Patina is marking up the Assignment Agreement

Chris Kennedy from Patina has indicated that their lawyers are sending back
to Kern a red-lined version of the Assignment Agreement. The issue of
concern is "liabilities and obligations under the Transportation Agreement
which arose on or prior to the effective date". The agreement reads that
Patina is responsible for these liabilities and they are seeking a change to
reflect Enron as the responsible party for all obligations, before and after
the assignment.

Julie Gomez indicated that we sought a similar change to the agreement a
couple of days ago, which Kern balked at, saying that such a change would
take a week or so to affect.

Patina will be copying me on the red-lined agreement, which I will pass on
the both of you.

Tyrell Harrison
303 575 6478