Bingaman, Senate Energy Chief, Will Block Bush Plan (Update1)
Bloomberg, 06/05/01

USA: TECO breaks ground on 599-MW Arkansas power plant.
Reuters English News Service, 06/05/01

Reuters to Provide Its Customers With EnronOnline Quotes
Business Wire, 06/05/01

UK: Intl bonds-Telecoms suffer despite positive market.
Reuters English News Service, 06/05/01

Natural gas generators considered to ease electricity demand, prices
Associated Press Newswires, 06/05/01

Waste Management to Start Trading Pulp and Paper (Update1)
Bloomberg, 06/05/01

Profile: Power Play, Who's to Blame for the Energy Crisis?; Lowell Bergman,
"Frontline" correspondent, Laura Holson and Joseph Kahn, The New York Times,
discuss the energy crisis
ABC News: Nightline, 06/04/01

Bingaman, Senate Energy Chief, Will Block Bush Plan (Update1)
2001-06-05 10:50 (New York)

Bingaman, Senate Energy Chief, Will Block Bush Plan (Update1)

     (Adds company names in fourth paragraph and details about
contributions in paragraph 23.)

     Washington, June 5 (Bloomberg) -- President George W. Bush
delivered his energy plan to Senator Frank Murkowski last month,
expecting the Alaska Republican to push it more or less intact
through the Senate and on to passage by the House.
     Now the package intended to boost oil and gas production and
ease some pollution controls is in the hands of Jeff Bingaman. The
New Mexico Democrat disagrees with Bush's approach and wants to
start fresh negotiations on what U.S. policy should be.
     Bingaman, 57, who's spent most of his 19 years in the Senate
out of the spotlight, will become chairman of the Energy and
Natural Resources Committee when Democrats take control of the
Senate later this week.
     Bush wants to make it easier for companies like Enron Corp.,
Exxon Mobil Corp. and BP Plc, to build power plants and pipelines
by easing regulations, and he's opposed to regulating the carbon
dioxide emissions blamed for global warming. Bingaman has
introduced legislation to cut emissions to curb global warming.
     The president's proposal to drill in the Arctic National
Wildlife Refuge, in trouble even with Republicans in charge, is
dead as long as Democrats have control. Bingaman has no plans to
consider it.
     Bush opposes caps on energy prices; Bingaman is cosponsor of
legislation to impose caps on wholesale energy prices in
California although, according to a spokesman, he'd prefer the
Federal Energy Regulatory Commission do that on its own.

                         Seeking Consensus

     Bingaman says rather than offer his own plan now, he'll try
to sit down with Republicans and negotiate something both sides
can agree on. There is already agreement on some proposals, such
offering tax credits to encourage domestic drilling and the use by
business of renewable energy technology, such as wind-powered
turbines.
     ``Obviously, I'm going to work for consensus,'' he said.
``There's nothing about much of these issues that should be
partisan.''
     Bingaman says he hasn't decided whether to push a single,
comprehensive energy bill or move issues separately. Democrats may
insist on separate bills for political purposes, said Tim Evans, a
senior energy analyst at IFR Pegasus.
     ``They'll say, `Let's get all of the most vulnerable
Republicans on record supporting drilling and see if they get re-
elected,''' he said.
     Whatever his decision, Bingaman won't meet Murkowski's goal
to have a bill for Bush to sign on July 4.
     ``I'm not anxious to have some artificial deadline so that we
can have a bill-signing ceremony on a holiday,'' Bingaman said.
``I don't think that's the way to legislate.''

                     Visionary or Do-Nothing?

     Throughout his career, Bingaman has made a practice of taking
time to study an issue before acting.
     ``He's something of a visionary,'' said Bruce Black, a former
law partner who became a federal judge in New Mexico after
Bingaman recommended his nomination. ``He sees trends.''
     Opponents see inaction.
     ``He doesn't accumulate much in the way of negatives by not
doing much,'' said John Dendahl, chairman of the Republican Party
of New Mexico.
     Bingaman is a politician who doesn't stray from party
positions, Dendahl said. ``He's not a maverick. He's always been
when the chips are down a straight Democratic voter.'' In 2000,
Bingaman voted with the party leadership 87 percent of the time on
votes in which the two parties took opposing positions, according
to data compiled by Congressional Quarterly.

                        Fundraising Success

     In the Senate, Bingaman's strategy has been to home in on
issues that have been neglected, such as school accountability and
defense research that has civilian uses, work with others, and not
hog the credit.
     ``He wouldn't try to beat it to the front of the class,''
said Ben Alexander, a Bingaman fundraiser.
     That approach appears to have worked: Republicans haven't
been able to budge Bingaman from his Senate seat by appealing to
New Mexicans' distrust of party-line politicians.
     With Alexander's help, Bingaman built a campaign fund that's
helped him fend off rivals. He raised $2.7 million for his 2000 re-
election bid compared with his Republican challenger's $669,000.
     The $295,527 Bingaman got from oil and gas companies and
electric utilities made him the industry's sixth-largest
congressional recipient in last year's elections, according to the
Center for Responsive Politics.
     The oil and gas industry gave $32.6 million overall last year
in campaign contributions. The top contributor, Enron, a pipeline
and energy-trading firm, gave $2.4 million. Exxon, the world's
largest publicly traded oil company, followed with $1.4 million
and BP, the third largest publicly traded oil company, donated
$1.3 million, according to the Center for Responsive Politics.

                     Comparison With Murkowski

     Environmentalists said Bingaman will balance conservation and
production concerns better than Murkowski.
     ``Murkowski wants to jam through an agenda'' to boost
production, said Alyssondra Campaigne, legislative director of the
National Resources Defense Council. Bingaman ``tends to be more
studious and thorough.''
     As chairman, Murkowski has pushed a comprehensive bill that
includes tax incentives to promote the use of alternative energy
and opening 1.5 million acres of the 19-million acres of the
Alaska refuge to oil and gas exploration.
     Bingaman has proposed leasing land in the Gulf of Mexico for
oil production, and that concerns environmentalists.
     ``It would put too much at risk in coastal resources,'' the
NRDC's Campaigne said.

USA: TECO breaks ground on 599-MW Arkansas power plant.

06/05/2001
Reuters English News Service
(C) Reuters Limited 2001.

NEW YORK, June 5 (Reuters) - TECO Energy subsidiary TECO Power Services held
a groundbreaking ceremony Tuesday on its 599-megawatt natural gas-fired power
plant in Dell, Ark.
Actual construction on the Dell Power Station began in March, the company
said in a statement.
One megawatt provides enough electricity for about 1,000 average homes,
therefore the Dell plant will provide enough electricity for about 600,000
homes.
National Energy Production Corp. (NEPCO), a subsidiary of Houston-based
energy giant Enron Corp. , is building the plant.
The Dell plant, along with a sister plant, the McAdams station in Kosciusko,
Miss., are designed to interconnect with the Entergy transmission system.
Both will sell electricity to wholesale customers in the Southeast and
Midwest, TECO said.
Dell is expected to begin commercial operation in the second half of 2002.
Tampa, Fla.-based TECO Energy units include Tampa Electric, Peoples Gas
System, TECO Transport, TECO Coal, TECO Coalbed Methane, TECO Propane
Ventures and TECO Solutions. TECO Power Services have announced projects to
serve customers in 18 states, spanning the southern half of the U.S.
TECO Energy has ownership in nearly 11,000 megawatts, operating, under
construction or in advanced stages of development worldwide.
- New York Power Desk, 646 223-6074, fax 646 223-6079, e-mail
Eileen.Moustakis@reuters.com.

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

Reuters to Provide Its Customers With EnronOnline Quotes

06/05/2001
Business Wire
(Copyright (c) 2001, Business Wire)

NEW YORK--(BUSINESS WIRE)--June 5, 2001--Reuters (NASDAQ: RTRSY), the global
information, news and technology group, today announced the launch of a new
service called "EnronOnline Real-Time Quotes." Subscribers of the service
have access on their Reuters screen to real-time EnronOnline quotes for
power, natural gas, crude oil and refined products, bandwidth, metals, coal,
emission allowances, sea freight and weather derivatives. In addition, the
quotes are archived so users can retrieve, track, view and analyze the
information over time using their Reuters desktop tools.
Users - including traders, analysts and others - can view bids, offers, and
midpoints as well as the high, low, closing midpoint and change from the
previous day. Using their Reuters tools, they can create charts, models,
position reports and other analysis. Subscribers will not be able to transact
on the quotes through Reuters.
Phil Lynch, Reuters America Co-Chief Executive Officer, said: "With the
increased volatility in energy markets and the growth in online commodities
trading, the EnronOnline Real-Time Quotes service will provide a
comprehensive source of market pricing for our customers."
Subscriptions to EnronOnline Real-Time Quotes are available to Reuters
customers globally. The service provides quotes on North American and
European markets. Quotes are available in real-time during EnronOnline's
market hours. In global markets such as crude oil, quotes are updated 24
hours a day, seven days a week. More information on this service is available
at www.reuters.com/enrononlinequotes.
Since the November, 1999 launch of EnronOnline, the world's largest commodity
trading website, customers have completed over one million transactions on
the site. Today, EnronOnline transacts over $3 billion daily in energy and
other commodities.

Note to Editors:

Reuters (www.about.reuters.com) premier position as a global information,
news and technology group is founded on its reputation for speed, accuracy,
integrity and impartiality combined with continuous technological innovation.
Reuters strength is based on its unique ability to offer customers around the
world a combination of content, technology and connectivity. Reuters makes
extensive use of internet technologies for the widest distribution of
information and news. Around 73 million unique visitors per month access
Reuters content on some 1,400 Internet websites. Reuters is the world's
largest international text and television news agency with 2,500 journalists,
photographers and camera operators in 190 bureaux, serving 160 countries. In
2000 the Group had revenues of (pound)3.59 billion and on 31 December 2000,
the Group employed 18,082 staff in 204 cities in 100 countries. Reuters
celebrates its 150th anniversary this year.

Reuters and the sphere logo are the trademarks of the Reuters group of
companies.

EnronOnline is a trademark of Enron Corp.

CONTACT: Reuters Nancy Bobrowitz / Felicia Cosby 646-223-5220 / 646-223-5223
nancy.bobrowitz@reuters.com felicia.cosby@reuters.com or Middleberg Euro RSCG
Bill Ferguson / Ayesha Talwar 212-699-2742 / 212-699-2741
williamf@middleberg.com ayesha@middleberg.com
14:07 EDT JUNE 5, 2001

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

UK: Intl bonds-Telecoms suffer despite positive market.

06/05/2001
Reuters English News Service
(C) Reuters Limited 2001.

LONDON, June 5 (Reuters) - European telecoms firms were hit by rumours of new
issuance and profit taking in the international bond markets on Tuesday while
other industries enjoyed stable prices on good market sentiment.
The Reuters CorpTop index and traders had telecoms spreads - the difference
between the yield on corporate and similarly dated government bonds - between
two and four basis points wider on Tuesday.
Industrial companies and utilities, however, traded two to three basis points
tighter.
The fall in telecoms bonds prices was partly caused by strong indications
from investment banks that Deutsche Telekom is on the verge of launching a
deal for between five and 10 billion euros.
"That rumour has caused some repricing today bu we also have profit taking
after a month-long rally in telecoms prices caused patly by a fall in equity
volatility and partly by a feeling that the harsh part of the storm may have
passed," said one London-based trader.
Telecoms bonds have benefitted from a feeling among many investors that the
immediate danger of credit rating downgrades and further bad news has now
passed.
"Telecoms is a roller coaster but maybe the twists and turns are a little
more gentle than they were four months ago," said one Paris-based trader.
"Also remember that many of these companies are household names and that
attracts the retail market while the possibility of getting a heavier coupon
on further downgrades attracts those out looking for risk," she added.
A good run, however, has triggered some selling as investors look to cash in.
British Telecom's 6.125 percent, February 2006 bond, for example, was trading
two basis points wider on the day, traders said.
Meanwhile, Deutsche Telekom's 6.125 percent July 2005 issue was trading out
seven basis points by 1400 GMT.
Investment banks have been in talks with the German telecom giant for several
months regarding a jumbo bond issue, but Deutsche Telekom's need to make
coupon repayments on outstanding bonds in June and July mean an announcement
is expected soon.
Bankers said they expected the bond to be entirely denominated in euros as
this is where the operator can achieve the best cost of funding.
Deutsche Telekom issued a $14.6 billion transaction last year which was the
largest corporate bond sale ever at the time.
Moody's put Deutsche Telekom's A2 long-term rating on review for a possible
downgrade in March while S&P placed its A-rating on review for a downgrade in
February.
In the primary market insurance firm Swiss Life launched a 300 million euro,
0.50 percent exchangeable bond which can be switched for shares of HSBC
Holdings or Swiss Life itself.
An official from lead manager Lehman Brothers said that the bond was three
times oversubscribed and that a 50 million euro greenshoe - extra bonds held
by the underwriter and released if there is sufficient demand - was also
sold.
The bond was entirely sold to European investors and all buyers where from
major financial institutions, the official said.
Elsewhere in the primary market the European bank for Reconstruction and
Development launched a one billion euro five-year deal. It priced at 52 basis
points over the 4.625 percent May 2006 U.S. Treasury.
Meanwhile, Energy giant Enron sold 10 billion yen due 2004.
British supermarket chain Sainsbury announced that it plans to launch a
benchmark euro bond in the near future. Deutsche Bank and HSBC will lead the
transaction.

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

Natural gas generators considered to ease electricity demand, prices

06/05/2001
Associated Press Newswires
Copyright 2001. The Associated Press. All Rights Reserved.

EUGENE, Ore. (AP) - Natural gas generators could ease demand and prices for
electricity in the southern Willamette Valley, where businesses and utilities
are bracing for skyrocketing rates and power shortages.
The biggest proposal is a 500-megawatt power plant that Texas energy giant
Enron Corp. may build on industrial property in the Coburg area, possibly on
the site where Willamette Industries runs a wood products plant.
By comparison, Eugene and neighboring Springfield use a total of about 450
megawatts.
The rest of the proposals are for smaller operations that mostly would be
connected to local businesses and mills.
"Everyone's looking for power," says Frank Lambe, general manager of the
Emerald People's Utility District.
Even if the Enron plant is built within Emerald's service territory, it
doesn't mean the local utility would get any of the power.
Enron, with revenues of more than $100 billion, typically sells power to the
highest bidder.
In fact, an Enron plant likely would require Emerald to buy another 10
megawatts of electricity on the open market to run the plant's lights,
heating and other needs.
Emerald board member Katherine Schacht, who represents the Coburg area, said
she's concerned that the power from the Enron plant would go to California
rather than helping meet local energy needs.
She also said "there are a lot of questions that need to be asked and
answered" about the plant's impact on water, air quality and other issues.
The Enron plant would be similar to those now under construction in the
Hermiston area and in Klamath Falls. Those plants are several stories high,
emit large amounts of carbon dioxide and consume between 2,000 and 2,400
gallons of water a minute.
Carbon dioxide, a greenhouse gas, isn't a regulated pollutant.
Enron and the businesses considering their own generators would buy natural
gas from the main north-south pipeline that runs down the Willamette Valley.
The plans are only preliminary, but they illustrate growing concern about
future price increases that could reach 100 percent this fall and worries
that the region will suffer energy shortages for the next several years.
Many businesses also see a chance to make money by generating electricity in
a market with wholesale prices that have jumped over $300 a megawatt - 10
times the going rate a year ago.
Enron hasn't applied for any permits for a plant in the Eugene area, nor has
the company given the state an official notice that it intends to build the
plant.
But Enron has notified the Bonneville Power Administration, the federal power
marketing agency in Portland that supplies the Northwest with half its
electricity, that it is considering building the plant.
If Enron does build a plant in the Eugene area, it would need a permit from
the Lane Regional Air Pollution Authority to emit nitrogen oxides and any
other contaminants.
A large plant also would need approval from the Oregon Energy Facilities
Siting Council, as well as local jurisdictions if it requires land use
changes.

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

Waste Management to Start Trading Pulp and Paper (Update1)
2001-06-05 16:15 (New York)

Waste Management to Start Trading Pulp and Paper (Update1)

     (Adds closing share price.)

     Houston, June 5 (Bloomberg) -- Waste Management Inc., North
America's largest trash hauler, formed a pulp- and paper-trading
group to help control the risk of price swings from its recycling
business.
     The largest recycling company, Houston-based Waste Management
expects trading to begin in the third quarter, the company said in
a Business Wire release. It runs 190 facilities for collecting
such items as paper, plastic, glass and aluminum.
     Trading will begin gradually as the company emphasizes
management of the 4 million tons of paper it handles annually,
President A. Maurice Myers said in the statement.
     Other companies also have begun trading in pulp and paper
items such as old newspapers and corrugated containers. Enron
Corp., an energy-trading and pipeline company, is applying its gas-
and power-trading models to paper. It owns a newsprint mill in
Garfield, New Jersey, and another in Canada.
     Waste Management shares rose 56 cents to $28.40. The company
had sales of $12.5 billion last year.

Profile: Power Play, Who's to Blame for the Energy Crisis?; Lowell Bergman,
"Frontline" correspondent, Laura Holson and Joseph Kahn, The New York Times,
discuss the energy crisis

06/04/2001
ABC News: Nightline
(c) Copyright 2001, American Broadcasting Companies, Inc. All Rights Reserved.

Announcer: June 4th, 2001. CHRIS BURY host:
Rolling power blackouts, bankrupt utilities, skyrocketing electricity prices.
Unidentified Man #1: It is the most volatile commodity in the world.
BURY: Are power generators gouging consumers?
Unidentified Woman #1: I think it's pretty appalling that the folks who sell
us power can charge whatever they want.
Mr. KENNETH L. LAY (Chairman, Enron): And every time there's a shortage or a
little bit of a price spike, it is always collusion or conspiracy or
something. I mean, it always makes people feel better that way.
BURY: And right in the middle, a federal agency you've probably never heard
of.
Mr. CURTIS HEBERT (Chairman, Federal Energy Regulatory Commission): They
didn't build this monopolistic system overnight, and we won't change it
overnight either.
BURY: Tonight, Power Play, Who's to Blame for the Energy Crisis?
Announcer: From ABC News, this is NIGHTLINE. Substituting for Ted Koppel and
reporting from Washington, Chris Bury.
BURY: California is known as the great American incubator. From hem lines to
Hula-Hoops, the Golden State gives birth to trends that often spread east.
That is why so many states are paying close attention to California's
troubled attempt at deregulating electricity. Last week, California Governor
Gray Davis asked President Bush for help in the form of a price cap on power
companies. The president said no. Now Governor Davis is threatening to sue
the federal agency that regulates electricity prices. More on that later.
But first, the results of a new ABC News/Washington Post poll. It suggests
that President Bush is developing an energy problem. When asked what they
think of the president's performance on energy, a clear majority, 58 percent,
say they disapprove. That's up 15 percent since Mr. Bush released his energy
plan. When asked if they think the United States is heading into an energy
crisis, six in 10 Americans answer yes.
TEXT:
ABC News POLL The Washington Post
Margin of Error +-3.0%
How do you rate the president's performance on energy?
June 3 May 13
Disapprove 58% 43%
Do you think the US is heading into an energy crisis?
Yes 61% No 36%
BURY: California is already there. For months now, The New York Times and the
public broadcasting program "Frontline" have teamed up to investigate. Their
collaboration, "Blackout," airs tomorrow night on many PBS stations. It
documents a colossal mismatch in the brand new game of buying and selling
power on the open market. It's like the New York Yankees against the Toledo
Mud Hens.
Unidentified Woman #2: We didn't use his five because their minimum was, you
know, higher than what we were willing to pay.
Unidentified Man #2: I'll sell you 108 now.
BURY: (VO) On one side, companies such as Enron, the Texas energy broker,
trade electricity like any other commodity. A sophisticated trading operation
buys and sells billions of dollars worth of energy every day. It's the
largest company of its kind in the world.
Unidentified Man #3: See what I'm saying?
KELLY: CRS. This is Kelly.
BURY: (VO) On the other side, in this converted department store in
Sacramento, is California's trading team.
Unidentified Man #4: This is the operations center. This is the--this is the
location where we make energy purchases and fill the state of California
energy requirements.
BURY: (VO) Here, employees drafted from the state's water department go
head-to-head with the pros from Enron and other companies. Since 1999, the
cost to California has skyrocketed from $7 billion to an estimated $60
billion this year, an increase of 750 percent. And the demand for
electricity, up less than 5 percent.
(OC) In their documentary, reporters for The New York Times and "Frontline"
address a fundamental question, who's to blame? Narrating this segment is
"Frontline" correspondent Lowell Bergman.
Unidentified Man #5: Our forecast reserves look like they'd be pretty thin
over the peak as well.
Unidentified Man #6: How much is...
LOWELL BERGMAN reporting:
(VO) The power industry blames the high prices on shortages brought on by
California's failure to build any major power plants over the last decade,
despite a booming economy.
Mr. LAY: I mean, we have a supply/demand imbalance. Too much demand, too
little supply in California.
BERGMAN: (VO) Not everyone agrees. Consumer advocates in California accuse
the generators of actually withholding supply.
Ms. NETTIE HOGE (Executive Director, TURN): The idea that all of a sudden we
had a supply crunch is preposterous. What happened is, all of a sudden, the
new plant owners and the traders, like Mr. Lay's organization, looked at the
data and figured out how to manipulate the market. As soon as that happened,
the prices never went down again. If it was totally a supply problem, why
would we have excess prices at 5:00 in the morning on Christmas Day when
nobody but Santa is working?
BERGMAN: (VO) The generators, in turn, say they shut down plants for routine
winter maintenance.
Mr. LAY: Every time there's a shortage or a little bit of a price spike, it's
always collusion or conspiracy or something. I mean, it always makes people
feel better that way.
BERGMAN: But you know as well as I do that the price--it's nice for a
business.
Mr. LAY: Yeah.
BERGMAN: You're in the business of--of making money for your shareholders.
Mr. LAY: Mm-hmm.
BERGMAN: Right, as a company?
Mr. LAY: Yeah.
BERGMAN: So you would be foolish, as you said, to turn down the kind of money
you could make this past winter in California. Is--isn't there a...
Mr. LAY: I--I--I think you put words in my mouth out there.
BERGMAN: OK.
Mr. LAY: I said we--we made some money in California. We made some money
across the country and around the world. I mean, and as I tell my friends in
California, Enron was doing quite well before California imploded.
Unidentified Man #7: So you can't blame the Enrons. I mean, they're the
guys--that's--that's what they do. They try to make as much money from the
money that they get invested. You blame the regulators.
BERGMAN: (VO) Across the country, tucked in an out of the way building behind
Union Station in Washington, DC, sits the Federal Energy Regulatory
Commission or FERC. FERC's commissioners are appointed by the president and
control a $250 billion energy sector critical to America's economy. With the
coming of deregulation, state control over wholesale electricity rates passed
to the federal government, making FERC the final arbiter of just and
reasonable rates. It's a power FERC has been reluctant to use.
Curt Hebert is a protege of Senator Trent Lott, who convinced President
Clinton to appoint Hebert to the FERC in 1997. In January, President Bush
made him the FERC chairman, and Hebert has made no bones about where he
stands on free markets.
Mr. HEBERT: The rules of competition govern that economies work, that choice
works. It's why we're American. We inherently like choice. It's why we left
the mother country. We didn't like the rules they were setting. We wanted to
make our own rules. We want our own choices and we believe that works.
BERGMAN: OK, but is electricity different?
Mr. HEBERT: It's a transition . It takes some time. Look, they didn't build
this monopolistic system overnight, and we won't change it overnight either.
Mr. WILLIAM MASSEY (FERC Commissioner): Without some effective price control
this summer, I fear for the worst.
BERGMAN: (VO) William Massey is a FERC commissioner, a Democrat, who has
found himself in opposition to his chairman.
Unidentified Man #8: Mr. Massey, what is the nub of the disagreement that you
have with Mr. Hebert?
Mr. MASSEY: I think what it boils down to is a philosophical disagreement
about the role of my agency in ensuring just and reasonable prices.
I think it's long past time for this agency to step in and--and impose a
temporary time out on the markets.
Mr. HEBERT: Well, that is the problem because these people are saying
temporary, but they don't mean temporary. It's kind of like the temporary
rent control you have in New York. It's not temporary at all. Matter of fact,
you know, in Washington, DC, we don't do temporary very well, and that's a
problem.
BERGMAN: (VO) In fact, late last year, after six months of unrelenting high
prices in California, the FERC finally did declare California's rates unjust
and unreasonable, but took no action.
Governor GRAY DAVIS (Governor, California): So they found these people guilty
a year ago. They just haven't agreed on the sentence.
BERGMAN: Well, we talked with Curt Hebert. And we got...
Gov. DAVIS: Well that's, you know.
BERGMAN: That's what?
Gov. DAVIS: Lots of luck.
BERGMAN: What do you mean, "Lot's of luck"?
Gov. DAVIS: Because...
BERGMAN: He's the federal--he's the guy you are turning to to give you the
money.
Gov. DAVIS: He is the chairman of the commission. But he has not been overly
sympathetic to California. He's more of an ideologue than a problem solver.
BERGMAN: Well, he's saying you just want him to give you short-term relief,
price caps, which won't solve the problem.
Gov. DAVIS: Problems meaning fattening the balance sheet of already
enormously wealthy energy companies.
BURY: How much blame do the energy companies really deserve?
BERGMAN: Watch your--your heating bills, your natural gas bills, which are,
to a certain extent, reflected in your electricity bill. And don't think that
this couldn't happen where you are.
BURY: And how much of this energy crisis did California bring upon itself?
Those questions when we come back.
Announcer: This is ABC News: NIGHTLINE, brought to you by...
(Commercial break)
BURY: Joining us from Boston, Lowell Bergman, the correspondent for
tomorrow's "Frontline" broadcast. From our Los Angeles bureau, Laura Holson,
a business correspondent for The New York Times, who's been covering the
California energy crisis. And here in Washington, Joe Kahn, who reports on
energy and economics for The New York Times.
Laura, just before the break, we heard California Governor Davis blaming the
energy companies and the federal regulators. How much of his argument is
sinking in. In other words, whom do Californians blame for this?
Ms. LAURA HOLSON (The New York Times): The interesting thing is Californians
blame everybody for this ap--for what has happened with the energy crisis.
They blame the governor for not responding quickly enough to a crisis that
started, you know, a year ago, if you really, you know, look at when prices
starting going up. They are angry at their utilities who they feel have
failed them. They have often had very close kind of paternal relationships
with their utilities and they feel that they've been cheated. And they are
very angry with the power generators, in particular, who they feel are
charging them just exorbitant amounts for energy.
In particular, there was a company last week, a power generator that said it
charged consumers, rather the utilities, 4,000, nearly $4,000 per megawatt
hour, which is enough to light a thousand homes for one hour. And when they
heard this, they were outraged. They just thought, you know, `How can this
be? How can we get,' in their terms, kind of ripped off by power generators
who are using them to make, you know, a lot of money.
BURY: Joe Kahn we heard those poll numbers from this survey out tonight
suggesting that President Bush has a bit of a public relations problem on
energy. How is that going to affect the politics here in Washington?
Mr. JOSEPH KAHN (The New York Times): Well, clearly the--President Bush and
the White House are calculating that by the time people have to go to the
polls to select a new president, a slew of new power plants will be online in
California. Electricity prices, presumably, will come down quite a bit and
their free market stance on this will not ultimately cost him at the polls.
It's not as clear that Republicans in the Congress have the same commitment.
This has already been a very turbulent time in Washington with the Democrats
now in control of the Senate. I think you can expect to see a legislative
initiative by the Democrats to introduce some kind of price caps in
California. Some Republicans may sign on to that. Some have already indicated
that they will. It's going to be a real knockdown political flight--fight in
Washington over what the strategy ought to be.
BURY: Lowell Bergman, talk a little bit about that free market activity that
Joe just mentioned. We saw the clip from your documentary with the--the
traders from Enron pitted against the--the buyers from California. And I must
say, it really did look like a mismatch.
BERGMAN: Well, in fact, some of the people at Enron told us that they welcome
the day when PG&E and Southern California Edison, the regular utilities get
back in the marketplace because they do feel like they've got them, if you
will, outgunned. And--but I should point out to the audience, that when Laura
was talking about this $3800 a megawatt hour, which was Duke Energy Company,
the normal price, if you will, the standard price for a megawatt hour was
around 40 or less. So the level of profit that we're talking about is what
people are upset about. And the problem here is--is primarily that in a free
market and the way that the marketplace in California is set up in
particular, there's no limit to what could be--could be charged when you get
close to that area of scarcity with electricity. Electricity truly is
different and as Jeff Skillings says in our documentary, he's the CEO of
Enron, it is the most volatile commodity in the world.
BURY: Yet, at the same time, Joe, we are seeing electricity traded as if it
were oil or soybeans or steel. I mean, how is electricity different?
Mr. KAHN: Well, for economic reasons, it's different in a--in a couple of key
respects. For one thing, it's an absolutely vital commodity. People aren't
prepared to do without it. Moreover, electricity powers every other part of
the economy. So, it's one of these sort of fundamental rights that we have.
In fact, as far back as the New Deal, Franklin Roosevelt made clear that
electricity was so important that it would be subject to federal legislation
guaranteeing everybody in this country just and reasonable electricity
prices.
BURY: But just and reasonable electricity prices, Laura, do you want to pick
up the question of well, who determines what's just and reasonable here?
Ms. HOLSON: Well, it's very clear that President Bush believes that the
market, you know, sets what's just and reasonable. And, you know, that has
not been what Governor Davis has said at all. He believes that because this
is a commodity that people, you know, believe is guaranteed that there should
be some price cap on it. It's an interesting, if you will, situation when
business and politics kind of intersect. Governor Davis said very early on
that he did not want two things to happen in California. One is that the
utilities would go bankrupt and the second was that rates would be raised for
consumers. And he's in a very tight spot right now because those two things
that he did not want to happen indeed have happened. And it only looks like
it will get worse this summer when experts have said Californians can expect
another 260 hours of blackouts.
BURY: Laura, we have to take a break. But when we come back, we want to
address the question of whether power companies are doing what just comes
naturally to them. Back with our guests in a moment.
(Commercial break)
BURY: We're back with "Frontline"'s Lowell Bergman and Laura Holson and Joe
Kahn of The New York Times.
Joe, aren't these power companies doing exactly what they are supposed to be
doing, which is maxi--maximizing profits and to get the biggest return for
their shareholders?
Mr. KAHN: Sure. That's their responsibility. They--they have no excuse for
arbitrarily lowering the price that they could charge for electricity if the
market will bear a higher price.
BURY: Lowell Bergman, in your documentary, do you find any evidence that the
power companies are--are gouging consumers or doing anything illegal?
BERGMAN: Well, illegality, no one really has any serious evidence, although
there have been lots of allegations and there's been lots of speculation
about it. But we should also point out in the documentary and in The Times
that some of the companies are starting to realize, it seems, that even
though they are owed hundreds of millions, in some cases $500 million or more
still by these bankrupt utilities, they're going to have to take a hair cut
as Governor Davis describes it. They're going to have to make some bargain.
And I think we may...
BURY: Let me jump in there. What do you mean they're going to have to get a
hair cut?
BERGMAN: Well, apparently, that's Governor Davis's way of telling them that
they're going to have to take less to a--less than a full dollar payment for
what they are owed, and that there has to be some kind of settlement here of
between the various parties, other we're not--otherwise we won't see any
progress.
BURY: Lowell, one of the old cliches in investigative reporting is follow the
money. And much has been made of this argument that the Bush administration,
accusations have been made, that the Bush administration is too cozy with the
power companies and the power company regulators. What did you find in your
reporting?
BERGMAN: Well, we found that Vice President Cheney was very up front about
it, I mean, about his relationship with Ken Lay, the head of Enron, the fact
that he built a stadium for Enron when he was head of Halliburton. You know,
the vice president is the first CEO of a Fortune 500 company to hold
presidential office in the history of the United States. So--but they are
very open and up front and balance this relationship with their friends and
with the people who they feel comfortable with.
BURY: Laura Holson, this idea that so many Texas companies are profiting from
California's misery, as it were, I suppose Californians find that
particularly infuriating.
Ms. HOLSON: It's funny, in the San Francisco Bay area when I was growing up
near there, there was this great rivalry between the San Francisco 49ers,
which is, as we all know, a football team and the Dallas Cowboys. And that
seems to be replaced, if you will, with consumers in California who look at
Texas gen--at, you know, a lot of the power generators, which are based in
Texas, and who they feel now are just, you know, making a lot of money off
them. It's--there's always been a rivalry between those two states. And now I
think it's deeply personal because it's hitting consumers, or as they believe
it, it's hitting them in their pocket books.
BURY: Joe Kahn, how long before these new power plants are going to be coming
on line? And before they do, or in the time before they do, what--what is it
that the federal government can do to help California out?
Mr. KAHN: Well, it--it will probably be about 18 months before sufficient new
power comes online in California to start substantially changing the supply
and demand equation there. And that's a very speedy pace. That's with a very
expedited permit process for new plants. The governor in California has put a
lot of effort into building new plats--plants quickly.
BURY: So what happens between now and then?
Mr. KAHN: Well, that's the question. That's the debate. The Federal Energy
Regulatory Commission has the power under the Federal Power Act, in fact some
people argue it has the obligation under the Federal Power Act to ensure that
just and reasonable electricity rates prevail in California at all times. It
can't just selectively choose the times. And it has already found at the end
of last year that rates in California are unjust and unreasonable.
BURY: So what's it doing about that?
Mr. KAHN: Well, it's--it's tried a variety of compromise measures so far,
very limited price controls on certain kinds of electricity sales during
emergency hours. So far that appears to be an insignificant contribution to
reducing the overall electricity bill in California.
BURY: Laura, Governor Davis is demanding wholesale price controls. President
Bush has made it pretty clear that he's not going to lean that way. What
options does Governor Davis have?
Ms. HOLSON: You know, it's--again he's stuck in this place where it--it
doesn't look like he's got any kind of real out. I mean, he can try to
demand. He can demand as much as he wants from the power generators, but if
the federal government doesn't step in, he really can't do anything. The
interesting thing, at least I see kind of going forward, is how Californians
have really adapted to a really, you know, awful situation. There's a law
that's being proposed right now in California in which businesses will know
months in advance whether their neighborhood is going to be impacted by a
blackout so they can plan. I mean, we've almost turned into--if anybody
remembers traveling through Italy during their college days, you always kind
of knew when the airlines or the trains were going to go on strike because
they told you a day ahead of time. And that's very much what's happening in
California where they're warning people, you know, two days, an hour, you
know, one day ahead of time so that they can prepare.
BURY: That's a pretty dark scenario. Lowell, we just have a few seconds left,
what lessons should the rest of the country take from California's crisis?
BERGMAN: Well, watch your--your heating bills, your natural gas bills, which
are to a certain extent reflected in your electricity bills. And don't think
that this couldn't happen where you are. And I think that the industry itself
is beginning to understand that the crisis in California may, in fact, impact
on the future of deregulation nationally.
BURY: Lowell Bergman, Laura Holson, Joe Kahn, thank you so much for joining
us tonight.
BERGMAN: Thank you.
Mr. KAHN: Thank you.
Ms. HOLSON: Thank you.
BURY: When we come back, an update on a NIGHTLINE broadcast from just over a
month ago.
Announcer: To receive a daily e-mail about each evening's NIGHTLINE and a
preview of special broadcasts, logon to the NIGHTLINE page at abcNEWS.com.
(Commercial break)
BURY: In May, we profiled the case of death row inmate Johnny Paul Penry,
convicted of murdering the sister of a former pro football player. Today, the
Supreme Court overturned Penry's death sentence. It ruled, six to three, that
the jury did not have clear instructions on how to weigh his mental
retardation when it sentenced him. The court will take up the broader issue,
whether executing the mentally retarded is cruel and unusual punishment, in
its next term.
That's our report for tonight. I'm Chris Bury in Washington. For all of us
here at ABC News, good night.

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


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Neither ENA/RAC/EGF employees nor family members or others living in their
household or financially dependent on the ENA/RAC/EGF employee may purchase
or sell securities of any entity (or derivatives thereof) listed on the
Restricted List for your or their personal or related accounts or recommend
the purchase or sale of such securities to any person, except with the prior
approval of the Compliance Department in consultation with the ENA Legal
Department.

In addition to the trading restrictions above, should you at any time possess
non-public material information about any public company, you, your family
members and anybody that is financially dependent on you, are restricted from
trading in that issue, and you may not disclose the non-public material
information to anyone that does not have a business need to know.

Company Name Stock Symbol

3 TEC Energy Corp.       TTEN
Active Power ACPW
Adrian Resources ADRRF
Beau Canada Exploration Ltd BAU CN
Belco Oil & Gas Corporation BOG
Bonus Resource Services Corp BOU
Brigham Exploration BEXP
CanFibre Group Ltd. CFGL
Carrizo Oil & Gas Inc. CRZO
Costilla Energy COSE
Crown Energy CROE
CyNet, Inc. CYNE
Cypress Energy CYZ
Esenjay Exploration ESNJ
FirstWorld Communications Inc. FWIS
Hanover Compressor Co. HC
ICE Drilling Enterprises Inc. IDF
Industrial Holdings, Inc. IHII
Inland Resources, Inc. INLN
Kafus Environmental Industries, Inc. KS
Nakornthai Strip Mill Public Co Ltd NSM SET
Paladin Resources PLC PLR LD
Paradigm Geophysical PGEOF
Place Resources, Inc. PLG CN
Quanta Services Inc. PWR
Queen Sand Resources, Inc. QSRI
Quicksilver Resources Inc. KWK
Saxon Petroleum, Inc. SXN CN
Southwest Royalties SWROY
Startech SEH CN
Syntroleum Corp. SYNM
Tejon Ranch Corp. TRC
Tetonka Drilling TDI
TransCoastal Marine Services, Inc. TCMS

The Restricted List is solely for the internal use of ENA/RAC/EGF.  No one
may engage in discussions regarding whether a security is or is not on the
Restricted List with persons outside ENA/RAC/EGF without specific clearance
from the Compliance Department in consultation with the ENA Legal Department.

In addition to the above, you are reminded that pursuant to Enron Corp.'s
Risk Management Policy ("Policy"), no ENA/RAC/EGF employee may engage in the
trading of any "Position"  ("Position" means any  commodity, financial
instrument, security, equity, financial asset or liability that are
authorized for trading in
the

Policy for the benefit of any party other than ENA/RAC/EGF, whether for
his/her own account or the account of any third party, where such Position
relates to (i) any commodity,  financial instrument, security, equity,
financial asset or liability which falls within such employee's
responsibility at ENA/RAC/EGF or (ii) any energy commodity.

The prohibitions listed above do not replace or modify the policies set forth
in ENA's Policies and Procedures Regarding Confidential Information and
Securities Trading, Enron Corp.'s Risk Management Policy, or Enron Corp.'s
Conduct of Business Affairs.  Should you have any questions regarding the
above, please contact me at ext. 31939.


Hook 'em!


Sorry - we missed this one. Don't hit maximize on the work queue.  Appears
you can re-size the work queue window (stretch the window size).
Maximize will cause errors.

 -----Original Message-----
From:  Lombardi, Kelly
Sent: Monday, April 16, 2001 4:06 PM
To: Engel, Thomas
Cc: Lees, Lisa; Lambert, Karen
Subject: RE: Error message

Tom:
Below is an error message received by our contracts group.  Could you please
look into this issue?  Let me know if you should need any more info.
Thanks:
Kelly@5.8491
---------------------- Forwarded by Kelly Lombardi/NA/Enron on 04/16/2001
03:52 PM ---------------------------

	Susan Elledge 04/16/2001 02:59 PM

To: Kelly Lombardi/NA/Enron@Enron
cc: Karen Lambert/HOU/ECT@ECT

Subject:

Kelly,

I get this error message after I update profile manager, but only after I
maximize and change the column widths on the work queue screen.  Can someone
look into this?

Thanks,
Susan


Hi Sara.

With all due respect Sara, I have a constructive suggestion for both of us.
In Anna's view, and I agree, it is causing some unnecessary confusion that
you call her to negotiate provisions of the contract that I am negotiating
with her without my knowledge.  It makes both you and I look disorganized and
in doing so, I beleive it undermines our position in negotiating the terms.
As a practical matter, it is extrmemly difficult to negotiate a contract and
administratively organize the execution if I am not sure whether there is
someone else taking steps (especially with outside counsel that I am not
aware of.)   If you have asked me to negotiate an agreement -- as in the case
of Enron Credit Inc. -- and you have an update on the status -- having sat in
on the conference call on Friday, then why not let me do so?  At the very
least, could you call me first for an update or try to include me in the
call.

Equally important, while I am sure that it is not your intent, you are
undermining my morale.  I have constantly kept you updated  -- sometimes on
an hourly basis -- on the status of what is going on with all of the
administrative and legal tasks.   To call outside counsel under those
circumstances  comes across as a vote of no confidence in my work and efforts
which is baffling to me because I think I have worked hard and have
accomplished a tremendous amount with respect to the brokerage agreement
project.   I have negotiated these agreements with a great deal of
thoughtfulness and skill. I have gone above and beyond even to determine
applicable law that no one else was aware of.

Moreover on Friday (again without intending to do so) you undermined my
morale by telling me that there were administrative tasks that needed to be
done.  You said that you hope I know that the agreement does not just become
executed once we sign it.  Sara, it should be obvious to you that I know --
perhaps better than anyone else -- what administrative tasks need to be
accomplished to open this kind of brokerage account.  I have even figured out
that there are administrative tasks beyond what any one else is aware, for
example, in the case of the ancillary NASDAQ agreements, that no one else was
aware had to be completed.  I have proven already that I can execute all of
the administrative tasks in an expedited manner.

I want these comments to be taken in the spirit in which they are given --
which is that we both mean well and are working toward a common goal and that
everyone can learn from anyone.  I look forward to talking to you further so
that we do not let the frantic nature of our work make any one feel that
their efforts are not valued.

Cheryl Nelson
Senior Counsel
EB3816
(713) 345-4693


I'm trying to clean up after Blue Girl.  Can you tell me again who signs for
LJM so that I can get signature?  Who does their legal work?

Thanks,

Kay
---------------------- Forwarded by Kay Mann/Corp/Enron on 12/20/2000 06:58
PM ---------------------------

Kay Mann
12/15/2000 01:22 PM
To: Lynn.DeKrey@swpc.com
cc:

Subject: THE agreement

With high hopes that this is the FINAL final version, I'm attaching what I
believe to be the execution copy.  Some things have been cleaned up, and
Brownsville has been added to paragraph 5.  I'm going to start collecting
signatures.

Thanks,

Kay


Lets get on the phone today with (1) Bridgeline, (2) Gulf South, and (3) Dow to define a process for getting this sale done.  When are you available?

Regards,
Brian

 -----Original Message-----
From: 	Zisman, Stuart
Sent:	Wednesday, January 02, 2002 1:44 PM
To:	Redmond, Brian
Cc:	Nemec, Gerald
Subject:	Bridgeline

Any word from Bridgeline regarding their (i) level of interest/ability to purchase the pad gas in Caverns #13 and #14 and/or (ii) willingness to pay the lease payment for Q4 directly to Dow?  Please advise.

Stuart


Nora:
You may want to let the folks at Milbank and V&E know to send you stuff
instead of Scott.  My contacts in Houston from V&E are Trina and Alicia and
in London is Jeff Eldredge.  Mark Evans is my internal legal contact in
London.
Carol
----- Forwarded by Carol St Clair/HOU/ECT on 05/16/2000 11:48 AM -----

	JMCBrien@milbank.com
	05/16/2000 09:49 AM

		 To: sdwyer@enron.com, mabboudy@enron.com, aedgley@enron.com,
mevans@enron.com, plord@enron.com, baiken@enron.com, bglisan@enron.com,
mike.jakubik@enron.com, jbadillo@enron.com, jginty@enron.com,
donette.dewar@enron.com, alvaro.camarero@enron.com, sschard@enron.com,
dscott@dlj.com, rcabes@dlj.com, scott.sefton@enron.com,
carol.st.clair@enron.com, dhemsey@dlj.com, jball@dlj.com, pwoodbur@dlj.com,
rpiskadl@dlj.com, nora.dobin@enron.com, bherman@dlj.com,
melissa.p.allen@arthurandersen.com, cclementdavies@velaw.com,
jeldredge@velaw.com, smacgibbon@velaw.com, tchandler@velaw.com,
acurry@velaw.com, schimberg@velaw.com, mkidwell@velaw.com, awright@velaw.com,
eosterberg@velaw.com, mrh@mm-brig.mottmac.com, jl1@mm-brig.mottmac.com,
ross.newman@db.com, robert.mohamed@db.com, craig.orchant@db.com,
bryony.juffkins-u@db.com, eddy.altenhoven@db.com, deirdre.breheny@db.com
		 cc: TSiebens@milbank.com, PFletcher@milbank.com, TDavis@milbank.com,
BKayle@milbank.com, LKeene@milbank.com, FKneip@milbank.com,
FPuleo@milbank.com, ERayner@milbank.com, MWilson2@milbank.com,
AWalker@milbank.com, JEveling@milbank.com
		 Subject: Project Margaux - Revised Swap Documentation

Please find attached clean and blacklined versions of the Swap Documentation
for Project Margaux.? The blacklined versions show changes made since the
documents were last distributed to the working group on 9th May.

Regards,

James Eveling.

 <<#20040754 v13 - Draft Swap Confirmation.doc>>  <<#20040755 v3 - Margaux
Schedule to ISDA Master Agreement 20 April.doc>>  <<#20040756 v7 - Margaux
Swap Assignment Agreement.doc>>

 <<#20040754 vRED - Draft Swap Confirmation.rtf>>  <<#20040756 vRED - Margaux
Swap Assignment Agreement.rtf>>  <<#20040755 vRED - Margaux Schedule to ISDA
Master Agreement 20 April.rtf>>

This e-mail message may contain legally privileged and/or confidential
information. If you are not the intended recipient(s), or the employee
or agent responsible for delivery of this message to the intended
recipient(s), you are hereby notified that any dissemination,
distribution or copying of this e-mail message is strictly prohibited.
If you have received this message in error, please immediately notify
the sender and delete this e-mail message from your computer.

 - #20040754 v13 - Draft Swap Confirmation.doc
 - #20040755 v3 - Margaux Schedule to ISDA Master Agreement 20 April.doc
 - #20040756 v7 - Margaux Swap Assignment Agreement.doc
 - #20040754 vRED - Draft Swap Confirmation.rtf
 - #20040756 vRED - Margaux Swap Assignment Agreement.rtf
 - #20040755 vRED - Margaux Schedule to ISDA Master Agreement 20 April.rtf


---------------------- Forwarded by Mike Carson/Corp/Enron on 07/20/2000
08:44 AM ---------------------------

Chad Starnes@ECT
07/19/2000 12:21 AM
To: Jeff King/Corp/Enron@Enron, Richard Hrabal/HOU/ECT@ect, Cyril
Price/HOU/ECT@ECT, John Kinser/HOU/ECT@ECT, Kayne Coulter/HOU/ECT@ECT, Rudy
Acevedo/HOU/ECT@ECT, Larry Jester/Corp/Enron@ENRON, Don Baughman/HOU/ECT@ECT,
Juan Hernandez/Corp/Enron@ENRON, Wayne Herndon/Corp/Enron@ENRON, Dean
Laurent/HOU/ECT@ECT, Keller Mayeaux/Corp/Enron@Enron, Doug
Miller/Corp/Enron@Enron, Joe Stepenovitch/Corp/Enron@Enron, Greg
Trefz/Corp/Enron@ENRON, Miguel Garcia/NA/Enron@ENRON, Mike
Carson/Corp/Enron@Enron, Ashton Soniat/Corp/Enron@ENRON, Lisa
Burnett/Corp/Enron@Enron, Maria Valdes/Corp/Enron@Enron, Julie
Ferrara/HOU/ECT@ECT, Courtney Votaw/HOU/EES@EES, Jason Choate/Corp/Enron@ENRON
cc:

Subject: This weekend

This Saturday I am having an informal gathering at my house for those of you
that are free to attend. People should start arriving around 8:00, so stop by
whenever you want.

Directions: We live off Memorial
Coming from 610 towards downtown stay on Memorial, go
past the Park and take a Left onto Detering. You will
go through a stop sign then you take a right on a
street called Floyd. Floyd will end directly into our
complex. Our house is in the back left. The address
is:
662 Lester
Houston Tx 77007

Thanks!


Suggest we hold off for now until we get the working gas deal done with Bridgeline.  Its good info to know that someone is interested in the capacity.

 -----Original Message-----
From: 	Meyer, Chris
Sent:	Tuesday, January 22, 2002 3:21 PM
To:	Nemec, Gerald; Zisman, Stuart
Cc:	Parks, Joe; Redmond, Brian
Subject:	ENA's position on Bridgeline Storage/Transport

Spoke w/ El Paso's pipeline group this p.m..  They are extremely interested in pursuing discussions.  I did not disclose contract specific details....just explained the benefits of owning a position on Bridgeline.  El Paso believes they already have authority to purchase transport/storage on other pipeline assets through SONAT.  If they are correct, the time period to transact is significantly reduced.

Do we need to send a letter to Bridgeline to get authority to share contract specific info??? In other words, give direction on how to pursue.

cmm


Willie Harrell Security Request approved.
Sally Beck


Here is the attachment.
Cheryl Nelson
Senior Counsel
EB3816
(713) 345-4693
http://gss.enron.com/
----- Forwarded by Cheryl Nelson/NA/Enron on 05/10/2001 05:41 PM -----

	Cheryl Nelson
	Sent by: Cheryl Nelson
	05/10/2001 05:33 PM

		 To: John Greene/LON/ECT@ECT, Gary Hickerson/HOU/ECT@ECT, David J
Vitrella/Enron@EnronXGate, Sheila Glover/HOU/ECT@ECT, Theresa T
Brogan/HOU/ECT@ECT, Aneela Charania/HOU/ECT@ECT, Sara Shackleton/HOU/ECT@ECT,
Mark Taylor/HOU/ECT@ECT, Stephanie Panus/NA/Enron@Enron, Paul
Pizzolato/Enron@EnronXGate
		 cc:
		 Subject: Updated Brokerage & Related Agreement List

Attached is the most recent update on the status of brokerage/related
agreements you have requested.   Most agreements have been fully executed
including most recently, ITG-Europe

Reminder: I will be out of the office tomorrow and Monday.  If you have
questions in my absence about any agreements on this list, please contact
Stephanie Panus at 5-4239.

Cheryl Nelson
Senior Counsel
EB3816
(713) 345-4693
http://gss.enron.com/


please take care of this.
---------------------- Forwarded by Scott Neal/HOU/ECT on 01/03/2001 03:37 PM
---------------------------

Louise Finlay <lfinlay@plnrs.com> on 01/03/2001 01:48:09 PM
To: "'jeff.ader@enron.com'" <jeff.ader@enron.com>, "'mark.davis@enron.com'"
<mark.davis@enron.com>, "'stephen.douglas@enron.com'"
<stephen.douglas@enron.com>, "'scott.neal@enron.com'" <scott.neal@enron.com>,
"'brian.redmond@enron.com'" <brian.redmond@enron.com>,
"'eric.thode@enron.com'" <eric.thode@enron.com>, "'scott.tholan@enron.com'"
<scott.tholan@enron.com>, "'john.thompson@enron.com'"
<john.thompson@enron.com>, "'john.zufferli@enron.com'"
<john.zufferli@enron.com>
cc: "'dorie.hitchcock@enron.com'" <dorie.hitchcock@enron.com>
Subject: ENA Offiste Meeting

 Due to the postponement of the ENA Offsite Meeting in Las Vegas (Dec
13-15), your airline reservation was cancelled.  Enron has chosen to ask us
to apply the value of your nonrefundable ticket for this meeting towards the
cost of a new non-refundable ticket for a future business trip, saving Enron
several thousand dollars in unused tickets. A $75.00 airline re-booking  fee
will be charged in addition to the cost of the flight selected. This ticket
must be booked and used within the next 12 months.
 Please contact Joel Juarez at Planners Services Group (only) at
281-586-8181 with your upcoming travel needs, and all details   for a
replacement ticket will be coordinated.

 Regards,

  Louise Finlay, Travel Manager
Planners Services Group Inc.
14511 Falling Creek, Suite 307,
Houston, Tx    77014
Phone:    281-880-1926
Fax:        281-586-9980
Cell -  832-423-0613
lfinlay@plnrs.com


Here is my shot at it.

 -----Original Message-----
From: 	Taylor, Gina
Sent:	Thursday, November 01, 2001 11:22 AM
To:	Howard, Kevin A.; Hayslett, Rod
Subject:	Q&A for NNG/TW Supported $1Billion Line of Credit
Importance:	High

Kevin and Rod,

I'm working with Corp. PR to develop q&a's for the press release that communicated Enron securing commitments for additional $1billion in financing.

Would you both take a look a the questions and answers and fill in the missing/incorrect information?

Can I hear back from you this afternoon?  This document will have to be reviewed by legal before finalized.

Thanks for your help.

Gina

 << File: Financing commitment q&a.doc >>


BUSINESS HIGHLIGHTS

Enron Mexico
Jaime Williams will head up the Monterrey office with responsibility for Risk Management and Trading.  Steve Irvin will take over responsibility for all origination activities in Mexico and will be based in Houston.  Both Jaime and Steve will report directly to the Office of the Chair, Enron Americas.

Weather
The weather desk is rapidly expanding.  With a presence in Houston, London, Sydney, and Tokyo (and possibly in New York), the desk has expanded from about 15 people in January to a current count of over 40 globally.  Mark Tawney recently went to Tokyo to explore joint marketing efforts with significant Japanese corporations and to meet with the newest additions to the Tokyo weather team.  Paul Murray (reporting to Mark) is leading the European effort out of London and has already increased the staffing there from 1 to 5.  If you're in the London office, please take him out to a pub or two - apparently he's had trouble finding them on his own.  If you have interest in joining an exciting new industry, please feel free to call Dave Hill at x34218.

IN THE NEWS

Goldman Sachs Analysts, David Fleischer, David Maccarrone and Eric Mandelblatt on Enron in their latest analyst comment, "A LOT Better Than it Feels; Prospects Never Better:  Raising Estimates":

"Our confidence in the direction of ENE's strategy and our conviction in the continuing strong execution of its business plan continue to be extremely high. "

"... investors have cast doubt about both the company's strategy and management's execution of its wide ranging and ambitious business plans. We have no such doubt."

"We absolutely believe that Enron's very broad capabilities are transferable to a wide variety of products and commodities and also see it as critical to emphasize that the company's wholesale operation is much more than the trading business may view it as being. . ."

WELCOME
New Hires
EGM  - Richard Friedman, Vivek Kumar, Alex McElreath, Fred Radvansky, Jonathan Sarley, Pat Twohy
EIM   - Tim Reed, Sonia Trevino, Greg Worsham
ENA  - Alisha Mahabir, Jennifer Smith, Nancy Turner

NUGGETS & NOTES

Travel tip of the week:
Car rental contracts for year 2001 have been awarded to National Car Rental and Alamo Rent-a-Car.  Please communicate the contract identification number at the time the reservation is made.
	Alamo		  143974
	National		5000838

Insurance is included in Enron's negotiated rates; if asked please decline the Optional Liability Insurance and Collision Damage Waver offered by the gate agent.  Coverage applies only if the appropriate contract identification number has been communicated.  Negotiated discounts represent 20% off customary rates.

Congratulations to Derrick and Paula Harris, manager in Business Analysis and Reporting, on the birth of daughter, Jazmine Kay on June 14, 2001.

Congratulations to Shannon and Greg Whiting, director in BA&R, on the birth of their daughter, Irene Elizabeth, on Friday, June 22, 2001.

EnronOnline Statistics

Below are the latest figures for EnronOnline as of June 29, 2001

	*Total Life to Date Transactions > 1,150,000
	*Life to Date Notional Value of Transactions > $684 billion

NEWS FROM THE GLOBAL FLASH

EES Europe Lands First Outsourcing Deal
Congratulations to EES Europe who recently clinched their first outsourcing transaction with supermarket giant, Sainsbury's.  The deal means EES will provide gas and electricity to all 493 Sainsbury's properties in the UK including stores, offices and depots. EES will also manage a program of energy reduction measures designed to improve energy efficiency at Sainsbury's facilities.

Stuart Rexrode, Vice President of EES Europe, said: "This was a sensational team effort - a fantastic achievement for EES Europe and a truly groundbreaking transaction in the marketplace.  The whole group should all be extremely proud and I am confident that this is the start of many more outsourcing deals to come."

EBS Europe
EBS Europe has just completed its 100th transaction. The transaction involves a 12-month contract for an STM-4 circuit from London to Madrid. This capacity is equivalent to approximately 830 DSL lines or Internet connections into the home.  Commenting on the achievement, Matthew Scrimshaw, President of EBS Europe said, "This is just one of the many milestones that EBS will achieve, as we continue to create a market for bandwidth trading and origination."

Pioneering International Coal Agreements Signed
Enron has signed a five-year agreement with Spanish utility HidroElectrica del Cantabrico for the import of at least 600,000 tonnes of steam coal per annum in Enron's first long-term coal import deal into Spain.  The agreement gives Enron full optionality with regard to sourcing, timing and quantity of coal supply, which will be delivered via the port of Gijon in northern Spain and transported by rail and truck to a number of coal-fired power stations, predominantly in the north of the country.  Gijon itself could become a trading hub for Spain's rapidly expanding coal market. "Spain is experiencing strong demand growth for electricity generation and with an annual production of only 17 million tonnes of expensive, low-quality coal at its disposal, the country has a need for new, flexible sources of supply - so there's lots of opportunity for us to extend the scope of our agreement," says Sam Grossman, Enron's coal group director who led the team which included Katrina Bensadon and Janet Wood with support from the coal and freight teams.

In a separate agreement Enron's first foray into the US coal import market is delivering a cargo of Colombian coal to Dynergy via the Mississippi and two further cargoes of 45,000-60,000 tonnes to northeastern US utilities via Charleston, south Carolina.  With coal supplying the fuel for more than half of the USA's power generation and the domestic coal market showing high prices - the Nymex coal price has doubled over the past year - this is an excellent time for Enron to help meet customer demand.  "This is a classic Enron deal exploiting optionality," says Sam Grossman.  "We were able to redirect one of our coal cargoes bound for Europe and find an alternative source to fulfill the European order."  The import agreement is expected to encourage other counterparties into the US coal import market.  Congratulations to Sam, Peter Bradley, Lenny Hochschild and the Enron freight desk.

LEGAL STUFF
The information contained in this newsletter is confidential and proprietary to Enron Corp. and its subsidiaries.  It is intended for internal use only and should not be disclosed.

<Embedded Paintbrush Picture>


I know how incredibly busy you all are, so I'm sure that making a pledge to
Jeff for the MS150 has simply slipped your mind.  Well the ride is this
weekend, time is running out and we need you!

Enron's goal is to raise $700,000, and Jeff's personal goal is to raise
$50,000.  As of today, we are a little better than half way there.  Won't you
consider helping him reach his goal?

Thanks for your consideration.  I look forward to hearing from you tomorrow...

Sherri :-)


Bill as per your request, presented below is a status of the air permitting
activity by the agencies as of today 11/01/01.

Stations 1 and 2. The EPA has completed is review of these state permits and
has sent them back to the ADEQ for comment.  I have spoken to Shudeish, the
permit engineer for the ADEQ, and he is reviewing EPA's comments as this e
mail is being written.  He will give me a call when his review is complete,
but he does not anticipate any major issues which cant be resolved prior to
the public hearing.  These permits went out for public notice on October 15
and 16, which means that the comment period ends on Nov. 15 and 16.  The ADEQ
plans on holding the public hearing for both permits on monday Nov. 19 in
Williams AZ. at 7:00 pm.  I plan on being there.  Williams is located approx.
30 miles west of Flagstaff, AZ.  The address for the hearing is the Council
Chambers located at 113 south 1st street.  So far, there have been no
responses submitted to the ADEQ by the public.  In EPA's review process,
they  had a problem with methodology proposed by Transwestern for measuring
sulfur in the fuel gas.  We had proposed stain tubes in the custom fuel
monitoring schedule, they wanted us to do wet chemistry.  We convinced them
otherwise (Byron, because of this, you wont need to order a sulfur analyzer
for the Needles facility.  This should save you about $40K).  There was also
an issue with manufacturers quarantees regarding particulate matter emissions
from the turbine and catepillar.  This has been resolved also.

Stations 3 and 4.  I received a call from Roger Kohn, the permit engineer for
the EPA.  He is satisified with the permit application contents and has also
approved stain tubes for the sulfur measurement at these locations.  There
are no outstanding issues on these permits from the EPA.  The public comment
period for the Station 3 and 4 permits ends Nov.  3.  After this date, it
will take 1-2 weeks for the Regional Administrator of the EPA to sign off on
the permits  and then he will have them issued to Transwestern.  As of this
date, there have been no comments submitted to the EPA for the permits for
station 3 and or 4.

Ill keep everyone apprised of future events.


-----Original Message-----
From: Carol Covington
Sent: Monday, December 11, 2000 12:46 PM
To: Betty Carroll; David Heineke; George Hurst; Glenn Stamps; Jim
Wallis; Ricky Stewart; Tammy Kelley; 'CackleCC@aol.com'
Subject: FW: Box under the bed

-----Original Message-----
From: Julie Wright [SMTP:julie@rpcga.com] <mailto:[SMTP:julie@rpcga.com]>
Sent: Monday, December 11, 2000 12:40 PM
To: Candy Grant; Carol Covington; Faye Click; Jim Love
Subject: Box under the bed

       Subject: Box under the bed

        > Box under the bed
        >
        > When Bill and Hillary first got married Bill said, "I am
putting a box
 under
        > the bed. You must promise never to look in it." In all
their 30
years of
        > marriage Hillary never looked.
        >
        > However, on the afternoon of their 30th anniversary,
curiosity
got the
 best
        > of her and she lifted the lid and peeked inside. In the box
were 3 empty
        > beer cans and $81,874.25 in cash.
        >
        > She closed the box and put it back under the bed. Now that
she
knew what
        > was in the box, she was doubly curious as to why. That
evening
they were
 out
        > for  a special dinner.    After dinner Hillary could no
longer
contain her
        > curiosity and she confessed, saying, "I am so sorry. For
all
these years I
        > kept my promise and never looked into the box under our
bed.
However,
        > today  the temptation was too much and I gave in. But now I
need to know,
        > why do you keep the cans in the box?"
        >
        > Bill thought for a while and said, "I guess after all these
years you
        > deserve to know the truth. Whenever I was unfaithful to you
I
put an empty
        > beer can in the box under the bed to remind myself not to
do it
again."
        >
        > Hillary was shocked, but said, "Hmmm, Jennifer, Paula and
Monica. I am
        > very  disappointed and saddened but temptation does happen
and
I guess
 that
        > 3
        > times is not that bad considering the years."
        >
        > They hugged and made their peace.
        >
        > A little while later Hillary asked Bill, "So why do you
have
all that
 money
        > in the box?"
        >
        > Bill answered, "Well, whenever the box filled up with empty
cans, I took
        > them to the recycling center and redeemed them for cash."


Jeff and Tim,

Tim, I know Jeff knows all about the conference we are organizing and I hope
you do as well.

Rob, I and the rest of the conference organizers are wondering if you could
help us find out if Jeff Skilling from Enron would be willing to be one of
our panelists? He has been an articulate critic of the current state of our
electricity markets, and we definitely would like the genco perspective
represented.

Naturally we are hoping to get a quick answer because our publicity about
the conference will be going out shortly.

A brief description of the conference is appended below. Please let me know
if you need any additional information.

Thanks very much for your help and advice.
Lee

The summer of San Diego has prompted the School, in collaboration with UC's
Energy Institute and Competition Policy Center, to sponsor a high-level
summit conference on electricity deregulation. The focus, and the audience,
will be national, but heavily informed and influenced by the California
crisis.  The conference will evaluate (1) the wisdom of deregulation and (2)
how the pitfalls encountered so far can be avoided and remedied. The
University will facilitate an open, honest and reasoned exchange between
executive-level players from various perspectives: industry, regulators,
consumers, legislators, academics, and market and system operators.

The format entails two roundtable discussions with six speakers and a
moderator.  During the panel sessions, the speakers will engage in a
debate/dialogue on the current situation in electricity deregulation, where
we have come from, what the future holds, and what solutions lie on the
horizon. Each speaker will have uninterrupted time to speak, followed by Q&A
and discussion.  We expect a live audience of about 200, including a large
press presence.  One sponsor has tentatively offered to provide internet
streaming video services.  We hope to have a balanced group of sponsors
ranging from the American Public Power Association to energy companies.

The speakers are being arranged at this time. We have commitments from:
Loretta Lynch (Chair, CPUC), and PJM CEO Phil Harris. We have a preliminary
acceptance from Steven Littlechild (England's former primary electricity
regulator) and Laura Tyson (former Chair, President's Council of Economic
Advisors and National Economic Council, currently Dean, Haas School of
Business). We have invited FERC Commissioner Curt Hebert, and U.S.
Representative Edward
Markey, executive-level managers from several energy companies and state
legislators. Former DOJ chief economist Carl Shapiro will be on one of the
panels, as will economist Severin Borenstein, Director of UCEI and Professor
of Business and Public Policy. Michael Florio from The Utility Reform
Network (TURN) will be a consumer advocate on one of the panels. Lee
Friedman, economist and Professor of Public Policy, will briefly provide an
introduction to the panel discussions with his talk "Lighting the Stage: The
Electricity of Deregulation."

A dinner for the panelists and organizers will be hosted at UC's Goldman
School of Public Policy following the conference proceedings. We have
reserved rooms for our speakers at Berkeley's landmark Claremont Hotel. We
can reimburse those speakers who request it for coach airfare expenses and
other ordinary local expenses.

Forfurther information, please contact:
Lee S. Friedman
Professor of Public Policy
Goldman School of Public Policy
University of California
2607 Hearst Avenue
Berkeley, CA 94720-7320
Ph:  (510) 642-7513
Fax: (510) 643-9657
email: lfried@uclink4.berkeley.edu


Any interest in doing something tonight?


the file you sent is password protected.  send new file or password.


Ludmilla:

Here is Vince's travel itinerary for Sunday to New York.

                                           DATE 06SEPTEMBER00
                                           BOOKING REF ZE56TX

                                           KAMINSKI/WINCENTY  S0C0011R10

  ENRON CORP                               KAMINSKI/WINCENTY
                                           EB 1962
                                           E-TKT RECEIPT
                                           **REVIEW UPGRADE BELOW**

SERVICE               DATE  FROM           TO             DEPART  ARRIVE

CONTINENTAL AIRLINES  10SEP HOUSTON TX     NEW YORK NY    539P    1000P
CO 1672    A          SUN   G.BUSH INTERCO LA GUARDIA
                            TERMINAL C     TERMINAL M
                            DINNER                        NON STOP
                            RESERVATION CONFIRMED         3:21 DURATION
                  AIRCRAFT: BOEING 737-800
                            SEAT 01F NO SMOKING CONFIRMED KAMINSKI/WINCEN
                    FIRST CLASS UPGRADE IS CONFIRMED

HOTEL                 10SEP HILTON MILLENIUM
                      11SEP 55 CHURCH STREET
                            NEW YORK, NY 10007
                            UNITED STATES OF AMERICA
                            TELEPHONE: 212-693-2001
                            FAX: 212-571-2316
                            TELEX: TLX NONE
                            CONFIRMATION: 3110994415
                            SINGLE ROOM QUEEN SIZE BED
                            RATE: RA1 USD 339.00 PER NIGHT
                            GUARANTEE GIVEN
                            NONSMOKING KING ENRON CORP
      TO AVOID BILLING CANCEL 24 HOURS PRIOR TO ARRIVAL HOTEL TIME

CONTINENTAL AIRLINES  11SEP NEW YORK NY    HOUSTON TX     745P    1033P
CO 1963    A          MON   LA GUARDIA     G.BUSH INTERCO
                            TERMINAL M     TERMINAL C
                            SNACK                         NON STOP
                            RESERVATION CONFIRMED         3:48 DURATION
                  AIRCRAFT: BOEING 737-300
                            SEAT 01F NO SMOKING CONFIRMED KAMINSKI/WINCEN
                    FIRST CLASS UPGRADE IS CONFIRMED

MISCELLANEOUS         10NOV HOUSTON TX
                      FRI   ** THANK YOU FOR USING THE TAP **

KAMINSKI/WINCENTY  S0C0011R1000

CO  FREQUENT FLYER COWT472179
SHIRLEY CRENSHAW: 853-5290
INTL TVLRS: CARRY SOS WALLET CARD W/ENRONASSISTANCE INFO
CALL SOS: IN U.S 800 523-6586/INTL 215 245-4707 (COLLECT)
*******************************************
THIS IS THE PASSENGER RECEIPT FOR YOUR ELECTRONIC TICKET


Paul,

Miguel needs some information on Month Belvieu Price Index and Future Prices.  Do you know where in the internet I could find this information? I've looked and had no luck.  If you do know any address please let me know.

Thank you!!!!

Elizabeth


I think the kids would like this!
---------------------- Forwarded by Andrea Ring/HOU/ECT on 11/02/2000 01:20
PM ---------------------------

	From:  Karen D McIlvoy                           11/01/2000 10:26 AM

To: Barry.Belcher@PSS.boeing.com
cc: jadd202@aol.com, hghanley@aol.com, Jmcilvoy@houston.rr.com,
tshield@entergy.com, Andrea Ring/HOU/ECT
Subject: Happy Halloween!

-
This one is too cute!

 - ATT19368.jpg


-----Original Message-----
From: Nicolay, Christi L.
Sent: Monday, October 22, 2001 1:26 PM
To: Kitchen, Louise; Dietrich, Janet; Delainey, David; SMITH, Douglas; Lavorato, John; Black, Don; Forster, David; Duran, W. David; Belden, Tim; Calger, Christopher F.; Foster, Chris H.; Black, Tamara Jae; Aucoin, Berney C. ; Furrow, Dale; Meyn, Jim; Harvey, Claudette; Presto, Kevin M.; Jacoby, Ben
Subject: FW: RTO Week -- Summary of Standards and Practices Panel

FYI.

TJ and Claudette--Please forward to your groups.  Thanks.
-----Original Message-----
From: Rodriquez, Andy
Sent: Thursday, October 18, 2001 4:46 PM

Standardizing Markets, Business, and Other Practices <?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />

Panelists for this discussion were:  Sarah Barpoulis, PG&E National Energy Group; William P. Boswell, GISB; Bill Burkes (substituting for David J. Christiano), City Utilities of Springfield, Missouri; David N. Cook, NERC General Counsel; Michael Kormos PJM Interconnection; LeRoy Koppendrayer, Minnesota Public Utilities Commission; and Marty Mennes, Florida Power & Light Company.

 General Observations

 The Commissioners were all present the majority of the time (Massey left late in the  afternoon).  FERC Staff was active in the discussion; however, the commissioners were very active as well, asking perhaps as much as 70% of all questions.  There was a general consensus that standards were needed; much discussion focused simply on how much and by who. The Commission seemed very interested in leaning what they needed to do to move the industry forward and how far they needed to go.  Panelists urged the need to mover forward as quickly as possible, but both they and FERC seemed to recognize that some of the issues regarding standardized market design and such needed to be addressed before RTOs could really begin to move forward.  There was discussion on identifying which industry group (NERC or GISB) would take the reins in the future.  On an interesting tangential note, there was noticeable conflict between NERC and GISB, with veiled insults between the two organizations somewhat common during the discussions.

 FERC Deliverables

A great deal of the discussions focused on identifying what the industry needed from the Commission.  Staffers probed all panelists to find what they felt was critical.

The first major topic was "How many RTOs?  What is their scope?"  All panelists seemed to agree that this question needed to be answered immediately by FERC, in strong definitive language.  N o one offered any specific language, but seemed to be urging FERC to issue a formal statement.

The next topic was, "What will be standard market design?"  Panelists varied on this, but most felt strong guidance from FERC is urgent.  Some urged for one mandatory design for North America, one supported a set of rigid standard designs, one supported a single design with requests for exceptions (followed by an in-depth review process), and one seemed to prefer the current situation.

The commission in general seemed to be very interested in understanding what the industry needed to move forward.  They continually visited this topic throughout their discussions, asking questions like, "Do we need to issue a Mega-Order that addresses all these issues?" and, "How much detail do you need us to provide?"   General feel from the panelsists seemed to be they wanted strong leadership in this areas.  Kormos and Burkes went so far as to say FERC should "Mandate as much as they felt comfortable - and then go a little further."  Others seemed to be a little worried about this idea, but in general did not oppose the concept, citing only general warnings and the need for cautious investigation.

One item of interest: Wood referred to the filing made by the Electronic Scheduling Collaborative and specifically asked if the items identified in the "RTO Design and RTO Implementation" section would address many of the questions and uncertainty facing the industry with regard to RTO design.  Kormos indicated that clear and specific answers to these questions specifying a course of action would go a long way toward guiding the industry.  The section to which Wood referred was one that I wrote, and asked the following questions:

?         Congestion Management - When Operational Security Violations occur, how is the system to be stabilized in a fair and equitable manner that is nonetheless efficient?  Will LMP based systems be standard, or will there be others that must be accommodated?

?         Transmission Service  - Are transmission services required to schedule ("covered" schedules only), or are they risk management tools protecting from congestion charges (both "covered" and "uncovered" schedules are allowed)?

?         Loop Flows  - Are contract-path based or flow-based transmission services appropriate?  If contract-path based, how are parallel path issues to be addressed?

?         Grandfathered Transmission Service - Should contracts existing prior to RTO development be transferred, or is there an equitable way to retire those contracts?  Are there other solutions?

?         Energy Imbalance Markets - How are imbalance markets to function? Will they serve as real-time energy markets (support unbalanced schedules), be limited to supplying needs of imbalance service (require balanced schedules), or will they be required at all?

?         Ancillary Services - Will ancillary service markets be developed in standard ways?  Will entities be required to actually schedule ancillary services (required to schedule), or will they be treated primarily as financial instruments (protecting against real-time POLR charges)?

?         Losses - Can we utilize the imbalance markets to support losses?  Can we create specific loss standards that facilitate the scheduling process, or must we support methods that are currently in tariffs, but technically unwieldy?

?         Non-Jurisdictionals - How are non-jurisdictionals to be integrated into the new world?  Should systems be designed with the assumption that non-jurisdictional will be part of an RTO?  Or should they be designed to treat each NJE as a separate entity?

Hopefully, FERC will use this section as a template to answer these critical questions in an assertive manner, and give some solid direction in which to move. Kormos emphasized the need for concrete answers to these questions, pointing out that vague answers (i.e., "do congestion management") will take a year or two to resolve, but specific answers (i.e., "LMP with financial hedging instruments") will take only months.  The Commission asked Mike about moving forward, and he told them that effectively, it was impossible to move forward with implementation without getting these issues addressed.

Now for a  funny point - One of the commissioners (I think Breathitt) referred to some concerns expressed in the Northwest that their high concentration of hydro power makes LMP inefficient for the Northwest.  Kormos flat out said, "My profession is understanding how power systems work, and I don't believe that that statement is true."  He then backpedaled a bit and said that it would need more study, but he stood by his statement that the assertion by the Northwest interests was false.

NERC and GISB

A great deal of discussion focused around the need for a single standard-setting organization.  Massey went so far as to ask, "Are we looking at a beauty contest between NERC and GISB?"  Cook and Boswell then went into several short polite jabs at each other's organizations.  Other participants continually reiterated the need for ONE, INDEPENDENT organization.  Interestingly, Boswell was very emphatic about the established trust and respect in GISB, while Cook preferred to only talk about the "new" structure of NERC and did not focus on its history.

Brownell offered some not-too-subtle passive support of GISB by pointedly asking both Cook and Boswell if they lobbied political positions (i.e., were they not only an organization but also a stakeholder?).  GISB was easily able to say they were not, but NERC of course had to admit to their romancing of Congress and the Bush administration for reliability legislation. Point, Brownell.

Mennes acted as somewhat of a supporter for NERC, playing Dave Cook's yes-man.  He probably did them a little bit of harm by pointing to NERC's supposed "successes," such as TLR and E-Tag.  If staffers have tenure, they will likely remember that these "successes" have not been so successful, resulting in several filings and interventions.  We may also wish to file comments in specific objection to these claims, to refresh their memory and to show the pretty picture Marty painted was in fact a fiction.

There was a little discussion about splitting reliability and market issues, but general consensus was that I could not be done.  There was also some talk of folding NERC under GISB/EISB.

The arguments began winding down after a some time, and Boswell strongly urged the Commission to speak to industry executives and advocacy group leadership to see whether NERC or GISB should lead the industry forward.  NERC somewhat less enthusiastically supported this position.  In general, I would say it was a close fight but GISB came out more on top.

Let me know if you have any questions.

Andy Rodriquez
Regulatory Affairs - Enron Corp.
andy.rodriquez@enron.com
713-345-3771


Total Trades for Day	  	 376

 	 EOL Trades for Day	  	 277

 	 EPMI ICE Trades	  	 4

 	 EOL Deals	 From: 11/01/2001   To: 11/27/2001	  	 EnPower	 From: 11/01/2001   To: 11/27/2001
 	 Desk	 Total Deals	 Total MWH	  	 Desk	 Total Deals	 Total MWH

 	 EPMI Long Term California	 647	 10,602,784	  	 EPMI Long Term California	 68	 3,144,593
 	 EPMI Long Term Northwest	 383	 5,448,600	  	 EPMI Long Term Northwest	 184	 5,217,024
 	 EPMI Long Term Southwest	 430	 10,286,535	  	 EPMI Long Term Southwest	 269	 18,550,468
 	 EPMI Short Term California	 1,727	 2,265,616	  	 EPMI Short Term California	 612	 1,295,276
 	 EPMI Short Term Northwest	 952	 1,057,800	  	 EPMI Short Term Northwest	 414	 678,759
 	 EPMI Short Term Southwest	 1,202	 1,738,544	  	 EPMI Short Term Southwest	 675	 2,535,733
 	 Real Time	 1,386	 35,275	  	 Real Time	 513	 43,342

 	 Grand Total	 6,727	 31,435,154	  	 Grand Total	 2,735	 31,465,195

 	 EOL Deals	 From: 11/27/2001   To: 11/27/2001	  	 EnPower	 From: 11/27/2001   To: 11/27/2001
 	 Desk	 Total Deals	 Total MWH	  	 Desk	 Total Deals	 Total MWH

 	 EPMI Long Term California	 30	 340,928	  	 EPMI Long Term California	 1	 96,200
 	 EPMI Long Term Northwest	 23	 302,800	  	 EPMI Long Term Northwest	 11	 763,010
 	 EPMI Long Term Southwest	 18	 1,028,544	  	 EPMI Long Term Southwest	 8	 737,450
 	 EPMI Short Term California	 61	 124,280	  	 EPMI Short Term California	 15	 2,850
 	 EPMI Short Term Northwest	 24	 10,400	  	 EPMI Short Term Northwest	 6	 12,000
 	 EPMI Short Term Southwest	 39	 146,200	  	 EPMI Short Term Southwest	 30	 41,282
 	 Real Time	 82	 2,050	  	 Real Time	 28	 1,742

 	 Grand Total	 277	 1,955,202	  	 Grand Total	 99	 1,654,534

 	 EOL Deals	 From: 11/27/2001   To: 11/27/2001	  	 EOL Deals	 From: 11/27/2001   To: 11/27/2001
 	 Long Term West Management	 Total Deals	 Total MWH	  	 Short Term West BOM	 Total Deals	 Total MWH
 	 Daily	 0	 0	  	 Daily	 0	 0
 	 Month-to-Date EOL	 9	 2,200	  	 Month-to-Date EOL	 0	 0
 	 Enpower daily deals	 0	 0	  	 Enpower daily deals	 0	 0
 	 Month-to-Date Enpower	 2	 2,003	  	 Enpower daily deals	 0	 0

 	 EOL Deals	 From: 11/27/2001   To: 11/27/2001
 	 EPMI California Services	 Total Deals	 Total MWH
 	 Daily	 0	 0
 	 Month-to-Date	 0	 0
 	 Enpower daily deals	 0	 0

 	 ICE Volumes	 From: 11/27/2001   To: 11/27/2001
 	 Delivery Point	 Total MWH	 EPMI MWH	  Price

 	 Cob (P, Next Day)	 400	 0	  $     31.00
 	 Mid C (P, Next Day)	 4,000	 0	  $     27.98
 	 Mid C (OP, Next Day)	 1,200	 0	  $     23.51
 	 Mid C (P, Bal Month)	 800	 0	  $     27.00
 	 Mid C (P, Dec-01)	 150,000	 0	  $     29.84
 	 Mid C (P, Jan-02)	 72,800	 0	  $     32.01
 	 Mid C (P, Feb-02)	 9,600	 0	  $     31.00
 	 Mid C (P, Q3 02)	 30,800	 0	  $     44.00
 	 NP-15 (HE 1800)	 25	 0	  $     38.00
 	 NP-15 (HE 1900)	 25	 0	  $     38.00
 	 NP-15 (HE 2000)	 25	 0	  $     38.50
 	 NP-15 (P, Next Day)	 8,800	 0	  $     31.68
 	 NP-15 (OP, Next Day)	 3,600	 200	  $     24.00
 	 NP-15 (P, Bal Month)	 3,200	 0	  $     31.00
 	 NP-15 (P, Dec-01)	 30,000	 0	  $     32.50
 	 Palo (HE 1000)	 25	 0	  $     26.00
 	 Palo (HE 1100)	 25	 0	  $     26.00
 	 Palo (HE 1200)	 25	 0	  $     26.00
 	 Palo (HE 1300)	 75	 0	  $     26.00
 	 Palo (HE 1400)	 75	 0	  $     26.00
 	 Palo (HE 1500)	 75	 0	  $     26.00
 	 Palo (P, Next Day)	 5,600	 0	  $     28.80
 	 Palo (OP, Next Day)	 1,000	 0	  $     20.50
 	 Palo (OP, Bal Month)	 3,200	 0	  $     18.75
 	 Palo (P, Dec-01)	 100,000	 0	  $     27.57
 	 Palo (P, Jan-02)	 31,200	 0	  $     29.83
 	 Palo (P, Mar-02)	 20,800	 10,400	  $     28.45
 	 Palo (P, Q3 02)	 30,800	 0	  $     54.50
 	 Palo (P, Q4 02)	 30,800	 0	  $     34.75
 	 Palo (P, Q1 03)	 30,400	 0	  $     34.50
 	 SP-15 (HE 0900)	 25	 0	  $     31.00
 	 SP-15 (HE 1700)	 50	 0	  $     29.00
 	 SP-15 (HE 2100)	 25	 0	  $     32.00
 	 SP-15 (HE 2200)	 25	 0	  $     32.00
 	 SP-15 (P, Next Day)	 6,400	 0	  $      31.13
 	 SP-15 (OP, Next Day)	 1,000	 400	  $     23.00
 	 SP-15 (P, Dec-01)	 60,000	 0	  $     31.03
 	 SP-15 (P, Feb-02)	 9,600	 0	  $     31.75
 	 SP-15 (P, Mar-02)	 41,600	 0	  $     31.48
 	 SP-15 (Q1 02)	 60,800	 0	  $     32.00

 	 Grand Total	 748,900	 11,000	  $ 1,218.06


6/19 - Per LT and Laura Valencia  - GW attending meeting, Larua getting lunch
served


Dear Mark,

Can you look at deal # 460097, sale of 45 or 50 (??) MW to Texas-New Mexico
on 11/16/00 at HE7 for $125.00.
EnPower, the El Paso Model, and Unit Status all say that this deal was at 50
MWh's, HOWEVER, you have put a note in the El Paso Model that states that El
Paso is claiming that it's only 45 MW (no other comments).  I have a dispute
here from El Paso who, on the back end, is saying that the deal was only for
45MWs.  I'm assuming that the deal was actually 50MWs and that's why you left
our systems at 50MW and just made a note.  Please advise me on what I need to
tell Houston Settlements so we can get paid on this.

Thanks,

Virginia  x8981


Will get back to you.
--------------------------
Sent from my BlackBerry Wireless Handheld (www.BlackBerry.net)


Yes, to North America, Australia and Japan.

	Karen Lambert
	09/07/2000 04:30 PM

		 To: Tana Jones/HOU/ECT@ECT
		 cc:
		 Subject: Re: Online Weather Trading

Does this apply only to the North American contracts and weather trades for
which you are responsible?
Does the instruction below apply to Australia and Japan ISDA's?

From: Tana Jones on 09/07/2000 12:17 PM
To: Frank L Davis/HOU/ECT@ECT, Karen Lambert/HOU/ECT@ECT, Scott
Tackett/Corp/Enron@Enron, Tom Moran/HOU/ECT@ECT
cc: Mark Taylor/HOU/ECT@ECT
Subject: Online Weather Trading

Per my conversations with Mark Taylor, we should continue to put any weather
trades done online under any relevant master agreement with the
counterparty.  Further, there is no prohibition against doing a trade online
with a counterparty when we do not have a master in place.  Any non-master
trades would go under the respective GTC.  It appears to be only a
coincidence that we are trading online only with counterparties we have
masters in place with.


----- Forwarded by Jeff Dasovich/NA/Enron on 05/11/2001 10:58 AM -----

	Michael Tribolet/ENRON@enronXgate
	05/09/2001 03:58 PM

		 To: Jeff Dasovich/NA/Enron@Enron
		 cc:
		 Subject: DRW credit accumulation


Julie/Laurel,

After the flurry of e-mails below, I received a package from ITG/Posit Europe
which I subsequently sent to one of you in Houston.  I am not sure who I sent
it to but I am quite sure it got there and was "put through the channels"
because Sara Shackleton has been working with ITG on the contractual issues.
I am now trying to find out if any software was included in that package
because I would like to get the install process going pending the
finalization of the contract negotiations.  Please confirm as to whether or
not either of you are aware of this installation software.

Thanks and regards,
John
---------------------- Forwarded by John Greene/LON/ECT on 26/10/2000 16:46
---------------------------

20/10/2000 08:14
Cyrus Kazak
Cyrus Kazak
Cyrus Kazak
20/10/2000 08:14
20/10/2000 08:14
To: John Greene/LON/ECT
cc:

Subject: AutEx /ITG Europe Platform /Instinet

John,
The contracts for the AutEx system have arrived and are being processed.
Do you still require the Instinet and ITG systems I vaguely remember some
contracts being sent through do you know the status ?
Thanks
Cyrus
x35368

John Greene
08/09/2000 10:25
To: Julie Pechersky/HOU/ECT@ECT, Cyrus Kazak/LON/ECT@ECT
cc: jwhite@itgeurope.com, KSonderb@itginc.com, Laurel Adams/HOU/ECT@ECT

Subject: Re: Tech contact for ITG Europe Platform installation

Cyrus/Julie,

Can you please coordinate with Jamie White at ITG on this install.  I don't
really care how I get it.  I would presume that someone in our IT group
worked with ITG to determine the best delivery method on the original
install.  If so, please use the same architecture.  If not, please consider
the options and if we think there exists a better method than the one being
in Houston, let's upgrade the one in Houston concurrently with the London
install so the two sites are in synch.

This install will initially be for European equity trading only but we may
want to incorporate US equities at a later date as well.  Any activity on
this setup will be governed by the same agreements currently in place as it
will be done on behalf of both ECT Investments and Enron North America until
further notice.

Thanks and regards,
John
---------------------- Forwarded by John Greene/LON/ECT on 08/09/2000 10:03
---------------------------

	Enron Europe

	From:  Cyrus Kazak                           06/09/2000 10:59

To: John Greene/LON/ECT@ECT
cc: Julie Pechersky/HOU/ECT@ECT

Subject: Re: Tech contact for ITG Europe Platform installation

John
Is this for European or US equities or both ?
Do you want to trade using Internet access or would you prefer a fixed link
leased line ?
If you could let me know
Thanks
Cyrus

John Greene
06/09/2000 16:31
To: Cyrus Kazak/LON/ECT@ECT
cc: Julie Pechersky/HOU/ECT@ECT, Jamie_White.ITGE@itginc.com,
KSonderb@itginc.com

Subject: Tech contact for ITG Europe Platform installation

Cyrus,

Can you please arrange for this installation on my desktop.  Please
coordinate with Julie Pechersky and Jamie White to ensure that my setup has
the same functionality as Selena Gonzales in Houston.

Thanks and regards,
John
x3-5534
---------------------- Forwarded by John Greene/LON/ECT on 06/09/2000 16:31
---------------------------

	Enron Capital & Trade Resources Corp.

	From:  KSonderb@itginc.com                           06/09/2000 09:43

To: jgreene@enron.com
cc: Jamie_White.ITGE@itginc.com

Subject: Tech contact for ITG Europe Platform installation

Hi John,

Please have your technology person contact Jamie White at jwhite@itgeurope.com
(670-4200 in London) to schedule an installation of the ITG Europe Platform.
Good luck getting the office set up!

Regards,
Kathy 617-692-6500