Gordon MoKillop
~    0812212000 04:00 PM

position report

raptori .ds

approval form

APPROVAL.doc

8/21 draft Avici conformation
forwarded email

   To: Chris LoehrIHOUIECT@ECT
   cc:
Subject:

~ENT
   EXHIBIT
   7811
  Cn~,No 1~ 04 0025



	   Raptor I Daily Position Report & Summary

			  8/21/2000

Gains and Losses

Previous Day's Cumulative
Today's Activity

Cumlative Ending

Notional Capacity

Credit Capacity

    Total          Realized    Unrealized

$   (11,480,973) S        -  S  (11,480,973)
$   (10,934,260) $        -  $  (10,934,260)

5   (22,415,233) S        -  $  (22,415,233)

S   199,237,503

S   322,240,706

Remaining Governance Capacity    $ 1,322,318,275

Inputs:
Trade Date

Summary:



Security!  Trade Settlement lnstru.        Pod- Sbike
Ticker      Date    Date    ment     Cost  lion Price  Amount

Notional

Value      Price   (ain/tLoss) Cain/(Loss)  Gainl(Loss)  Realized      Total
	  Market   Unrealized   Realized      Total           Prior Day

Avici Systems 813/2000  8/3/2003 Swap S  -   Long $162.50 1,093,426 $177,681,725 $142.00 $(22,415,233) S
End

-    S(22,4 15,233)

0 5(11,480,973)

											  5(22,415,233) S      -    5(22,415,233) 5       -   5(11,480,973)

Totals

$177,681,725



Daily Price Summary

      Enron         Avid Systems
  Date     ENE     Date    AVCI

8/1/2000
8/2/2000
8/3/2000
8/4/2000
8/7/2000
8/8/2000
8/9/2000
8/10/2000
8/11/2000
8/14/2000
8/15/2000
8/16/2000
8/17/2000
8/18/2000
8/21/2000

$ 76.000
$ 77.625
$ 78.016
$ 78.000
$ 80.266
$ 82.438
$ 82.297
$ 80.766
$ 80.250
$ 84.250
$ 82.125
$ 84.016
$ 90.000
$ 86.938
$ 87.875

8/1/2000
8/2/2000
8/3/2000
8/4/2000
8/7/2000
8/8/2000
8/9/2000
8/10/2000
8/11/2000
8/14/2000
8/15/2000
8/16/2000
8/17/2000
8/18/2000
8/21/2000

S 107.500
$132.000
$163.500
$156.000
$140.625
$125.672
$138.375
$ 132.875
$130.500
$ 128.250
$128,469
$ 137.750
$ 153.938
$ 152.000
$ 142.000



Balance Sheet and 3 Percent Test
Raptor I

		      Talon Balance Sheet as of 4118100

	      Assets

				       Liabilities & OWner's Equity

Cash/Permitted Investment
Note due from Enron
Enron Shares

71,001,000
50,000,000

Put Obligation

41,000,000

C

Note Due to Enron 400,000,000

350,000,000 a

LJMII

30,000,000

d

471,001,000 b

Enron
Total

Shares

     1,000
471,001,000

      Price

UBS
Peregrine
Total Undiscounted
Less: Discount
Net

263,599,500
273,328,500
536,928,000
(186,928,000) 6
350,000,000 a

			     3 Percent Test

Total Balance Sheet Footing
Plus: Put Exposure

Shares

		   X Strike
Subtotal

471,001,000

b

7,171,418
   57.50 412,356,535
	 883,357,535

Less: Put premium received

41,000,000 c
842,357,535

X Required capitalization percentage

    3.02%
25,439,198

Required Third Party Capitalization

Actual Third Party Capitalization

30,000,000 d

   Result                                                   Test Passed

Total

Enron Shares Consist of:

3,739,000
3,877,000

70.50
70.50

34.8%



			812112000
			Analysis

		     Income Statement

Option Premiums Earned
Permitted Investment Income
Interest Income--Harrier Note
Discount Amortization (187MM * Days 0S11080)
Interest Expense (400MM * 7% * Days 05/3 60)

Unrealized Gains I (Losses)
Realized Gains / (Losses)

					   37,034,148
					   1,770,242
					   1,317,771
					   21,635,185
					   (9,722,222)

						      h

						      g

					  52,035,124

					  (22,415,233)
						  0

					  (22A15.233~)

							 f

		       Credit Analysis

Initial Credit Capacity
   LJMII Capital
   Initial Discount on Enron Shares
Total Initial Credit Capacity

					  30,000,000
					  186,928,000

							 d
							 e

					 216,928,000

 Plus: Talon Earnings
     ENE share gain (loss)
     Additional LJMII Capital
 Less: Discount Amortization
     Distribution to UMLI

					  29,619,891  f
					  132,328,000
					   6,000,000
					  (21,635,185) g
					  (41,000,000)

Assumptions:
Enron Share Price                               87.8750
LIBOR Rate                                        7.25%
Earnings distributed to LIM as a return on capital to the extent
$30 MM of LJMITs equity remains in Talon.



			    5/21)2000
			    Analysis

			  Talon Balance Sheet

	      Assets

					Liabilities & Owner's Equity

Cash/Investment
Note due from Em-on
Em-on Shares
Interest Receivable
Swap Receivable
Total

37,771,242
50,000,000
371,635,185
  1,317,771

460,724,199

      Option Obligation
      Swap Obligation
      Note Due to Em-on
      LJMII
0     Em-on
      Total

       0
22,415,233
413,688,074
24,619,891 j
     1,000
460,724,199 i

OK

							  0

		   3 Percent Test & Capacity Calculation

Total Balance Sheet Footing
Option Exposure
Swap Exposure
   Sub-Total
X Required capitalization percentage
Required Third Party Capitalization
Actual Third Party Capitalization

						  460,724,199

							  0
						   155,266,492
						   615,990,691
						       3.02%
						    18,602,919
						    24,619,891 j

   Result                                                  Test Passed
Surplus Third Party Capital                                  6,016,973

 Equity Rolltorward (Check)

Capita]
  LJM
  ENE

Plus Income(Loss)
Less Distributions
Current Equity
  Ending L]M Capital
  Ending ENE Capital
Difference

36,000,000
    1,000
36,001,000
29,619,891
(41,000,000)
24,620,891
24,619,891
    1,000
       00K



	 Transactions

Option Premiums Earned

Settle Put Premium on. ENE share

Total Option Premiums Earned

Cash Settlement on Put
Transfer to Note

37,034,148

37,034,148 h

(3,965,852)
3,965,852

Distributions

to LIM on 8/3/00

(41,000,000)

LJM additional Equity 813/00

6,000,000



	   Cash Account

Beginning Balance

Net Income
Amortizations
Unrealized Gains I (Losses)

Change in:
Notes Receivable
Interest Receivable
Notes Payable
Notes Payable Interest
Option Obligations

Distributions
LJM Equity

71,001,000

29,619,891
(21,635,185)
22,415,233

       0
(1,317,771)
 3,965,852
 9,722,222
(41,000,000)

(41,000,000)
 6,000,000

Ending Balance              37,771,242



	      Permitted Investment Income Summary

Date
Beginning Balance

Date
Days

Interest

Date
Beginning Balance

Date
Days

 4/18/2000
71,001,000

  8/312000
     107

Historic LIBOR Quotes
4/15/2000  6.92%
5/15/2000  7.33%
6/15/2000  7.40%
7/15/2000  7.33%
     Avg   7.25%

1,623,882

  8/3/2000
37,624,882

7/15/2000  7.33%
    Avg    7.33%

8/21/2000
     18

Interest                        146,361



Harrier Note Amortization Table
		       In uts
Principle            50,000,000
Annual Interest Rate     7.00%
Term (in months)            36
Payments Per Year           2
Payment               9,383,410

	4/18/2000
	10/1/2000
	 4/1/2001
	10/1/2001
	 4/1/2002
	10/1/2002
	 4/1/2003

			   Beginning                                     Ending
			    Balance    Pa ment   Princi ie   interest    Balance

			  50,000,000
			  50,000,000
			  42,366,590
			  34,466,010
			  26,288,910
			  17,825,611
			   9,066,097

				     9,383,410
				     9,383,410
				     9,383,410
				     9,383,410
				     9,383,410
				     9,383,410

						      0
					       7,633,410
					       7,900,580
					       8,177,100
					       8,463,299
					       8,759,514
					       9,066,097

								0
							  1,750,000
							  1,482,831
							  1,206,310
							   920,112
							   623,896
							   317,313

								  50,000,000
								  42,366,590
								  34,466,010
								  26,288,910
								  17,825,611
								   9,066,097
									  0

				    56,300,463  50,000,000 6,300,463

8/21/2000

Principle Received
Interest Received
Total Cash Received
Time Outstanding
Interest Receivable:
Interest Income

Period
Date

0

Next Interest
Next Date

      0
      0
    125
1,317,771
1,317,771

Period
 0
 1
 2
 3
 4
 5
 6

      0
4/18/2000
1,750,000
10/1/2000



		   TALON DERIVATIVE APPROVAL SHEET
This Approval Sheet should be used to propose derivative transactions to Talon under the Raptor structure. This Approval Sheet is for
Talon's approval and is not in lieu of any other approvals that may be required.

 GENERAL
 This transaction relates to ORaptor I     or    ORaptor II
 Date Approval Sheet completed:
 Enron person completing this form
 Expected closing date:
 Business Unit:

DETAIL DESCRIPTION       [Insert a detailed description of the underlying asset.]

DETAIL OF DERIVATIVE     [Insert a detailed description of the type and economic terms of the derivative being entered into.]

PREMIUM CALCULATION      Illnclude a detailed explanation of the assumptions and information used to arrive at the premium,
attach all relevant work papers associated with the calculation.]

ADDITIONAL INFORMATION [For Public transactions include filing requirements and for Private transactions include valuation
methodology and timing of revaluation)

APPROVALS

			       Name

							Signature

										   Date

 Business Unit
 Business Unit Le2al
 Global Finance
 Global Finance Legal
 Talon