Enron Mail

From:paulo.issler@enron.com
To:j.kaminski@enron.com, vasant.shanbhogue@enron.com
Subject:FW: Accenture Project
Cc:william.smith@enron.com
Bcc:william.smith@enron.com
Date:Thu, 18 Oct 2001 09:23:55 -0700 (PDT)

Vince/Vasant:

This relates to my early coversation with Ed today. He requested our help in puting together a text for the Accenture project, which is about recreating the Derivatives I, II, II classes in an electronic/interactive environment. As he pointed out, it would be nice to have the first assignment for early next week. I agree with Vasant in terms of being almost impossible to get something ready by tomorrow.
Vasant also sugested that we use the Technical Corner Articles as a source for this. Maybe Sam may help on that. Whatever we do, however, we would like to have you review the final text.

I will get back to Ed on that today. Please advise.

-----Original Message-----
From: McMichael Jr., Ed
Sent: Thursday, October 18, 2001 9:27 AM
To: Issler, Paulo
Subject: Accenture Project

Thanks for helping out with this need. Here is the information that I need your help with:

Assignment #1
Two-Three paragraphs of content for each of the following areas:
1) Price Risk
2) Basis Risk

Outlines to Help Guide You When Writing
Price Risk
Definition of price risk
Volatility
High-level discussion of how a trader/structurer will hedge against
daily price movements
Two or three examples showing how price movements affect a trader's
position

Basis Risk
Definition of a basis risk
High-level discussion of how a trader/structurer will hedge against
basis risk (i.e. what are the components of a deal that a
trader/structurer must identify in order to effectively hedge basis
risk)
Two examples highlighting basis risk within a deal
____________________________________________________________________________________________
Assignment #2
Natural Gas Markets
First few paragraphs on:
What is Natural Gas a mixture of?
Unit of Measures (Btu vs. cf, MMBtu vs. Mcf)
Regulatory environment - how is it regulated?
Three-four paragraphs on the following:
Value Chain
Production
Gathering and processing
Transportation
Storage
Distribution
Consumption by Consumer Type (Residential, Commercial and Industrial)
A couple of paragraphs on:
Regional vs. Global Market -Where are each located?
A couple of paragraphs on:
Deregulation - timeline
Level of liquidity in the market
Volatility in this market

It would be great if I could get Assignment #1 sometime tomorrow, however, early next week is OK. Assignment #2 is not as time sensitive and I would like to know if you think that it is even something you could respond to. Please advise.

As we discussed, original is preferred, but certainly not necessary. If you want to use other resources, please do so and footnote just your sources. Also, if you need to postpone the options training class on 10/19 to respond to this request, please feel free to do so. If you have any questions, please ask.

Thanks,
Ed
x37657