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Enron Mail |
Despite the fact the governor mentioned our name in his press release, we
have a confidentiality provision in the agreement and therefore should not discuss terms. If anything, I think you could say that we are continuing to work with DWR to help the situation in CA. Also, the size of the contracts being discussed with DWR (and therefore magnitude of credit exposure) is much smaller than what other companies have press-released. Kathryn Corbally@ENRON 03/06/2001 07:34 AM To: Tim Belden/HOU/ECT@ECT cc: Christopher F Calger/PDX/ECT@ECT Subject: Re: Sales to California Thank you for the info.......is this confidential? Can we talk about the fact we are requiring weekly payments to minimise the credit risk? Is this the only delivery we have made recently into California ? - we have many investors calling us to ask what our participation in the market has been recently [ - they are concerned about a growing credit exposure] - to which we generally answer that as a merchant participant and not a generator we can selectively choose whether or not to participate depending on the terms especially credit which does not really answer their question - mainly 'cos I did not know whether or not we were still selectively selling into California. Many thanks Kathryn From: Tim Belden @ ECT 03/06/2001 09:06 AM To: Kathryn Corbally/Corp/Enron@ENRON cc: Christopher F Calger/PDX/ECT@ECT Subject: Sales to California we executed a one-month contract for 200 MW that lasts through the end of march. we have an option to extend that contract, under revised pricing, for 5 years. there are still many legal and credit issues associated with transacting with the calfornia department of water resources (governor davis' vehicle for buying power). we have overcome the credit issues for the short term contract by requiring them to pay us on a weekly basis. the state needs to get a few things done to improve cdwr's credit before we would exercise the long term option. please contact me or chris calger if you have any further questions.
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