Message-ID: <21021769.1075845010893.JavaMail.evans@thyme> Date: Thu, 19 Oct 2000 11:06:00 -0700 (PDT) From: mark.haedicke@enron.com To: david.delainey@enron.com Subject: Re: ENA Group Expenses Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Mark E Haedicke X-To: David W Delainey X-cc: X-bcc: X-Folder: \Mark_Haedicke_Oct2001\Notes Folders\All documents X-Origin: HAEDICKE-M X-FileName: mhaedic.nsf Dave: Based on our discussions this morning: 1. Internal Costs -- a capacity charge will be determined for each wholesale business unit based on a time allocation matrix that each lawyer and paralegal prepares. The time allocation matrix will be revised during the year if material changes in the work occur. 2. Outside Costs -- require internal sign-off by GC and COO to spend more than $10,000 on a potential transaction AND a written transaction budget for proposed outside legal expenses more than $10,000. Wherever possible, a firm cap on legal fees should be negotiated. A memorandum will be sent from the GC and [Chairman of the Wholesale Group?] laying out the procedure to all employees. 3. Selection of Outside Lawyers -- expressly add billing rates and efficiency as key considerations, in addition to quality, in the selection of outside counsel. [Dave, we need to complete our discussion on this point.] Our new policy needs to be reviewed with outside counsel. 4. Reopener! -- need to review where business changes significantly. David W Delainey 10/19/2000 12:33 PM To: Wes Colwell/HOU/ECT@ECT, Sally Beck/HOU/ECT@ECT, Mark E Haedicke/HOU/ECT@ECT, David Oxley/HOU/ECT@ECT, Stephen H Douglas/HOU/ECT@ECT, Vince J Kaminski/HOU/ECT@ECT, Scott Tholan/Corp/Enron@Enron, Brian Redmond/HOU/ECT@ECT, Eric Thode/Corp/Enron@ENRON cc: John J Lavorato/Corp/Enron@Enron, Mark Frevert/NA/Enron@Enron Subject: ENA Group Expenses Guys, notes from the morning meeting. Please review and comment. Specific action items: a) i)further calculation of ENA/Non- ENA capacity charges, ii) estimation of outside legal and iii) formulation of charge out/feedback process to the business units; b) need budget/review for competitive analysis, technical and restructuring. Regards Delainey