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Enron Mail |
BUSINESS HIGHLIGHTS
East Power Group The East Power Group is off to another strong start in 2001. The realignme= nt=20 of the group into regional business units with joint trading, mid-marketing= ,=20 and origination operations has proven to be a catalyst for deal flow,=20 producing both a high volume of transactions and high value. More=20 transactions were executed in January than any month last year, including o= ne=20 deal that will bring tremendous strategic value to Enron as well. Executed in January, was the purchase of two 35 MW coal-fired cogeneration= =20 facilities located in southeastern North Carolina. ENA will supply steam t= o=20 the industrial host, Alamac Knit Fabrics, and will sell power into the=20 merchant market. The plants are inside Carolina Power & Light's service=20 territory, which is connected to AEP, Virginia Power, Duke, SCEG and SCPSA.= =20 These plants are the first purely merchant facilities in North Carolina. = =20 This deal exemplifies how Enron leverages its talent in that originators fr= om=20 the East Power Group and Industrial Markets Group joined forces to bring th= is=20 deal to execution. They also leveraged the Global Markets group to manage= =20 the coal supply and emissions issues. Prospects going forward look promising as a number of high value transactio= ns=20 are in the pipeline. Of particular note is The Sandhill Power Project, a 1= 80=20 MW peaking facility currently under construction in Austin. The facility i= s=20 scheduled to come online in June, in time for the advent of deregulation in= =20 Texas. The joint venture, between EPMI and Austin Energy, will provide both= =20 trading groups with a highly flexible asset, enabling them to access=20 real-time volatility while hedging existing obligations. Additionally, the Fort Pierce (Florida) City Council voted 5 to 0 in favor = of=20 Enron's proposal to repower the Ft. Pierce Utilities Authority's (FPUA)=20 existing power plant in that city. Our proposed 180 MW facility will be us= ed=20 to produce steam to power the H.D. King facility at approximately 20 percen= t=20 less cost than FPUA can produce it. According to FPUA officials, this=20 reduction in cost may lead to reduced rates for their ratepayers. The=20 planned in-service date is summer of 2002. Industrial Markets EIM Fundamental Analysis Group grows again! The Fundamental Analysis Group= =20 continues to expand its staff and capabilities. They will be introducing y= ou=20 to specific activities in the weeks to come, but would like to introduce yo= u=20 to the new staff members who have joined in the past month. =20 On the paper/pulp/lumber side, Bin Wang is responsible for supporting the= =20 lumber group; Adnan Patel will be assisting with newsprint and structured= =20 transactions. =20 For the steel group, Doug Parsons and Yana Kristal are providing market=20 analysis and econometric/price forecasting support. Our latest recruit,=20 David Maxwell, is assisting with the evaluation of a customer management=20 system and developing analytical databases for all product lines. A visible= =20 enhancement to the group=01,s operations has been the Intranet web site, wh= ich=20 has been in development for the past three months. The site will be=20 transferred to a production server by the end of February. The site contai= ns=20 all types of industry, market, regulatory, analytical, and financial=20 information for deal analysis. =20 Another major development is the adoption of a customer information=20 management system. EIM is currently evaluating Siebel Systems, a software= =20 provider that has developed this type of information tool for EES. IN THE NEWS Enron has been named the "Most Innovative Company in America" for the sixth= =20 consecutive year by Fortune. That's right -- six years in a row. We=20 continue to be recognized by our industry peers and other corporate=20 executives and securities analysts as the company that sets the standard fo= r=20 doing business in the new economy. Congratulations to all of you for makin= g=20 it happen. Enron placed No. 18 overall on Fortune's list of the nation's 535 "Most=20 Admired Companies," up from No. 36 last year. We also were ranked among th= e=20 top five in "Quality of Management," "Quality of Products/Services" and=20 "Employee Talent." =20 This issue of Fortune is now available in airports and will be on newsstand= s=20 Monday, Feb. 12. For more information, go to www.fortune.com. NUGGETS & NOTES "The revolution has begun......" - Ted Bland, Director/HR Recruiting=20 Operations "We trade propane and propane accessories" - Adam Gross, Director/Global LP= G=20 Trading-EGM WELCOME New Hires EGM - Robert Beyer, Jacqueline Darrah, Herbert Goodwin, Vera Ilyina, Tracy= =20 James, Christopher Mulcahy, LaBricia Seyrus ENA - Tonya Dennis, Kathryn Sheppard, Bin Wang LEGAL STUFF The information contained in this newsletter is confidential and proprietar= y=20 to Enron Corp. and its subsidiaries. It is intended for internal use only= =20 and should not be disclosed.
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