Message-ID: <21089444.1075846139382.JavaMail.evans@thyme> Date: Fri, 3 Mar 2000 07:04:00 -0800 (PST) From: bill.donovan@enron.com To: steven.kean@enron.com Subject: Notes - Week of Feb. 28 - March 30 Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Bill Donovan X-To: Steven J Kean X-cc: X-bcc: X-Folder: \Steven_Kean_Dec2000_1\Notes Folders\Administrative X-Origin: KEAN-S X-FileName: skean.nsf Steve: Working on transition of phone operators into our group. Fast tracking their physical relocation onto EB level 4. Working with ECM and RARC on Enron Field Parking Garage project. Have been advised that Joe Sutton or Jeff Skilling will have to approve DASH. May require a meeting with one or other to explain. I'm scheduled to meet next Wed. with Billie Birge of Sports Authority and Bob McClaren of Astros to discuss Garage deal and get Sports Authority support. We have kicked off the design team to finish construction documents, having shut down work for last 6 months, in order to meet our proposed May 1st construction start. Finalising lease amendment with Trizec Hahn to add another 30,000 sq. ft. of space in Three Allen Center (short term 2 year deal). The proposed space has already been sold internally. Gene Humphrey's group and George Wasoff's purchasing team will be main occupants. Finalising sublease with Azurix to obligate them to 3 floors of Three Allen Center throughout balance of our six year term. They have asked for rights to keep the Allen Center Garage "reserved" parking spaces for Rebecca Mark, Bazelides, and Amanda Martin. Our response is that they can keep reserved stalls until such time as Azurix's Board of Directors is no longer controlled by Enron. At that time we may require they give up these reserved stalls and if so, be given reserved spaces in basement of Three Allen Center building (perceived as slightly less desirable). Reason being that the Allen Center Garage "reserved" parking spaces came to Enron as a result of the original Enron Building lease in '85. The three floors of office space they occupy in Three Allen Center is not significant enough to command reserved Allen Center Garage stalls. However we will review next year once Enron Center's new garage is complete and we find that demand for reserved Allen Center Garage spaces is not strong. If this is case, they can have spaces through 5 year balance of their sublease - regardless of Enron's ownership position with Azurix . Azurix's use of Enron's aircraft is still an open issue (time share agreement has expired last month and Azurix is currently not using our planes). Azurix definitely does not want to take a partial ownership position in any planes but is asking to continue the "time sharing" relationship in which we can only recover 30-40% of our gross cost, depending on plane used. They are proposing to cap usage around 100 hours per year, i.e. $500K gross cost which equals a discounted cash out cost to them of $150-200K. We've asked them to put it in writing and we will review with Enron management. Mike Hicks and I are meeting with Don Hawkins next week (reports to Kurt Huneke) to better understand Asset Management's expectations of Corporate Security. E-mailed Control Risk our list of preferred Security Contractors and asked for their input. Representatives with Hines and design team are in Italy this week negotiating granite purchase for Enron Center. Henry Terech is representing Enron. We've completed testing of LCD monitors in elevator cabs, using wireless transmitter. All went well and we will finalise hard implementation costs next week. Understand pilot testing of "BackWeb" software on our LAN is underway. Initial report from Phillipe's IT team is that they are very impressed with software's capabilities and no problems encountered that impair LAN systems. - Bill