Enovate loan facility

Just a small piece of internal discussions regarding the revolving line of
credit and how it ties in with the enovate bank account.
---------------------- Forwarded by Kay Mann/Corp/Enron on 10/03/2000 12:06
PM ---------------------------

Sarah Wesner
10/03/2000 09:31 AM
To: Gregg Penman/Corp/Enron@Enron, Kay Mann/Corp/Enron@Enron, Sam
Round/HOU/ECT@ECT
cc:

Subject: Enovate loan facility

Enovate's bank account is already set up under the Enron global agreement
with Citibank.

The facility will be lent by ENE and People's. If People's does not fund its
half of enovate obligatiosns and an overdraft of the enovate Citibank account
occurs, ENE would eventually be liable for the overdraft amount to Citi
(Sam-please confirm.) If Enron would be liable under its gloabal account
agreement then Enron needs an indemnification/guarantee from People's in the
event that People's does not fund its half.