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---------------------- Forwarded by Jeffrey A Shankman/HOU/ECT on 10/23/2000 
09:23 AM ---------------------------
   
	Enron Capital & Trade Resources Corp. - Europe
	
	From:  Robert Brewis                           10/23/2000 08:51 AM
	

To: John.L.Nowlan@enron.com
cc: Jeffrey A Shankman/HOU/ECT@ECT 
Subject: New Product Launch / Market Update Petrochemical Financials

John

We are pleased to confirm today's launch of the following products via EOL:

Ethylene Contract (NW Europe)
Propylene Contract (NW Europe)
HD Polyethylene (German Film)
Polypropylene (German Inj)
Polystyrene (German General Purpose)

In a 2nd roll-out (timing TBC) we are looking to add:

PVC (German Pipe)
LD Polyethylene (German Film)
LLD Polyethylene (German C4)

We are initially offering 6 month and 12 month swaps for each product.

SUMMATION OF EUROPEAN MKT

- market is very conservative and tunnel-visioned, with derivatives as very 
new concept to all players (case of tail trying to wag the dog)

- even though no OTC trades have been done we are looking for the launch to 
act as a magnet for potential counterparties to at least start looking at our 
numbers on a regular basis (personalised letters + PR in industry mags is 
underway).

- Shell / BP are talking of launching similar platform 2001, but Enron only 
company aggressively marketing in Europe (look at 
http://www.eyeforchemicals.com/chem/presentations/hurley.pdf for Shell 
perspective).

- Enron brand is not known to converters/consumers  - profile awareness / 
promotion is continuous process.

- 6mo and 12mo prices are offered, as shorter term we are exposed due to the 
fact we are not in physical mkt.

- spreads are reasonably aggressive, but for hedging purposes all products 
show close correlation to each other and US equivalents.

regards
Rob Brewis