Enron Storage Analysis Model audit

Professor Darrel Duffie
450 Miramonte Avenue
Palo Alto, CA 94306

May 8, 2000

Dear Professor Duffie,

I enclosed with this e-mail Enron Storage Analysis Model (SAM) for your=20
review. The attached files include:=20
1) a brief documentation of the model (SAM.doc), 2) c-code of the main=20
routines, 3) Excel spreadsheet interface,=20
4) SAM_audit.dll .

Dr. Vince Kaminski, Dr. Stinson Gibner and myself have spent about one year=
=20
in developing this model. =20
With traders=01, feedback incorporated, the model results are close to real=
ity. =20
Although there are features to be included,=20
we believe the model is ready for your review. We look forward to your=20
comments and suggestions.=20

Please feel free to contact me should you need additional detail. =20

Sincerely,

Zimin Lu

Director, Enron Research
Zlu@enron.com
713-853-6388

Enclosures