From: [email-masked]
To: [email-masked]
Cc: [email-masked]
Date: Fri, 20 Jul 2001 18:08:50 -0700 (PDT)

Greg,

I wanted to check with you quickly regarding taking a month-long position in August.  I would like to buy a piece of NP, sell a piece of SP, and sell PV. I believe that value exists in taking these positions into the real-time market throughout August.  NP and SP are currently trading near flat.  I think the potential for real-time congestion revenue(RT has seen approximately $250,000 so far this month) across constrained paths in California makes this a low risk way to generate value in a low liquidity market. I have discussed a month long short at PV with Tom Alonso. While I recognize the rest of the desk has a position, I think RT can generate good value liquidating in the shoulder hours beyond what could be generated by just filling dailies because of the current price levels.  This also represents a relatively low risk trade (under $10 downside).  I also would like to use these positions as a basis in hourly EOL trading as well.  If you have concerns or questions please let me know, otherwise I will put these positions on over the next week.

Thanks,
Bill