Re: Coal Counterparties

Please take note of the following:

The revised EOL coal documentation (which is still being worked on), and the
product itself, provides for financial close-out of the contract in certain
circumstances as opposed to physical delivery. This revised product now
falls within the ambit of regulation for financial settled derivative
products and should therefore be treated as such in your counterparty review.

Please feel free to contact myself or Paul Simons if you have any queries on
the regulatory perspective of this, or myself or Peter Bradley if you have
any queries on the product structure.

Thanks, Edmund.

Enron London - EOL Product Control Group 04/11/2000 07:35 PM

Sent by: Arfan Aziz
To: David Hardy/LON/ECT@ECT, Lee Munden/LON/ECT@ECT, Edmund
Cooper/LON/ECT@ECT, Justin Boyd/LON/ECT@ECT, Janine Juggins/LON/ECT@ECT,
Debbie R Brackett/HOU/ECT@ECT, Mark Taylor/HOU/ECT@ECT
cc: ECT London Credit, Enron London - EOL Product Control Group/LON/ECT@ECT,
Mark Dilworth/LON/ECT@ECT, Peter Bradley/LON/ECT@ECT, David
Forster/Corp/Enron@Enron, Frank L Davis/HOU/ECT@ECT, Product Control -
Houston

Subject: Caol Counterparties

Please find attached a list of counterparties for European coal trading that
needs to be reviewed for EOL. The list is made up as follows:

The first section of this list is a download form EOL and shows the current
access that EOL active counterparties have to coal products. Can we use
these same profiles when we go live with our European Coal product ?
Please note that T stands for execute status on EOL and R only read access.
Also the column entitled C shows whether the counterparty has With Collateral
(labelled N) or Without Collateral (labelled Y) GTCs currently marked on EOL.
The second half of this list (which begans at row 1561) are the new
Counterparties that the UK Coal traders would like to get approved for
trading Coal online.
Please note that these customers have not applied for EOL as yet and those
labelled NEW are new to Enron (GCP has also been informed)

Please contact me if you have any further queries,

Regards

Arfan