Enron Mail

From:james.steffes@enron.com
To:richard.shapiro@enron.com, steven.kean@enron.com, jeff.dasovich@enron.com,sandra.mccubbin@enron.com, susan.mara@enron.com, paul.kaufman@enron.com
Subject:UC-CSU Call
Cc:
Bcc:
Date:Sun, 4 Mar 2001 11:51:00 -0800 (PST)

FYI. Will try and keep everyone informed.

Jim

----- Forwarded by James D Steffes/NA/Enron on 03/04/2001 07:50 PM -----

Mike D Smith@EES
03/02/2001 05:08 PM

To: Dan Leff/HOU/EES@EES, Marty Sunde/HOU/EES@EES, Don Black/HOU/EES@EES,
Wanda Curry/HOU/EES@EES, Evan Hughes/HOU/EES@EES, Dennis
Benevides/HOU/EES@EES, Peggy Mahoney/HOU/EES@EES, Harry
Kingerski/NA/Enron@Enron, James D Steffes/NA/Enron@Enron, Mark
Palmer/Corp/Enron@ENRON, Mark Koenig/Corp/Enron@ENRON
cc: Vicki Sharp/HOU/EES@EES, Robert C Williams/Enron@EnronXGate
Subject: UC-CSU Call

Here is a brief summary of today's call with UC-CSU:
Attended by business and legal representatives from each side (including
University outside counsel) to discuss views of the dispute
Universities are entrenched in their position that we did not have the right
to D-DASR their accounts; their demeanor was relatively aggressive
They have asked us to explain in more detail our reason for D-DASRing their
accounts, including how that action "enhances our ability to fulfill the cost
guarantee" under the agreement
They demanded again that we return their accounts to our service, and we
refused again
We reiterated our position that we have the right under the contract to
D-DASR and that continued performance of physical delivery was and continues
to be commercially impracticable.
We pointed out that their actions are impeding our exercise of our rights
under the agreement.
They expressed an unwillingness to continue the dialogue around a commercial
solution until we return their accounts to our service.
We agreed to have another telephone conference Monday, but we do not expect
much progress.
Although not threatened, it remains likely that the universities are
considering seeking some sort of injunctive relief

Please let me know if you have any questions. MDS