Sales into the PX or the ISO

Please read the most recent FERC proposal that is in your inbox . This
proposal discusses a maximum sales price of $150. Any sale made in excess
of this price would be subject to review for justification of such cost.
This means that Enron would have to file with the FERC every we sold in
excess of this number.
The proposal is unclear when this requirement would be in effect. We will
provide more information as it becomes available.

Until that time, do not submit bids to SELL for greater than $150. This
includes P/X bids for Service Customers.
I am of the opinion that if we buy from LA for $225 then we should be able to
justify bidding in to California at < $225. However, we would still have
to file and explain this trade.

Once again, I will let you know when more information becomes available.

Thanks,
JMF