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Enron Mail |
Thanks, Chaz, for the response. What I am looking for in question #3
(purchase commitment) is did I convey the info correctly re: what BMC will accept from Enron to allow the EBS deal to close? From notes to the Net Works directors and Bob McAuliffe, I have copied the following statements into the space below: "1) The pricing is applicable if EBS gets their deal done, and you are willing to provide some form of commitment (at least in writing, either e-mail or letterhead) to purchasing a BMC product in 2001... For example, if Randy Matson's team chose the BMC solution at the conclusion of their current testing, they could lock in the discount at 45% by sending an e-mail (or other form of written communication) committing to the purchase in 2001 (the preference would be to get the "buy" done by end of 1st Qtr, if possible). This would be sufficient commitment for BMC to go forward with their purchases of EBS' solutions currently proposed to BMC." Is this correct the way I have presented it to NetWorks? Will their replies work for you if completed as requested above? I didn't want to put you in a bind when I told the NetWorks teams what BMC would feel is acceptable proof-of-commitment, nor did I want to have to go back to the Net Works group and change the requirements. I've got another note to send you in a minute or so, from Doug Cummins. Thank you, Jeff Chaz Vaughan@ENRON COMMUNICATIONS 12/12/2000 07:29 PM To: Jeff Youngflesh/NA/Enron@ENRON cc: Stephen Morse/Enron Communications@Enron Communications Subject: Re: BMC Update Jeff, Thank you for your efforts on the BMC deal. We are making real progress. Here are the answers to your questions: 1. How much do they want you to guarantee them in BMC revenue? $4 MM in software and $2.4 MM in maintenance and professional services 2. Are you still looking at a $13MM TCV over 5 years? No, our current TCV over 5 years is $10 MM 3. Have I properly conveyed the "accepable-to-BMC method" of proving purchase commitment from Enron? Not sure what you mean here 4. Your note re: getting the Prof'nl Svcs contract signed says it has to be done by 6pm the 14th...what if you don't get it until the morning of the 15th? We prefer the 14th, but if we can't get it until the 15th, that will work Please let me know if you have any other questions. I will call you tomorrow to touch base. Thanks, Chaz Vaughan Enron Broadband Services 1400 Smith Street Houston, TX 77002 Ph: 713-345-8815 Cell: 713-444-3074 Fax: 713-853-7354 Chaz_Vaughan@enron.net Jeff Youngflesh@ENRON 12/12/00 04:43 PM To: Stephen Morse/Enron Communications@Enron Communications, Chaz Vaughan/Enron Communications@Enron Communications cc: Jennifer Medcalf/NA/Enron@Enron, Brad Nebergall/Enron Communications@Enron Communications, Eric Merten/Enron Communications@Enron Communications Subject: BMC Update Steve/Chaz - I have taken your EBS Professional Services contract through our contracts folks, and we have ended up with it now being in EBS' contracts dept w/one of your attorneys. Our contracts Director, Tom Moore, and I spoke w/Eric Merten (PDX) early this afternoon, and he now has the contract. EBS may have some Intellectual Property issues related to ownership of BMC Consultant-developed materials (while being paid by Enron). Eric is in the driver's seat with the contract at this point. I have sent notes to all of the Net Works directors currently engaged in one form or another with BMC product and/or personnel. In it, they have been requested to help us understand our opportunity from a number of angles: Application(s) considered, attractiveness of the new pricing, attractiveness of the BMC flexibility w/regard to "purchase commitment", etc. In addition, I have re-iterated the time urgency. I have followed up the note w/telephone calls & messages to all of them: Doug Cummins, Randy Matson, Bob Martinez, Jim Ogg, and Bruce Smith. I am meeting with Bob Martinez on Wednesday at 3pm. Matson, Ogg, and Smith have me in their voicemailbox, Cummins was in a meeting and he said he would call me back. Would either one of you please let me know what BMC wants EBS to do for them: how much do they want you to guarantee them in BMC revenue? Are you still looking at a $13MM TCV over 5 years? Have I properly conveyed the "accepable-to-BMC method" of proving purchase commitment from Enron? Your note re: getting the Prof'nl Svcs contract signed says it has to be done by 6pm the 14th...what if you don't get it until the morning of the 15th? I will call you to follow up on this note. Thank you, Jeff Youngflesh
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