-----Original Message-----
From: 	"John D. Martin" <J_Martin@baylor.edu>@ENRON [mailto:IMCEANOTES-+22John+20D+2E+20Martin+22+20+3CJ+5FMartin+40baylor+2Eedu+3E+40ENRON@ENRON.com]
Sent:	Tuesday, August 28, 2001 8:14 AM
To:	Kaminski, Vince J
Subject:	Check out the first paper--Hope you are all well

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>Subject:      FEN Derivatives WPS Vol. 8, No. 19, 08/23/2001
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>            D E R I V A T I V E S   A B S T R A C T S
>                      Working Paper Series
>                 Vol. 8,  No. 19: August 23, 2001
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>T A B L E   of   C O N T E N T S
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>
>"Pricing Electricity Forwards Under Stochastic Volatility"
>     B. PHILIPP KELLERHALS
>        Universitaet Tuebingen
>        Dept. of Finance
>
>
>"Interdealer Trading in Futures Markets"
>     PETER R. LOCKE
>        George Washington University
>        Department of Finance
>     PATTARAKE SARAJOTI
>        George Washington University
>        Department of Finance
>
>
>"Quadratic Volatility Smiles"
>     HAIM REISMAN
>        Technion-Israel Institute of Technology
>        Faculty of Management
>
>
>"An Application of Malliavin Calculus to Continuous Time Asian
> Options Greeks"
>     ERIC BENHAMOU
>        Goldman Sachs International
>        London School of Economics & Political Science
>        (LSE)
>        Financial Markets Group
>
>
>"Delta-Hedged Gains and the Negative Market Volatility Risk
> Premium"
>     GURDIP BAKSHI
>        University of Maryland
>        Robert H. Smith School of Business
>     NIKUNJ KAPADIA
>        University of Massachusetts at Amherst
>        Department of Finance
>
>
>"Hedge Fund Performance 1990-2000: Do the Money Machines Really
> Add Value?"
>     HARRY M. KAT
>        University of Reading
>        ISMA Centre for Education & Research in Securities
>        Markets
>     GAURAV S. AMIN
>        University of Reading
>        ISMA Centre for Education & Research in Securities
>        Markets
>
>
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>W O R K I N G   P A P E R   A B S T R A C T S
>_________________________________________________________________
>
>"Pricing Electricity Forwards Under Stochastic Volatility"
>
>      BY:  B. PHILIPP KELLERHALS
>              Universitaet Tuebingen
>              Dept. of Finance
>
>Document:  Available from the SSRN Electronic Paper Collection:
>           http://papers.ssrn.com/paper.taf?abstract_id=274788
>
>    Date:  May 2001
>
> Contact:  B. PHILIPP KELLERHALS
>   Email:  Mailto:philipp.kellerhals@uni-tuebingen.de
>  Postal:  Universitaet Tuebingen
>           Dept. of Finance
>           Mohlstrasse 36
>           D-72074 Tuebingen,    GERMANY
>   Phone:  +49-7071-2977088
>     Fax:  +49-7071-550622
>
>ABSTRACT:
> Based on the peculiarities of electricity as underlying
> commodity of forward contracts we develop a time-continuous
> pricing model for short-term electricity forwards. The suggested
> stochastic volatility model utilizes the non-tradeable spot
> price of electricity and its variance rate as state variables.
> This enables us to capture the non-linearities, and the high and
> time varying volatility seen in electricity prices. Using
> maximum likelihood estimation based on Kalman filtering we
> report empirical results on electricity data from the
> Californian market.
>
> Keywords: Electricity forwards, stochastic volatility,
> time-continuous model, equilibrium pricing, Kalman filtering.
>
>
>JEL Classification: G13
>______________________________
>
>"Interdealer Trading in Futures Markets"
>
>      BY:  PETER R. LOCKE
>              George Washington University
>              Department of Finance
>           PATTARAKE SARAJOTI
>              George Washington University
>              Department of Finance
>
>Document:  Available from the SSRN Electronic Paper Collection:
>           http://papers.ssrn.com/paper.taf?abstract_id=265932
>
>    Date:  April 2001
>
> Contact:  PETER R. LOCKE
>   Email:  Mailto:plocke@gwu.edu
>  Postal:  George Washington University
>           Department of Finance
>           2023 G Street
>           Washington, DC 20052  USA
>   Phone:  202-994-3669
> Co-Auth:  PATTARAKE SARAJOTI
>   Email:  Mailto:sarajoti@gwu.edu
>  Postal:  George Washington University
>           Department of Finance
>           2023 G Street
>           Washington, DC 20052  USA
>
>ABSTRACT:
> This paper examines the relationship of futures floor trader
> proprietary positions to their market making activities. In
> particular, we examine interdealer trading, its function as an
> inventory management tool, and its costs. In addition, we
> develop the concept of a dealer hierarchy, where some floor
> traders, who are more successful, profit from their trades with
> other dealers. On average, we find that dealers earn relative
> profits when they execute position reducing trades. However, a
> surprising finding is that more successful traders are more
> likely to use interdealer trading in position reducing trades,
> which we find to be consistent with the existence of a dealer
> hierarchy. The research builds on the empirical work of Manaster
> and Mann's 1996 article on futures floor trader inventory
> control, and Reiss and Werner's 1998 article on interdealer
> trading. The synthesis of these two lines of research benefits
> from the elaborate futures data, and the highly competitive
> nature of dealer trading on the floor.
>
> Keywords: Microstructure
>
>
>JEL Classification: G10, G20
>______________________________
>
>"Quadratic Volatility Smiles"
>
>      BY:  HAIM REISMAN
>              Technion-Israel Institute of Technology
>              Faculty of Management
>
>Document:  Available from the SSRN Electronic Paper Collection:
>           http://papers.ssrn.com/paper.taf?abstract_id=275135
>
>    Date:  May 2001
>
> Contact:  HAIM REISMAN
>   Email:  Mailto:reisman@ie.technion.ac.il
>  Postal:  Technion-Israel Institute of Technology
>           Faculty of Management
>           Haifa 32000,   ISRAEL
>   Phone:  972 4 8294442
>     Fax:  972 4 8245194
>
>ABSTRACT:
> The paper assumes that the implied volatility of options with
> some given expiration is a quadratic function of the moneyness.
> The coefficients of this quadratic function (the smile) are time
> dependent and stochastic. The paper derives exposure parameters
> of the price of the option to the local change in each of the
> smile coefficients, and an approximate formula for their risk
> adjusted expected value. These are important in managing the
> exposure of the price of an option portfolio to changes in the
> smile coefficients.
>
>______________________________
>
>"An Application of Malliavin Calculus to Continuous Time Asian
> Options Greeks"
>
>      BY:  ERIC BENHAMOU
>              Goldman Sachs International
>              London School of Economics & Political Science
>              (LSE)
>              Financial Markets Group
>
>Document:  Available from the SSRN Electronic Paper Collection:
>           http://papers.ssrn.com/paper.taf?abstract_id=265284
>
>Paper ID:  LSE Working Paper
>    Date:  May 2000
>
> Contact:  ERIC BENHAMOU
>   Email:  Mailto:eric.benhamou@gs.com
>  Postal:  Goldman Sachs International
>           SWAP Strategy
>           Peterborough Court
>           133 Fleet Street
>           London EC4A2BB,    UK
>   Phone:  0207 552 2947
>
>ABSTRACT:
> Traditional methods for the computation of the Greeks with Monte
> Carlo simulations converge very slowly for strongly
> discontinuous payoff options. As a solution, Fournie et al.
> (1999) and Benhamou (2000) suggested the use of Malliavin
> weighted scheme especially for options depending on a finite set
> of dates. This paper extends their works to continuous time
> Asian options. We illustrate results for the case of the Black
> diffusion.
>
>
>JEL Classification: G12, G13
>______________________________
>
>"Delta-Hedged Gains and the Negative Market Volatility Risk
> Premium"
>
>      BY:  GURDIP BAKSHI
>              University of Maryland
>              Robert H. Smith School of Business
>           NIKUNJ KAPADIA
>              University of Massachusetts at Amherst
>              Department of Finance
>
>Document:  Available from the SSRN Electronic Paper Collection:
>           http://papers.ssrn.com/paper.taf?abstract_id=267106
>
>Paper ID:  AFA 2001 New Orleans Meetings
>    Date:  April 9, 2001
>
> Contact:  NIKUNJ KAPADIA
>   Email:  Mailto:nkapadia@som.umass.edu
>  Postal:  University of Massachusetts at Amherst
>           Department of Finance
>           Amherst, MA 01003  USA
>   Phone:  413-545-5643
>     Fax:  413-545-5600
> Co-Auth:  GURDIP BAKSHI
>   Email:  Mailto:gbakshi@rhsmith.umd.edu
>  Postal:  University of Maryland
>           Robert H. Smith School of Business
>           Department of Finance
>           College Park, MD 20742-1815  USA
>
>ABSTRACT:
> We investigate whether the volatility risk premium is negative
> by examining the statistical properties of delta-hedged option
> portfolios (buy the option and hedge with stock). Within a
> stochastic volatility framework, we demonstrate a correspondence
> between the sign and magnitude of the volatility risk premium
> and the mean delta-hedged portfolio returns. Using a sample of
> S&P 500 index options, we provide empirical tests that have the
> following general results. First, the delta-hedged strategy
> underperforms zero. Second, the documented underperformance is
> less for options away from the money. Third, the
> underperformance is greater at times of higher volatility.
> Fourth, the volatility risk premium significantly affects
> delta-hedged gains even after accounting for jump-fears. Our
> evidence is supportive of a negative market volatility risk
> premium.
>
>______________________________
>
>"Hedge Fund Performance 1990-2000: Do the Money Machines Really
> Add Value?"
>
>      BY:  HARRY M. KAT
>              University of Reading
>              ISMA Centre for Education & Research in Securities
>              Markets
>           GAURAV S. AMIN
>              University of Reading
>              ISMA Centre for Education & Research in Securities
>              Markets
>
>Document:  Available from the SSRN Electronic Paper Collection:
>           http://papers.ssrn.com/paper.taf?abstract_id=270074
>
>Paper ID:  EFMA 2001 Lugano Meetings
>    Date:  May 15, 2001
>
> Contact:  HARRY M. KAT
>   Email:  Mailto:harrykat@hkat.freeserve.co.uk
>  Postal:  University of Reading
>           ISMA Centre for Education & Research in
>           Securities Markets
>           Whiteknights Park
>           PO Box 242
>           Reading RG6 6BA,   UK
>   Phone:  +44-118-9316428
>     Fax:  +44-118-9314741
> Co-Auth:  GAURAV S. AMIN
>   Email:  Mailto:g.amin@ismacentre.rdg.ac.uk
>  Postal:  University of Reading
>           ISMA Centre for Education & Research in
>           Securities Markets
>           Whiteknights Park
>           PO Box 242
>           Reading RG6 6BA,   UK
>
>ABSTRACT:
> In this paper we investigate the claim that hedge funds offer
> investors a superior risk-return trade-off. We do so using a
> continuous time version of Dybvig's (1988a, 1988b) payoff
> distribution pricing model. The evaluation model, which does not
> require any assumptions with regard to the return distribution
> of the funds in question, is applied to the monthly returns of
> 77 hedge funds and 13 hedge fund indices over the period May
> 1990-April 2000. The results show that as a stand-alone
> investment hedge funds do not offer a superior risk-return
> profile. We find 12 indices and 72 individual funds to be
> inefficient, with the average efficiency loss amounting to 2.76%
> per annum for indices and 6.42% for individual funds. Part of
> the inefficiency cost of individual funds can be diversified
> away. Funds of funds, however, are not the preferred vehicle for
> this as their performance appears to suffer badly from their
> double fee structure. Looking at hedge funds in a portfolio
> context results in a marked improvement in the evaluation
> outcomes. Seven of the 12 hedge fund indices and 58 of the 72
> individual funds classified as inefficient on a stand-alone
> basis are capable of producing an efficient payoff profile when
> mixed with the S&P 500. The best results are obtained when
> 10-20% of the portfolio value is invested in hedge funds
>
>
>JEL Classification: G1, G2
>
>
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>                         Copyright 2001
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John D. Martin
Carr P. Collins Chair in Finance
Finance Department
Baylor University
PO Box 98004
Waco, TX 76798
254-710-4473 (Office)
254-710-1092 (Fax)
J_Martin@Baylor.edu
web:    http://hsb.baylor.edu/html/martinj/home.html


As a follow-up to our conversation, the referenced counterparty is not an
eligible swap participant, therefore we need to shut them down for all
financial.


Gov. Davis open to tax on electric generators' profits

Updated: April 4, 2001 - 5:52 p.m.

Gov. Gray Davis says he is open to supporting a windfall-profits tax being
proposed by lawmakers on electric generators that have made a fortune
selling power to California this year.

He also broke with his appointees on the Public Utilities Commission in
saying private companies and other large users should be allowed to contract
directly for power with generators.

. . . .

For the first time, Davis also said the state should let companies buy their
power from generators instead of going through the utilities.

A January law that allowed the state to begin buying power for two nearly
bankrupt utilities barred such side contracts.

"That was done originally with the thought the state would have more power
and no one to sell it to if companies got off the grid," Davis said. "But
our problem is the opposite this summer. If companies want to get off the
grid, we should encourage, not discourage that."

The Democratic governor's comments came after he met behind closed doors for
more than two hours with Assembly Republicans, who have sharply criticized
his handling of the energy crisis.

"I think everyone agreed there are no political winners unless we resolve
this challenge," Davis said. "There were a lot of suggestions in there I'm
willing to adopt."

. . . .

Davis said he hasn't written the remarks he will make during a five-minute
address at 6:05 p.m. Thursday that he has asked California television
stations to carry live.

However, he said he will "share with them (viewers) the progress that we've
made and what we have to get through."

He is expected to talk about the more than 40 percent rate increases
approved last week by the PUC for customers of Pacific Gas and Electric Co.
and Southern California Edition Co.

Sue Mara
Enron Corp.
Tel: (415) 782-7802
Fax:(415) 782-7854


Attached please find the translated news clips from Bolivia (February 29).


---------------------- Forwarded by Kay Mann/Corp/Enron on 04/02/2001 06:07
PM ---------------------------

lee.johnson@ps.ge.com on 04/02/2001 05:56:11 PM
To: Kay.Mann@enron.com
cc:

Subject: RE: Salmon Energy Turbine Agreement

Kay,

The emissions table needs to be inserted that was in the master contract.
The Power Systems Stabilizers are included in the price.

Thanks,

Lee

-----Original Message-----
From: Kay.Mann@enron.com [mailto:Kay.Mann@enron.com]
Sent: Monday, April 02, 2001 5:33 PM
To: Johnson, Lee L (PS, GE AEP)
Subject: Salmon Energy Turbine Agreement

Hi Lee,

I haven't checked to see if the PS Stabilizers are included.

How does this look?

Kay
---------------------- Forwarded by Kay Mann/Corp/Enron on 04/02/2001 05:32
PM ---------------------------

"Thompson, Peter J." <pthompson@akllp.com> on 04/02/2001 04:56:21 PM

To:   "Kay Mann (E-mail)" <kay.mann@enron.com>
cc:   "Pipitone, Paul" <paulpipitone@akllp.com>

Subject:  Salmon Energy Turbine Agreement

     Attached please find the latest Salmon Energy Turbine Agreement
(second document below), as well as a blackline (first document below)
showing changes made to the version circulated last Friday.  Pursuant to
your instructions, the performance values in Article 10 are per the 24
Unit master agreement.  In addition no changes have been made to the
Maximum or Unit Liability Amounts or payment schedule. To complete the
agreement, we will need to insert the date of execution and Exhibit H-2.

 <<Comparison of Versions 2 to 3 of Salmon Energy Agreement.DOC>>
<<Salmon Energy Agreement - Version 3.DOC>>
(See attached file: Comparison of Versions 2 to 3 of Salmon Energy
Agreement.DOC)
(See attached file: Salmon Energy Agreement - Version 3.DOC)


I agree that George is well suited to origination, but he has also spent
quite a bit of time looking at investment opportunities for Koch in a wide
variety of industries that they are active in. If EGM is looking at several
acquisitions, I could see him being the point person for EGM on transactions
and thus able to relieve some of the burden on the folks focusing on trading.
However, I know that George is happy at Koch, so it would have to take a very
exciting opportunity for him to leave, i.e., something where he would feel
the job was "tailor made" for his skill set. Maybe we don't have something
like that for him right now.

BK

 -----Original Message-----
From:  Nowlan Jr., John L.
Sent: Wednesday, May 23, 2001 7:28 PM
To: McConnell, Mike
Cc: Karampelas, Basil
Subject: RE: Resumes from George Damiris and Randy Balhorn

I have known George since his Bp days. very bright guy would be most useful
running an origination group don't think he would have any interest other
than at that type level.
 -----Original Message-----
From:  McConnell, Mike
Sent: Wednesday, May 23, 2001 6:16 PM
To: Gonzales, Eric; Hickerson, Gary; Lawyer, Larry; Mcclellan, George; Nowlan
Jr., John L.; Price, Brent A.; Sekse, Per; jeffrey.shankman@enron.com;
Tawney, Mark; Funkhouser, Shanna
Subject: Resumes from George Damiris and Randy Balhorn

FYI and consideration.
m
---------------------- Forwarded by Mike McConnell/HOU/ECT on 05/23/2001
06:14 PM ---------------------------
From: Basil Karampelas/ENRON@enronXgate on 05/16/2001 11:34 AM
To: Mike McConnell/HOU/ECT@ECT
cc: Basil Karampelas/ENRON@enronXgate
Subject: Resumes from George Damiris and Randy Balhorn

 Mike:

 I finally got George Damiris' resume (attached) as well as that of Randy
Balhorn (also attached). I think when you read Randy's CV, you will be very
impressed. I would go so far as to say that he was the smartest person I knew
at Koch, and when you see the list of accomplishments that he had there, as
well as what he was doing with Dreyfuss and Electricite de France, you will
agree with me that he would be a terrific addition to Enron Global Markets.
The even better news regarding Randy is that he recently left Dreyfuss due to
issues with the EDF JV, so he is available immediately and he is very
interested. He currently lives in London and I think that he knows Joe Gold.
Please let me know if you would like me to do anything to help facilitate
this further.  I think George is interested if there was a specific
opportunity for him here that he felt was an even better fit than what he is
doing with Koch. The fact that he is moving to Houston makes it pretty easy
for us to keep having discussions with him. I would say, however, if I had to
choose which among the two of them would have the most immediate impact if
hired by Enron, it would have to be Randy, given his experience.

Thanks,

Basil

 << File: balhorn.doc >>  << File: damiris.DOC >>


Proposed alternative email to those employees identified as involved in California:

Re:  Data Retention

     "Due to the various regulatory proceedings ongoing in California, please do not delete any email or electronic data that relate to the California market.  Deletion of such data could subject both you and the Company to allegations of deliberate destruction of evidence, contempt of court, and civil and criminal penalties.  To preserve such data please create a folder entitled "California Data" and move all emails and other data to that folder.  Thank you for your cooperation."

Comments?

 -----Original Message-----
From: 	"Molland, Michael E." <MMolland@brobeck.com>@ENRON [mailto:IMCEANOTES-+22Molland+2C+20Michael+20E+2E+22+20+3CMMolland+40brobeck+2Ecom+3E+40ENRON@ENRON.com]
Sent:	Wednesday, June 27, 2001 8:02 PM
To:	Williams, Robert C.
Cc:	Sanders, Richard B.; 'mlk@pkns.com'; 'sbishop@gibbs-bruns.com'; 'mtuohey@velaw.com'; Fergus, Gary S.
Subject:	Discussion of document retention policy for EES

 	Bob Williams, Andrew Edison, Michael Molland, Amanda Smith, and two
IT professionals working with EES, Jon Eastlund and Pete van de Gohn, today
discussed a going forward document retention policy for EES as a result of
the California AG's subpoena. This is a summary of our discussion.
*	Agreement with AG with respect to EPMI-Portland: I (per my
conversation with Gary Fergus) confirmed that the document retention policy
that was negotiated in December, 2000 with the AG with respect to EPMI in
Portland is as follows:  All employees are instructed not to delete any
e-mail for 24 hours.  Each 24 hours a backup "snapshot" of the entire e-mail
server in Portland is taken.  After 24 hours, employees may delete e-mail.
This policy has been in place since mid-December and back-up tapes should
exist for e-mail for each day from mid-December through the present.
*	Description of E-mail server organization within EES:   All EES
employees are on one of two e-mail systems: (1) the exchange server/Legacy
system or (2) Lotus Notes.  The exchange/Legacy system is run off of three
servers located in San Ramon, California,  Costa Mesa, California,  and
Phoenix, Arizona.  The Lotus Notes server is in Houston.  The majority of
EES personnel in California probably are on the exchange/Legacy server, but
there is no way of knowing who is which server without individually
checking.   EES personnel who were originally hired in California probably
use the Legacy  system. Generally,  the only in-California personnel who use
the Lotus Notes system are those who were originally hired by EES to work
outside of California. Virtually all EES employees outside California use
the Lotus Notes system.
*	Current e-mail retention of Legacy system: The customary practice is
to keep daily back up tapes, which are over written weekly, as well as one
weekly snapshot of the system, which is overwritten after 30 days. As of
last week, the exchange/Legacy server is being preserved as follows:  the
daily and weekly tapes are no longer being overwritten and are being
preserved by Jon Eastlund.  (Jon is checking with his subordinate in Costa
Mesa to confirm that this is also being done in Costa Mesa).  Jon reports
that the earliest weekly back up tape which is still preserved dates from
May 25th. He is keeping that tape in San Ramon until it can be picked up by
Brobeck.
*	Retention of e-mail of Lotus Notes System: The Lotus Notes server is
backed up every day, but the back tapes are erased after seven days and this
policy is continuing. As of several weeks ago (when B. Williams first sent
out notification to Pete Van de Gohn and the IT staff in Houston) the Lotus
Notes server is being preserved as follows:  the auto purge and the delete
functions on the computers of certain key personnel have been disabled for
certain EES personnel(e.g. Sunde and Benevides).  In addition, more
recently, the auto purge function was disabled on the computers of
additional personnel (the Golden Bear team) who use the system.  As of
today, Pete will disable the delete function for those additional personnel
as well.
*	Going forward, we discussed several different policies that EES
might institute.  First, we discussed the idea of instituting a policy like
that in place at EPMI in Portland (i.e. preserving the daily back up tapes
that are already being made- but overwritten after a week or so-in the
ordinary course of business).  This policy will create a significant amount
of information that will be difficult and expensive to search if it is
requested.  However, it is apparently consistent with the policy in place at
EPMI- Portland and is possible to do on both e-mail systems. Second, as an
alternative to preserving backup tapes we discussed disabling the delete
function on the computers of key personnel. This is now being done for the
Lotus Notes system. However we understand that the exchange/Legacy system
may not have an auto purge function. Jon will check whether the delete
disabling function can be accomplished on the exchange/Legacy system and
report back. This second alternative preserves e-mail that will be
relatively easy to search for production. However, it may be difficult to
implement for California personal on the legacy e-mail system. Third, we
discussed instructing key EES personnel at issue to move all potentially
responsive e-mails into folders on the system which may they be protected,
reproduced and reviewed.This would be the least burdensome potentially
leaves us open to the "fox is guarding the henhouse" argument by the AG.
*	Data Servers:We discussed data servers briefly. All personnel are on
different servers for their word documents and spread sheets. This system
has no autopurge function. However, the only way that a document can be
deleted is if a user actually deliberately deletes it from the system.
Accordingly, there seems less need to initiate further backup of this
server.
*	Finally, we agreed EES lawyers should send e-mails to all key EES
personnel confirming our earlier instruction to them that they not delete
e-mail documents or messages. A draft e-mail on this subject follows:

	This e-mail confirms that EES has instituted an interim document
retention policy as a result of the investigation 	commenced by the
California Attorney General.	Until further notice, please do not delete
any non-personal e-mail from 	your inbox or any documents from the data
servers. In lieu of deleting any of your e-mail please transfer it to a
folder in 	your e-mail system for storage. If you need instructions on
how to do this please call ---------.

=======================================================
This email message is for the sole use of the intended recipient(s) and may contain confidential and privileged information. Any unauthorized review, use, disclosure or distribution is prohibited. If you are not the intended recipient, please contact the sender by reply email and destroy all copies of the original message.

To reply to our email administrator directly, send an email to postmaster@brobeck.com
BROBECK PHLEGER & HARRISON LLP
http://www.brobeck.com


David,

Do you know if we are meeting on Monday?  I haven't heard the final word.

Kay


EFF_DT PORTFOLIO_ID DOWN95
2/8/01  MANAGEMENT-COAL 0
2/8/01  MANAGEMENT-CRD 0
2/8/01  MANAGEMENT-GAS 1,395,617
2/8/01  MANAGEMENT-PWR 171,132
2/8/01  AGG-MANAGEMENT 1,449,781


I think that everyone has heard of this by now.     This makes it even more
imperative that our costs are documented.   This includes keeping up the
hourly sheet and having access to the Services generator spreadsheets.
Costs must be "just and reasonable."      Be ready to document opportunity
costs in the NW and the SW.  If you have questions as to what is just and
reasonable,  give me,  Bill,  Steve Hall or Tim B a call.

Note the penalties mentioned in 2. and 3.    We will not "dec load" until
futher notice,  as we dont have the  telemetry to accurately measure whether
we are long or short in any given instance.    Our company preschedules an
amount of energy necessary to cover forecasted load.   If this load is
higher,  we will be subject to the penalties listed below.     The Real Time
group will not expose company to any such charges.

See (3.) There are Services related penalties for all generators that dont
respond to ISO (ADS) instructions.   As everyone is aware,  the ISO has had
problems with this system.    We must be diligent in documenting all problems
with ADS,  as this can be a very costly disagreement.

JMF

---------------------- Forwarded by John M Forney/HOU/ECT on 12/11/2000 08:11
AM ---------------------------

Steve C Hall
12/09/2000 01:10 PM
To: Tim Belden/HOU/ECT@ECT, Christian Yoder/HOU/ECT@ECT, Jeff
Richter/HOU/ECT@ECT, Robert Badeer/HOU/ECT@ECT, John M Forney/HOU/ECT@ECT,
Greg Wolfe/HOU/ECT@ECT, Mary Hain/HOU/ECT@ECT, mwood@stoel.com, Elizabeth
Sager/HOU/ECT@ECT
cc:
Subject: ISO Emergency Tariff Modifications (Tariff Amendment 33)

On Friday, about 3:00 pm, the ISO filed for emergency tariff changes, some of
which are effective as of December 8, 2000 beginning HE 1600, and others that
take effect Tuesday, December 12, 2000.  As a consequence, we no longer have
the luxury of waiting until Jan 1, 2001 to start documenting certain costs;
we must start documenting the verifiable costs to support supplemental energy
and ancillary services energy bids in excess of the $250 soft cap
immediately.  I understand that at least some of the traders have been
informed of these changes, but I thought that it might be helpful for
everyone to have a concise summary of the main points of this filing.

1.  The ISO has changed the $250 hard cap on Supplemental Energy bids and
Ancillary Service Energy bids to a soft cap.  It's similar to the FERC's
proposed soft cap in its Nov. 1 Order.  Sellers can bid over $250 for
supplemental energy bids and ancillary services energy bids.   If the ISO
accepts a bid greater than $250, settlement will be as-bid and subject to
refund if costs cannot be verified.  SCs must submit cost documentation to
the FERC, ISO, and California Electric Oversight Board for all energy
dispatched in excess of the soft cap.  Effective December 8, 2000.

2.  Beginning Trade Day December 12, 2000, the ISO is going to charge SCs who
underschedule load or schedule generation that does not show up in real time,
based on each SC's net regional negative uninstructed deviations.  ("Net
Negative Uninstructed Deviations" is a new ISO defined term, see below.)
These SCs will be charged for (1) amounts paid by the ISO to purchase Energy
from bids above the price cap, and (2) costs for Energy associated with
out-of-market Dispatch instructions issued due to underscheduling.

3.  Participating Generators that fail to respond to ISO Dispatch
instructions will be assessed a penalty equal to double the highest price
paid by the ISO for Energy for the hour in which the Generator failed to
respond.  The penalty will not be assessed if the Generating Unit gave the
ISO advance notice of a de-rate or outage that would limit the Generator's
ability to respond to a Dispatch instruction.  If the outage or de-rate
occurs in real-time, then a reason code provided with a decline or partial
acceptance of an ADS instruction will constitute notice and no penalty will
be assessed (subject to some additional conditions).  If the ISO has to
curtail firm load to manage a System Emergency, the Generator will pay an
additional penalty of $1000/MWh for dispatched energy it failed to deliver.

4.  Bilateral arrangements with the ISO, i.e., out of market purchases, will
not be altered by the ISO's Amendment 33.

5.  From December 1-5, the ISO paid an average of $5 million per day for real
time energy.  On December 5th, the ISO paid $36 million and on December 7th
$81 million.

6.  The published ex post price will not exceed $250.

7.  There is still a hard cap of $250 on Ancillary Services capacity bids.

8.  Net Negative Uninstructed Deviations:  Penalties for being short in
real-time (either underscheduled load or generation scheduled in forward
markets that does not show up) are based on net deviations for each BEEP
interval, based on an SC's entire portfolio, including Load, Generation,
Imports, and Exports.

9.  Action:  We need to start documenting costs of Supplemental Energy and
Ancillary Services Energy bids immediately.  Much of the groundwork for
figuring out what information to collect has been done with respect to the
real-time and services desks, but we need to make sure that someone is
collecting this information on a daily basis.  For now, I am willing to be
the point person to make sure the information is collected and filed with the
appropriate agencies, but eventually  someone from the floor should take on
this responsibility.  I will be here early on Monday, and we can coordinate
our efforts then.

Steve


The Real Options Seminar which is scheduled on Thursday April 27th will be
held in EB46C1.  The seminar will begin at 8:30 and will finish at 11:30.
Coffee and bagels will be served.

The baseball will begin at 3:05, and the ball park opens at 1:00.  Food and
drinks will be provided in the suite at 2:00.  There may be a tour of the
field scheduled at 1:00, I will let you know the details.

Dinner is to follow the game, place is still be determined.

For Chicago attendees, if you are on the 4:44 flight, please let me know if
you need transportation to the airport.  Transportation will be provided in
Houston upon arrival to the hotel.  Please let me know of your flight
itinerary if you are interested.

Please let me know if you have any questions.

Thanks,
Lynn
312) 541-1379


Total Trades for Day	  	 521

 	 EOL Trades for Day	  	 358

 	 ICE Trades	  	 44

 	 EPMI ICE Trades	  	 10

 	 EOL Deals	 From: 11/01/2001   To: 11/16/2001	  	 EnPower	 From: 11/01/2001   To: 11/16/2001
 	 Desk	 Total Deals	 Total MWH	  	 Desk	 Total Deals	 Total MWH

 	 EPMI Long Term California	 467	 7,565,456	  	 EPMI Long Term California	 49	 1,931,129
 	 EPMI Long Term Northwest	 253	 3,573,200	  	 EPMI Long Term Northwest	 104	 3,393,206
 	 EPMI Long Term Southwest	 334	 7,760,191	  	 EPMI Long Term Southwest	 226	 16,206,643
 	 EPMI Short Term California	 1,383	 1,864,240	  	 EPMI Short Term California	 479	 1,161,557
 	 EPMI Short Term Northwest	 807	 975,400	  	 EPMI Short Term Northwest	 327	 589,253
 	 EPMI Short Term Southwest	 1,028	 1,422,960	  	 EPMI Short Term Southwest	 517	 1,964,415
 	 Real Time	 982	 25,150	  	 Real Time	 373	 33,209

 	 Grand Total	 5,254	 23,186,597	  	 Grand Total	 2,075	 25,279,412

 	 EOL Deals	 From: 11/16/2001   To: 11/16/2001	  	 EnPower	 From: 11/16/2001   To: 11/16/2001
 	 Desk	 Total Deals	 Total MWH	  	 Desk	 Total Deals	 Total MWH

 	 EPMI Long Term California	 44	 797,600	  	 EPMI Long Term California	 6	 514,800
 	 EPMI Long Term Northwest	 16	 182,000	  	 EPMI Long Term Northwest	 12	 58,176
 	 EPMI Long Term Southwest	 17	 520,575	  	 EPMI Long Term Southwest	 10	 7,611,870
 	 EPMI Short Term California	 100	 124,936	  	 EPMI Short Term California	 28	 24,984
 	 EPMI Short Term Northwest	 71	 46,960	  	 EPMI Short Term Northwest	 24	 30,760
 	 EPMI Short Term Southwest	 57	 49,960	  	 EPMI Short Term Southwest	 39	 57,872
 	 Real Time	 53	 1,325	  	 Real Time	 44	 2,905

 	 Grand Total	 358	 1,723,356	  	 Grand Total	 163	 8,301,367

 	 EOL Deals	 From: 11/16/2001   To: 11/16/2001	  	 EOL Deals	 From: 11/16/2001   To: 11/16/2001
 	 Long Term West Management	 Total Deals	 Total MWH	  	 Short Term West BOM	 Total Deals	 Total MWH
 	 Daily	 0	 0	  	 Daily	 0	 0
 	 Month-to-Date EOL	 9	 2,200	  	 Month-to-Date EOL	 0	 0
 	 Enpower daily deals	 0	 0	  	 Enpower daily deals	 0	 0
 	 Month-to-Date Enpower	 2	 2,003	  	 Enpower daily deals	 0	 0

 	 EOL Deals	 From: 11/16/2001   To: 11/16/2001
 	 EPMI California Services	 Total Deals	 Total MWH
 	 Daily	 0	 0
 	 Month-to-Date	 0	 0
 	 Enpower daily deals	 0	 0

 	 ICE Volumes	 From: 11/16/2001   To: 11/16/2001
 	 Delivery Point	 Total MWH	 EPMI MWH	  Price

 	 Cob (P, Next Day)	 800	 0	  $     19.25
 	 Mid C (P, Next Day)	 2,000	 800	  $     17.85
 	 Mid C (OP, Next Day)	 2,400	 0	  $     16.33
 	 Mid C (P, Bal Month)	 3,600	 0	  $     19.00
 	 Mid C (OP, Dec-01)	 8,600	 0	  $     25.25
 	 Mid C (P, Dec-01)	 50,000	 0	  $     30.85
 	 Mid C (P, Jan-02)	 10,400	 10,400	  $     31.75
 	 Mid C (P, Jul-02)	 10,400	 0	  $     41.25
 	 NP-15 (HE 1000)	 25	 0	  $     22.25
 	 NP-15 (HE 1100)	 25	 0	  $     23.50
 	 NP-15 (HE 1200)	 25	 25	  $     22.25
 	 NP-15 (HE 1300)	 25	 0	  $     22.50
 	 NP-15 (HE 1400)	 25	 0	  $     21.00
 	 NP-15 (HE 1600)	 25	 0	  $     21.00
 	 NP-15 (HE 1700)	 25	 0	  $     21.00
 	 NP-15 (HE 1800)	 50	 0	  $     25.50
 	 NP-15 (HE 1900)	 25	 0	  $     21.00
 	 NP-15 (P, Next Day)	 40,000	 1,200	  $     20.60
 	 NP-15 (OP, Next Day)	 12,000	 0	  $     18.57
 	 NP-15 (P, Dec-01)	 50,000	 0	  $     30.97
 	 NP-15 (P, Cal-03)	 12,800	 0	  $     43.75
 	 NP-15 (P, Cal-04)	 123,200	 0	  $     44.25
 	 Palo (P, Next Day)	 80,000	 0	  $      17.51
 	 Palo (OP, Next Day)	 4,000	 0	  $     12.65
 	 Palo (P, Bal Month)	 25,200	 10,800	  $     20.19
 	 Palo (P, Dec-01)	 50,000	 0	  $     26.35
 	 Palo (P, Jan-02)	 10,400	 0	  $     28.40
 	 Palo (P, Jul-02)	 10,400	 0	  $     53.50
 	 Palo (P, Aug-02)	 10,800	 0	  $     59.50
 	 Palo (P, Q1 02)	 30,400	 0	  $     28.50
 	 Palo (P, Q3 02)	 30,800	 0	  $     54.00
 	 SP-15 (HE 1100)	 25	 0	  $     26.00
 	 SP-15 (HE 1200)	 75	 0	  $     25.33
 	 SP-15 (HE 1300)	 25	 0	  $     26.00
 	 SP-15 (HE 1500)	 50	 25	  $     23.38
 	 SP-15 (HE 1900)	 25	 0	  $     22.00
 	 SP-15 (HE 2000)	 25	 0	  $     22.00
 	 SP-15 (P, Next Day)	 6,000	 400	  $     19.92
 	 SP-15 (OP, Next Day)	 4,800	 0	  $     13.96
 	 SP-15 (OP, Bal Month)	 18,000	 0	  $     16.48
 	 SP-15 (P, Bal Month)	 7,200	 0	  $     21.88
 	 SP-15 (P, Dec-01)	 20,000	 0	  $     28.63
 	 SP-15 (P, Jan-02)	 20,800	 0	  $      31.10
 	 SP-15 (P, Q4 02)	 30,800	 0	  $     37.50

 	 Grand Total	 686,275	 23,650	  $ 1,174.45


Here is the latest draft.  Please return your comments to me ASAP.  I would
like for it to be ready to go tomorrow (Wednesday, May 30).  We need to give
time for the newspapers to run it.  Best estimate is 7-10 days, if they
choose to run it.

Eric


Very funny!


Ravi:

Samer and I met this morning with Sara Ledbetter.   She is starting the
groundwork for setting up a storage book and a streaming book for tracking
the e-powered products positions.    They are having a meeting on next
Tuesday to discuss this.  Samer will attend.    This is a good opportunity to
start compiling the data that we will need for some of John Grieblings
questions.

--stinson

p.s.   Sara also asked if we knew anyone who would be interested in managing
the storage book.  Any suggestions?


Congradulations Men you have finished the  regular season.  Playoff schedules are in the attachements.  Some are  finished some are only through the first round.  Those of you who did not  come to the manditory coaches meeting on Sunday PM you need to make arrangements  with me to pick up game balls.

Those of you who showed up to playoff  games Monday night to find that they had been cancelled so the regular season  could end have only yourselves to blame.  You could not have found out the  playoff schedule without reading the e-mail which informed you of the manditory  meeting.  Only at the meeting could we sort out wht needed to happen.   If your parents are upset, you should appologize.

Please call or let me know if you have any  questions.   Fred
 - Bronco Playoff Schedule.xls
 - Bronco Division Rescheduled Games #4.xls


Louise,

Knowing that Production Offshore has had various client meetings with Marathon, I asked Kevin Miller to craft this email articulating who he had been dealing with and in what capacity.  Earlier this morning, I spoke with Tammie and she informed me that the Marathon meeting would be with Steve Lowden. Kevin knows that this email is being forwarded to you and that this note is for information purposes only.  Although he is the Producer One product specialist, he does not expect to be at the meeting that you are arranging with Marathon.

Regards, Jean
 -----Original Message-----
From: 	Miller, Kevin
Sent:	Wednesday, July 11, 2001 11:51 AM
To:	Mrha, Jean
Cc:	Loch, Ken
Subject:	Marathon Meetings

Jean,

As you know we have had several meetings with Marathon at various levels to discuss mainly offshore projects.  Our initial meetings were with senior management to discuss deepwater projects and utilization of existing Marathon infrastructure.  David Golder, Sr. VP Commercialization and Development, was the highest level Marathon executive that at we have had discussions.  Most recently, I have contacted Pat Kuntz, VP Natural Gas and Crude Oil Sales, to set up a luncheon and discuss Enron's decision to not pursue deepwater infrastructure transactions and introduce the Producer One product.   This seemed like a reasonable way to introduce the Producer One product and close out the deepwater business with Marathon.  Over the past nine months we have had several meetings and a dinner party over the Christmas Holidays.  If you are going to meet with some of the same Marathon senior management that we have had previous discussions it might be desirable to have Ken or I present for continuity.

Thanks  ... Kevin

 o


---------------------- Forwarded by Scott Neal/HOU/ECT on 10/20/2000 02:19 PM
---------------------------

	Enron North America Corp.

	From:  Rebecca W Cantrell                           09/15/2000 04:30 PM

To: Barbara G Dillard/HOU/ECT@ECT, Brenda H Fletcher/HOU/ECT@ECT, Chris
Meyer/HOU/ECT@ECT, Colleen Sullivan/HOU/ECT@ECT, Donna Greif/HOU/ECT@ECT,
Edward Terry/HOU/ECT@ECT, Frank Ermis/HOU/ECT@ECT, George Smith/HOU/ECT@ECT,
Hunter S Shively/HOU/ECT@ECT, Jane M Tholt/HOU/ECT@ECT, Jim
Homco/HOU/ECT@ECT, John Hodge/Corp/Enron@ENRON, Judy Townsend/HOU/ECT@ECT,
Julie A Gomez/HOU/ECT@ECT, Kimberly S Olinger/HOU/ECT@ECT, Lisa
Kinsey/HOU/ECT@ECT, Natalie Baker/HOU/ECT@ECT, Paul T Lucci/NA/Enron@Enron,
Paul Tate/HOU/EES@EES, Phillip K Allen/HOU/ECT@ECT, Randall L
Gay/HOU/ECT@ECT, Robert Superty/HOU/ECT@ECT, Ruth Concannon/HOU/ECT@ECT,
Scott Neal/HOU/ECT@ECT, Stephanie Miller/Corp/Enron@ENRON, Steven P
South/HOU/ECT@ECT, Susan W Pereira/HOU/ECT@ECT, Sylvia A Campos/HOU/ECT@ECT,
Sylvia S Pollan/HOU/ECT@ECT, Tori Kuykendall/HOU/ECT@ECT, Victor
Lamadrid/HOU/ECT@ECT, Gary L Payne/HOU/ECT@ECT
cc: richrs@bracepatt.com
Subject: Comments on August 15 Order 637 Filings

Attached are initial comments of ENA which were filed Thursday in the Order
637 Compliance Filings of the indicated pipelines.  For all other pipelines,
we filed plain interventions.

Objected to "use it or lose it" provision on alternate primary points on
segmented capacity.

Protested no tolerance on imbalance based on highest or lowest daily price in
the month.

Protested additional charge to create a primary point on segmented capacity,
forced daily balancing service, and change from unauthorized overrun penalty
(which is credited) to a service which is not.  Requested technical
conference.

Same as Tennessee


This deal has an NP15 with firm energy.

Thanks!


?
THE FRIDAY BURRITO

"42.7 percent of all statistics are made up on the spot."

We're back.? We're live.? We're living.? Actually, we are still in limbo
land.? As of yet, no prez elect.? The week was typical by California
standards.? The utilities filed their plans to raise rates over the next five
years, the consumer advocates held a press conference to kick off their holy
war against electric restructuring, a class action suit was filed for $4
billion against the generators and the utilities, gas prices hovered between
$18 and $20/mmcf on day trading, the Secretary of Energy spat on FERC
regarding the remedies proposed to fix the alleged dysfunctional California
market, and the Governor announced his options for curing what ails us.? I
think that pretty well covers it.? It was just another week in paradise.

I was on KRON TV last week for a couple of 10-second sound bites.? Chomp,
chomp.? That is what was distilled from fifty minutes of taping.? It was a
learning experience for me, more so than it was for the general viewing
public.? The station did an investigative report on California's restructured
power industry, and the slant was fairly predictable, although it could have
been far worse.? Two moms on my son's hockey team told me they saw the clips
on TV, and I used these ladies as my unbiased (?) sample to gather some
opinions.? There are about twenty families on my son's team, so that means
(using testimonial math) that about ten percent of the Bay Area watched the
news piece.? One mom said she saw me, really didn't listen to what the news
was covering, but that she recognized me. I'm sure that her experience, less
the recognition, applies easily to half or more of the viewing public. The
second mom, who I have known for many years, asked me, "So, who is doing the
gouging?"? This from a person who is well educated, very involved with the
community, and is part of a routine family (he says) of husband, wife, three
kids, and a dog.

Alas, I realized, the battle for California's power market will not rest nor
be resolved in chaotic meetings at the ISO or AB1890 working groups.? The war
will be won or lost based on public opinion.? Will Californians support the
continuation of electric restructuring?? I don't know if they will, but I am
not at all surprised that the vast majority of people do not understand the
issues.? As an industry, we have a long, long way to go in educating the
public.? And I have tremendous doubt that we are going to cough up the
necessary money to publicly demonstrate a positive image on power
restructuring.? Nancy Day wrote me last week; "You and your associates must
'prove' to the policy-makers and the public that, in the long run,
competitive markets are always better than command and control regulation.?
How do you do that?? You hire a PR firm ( and you get them to help you shape
your messages to a variety of audiences."

Shape a message.? I know that some of you folks think you are doing that
now.? I disagree.? Individually or collectively we have not made even a small
dent in the public image for our cause.? There is some name recognition, to
be sure. The paid TV ads for Enron, and Southern have made those company
names more familiar.? Green Mountain Energy has done a good job of getting
its name out, too.? But that is hardly the point.? As an industry of private
interests, we are kaput on the PR side.

Imagine this.? Imagine Joe Montana, four-time Superbowl wining quarterback
for the San Francisco 49ers standing next to the Lombardi Trophy, talking
into the camera.? He smiles, and says, "Hi. I'm Joe Montana.? I believe in
competition."? A few side clips, some simple explanations how competition is
going to more quickly bring prices into line with expectations, and back to
Joe.? We can also do some follow on ads with Jerry Rice, and Jim Plunket
(two-time Superbowl QB for the Oakland Raiders), thereby making a connection
with different factions of California's ethnic and racial makeup.? That is
what I call PR.? Touching the soul of the public with simple messages from
credible, well-known, likeable people.

I'd be interested in hearing your thoughts.

Here is what is on this week's leftover turkey menu

Things in the People's Republic of California
?@@@ Oh when the comments, come marching in(
?@@@ ISO Super Peak Market books first transaction
?@@@ Consumers Rattle the Saber for a Ballot Initiative
?@@@ All Injured Parties form a line to the left(
?@@@ The Governor's Plan

Odds & Ends (_!_)
?
?

Things in the People's Republic of California
?@@@ Oh when the comments, come marching in (

My mailman is becoming increasingly ticked off at me because the tonnage of
FERC comments coming to my address weighing four, or five pounds per
delivery.? He's a mailman, not a pediatrician.? He is leaving small hints of
his displeasure, such as dropping my mail in the middle of the driveway, or
delivering the goodies to my neighbor's house.? Most of the copies received,
I confess, go into the trash bin without a second thought. I don't even break
the gummy seal on most.? I check the sender's name, and decide if the fortune
inside the envelope might be worth a read.? I always open the envelopes from
the CPUC, the Electric Oversight Board, and Steptoe & Johnson (SCE's counsel
for really important filings).? These filings are the most entertaining of
the lot. The holiday weekend gave me some time to read a selection of
comments submitted to FERC regarding the Commission's November 1 Order.

I don't know whether I should laugh or cry at some of these pleadings.? The
comments I read from some of my favorite sectors of California's power
industry are so childish that I wonder if it is a joke.? Or is the joke on
us?? Take for example, the CPUC's comments.? The first 52 pages are more or
less what you would expect:? refund our money, change this hearing from a
paper hearing to a full-blown evidentiary hearing, request a rehearing, the
CPUC should get copies of everything the MSC and DMA publish at the same time
FERC gets them, FERC got the soft price-cap issues and just about everything
else wrong, the State has jurisdiction, etc.? The CPUC claims that there is
insufficient evidence to support the FERC's conclusions. Since the CPUC also
lacks sufficient evidence (because the generators and power marketers will
not comply with the CPUC's data requests), then, well, what the heck, we need
a lengthy hearing with evidence and cross-examination of witnesses.? This
line of reasoning sounds very much like the Florida vote recount litigation,
but I don't want to go there.

Here is the real kicker.? If you go to page 52 of the CPUC's comments, there
is the signature block of the CPUC attorneys, dated November 21.? The next
page begins with the "Separate Statement of Commissioners Duque, Neeper, and
Bilas".? I did a double take on the title, not understanding, at first, that
the first 52 pages were never adopted by the CPUC by vote.? Our politically
hypercorrect couple, Ms. Lynch and Mr. Wood forced it in.

What do the three Republican Commissioners say?? "We find much to support in
FERC's Market Order, and are filing this statement to insure that FERC has
access to our full thinking concerning the technical aspects of the wholesale
market, which are not the principal focus of the Commission's filing."? I
remain astounded that, in essence, the CPUC has two replies.? One that
lambastes the FERC Order, and another that encourages the Order with some
modifications.? For example, the evil part of the CPUC commentary shakes a
finger at FERC for ordering elimination of the requirement for the UDCs to
buy all power through the PX.? That, says the attorneys, is a violation of
jurisdiction, and you federal people should stay off of our lawn. The trio
of? Duque, Neeper, and Bilas (DNB) say, "While the state maintains
jurisdiction, we are willing to cede to FERC temporary jurisdiction over this
matter."? Which of the two responses sounds more cooperative to you?? I
wonder (he asks) why the CPUC comments never came to a vote?? Sounds to me
like the CPUC comments a la DNB would have passed 3-2, quite nicely, thank
you.? But those days are long gone.

The CPUC expert witness testimony appended to the CPUC comments includes the
direct testimony of Michael Scheible, a supervisor of the California Air
Resources Board staff responsible for energy issues including electricity.?
This is a person who was part of the development of the RECLAIM program of
tradable emission credits utilized in the South Coast Air Quality Management
District (SCAQMD).? Here is what Mr. Scheible testifies.? "The average price
paid for a NOx RTC went from $1 a pound in January 2000, to $4 in June, to
$20 in October 2000."? What is he talking about?? He took the year-to-date
expenditures on NOx credits, and divided the total by the number of traded
RECLAIM Trading Credits (RTC).? He used the average value, not the marginal
or incremental price!? NOx credits are today trading in the $40 to $50 per
pound range.

But he doesn't stop there.? He takes another leap at the impact of the RTC
prices on electricity prices.? "( RECLAIM affects only thermal power
generating units in the SCAQMD.? These units account for about 20 percent of
the power generating capacity in the State( Thus, the market price of RTCs
was a factor for only a relatively small percentage of the State's generation
capacity in 2000".? Markets? What are markets?? This is the basis upon which
the State hopes to persuade FERC that the markets are not working because one
cost factor only affects 20% of the State's capacity.? Okay, it is your
turn.? Do you want to laugh, or cry?

I reviewed one of the UDC proposals, PG&E.? PG&E's comments included three
expert witness affidavits that in total were about one inch thick.? PG&E asks
the FERC to replace the $150/MWh soft cap with a cost-based load
differentiated cap; pay as bid for bids accepted over the load differentiated
cap; force in-state generators to bid into the California PX before seeking
to participate in other markets; penalize both load and generation if either
does not sufficiently participate in forward markets; and return to
cost-of-service ratemaking in California for an interim period.? In their
proposed relief for electricity prices realized after October 2, 2000, PG&E
requests a waiver of the payment provisions of the ISO and PX Tariffs,
requests that the utility only be required to pay based on 1999 levels, and
that after refund claims are adjudicated, PG&E will pay the extra amounts
that may be ordered.

Shakespeare couldn't have said it any better.? To sleep.? To sleep, perchance
to dream.

Things in the People's Republic of California
?@@@ ISO Super Peak Market books first transaction

Ziad Alaywan of the ISO talked with me today during my attendance at the ISO
Governing Board meeting.? He had a sad face as he told me, "We made our first
transaction using the Super Peak Market instead of issuing an out-of-market
(OOM) order.? It was for 100 MW."? Grand, says I.? Why the long face?? He was
disheartened because the accepted bid was higher than the price cap of $250.?
I said to my man Ziad that bids either above or below the price cap are not a
reason to be upset.? What do you want the bidders to do, I asked?? He
confessed that it troubles him when all the offers are above the cap, but,
nevertheless, he is going to maintain the request for bids every day for the
remainder of December.

In case you haven't seen the form of the ISO request for bids, it is
dispatched via e-mail, and looks like this:
? For operating day XXXXXX, 2000 the CAISO will be participating in its
"Seasonal Super Peak Day of Market" via the Automated Power Exchange? (APX).
This Market will close at 0915(.? Purchase may be made during this time for
the peak hours of 1700 through 1900. It is the intent of the CAISO to reduce
the amount of Out-Of-Market purchase for XXXXXX, 2000 through this "Seasonal
Super Peak Day of Market".

I encourage marketers and generators to look closely at this market in which
to post offers.? The Super Peak Market is the best hope we have to bring
order to the otherwise somewhat chaotic method by which the ISO operators go
hunting for out-of-market energy.? I told Ziad that the more the ISO accesses
the Super Peak Market, the more offers he is likely to see, and the more
competition there will be to bring prices down.? Markets do not develop
overnight.? I don't think offers below the cap are either unlikely or
illogical.? Anyone disagree?

Things in the People's Republic of California
?@@@ Consumers Rattle the Saber for a Ballot Initiative

I told you it was going to occur.? Harvey Rosenfield, President of the
Foundation for Taxpayer and Consumer Rights (FTCR), a consumer watchdog
group, held a press conference last Tuesday to announce the kick off of a
campaign to influence the Governor and the State Legislature to enact
measures that will reverse the progress of electric competition, or face? on
the November 2002 ballot (no butterflies) an initiative to achieve the same.?
He tried this tactic two years ago when he launched Proposition 9.? It
failed, but the in-state utilities spent $42 million in advertising to
educate the public regarding the ills of old-time religion.
?

The alleged purpose of the proposal/ballot initiative it to protect
California consumers and small businesses against higher electricity bills.
Rosenfield submitted a concept draft of their proposal to the Governor and
Legislature that you can review on the web site
http://www.consumerwatchdog.org/utilities/pr/pr000842.php3

?

?

FTCR's Key Points of Reform:
?

requires refunds to San Diego customers of excessive electricity charges
through a windfall profits tax on profiteering power generators;
requires oversight of electricity rates by the Public Utilities Commission
(PUC);
institutes an integrated resource planning process to address future energy
needs;
creates a state power authority to ensure the fulfillment California's energy
needs, promote conservation, and construct and operate power plants,
transmission and distribution facilities;
facilitates the authority of local and state government to exercise the power
of eminent domain if necessary; and
creates strong accountability mechanisms for state agencies.

The advocates expressed doubt concerning whether state officials were willing
to defy the powerful energy lobbies. And they warned elected officials
against another bailout of the utility companies at the expense of taxpayers
and consumers.

If there is any part of the proposal I like, then it is the organization
asked the Governor and legislators to refuse any campaign contributions from
utility or power companies during the consideration of legislative
proposals.?? According to Rosenfield, "(history shows that whenever elected
officials must choose between the interests of the private utility/power
companies and protecting the public interest, they will choose to protect the
utility and energy companies. That is how we got into this mess. Whether the
public officials currently in office are willing to do so -- especially in
the? midst of a ratepayer revolt -- remains an open question. "

You know, windfall profit tax aside, the more I read the proposal, the more I
am intrigued.? The proposal boxes in the utilities, and you can easily expect
that the utilities will come slugging back in two directions,
simultaneously.? First, the utilities will slug back with the bankruptcy
argument if they are stuck with the under-collection risk.? Second, the
utilities will step up their accusations against the generators for
"gouging."? The opportunities for schizophrenic behavior will be legion,
because the utilities are less and less the largest sources of earnings for
their corporate holding companies.

Stay tuned.? It promises to be interesting.

Things in the People's Republic of California
?@@@ All Injured Parties form a line to the left (

In the Chinese calendar, it is the Year of the Lawyer.? When I first heard
about the $4 billion class action suit against the generators and utilities
in California, I wanted to make a public statement to express my outrage.?
However, I was too busy handing out free cigarette samples to school age
children.

Between endless squabbles over presidential vote counting, and pot shots at
the restructured electric system in California, it always seems the lawyers
come out ahead.? You know what I am saying?? Our litigation bills for WPTF in
October almost hit $100,000, a new monthly high.

So, what is this class action suit all about?? You can read the suit as filed
on the web site of the filing attorneys at
http://www.krausekalfayan.com/reliant.htm

However, here is a summary.

In the Superior court of the State of California for the county of San
Diego?? a suit has been filed on behalf of Pamela R. Gordon in a class action
complaint for violations of California business and professions code, and
antitrust and unfair business practices.? The defendants are? Reliant Energy,
Inc.; Southern Company; NRG Energy; Dynegy, Inc.; AES Corporation; Williams
Energy; Duke Energy North America; And Does 1 Through 100, Inclusive,
?

FIRST CAUSE OF ACTION: Violation of Sections 16720 and 16726 of the
California Business and Professions Code Trust In Restraint of Trade or
Commerce in Violation of the Antitrust Act
SECOND CAUSE OF ACTION: For Violations of the Unfair Trade Practices Act
Based Upon Violations of the Antitrust Act
THIRD CAUSE OF ACTION: For Violations of the Unfair Trade Practices Act Based
Upon Defendants' Unfair Business Acts and Practices
FOURTH CAUSE OF ACTION: Violations of the Consumers Legal Remedies Act
FIFTH CAUSE OF ACTION:? Unconscionability

It is that fifth cause of action that has me wondering.? Were we not
conscious during this whole episode, with the possible exception of SDG&E
when they didn't hedge their summer energy procurement?

This is what the suit claims.? That,
?

Defendants charged rates for wholesale electricity that were unconscionable
given their cost of production, the newly emergent markets for that product,
and the consumers' need for electrical power.
Defendants' rates were inherently excessive, invalid and unconscionable,
particularly in light of the deceptive and manipulative practices they used
to inflate the market prices and the vital need consumers and businesses have
for electrical power.
Defendants' unconscionable prices were passed through to Plaintiff and the
majority of the Class in the retail electricity rates charged by SDG&E and
thereby directly damaged Plaintiff and the Class.

Things in the People's Republic of California
?@@@ The Governor's Plan

Well, we have had quite a week, haven't we?? Top it off with this.? Today,
Governor Davis of California will float his proposals for fixing the
California electricity market.? It is reassuring to know that so many people
are rushing in to fix our problems.

Here is what Jason Leopold of the Dow Jones Newswire reported about the Gov's
draft plan.? It will include options to:
?

Develop a state power authority to build power plants and own and operate
transmission systems
Eliminate the California Independent System Operator
Extend the freeze on retail electricity rates
Require utilities to retain existing generation and to build new power plants
Consider re-asserting state authority over the operation, maintenance and
safety practices of all in-state generating facilities for public health and
safety purposes
Authorize utilities to purchase the majority of their power in forward markets
Pressure the FERC to implement a regional price cap on wholesale energy that
varies by time of day and year
Lobby for refunds for "unjust and unreasonable" rates.

We will have a more detailed report on the proposals next week, assuming we
survive that long.

Odds & Ends (_!_)

Jim Kritikson sent me an e-mail that has 54 different thought-provoking
sayings, such as the by-line header at the top of today's Burrito. The one I
selected is among my favorites.? Every week I will rotate a new by-line from
the list Jim provided me, thereby lengthening the pure joy these morsels
bring, rather than blowing the whole wad in one Burrito.

Speaking of learning new things, I mentioned in the introduction that my
experience being interviewed on TV gave me a world of insight into the
phrases and words that get through the media filter.? I am becoming a student
of the sound bite, as any reader of these Burritos will attest.? I am
compiling a list of key words that either work, or don't work when talking
with the media or the press.? For example, if you are talking to a reporter
and you say, "The day-ahead ancillary service markets are too illiquid and
the price is highly variable," then you will not only strike out with the
media people, but you will go to the back of the sound-bite class.? On the
other hand, if you say something like, "Of course they are gouging," then I
can assure you they will take your bite to print or video.

I have developed a simple chart of words and phrases either to embrace, or to
avoid when addressing members of the press, the public, or when mingling with
people at holiday cocktail parties with whom your spouse works, but you can't
stand. There are In-words (they are good), and Out-words (to be avoided like
the plague).? Feel free to add to the list as you learn new terms.

In-words:

1. generator
2. manipulate
3. gouging
4. market power
5. demand response
6. consumer rights
7. under-collection
8. excess profits
9. abuse
10. utilities
11. competition
12. withholding

Out-words

1. default provider
2. markets
3. high price
4. ancillary services
5. penny loafers
6. Eric
7. scarcity
8. interruptible customer
9. stakeholder
10. outages
11. investments
12. Burrito

Now, here is how you utilize the system I have invented.? You pick three
numbers, randomly.? Let's take today's hourly electric price, say, $249/MWH.?
So, the numbers are 2, 4, and 9.? You can select any three numbers, it really
doesn't matter.? So, for example, if you want to create a quotable quote,
then you take the words (2) Manipulate, (4) Market Power, and (9) Abuse, and
put them in a sentence; e.g., "The abuse of market power is an attempt to
manipulate price."? See how easy that was?? The press will eat it up.

Try it the Out-wordily way.? Using the same three numbers, select the words
(2) Markets, (4) Ancillary Service, and (9) Stakeholder.? You might get, "The
Ancillary Service markets are designed by stakeholders."? Dry as bone, and
essentially useless.? Suitable for ISO Governing Board public comment, but
you'll never be a press maven.? Keep a copy of these words in your wallet or
purse.? It could save your life, or the life of an innocent consumer (see, I
did it again). As the political rhetoric heats up, we, being soldiers of
fortune, must be prepared at any moment to whip out the handy quote sheet
necessary to calm the jittery nerves of the masses, lest there be a ratepayer
revolt.

As if we didn't have enough problems in California, the rest of the nation is
in something of a fix.? This week, Dan Douglass sent us a classic piece to
humor our weary bones.? This makes the phrase "Turning back the hands of the
clock" seem a bit larger than life.
===================

NOTICE OF REVOCATION OF INDEPENDENCE
?
To the citizens of the United States of America: In the light of your failure
to elect a President of the USA and thus to govern yourselves,? we hereby
give notice of the revocation of your independence, effective today. Her
Sovereign Majesty Queen Elizabeth II will resume monarchical duties over all
states, commonwealths and other territories, except Utah, which she does not
fancy. Your new Prime Minister (The Rt. Hon.? Tony Blair, MP for the 97.85%
of you who have until now been unaware that there is a world outside your
borders) will appoint a minister for America without the need for further
elections. Congress and the Senate will be disbanded. A questionnaire will be
circulated next year to determine whether any of you noticed. To aid in the
transition to a British Crown Dependency, the following rules are introduced
with immediate effect:
?
1. You should look up "revocation" in the Oxford English Dictionary.? Then
look up "aluminium." Check the pronunciation guide. You will be amazed at
just how wrongly you have been pronouncing it. Generally, you should raise
your vocabulary to acceptable levels. Look up "vocabulary."? Using the same
twenty-seven words interspersed with filler noises such as "like" and "you
know" is an unacceptable and inefficient form of communication. Look up
"interspersed."
?
2. There is no such thing as "US English." We will let Microsoft know on your
behalf.
?
3. You should learn to distinguish the English and Australian accents.? It
really isn't that hard.
?
4. Hollywood will be required occasionally to cast English actors as the good
guys.
?
5. You should relearn your original national anthem, "God Save The Queen,"
but only after fully carrying out Task 1. We would not want you to get
confused and give up half way through.
?
6. You should stop playing American "football." There is only one kind of
football. What you refer to as American "football" is not a very good game.
The 2.15% of you who are aware that there is a world outside your borders may
have noticed that no one else plays "American" football. You will no longer
be allowed to play it, and should instead play proper football. Initially, it
would be best if you played with the girls. It is a difficult game. Those of
you brave enough will, in time, be allowed to play rugby (which is similar to
American "football", but does not involve stopping for a rest every twenty
seconds or wearing full kevlar body armour like nancies). We are hoping to
get together at least a US rugby sevens side by 2005.
?
7. You should declare war on Quebec and France, using nuclear weapons if they
give you any merde. The 97.85% of you who were not aware that there is a
world outside your borders should count yourselves lucky. The Russians have
never been the bad guys. "Merde" is French for "s--t."
?
8. July 4th is no longer a public holiday. November 8th will be a new
national holiday, but only in England. It will be called "Indecisive Day."
?
9. All American cars are hereby banned. They are crap and it is for your own
good. When we show you German cars, you will understand what we mean.
?
10. Please tell us who killed JFK. It's been driving us crazy.
?
Thank you for your cooperation.
=========================
You are very welcome.? Have a great weekend, y'all.

gba
?


Letter dictated by Ken Lay

Gene:

 I appreciated the update on your health status.  It appears you are taking a
very tough situation and, with help from some of the best doctors in the
world, setting about to turn it around.  I'm sure it goes without saying that
you know we are all pulling for you and betting on a positive outcome.

 Clearly your health is the number one issue now.  To the extent you want to
work and can work, we are delighted to have you back in the office.  But that
is a very distant secondary concern until you get everything done about your
health that can be done.  If there is any way I or Enron can be of any
further help, please let me know.

Ken


He wanted over 100k and be made a manager. So johny and kim were looking at a standard associate package.

Before we completed anything for you to approve he took his other ofer and told us not to work on a offer.

He left me a voice Mail that was rather shallow.  Beats me!
Lloyd Will


Pam:
We have an opening in our group for a legal assistant position.  Do you know
of anyone over there that might be interested?  We would prefer someone with
transactional experience.  Salary ranges vary depending upon experience, but
I think we are pretty competitive.  If you know of anyone please have them
call me as we are looking to fill this position ASAP.  Also, would it be
possible for you and I to get together 1 more time for lunch before I leave?
How does the week of July 10th look?

Carol St. Clair
EB 3892
713-853-3989 (Phone)
713-646-3393 (Fax)
carol.st.clair@enron.com


Tana -

I spoke to John.  They are comfortable with the changes made by GM.  Please
finalize the NDA and let's see if we can route it to them today for signature.

Thanks.

Mark
Senior Counsel, ENA
Phone:     713-345-8897
Facsimile: 713-646-3940
E-Mail:      Mark.Greenberg@enron.com
----- Forwarded by Mark Greenberg/NA/Enron on 04/12/2001 04:01 PM -----

	richard.dix@gm.com
	04/12/2001 08:08 AM

		 To: Mark.Greenberg@enron.com
		 cc: John.Allario@enron.com, Kay.Young@enron.com, kenneth.wong@gm.com,
Mark.Greenberg@enron.com, Tana.Jones@enron.com
		 Subject: Re: Confidentiality Agreement

We have provided comments to your NDA.  Please review and if acceptable
forward
documents for signature.

Thanks
Richard

(See attached file: NDAenron041101v1.doc)

 - NDAenron041101v1.doc


Gerald, we need to raise a letter to the Kern Shippers which outlines the
payment calculation and payment terms (i.e. chegue or wire transfer).

Can you raise a draft for me to review. I am having a summary of each of the
terms that is being made and will get this up to you.

Payments via wire transfer will be done on May 25, Payments by cheque will be
raised next week. Any other payments will be set up as commercial
arrangements and thas probably will include, Crestone ( one time payment
only), and Cannon ( payment to be defered until next year).

Can I get a draft of this letter  and then we can discuss.

BT


Please review the revised strategy.  Everyone has not been selected as a
participant yet.  I have been working on logistics.  I was just approved
today to have the presentation in Stone Davis Hall.  I have also been going
back and forth with a contact Fariha gave me to set up a faculty lunch and
classroom presentation.  As confirmations come in, I will update the
strategy.  I have a meeting with Cindy Olson on September 18, 2000.

We have reserved hotel rooms for the overnight stay events.  Debbie Flores,
my Coordinator has made those arrangements and will have confirmation
numbers.  You will be responsible for booking your flight arrangements and
rental cars in Boston.

If anyone has questions, please leave me a message or e-mail.  I am out on
the road recruiting at the other schools I am assigned to.

Thanks again, Geynille


---------------------- Forwarded by Vince J Kaminski/HOU/ECT on 10/13/2000
04:23 PM ---------------------------

Margaret Carson@ENRON
10/13/2000 01:43 PM
To: Julie A Gomez/HOU/ECT@ECT, Stephanie Miller/Corp/Enron@ENRON, Vince J
Kaminski/HOU/ECT@ECT, Scott Neal/HOU/ECT@ECT, Jeff Dasovich/NA/Enron@Enron,
Daniel Allegretti/HOU/EES@EES, Mike McGowan/ET&S/Enron@ENRON, Lorna
Brennan/ET&S/Enron@ENRON, Bill Cordes/ET&S/Enron@ENRON, Mark
Schroeder/LON/ECT@ECT, Mark Koenig/Corp/Enron@ENRON, Kathryn
Corbally/Corp/Enron@ENRON, James D Steffes/NA/Enron@Enron
cc:
Subject: CAMBRIDGE ENERGY UPDATES ON GAS AND POWER

The  CERA  executive roundtable meeting  summary  results are as  follows:
If you are interested  in  a complete  set  of  the graphs from the
presentations  please  let me know.

ELECTRIC POWER  PART  ONE
PEAK  TRENDS
It is  noteworthy how  rapidly volatility can change geographically in the
electric  markets.  Last  year  the U.S. Midwest/South areas   were  the
peakiest,  but   it reversed  this year  with  the  West  being highest  at
the peaks  and in New England --  but only   in early May 2000 were  hgih
peaks  apparent  there.

Demand  can vary from half the peak max  to the max.  Peakers  can be on the
margin on the upper half of the supply mix in many markets.  We need to
watch  gas prices  this  winter  as they can effect  winter peak power
prices--not  just a  summer phenomenon.

Where  are  the most gas plants  now on the margin?  Ercot, FRCC, Neepool,
NYPP, SERC, WSCC

A  DISCONNECT
There  is  a disconnect  in the on-peak forward market price for power in
Texas now; with the  added  5 GW  Texas forward markets  do not seem to
take this  into account yet.  (Note:  Vince Kaminski) The  Texas forward
market  should be  very soft  next summer  unless  we return to  105 degree
F  temperatures.    New England  is  just one year behind  Texas  in its
overbuild.

One main  reason for the  spikes  in Calif  is   power plants  did not  get
built in Calif   due  to  a lack of  a capacity  charge ..and  this is not a
panacea...as Calif also  has  many  enviro/siting  hurdles  that challenge
developers  who want to site as well.

  .

TSUNAMI OF  MERCHANT  CAPACITY PLANNED?
CERA   sees  over  240,000  MW  of planned  capacity over  the  2000-2005
period;  with   25,000 MW  being  completed  in  2000;  35 MW under
construction  for   2001 and 15 000 MW under  construction for   2002--  but
the market  only needing   13 000  to  15 000 MW  a year.   This   shall
lead  to  many  and large deferrals and  delays, especially in  2001  and
2002.  What  has  been the recent  history?   US  wide  over the
past  3 years  just  11 percent of the planned  capacity  was  actually
finished  and   18 percent  of that planned  was  actually  under
construction.  They  assume  a  24 month  construction completion  time.

FOR PROFIT  TRANSMISSION
Cera   sees  Allegheny Energy  in PJM West;  Entergy in SPP;  Southern  in
SERC  and Alliant  in MAPP  as all for profit transcos.
TYPICAL   O&M COSTS  IN U.S.  TRANSCOS
 Why  do  O&M  costs   differ  widely  among  transcos?  Some  costs  are  3
to 8 times higher  than the norm  at
$5000 in O&M expense  per 5000  system  miles  in size.  Regulatory
overhang  allows  this...this is  weather  adjusted  to remove  high  costs
from  big  freezes  etc.

USING REAL OPTION MODEL  VS  POWER PLANT  NPV
You  want to  try to have  the base value of  an asset  going  forward  when
you expect volatility  and include  historical  spreads  and  fuel/power
price  swing  assumptions.

CALIFORNIA  MARKET IS BROKEN
This market  starts  to  work  only after it   gets into  a reliability
crisis.  No incentives  to add power  plant  capacity  and
huge hurdles   against  siting   even when the market  signals the  need is
there.  Will the  regulator's post 2000  fix  make it  worse?

PEAK POWER  DEMAND  FORECAST
As  percent  per year  change  vs   2000  Cera  sees   2001  as follows:
New Eng  / New York 6.3 /  6.2  percent
PJM / ECAR   7.7 / 4.4 percent
MAIN /  MAPP    3.0 /   -0.1
SERC /  FRCC   1.3 /  2.3  percent
SPP /  ERCOT    4.0  /  2.3
NWPP /  Rockies     -6.8  /  -0.6
AZNM /  Calif-SoNV   -0.9   /   4.0
USA  avg    up  2.6  percent   It  looks  like Calif. in in for a   touch
summer  in 2001  as well.

NATURAL  GAS  PART   TWO
SUPPLY  SHORT
Year   2001  supply  rebound could  be  800mmcfd   to 1.0  bcfd;  Canada   in
2001  up only  400  a  day; in the US  we  need   2  bcfd  more supply  for
2001  demand.  alone  let alone  storage   refill.... yet  a
cold winter  now  could   add   3  to 4  bcfd  to demand  and slash
storages.  The  fall in drilling  in 1999  and early  2000  took   3.5  bcfd
productive  capacity out of the  supply pool.  It  will  take  till  2005
for US production to  reach a 4.1 bcfd  gain versus  today's production.

ADDED  GAS  FOR POWER PLANTS
Right now  Cera  expects  an incremental  need for   1  bcfd  next year for
these plants..this will  keep prices  high

MUCH MORE POWER SWING
1990 to 1992  we needed   5  bcfd  for power plant  swings;   now  we need
10  bcfd;  offpeak use is  even up  5  bcfd vs  10 years  ago.

RESI  USE  IS UP
The  AGA  disco members   adds   750 000 new gas   homes  each year  and
this  builds  demand  year   round.

INDUSTRIAL   NUG  DEMAND
Of  the   24  bcfd ( 8.77 Tcf) industrials  gas use  in the US;     8.6
bcfd   (  3.1  Tcf) of this  is for  power plant  and non-mfg  use.

HOW  FAST  CAN CANADA  ADD?
Canada  can add   3.6  bcfd   by  2005   versus  now;   adding  each year
from  2001 to 2005 as follows:  500/800/900/700/700  mcfd annually.

IS  ARCTIC  GAS  ON THE HORIZON?
Its  is  far away;   maybe   4  or  5  bcfd  by  2015..  This  means  up  to
2.7  bcfd  to  flow  to Midwest  by 2015  and up  to  2.4  bcfd  to
Calif./PNW   on expansions  by  2015.


-----Original Message-----
From: Schockling, Gregory
Sent: Thursday, April 18, 2002 3:26 PM
To: Parks, Joe; Stephens, Jeffery
Subject: FW: ng0419

-----Original Message-----
From: David Gensch [mailto:dag@cact.com]
Sent: Thursday, April 18, 2002 2:55 PM
To: undisclosed-recipients
Subject: ng0419

CACT NG sheets for Friday


fyi
---------------------- Forwarded by Kay Mann/Corp/Enron on 09/25/2000 06:11
PM ---------------------------

	Enron North America Corp.

	From:  Kay Mann                           09/25/2000 05:34 PM

To: Herman Manis/Corp/Enron@ENRON
cc:

Subject: TITAN-LEDFORD comparrite.DOC

This is the one you looked at and left me comments.  Your comments aren't in
this draft (timing), but I want to pick them up in the next go round.  When
we get together to discuss stuff, maybe we can review this.  It is difficult
to get your comments over voice mail, as I'm  just not that quick!

Kay
---------------------- Forwarded by Kay Mann/Corp/Enron on 09/25/2000 05:33
PM ---------------------------

"Way, Karen S. - CHI" <karen.way@piperrudnick.com> on 09/21/2000 01:41:25 PM
To: "'rusty.stevens@enron.com'" <rusty.stevens@enron.com>,
"'kay.mann@enron.com'" <kay.mann@enron.com>
cc: "Shindler, Donald A. - CHI" <Donald.Shindler@piperrudnick.com>

Subject: TITAN-LEDFORD comparrite.DOC

 <<comparrite.DOC>>

Kay and Rusty:
Attached is the redlined Titan-Ledford Option for your review.  Rusty, I
will look for your email re: address for Fed Ex to the Ledfords.  Thanks!

Karen S. Way
Piper Marbury Rudnick & Wolfe
203 N. LaSalle
Chicago, Illinois 60601
email:  karen.way@piperrudnick.com
(ph) 312-368-2152
(fax) 312-630-6347

____________________________________________________________________________
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1999.  Please update your records.

The information contained in this communication may be confidential, is
intended only for the use of the recipient named above, and may be legally
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are hereby notified that any dissemination, distribution, or copying of this
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Thank you.

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

 - comparrite.DOC


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