Message-ID: <7190670.1075863368457.JavaMail.evans@thyme> Date: Thu, 23 Aug 2001 06:32:48 -0700 (PDT) From: greg.whalley@enron.com To: david.delainey@enron.com, mark.muller@enron.com Subject: RE: NewPower Cc: john.lavorato@enron.com, rick.buy@enron.com, richard.causey@enron.com Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit Bcc: john.lavorato@enron.com, rick.buy@enron.com, richard.causey@enron.com X-From: Whalley, Greg X-To: Delainey, David , Muller, Mark X-cc: Lavorato, John , Buy, Rick , Causey, Richard X-bcc: X-Folder: \RBUY (Non-Privileged)\Buy, Rick\Inbox X-Origin: Buy-R X-FileName: RBUY (Non-Privileged).pst we need to be really careful with a decision to get closer to the company, notwithstanding our fiduciary responsibility. i do agree with either getting in or out. we should either get more active, or abandon our board seats and get some distance. -----Original Message----- From: Delainey, David Sent: Wednesday, August 22, 2001 11:12 PM To: Muller, Mark Cc: Whalley, Greg; Lavorato, John; Buy, Rick; Causey, Richard Subject: NewPower Mark, The word on the street is that the NewPower folks are getting further in trouble (ie) strange trading activity, etc. Looks and smells a little like the old EES. Couple of opps: - get another shareholder on-side and demand an Enron led audit to confirm financial and operating health; - followed up by hostile exit of mgt team if significant issues arise. Issues: - obviously pushes us into another level of complicity/fiduciary in a blow up or bankruptcy not unlike the issues we faced with Kafus et al; however, given our continued interest a significant control issue could result in a significant acceleration of a write-off of our existing position plus any outstanding credit. I would recommend we force the management team to submit to a detailed audit as a part of a united shareholder iniative - Lets discuss. Rick Buy, what is our current credit position? Greg/John, do you have a view on this one? Rick Causey, we probably need a more "permanent solution" ot the NewPower issue. Regards Delainey