Message-ID: <24477722.1075844533309.JavaMail.evans@thyme>
Date: Thu, 9 Dec 1999 11:22:00 -0800 (PST)
From: sara.shackleton@enron.com
To: susan.bailey@enron.com, susan.flynn@enron.com, marie.heard@enron.com, 
	tana.jones@enron.com, carol.clair@enron.com, shari.stack@enron.com, 
	mark.taylor@enron.com
Subject: Utilities (investor owned)
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X-From: Sara Shackleton
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Mark and I met with Mark Haedicke regarding utilities and the need for a 
legal opinion from the utility counterparty.  We have agreed with Mark as 
follows:

1.  Our negotiations with investor owned utilities should be based upon our 
standard ISDA Schedule (ISDA Multicurrency Agreement) AND including the 
"Additional Termination Event".  Neither party should be required to provide 
a legal opinion.

2.  Investor owned utilites will be approved for online trading from a legal 
viewpoint.  The extra "Additional Termination Event" paragraph is not 
currently included in the GTC's but COULD be incorporated if there is a 
revision to the online agreement.

3.  Our position with respect to municipals/municipal owned utilities, 
federal/state/local owned utilities and cooperatives remains unchanged.  We 
should still utilize and update the "municipal ISDA" form, and, require a 
legal opinion from the counterparty.  In that regard, Susan Flynn has been 
working on an "omnibus" format for an electric co-op (Deseret Generation and 
Transmission Co-operative), an earlier version of which could be used as a 
template for a municipal omnibus confirmation.