FW: Bonding Issues

...more from Mr. Shurkis. When we get the example, Gloria will make the comparison to current wording. Also, do we expect 2001 revenues to be at the same level? If not, perhaps we can negotiate a lower level.

-----Original Message-----
From: "Shurskis, James" <Shurskis@puc.state.pa.us<@ENRON
Sent: Friday, November 16, 2001 9:35 AM
To: Kingerski, Harry
Subject: Bonding Issues

I also need to discuss issues concerning the bonds Enron Power Marketing and
Energy Energy Services maintain for their electric licenses.

Neither bond meets the current wording requirements of the Commission. They
both need updates to the wording for the priority of claims, the number of
days required to cancel the bond, and the number of months in which to make
a claim. I will email or fax an example of the standard bond language.

Also, per Commission records, Enron Energy Services had revenues of
$38,704,087 for the last reported year, 2000. Therefore, the Commission
expects a new bond of $3,870,409. Per our records, a $250,000 bond is still
satisfactory for Enron Power Marketing.