AP Online, April 20, 2001; Friday, 7:57 AM, Eastern Time, Financial pages,
????238 words, Power Co. Executives Lose Bonuses, LOS ANGELES

Contra Costa Times, April 20, 2001, Friday, STATE AND REGIONAL NEWS, K560,
????460 words, Energy officials accused of manipulating natural gas market
????defend actions, By Andrew La Mar

Los Angeles Times, April 20, 2001, Friday,, Home Edition, Page 3, 715 words
????, CALIFORNIA AND THE WEST; ??A U-TURN ON CAR TAX REBATES; ??LEGISLATION:
????STARTING JULY 1, FEE REDUCTION WILL BE FIGURED DIRECTLY INTO VEHICLE
????REGISTRATION BILLS, NOT REFUNDED BY MAIL., CARL INGRAM, TIMES STAFF
WRITER,
????SACRAMENTO

Los Angeles Times, April 20, 2001, Friday,, Home Edition, Page 3, 453 words
????, CALIFORNIA AND THE WEST; ??LOCKYER ASKS JUDGE TO ORDER FIRMS TO RELEASE
????RECORDS, ROBERT J. LOPEZ and RICH CONNELL, TIMES STAFF WRITERS

Los Angeles Times, April 20, 2001, Friday,, Home Edition, Page 3, 1426
????words, CALIFORNIA AND THE WEST; ??LEGISLATORS UNITE OVER ENERGY PRICE
ISSUE;
????POWER: BIPARTISAN CONGRESSIONAL DELEGATION CALLED TOGETHER BY DAVIS SAYS
U.
????S. MUST STEP IN TO PROTECT STATE FROM MANIPULATION BY SUPPLIERS., MITCHELL
????LANDSBERG and MIGUEL BUSTILLO, TIMES STAFF WRITERS

The Orange County Register, April 20, 2001, Friday, STATE AND REGIONAL NEWS
????, K497, 846 words, Federal energy commission considers price fix for state
????energy market, By Dena Bunis

San Jose Mercury News, April 20, 2001, Friday, STATE AND REGIONAL NEWS,
????K512, 696 words, In response to power woes, rating agencies have
California
????on credit watch, By Jennifer Bjorhus

San Jose Mercury News, April 20, 2001, Friday, STATE AND REGIONAL NEWS,
????K520, 1069 words, Issues still remain on what power consumers will
????eventually pay, By John Woolfolk and Michael Bazeley

The San Francisco Chronicle, APRIL 20, 2001, FRIDAY,, FINAL EDITION, NEWS;,
????Pg. A4, 765 words, Edison pushes lawmakers to accept deal, David Lazarus

The Associated Press State & Local Wire, April 20, 2001, Friday, BC cycle,
????7:04 AM Eastern Time, State and Regional, 438 words, Most Edison
executives
????going without bonuses, By GARY GENTILE, AP Business Writer, LOS ANGELES

The Associated Press State & Local Wire, April 19, 2001, Thursday, BC cycle
????, State and Regional, 901 words, Top political aide discusses Bush's
low-key
????style, By RON FOURNIER, AP White House Correspondent, WASHINGTON

The Associated Press State & Local Wire, April 19, 2001, Thursday, BC cycle
????, State and Regional, 727 words, Utility commission staff says parent
????company profiting from energy sales, BOISE, Idaho

The Associated Press State & Local Wire, April 19, 2001, Thursday, BC cycle
????, State and Regional, 820 words, Legislators probe possible power, natural
????gas collusion, By DON THOMPSON, Associated Press Writer, SACRAMENTO

Copyright 2001 Associated Press
AP Online
April 20, 2001; Friday 7:57 AM, Eastern Time

SECTION: Financial pages

LENGTH: 238 words

HEADLINE: ?Power Co. Executives Lose Bonuses

DATELINE: LOS ANGELES

BODY:

???Senior executives at Southern California Edison and its parent company went
without hundreds of thousands of dollars in bonuses in 2000 because of
California's power crisis.

??Edison International's chairman and chief executive, John Bryson, was paid
$950,000 in 2000, compared with salary and bonus totaling $2.16 million in
1999.

??Stephen Frank, the chairman and chief executive at Southern California
Edison, was paid $617,000 in 2000, compared with salary and bonus totaling
$1.3
million in 1999, according to the company's proxy statement filed with the
Securities and Exchange Commission.

??The company also said Thursday it would not award merit increases to
executives in 2001 because of the continuing crisis.

??In a similar statement released Tuesday, Pacific Gas and Electric Corp.
revealed it also withheld bonuses for its top two executives, although they
did
receive raises.

??Edison and PG&E say they have lost nearly $14 billion since June to high
wholesale prices that the state's electricity deregulation law bars them from
passing on to consumers. PG&E, saying it hasn't received the help it needs
from
regulators or state lawmakers, filed for federal bankruptcy protection April
6.

??Edison is continuing to work with state officials and its

??reditors.

?????(PROFILE

?????(CO:Southern California Edison Co.; TS:SCE;)

?????(CO:Pacific Gas and Electric; TS:PCG; IG:ELC;)

?????)

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??????????????Copyright 2001 Knight Ridder/Tribune News Service
???????????????????????Knight Ridder/Tribune News Service

??????????????????????????????Contra Costa Times

????????????????????????????April 20, 2001, Friday

SECTION: STATE AND REGIONAL NEWS

KR-ACC-NO: ?K560

LENGTH: 460 words

HEADLINE: Energy officials accused of manipulating natural gas market defend
actions

BYLINE: By Andres LaMar

BODY:

??SACRAMENTO _ Energy officials who are accused of manipulating California's
market for natural gas defended their actions on Thursday and attributed the
state's skyrocketing gas prices to increased demand, the weather and other
factors.

??The explanation, however, drew skepticism from lawmakers in the wake of
expert testimony alleging that one Texas firm, El Paso Natural Gas Co., had
engineered a classic case of monopoly power by controlling the pipeline that
delivers gas to the state.

??At the outset of the Thursday's hearing, Assemblyman Darrell Steinberg,
D-Sacramento, noted the huge run-up in the cost of natural gas, which went
from
$6.6 billion for the entire year of 1999 to $12.3 billion for sales in 2000
and
to $7.9 billion for the first three months of this year.

??Steinberg zeroed in on the difference between California and other parts of
the country. From March 2000 to February 2001, natural gas prices have risen
489
percent compared to a 266 percent increase in New Mexico and a 247 percent
jump
in Chicago.

??Steinberg asked Ralph Eads, the president of an El Paso Natural Gas Co.
subsidiary, for an explanation.

??"The 275 percent difference you say is attributable completely to
constraints
on the pipeline and demand?" Steinberg asked.

??"Yes," Eads replied. Eads said the state's energy crisis, which led power
plants to run harder and longer, dramatically increased demand for natural gas
over the summer and a winter with temperatures about 15 percent cooler than
the
year before exacerbated the problem.

??In another twist to California's deregulation nightmare, El Paso officials
said they gained greater control of the pipeline after the Pacific Gas &
Electric Co. relinquished the capacity four years ago. At that time, PG&E's
movement of the gas and the prices it could charge were regulated by the
Public
Utilities Commission.

??In other developments at the Capitol on Thursday, lawmakers called on the
federal government to re- regulate natural gas sales at the California border
and U.S. Sen. Joe Lieberman, D-Conn., said federal regulators should impose
price caps on California's wholesale electricity market.

??The Assembly held considerable debate on the resolution asking for
re-regulation, with Democrats accusing President George W. Bush of doing
nothing
to come to the aid of California and Republicans defending the administration.

??"I'm learning an interesting lesson that all the problems of the world
started after Jan. 21 and the inauguration of the new president," said
Assemblyman Bill Leonard, R-San Bernardino.

??KRT CALIFORNIA is a premium service of Knight Ridder/Tribune

??(c) 2001, Contra Costa Times (Walnut Creek, Calif.).

??Visit the Contra Costa Times on the Web at http://www.cctimes.com/

JOURNAL-CODE: CC

LOAD-DATE: April 20, 2001

??????????????????????????????10 of 78 DOCUMENTS

??????????????????????Copyright 2001 / Los Angeles Times

??????????????????????????????Los Angeles Times

?????????????????????April 20, 2001, Friday, Home Edition

SECTION: Part A; Part 1; Page 3; Metro Desk

LENGTH: 715 words

HEADLINE: CALIFORNIA AND THE WEST;

A U-TURN ON CAR TAX REBATES;

LEGISLATION: STARTING JULY 1, FEE REDUCTION WILL BE FIGURED DIRECTLY INTO
VEHICLE REGISTRATION BILLS, NOT REFUNDED BY MAIL.

BYLINE: CARL INGRAM, TIMES STAFF WRITER

DATELINE: SACRAMENTO

BODY:

??Gov. Gray Davis and the Legislature spun a U-turn Thursday and scrapped a
costly program that requires motorists to first pay their car tax and then
get a
rebate in the mail.

??Starting July 1, the state Department of Motor Vehicles will send owners of
approximately 26 million vehicles registration renewal bills already reduced
by
the amount of the vehicle license fee rebates.

??On a unanimous roll call, the Senate voted final approval and sent to Davis
an "urgency" bill, SB 52, that repealed the rebate program, which the governor
had previously fought for and defended.

??In addition to abolishing the rebates, the legislation reduces by 67.5% the
amount motorists must pay for the upcoming year, the level that lawmakers and
former Gov. Pete Wilson envisioned in 1998 when they began cutting the fee. It
had been about 2% of a vehicle's market value.

??Davis immediately signed the repeal bill, saying only that the new law will
"expedite relief to taxpayers and greatly reduce administrative costs."

??The governor's muted observation contrasted with his effusive support of the
rebates last year, when he said Californians "don't appreciate the fact that
they're getting a rebate unless they see it in their hands."

??At the time, Davis and the Legislature had the choice of simply cutting the
car tax, which voters might not notice, or sending checks in the mail, which
Davis felt would have a greater impact.

??The rebates, which began Jan. 1, were scheduled to continue through 2002,
when Davis intends to run for reelection. In 2003, the license fee was to have
fallen permanently, with no more rebates.

??"The whole rebate scheme was good only through the next gubernatorial
election cycle," said Sen. Tom McClintock (R-Thousand Oaks), who supported
reductions in the license fee but opposed the rebates.

??Until July 1, the DMV will continue to bill motorists for the full amount of
their license fee, which includes a 35% reduction from last year.

??"Then we return to you an additional 32.5% rebate, making a total reduction
of 67.5%," said DMV spokesman Bill Branch. Starting with license renewals on
July 1, the DMV bills will include the full tax cut.

??A Senate analysis of the repeal bill noted that the current "awkward system
.
. . effectively requires taxpayers to overpay their vehicle license fee and
then
await a rebate check from the state--a system that is, at best, difficult to
explain."

??But as the California economy tightened, the state's budget surplus shrank
and taxpayers shelled out approximately $ 50 million a day to buy
electricity,
the costs of the rebate program threatened to become a political embarrassment
to Davis.

??Projected administrative and postage costs of the rebate program alone were
estimated at $ 22 million this year and another $ 22 million or so next year.

??Last year, state Sen. Joe Dunn (D-Santa Ana) and McClintock sought to
eliminate the rebates and give drivers their full tax cuts when they register
their vehicles. Under pressure from Davis, the bill failed.

??"It was killed behind the scenes at the insistence of the governor,"
McClintock said Thursday. "He didn't want it on his desk."

??This year, Dunn launched a similar bill, but his name was struck from it as
the lead author in the Assembly and the name of Sen. Wes Chesbro (D-Arcata)
was
substituted.

??In a speech Thursday, Sen. Ross Johnson (R-Irvine) suggested that Davis'
performance on the issue in an "earlier time and a more just society" would
have
resulted in his "public flogging by representatives of taxpayers."

??The repeal bill was passed 78 to 0 by the Assembly on Monday, and sent to
Davis by the Senate on a 34-0 vote Thursday.

??If the rebates were to be abolished, the bill had to pass this week in order
to take effect July 1, said Branch, the DMV spokesman. This is because
motorists
must be advised 60 days in advance that their registration renewals are due.

??"We have to reprogram all the computers. We have to print new bills and mail
them by May 1 for the July 1 expiration," he said. "It will be a little tight,
but we will still make it."

??Branch said that since the Jan. 1 start of rebates, checks totaling $ 454
million have been sent to 7.4 million vehicle owners at an extra
administrative
cost of $ 9.4 million.

LOAD-DATE: April 20, 2001

??????????????????????????????11 of 78 DOCUMENTS

??????????????????????Copyright 2001 / Los Angeles Times

??????????????????????????????Los Angeles Times

?????????????????????April 20, 2001, Friday, Home Edition

SECTION: Part A; Part 1; Page 3; Metro Desk

LENGTH: 453 words

HEADLINE: CALIFORNIA AND THE WEST;

LOCKYER ASKS JUDGE TO ORDER FIRMS TO RELEASE RECORDS

BYLINE: ROBERT J. LOPEZ and RICH CONNELL, TIMES STAFF WRITERS

BODY:

??California Atty. Gen. Bill Lockyer, ratcheting up his investigation of
possible civil and criminal violations by the state's power suppliers, is
asking
a San Francisco judge to order two firms to hand over confidential records.

??In a motion filed Thursday in Superior Court, Lockyer said Reliant Energy
and
Mirant Corp. have failed to comply with subpoenas for documents that were to
be
produced by March 19.

??Amid soaring electricity costs and rolling blackouts, the attorney general
launched an investigation of possible manipulation of wholesale electricity
prices that have skyrocketed to record levels and have financially crippled
the
state's major utilities.

??Dozens of other public and private power suppliers are complying with the
subpoenas.

??But in an interview, Lockyer accused Reliant and Mirant of stonewalling
investigators "so they can keep enjoying these exorbitant profits and prices
for
as long as possible."

??Ultimately, the companies will have to honor the subpoenas, he said. "I'm
going to pit bull them," he said. "This is one we win."

??Both companies say they have done nothing wrong and played by the rules of
California's flawed electricity deregulation plan.

??A spokesman for Houston-based Reliant said Thursday the firm is seeking
court
action of its own to ensure that sensitive business information will not be
shared with other public agencies or its competitors.

??Last week, Reliant asked a Los Angeles Superior Court judge to clarify the
attorney general's obligation to keep proprietary information confidential.

??"We're glad to cooperate with his investigation to the extent we can," said
Reliant spokesman Richard Wheatley. " But we have not received sufficient
assurances that Lockyer would keep the data confidential."

??Lockyer called Reliant's court filing "frivolous" and "propagandistic" and
insisted that adequate safeguards are in place. He reserves the right under
state law to share information with other government agencies aiding in his
investigation but has said he will keep sensitive business information from
being made public.

??Atlanta-based Mirant demanded and received similar guarantees of
confidentiality, Lockyer said. Mirant did not return phones calls Thursday.

??Lockyer did not discuss details of the probe or the kinds of information
he's
seeking. But based on the investigation so far, he said, "it's beginning to
get
interesting."

??Other records indicate that the attorney general has sought 91 categories of
information about the power merchants' activities. They include the operation
of
power plants, trading information that may have been shared by private power
suppliers and bidding strategies in the California market.

LOAD-DATE: April 20, 2001

??????????????????????????????12 of 78 DOCUMENTS

??????????????????????Copyright 2001 / Los Angeles Times

??????????????????????????????Los Angeles Times

?????????????????????April 20, 2001, Friday, Home Edition

SECTION: Part A; Part 1; Page 3; Metro Desk

LENGTH: 1426 words

HEADLINE: CALIFORNIA AND THE WEST;

LEGISLATORS UNITE OVER ENERGY PRICE ISSUE;
?POWER: BIPARTISAN CONGRESSIONAL DELEGATION CALLED TOGETHER BY DAVIS SAYS U.
S.
MUST STEP IN TO PROTECT STATE FROM MANIPULATION BY SUPPLIERS.

BYLINE: MITCHELL LANDSBERG and MIGUEL BUSTILLO, TIMES STAFF WRITERS

BODY:

??This may be the surest sign yet of the depth of California's energy crisis:
A
bipartisan cross-section of the state's congressional delegation, brought
together Thursday by Gov. Gray Davis, not only agreed about the severity of
the
problem but also about the need for swift federal intervention.

??"This meeting did not have the word 'Democrat' or 'Republican' used once,"
Rep. Darrell E. Issa (R-Vista), said of the unusual spirit of cooperation at
the
meeting near Los Angeles International airport.

??Members of both parties said the Federal Energy Regulatory Commission must
slash wholesale electricity prices so California utilities can once again
afford
to buy power. Since January, the state government has been buying electricity
on
their behalf, as skyrocketing wholesale prices put Pacific Gas & Electric Co.
and Southern California Edison billions of dollars into debt and many power
suppliers refused to sell to them; PG&E has since filed for Chapter 11
bankruptcy protection.

??Although the Bush administration has said repeatedly that it is strongly
opposed to price caps, and FERC has refused to grant them, California
Republicans at the energy meeting said they are optimistic that the
administration will agree to some other form of price regulation. They brushed
aside the notion that such regulations might conflict with their ideological
belief in a free market.

??"This is not a free-enterprise situation," Rep. Duncan Hunter (R-Alpine)
said
after the meeting. "In fact, it's just the opposite."

??Specifically citing the huge disparity between natural gas prices charged to
California and those charged in other Western states, he said California
clearly
has been the victim of unreasonably high energy costs. Under federal law, the
FERC must regulate the prices of companies if it finds they are exerting
"market
power" to drive prices to unreasonable levels.

??Executives from two Texas energy companies, meeting with legislators in
Sacramento, denied Thursday that they had caused natural gas prices in
California to artificially skyrocket by hoarding access to a critical pipeline
into the state.

??After the extraordinary meeting in Los Los Angeles, Rep. Brad Sherman
(D-Sherman Oaks) said the biggest disagreement between California Democrats
and
Republicans appeared to be their relative faith--or lack thereof--in the
ability
of President Bush and his administration to help California. There has been
much
speculation that Bush, who lost California in November, has no political
motive
to help the state.

??"We Democrats," said Sherman, "hope very much that our skepticism is proven
wrong."

??Davis--who sat flanked by Democratic U.S. Sen. Dianne Feinstein and the
governor's newly appointed chief energy advisor, S. David Freeman--said he
used
the meeting mainly to discuss the importance of conservation by Californians
this summer and to ask the congressional delegation to pitch in. Five
Republicans and more than a dozen Democrats attended the gathering.

??Feinstein said Thursday that she has asked for a third time to meet with
Bush
to discuss the energy situation. Meeting with Times reporters and editors
Wednesday, she described a recent meeting with Vice President Dick Cheney in
which, she said, he "ignored" her appeal for federal assistance.

??Feinstein has been among those critical of natural gas companies, saying
they
appear to have constricted access to a California-bound pipeline to run up
prices.

??The Brattle Group, a respected consulting firm, alleged Wednesday before an
Assembly committee that Dynegy Inc. and El Paso Natural Gas Co. had
manipulated
the market by charging so much for the rights to their pipeline capacity that
they had, in effect, withheld access to it.

??That action, the experts said, directly forced companies trying to deliver
gas to California to look for alternatives, clogging other pipelines and
causing
a surge in prices.

??The explanation, El Paso executives said, was simple: Demand for gas soared
in California because generators that use gas to make electricity increased
production last year in response to the energy crisis.

??"We're not withholding capacity--no one is," said El Paso Merchant Energy
President Ralph Eads. "With these prices, you want to sell every molecule."

??In other developments Thursday:

??* The agreement between Davis and Edison International to return its ailing
utility arm to financial health is in "deep trouble and could be rejected by
legislators," the Standard & Poor's credit rating agency said in a note to
clients, citing legislative and other sources. A rejection of the deal "would
be
a humiliating setback for the governor," S&P said.

??The agreement calls for, among other things, the sale of Edison's
transmission grid to the state for $ 2.76 billion and the sale of $ 2 billion
in
bonds--both designed to pay off the utility's huge electricity debt. Edison
agreed to several constraints, including the sale of electricity to the state
at
prices tied to the cost of producing power.

??Since they returned Monday from a two-week recess, state legislators have
been sharply critical of the Edison agreement and have indicated a desire to
tinker with aspects of the deal. Some lawmakers have said publicly that a
bankruptcy protection filing by Edison, like that of PG&E, might not be such a
dire outcome.

??But a senior Edison executive said it is "way too early" to give up on
passage of the proposal, which legislators have not yet seen in official form.

??"There is an education process to do here," the executive said of the highly
detailed 38-page document. "The legislators should be asking questions. That
is
appropriate."

??* The Public Utilities Commission voted to investigate whether alternative
energy providers violated contractual agreements by withholding supplies from
PG&E and Edison, which owe them hundreds of millions of dollars.

??The action, Commissioner Carl W. Wood said, was prompted in part by lawsuits
some providers have filed seeking release from their contracts with the
cash-starved utilities. The producers of solar, wind and geothermal energy
account for more than 25% of California's electricity supply.

??"The question is whether we will be able to rely on them in the long, hot
days of summer," Wood said.

??Jack Raudy of the Renewable Energy Creditors Committee said the PUC needs to
address the $ 700 million the producers are owed. "All we have gotten is
rhetoric from the governor, the PUC and the utilities," he said.

??* An $ 850-million plan to entice Californians to conserve precious
megawatts
appears to be running into roadblocks, compounding predictions by state
officials of tighter than expected energy supplies in May and June.

??Davis signed the conservation spending package last week, earmarking $ 242
million of the new funds for the Public Utilities Commission to distribute to
the state's investor-owned utilities to support existing conservation
programs.

??But Barbara Hale, director of the PUC's Division of Strategic Planning, said
Thursday that since Pacific Gas & Electric Co. filed for bankruptcy protection
April 6, the utility has stopped releasing conservation funds.

??Hale, testifying before a state Senate committee, said PG&E's
decision--coupled with the threat that Southern California Edison could
follow a
similar route to U.S. Bankruptcy Court--has complicated her agency's efforts.

??PG&E spokeswoman Staci Homrig said her company plans to petition the
Bankruptcy Court to have the conservation funds designated as a trust and
separated from assets tied up in the bankruptcy proceedings. She said if the
court denies the request, PG&E would ask to be permitted to pay the expenses
anyway. The process, she added, could take about a month--too long in the view
of some legislators, given increasingly gloomy energy forecasts for late
spring
and early summer.

??Deputy Director Bob Therkelsen of the California Energy Commission said his
agency had been counting on a number of small power producers to bolster their
output during that period. But he said some producers did not purchase the
necessary equipment because PG&E and Edison have failed to pay them in full
for
earlier electricity deliveries.

??"It's not a huge amount," he said of the anticipated production shortfall,
"but every little bit helps."

??*

??Landsberg reported from Los Angeles, Bustillo from Sacramento. Times staff
writers Nancy Rivera Brooks in Los Angeles, Carl Ingram and Julie Tamaki in
Sacramento and Tim Reiterman in San Francisco contributed to this story.

LOAD-DATE: April 20, 2001

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??????????????Copyright 2001 Knight Ridder/Tribune News Service
???????????????????????Knight Ridder/Tribune News Service

??????????????????????????The Orange County Register

????????????????????????????April 20, 2001, Friday

SECTION: STATE AND REGIONAL NEWS

KR-ACC-NO: ?K497

LENGTH: 846 words

HEADLINE: Federal energy commission considers price fix for state energy
market

BYLINE: By Dena Bunis

BODY:

??WASHINGTON _ Californians who see federal re-regulation of the state's
crisis-bound energy market as an answer to the impending summer emergency
better
look for some other solution.

??Even the short-term price fix that the Federal Energy Regulatory Commission
may consider at its Wednesday meeting might be too little too late.

??Lobbyists, lawmakers and other FERC-watchers say they have seen a slight
shift in recent weeks among commission staff and at least one member. There is
some willingness, they say, to consider some price controls, even though the
Bush administration is adamantly opposed to such measures.

??Many are looking to see if President Bush's choices for the two vacancies on
FERC will provide a margin for change.

??But the commission's basic philosophy that open, unregulated markets are
best
is not likely to change soon, members say.

??"I've been championing a revamping of FERC's antiquated standards for
determining market-based rates," Commissioner Richard Massey said Thursday.
But
with no success. " My agency is not on the verge of turning on a dime on this
market-based pricing."

??The standards are a joke, Massey added, because the commission never turns
down requests for such pricing authority. More than 600 power sellers have
been
given that authority, he said.

??For a power company to be allowed to charge whatever the market will bear,
it
must show FERC, for example, that it doesn't have the power to manipulate the
market and drive prices up.

??"Any seller that can't pass our screen needs to fire their consultants and
lawyers," Massey said.

??While the overall philosophy remains consistent, FERC staff has proposed to
the commission that a Stage 3 electricity emergency in California should
trigger
cost-based rates, a form of price controls. Such triggers would be in place
for
one year, under the staff proposal.

??The commission may decide Wednesday whether to accept that proposal. It has
to make some decision by May 1 on how the market will be monitored from now
on.

??The theory behind controlling prices in Stage 3, says a FERC staff report,
is
that during such an emergency generators have the greatest opportunity to
manipulate the market and drive prices up.

??But generators have that power during Stage 2 and Stage 1 emergencies, says
Les Starck, Southern California Edison Co.'s manager of federal regulatory
affairs. Price caps during Stage 3 might avert the rolling blackouts
associated
with that level of crisis, but they wouldn't do anything to stop generators
from
jacking up prices the rest of the time, he said.

??It is not clear how long it would take for such price controls to take
effect, should the commission go along with the staff recommendation.

??"We're close because summer is approaching," Commissioner Linda Breathitt
said Thursday. Breathitt, who had firmly opposed any form of price controls,
said in an interview last month that given the worsening crisis in California
she was open to considering some short-term measures.

??"It's important to me that we address the summer," Breathitt said, but said
she wasn't able to predict what the commission would do Wednesday.

??Even if an order is approved, Massey said, there could be delays while the
power sellers file their costs with regulators and disputes over those filings
are handled.

??Sen. Dianne Feinstein said Thursday such a move by the commission would be
"better than having no controls at all. There's no question that we're going
to
be in a Stage 3 emergency."

??Feinstein, D-Calif., and other Western lawmakers have been urging FERC to
step in sooner and with price controls that extend beyond just the emergency
period.

??Waiting for Stage 3 to intervene "is putting the whole grid at risk," said
Roger Hamilton, a member of Oregon's Public Utility Commission. "We have a
real
stability problem when you cut it that close."

??Feinstein says the future could well rest with the new commissioners,
particularly Patrick Wood, the head of the Texas PUC who many believe will
replace Curt Heber as FERC chairman if he is confirmed by the Senate.

??Even if Massey and Breathitt agree on broader price controls, as chairman,
Heber could block consideration of such a move. It's unclear what stance Wood
would take as chairman.

??"The thing that deeply concerns me about Pat Wood is that he's from Texas,"
Feinstein said. "What's reassuring is that it appears from my personal
discussion with him is that he appears to be pragmatic."

??But once again, timing could be a problem.

??Bush has said he intends to nominate Wood and Nora Brownell, a member of the
Pennsylvania PUC, but has not formally sent their nominations to the Senate.

??"The Federal Energy Regulatory Commission is of vital importance right now,
and to let the time go on without filling the spots makes no sense," Feinstein
said. "Please please please, President Bush, process your nominees."

??KRT CALIFORNIA is a premium service of Knight Ridder/Tribune

??(c) 2001, The Orange County Register (Santa Ana, Calif.).

??Visit the Register on the World Wide Web at http://www.ocregister.com/

JOURNAL-CODE: OC

LOAD-DATE: April 20, 2001

??????????????????????????????17 of 78 DOCUMENTS

??????????????Copyright 2001 Knight Ridder/Tribune News Service
???????????????????????Knight Ridder/Tribune News Service

????????????????????????????San Jose Mercury News

????????????????????????????April 20, 2001, Friday

SECTION: STATE AND REGIONAL NEWS

KR-ACC-NO: ?K512

LENGTH: 696 words

HEADLINE: In response to power woes, rating agencies have California on credit
watch

BYLINE: By Jennifer Bjorhus

BODY:

??SAN JOSE, Calif. _ All three of the nation's influential judges of credit
risk now have California on credit watch, saying they are deeply concerned
about
the economic impact of the state's power crisis.

??The Fitch credit rating agency made it unanimous Wednesday when it warned
that the thickening electricity quagmire, as well as lower than expected tax
revenues in February and March, could spell broader risk for the state's
budget.

??The announcement is a signal that Fitch, too, may downgrade its ratings on
California's nearly $30 billion in public debt, a move which could cost
taxpayers millions.

??The announcement comes as state lawmakers mull a bailout plan for Southern
California Edison, Pacific Gas & Electric Co. sits in bankruptcy and state
officials bleed through the state's general fund as they purchase expensive
electricity for consumers. Earlier this week, Gov. Gray Davis announced that
the
average daily bill for electricity purchases has risen from $45.8 million a
day
in the last week of March, to $73 million a day.

??Moody's Investors Service and Standard & Poor's have already issued their
own
credit warnings, although none of the three agencies has actually downgraded
the
state's very good double-A credit rating.

??Bond ratings are important yardsticks that bankers and investors use to
price
municipal and corporate bonds. A downgrade would force California to offer
bondbuyers higher interest rates going forward, costing taxpayers.

??The state was last at a lower A rating back in 1994.

??Moody's changed California's Aa2 general obligation bond rating outlook from
stable to negative on April 6, the day Pacific Gas & Electric Co. filed for
bankruptcy. Standard & Poor's has had the state's AA rating outlook at
negative
since January, when the state began buying electricity for the utilities.

??The deciding factor for Fitch, said Fitch vice chairman Claire Cohen, was
the
disagreement over how the money from the new electricity rate hike will be
spent.

??The California Public Utilities Commission ruled in late March that money
generated by higher electricity bills should go first to pay the state
Department of Water Resources, which has been buying electricity for the
utilities. Pacific Gas & Electric Co. has argued that if the state is paid
first, there won't be any money left for it.

??The utility is formally challenging the PUC decision, and the move threatens
to hold up the estimated $12 billion to $14 billion of bonds the Department of
Water Resources plans to issue to buy more electricity.

??"With that being appealed you don't have a clean authorization," Cohen said.
"It signals to me that it could delay the financing process."

??A second concern is that the state isn't collecting as much in taxes as
expected, Cohen said. Tax collections for both February and March were below
forecast. The amount of personal income tax the state collected in those
months
fell short by $455 million, or 14% less than expected.

??Cohen said she made her decision before hearing that the state's power costs
now exceed $70 million a day. Cohen and David Hitchcock, the California
analyst
for Standard & Poors, agreed those rising costs are a definite concern.

??"It doesn't take much of a change in economic growth to make some of these
projected fund balances disappear and so we're very worried about what the
current economic activity is, particularly in Northern California with some of
the problems with the high tech area," Hitchcock told analysts and investors
last week in a conference call.

??State treasurer Phillip Angelides was traveling Thursday and couldn't be
reached for comment. Other economy-watchers expressed concern.

??Sandy Harrison, assistant director of the state Dept. of Finance, said the
move reinforced the importance of solving the current power problems soon.

??"It's important to note that the rating hasn't been lowered yet and does
remain very strong," he said.

??KRT CALIFORNIA is a premium service of Knight Ridder/Tribune

??(c) 2001, San Jose Mercury News (San Jose, Calif.).

??Visit Mercury Center, the World Wide Web site of the Mercury News, at
http://www.sjmercury.com/

JOURNAL-CODE: SJ

LOAD-DATE: April 20, 2001

??????????????????????????????18 of 78 DOCUMENTS

??????????????Copyright 2001 Knight Ridder/Tribune News Service
???????????????????????Knight Ridder/Tribune News Service

????????????????????????????San Jose Mercury News

????????????????????????????April 20, 2001, Friday

SECTION: STATE AND REGIONAL NEWS

KR-ACC-NO: ?K520

LENGTH: 1069 words

HEADLINE: Issues still remain on what power consumers will eventually pay

BYLINE: By John Woolfolk and Michael Bazeley

BODY:

??SAN JOSE, Calif. _ State regulators last month announced an electric rate
increase that would average a whopping three cents per kilowatt hour, hit
bills
beginning in May and punish power pigs while sparing energy misers.

??Now, much of that is up in the air.

??Higher rates are surely coming _ but not before June. Exactly which
consumers
and businesses will pay how much is uncertain as regulators rush to forge a
rate
structure from a tangle of more than 20 proposals.

??Their task has been complicated immeasurably by Gov. Gray Davis' decision to
weigh in with a competing rate plan and Pacific Gas & Electric's move into
bankruptcy court.

??"Little details are moving billions of dollars around," said Nettie Hoge of
consumer advocate group TURN.

??All the proposals assume a "tiered" structure that forces the heaviest users
of energy to pay the most. But key details yet to be decided mean consumers
could see their average rates go up anywhere from 7 percent to 30 percent or
more.

??Among them:

??_How much of an overall increase? The Public Utilities Commission approved a
3-cent per kilowatt hour increase last month, which would boost utility
revenue
$4.8 million. Gov. Gray Davis' hike _ left vague in Davis' April 5 television
address _ averages 2.8 cents for PG&E customers but only 2.3 cents for
customers
of Southern California Edison.

??_What regions of the state will pay? The commission agreed to raise rates
only for Pacific Gas & Electric and Southern California Edison, but Davis
would
include the additional 1.2 million San Diego Gas & Electric customers.

??_Should heavier users of electricity subsidize those who are exempt from the
new rate increase? If so, those users will find themselves paying much more
than
any of the average increase figures being tossed about.

??_How will utilities bill customers retroactively for the increase? At the
time of the PUC vote on March 27, commissioner said their increase would take
effect immediately.

??Various plans are being presented this week to an administrative law judge
working for the commission. The judge is expected to recommend a rate
structure
to the PUC on May 4. Public hearings would follow May 7-11, and the commission
would vote on a plan May 14, condensing to a few weeks a process that normally
lasts nearly a year.

??Each of the major proposals before the commission assumes that residential
customers using less than 130 percent of their baseline would be exempt from
higher rates. That's mandated under a new law that allows the state to buy
power. Customers already pay higher rates for exceeding their baseline, which
is
the average basic level of use for each region of the state.

??Each major proposal also sets new "tiers" with progressively higher rates
for
"medium" use at 130 to 200 percent of baseline and "heavy" use over 200
percent
of that level.

??But that's where the similarities end.

??The first distinction among the leading plans comes in the form of an
assumption: How many residential customers will avoid any increase because
they
don't exceed 130 percent of their baseline? Davis says more than half,
commissioners say a little under half and PG&E says less than a third.

??The second difference among the plans is a real difference: What happens to
everyone else?

??Under the plan by utilities commission President Loretta Lynch, medium PG&E
users would see average bills rise 9 percent and heavy users would see bills
increase 36 percent.

??Davis' plan says medium PG&E users would see average bills rise 11 percent
while heavy users would pay 37 percent more. But the average total bill
increase
for PG&E residential customers, including those who are exempt, would be 20
percent under his plan and 24 percent under Lynch's, according to a statement
on
the governor's web site.

??Business customers would see proportionately greater increases, averaging 30
percent under Lynch's proposal and 26 percent under Davis'.

??The most consumer-friendly of the various proposals comes from
consumer-rights group TURN. They suggest an overall average residential
increase
of just 7.5 percent.

??TURN's plan assumes utilities cannot charge other customers more to make up
for the energy misers shielded from rate increases under state law.

??PG&E disagrees with that interpretation. The utility wants other residential
users to make up for any lost revenue from exempted customers through higher
rates. Under the utility's plan, residential customers would see an average
rate
hike of nearly 30 percent.

??"The proposal these folks are pushing rips the heart out of that law," said
Matthew Freedman, staff attorney for TURN.

??Another issue affecting consumers is how the utilities can bill for
electricity used in April and May, before the final plan is approved.

??Utility officials have objected to making the rate structure retroactive.
Instead, to recoup the revenue, they are proposing a flat surcharge that
everyone would pay, regardless of how much they use.

??Edison proposes a higher surcharge added to bills for a shorter period of
time _ in this case, June through August. PG&E officials are suggesting a
smaller surcharge that would be spread out over 12 months.

??"It'll probably be something closer to the PG&E proposal," Paul Clanon, the
commission's director of energy issues.

??All the rate increase proposals stem from a commonly understood problem:
California's current, frozen rates don't generate enough money to cover the
wholesale price of power. The PUC raised rates 10 percent _ or 1 cent per
kilowatt hour _ in January in an attempt to help, but that turned out to be
far
from enough.

??In March, the Commission approved an additional 3-cent increase. But Davis
followed quickly with an alternative proposal. The next day, PG&E filed for
bankruptcy, raising the specter that a federal judge could order even higher
rates.

??Although the PUC has sole authority to raise rates under state law, Davis'
proposal has complicated an already complex process. The governor appointed
three of the five members of the commission, and his appointees seem inclined
to
show him deference. But Davis has been slow in filing the details of his plan,
which has made it hard for the PUC to proceed.

??KRT CALIFORNIA is a premium service of Knight Ridder/Tribune

??(c) 2001, San Jose Mercury News (San Jose, Calif.).

??Visit Mercury Center, the World Wide Web site of the Mercury News, at
http://www.sjmercury.com/

JOURNAL-CODE: SJ

LOAD-DATE: April 20, 2001

??????????????????????????????19 of 78 DOCUMENTS

?????????????????Copyright 2001 The Chronicle Publishing Co.

?????????????????????????The San Francisco Chronicle

????????????????????APRIL 20, 2001, FRIDAY, FINAL EDITION

SECTION: NEWS; Pg. A4

LENGTH: 765 words

HEADLINE: Edison pushes lawmakers to accept deal

SOURCE: Chronicle Staff Writer

BYLINE: David Lazarus

BODY:
Although lawmakers are skeptical of the state's multibillion-dollar deal to
acquire the power lines of Southern California Edison, the head of the
utility's
parent company warned yesterday that failure to approve the accord could lead
to
a "long and costly" bankruptcy.

???But John Bryson, chief executive of Edison International, told The
Chronicle
that he thought legislators would "want to do the right thing" by approving
the
multibillion-dollar agreement and preventing Edison from following Pacific Gas
and Electric Co. into bankruptcy court.

???Bankruptcy for California's two largest utilities could have severe
consequences for consumers. Financial analysts said a worsening of the state's
energy mess would increase the possibility of higher electricity rates.

???Nevertheless, lawmakers are unlikely to accept the Edison deal -- at least
not in its present form.

???"We are going to go through this thing extensively," said state Senate
President Pro Tem John Burton, D-San Francisco. "There are a lot of concerns
about the valuation."

???Still, he said, legislative backing for the accord remains possible as long
as Edison is open to amending some of the terms.

???"The Edison people are smart enough to know that the Legislature is going
to
have its say," Burton said.

???Indeed, sources familiar with the matter said Edison expected a certain
amount of tinkering with the deal and would not resist efforts to reach common
ground with lawmakers.

???"The Assembly members do not view bankruptcy as a favorable alternative,"
said Assemblyman Herb Wesson, D-Los Angeles. "There will be a big effort to
try
and work something out."

???Edison's Bryson seems eager at this point to present himself and his
company
as reasonable business partners who are willing to negotiate in good faith.

???This contrasts sharply with the state's relations with PG&E, which turned
acrimonious after PG&E blindsided the governor with its bankruptcy filing.
Each
side blamed the other for the collapse of earlier negotiations.

???"We made the decision at an early stage that this was a massive problem for
the state and that the best course was to find a practical solution that would
allow us to get on with operating our power system," Bryson said.

???Bankruptcy, he said, "is absolutely a last resort. It's a long and costly
process."

???It is also the last thing Wall Street wants to see. On Wednesday, rating
agency Fitch Inc. joined Standard & Poor's and Moody's Investor Service in
warning that California's credit rating could be lowered because of the
state's
energy mess.

???"The state may be forced to issue junk bonds," said Carol Coale, an
energy-industry analyst at Prudential Securities in New York. "This could lead
to a surcharge on electricity bills to guarantee the bonds."

???Bryson, not surprisingly, defended Edison's agreement with the governor as
a
prudent alternative to bankruptcy.

???"This is a very good deal for the state," he said. "It is not a bailout.
Edison gives up a lot to make all this possible."

???Southern California Edison will sell its power lines to the state for $2.8
billion. It also will provide low-cost power to California for 10 years and
drop
a federal lawsuit seeking full recovery of nearly $5 billion in past debt.

???Critics say the state is paying far too much for Edison's transmission
system -- more than two times book value -- and that the power lines are of
little use unless PG&E's grid also can be acquired.

???"It's a multibillion-dollar ratepayer bailout of Edison," said Doug Heller,
a spokesman for the Foundation for Taxpayer and Consumer Rights in Santa
Monica.
"Edison gets off scot-free."

???Under the most likely scenario, lawmakers will seek to reduce the amount
paid for Edison's power lines and to increase the role of the California
Public
Utilities Commission in regulating the utility.

???They also will try to come up with a workable contingency plan for the
state
if PG&E remains adamant in its refusal to sell off its part of the power grid.

???"The deal on the table is still salvageable," said Michael Shames,
executive
director of the Utility Consumers' Action Network in San Diego. "But Edison
needs to understand that what it got from the governor is only a framework,
not
set in stone."

???For his part, Bryson signaled that plenty of room existed for give and take
on the issue.

???"We're just at the initial stage," he said. "We always have accepted the
notion that Edison is a California regulated utility and is subject to the
laws
of the Public Utilities Commission."E-mail David Lazarus at
dlazarus@sfchronicle.com.

GRAPHIC: PHOTO, Gov. Gray Davis (left) and John Bryson, chairman of Edison
International, announced a transmission line deal on April 9. Bryson said
Edison
may go into bankruptcy if the deal isn't approved.

LOAD-DATE: April 20, 2001

??????????????????????????????24 of 78 DOCUMENTS

???????????????????The Associated Press State & Local Wire

The materials in the AP file were compiled by The Associated Press. ?These
materials may not be republished without the express written consent of The
Associated Press.

???????????????????????April 20, 2001, Friday, BC cycle

?????????????????????????????7:04 AM Eastern Time

SECTION: State and Regional

LENGTH: 438 words

HEADLINE: Most Edison executives going without bonuses

BYLINE: By GARY GENTILE, AP Business Writer

DATELINE: LOS ANGELES

BODY:

??Senior executives at Edison International and its subsidiary, Southern
California Edison, went without hundreds of thousands of dollars in bonuses in
2000 because of California's power crisis.

??Edison International's chairman and chief executive, John Bryson, was paid $
950,000 in 2000, compared with salary and bonus totaling $2.16 million in
1999.

??Stephen Frank, the chairman and chief executive at Southern California
Edison, was paid $617,000 in 2000, compared with salary and bonus totaling
$1.3
million in 1999, according to the company's proxy statement filed with the
Securities and Exchange Commission.

??The company also said Thursday it would not award merit increases to
executives in 2001 because of the continuing crisis.

??In a similar proxy statement released Tuesday, Pacific Gas and Electric
Corp.
revealed it also withheld bonuses for its top two executives, although they
did
receive raises.

??Edison and PG&E say they've lost nearly $14 billion since June to high
wholesale prices that the state's electricity deregulation law bars them from
passing on to consumers. PG&E, saying it hasn't received the help it needs
from
regulators or state lawmakers, filed for federal bankruptcy protection April
6.

??Edison is continuing to work with state officials and its creditors.

??The utility said its board of directors decided to withhold bonuses to all
but two key executives because the financial effects of the energy crisis have
overshadowed all other aspects of company and individual performance.

??The two executives who did get bonuses earned them for their roles in
preserving the viability of the companies during the crisis and for retention
purposes, Edison said.

??Ted Craver, senior vice president, chief financial officer and treasurer at
Edison International, was paid $375,000 in 2000 and received a $100,000 bonus.
His total compensation in 1999 was $652,100.

??Harold Ray, executive vice president at Southern California Edison, received
a salary of $390,000 in 2000 and a bonus of $50,000. His cash compensation in
1999 was $818,400.

??PG&E paid Chairman Robert D. Glynn Jr. $945,086 in salary and benefits
during
2000, a 58 percent decrease from $2.26 million in the prior year, according to
the company's proxy statement.

??Glynn, 57, received a 12.5 percent increase in his base salary but didn't
get
a bonus.

??Gordon R. Smith, who runs Pacific Gas and Electric, received a 14.5 percent
raise in his base salary to $630,000 but didn't receive a bonus. In 1999,
Smith's compensation package totaled $1.1 million.

LOAD-DATE: April 20, 2001

??????????????????????????????28 of 78 DOCUMENTS

???????????????????The Associated Press State & Local Wire

The materials in the AP file were compiled by The Associated Press. ?These
materials may not be republished without the express written consent of The
Associated Press.

??????????????????????April 19, 2001, Thursday, BC cycle

SECTION: State and Regional

LENGTH: 901 words

HEADLINE: Top political aide discusses Bush's low-key style

BYLINE: By RON FOURNIER, AP White House Correspondent

DATELINE: WASHINGTON

BODY:

??When 24 members of a Navy spy plane crew returned to the United States after
11-days in Chinese custody, President Bush was noticeably absent from their
homecoming ceremonies.

??He also kept a low profile as the Senate shrank his tax-cut plan by $400
billion, and had little to say about riots in Cincinnati this month.

??Such is the silent style of the new president, says Bush's top political
strategist, Karl Rove.

??"Every administration is marked in contrast to its predecessor. The previous
administration felt compelled to dominate the evening news every day and the
president said, 'I'm focused on getting the job done,"' Rove said Wednesday in
an Associated Press interview.

??Running a low-key presidency sets Bush apart from former President Clinton,
but the style has its critics.

??Some lawmakers, including members of his own party, said Bush could have
saved more of his $1.6 trillion tax-cut plan if he had personally lobbied more
lawmakers.

??Bush issued a statement expressing sympathy with police and protesters in
Cincinnati, but ran the risk of looking detached.

??And Rove acknowledged that there was some discussion in the White House
about
Bush attending the U.S. crew's homecoming to reap the public relations reward
for freeing the crew.

??But the president vetoed the idea, according to Rove, who quoted Bush as
saying, "I want it to be about them and I don't want to go through the
discombobulation that it would require of them and their families for me to
show
up."

??It is not hard to imagine Clinton commanding center stage during city riots,
a budget battle or an international crisis, but Rove said, "We intended to
have
a smaller profile than the previous administration."

??Bush's "attitude is that he's not going to be measured by whether or not he
gets on the evening news but on whether or not he gets progress," Rove said
during the 45-minute interview.

??He sat at a polished wood conference table in his West Wing office, his
hands
folded over a memo he had discretely turned upside down. Newspapers and a
Starbucks coffee mug littered his desktop. Framed photos and artwork were
propped against a chair, still awaiting hanging on his 89th day in the White
House.

??A painting of a Texas landscape decorated one wall, allowing Bush's
political
strategist of eight years to "go on vacation whenever I'm on the phone."

??Rove is on the telephone a lot these days crafting strategies to pass the
White House legislative agenda, maintain GOP control of Congress in 2002 and
position the president for a re-election bid in 2004.

??Bush narrowly won the White House without California's 54 electoral votes,
and Rove said the president could win re-election without the state "but it's
always nicer to carry the Golden State."

??He said the state's electricity shortage will not hurt Bush's chances in
2004, adding that the administration has done "virtually everything" Gov. Gray
Davis has requested.

??He suggested that the state caused its own problems by not building enough
power plants and failing to follow the lead of other states, such as Bush's
Texas, to establish sound energy policies before a crisis struck.

??"This has got a very human dimension to it," Rove said. "It's one thing to
talk about power supplies. It's another thing when you talk about how it
affects
their jobs, how it's affecting their livelihoods, how it's affecting the
safety
of their communities and the health of their families. This is a tough issue
and
it ought to be a wake up call for the entire country."

??A White House task force headed by Vice President Dick Cheney is working on
recommendations to address both short-term problems of soaring electricity and
natural gas prices and longer-term energy supply problems, focusing on
producing
more domestic oil and gas and building more electric power plants.

??Rove said the administration will soon unveil new conservation measures
aimed
at helping California ease its shortages.

??He said Bush and his political team are bringing House Republicans from
politically competitive states to the White House, where they discuss their
districts' needs and, often, gain local media attention.

??Bush also plans to attend fund-raisers for House and Senate campaign
committees, helping the party gear up for 2002 midterm elections in which
control of Congress is at stake.

??Rove also said:

??-Bush will not seek broad authority to negotiate trade treaties anytime
soon,
allowing time to make the legislation more attractive to Democrats. "You can
only put so much into that pipe, and we've stuffed it," he said of Bush's
crowded legislative agenda. The "fast track" authority is key to Bush's plans
for a free trade zone stretching from Canada to Chile. That proposal is the
focus of the three-day Summit of the Americas beginning Friday in Quebec City.

??-Americans will support Bush's environmental policies despite criticism of
his decision to overturn some initiatives of the final days of the Clinton
administration. Rove stopped short of accusing Clinton of setting Bush up for
political troubles. "I'm not certain I see a conspiracy there. I do think it's
interesting" that Clinton waited until the last moment to act.

??-Bush has not wavered since the campaign in his view that states should be
able to opt out of minimum wage increases passed by Congress. "We are not all
one single labor market," Rove said.

GRAPHIC: AP Photo WX109

LOAD-DATE: April 20, 2001

??????????????????????????????29 of 78 DOCUMENTS

???????????????????The Associated Press State & Local Wire

The materials in the AP file were compiled by The Associated Press. ?These
materials may not be republished without the express written consent of The
Associated Press.

??????????????????????April 19, 2001, Thursday, BC cycle

SECTION: State and Regional

LENGTH: 727 words

HEADLINE: Utility commission staff says parent company profiting from energy
sales

DATELINE: BOISE, Idaho

BODY:

??IDACORP made $66 million in profits in the past year by buying electricity
on
the spot market and reselling it for a higher price to its subsidiary, Idaho
Power Co., the staff for state utility regulators contends.

??The Idaho Public Utilities Commission staff said such profits should not
come
at the expense of Idaho Power ratepayers facing staggering electrical bills.

??In a report to commissioners posted on the agency's Internet site Wednesday,
the staff recommended Idaho Power's proposed increases for residential and
commercial customers be cut by about half.

??Idaho Power seeks rate increases over the coming year totaling $227.4
million. The regulatory staff recommends a $108.7 million increase. For
residential customers, a requested 34-percent hike would be reduced to 16
percent.

??"This is not a final decision," said Jeff Beaman, a spokesman for IDACORP
and
Idaho Power. "In many cases, the commissioners disagree with the staff."

??The report noted there was nothing illegal about the transactions between
Idaho Power and its sister company, Idaho Energy Systems. To change that, the
staff urged commissioners to create a mechanism that forces Idaho Power to buy
electricity at the same price Idaho Energy Systems pays for it.

??The report said Idaho Energy Systems, an unregulated subsidiary of IDACORP,
repeatedly purchased electricity on the wholesale market and then sold it to
Idaho Power for a profit.

??Idaho Power officials contend the recommended policy change could
financially
cripple the company. It already spent $161 million buying power on the open
market and cannot recover the money unless the coming year's rate is
increased.

??"The failure to recoup these funds could lead to liquidity problems," Beaman
said, "and that will hurt not only the company but our customers as well."

??But IDACORP paid all of its salaried staff - including Idaho Power employees
- a 15-percent bonus at the end of the last fiscal year because the company
had
achieved record profits of $139.9 million, 53 percent over the year before.

??Beaman said incentive payments have no impact on the rate request.

??Charging the higher rate between the two subsidiaries was the result of a
commission order tying the price that Idaho Energy charges for wholesale
electricity to the Mid-Columbia Index. The index has been pegged at
unrealistic
levels since the energy crisis erupted in California, and fluctuates
constantly.

??"We are confident that the transactions were performed within the letter and
spirit of the law, and have not been at the expense of ratepayers," Beaman
said.

??Commission spokesman Gene Fadness said commissioners cannot comment on a
case
before them, but their ultimate decision can be appealed to the Idaho Supreme
Court.

??The Public Utilities Commission staff also recommended:

??- Deferring $66.1 million of Idaho Power's rate request, without interest,
until answers are available about the company's electricity deals.

??- Deferring another $45.8 million of the request until next year, when the
commissioners would allow Idaho Power to collect 5-percent interest. That part
of the hike was earmarked for wholesale power purchases this year - purchases
that the staff believes will be much more expensive next year.

??- Cutting another $10.3 million from the increase request, contending it was
an error by Idaho Power's Risk Management Committee that the company planned
on
passing on to ratepayers.

??- Implementing a low-interest loan program to encourage energy conservation
by Idaho Power customers.

??- A two-year phase-in of any rate increase ultimately approved that is
substantially over 20 percent.

??- Changing residential rates to a three-tiered system to encourage savings.

??Homeowners would pay 5.52 cents per kilowatt-hour for the first 800 kwh
used,
6.12 cents per kwh for use between 800 kwh and 2,000 kwh, and 7.48 cents per
kwh
for use over 2,000 kwh. The current residential rate of 5.2 cents per kwh.

??The staff report also took Idaho Power to task, saying it was warned of the
possibility of spiraling prices and power shortages as far back as 1995.

??But the company contends it did not want to build generating plants during
the past decade because with electricity deregulation looming, nobody knew
what
independent power facilities were being considered.

LOAD-DATE: April 20, 2001

??????????????????????????????30 of 78 DOCUMENTS

???????????????????The Associated Press State & Local Wire

The materials in the AP file were compiled by The Associated Press. ?These
materials may not be republished without the express written consent of The
Associated Press.

??????????????????????April 19, 2001, Thursday, BC cycle

SECTION: State and Regional

LENGTH: 820 words

HEADLINE: Legislators probe possible power, natural gas collusion

BYLINE: By DON THOMPSON, Associated Press Writer

DATELINE: SACRAMENTO

BODY:

??Southern California Edison was charged about $750 million more this year for
natural gas because of unchecked free-market forces, an industry consultant
testified.

??Paul Carpenter told the Assembly Electricity Oversight Subcommittee on
Wednesday the price spikes came after the El Paso Natural Gas Co. contracted
first with Dynegy and later with its own marketing affiliate, El Paso Merchant
Energy, to control the pipeline capacity.

??Officials with El Paso and other natural gas suppliers are expected to
testify Thursday that they did not illegally manipulate the market.

??The California Public Utilities Commission estimated a year ago that
overcharges by the companies that control natural gas flow drove up prices by
$
100 million a year to California gas and electricity customers.

??But PUC attorney Harvey Morris said that was before last summer's price
spikes, which he blamed on natural gas suppliers using a "monopoly" to "game
the
system."

??"It's way worse than we could possibly have imagined," Morris said after
testifying before the subcommittee. "It's obviously way higher than $100
million."

??Natural gas rates at the California border generally tracked national prices
until November, when they spiked as high as 11 times higher than the price of
natural gas elsewhere in the nation, Carpenter said.

??"I have never seen gas prices like this anywhere in the world," said
Carpenter, who has been studying the energy market for 20 years for Cambridge,
Mass.-based consultant The Brattle Group. The Brattle Group was hired by
Edison
to study the natural gas market.

??The committee is one of two legislative committees exploring whether illegal
market manipulation in the electricity and natural gas markets has driven up
California's energy costs.

??"This is a market that is plagued by the exercise of market power," Frank
Wolak, chairman of the California Independent System Operator's Market
Surveillance Committee, told the Senate Select Committee to Investigate Price
Manipulation of the Wholesale Energy Market. The ISO runs the state's power
grid.

??However, "there is no law against me saying, 'I'm not going to sell to
you,"'
Wolak said. Market manipulation only becomes illegal when there is collusion,
Wolak said, and such evidence is hard to find.

??Electricity generators and natural gas suppliers say a severe supply and
demand imbalance - not market manipulation - has led to higher prices.

??"Everybody's busy doing investigations. They're not interested in solving
the
problem," said Independent Energy Producers Executive Director Jan
Smutny-Jones.

??Investigations "are wasting everybody's time," Smutny-Jones said, adding
that
previous probes and lawsuits have uncovered no wrongdoing. He said the state's
power problems came because state regulators denied utilities the chance to
sign
long-term energy contracts when they had the chance.

??"People have been playing by the rules," Smutny-Jones said.

??But the Senate committee's first witnesses are ISO officials who authored
studies that claim the state paid more than $6 billion too much for power last
year.

??Committee chair Joseph Dunn, D-Garden Grove, also has slated state Auditor
Elaine Howell, who last month blamed buyers and sellers for skyrocketing
electricity costs. Dunn also has scheduled future testimony from state,
federal,
academic and private investigators studying the power market.

??He invited five major generators to attend the committee's second hearing
next week. All five - Reliant, Dynegy, Williams Energy, Duke Energy and
Mirant -
say they are eager to cooperate and clear their names, Dunn said.

??Dunn asked the five for a total of 86 specific documents. If the companies
feel they cannot provide documents because of legal or confidentiality
concerns,
Dunn said he will subpoena them.

??Smutny-Jones said investigators appear to be growing desperate to blame the
state's natural gas and electricity price hikes on illegal market manipulation
instead of natural market forces.

??He cited Attorney General Bill Lockyer's announcement last week that any
informant who helped prove wrongdoing would be entitled to a percentage of the
state's recovery he estimated could range from $50 million to hundreds of
millions of dollars.

??"If the state's offering a $50 million reward, they haven't found anything,"
Smutny-Jones said. "I don't think you're going to find the fact that anybody
did
anything criminal here."

??Assemblywoman Jenny Oropeza, D-Long Beach, said she believes otherwise after
Wednesday's testimony: "I think it is very clear there was some price
manipulation going on."

??But Assemblyman John Campbell, R-Irvine, isn't sure there was anything
illegal.

??"There clearly are market forces at work, that's evident," Campbell said.
"Whether you make the jump to market manipulation ... I haven't seen
conclusive
evidence that leads me to make that jump."

LOAD-DATE: April 20, 2001


We have finally agreed as the content of letter and I may need Gary to sign
it.  Do you happen to have a copy of an agreement signed between ECT (or RMT)
and EI as to this deal?  SS


ONEPASS MEMBER CO.O.L. TRAVEL SPECIALS
DOMESTIC U.S.
Wednesday, December 6, 2000
****************************************

INTRODUCING ONEPASS MILEPASS
With our new OnePass MilePass promotion, OnePass members may transfer
miles to any other OnePass account for a service charge of just $4 per 500
miles.
To sign up for MilePass call 1-800-554-5522 before January 31, 2001 or visit
 www.continental.com/onepass     for more details.

****************************************
TABLE OF CONTENTS FOR CO.O.L. TRAVEL SPECIALS
1. OnePass Miles CO.O.L. Travel Specials Offers
2. CO.O.L. Travel Specials Offers
3. Featured Fares Sample Destinations
4.  Continental Vacations Offers
5. Alamo Rent A Car Offers
6. National Car Rental Offers
7. Westin, Sheraton, Four Points, St. Regis,
???The Luxury Collection  and W Hotel Offers
8. Hilton Hotel Offers

****************************************
This week's specials are good for the following markets departing Saturday,
December 9  and returning on either Monday, December 11 or Tuesday, December
12,
2000.  Please see the Rules/Terms and Conditions listed at the end of this
e-mail.
****************************************
 1. OnePass Miles CO.O.L. Travel Specials Offers
For OnePass members, here are special opportunities to redeem miles for
travel to the following destinations.  As an additional benefit, OnePass
Elite members can travel using the miles below as the only payment
necessary.  The following are this week's OnePass CO.O.L. Travel Specials.

To use your OnePass miles (as listed below) to purchase CO.O.L. Travel
Specials, you must call 1-800-642-1617.

THERE WILL NOT BE AN ADDITIONAL $20 CHARGE WHEN
REDEEMING ONEPASS MILES FOR CO.O.L. TRAVEL SPECIALS THROUGH
THE TOLL FREE RESERVATIONS NUMBER.

********************************
TRAVEL MAY ORIGINATE IN EITHER CITY
****************************************
$29 + 12,500 Miles Cleveland, OH - Hartford, CT
$29 + 12,500 Miles Cleveland, OH - Indianapolis, IN
$29 + 10,000 Miles Cleveland, OH - Madison, WI
$29 + 10,000 Miles Cleveland, OH - Saginaw, MI

$29 + 12,500 Miles Houston, TX - Indianapolis, IN
$29 + 12,500 Miles Houston, TX - Jacksonville, FL
$29 + 12,500 Miles Houston, TX - Los Angeles, CA
$29 + 12,500 Miles Houston, TX - Nashville, TN
$29 + 10,000 Miles Houston, TX - New Orleans, LA
$29 + 12,500 Miles Houston, TX - Ontario, CA
$29 + 15,000 Miles Houston, TX - Orange County/Santa Ana, CA
$29 + 12,500 Miles Houston, TX - Pensacola, FL
$29 + 10,000 Miles Houston, TX - San Antonio, TX
$29 + 12,500 Miles Houston, TX - San Diego, CA
$29 + 12,500 Miles Houston, TX - Tampa/St. Petersburg, FL
$29 + 12,500 Miles Houston, TX - Tulsa, OK

$29 + 12,500 Miles New York/Newark (Newark only) - Indianapolis, IN
$29 + 12,500 Miles New York/Newark (Newark only) - New Orleans, LA
$29 + 10,000 Miles New York/Newark (Newark only) - Raleigh Durham, NC
$29 + 17,500 Miles New York/Newark (Newark only) - San Diego, CA
$29 + 17,500 Miles New York/Newark (Newark only) - Seattle/Tacoma, WA
$29 + 12,500 Miles New York/Newark (Newark only) - Tampa/St. Petersburg, FL

****************************************
 2.  CO.O.L. Travel Specials Offers
Purchase CO.O.L. Travel Specials online until 11:59pm (CST) Friday at
www.continental.com
You can also purchase CO.O.L. Travel Specials for an additional cost of $20
per ticket through our telephone service at 1-800-642-1617.

********************************
TRAVEL MAY ORIGINATE IN EITHER CITY
********************************
****Roundtrip BETWEEN CLEVELAND, OH and:
$129 Cleveland, OH - Hartford, CT
$119 Cleveland, OH - Indianapolis, IN
$109 Cleveland, OH - Madison, WI
$99 Cleveland, OH - Saginaw, MI

****Roundtrip BETWEEN HOUSTON, TX and:
$139 - Indianapolis, IN
$139 - Jacksonville, FL
$139 - Los Angeles, CA
$139 - Nashville, TN
$99 - New Orleans, LA
$139 - Ontario, CA
$159 - Orange County/Santa Ana, CA
$119 - Pensacola, FL
$89 - San Antonio, TX
$139 - San Diego, CA
$139 - Tampa/St. Petersburg, FL
$119 - Tulsa, OK

****Roundtrip BETWEEN NEW YORK/NEWARK (Newark only) and:
$119 - Indianapolis, IN
$119 - New Orleans, LA
$89 - Raleigh Durham, NC
$189 - San Diego, CA
$199 - Seattle/Tacoma, WA
$119 - Tampa/St. Petersburg, FL

********************************
 3.  FEATURED FARES SAMPLE DESTINATION
Choose your fare, find your flight. Or, quickly sift through all our great
featured fares by choosing a destination or origin. Be spontaneous. Get out
of town. Current Featured Fares destinations include:

New York, Philadelphia, Los Angeles, San Francisco,
West Palm Beach, Seattle, and many more.

Note: Featured Fares change often. To see a regularly-updated online list
and purchase our Featured Fares, visit the website at:
www.continental.com

(Capacity controls and other restrictions apply)

********************************
 4.  CONTINENTAL VACATIONS OFFERS
Are you thinking about how you are going to plan you next vacation?  Let
Continental Airlines Vacations take the hassle out of vacation planning with
easy-to-plan travel packages that provide exciting destinations plus
memories that will last a lifetime!

Check out www.coolvacations.com/internetdeals.asp
to see our newest addition: INTERNET ONLY SPECIALS!

********************************
 5.  CO.O.L. TRAVEL SPECIALS FROM ALAMO RENT A CAR
This week, Alamo (R) offers great rates in the following cities. Rates
listed below are valid on compact class vehicles at airport locations
listed.  Other car types may be available. Rates are valid from Saturday,
December 9 to Tuesday, December 12, 2000.
-------------------------------
$18 a day in:  Nashville, TN (BNA)
$26 a day in:  Newark, NJ (EWR)
$18 a day in:  Houston, TX (IAH)
$20 a day in:  Indianapolis, IN (IND)
$26 a day in:  Jacksonville, FL (JAX)
$38 a day in:  Los Angeles, CA (LAX)
$20 a day in:  Ontario, CA (ONT)
$38 a day in:  San Diego, CA (SAN)
$20 a day in:  Seattle, WA (SEA)

To receive special Continental CO.O.L. discounted rates, simply make advance
reservations and be sure to request ID # 596871 and Rate Code 33. Book your
reservation online at:
 www.alamo.com
or contact Alamo at 1-800 GO ALAMO.

*If you are traveling to a city or a different date that is not listed,
Alamo offers you up to 20% off their retail rates when you book online at:
 www.alamo.com

For complete details on these offers, please refer to Alamo's terms and
conditions below.

****************************************
  6.  CO.O.L. TRAVEL SPECIALS FROM NATIONAL CAR RENTAL
This week, National (R) offers great rates in the following cities. Rates
listed below are valid on compact class vehicles at airport locations
listed.  Other car types may be available. Rates are valid from Saturday,
December 9 to Tuesday, December 12, 2000.
------------------------------------------
$19 a day in:  Hartford, CT (BDL)
$27 a day in:  Nashville, TN (BNA)
$21 a day in:  Cleveland, OH (CLE)
$27 a day in:  Newark, NJ (EWR)
$19 a day in:  Houston, TX (IAH)
$27 a day in:  Jacksonville, FL (JAX)
$38 a day in:  Los Angeles, CA (LAX)
$20 a day in:  Saginaw, MI (MBS)
$27 a day in:  New Orleans, LA (MSY)
$38 a day in:  Ontario, CA (ONT)
$27 a day in:  Pensacola, FL (PNS)
$19 a day in:  Raleigh-Durham, NC (RDU)
$38 a day in:  San Diego, CA (SAN)
$19 a day in:  San Antonio, CA (SAT)
$21 a day in:  Seattle, WA (SEA)
$38 a day in:  Orange County, CA (SNA)
$27 a day in:  Tampa, FL (TPA)
$19 a day in:  Tulsa, OK (TUL)

To receive your special Continental Airlines CO.O.L. Travel Specials
discounted rates, simply make your reservation in advance and be sure to
request Product Code COOLUS.  Make your reservation online or contact
National at 1-800-CAR-RENT (1-800-227-7368).  Book your reservation online
at: www.nationalcar.com

* If you are traveling to a city or a different date that is not listed,
National offers you up to 20% off their retail rates when you book online at:
www.nationalcar.com

For complete details on these offers, please refer to National's terms and
conditions below.

****************************************
 7.  CO.O.L. TRAVEL SPECIALS LAST-MINUTE WEEKEND
RATES FROM WESTIN, SHERATON, FOUR POINTS, ST. REGIS,
THE LUXURY COLLECTION, AND W HOTELS

Here is a sample of this weekend,s participating hotels that match
Continental,s flight destinations.  Visit our website for a complete
listing of participating hotels:

--------------------------------------
Cleveland, OH - Four Points by Sheraton Cleveland South  $51.00
Cleveland, OH - Four Points by Sheraton Cleveland City Center Hotel   $88.00
Cleveland, OH - Four Points by Sheraton Akron West   $59.00

Houston, TX - Sheraton North Houston at IAH   $58.00
Houston, TX - Sheraton Suites Houston Near the Galleria  $71.00
Houston, TX - Sheraton Houston Brookhollow  $59.00
Houston, TX - The St. Regis Houston  $64.00
Houston, TX - The Westin Galleria  $95.00

Los Angeles, CA - Four Points by Sheraton Culver City  $65.00
Los Angeles, CA - Four Points by Sheraton LAX   $57.00
Los Angeles, CA - Four Points by Sheraton Santa Monica  $108.00
Los Angeles, CA - Sheraton Anaheim Hotel   $81.00
Los Angeles, CA - Sheraton Gateway Hotel Los Angeles Airport  $62.00
Los Angeles, CA - Sheraton Industry Hills Resort and Conference Center
$62.00
Los Angeles, CA - Sheraton Ontario Airport Hotel  $52.00
Los Angeles, CA - Sheraton Universal Hotel  $99.00
Los Angeles, CA - The Century Plaza Hotel & Spa  $140.00
Los Angeles, CA - The Westin Los Angeles Airport  $77.00
Los Angeles, CA - W Los Angeles Westwood  $191.00
Los Angeles, CA - Westin Long Beach  $82.00

Madison, WI - Sheraton Madison Hotel  $77.00

Nashville, TN - Sheraton Music City  $77.00

New Orleans, LA - Sheraton New Orleans Hotel   $109.00

New York, NY - Sheraton JFK Airport  $110.00

Orange County, - CA Sheraton Ontario Airport Hotel  $129.00

Pensacola, FL - Four Points by Sheraton Ft. Walton Beach  $46.00

San Antonio, TX - The Westin Riverwalk  $169.00
San Antonio, TX - The Westin La Cantera Resort  $175.00

San Diego, CA - Sheraton San Diego Hotel & Marina  $94.00
San Diego, CA - Four Points by Sheraton Rancho Bernardo  $71.00

Seattle/ Tacoma, WA - The Westin Seattle  $99.00
Seattle/ Tacoma, WA - Sheraton Tacoma Hotel  $59.00

St. Petersburg, FL - The Westin Innisbrook Resort  $71.00

Tampa, FL - The Westin Innisbrook Resort  $71.00
Tampa, FL - Sheraton Studio City Hotel   $85.00
Tampa, FL - Four Points by Sheraton Lakeland  $57.00

Tulsa, OK - Sheraton Tulsa Hotel  $56.00

Visit our site for booking these Last-Minute Weekend Rates
promo.starwood.com/csco

For complete details on these offers, please refer to the terms and
conditions below.

****************************************
 8.  CO.O.L. TRAVEL SPECIALS ON HILTON HOTELS AND RESORTS
The following rates are available December 8-10, 2000 and are priced per
night.
--------------------------------------

Airport:   Tampa, Florida (TPA)
Rate:      $105/Night    Hilton Clearwater Beach Resort, Clearwater
FL    (Located on 10 acres of white sandy beach on the Gulf of Mexico.)

Airport:   Tampa, Florida (TPA)
Rate:      $69/Night    Doubletree Guest Suites Tampa near Busch Gardens,
Tampa  FL    (Just a mile away from the world-famous Busch Gardens and
Adventure
Island theme parks, conveniently located to numerous business parks.)

Airport:   Orange County, California (SNA)
Rate:      $89/Night    Hilton Port of Los Angeles/San Pedro, San Pedro  CA
(Minutes away from the Queen Mary, shopping and walking distance to beach.)

Airport:   Orange County, California (SNA)
Rate:      $99/Night    Hilton Suites Anaheim/Orange, Orange  CA
(An all suite hotel offering cooked to order breakfast and evening beverage
reception!)

Airport:   Seattle, Washington (SEA)
Rate:      $59/Night    Doubletree Hotel Bellevue Center, Bellevue WA
(We're located off I-405, just ten minutes east of downtown Seattle and
25 minutes from Sea-Tac International Airport.)

Airport:   Seattle, Washington (SEA)
Rate:      $89/Night    Doubletree Hotel Seattle Airport, Seattle  WA
(Adjacent to Seattle Tacoma International Airport, one mile from I-5 and 20
minutes south of downtown Seattle, we provide 24-hour complimentary airport
shuttle service.)

Airport:   Seattle, Washington (SEA)
Rate:      $79/Night    Doubletree Hotel Bellevue, Bellevue  WA
(We're just ten minutes from downtown Seattle and 25 minutes from Sea-Tac
International Airport.)

Airport:   San Antonio, Texas (SAT)
Rate:      $59/Night    Hilton San Antonio Airport, San Antonio  TX
(2 miles from SAT Airport; 10 mins from the Riverwalk, 20 mins to
Seaworld.)

Airport:   San Antonio, Texas (SAT)
Rate:      $69/Night    Doubletree Club San Antonio Airport, San Antonio  TX
(Located in San Antonio with easy access to area
attractions.)

Airport:   San Diego, California (SAN)
Rate:      $129/Night    Hilton San Diego Mission Valley, San Diego CA
(Located one mile from Old Town San Diego, 4 miles from
downtown, Zoo and Balboa Park.)

Airport:   San Diego, California (SAN) Rate:      $169/Night, 12/9-10
Hilton San Diego Airport/Harbor
Island, San Diego  CA    (Four miles from the San Diego Convention
Center, Downtown and the Seaport Village)

Airport:   San Diego, California (SAN)
Rate:      $99/Night    Hilton San Diego/Del Mar, Del Mar  CA
(Next to the famous Del Mar Race Track.  16 miles north of SAN Airport.)

Airport:   Raleigh-Durham, North Carolina (RDU)
Rate:      $79/Night    Hilton North Raleigh, Raleigh  NC
(Located 5 miles from the State Capitol, convenient to downtown,
Research Triangle Park and the airport.)

Airport:   Pensacola, Florida (PSN)
Rate:      $109/Night    Hilton Sandestin Beach and Golf Resort,Destin  FL
(A 2,400 acre, beachfront resort playground nestled
between the Gulf of Mexico and the Choctawatchee Bay.)

Airport:   New Orleans, Louisana (MSY)
Rate:      $70/Night    Hilton New Orleans Airport, Kenner  LA
(First-class hotel at the airport, only 13 miles from the French Quarter!)

Airport:   New Orleans, Louisana (MSY)
Rate:      $99/Night    Doubletree Hotel New Orleans-Lakeside, Metairie  LA
(Located in Metairie with stunning views of Lake Pontchartrain and
the New Orleans skyline.)

Airport:   Indianapolis, Indiana (IND)
Rate:      $79/Night    Doubletree Guest Suites Indianapolis/Carmel, Carmel
IN
(Just 5 minutes from the Indianapolis International
Airport and 15 minutes from downtown.)

Airport:   Intercontinental Airport, Houston, Texas (IAH)
Rate:      $79/Night    Hilton Houston Hobby Airport, Houston  TX
(Across from Hobby Airport (free shuttle) - near Astroworld, NASA and
racetracks.)

Airport:   Intercontinental Airport, Houston, Texas (IAH)
Rate:      $99/Night    Hilton Houston Southwest, Houston  TX
(Only 9 miles from downtown Houston, Free shuttle to the Galleria Mall.)

Airport:   Intercontinental Airport, Houston, Texas (IAH)
Rate:      $165/Night    Doubletree Hotel Houston-Post Oak, Houston TX
(Located in the heart of Uptown Houston Business district and 2
blocks from the Galleria Mall.)

Airport:   Newark, New Jersey (EWR)
Rate:      $79/Night    Hilton Parsippany, Parsippany  NJ
(Only 3 miles from downtown Morristown & 25 miles from New York City.)

Airport:   Cleveland, Ohio (CLE)
Rate:      $59/Night    Hilton Garden Inn Cleveland Airport, Cleveland  OH
(Just two miles from Cleveland Airport, and only 12 miles from downtown.)

Airport:   Cleveland, Ohio (CLE)
Rate:      $69/Night    Hilton Cleveland South, Cleveland  OH
(Located 8 miles from the Rock-n-Roll Hall of Fame and downtown
Cleveland)

To book this week's special rates for Hilton Family Hotels, visit and book at
www.hilton.com/specials/values_main.html

Special rates apply only for the dates listed at each hotel and are subject
to
availability.  Check hilton.com for specific dates at each Hilton Family
Hotel.
Or call at 1-800-774-1500 and ask for Value Rates. Restrictions apply to
these
rates.

****************************************
CO.O.L. TRAVEL SPECIALS RULES:
Fares include a $37.20 fuel surcharge.  Passengers
returning on January 31, 2000 will not have to pay the $37.20 fuel
surcharge.  Passenger Facility Charges, up to $12 depending on routing, are
not included. Up to Three dollars per segment federal excise tax, as
applicable, is not included.  Applicable International and or Canadian taxes
and fees up to $88, varying by destination, are not included and may vary
slightly depending on currency exchange rate at the time of purchase.
For a complete listing of rules please visit:
 www.continental.com

ALAMO RENT A CAR'S TERMS AND CONDITIONS:
Taxes (including VLF taxes up to US$1.89 per day in California and GST),
other governmentally-authorized or imposed surcharges, license recoupment
fees, fuel, additional driver fee, drop charges and optional items (such as
CDW Waiver Savers(R) up to US$18.99 a day,) are extra. Renter must meet
standard age, driver and credit requirements. Rates higher for drivers under
age 25. Concession recoupment fees may add up to 14% to the rental rate at
some on-airport locations. Up to 10.75% may be added to the rental rate if
you rent at an off-airport location and exit on our shuttle bus. Weekly
rates require a 5-day minimum rental or daily rates apply. For weekend
rates, the vehicle must be picked up after 9 a.m. on Thursday and returned
before midnight on Monday or higher daily rates apply. 24-hour advance
reservation required. May not be combined with other discounts. Availability
is limited. All vehicles must be returned to the country of origin. Offer
not valid in San Jose, CA.

NATIONAL CAR RENTAL TERMS AND CONDITIONS:
Customer must provide Contract ID# at the time of reservation to be eligible
for discounts. Offer valid at participating National locations in the US and
Canada. Minimum rental age is 25. This offer is not valid with any other
special discount or promotion. Standard rental qualifications apply. Subject
to availability and blackout dates. Advance reservations required.
Geographic driving restrictions may apply.

TERMS AND CONDITIONS FOR WESTIN, SHERATON, FOUR POINTS,
ST. REGIS, THE LUXURY COLLECTION, AND W HOTELS:
 promo.starwood.com

---------------------------------------
This E-mail message and its contents are copyrighted and are proprietary
products of Continental Airlines, Inc.  Any unauthorized use, reproduction,
or transfer of the message or its content, in any medium, is strictly
prohibited.

****************************************
UNFORTUNATELY MAIL SENT TO THIS ADDRESS CANNOT BE ANSWERED.
PLEASE SEND ALL INQUIRIES TO: eservice@coair.com

TO UNSUBSCRIBE:
We hope you will find CO.O.L. Travel Specials a valuable source of
information. However, if you prefer not to take advantage of this
opportunity, please let us know by visiting the CO.O.L. Travel Specials page
on our web site at:
www.continental.com

TO SUBSCRIBE:
Please visit the CO.O.L. Travel Specials page on our web site at:
www.continental.com

[IMAGE]


Martina,

Thanks.

Vince

	Enron Capital & Trade Resources Corp. - Europe

	From:  Martina Angelova                           02/24/2000 03:37 PM

To: Charlotte Baldock/LON/ECT@ECT
cc: Vince J Kaminski/HOU/ECT@ECT, Anjam Ahmad/LON/ECT@ECT
Subject: Re: Loan PC

Charlotte,

I confirmed today with your colleague Stuart at  x34073 and he arranged for
the CPU to be removed.

Please call me if you have any questions. Thanks!

Martina  x34327

Vince J Kaminski
24/02/2000 15:28
To: Charlotte Baldock/LON/ECT@ECT
cc: Vince J Kaminski/HOU/ECT@ECT, Anjam Ahmad/LON/ECT@ECT, Martina
Angelova/LON/ECT@ECT

Subject: Re: Loan PC

Charlotte,

I am back in Houston. Please, contact Anjam Ahmad and/or
Martina Angelova. They will be able to help you.

Vince Kaminski

Charlotte Baldock
02/24/2000 05:22 AM
To: Vince J Kaminski/HOU/ECT@ECT
cc:
Subject: Loan PC

Vince

Can you confirm that you will returning the loan PC to IT Support today
please?

Thanks

Charlotte


Howard --

Did we deal with the EES letter from NYISO MMU?  Pls let me know.

Jim


?
---------------------- Forwarded by Chris Stokley/HOU/ECT on 04/03/2001 09:51 AM ---------------------------
To:	Chris Stokley/HOU/ECT@ECT, Chris H Foster/HOU/ECT@ECT
cc:	Jennifer Johnson/HOU/EES@EES
Subject:	HA_Final

I was informed that Brett is no longer handling the HA_Finals reporting.  Would you please let me know who will be handling this reporting hence forth.

Thanks,

Pam
---------------------- Forwarded by Pamela Carter/HOU/EES on 04/03/2001 11:39 AM ---------------------------

	Enron Energy Services  From:  Pamela Carter                           04/03/2001 09:20 AM

To:	D Brett Hunsucker/HOU/ECT@ECT
cc:	Jennifer Johnson/HOU/EES@EES
Subject:	HA_Final

Brett, for March 17th, hour 1 SCE1 has no volume.  Also, for March 11th I still need to get a revision for hour 1 on PGE3 and SDG1.

Would you please give me updates as soon as possible.

Thanks,

Pam


Notice # 01-145
April 30, 2001

TO:
ALL NYMEX/COMEX DIVISION MEMBERS
ALL NYMEX/COMEX DIVISION MEMBER FIRMS
ALL NYMEX/COMEX DIVISION CLEARING FIRMS
ALL NYMEX/COMEX DIVISION OPERATION MANAGERS

FROM:
George Henderson, Vice President
Michael Campanelli, Vice President

RE:
May ATOM Processing Schedule

DATE  BUSINESS DAY  EVENT

5/1  1   Preliminary ATOM reports
5/3  3   Last day for adjustments.
5/4  4   Final ATOM reports.
5/7  5   CMs debited for brokerage.
5/9  7   NYMEX gets confirmation of available      Funds in escrow account
and initiates
     Transfer to Brokers.
5/10  8   Funds are deposited to broker accounts.

5/11   9   Brokers who check their morning
     Balances will see the ATOM deposits
     Reflected in their bank balances.

NOTE:
Broker enrollments for June cycle must be received by the Membership
Department no later than 10:00 A.M., on May 30, 2001.

If you have any questions regarding NYMEX, please contact Juan Serrano or
Gerard Taibi at (212) 299-2626.
If you have any questions regarding COMEX, please contact David Sherman at
(212) 299-2061.

__________________________________________________
Please click on the link below to indicate you have received this
email.

"http://208.206.41.61/email/email_log.cfm?useremail=tana.jones@enron.com&refdo
c=(01-145)"

Note: If you click on the above line and nothing happens, please copy
the text between the quotes, open your internet browser,
paste it into the web site address and press Return.


FYI

Vince
---------------------- Forwarded by Vince J Kaminski/HOU/ECT on 04/10/2001
02:12 PM ---------------------------

Wil Uecker <uecker@rice.edu> on 04/10/2001 09:46:32 AM
To: Vince.J.Kaminski@enron.com
cc:
Subject: Re: ALP presentation

Vince,

Thank you for the invitation. I will attend the presentation, but have
another commitment for dinner.

Please indicate the specific room for the presentation when it is known.

Thanks,

Wil

At 08:13 AM 4/10/01 -0500, you wrote:
>On behalf of  Enron Corp. I would like to invite you to an ALP Project
>presentation by a group of students
>of Jesse H. Jones Graduate School of Management, Rice University.
>
>The students will present the results of a research project regarding
>electronic trading
>platforms in the energy industry.
>
>The presentation will be held on May 7, at 4:00 p.m. at Enron, 1400 Smith.
>
>We would also like to invite you to dinner, following the presentation.
>
>
>Vince Kaminski
>
>Vincent Kaminski
>Managing Director - Research
>Enron Corp.
>1400 Smith Street
>Room EB1962
>Houston, TX 77002-7361
>
>Phone:    (713) 853 3848
>      (713) 410 5396 (cell)
>Fax  :      (713) 646 2503
>E-mail: vkamins@enron.com


*REVISED*
Notice No. 00-408
December 7, 2000

TO:  All COMEX Members/Member Firms
All COMEX Clearing Members
All COMEX Floor Traders
All COMEX Operations Managers

FROM: Michael Campanelli, Vice President
  Floor Operations, COMEX Division

RE:  Options Expiration Operational Procedures for the Trading Floor and
Clearing
Members
___________________________________________________________

The expiration date for the January 2001 options contract for Silver (SO F01)
and Gold (OG F01) is Friday, December 8, 2000.

 GENERAL OPERATIONAL PROCEDURES

All Clearing Members and Qualified Floor Traders that carried an options
position as of the close of business day prior to the expiration day, or
engaged in trading activity on Expiration Day in the expiring options
contract will be required to have a knowledgeable, duly authorized on-line
trade entry ("OLTE") system trained representative available until released
by the Exchange staff.  All adjustments  and/or corrections, must be
accompanied by relevant supporting documentation prior to being incorporated
into expiration processing.  In essence, making the expiration processing an
extension of the afternoon trade resolution procedures.

Exchange Clearing (299-2110) and Trade Processing (299-2465 and 299-2044)
personnel will be available to assist with the processing of notices of
Exercise and Abandonment, position transfers, trade corrections and other
questions or problems you may have.

Failure by any Clearing Member or qualified Floor Trader to comply with
procedures as outlined herein may result in severe disciplinary action by the
Exchange and potential financial liability to customers or members for
failure to exercise diligence in the processing of information.

TRADING FLOOR OPERATIONAL PROCEDURES

Trading in the January 2001 Silver and Gold Options Contracts will cease at
2:25 P.M. and 2:30 P.M. respectively on December 8, 2000.  All Brokers and
Traders must inform their Clearing Members of their intentions to exercise or
abandon such Options by 4:00 P.M.

On Friday, December 8, 2000, all Brokers and Clearing Members must have a
duly authorized, On-Line Trade Entry ("OLTE") system trained representative
available until such time as the Exchange deems necessary.

NOTE: After 4:30 P.M. all expiring option trade data must be inputted on
special "OLTE" terminals located in the Trade Processing Room. Any other
means of submission will be rejected by the Exchange.  Members will be able
to submit all other trade data until 5:00 P.M.

After the UTR and the Preliminary Spot Month Matched Trade Reports are
displayed, Clearing Member representatives will be able to pick up their
Preliminary Clearing reports at the Clearing Department.

A final review of all submissions will be made, the Supervisor of the Trade
Processing Room will detain only those Clearing Members and/or Broker
representatives involved.  All final corrections will be made at this time
and upon determination of the Supervisor that all option processing is
complete, all representatives will be released.

Exchange Reports based on Friday,s submissions and processing will be
available on Monday morning December 11, 2000.

In the event that you have any questions regarding the foregoing trading
floor procedures please contact Michael Campanelli at (212) 299-2072 or David
Sherman at (212) 299-2061.

OPTION EXPIRATION PROCESSING CLEARING MEMBER PROCEDURE SUMMARY

Time: 3:30 PM
Activity: Expits, H/C transfers, Option Position Reduction and
Exercise/Abandon notices
Event: Submission to Clearing cutoff time.
Notes: Final cutoff for Expits and H/C tranfers

Time: 3:45 PM
Activity: Call Fast Facts to obtain availability time of Preliminary Option
Expiration Reports.
Event: Fast Facts notice of Availability

Time: 4:15 PM
Activity: Preliminary option expiration reports available to clearing members
at NYMEX Clearing Department

Time: 5:00 PM
Activity: Options Position Reduction, Exercise/Abandon notices and Gross
Position Adjustments
Event: Submission to Clearing Cutoff Time
Notes: Final cutoff for Option Position Reduction, Exercise/Abandon notices
and Gross Position Adjustments

Time: 5:05 PM
Activity: Call Fast Facts to obtain availability time of Final Preliminary
Option expiration Reports
Event: Fast Facts notice of Availability

Time: 5:30 PM
Activity: Final Preliminary option expiration reports available to clearing
members at NYMEX Clearing Department.

Time: 5:45 PM
Activity: Call Fast Facts to obtain Preliminary In the Money Abandonment and
Out of the Money Exercise Information
Event Fast Facts notice of information
Notes: New Event

Time: 6:00 PM
Activity: Corrections to previously Submitted Adjustments or Notices
Event: Correction period cutoff time (30 minutes after final preliminary
report is distributed)
Notes: Final cutoff for corrections

Time: 7:00 PM
Activity: Call Fast Facts to obtain availability of final expiring option
position and Exercise/Assignment report
Event: Fast Facts notice of Availability

Time: 7:30 PM
Activity: Final expirating options position and Exercise/Assignment report
available in clearing member's lockbox at NYMEX Clearing Department

Time: 8:30 PM
Activity: Call Fast Facts to obtain availability of final clearing reports.
Event: Fast Facts notice of Availability

Time: 9:00 PM
Activity: Final clearing reports available in clearing member's lockbox at
NYMEX Clearing Department.

Please contact John Ramos at (212) 299-2142 (Members 001-500) or Mel Garcia
at (212) 299-2144 (members 501-999) if you have any questions.

__________________________________________________
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On September 26, 2001, Southern Company Services, Inc. (SCS), acting on behalf of Gulf Power Company (Gulf), tendered for filing with the Federal Energy Regulatory Commission (Commission) an Interconnection Agreement (IA) by and between Gulf and Santa Rosa Energy LLC (Santa Rosa). The IA allows Santa Rosa to interconnect its generating facility to be located in Pace, Florida to Gulf 's electric system.
If you would like to see a copy of the filed agreement please let me know.
Susan Lindberg  x30596


I haven't specifically referenced NuTech in my questions to them.  I also probably need to ask the comp committee about these "tolerable" conflicts of interest, particularly in light of recent press coverage of Enron.  We'll discuss that this afternoon, Nancy, but I am not feeling like we should agree to any of those types of provisions.  Yikes!

 -----Original Message-----
From: 	Bushman, Teresa G.
Sent:	Monday, October 22, 2001 10:41 AM
To:	Corbet, Nancy; Cash, Michelle
Subject:	RE: Board compensation approval NuTech

The following is the email I sent Aaron last week.  I called him this morning to confirm if this was accurate.  He's meeting later today with Mary Joyce and said he'll get back to me.  I did not inquire specifically about NuTech--I assume Michelle is doing that.

Teresa

Aaron:

Based on our conversations, it is my understanding that the compensation committee has asked to review compensation plans for our affiliates if we own approximately 50% or more of the company.  The determination of exactly which plans must go to the committee will be made by Mary Joyce upon receipt of a bullet point presentation of the key terms of the plan.  The committee would likely review any compensation plan pursuant to which (i) employees receive equity interests without making capital contributions in cash or other property with reasonably equivalent value to the equity interests, (ii) employees receive equity interests prior to Enron recovering its investment, or (iii) employees are to be offered employment agreements with terms that are not within "Enron norms."  In addition, all significant terms of the compensation plan are to be disclosed in the DASH.

Do I understand this all corrrectly?  Is there anything I have omitted?

If the committee meets only quarterly, timing could certainly be an issue in some transactions.  If that is the case, can special meetings be called?

Teresa

 -----Original Message-----
From: 	Corbet, Nancy
Sent:	Monday, October 22, 2001 10:36 AM
To:	Cash, Michelle
Cc:	Bushman, Teresa G.
Subject:	Board compensation approval NuTech

Last week Teresa was waiting to hear back from Aaron (sp) regarding the threshold and process for approval. Michelle, Tom Kalb and I have a meeting this aft with Nutech and we all , including John Thompson per his meeting request last week, need to know the steps if any that we need to take on Nutech and similar matters.Michelle/Teresa, appreciate your advice on how best to track this down. Nancy