Message-ID: <31483909.1075853252781.JavaMail.evans@thyme>
Date: Wed, 10 May 2000 09:46:00 -0700 (PDT)
From: twanda.sweet@enron.com
To: rex.rogers@enron.com
Subject: TVA
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On February 14, 2000, Enron North America (Enron) filed a declaratory 
judgment action against the Tennessee Valley Authority ("TVA") in the Federal 
District Court for the Eastern District of Tennessee, Chattanooga Division, 
requesting that the court determine whether TVA defaulted under its power 
purchase agreement with Enron by failing to pay undisputed invoices.  On 
March 6, TVA filed a counterclaim against Enron alleging that Enron 
wrongfully terminated the power purchase agreement.  Although no assurances 
can be given, Enron believes that the ultimate resolution of these matters 
will not have a material adverse effect on its financial position or results 
of operations.