daily reporting to Rick Buy

Please read the following and let me know if you have any suggestions.

Thanks
---------------------- Forwarded by Jeffrey C Gossett/HOU/ECT on 11/30/2000
12:01 PM ---------------------------

Enron North America Corp.

From: Shona Wilson @ ENRON 11/30/2000 10:35 AM

To: Jeffrey C Gossett/HOU/ECT@ECT, Peggy Hedstrom/CAL/ECT@ECT, Kathy
Reeves/CAL/ECT@ECT, Stacey W White/HOU/ECT@ECT, Scott Mills/HOU/ECT@ECT,
Martha Stevens/HOU/ECT@ECT, Monica Lande/PDX/ECT@ECT, Scott
Earnest/HOU/ECT@ECT, Michelle Bruce/HOU/ECT@ECT, Matt A Brown/HOU/ECT@ECT,
Sheila Glover/HOU/ECT@ECT, D Todd Hall/HOU/ECT@ECT, David
Maxwell/HOU/ECT@ECT, Clara Carrington/HOU/ECT@ECT, James New/LON/ECT@ECT,
Andrew Cornfield/LON/ECT@ECT, Heidi
Mason/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Jan-Erland Bekeng/AP/Enron@Enron,
Neil Hong/HOU/EES@EES, Warren Prihoda/HOU/EES@EES
cc: Bob M Hall/NA/Enron@Enron, Leslie Reeves/HOU/ECT@ECT, Brent A
Price/HOU/ECT@ECT, Sally Beck/HOU/ECT@ECT, Mike Jordan/LON/ECT@ECT, Meredith
M Eggleston/HOU/EES@EES, Burton McIntyre/HOU/ECT@ECT, Chris Abel/HOU/ECT@ECT
Subject: daily reporting to Rick Buy

Rick Buy has requested that he receive the log of the book officialization
errors on a daily basis. Previously, he was only receiving it weekly.
Because of this change, it will be necessary for risk contols to have a
complete explanation from your risk groups as to why errors happened.

The current process is as follows for Houston (using Houston time):
Books officialized in evening by risk management
7:30 am risk controls receives error listing (books which did not make it to
RisktRAC)
7:30 - 8:30 explanations obtained for error received from risk management
(Not all explanations are obtained by 8:30)
8:30 meeting to discuss previous night's officialization process and general
processes
9:00 close obtain explanations not obtained before meeting
Wed pm - weekly consolidated report sent to business controllers and RAC

The process needs to change so that we receive all explanations before the
8:30 meeting. I know that many groups identify errors the night before via
the benchmark or reviews of RisktRAC. Hopefully, all groups are moving in
this direction. Since the log will go out each day, each of you need to look
at the current process you have in place and determine how you can get us the
information prior to the 8:30 meeting.

We are trying to put the following process in place (for Houston):
Books officialized in evening by risk management including risk management
ensuring RisktRAC has all required information, errors noted and an e-mail
sent to risk controls
7:30 am risk controls receives error listing (books which did not make it to
RisktRAC)
7:30 - 8:30 explanations obtained for error received from risk management (if
not received the night before) and log updated
8:30 meeting to discuss previous night's officialization process and general
processes
Log sent to bus. controllers, RAC - daily

Note: I know that London, Sydney, and Japan have different processes. We
have to work with your current processes to ensure that risk controls
receives info on time.