Subject: FW: Examples of Long Descriptions
From: [email-masked]
To: [email-masked]
Cc: [email-masked]
Date: Wed, 2 May 2001 07:09:00 -0700 (PDT)

Elizabeth: 
Please find below examples of the Long descriptions for US Gas & Crude Nymex 
Options 
Pls. let me know if you have any questions or need additional information,
Thanks
Carlos

US Gas Fin Opt   NYMEX        EC5.45     Jun01           USD/MM-L
A financial Option Transaction with Enron North America Corp., under which 
the Seller receives the Premium and the Buyer receives the Cash Settlement 
Amount. Each calendar month during the Term of the Transaction will be a 
Determination Period, provided that if the Term of the Transaction is less 
than one calendar month the Determination Period shall be the Term of the 
Transaction.  The Notional Quantity per Determination Period shall be 
calculated from the volume submitted by Counterparty on the Website in 
accordance with the unit of measure.  The Premium shall equal the product of 
(i) the price submitted by Counterparty via the Website, multiplied by (ii) 
the Notional Quantity per Determination Period, multiplied by (iii) the 
number of Determination Periods during the Term of the Transaction. The 
Payment Date for the Premium shall be 2 business days after the Trade Date of 
the Transaction. The Payment Date(s) for the Cash Settlement Amount shall be 
5 business days after the Cash Settlement Amount is determinable. The Cash 
Settlement Amount shall be the greater of (i) zero, or (ii) the product of 
(a) the Notional Quantity per Determination Period, multiplied by (b) the 
Index minus the Strike Price.  The Option style and type shall be a European 
Call ("EC").  Automatic Exercise is Applicable.  The Strike Price for the 
Transaction shall be as set forth on the Website.  The term of the 
Transaction shall be from the Effective Date of 01 Jun 2001 to the 
Termination Date of 30 Jun 2001.  The Exercise Period(s) shall be the 
penultimate Trading Day of the NYMEX Henry Hub Natural Gas Futures Contract 
for the applicable Determination Period. The Index for each Exercise Period 
shall be the settlement price for the penultimate Trading Day of the NYMEX 
Henry Hub Natural Gas Futures Contract for the applicable Determination 
Period. The price is quoted in US Dollars per unit of volume, which will be 
the Contractual Currency. The unit of measure against which the volume is 
shown shall be 10,000 MMBtu's per month.

US Gas Daily Opt GD/D HHub - IF HHub EC  Jul01           USD/MM
A financial Option Transaction with Enron North America Corp., under which 
the Seller receives the Premium and the Buyer receives the Cash Settlement 
Amount. Each calendar month during the Term of the Transaction will be a 
Determination Period, provided that if the Term of the Transaction is less 
than one calendar month the Determination Period shall be the Term of the 
Transaction. The Notional Quantity per Determination Period shall be 
calculated from the volume submitted by Counterparty on the website in 
accordance with the unit of measure. The Premium shall equal the product of 
(i) the price submitted by Counterparty via the website, multiplied by (ii) 
the number of calendar days during the Term of the Transaction, multiplied by 
(iii) the volume submitted by Counterparty on the website. The Payment Date 
for the Premium shall be 2 business days after the Trade Date of the 
Transaction. The Payment Date(s) for the Cash Settlement Amount shall be 5 
business days after the Cash Settlement Amount is determinable. Where this 
Transaction is a Call Option, the Cash Settlement Amount shall be the greater 
of (i) zero, or (ii) the product of (a) the Notional Quantity per 
Determination Period, multiplied by (b) the Index minus the Strike Price. 
Where this Transaction is a Put Option, the Cash Settlement Amount shall be 
the greater of (i) zero, or (ii) the product of (a) the Notional Quantity per 
Determination Period, multiplied by (b) the Strike Price minus the Index.
The term of the Transaction shall correspond to the date(s) set forth in the 
Product description on the Website.
The Index for a Determination Period shall be the average of the Daily 
Midpoint price published on each calendar day during such Determination 
Period under the heading "Daily Price Survey" in the Louisiana -Onshore South 
- Henry Hub section of Gas Daily, or if a calendar day is not a Business Day 
then the price used shall be the Daily Midpoint price published on the next 
succeeding Business Day. The Strike Price for a Determination Period shall be 
the South Louisiana - Henry Hub Index price in the "Market Center Spot-Gas 
Prices" section located in the first issue of Inside Ferc's Gas Market Report 
published during such Determination Period.
The price is quoted in US Dollars per unit of volume, which will be the 
Contractual Currency.
The unit of measure against which the price is quoted shall be millions of 
British thermal units and the quantity shown shall be in millions of BTUs per 
day.
The Option style and type shall be a European Call, ("EC").
Automatic Exercise is Applicable.

US Crude Fin Opt NYMEX WTI    EC26.5     May01           USD/bl/m
A financial Option Transaction with Enron North America Corp., under which 
the Seller receives the Premium and the Buyer receives the Cash Settlement 
Amount. Each calendar month during the Term of the Transaction will be a 
Determination Period, provided that if the Term of the Transaction is less 
than one calendar month the Determination Period shall be the Term of the 
Transaction.  The Notional Quantity per Determination Period shall be 
calculated from the volume submitted by Counterparty on the Website in 
accordance with the unit of measure.  The Premium shall equal the product of 
(i) the price submitted by Counterparty via the Website, multiplied by (ii) 
the Notional Quantity per Determination Period, multiplied by (iii) the 
number of Determination Periods during the Term of the Transaction. The 
Payment Date for the Premium shall be 2 business days after the Trade Date of 
the Transaction. The Payment Date(s) for the Cash Settlement Amount shall be 
5 business days after the Cash Settlement Amount is determinable. The Cash 
Settlement Amount shall be the greater of (i) zero, or (ii) the product of 
(a) the Notional Quantity per Determination Period, multiplied by (b) the 
Index minus the Strike Price.The Option style and type shall be a European 
Call ("EC").  Automatic Exercise is Applicable.  The Strike Price for the 
Transaction shall be as set forth on the Website.  The term of the 
Transaction shall be from the Effective Date of 01 May 2001 to the 
Termination Date of 31 May 2001.  The Exercise Period(s) shall be the 
expiration day of the NYMEX Light, Sweet, Crude Oil Options Contract for the 
applicable Determination Period. The Index for each Exercise Period shall be 
the settlement price of the NYMEX Light, Sweet, Crude Oil Futures Contract 
for the applicable Determination Period on the expiration day of the NYMEX 
Light, Sweet, Crude Oil Options Contract for the applicable Determination 
Period.The price is quoted in US Dollars per unit of volume, which will be 
the Contractual Currency. The unit of measure against which the price is 
quoted shall be Barrels and the quantity shown shall be in Barrels per month.

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