Re: NSM Expenses

---------------------- Forwarded by Richard B Sanders/HOU/ECT on 02/23/2000
11:29 AM ---------------------------

Christopher B Hunt@ENRON_DEVELOPMENT
02/18/2000 04:32 PM
To: Richard B Sanders@ECT
cc:
Subject: Re: NSM Expenses

Richard -

I understand we'll be meeting next week. I figured one of the first things
you'd be asking me for is an accounting on what Enron spent on the power
plant, so I thought I'd pre-empt you and send it in advance.

Chris

---------------------- Forwarded by Christopher B Hunt/ENRON_DEVELOPMENT on
02/17/2000 01:30 PM ---------------------------

Frank Lobdell
02/16/2000 11:11 AM
To: Christopher B Hunt/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc:

Subject: Re: NSM Expenses

Chris,

The attached schedule details the $1.3 million of costs incurred on the NSM
Power Plant Project. Note that until December 1999 these costs were deferred
costs on our balance sheet. In December, however, we wrote these costs off.

Thanks,
Frank

Christopher B Hunt
02/16/2000 06:37 AM
To: Frank Lobdell
cc:

Subject: NSM Expenses

PRIVILEGED AND CONFIDENTIAL

Frank -

Would it be possible to get a printout of all the expenses incurred on the
NSM Power Plant AFE? An itemized list and total would be perfect if that is
possible. I need the list because ECT is being sued over their involvement
and one allegation would be helped if we can prove that we were very
committed to making the project work (e.g., through spending a lot of time
and money on the power plant).

I'll need this by Tuesday afternoon if possible to give to the ECT
attorneys. Sending it by e-mail would be best so I can add a note and
forward it on.

Thanks,

Chris