts say."
Through much of the 1990s, there was a glut of energy. Fuel of all kinds was
really cheap.
How cheap? Adjusted for inflation, as cheap as in 1949, economists calculate.
Energy is the oxygen of the economy, and rock-bottom prices contributed to
the long economic boom. But low prices also caused energy production to slump
and consumption to soar.
People ditched their economy cars for SUVs. Houses got bigger, ceilings got
higher and kitchens sprouted industrial stoves with enough BTUs to melt
aluminum. Stores, offices and homes turned into summertime refrigerators.
Low prices discouraged energy development.
"Oil was so cheap for so long, that people were selling their refineries,"
Portney said. "You had virtually no exploration for new natural gas when
prices were at $2 a BTU."
As demand soared and supply fell, prices rose. Profits have grown so robust
that green fuels, such as biomass and wind, are becoming economically viable.
The oil industry is booming. Refineries are expanding. The long-delayed
construction of a natural gas pipeline from Alaska now looks likely. So many
power plants are under construction that the market may be flooded with as
much as 200,000 new megawatts by 2004.
Investments in energy efficiency -- from new-age superconducting transmission
wires to better light bulbs -- are suddenly looking attractive for the first
time in decades.
"High prices will dampen demand, high prices will encourage supply, and will
encourage people to make better use of what they've got," said Robert Ebel,
director of energy for the Center for Strategic and International Studies.
"So we're starting on the down slope. We're not very far down. When prices
start to decline, I can't say how far they will go. But they will decline,
because that's just the law of supply and demand. Prices decline, demand
starts to creep up again, there's less incentive to add to supply, and here
we go again."

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

INDIA: Rating firms may be judging India harshly-analysts.
By Vidya Ranganathan

06/04/2001
Reuters English News Service
(C) Reuters Limited 2001.

BOMBAY, June 4 (Reuters) - Analysts have reacted with surprise to last week's
decision of ratings agency Fitch to cut India's sovereign ratings outlook to
negative from stable, and say there are no grounds to downgrade the country.
Fitch, which rates India's foreign currency obligations at BB-plus, a notch
above Moody's Investors Service and Standard & Poor's, cited concerns about
fiscal policy, privatisation and deterioration in foreign investment climate.
However, economists speculated it could either be on account of Fitch
adjusting its ratings in line with other global agencies, or a fallout of
U.S. energy giant Enron Corp's threat to exit an Indian power venture over
payments problems.
Moody's and S&P said on Friday they have not revised ratings or outlook but
are disappointed with fiscal reform efforts.
Local currency and stock markets reacted nervously to the announcement, but
economists said most concerns were exaggerated.
"When the direction of reforms is positive and government flows are
improving, the outlook should not change," said Mohan Nagarajan, chief
economist at local rating agency CARE Ltd.
Even if the provocation for the rating review was the Enron episode, analysts
said the problems were specific to the power sector and will not affect the
robust foreign investment the country has been receiving.
"Enron was a bad deal, made on unreasonable terms in the first place and does
not reflect the ability of the government to pay its dues," said an economist
with a U.S.-based fund.
Some of the confusion arises from the various ratings assigned to India.
Moody's has retained a positive outlook on its Ba2 rating since late 1999,
while S&P has a stable outlook and a BB rating.
CONCERNS OVERSTATED
Analysts said none of the factors Fitch cited had deteriorated in the past
year, since it first rated India.
Fitch said India's fiscal-monetary mix was unfavorable, real interest rates
were high and there was the risk of a debt trap.
India marginally overshot its budgeted fiscal deficit in 2000/01
(April-March) to 5.2 percent of GDP, down from the previous year's 5.6
percent.
But laws to control government spending are awaiting parliament's approval,
there are incentives for disciplined state governments and a determined
effort at privatising state-run firms has begun.
Burgeoning fiscal deficits have persisted for a decade and public debt at 60
percent of GDP is high, but at six percent annual growth, India is one of the
fastest expanding economies in Asia.
"In terms of external liquidity, India is much stronger than its BB+ rating
while even its public debt to GDP ratio is lower than that of some Asian
nations," said P.K. Basu, chief economist for South East Asia at Credit
Suisse First Boston, Singapore.
Foreign investment has been pouring in - portfolio flows at $2.2 billion so
far in 2001 are at record levels and compare with $1.56 billion for the whole
of 2000 - and foreign exchange reserves are strong at $42.8 billion.
Interest rates and yields have also dropped, with the Reserve Bank of India
(RBI) adopting an aggressive easing stance this year to prop the slowing
economy, and inflation is benign.
"The hardest initial steps are being taken and there is still a lot of
inertia, but soon there will be a willing audience and reforms can progress
faster," CARE's Nagarajan said.
But critics said the changes were still very superficial and structural
reforms that would spur long-term growth and demand were lacking.
"What the rating agencies have emphasised is fiscal consolidation, which
means better revenue streams, efficient expenses, user charges for public
utilities...we promised these three years back and haven't moved very far on
those," said Saumitra Chaudhari, economist with local rating agency ICRA Ltd.
"We still do not have a securities bill, mature debt market and our banks
have not cleaned up,".

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

INDIA: India rupee ends off lows, fwds close higher.

06/04/2001
Reuters English News Service
(C) Reuters Limited 2001.

BOMBAY, June 4 (Reuters) - The rupee ended unchanged on Monday, recovering
from the day's low after a large European bank sold dollars, dealers said.
It had slipped to a low of 47.04 per dollar in early deals on dollar
purchases by a jewellery importer.
The rupee ended at steady at d47.01/02 per dollar.
Dealers said there was no impact of Friday's comments from international
rating agencies which had raised concerns over continuity of foreign
investment and dragged shares lower.
The currency recovered from lows around 47.085 on Friday, reacting to
international rating agency Fitch's revision in the outlook for India's
ratings on sovereign debt to negative from stable, citing worries about
fiscal policy, privatisation and deterioration in the country's foreign
investment climate.
Later, rating firms Moody's and Standard & Poor's (S&P) said they were
disappointed over the government's reform effort.
Moody's also raised a concern about India's Maharashtra state utility's
ongoing tussle with Houston-based Enron Corp and said: "the dispute indicates
that India's government may not be willing to live up to its contractual
obligations".
It added this would further deter foreign direct investment from coming into
the country.
The comments weighed on bond prices, which extended losses on Monday, and in
turn led to paying in dollar forwards.
"After a long gap, there was corporate paying interest in forwards today," a
dealer with a state-run bank said.
The six-month forward ended at an annualised 5.10 percent compared with
Friday's 4.95.
For a speed guide to Reuters treasury coverage, ((Bombay Treasury Desk, +91
22 265-9000 fax +91 22 264-1699, vidya.ranganathan@reuters.com)).

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

UK: Spectron trades UK's first post-NETA spark spread.

06/04/2001
Reuters English News Service
(C) Reuters Limited 2001.

LONDON, June 4 (Reuters) - Energy brokerage Spectron said late on Friday it
had traded the first brokered gas-electricity arbitrage, or "spark spread",
deal in the UK since the launch in March this year of new electricity trading
arrangements (NETA).
"Now that liquidity has returned to the electricity market post NETA, such
transactions are expected to become more common...", said Spectron in a
statement.
The deal was concluded between UK utility Powergen and U.S. energy group
Enron .
Spectron said the trade, covering winter 2002, was for 60 megawatts of
electricity at 21.42 pounds a megawatt hour and for 100,000 therms of gas at
24.85 pence a therm.
The winter period specified in the deal ran from October 1 to March 31.
For the electricity, one day was defined as 2300 hours to 2300 hours.
For the gas, one day was 0600 hours to 0600 hours.
The deal comes as the industry moves to create standard terms and conditions
for spark spreads.
Powergen is due to meet in mid-June with other traders, including Aquila
Energy , for talks aimed at agreeing standard terms.
"It is hoped that the market will soon establish standardised documentation
leading to a standardised product that will help promote liquidity in one or
more levels of efficiency," said Spectron.

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

INDIA: Enron India lenders meet in Singapore on Tuesday.
By Sriram Ramakrishnan

06/04/2001
Reuters English News Service
(C) Reuters Limited 2001.

BOMBAY, June 4 (Reuters) - Lenders to Enron Corp's troubled Dabhol Power
Company begin a two-day meeting in Singapore on Tuesday to try and settle
differences over continued support to a controversial $2.9 billion power
project in India.
Representatives of some of the world's largest banks like Citibank , ABN AMRO
, and Bank of America, will be at the meeting. Indian lenders like the
Industrial Development Bank of India , State Bank of India and ICICI will
also participate.
Market analysts speculate that the meeting will attempt to forge a joint
stand on supporting the project which now produces 740 MW of power and is
slated to increase it to 2,184 MW shortly in its second phase.
But it comes against a backdrop of rising tension between Dabhol and the
Indian state utility, the Maharashtra State Electricity Board (MSEB), which
is the sole buyer of Dabhol's electricity.
Indian lenders, who have lent the bulk of the funds to the plant, want to
continue supporting the project.
But they are being opposed by offshore lenders who want to withdraw their
loans. Loans of around $638 million of the offshore lenders are covered by
guarantees provided by Indian institutions.
The Indian lenders, fearing for their profitability if the foreign banks pull
the plug, plan to oppose any such move.
But they have been forced on the backfoot by MSEB's decision last week to
stop buying power from Dabhol and terminate its 1995 contract with the
company under which it agreed to lift the entire output.
The MSEB has complained that Dabhol produces costly power while Dabhol has
blamed MSEB for defaulting on payments worth $48 million.
Last month, Dabhol issued a preliminary notice to terminate its contract to
sell power. It has also filed for arbitration in London. This provoked MSEB
to haul Dabhol before a local regulatory body, the Maharashtra State
Electricity Regulatory Commission (MERC), which issued a temporary order
staying the arbitration proceedings.
The dispute has already affected India's image among foreign investors.
Last week, global rating agency Moody's expressed concern over slippage in
the Indian government's reform programme and cited the Enron's dispute as an
example that the country may be losing credibility with foreign investors.
"The dispute indicates that India's government may not be willing to live up
to its contractual obligations. As a consequence, this would further deter
foreign direct investment from coming into the country," Moody's said.
India's federal Power Minister Suresh Prabhu tried to dispel those fears in
an interview with Reuters on Sunday.
"India is always in favour of making sure that international contracts are
respected," he said. "There is no need for concern." ($1 = 47 Indian rupees).

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

INDIA: UPDATE 1-India's Prabhu says power reforms enter new phase.
By Clarence Fernandez

06/04/2001
Reuters English News Service
(C) Reuters Limited 2001.

BOMBAY, June 4 (Reuters) - India's reforms of its sputtering power sector
have entered a new phase, with plans afoot to free up private supply,
overhaul debt-ridden state utilities and recraft tariffs, Power Minister
Suresh Prabhu told Reuters.
With investors' fears fanned by a squabble between U.S. energy giant Enron
Corp and a local utility, Prabhu said in an interview late on Sunday that
India is standing behind international contracts.
"Sanctity of contracts has to be kept," Prabhu said.
The row began late last year when the utility in western Maharashtra state
defaulted on payments of $48 million to Dabhol Power Company, 65 percent
owned by Enron. The 2,184 MW power project is India's largest foreign
investment, at $2.9 billion.
Prabhu has vowed to take Indian reforms in a new direction.
"Absolutely," he said in reply to a question whether India's reforms have
entered a different phase. The Power Ministry will now also focus on power
distribution, he added, besides its early preoccupation with generation
needs.
"In India unfortunately for the last 10 years...reforms policy was skewed in
favour of generation," he said. "We never really realised that distribution
is the more important part of the process."
Prabhu added, "We have now decided we will make enough structural changes in
distribution so that at the end of distribution enough investment is made."
CHARTERED ACCOUNTANT
A chartered accountant, Prabhu hails from the verdant regions of India's
western coastal strand, and chaired a co-operative bank that was one of the
country's largest, in terms of deposits, before his foray into politics.
An errant lock of hair straying across his forehead, Prabhu eschews the
Indian politician's traditional uniform of starched white handspun cotton for
the shirtsleeves and trousers preferred by the professionals who have entered
government, and whom local media call "technocrats".
Prabhu said India has decided to allow private producers to sell power direct
to consumers, lifting curbs that have hobbled the country's decade-old reform
effort.
He said the question of power affordability had spurred him to ask India's
states to permit third-party sales of power, which analysts have called a
stumbling-block for foreign investment.
"They cannot force a generator to sell power only to the SEBs, and that's a
major change we are trying to make," Prabhu said, referring to the states.
SEBs or state electricity boards are owned by the state governments, and
supply power to most of India.
India estimates that 100,000 MW of fresh capacity will have to be installed
over the next 12 years to meet its power needs. Most of the $200 billion in
funds that will be required will have to come from foreign private
investment.
But India's spotty reform record over the last decade has made investors
wary. Bureaucratic procedures, legal delays and political wrangling have held
up reform moves.
RATING REVISED TO NEGATIVE
Last week global rating agency Fitch revised India's sovereign rating outlook
to negative from stable, citing fiscal concerns, the slow pace of
privatisation and deterioration in the country's foreign investment climate.
Competing agency Moody's sees signs of slippage in the reforms, and Standard
& Poor's has expressed worries over India's budget deficit.
Prabhu said he wants to overhaul state power utilities by introducing
standard accounting policies, cutting transmission and distribution losses to
15 percent, and tackling crushing debt, thus helping to lure foreign
investment into the sector.
The poor financial health of the utilities, expected to run up combined
losses of about $6 billion in the 2001/02 fiscal year, has proved a hurdle in
efforts to draw private investment.
Prabhu said an expert panel examining ways to restructure SEB finances -
looking at technical, commercial and tariff issues - is expected to report
within a few weeks.
"For the first time we will be preparing commercial data which is
internationally accepted. We will be preparing technical data which is
internationally appreciable. And thirdly, we'll be creating an information
base which will be created by experts and then made available to the states,"
he said.
The utilities' transmission and distribution losses run to up to 25 percent
of the electricity they generate, compared to a figure of about eight percent
internationally, he said.
Prabhu wants to trim this to about 15 percent within two or three years.
"In the case of India, I am willing to accept a figure of 14 percent to 15
percent, because to bring it below that will be technically feasible but
commercially unviable," he added.
Other steps to tone up power generation include attempts to link the eastern
region with the rest of India, efforts to boost plant load factors through
modernisation of equipment, and to persuade people to use energy more
efficiently.
Prabhu said he is building political will to support these moves through a
programme to tell consumers why they can no longer get power cheap, or even
free, as many did in the past. ($1=47 Indian rupees).

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

Nigerian president slams US energy firm Enron for "poor performance"

06/04/2001
BBC Monitoring
Source: The Guardian web site, Lagos, in English 4 Jun 01/BBC Monitoring/(c)
BBC

Text of article by Francis Obinor entitled: "Obasanjo chides Enron on Lagos
power project"; published by Nigerian newspaper The Guardian web site on 4
June
For failing to live up to expectation of the Nigerian government and the
people as regard its role in the Independent Power Project (IPP) initiated by
the Lagos State government two years ago, Enron, the American firm got a hard
knock from President Olusegun Obasanjo at the weekend [2-3 June].
In his conclusion, Obasanjo accused Enron, a major player in the electricity
project, of poor performance and bad faith. Ostensibly angry at the delay in
the project's full take-off and the 30 MW recently connected to the national
grid from the scheme, the president on the American Cable News Network (CNN)
declared: "Enron has played a dirty game on us. Dirty game in two ways."
Beside putting up an exorbitant price, the company according to the
president, also failed to comply with the terms of the contract. Continuing,
Obasanjo said: "The price at which they (Enron) have tried to sell power to
us has been very exorbitant. Two, what they told us they would do, they have
not done."
While refusing to disclose the firm's charges, Enron Vice-President of
Marketing John Ambler said the primary objective of the company was to get
the project on stream. "We have a project that is very close to coming on
line," he said, stressing that the company's desire is to see the project
work effectively in Nigeria, especially in Lagos. He added that Enron is
committed to the IPP and assured Lagosians that they would soon begin to feel
the impact.
The state government brought forward the June 2001 deadline it set for the
commencement of the first phase of the project when it fired the first 30 MW
of electricity to the national grid two weeks ago.
At the Government House on 23 May, Governor Bola Tinubu said his
administration and the contracting firm felt that there was no harm in
bringing the date forward and assured that another 30 MW would be added soon.
He noted that, contrary to expectations that the project would cover the
entire state at a go, it would be in phases and the focus for now would be
industrial consumption. "The concentration for now is not as private homes,
we would soon get there," Tinubu assured.
The controversial IPP programme, which the federal government had at one time
been accused of frustrating, has suffered several setbacks, including Enron's
initial plan to sell its shares to AES, another American company. Last April
was originally fixed for the project's take-off but the failure of Trevi, a
construction company in charge of transmitters, caused a shift in the date.

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

India: India and Bush Administration: Beyond assumptions

06/04/2001
Business Line (The Hindu)
Copyright (C) 2001 Kasturi & Sons Ltd (KSL); Source: World Reporter (TM) -
Asia Intelligence Wire

SOON after Mr George W. Bush Jr. won the US elections, Indian observers
proclaimed quickly that a Republican administration bodes good for India. A
Republican administration was expected to not pester India about human rights
violations in Kashmir, not force it to sign the CTBT, and get tougher with
China.
Mr George Bush's decision to "drop by" the External Affairs Minister, Mr
Jaswant Singh's meeting with the American National Security Advisor, Ms
Condoleezza Rice, seemed to somehow confirm this false sense of euphoria.
This narrow thinking fails to understand the drivers of Republican ideology.
The reality is the Republicans care about a range of issues that will force
the BJP Government to make some difficult decisions.
Take the first issue of human rights violations in Kashmir. It is true there
are many isolationists in the Republican Party who, probably, do not care
about human rights violation in Kashmir so long as it does not affect them,
and is not happening in their backyard. But there is another powerful force
in Republican politics - the religious wing. This includes powerful members
of the US Cabinet such as The Attorney-General, Mr John Ashcroft, who are
Christian fundamentalists.
Mr Bush himself claims to be a 'born again Christian'.
The religious right is rarely interested in foreign policy; it mostly
concerns itself with moral and social issues such as abortion and teenage
pregnancy. But the few times it does intervene, it is when it feels a country
is "persecuting Christians". And when it does intervene, no Republican
administration dares cross it.
For instance, China is periodically identified as a country that persecutes
Christians. Christian missionaries and ministers are routinely harassed and
imprisoned because they are trying to spread their religion. Because of this
issue, Republican members of the Christian right in Congress have all but
declared a religious war on China, routinely opposing any attempt to improve
relations - including trade relations - with that country.
India, as an emerging power, is more carefully watched, and frequently
mentioned in the American press. Stories of Christian missionaries being
burnt alive and nuns raped are attributed to "elements associated with the
Hindu fundamentalist ruling party". In its latest human rights report, the US
State Department noted these acts with concern.
The Pope's mention of these issues to the Prime Minister, Mr Atal Bihari
Vajpayee, was also noted in the American press. India is, perhaps, half a
step away from being branded as a country that "persecutes Christians".
A self-professed born-again Christian like Mr George Bush would quickly take
up the Christian right's cause, trumping all other bilateral issues. Human
rights may not matter to the isolationists, but Christian, and to a lesser
extent Jewish, religious freedom matters tremendously to a Republican
administration.
The second fallacy was that since the Republicans in Congress did not pass
the Comprehensive Test Ban Treaty, they would not force other countries to
pass the CTBT either. But why are the Republicans are opposed to the CTBT.
The opponents of the CTBT feel that it fails to safeguard American security.
They frankly care little about Indian security. They would love to be able to
restrict India's ability to test and use its weapons. To them, nuclear
weapons not in American hands translates into an unsafe world. Unless India
manages to convince the Republicans otherwise, the Republican administration
is likely to tighten the anti-proliferation screws on India.
The third fallacy relates to a tough, long-term strategic re-alignment the
Bush Administration will demand of India. Mr Bush's foreign policy-makers are
unreconstructed 'Cold Warriors'. In the post-Cold War era, they are
desperately "searching for an enemy". They appear to have settled on China as
"the next enemy". Their next step is to search for "allies"
who rarely challenge their views. Thinkers in Washington and New Delhi
believe that India and the US are "natural allies". But such a decision has
an enormous range of long-term consequences for India.
To discuss just a few: Most of the Indian military's equipment comes from
Russia and the former Soviet Union. Allying with the US will be seen by the
Russians as abandoning them, and this could have an enormous impact on the
legacy military equipment. Recent noises from the Foreign Ministry suggest
India is also eager about Mr George Bush's proposed missile defence
programme. But this technology is far from proven, and during the decade over
which it may be developed (if it gets past Congress), China will most
certainly develop many nuclear weapons. These may, primarily, be a deterrent
against the US, but it will force India into an arms buildup it can barely
afford.
The Americans are reserving their missile defence system for their "closest
allies". India today is neither fish nor fowl - not quite a threat, but not
quite an ally either. It is unlikely that India will be able to convince the
Americans to give it the defence system.
Even if the Americans agree to sell it to India, it could never afford the
sticker price. So, before it rejoices at the notion of anti-China hawks in
the White House, let India ponder over the unexamined consequences.
The final issue is one that may precipitate in the very near term.
Enron and Maharashtra find themselves in a dispute that neither wants to
lose, and that appears to be rapidly getting shriller. Mr George Bush's
background is as a Texas oilman - and he is widely accused in the US of being
beholden to the interests of the energy industry.
In fact, they were among the biggest "contributors to his campaign".
The Enron Chairman, Mr Kenneth Lay, is a friend of Mr Bush's, and was
seriously considered for a job in his Cabinet. He is so well connected that
he was recently accused of influencing who is appointed by the White House to
regulate the energy industry. In the near term, Mr Bush could quite possibly
lean heavily on New Delhi to "make sure that Enron's interests are not
neglected". If New Delhi does not respond to his satisfaction, his opinion of
India, and consequently, his administration's dealings with the country, are
likely to be coloured far more than we think.
Giridhar Srinivasan

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

Enron's Indian Creditors Seek to Salvage Dabhol Project
2001-06-04 08:41 (New York)

Enron's Indian Creditors Seek to Salvage Dabhol Project

     Mumbai, June 4 (Bloomberg) -- Indian banks that loaned money
to Dabhol Power Corp., the local unit of Enron Corp., will try and
persuade their international counterparts to keep alive the $3
billion project at a meeting of lenders in Singapore tomorrow.
    The two-day meeting will be the first between the two groups
of bankers since they met in London on April 24-25 to discuss an
escalating dispute on power prices that has pitted Enron against
the Maharashtra State Electricity Board, Dabhol's only customer.
     ``We will discuss how we can go about resolving the
problem,'' R.S. Agarwal, executive director at Industrial
Development Bank of India, or IDBI, said. IDBI is the biggest
lender to the Dabhol project.
     The outcome of the Singapore meeting, to be held in the
offices of ABN Amro Holding NV, one of the biggest international
lenders to the project, will be crucial to the banks, which have
loaned as much as $2 billion to Dabhol.
     Indian banks fear the Maharashtra State Electricity Board's
decision to stop buying power from Dabhol may strengthen
international lenders' resolve to terminate the project and invoke
government guarantees to recover their loans.
     ``Foreign lenders want to close the (Dabhol) chapter,'' said
Pradyumna Kaul, an activist with Enron Virodhi Andolan, a non-
government organization opposed to the project. ``They are eager
to call in their loans, even if it means taking a 10 to 15 percent
cut, rather than spend more on supervision and legal expenses
while watching the saga linger.''
     Local banks such as IDBI are most at risk as the Maharashtra
and federal governments have guaranteed only foreign banks' loans
of about $600 million to the venture.
     IDBI alone has exposure totaling 21.58 billion rupees ($460
million) to the project, including 15.28 billion rupees in
guarantees.
     Foreign lenders such as ABN Amro, Citibank N.A., a unit of
Citigroup Inc., Bank of America and Credit Suisse First Boston in
April approved Dabhol's decision to begin termination of its power
supply contract with the board. They are in favor of canceling the
project.
     India's government risks having to pay 170 billion rupees in
fines, resulting from guarantees it has offered on payments and
loans, if Enron pulls out of the project.

                             The Fight

     Maharashtra State Electricity Board Wednesday stopped buying
power from Dabhol as the dispute escalated. The board on May 24
told Dabhol Power Co. it was canceling its power purchase
contract, six days after Dabhol gave the board notice it was set
to pull out of the project because of the six-month dispute over
bills owed by the board.
     ``The MSEB's move has complicated the matter. We did not
expect MSEB to do this,'' Agarwal at IDBI said last week.
     Dabhol, 65 percent owned by Enron, and the board are in
dispute over 3 billion rupees in unpaid bills for December and
January. Others bills through March have been paid.
     The board has refused to pay the December and January bills,
saying they should be lowered to reflect a 4 billion rupee penalty
the board imposed on Dabhol for not supplying power at full
capacity on Jan. 28.
     The dispute Thursday prompted debt-rating company Fitch to
change its outlook on India to ``negative'' from ``stable.'' Fitch
said the climate for foreign investors has deteriorated.
     ``The dispute indicates that India's government may not be
willing to live up to its contractual obligation,'' the Economic
Times quoted Kristin Lindow, India analyst at Moody's Investors
Service, as saying. ``As a consequence, this would further deter
foreign director investment from coming into the country.''
     Moody's and Standard & Poor's have stable outlooks on the
country's sovereign rating. S&P has an investment grade rating of
``BBB'' on the country's sovereign debt. Moody's, like Fitch,
rates India's debt as junk at ``BB2.''

Enron Japan's Hirl on Power Deregulation: Commodity Comment
2001-06-04 06:29 (New York)

     Sydney, June 4 (Bloomberg) -- Joseph Hirl, chief executive of
Enron Corp.'s Japanese unit, Enron Japan Corp., comments on the
outlook for deregulation of Japan's electricity industry. He spoke
at the Coaltrans Asia conference in Sydney.

On Japanese government policy:
     ``The government does have a strong commitment to
deregulation, but there are some significant policy concerns''
including a ``greater than 80 percent reliance on imports'' of
energy.
     ``The market has been open a bit over a year, however not
much has happened. No genuine competition exists under the current
system. The companies there recognize that it will happen. It's
inevitable.
     ``The level of competition in Japan now is similar to the
U.S. in 1994-95, or Europe in 1996-97. Prices are about 400
percent higher than the U.S.
     ``To put it in perspective, I won't give the name of this
large chemical company, but it consumes about 600 megawatts. If
you compare that business with a company that's just like it in
Houston, Texas, the difference would be about $250 million a year
in the cost of electricity.
     ``For such an export-led economy, that's a difficult
situation to be in, and it's contributing to the overall malaise
in the economy.''

On the likelihood of a California-style electricity crisis in
Japan:
     ``Despite exploitation of California by the utilities, METI
(Ministry of Economy, Trade and Industry) and others recognize it
was a problem of design, not competition'' in California.


Kay-I have reviewed the GE acknowledgment, and I believe it does everything
InterGen would want in that GE permits the multiple transfers all the way to
the project company (Larkspur) and GE acknowledges that the transfers will
not result in a breach of the Facility Agreements.  I have also reviewed the
unanimous consents and find them to be OK.

I propose going back to George with the proposal that simultaneously with
the execution of the unanimous consent that ENA be permitted to exercise its
puts under the two LLC, which can be done with InterGen's consent and
InterGen's receipt of an acknowledgment from GE that the exercise of the put
will not in any manner prejudice the rights under the Facility Agreements
(which in view of the transfer of the turbines and the Facility Agreements
being permitted by GE, such a request may be superfluous, but I'd like to
have it anyway).

I considered also recommending a release from ENA's obligations under the
Letter Agreements, but I think that may be pushing too far.

Let me know your thoughts.

Regards

John

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Start Date: 12/18/01; HourAhead hour: 18;  No ancillary schedules awarded.  No variances detected.

    LOG MESSAGES:

PARSING FILE -->> O:\Portland\WestDesk\California Scheduling\ISO Final Schedules\2001121818.txt


I recognise that I am new to the debate.  However, my concern about focusing
on open access terms is that non-discrimiantory access deals primarily with
competitive issues.  It does nothing to directly address the lack of
transmission capacity and generating capacity.  I'm not certain what path 15
information is, and I presume FTRs are Firm Trading/Transmission rights, but
these deal with use of existing capacity and has nothing to do with
incentives to expand capacity to meet demand.  Presumable, market
participants would use access to existing capacity to take advantage of the
high prices being experienced in the california market, which seems to be
caused by a combination of a lack of capacity and odd trading rules that work
to exacerbate prices in times of shortages.

However, we could argue that competitive access is related to the incentives
of incumbent generators to keep new suppliers from entereing the market.  I
think I have a way to ask a follow-up question that will address this point.

I will send a revised draft soon.

Mary Hain@ECT
04/10/2000 10:34
To: Sarah Novosel/Corp/Enron@ENRON, Susan J Mara/SFO/EES@EES,
jdasovic@ees.enron.com
cc: Tom Briggs/NA/Enron@Enron, Richard Shapiro/NA/Enron@Enron, Cynthia
Sandherr/Corp/Enron@ENRON, Christi L Nicolay/HOU/ECT@ECT,
dbva@radix.net@ENRON

Subject: Re: Draft Questions for Hoecker

I disagree with you about question 2.  While I agree that transmission acess
wasn't the number one problem in California this summer, transmission access
is not close to being perfect in California (for example PG&E controls the
information about path 15 and the ISO still has not auctioned off 100 percent
of the FTRs in the market) and certainly corrections to these problems would
make the market more liquid which would help to alleviate the price spike
problem.  So even though access is not the number one or even the number two
problem causing price spikes this summer it contributed and it is one of the
biggest problems with the California market, relatively, and it is something
that FERC can fix (as compared to fixing hedging and underscheduling which
they seem content to leave to the state regulators).  Perhaps Tom could fix
his question accordingly.

Sarah Novosel@ENRON
10/04/2000 07:41 AM
To: Tom Briggs/NA/Enron@Enron
cc: Richard Shapiro/NA/Enron@Enron, Mary Hain/HOU/ECT@ECT, Cynthia
Sandherr/Corp/Enron@ENRON, Christi L Nicolay/HOU/ECT@ECT, dbva@radix.net
Subject: Re: Draft Questions for Hoecker

Tom:

The questions look good, and I agree with Rick's comments regarding RTO
participation.  We should try and pin Hoecker down on the problems with the
voluntary approach.  I have a couple of additional thoughts on the questions:

In question two, you should also ask Hoecker directly about the time it takes
to interconnect.  The interconnection process can take a long time due to
utility holdups that are not necessary.  I would ask something like, "What is
the length of time it typically takes to interconnect a generator to the grid
once the generator makes the request for interconnection?  Can FERC take
action to shortened this time to help accelerate the development and
operation of new generation in California and elsewhere throughout the
country?"

On question three, you have asked me in the past whether open access for all
uses of the grid would have helped California this summer, and as we have
discussed, while it may have helped, lack of transmission access was probably
not the primary cause for the problems in California this summer.  Given
that, could this question backfire on us?  What if Hoecker says no, expanding
FERC jurisdiction wouldn't have had much impact on California this summer?

Finally, you may want to send these questions to some of our other California
people, including Jeff Dasovich, Sue Mara and Mona Petrochko, to make sure
that the facts stated in Question No. 1 are accurate.

Let me know if you have any questions.

Sarah

Tom Briggs
10/03/2000 02:48 PM
To: Richard Shapiro/NA/Enron@Enron, Mary Hain/HOU/ECT@ECT, Cynthia
Sandherr/Corp/Enron@ENRON, Sarah Novosel/Corp/Enron@ENRON, Christi L
Nicolay/HOU/ECT@ECT
cc:

Subject: Draft Questions for Hoecker

Attached please find draft questions to be provided to Sen. Gorton for his
hearing on NW price spikes to be held Thursday. I hve tried to design
questions that focus on FERC jurisdiction.  However, i may have med the
questions too specific and detailed.  please give me your comments and ideas.


please put this on my calendar.  thanks,

fletch


I've received a number of e-mails regarding the Duke confirmation.  Would you
please advise as to status and send me a copy of the final confirm?


Here are the imbalances.

Shanna


What do you think of this? (sorry it isn't redlined yet)

(b) Intra-Day Scheduling. Buyer may, upon at least four (4) Hours minimum
advance notice to Seller, request changes to a Schedule by way of an
Intra-Day Schedule Notice. Any such changes shall be in increments of at
least 50 MW and may not exceed the Contract Capacity nor reduce the Schedule
to less than four (4) Hours. If the Intra-Day Schedule Notice requires an
increase in the Scheduled Energy per the Day-Ahead Schedule Notice, Seller
shall, at its sole discretion determine whether to dispatch the Facility or
provide Energy from Market Sources.  Seller shall use commercially reasonable
efforts to provide Buyer with a price to accommodate Buyer,s Intra-Day
Schedule Notice. Such price shall include lost profit from any transaction
which would be cancelled in order to accommodate Buyer,s Intra-Day Schedule
Notice, plus all additional costs (whether direct or indirect); provided,
however, that such costs shall be limited to costs actually incurred by
Seller (including cost of cover, penalties, liquidated damages, cancellation
charges or the like due to another Person) with respect to (i) transactions
entered into by Seller with other Persons prior to receipt of Buyer,s
Intra-Day Schedule Notice (provided that such transactions and the terms
thereof can be verified in an audit to be performed in accordance with
Section 8.3, (ii) transactions that must be entered into by Seller in order
to accommodate Buyer,s Intra-Day Schedule Notice or (iii) extra costs
incurred in operating the Facility to accommodate such notice.  For the
avoidance of doubt, such costs shall not include Seller,s lost opportunity
costs with respect to transactions that Seller may have been able to obtain
but were not entered into by Seller prior to receipt of the Intra-Day
Schedule Notice.  If Buyer accepts Seller,s price, then the Schedule shall be
revised to reflect the changes. If Seller is unable to accommodate Buyer,s
Intra-Day Schedule Notice, such Hours shall not be included as Scheduled
Energy for the purpose of determining the Forced Outage Rate. Seller shall
have the right, but not the obligation, to resell any Energy not taken by
Buyer due to a decrease in Energy pursuant to an Intra-Day Schedule Notice
provided, however, that the revenues from any such sales will be offset
against the additional costs to be charged to Buyer as provided in this
Section 3.4(c).
(d)


We will likely not have a problem until after the merger closes next year.  I think for this year we'll be fine.

 -----Original Message-----
From: 	Villarreal, Lillian
Sent:	Monday, November 12, 2001 8:28 AM
To:	Davis, Geneva; Rush, Pamela; Hyatt, Kevin
Subject:	Matching Gift Program

All,
If you read the question/answer area regarding the merger it appears that the matching fund program may not survive.  Therefore, we may need to do more shopping with our Enron Kid account funds than we originally planned.  Do we need to meet to discuss a contingency plan?
Thanks, LV


Adam / Stan,

I had a follow-up meeting with Gary Fitch regarding Enron Wind's aviation.  Gray indicated the following:

Aviation budget number look comparable to operator standards (approx. $1,900 / hour, 600 hour estimate)
The plane has a market value of $1.8 - $2.0 million and a book value of $2.2 million
Turbo prop charters for trips to Tehachapi would run in excess of $1,100 / hour and may be limited as there are only two qualified operators
The Cessna is the only jet suitable for use to Tehachapi based on runway length and altitude
Gary will make a site visit before the end of the year

Assuming that of the budgeted 600 hours of operation, only 400 hours would require charter, the cost of charter would approach $0.5 million of the total budget of $1.2 million.  This plus the flexibility of using the plan on longer hauls (e.g., to Houston) make it economically justified.

My recommendation is that based on the current situation, we retain the aircraft.

Tod


Just wanted to catch you up on the events over the past week....and a couple
of things I want to talk to you about next week

REPORTING:
It has been a continual challenge as you well know.  The good news is the
individual from EES (Chris Luttrell) accepted Jay's offer today and he is
going to start on March 3.
That said, I talked to Chris today and filled him in on where we are and what
we want to accomplish.  He feels our best option will be Oracle.
To ensure we are prepared for his arrival next Monday, we are preparing the
detail of what we are doing today, both our assumptions and all of the
various data sources for our current management reporting
Also, Dave and I met with Wanda and Georgeanne on Tuesday regarding revenue.
I believe Dave sent you an update of this meeting.  We are meeting with
Georgeanne today to go over our assumptions, conversions, etc. to ensure that
we are consistent with those conversations in the annual report, and to
ensure that we are capturing all of the Enron data
Customer database - we have been fine tuning this all week, and I think we
are about there.  There are still some minor differences, but we are working
to sort through these today (everyone is involved in the tie out).  I will
review the new report format with you on Monday and we will start sending
this out then.
We also have an Access person that is working on improving our current
database since we will have to live with this in the short term.

TRADING ACTIVITY:
It seems that we are seeing an increase in customers wanting to modify EOL
deals for various reasons (one being Web latency...they are claiming that the
deal did not show up on their transaction summary, so they thought it did not
go through, and they did another deal...and this first deal appeared sometime
later).  We have continued to emphasize the importance of not changing these
deals after they are completed, but despite this, it is still happening.  I
am going to try and track down Jeff Shankman this afternoon to discuss.
We are also seeing more and more customers trading under the wrong
entities...for example, Aquila Risk Mgmt is executing physical deals, when
they should be only executing financial deals.  From my understanding, we
have "left the door open" for them to trade either way and are relying on
them to trade under the correct counterparty.  This is causing several
problems downstream..for instance, customers are wanting ENA to send modified
invoices with the name of the correct counterparty (despite the fact that
they were the ones transacting under the wrong entity).   We need to discuss
how leaving this door open affects our downstream processes.

OTHER:
I talked to both Dave and Bob yesterday to ensure that we were in the loop on
new products, etc. to ensure that we are better prepared for the launch of
new products (e.g. Credit Derivatives).
Help desk news...Matt M. accepted a position with the Remedy development
team.  We are going to move Noel (he works nights) to the day shift to take
over Matt's role.  Donna assures me that he is very good.  Sandy Rivas also
wants to leave the group.  We should be able to handle the volume of calls
without replacing them.  I need to go over some call statistics with you next
week.  We have not received one phone call from a customer on the weekends,
and we receive less than .1 calls per hour between the hours of  7pm to
midnight.  I think we can get away with eliminating weekends, and using on
call pagers from 7 to midnight.
One question - we currently are considering EES an external counterparty and
Enron Canada an internal counterparty.  We are now trading with Bridgeline
Gas Marketing (joint venture with Texaco - 40% ownership).  We need to
determine what we are considering internal vs external.   I would think these
would be external due to the fact that these are settled transactions...  any
thoughts?

I know this is a lot of info, but I also know you are going to be in high
demand on Monday!

I hope you are enjoying your ski trip!!!

Sheri


Eric,

Hoping all is well,

Wanted to have a quick chat with you, when you are next in Houston, about the
Egypt LNG opportunity.  I had a meeting with the minister and the deputy
minister for technical affairs and both were intereseted in increased
participation in the LNG field in Egypt.  They are interested in diverse
off-takers, and are interested in investing in new facilities (EGPC would
like to own 60% of such a new facility and local/Arab investors can be found
for the remaining equity).  They know they don't know how to project finance
such deals, and they know they need a strong international name as an (at
least partial) off-take.  They alluded that the situation with Finosa,
although progressing, is not as it appears in the press.

At any case, I believe we have enough elements to warrant a
conversations--and I have good contacts in Egypt that could help push such a
project forward.

Cheers'

Hamd

Alhamd Alkhayat
ENRON CORP.
+1(713)853-0315

This message (including any attachments) contains confidential information
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Attached is your actual form.  I did not have a totally blank one to forward,
as I have actually done work on all evals on my disk.  So I am sending yours
so that you can erase your data and use this as a template.  Hope this works!


Tana - check this out.  Remember to save it before you start searching or
printing.  Katya


The "safe harbor" date should be Feb.1.  However, coordinate with Jeff P
before you do anything.  Jan 31 is the date per our contract with CES as to
closing of the legal transition.

12/12/2000 01:46 PM
Jeffrey Porter
Jeffrey Porter
Jeffrey Porter
12/12/2000 01:46 PM
12/12/2000 01:46 PM
To: Chris Germany/HOU/ECT@ECT
cc: Colleen Sullivan/HOU/ECT@ECT, Timothy L Ray/HOU/EES@EES, Michael H
Garred/HOU/EES@EES, Scott Goodell/Corp/Enron@ENRON@ECT
Subject: Re: CES and CEM

CES and CEM will still exist for awhile, maybe forever due to legal issues. I
wouldn't begin canceling anything as the Choice customers are still in CES's
name and we don't want any capacity returning or other problems. They should
begin to be transferred to NPC soon. Why don't you hold off for now. Larry
Friedeman (419/878-4760) is actually the last CES employee and can be reached
in his Toledo office through 3/31/01.

Chris Germany@ECT
12/12/2000 01:32 PM
To: Colleen Sullivan/HOU/ECT@ECT, Timothy L Ray/HOU/EES@EES
cc: Michael H Garred/HOU/EES@EES, Jeffrey Porter/HOU/EES@EES, Scott
Goodell/Corp/Enron@ENRON
Subject: CES and CEM

I believe ENA is still agent for Columbia Energy Services and Columbia Energy
Marketing on several pipelines.  Rich Contos's (the only CES person I know)
last day is this Friday.  I left Rich a voicemail asking him if CES/CEM
should continue to exist as a legal entity on the pipelines.

As ENA, I believe I sould at least begin terminating the agency (and
liability) relationships.

Comments/questions??


Daren---

I need some help with meter 5892 for September 00 due to a feedback error.
Deal 133196 (purchase from Duke on gathering contract) is erroring out due to
it's expiration date of 8/31/00......however it still showed up in POPS (w/o
a nom) on 9/1.  Volume management allocated volume to it according to the
allocation statement.  Should this deal be extended?  I noticed it is not out
there for October either.  I have the feedback error sheet & allocation if
you want to see them.

Let me know,

Mark
x33396

p.s. Fred Boas said you used to handle this and you were very wise in the art
of allocation......so I am expecting big results Grasshopper!


I think its just the demand charge.  Algon only has 2 firm commodities that
we have worked with and both are fairly cheap.  Most of the Algon expense is
in the demand charge.

Clayton Vernon@ENRON
02/18/2000 12:08 PM
To: Chris Germany/HOU/ECT@ECT
cc:
Subject: algonquin

chris-

what's the difference between aft-1 and aft-13 on algo?

clay


Tuesday works for me.


Attached please find the following documents:

Thanks,
Lydia

x3-9338


FYR

-----Original Message-----
From: Cattigan, Ed
Sent: Monday, November 26, 2001 8:30 AM
To: Astramowicz, Jarek; Overfield, Adam; Forycki, Krzysztof; Edgley,
Anne; Wantschek, Lloyd; Derrick Jr., James
Cc: Glowacki, Jacek; Martin, Sophie; Hackett, Christian; Willott, Carys;
Muscroft, Brian; Parrish, Paul E.
Subject: FW: ENS - Draft Form of Acceptance

Good Afternoon

Attached are 2 documents in relation to final Settlement of the outstanding Delay in Start up (relating to the replacement of the previously damaged rotor) claim. One is a detailed history of the claim and the other a final acceptance notice proposed by the brokers.

I have been negotiating the outstanding portion of the claim now for nearly 9 months and believe that due to the circumstance surrounding the late delivery of the rotor and the advice of external council this settlement is acceptable to ENS. Will you please advise wether you agree with accepting this sum as full and final settlement.

In way of context this settlement is $750k of a possible $901k an 83% success on a claim we had been advised would not have been worth taking to arbitration if the insurers had become difficult.

regards

Ed

Sophie. Could you please confirm that you are happy with the wording of the acceptance notice.
NOTE I would really like to complete this by Wednesday this week as this is my last week.

-----Original Message-----
From: BODIMEADE, Alfred [mailto:ABodimeade@heathlambert.com]
Sent: 26 November 2001 10:34
To: 'Ed Cattigan'
Subject: FW: ENS - Draft Form of Acceptance

Ed
Let me know a.s.a.p. if you have any problem.
I think the figures are correct.
Alf


As we discussed yesterday, attached is a memorandum summarizing our
mitigation options.  Also attached is a schematic show how PGE could be
interconnected to Sierra through LADWP.  The schematic is in Word format so I
could not consolidate the two documents.

Please call me if you have any questions.

Sarah


Start Date: 4/23/01; HourAhead hour: 10;  No ancillary schedules awarded.  No
variances detected.

    LOG MESSAGES:

PARSING FILE -->> O:\Portland\WestDesk\California Scheduling\ISO Final
Schedules\2001042310.txt


Paula, I have forwarded your message to Rex Rogers.  Please work with him on the responses.  Thank you. Jim

-----Original Message-----
From: Rieker, Paula
Sent: Saturday, October 27, 2001 8:25 AM
To: Derrick Jr., James
Subject: FW: Questions from New York Times
Importance: High
Sensitivity: Confidential

Jim - There is another article in preparation by the NY Times.  Pls. see the angle of their questions below.  PHR

-----Original Message-----
From: Denne, Karen
Sent: Fri 10/26/2001 1:23 PM
To: Rieker, Paula
Cc: Johnson, Kelly
Subject: Questions from New York Times

Paula -- we've received written questions from the New York Times for a weekend story.  I need your assistance on the following:

Why, in securities filings this year, did Enron describe its principal business as "security brokers, dealers & flotation" when before it had said it was in the business of "wholesale-petroleum & petroleum products"?

Has the board taken any action in regard to the events of the past week?

Have they called any special meetings?  formed any special committee?

Have they hired an attorney to review the situation?

I know you have several meetings today, but when you get a chance, would you give me a call or email me?

Thanks, Paula!
Karen
713-853-9757


you were right about my flight time.  i will see you at the passenger pickup.