Message-ID: <32578920.1075863608749.JavaMail.evans@thyme> Date: Fri, 30 Nov 2001 15:13:04 -0800 (PST) From: diana.scholtes@enron.com To: premierpumpcompany@home.com Subject: FW: Update Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: quoted-printable X-From: Scholtes, Diana X-To: 'premierpumpcompany@home.com' X-cc: X-bcc: X-Folder: \ExMerge - Scholtes, Diana\Sent Items X-Origin: SCHOLTES-D X-FileName: -----Original Message----- From: =09Belden, Tim =20 Sent:=09Friday, November 30, 2001 8:49 AM To:=09DL-Portland World Trade Center; DL-San Francisco Subject:=09Update There have been no "official" developments relating to Enron North America = or the Portland office that I am aware of since the floor meeting on Wednes= day. The news of the Europe office closing so suddenly has certainly been = unsettling. Absent any tangible news pertaining to the fate of our office = I thought that I could, at a minimum, try to explain to people what I've se= en going on over the last couple of days. On the trading side we are doing several things. First, we are trying to h= onor as many of our physical delivery obligations as possible. Several cus= tomers have stopped making deliveries to us which is making it impossible f= or us, in turn, to honor all of our physical deliveries. In these circumst= ances we are constantly updating our customers on the status of their sched= ules so that they can make alternative arraingements. The Cash Trading, Sc= heduling, Services, and Real Time groups are doing an unbelievable job with= this. I am impressed at how capable, professional, and calm our team has = remained. On the Term Trading side we are working with our customers to cl= ose out positions. This process is going very smoothly as well. We traded= a record volume yesterday as our customers reduced their exposure to us. = The Term trading team has done an excellent job with this. Third, on the M= iddle Market and Origination side we are trying to work with customers to b= ring cash in the door. Many customers owe us money due to out of the money= future positions. Many customers would prefer to settle up with us now ra= ther than in bankruptcy if that is what ends up happening to us. We have b= rought a significant amount of cash in the door as a result of these effort= s and saved our customers from going through a potentially onerous bankrupt= cy proceeding. I am very appreciative of the efforts of our Origination an= d Middle Marketing team that has made this happen. On the bright side, I remain optimistic that someone will buy or fund the N= orth America gas and power businesses. While it is impossible to handicap = anything these days with Enron I am seeing some very positive signs on this= front. Unlike the Dynegy deal, which required Dynegy to purchase the very= profitable core business along along with the rest of Enron's baggage, the= deals being considered now would likely involve only the core business. I= don't know whether these deals happen, and if they do, I don't know what f= orm the core business takes as a result. Chris Calger and I have been part= of the team talking to our potential suitors. We will both be in Houston = through the weekend and into early next week working on this. We will upda= te people as soon as possible as things unfold. I know that this situation really sucks. Given the anxiety and uncertainty= that we are all feeling people are doing a great job keeping focused and s= taying positive. I think that things are going to unfold very quickly from= here -- most likely in the next week or two. Please hang in there. Tim (on behalf of Tim and Chris)