RE: Trailblazer EBITDA

Stan,
The initial numbers from El Paso (as a Seller of their interest) would have equated to a 14 to 15x EBITDA with a valuation more in the range of $180m. While we knew that they wouldn't be a buyer at that price, we expect that they would come in at $80-$90m. They have yet to respond. In the mean time, we are sitting on Deb's lowball (by her own admission) offer for two to three more days.

Dan

-----Original Message-----
From: Horton, Stanley
Sent: Monday, October 01, 2001 1:45 PM
To: McGowan, Mike W.; McCarty, Danny
Cc: Neubauer, Dave; Dowd, Stephen
Subject: RE: Trailblazer EBITDA

At 7 to 8 times EBITDA I think the valuations should be in the range of $85 to $100 million. Both EOTT and NBP's have bought assets in this valuation range.

-----Original Message-----
From: McGowan, Mike W.
Sent: Monday, October 01, 2001 10:56 AM
To: Horton, Stanley; McCarty, Danny
Cc: Neubauer, Dave; Dowd, Stephen
Subject: Trailblazer EBITDA

Attached are the EBITDA numbers for Trailblazer you requested this morning.

Mike McGowan

<< File: ebitda.doc <<