Message-ID: <10537918.1075840886794.JavaMail.evans@thyme> Date: Fri, 16 Nov 2001 15:25:47 -0800 (PST) From: michael.tribolet@enron.com To: louise.kitchen@enron.com Subject: FW: 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: Kitchen, Louise X-cc: X-bcc: X-Folder: \ExMerge - Kitchen, Louise\'Americas\Portland X-Origin: KITCHEN-L X-FileName: louise kitchen 2-7-02.pst -----Original Message----- From: Tribolet, Michael Sent: Friday, November 16, 2001 3:30 PM To: Buy, Rick Subject: PG&E settlement offer 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.