Message-ID: <21508457.1075853743689.JavaMail.evans@thyme> Date: Thu, 17 Feb 2000 02:51:00 -0800 (PST) From: kjames@columbiaenergygroup.com To: flombar@columbiaenergygroup.com Subject: Re: International Paper/Union Camp - PLEASE READ Cc: joan.veselack@enron.com, mflewellyn@columbiaenergygroup.com, flombar@columbiaenergygroup.com, chris.germany@enron.com, scott.goodell@enron.com, colleen.sullivan@enron.com Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit Bcc: joan.veselack@enron.com, mflewellyn@columbiaenergygroup.com, flombar@columbiaenergygroup.com, chris.germany@enron.com, scott.goodell@enron.com, colleen.sullivan@enron.com X-From: kjames@columbiaenergygroup.com X-To: " - *Lombardo, Fred" X-cc: " - *Joan.Veselack@enron.com" , " - *Flewellyn, Melissa" , " - *Lombardo, Fred" , " - *Chris.Germany@enron.com" , " - *Scott.Goodell@enron.com" , " - *Colleen.Sullivan@enron.com" X-bcc: X-Folder: \Chris_Germany_Dec2000\Notes Folders\Discussion threads X-Origin: Germany-C X-FileName: cgerman.nsf Fred and everyone else on the string of E-mails I received: OK - since I received numerous copied and forwarded E-mails on this International Paper issue, I felt it best to copy everyone. As I understand what is going on - CES has an obligation to deliver gas to International Paper through March, 2000. I agree with Colleen that CES is obligated by the terms of our agreement to purchase this gas from Enron through March, 2000. As far as the Energy Management functions, these duties are not part of the Enron Retail contract. The real problem that has arisen with International Paper is that they have some ill feelings towards Enron for some reason. We have attempted to smooth this over but it appears that the gentleman at International Paper has a big burr in his saddle that I nor anyone at CES can remove. International Paper refuses to execute any paperwork required by the pipelines to allow Enron to nominate gas. Since this is such a short term deal, I would recommend that a CES transition employee nominate the gas and work out the logistics with Enron to get the gas to International Paper and keep them happy. Whatever CES and Enron need to do from an accounting standpoint to make sure Enron is made whole can be handled fairly easily I would assume. As far as business after March, 2000, International Paper has no obligation to purchase gas from CES. So if they do not purchase gas from CES, then Enron will not be affected after March 2000. If International Paper does execute an extension to their gas purchase agreement or enter into a new purchase agreement then we will definitely need to get this agency problem worked out. Please feel free to call me at 713-693-2552 should any of you have any questions regarding the foregoing. Thank you. Kendrick