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Enron Mail |
Thursday January 20, 4:51 pm Eastern Time
Company Press Release SOURCE: Enron Corp. Enron Hosts Annual Analyst Conference; Provides Business Overview and Goals for 2000 HOUSTON, Jan. 20 /PRNewswire/ -- Enron Corp. (NYSE: ENE - news) hosted its annual equity analyst conference today in Houston. Ken Lay, Enron chairman and chief executive officer, opened the conference by highlighting Enron's tremendous growth across all businesses and the outstanding 700 percent return to shareholders over the past decade. Enron presented key objectives for 2000: Continued strong growth in the core Wholesale Energy businesses. Break-out performance from Retail Energy Services. Rapid development of Enron Broadband Services. Enron's ability to extend core skills and competencies to new markets was a recurring theme throughout the day. Wholesale Energy Business Growth prospects remain strong for Wholesale Energy Operations and Services, Enron's largest business. Wholesale energy growth in North America is expected to be driven by the continuing deregulation of power markets in the United States and large-scale energy outsourcing by utilities and large energy consumers. Enron expects to continue to broaden its early lead across the European continent as markets quickly open to competition. Finally, Enron is rapidly expanding its wholesale presence in other markets such as Japan, where large customers will be permitted to choose their electricity provider in March 2000. EnronOnline will provide additional wholesale growth as incremental sales are generated through this innovative, Internet-based transaction system. Over 450 customers around the world have used EnronOnline and over 10,000 transactions have been completed since its introduction in late November 1999. Yesterday, EnronOnline transaction levels reached a new record with over 700 transactions, representing a notional value of $250 million. Transaction processing costs with EnronOnline are significantly lower than costs associated with traditional transaction methods. Enron's Gas Pipeline Group is also well positioned to continue growing, with expansions planned or underway on several of its systems. Retail Energy Services With over 16,500 facilities under management, the infrastructure is in place to service customers worldwide. As the strong contracting momentum continues, Enron Energy Services is poised to rapidly increase earnings in 2000. Enron Energy Services' goal for 2000 is to sign new contracts representing $16 billion in future expenditures by customers for energy and energy services, nearly double the level in 1999. Enron Broadband Services The new name of Enron's communications business, Enron Broadband Services, reflects its role in the very fast growing market for premium broadband services. Enron is deploying an open, flexible global broadband network controlled by software intelligence, which precludes the need to invest in a traditional point-to-point fiber network. This Enron Intelligent Network is widely interconnected to both other wholesale bandwidth carriers and to Internet service providers, thus providing the platform for two new Enron business centers, bandwidth intermediation and broadband content delivery. A direct transfer of Enron's core market making and risk management skills from its energy businesses, bandwidth intermediation will provide capacity- holders a vast array of alternatives for flexible, low cost capacity. Enron will also provide premium broadband content services, such as high-quality video-streaming and large broadband file transfer, with differentiated levels of quality in a usage-based business model. As announced in a separate release, Enron also reached an agreement with Sun Microsystems that provides for accelerated development of broadband Internet services. Enron is one of the world's leading electricity, natural gas and communications companies. The company, which owns approximately $34 billion in energy and communications assets, produces electricity and natural gas, develops, constructs and operates energy facilities worldwide, delivers physical commodities and financial and risk management services to customers around the world, and is developing an intelligent network platform to facilitate online business. Enron's Internet address is www.enron.com, and the stock is traded under the ticker symbol, ``ENE.'' This press release includes forward looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although Enron believes that its expectations are based on reasonable assumptions, it can give no assurance that its goals will be achieved. Important factors that could cause actual results to differ materially from those in the forward looking statements herein include political developments in foreign countries, the ability to penetrate new wholesale and retail natural gas, electricity and broadband services markets, including the energy outsource market, in the United States and Europe, the timing and extent of changes in prices for crude oil, natural gas, electricity and those relating to broadband services and content, the timing and effect of changes in interest rates, the timing and success of Enron's efforts to develop domestic and international power, pipeline, communications, internet- related and other infrastructure projects, and conditions of the capital markets and equity markets during the periods covered by the forward looking statements. Contact: Gary Foster of Enron Corp., 713-853-4527. SOURCE: Enron Corp.
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