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Enron Mail |
See attached e-mail from PPL requesting a Master agreement.
Thanks !! dp Debra Perlingiere Enron North America Corp. Legal Department 1400 Smith Street, EB 3885 Houston, Texas 77002 dperlin@enron.com Phone 713-853-7658 Fax 713-646-3490 ----- Forwarded by Debra Perlingiere/HOU/ECT on 03/19/2001 10:50 AM ----- geshay@pplweb.com 03/15/2001 01:01 PM To: Debra.Perlingiere@enron.com cc: Subject: Enron/PPL GISB? Debra, Since we currently have a Master in place with PPL Gas Utilities, we can do an "identical" one with PPL EnergyPlus, LLC. Draw it up in duplicate and mail it out to me (I'm attaching a "Notices" sheet for you to use in preparing it). Your Credit Department can contact our Alan A. Babp, Credit Risk Analyst, at Phone: 610-774-6129 or email: aababp@pplweb.com. OR they can go directly to our web site (www.pplweb.com) and click on "Building Shareowner Value", which will take them to our financial information page. Debra, we also prefer to be the confirming party, but have become enamored of "Both" since it forces our Trading Controls to compare our Confirmation document with your Confirmation document. As a matter of interest, the existing GISB we have with you, dated June 1, 1999, does in fact have "Both" parties listed as confirming parties and your office prepared that document. Your netting language is acceptable. You and I know that the disclaimer states that the GISB is intended for Interruptible transactions or Firm transactions of one month or less and that it does apply to the Enron contract. However, we have 141 other contracts that are used for Firm transactions of up to one year (which is the maximum allowable period the Fuel Trading group can commit to without higher, Vice Presidential, approval and signature. So, if we have the time period specified, as I suggested, in the Special Provisions we have a much better chance that our Traders will remember which contract to use, our data entry personnel will cite the proper contract and, if not, our Trading Controls personnel will spot and correct any that sneak by. So if it is just a matter of resistance to duplication, I ask that you "bite the bullet" for I would appreciate it if we could have the language included. Thanks for your response. Gary E. Shay Sr. Contracts Coordinator PPL EnergyPlus, LLC Two North Ninth Street Allentown, PA 18101 geshay@pplweb.com Phone: 610-774-4802 Fax: 610-774-5077 -----Original Message----- From: Debra.Perlingiere@enron.com [mailto:Debra.Perlingiere@enron.com] Sent: Thursday, March 15, 2001 11:52 AM To: Shay, Gary E. Subject: Re: Enron/PPL GISB? Gary, Thanks for your e-mail, attached is a sample of our Master. I notice we currently have a Master in place with PPL Gas Utilities? In response to your previous e-mail my comments are as follows: We cannot agree to both parties confirming. ENA prefers to be the confirming party. Section 13.5 NY law is fine. Our netting language is a stated below: In the event that Buyer and Seller are each required to pay an amount in the same Month hereunder, then such amounts with respect to each Party may be aggregated and the Parties may discharge their obligations to pay through netting, in which case the Party, if any, owing the greater aggregate amount may pay to the other Party the difference between the amounts owed. Your suggest to stipulate a 30 day limitation on usage for the contract is not necessary as this condition is stated at the bottom of the first page in the disclaimer. With regards to limitation, we do not limit transactions to one year. (See attached file: Sam3102.doc) Finally, with regards to the Master, our credit department will need to speak to someone in your office for credit information. Best regards, Debra Perlingiere Enron North America Corp. Legal Department 1400 Smith Street, EB 3885 Houston, Texas 77002 dperlin@enron.com Phone 713-853-7658 Fax 713-646-3490 - EPlusIn2.doc
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