Re: Organizational Announcement

Below are Mark Haedicke's revisions to the announcement.

The purpose of this memo is to share with you the new We are pleased to
announce organizational changes that have been implemented in to the Enron
South America legal department in response to the recent reorganization and
realignment of the principal Enron Wholesale Services business units
operating in the region, Enron Americas and Enron Global Assets.

Randy Young, currently General Counsel of ESA, will be assuming new
responsibilities within Enron. Replacing him will be John Novak, who will
become General Counsel of ESA, reporting to Mark Haedicke. The ESA legal
department will be responsible for supporting all Enron Americas and Enron
Global Assets businesses in the region. Additional legal resources,
coordinated by Lance Schuler, will be provided from EWS - Legal in Houston to
support ESA's wholesale activities. John will also work closely with Bruce
Lundstrom, General Counsel of EGA, to coordinate legal support with respect
to the EGA businesses in the region. An organizational chart describing the
new structure is attached.

We believe This new structure will enable us to continue to provide quality
legal support across business lines within South America while improving
coordination and providing additional support from Houston for Enron's
existing operating businesses, as well as the new business development
initiatives under way in the region.

John Novak@ENRON
02/16/2001 02:02 PM

To: Mark E Haedicke/HOU/ECT@ECT, Bruce
Lundstrom/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Randy Young/NA/Enron@Enron
cc:
Subject: Organizational Announcement

Mark, Bruce and Randy: Below is a draft reorg memo and an updated org chart
for your review and comment. The org chart is a bit dense so any suggestions
on how to clean it up would be welcome. Thanks.

Rgds,
John

The purpose of this memo is to share with you the new organizational changes
that have been implemented in the Enron South America legal department in
response to the recent reorganization and realignment of the principal Enron
Wholesale Services business units operating in the region, Enron Americas and
Enron Global Assets.

Randy Young, currently general counsel of ESA, will be assuming new
responsibilities within Enron. Replacing him will be John Novak, who will
become general counsel of ESA, reporting to Mark Haedicke. The ESA legal
department will be responsible for supporting all Enron Americas and Enron
Global Assets businesses in the region. Additional legal resources,
coordinated by Lance Schuler, will be provided from EWS - Legal in Houston to
support ESA's wholesale activities. John will also work closely with Bruce
Lundstrom, general counsel of EGA, to coordinate legal support with respect
to the EGA businesses in the region. An organizational chart describing the
new structure is attached.

We believe this new structure will enable us to continue to provide quality
legal support across business lines within South America while improving
coordination and providing additional support from Houston for Enron's
existing operating businesses as well as the new business development
initiatives under way in the region.

Mark Haedicke