Message-ID: <15565483.1075855877216.JavaMail.evans@thyme> Date: Fri, 13 Oct 2000 02:58:00 -0700 (PDT) From: d.hall@enron.com To: joe.gold@enron.com, gregor.baumerich@enron.com, paul.mead@enron.com Subject: CP Follow-up Cc: sally.beck@enron.com Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit Bcc: sally.beck@enron.com X-From: D Todd Hall X-To: Joe Gold, Gregor Baumerich, Paul Mead X-cc: Sally Beck X-bcc: X-Folder: \Sally_Beck_Dec2000\Notes Folders\Hall, todd X-Origin: Beck-S X-FileName: sbeck.nsf I am writing you in order to report the latest developments in relation to my visit in September. I forwarded the attached file to James New and Mike Jordan several weeks ago and had hoped to discuss it with them. I have had no response and, therefore, I assume that they agree with the direction that was laid out in the departure meeting (Sept. 15) with Gregor, Paul, and Risk personnel. The three areas addressed in the report are as follows: Pool Book P&L Split EnPower Structure Modification Transmission Valuation Pool Book P&L Split I have spoken to Anthony MacDonald about the progress and as I understand, he has offered to devote time in order to inform James and Coralie Evans about the underlying problem. EnPower Structure Modification Paul can certainly give you a more detailed understanding as to the Legal Entity decision process and amount of rework time that is required of your Risk and Confirmation groups. I have discussed this problem with Zhiyong Wei (Houston's EnPower support) in order to inform him of the situation and Paul mentioned that he has also spoken with Brian Hudson. Transmission As of my last communication with Houston IT, the testing was almost complete. At the departure meeting mentioned above, we considered valuation of transmission as a spread-option to be Plan A and further agreed upon a Plan B and C. The report details the operational risk involved in valuing transmission by using the Forwards deal type in EnPower. Since I have communicated with James and Mike and now with the 3 of you, I have completed my responsibilities on this project. We have now formalized a direction with backup plans and I would encourage testing by the London office to ensure that what meets the West Power desk's needs will also address yours. If you need to further discuss this report, feel free to call or set up a meeting. Regards, Todd Hall