Message-ID: <4382730.1075854428878.JavaMail.evans@thyme> Date: Tue, 12 Dec 2000 04:31:00 -0800 (PST) From: david.delainey@enron.com To: wes.colwell@enron.com, joseph.deffner@enron.com Subject: Catalytica Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: David W Delainey X-To: Wes Colwell, Joseph Deffner X-cc: X-bcc: X-Folder: \David_Delainey_Dec2000\Notes Folders\All documents X-Origin: Delainey-D X-FileName: ddelain.nsf Guys, I suggest that we write it down in order to ensure that we don't get it back as other groups use up the Raptor capacity. We have sufficient market data points to do this. Please advise. Regards Delainey ---------------------- Forwarded by David W Delainey/HOU/ECT on 12/12/2000 12:30 PM --------------------------- Richard Lydecker@ENRON 12/12/2000 10:50 AM To: Thomas E White/HOU/EES@EES, David W Delainey/HOU/ECT@ECT, Brian Redmond/HOU/ECT@ECT cc: Wes Colwell/HOU/ECT@ECT, Andrea V Reed/HOU/ECT@ECT, Barton Clark/HOU/ECT@ECT Subject: Catalytica Catalytica filed a prospectus supplement with the SEC yesterday, December 11th which disclosed that because of recent market conditions the Board had decided not to proceed with the planned stock split prior to the spin-off. The supplement indicates an expected initial trading range "at a price between $20 and no less than $10 per share". Based upon these new Catalytica's estimates, the value of the Enron investment would be $13.5 to $27.0 million. Enron's Catalytica investment is part of the raptor structure so that the impact is on raptor capacity rather than earnings. The investment has also been monetized in a FAS 125 structure for cash flow purposes.