Message-ID: <15805157.1075862192681.JavaMail.evans@thyme> Date: Fri, 16 Nov 2001 13:30:27 -0800 (PST) From: michael.tribolet@enron.com To: rick.buy@enron.com Subject: PG&E settlement offer Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Tribolet, Michael X-To: Buy, Rick X-cc: X-bcc: X-Folder: \RBUY (Non-Privileged)\Buy, Rick\Inbox X-Origin: Buy-R X-FileName: RBUY (Non-Privileged).pst Below are the proposed discounts we discussed with Ken Lay this afternoon: USD millions: Cash from 85 P+L with 85 cent Discount cent sale of claim sale of claim Enron $ 85.0 (17%) $361.8 +$129.1 PG&E $237.0 (46%) $232.6 -$ 0.1 Midpoint $161.0 (32%) $297.2 +$ 64.5 If the midpoint (value between PG&E and Enron settlement offers) is acceptable from a liquidity and P+L standpoint, propose countering at a discount of $123 million (move half way to midpoint) to provoke a counter offer. Intent is to settle at midpoint discount of $161 million. The Excel file is attached.