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Enron Mail |
My comments on the analyses (DCF models only):
Exchange DCF Analysis Capital costs for years 1-3 are spent in year 0 (in years 0-2 maybe more appropriate) Capital Avoidance is treated as expense savings (it is added to the total expensed cost) No depreciation is considered for the capital cost No income tax is considered for the operating cost savings Cynet DCF Analysis looks OK except for Cash Flow Section: Should change "LESS" to "ADD" AMORT/DEPRECIATION Rod Hayslett 11/01/2000 10:30 AM To: Denis Tu/FGT/Enron@ENRON, David Rosenberg/FGT/Enron@ENRON, James Centilli/ET&S/Enron@ENRON cc: Subject: Capital Asset Pricing Model Comments? ---------------------- Forwarded by Rod Hayslett/FGT/Enron on 11/01/2000 10:33 AM --------------------------- Rudy Sutherland@ECT 11/01/2000 09:15 AM To: Rod Hayslett/FGT/Enron@ENRON, Michael K Patrick/NA/Enron@Enron cc: Chris Behney/Corp/Enron@Enron, Bob McAuliffe/Corp/Enron@ENRON, Deborah Kelly/Enron@EnronXGate Subject: Capital Asset Pricing Model Gentlemen, Please find attached two excel CAPM models which use Crystal Ball, an Excel add-in, to perform Monte Carlo simulations. The first tab in each workbook have details, however, if you have any questions please call me @ x39946. I am hoping that you can validate and/or offer suggestions on refining the model and it's assumptions. Thank you in advance, RS
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