BC Gas Utility

Shari, how do you want to handle this?
---------------------- Forwarded by Tana Jones/HOU/ECT on 02/02/2000 04:38 PM
---------------------------
From: Doug Paterson on 02/02/2000 02:59 PM MST
To: Tana Jones/HOU/ECT@ECT
cc:
Subject: BC Gas Utility

The commercial person from BC Gas called me today to complain about the
securities rep and warrant that we put in the confirm. I thought I had
resolved this by having you guys amend the ISDA and then we could remove it
from the confirms. She now tells me their position is that the rep and
warrant was not pre-negotiated and was not in place at the time they entered
the trades so they will not sign any confirms containing the rep & warrant
and further they will only "consider" signing the amendment. I tried my best
to explain that there corporation could be harmed if they did not make the
representation and she seemed to be making a big deal over a non-commercial
point and she was the only counterparty to complain but I got nowhere. Is it
possible to send them amended confirms without the rep & warrant before we
here back from them about the ISDA? This would make them happy and get off
my back. Let me know.

Thanks

Doug