Re: Transfer and Assumption Agreement

Kate:

Per my voice mail, I suggest the following as paragraph 2 to the Transfer and
Assumption Agreement:

"WHEREAS, ....options for sale and purchase of physical energy commodities,
in the case of EPMI (the "EPMI ransactions") or certain financial swaps,
options or other financially settled derivative transactions, in the case of
ENAC (the "ENAC Transactions") ..."

Also, am working on the jurisdiction issue.

Please call me at 713-705-1823
email me per below AND : sshackl@swbell.net

Thanks. Sara

Sara Shackleton
Enron North America Corp.
1400 Smith Street, EB 3801a
Houston, Texas 77002
713-853-5620 (phone)
713-646-3490 (fax)
sara.shackleton@enron.com

kpolozie@mwe.com
03/15/2001 12:55 PM

To: Janice.R.Moore@enron.com, sshackl@enron.com, TeiglandL@sullcrom.com,
gilbergd@sullcrom.com, yyaish@exchange.ml.com
cc: ppantano@mwe.com, rpaul@mwe.com, daron@mwe.com, darezina@mwe.com
Subject: Transfer and Assumption Agreement

Attached please find the Transfer and Assumption Agreement. In the interest
of
time, I am sending this document to all parties simultaneously. Thus, Merrill
Lynch and/ or Sullivan & Cromwell may have further comments.

Best regards,

Kate Polozie

Katarina B. Polozie
McDermott, Will & Emery
kpolozie@mwe.com
(202) 756-8130
(See attached file: WDC99_390293_11.DOC)

******************************************************************************
*******

This message is a PRIVATE communication. If you are not the intended
recipient, please do not read, copy, or use it, and do not disclose it to
others. Please notify the sender of the delivery error by replying to this
message, and then delete it from your system. Thank you.
******************************************************************************
*******

For more information on McDERMOTT, WILL & EMERY please visit our website at:
http://www.mwe.com/

- WDC99_390293_11.DOC