Problem: BODY: Attached is the cover letter. This version incorporates the changes we discussed over the phone on Friday, Stojic & Kelly's suggestions, and further revisions by Shelley. (I've attached redlined and nonredlined versions.) Shelley and I might have a further revision or two with respect to footnote 9. On Monday I'll be in meetings 9:30 - 10:30 and 2:00 - 4:00; otherwise I'll be at my desk. Please fax me the final version of the tariff sheets when you have them (to 713-646-4095). And, please call if there are any remaining questions. Many thanks, Susan
======
A: SUBJECT: TW options filing

Problem: BODY: Master Netting Group: I just want to personally thank all of you for all of your hard work the past few weeks in addressing our counterparties' requests for Master Netting Agreements. We have been able to sign up a number of them as a result of your efforts and have managed to keep certain counterparties from cutting us off in trading. Thanks again for your efforts and for putting up with one fire drill after another! Hopefully we all learned alot in the process.
======
A: SUBJECT: Message from Carol St. Clair

Problem: BODY: By now you have probably heard about three memos that discuss questionable trading strategies at Enron involving the California market. The memos were brought to the Board's attention several days ago, and the Board voted on Sunday to waive the attorney-client privilege with respect to those documents. On Monday, we turned the memos over to the Federal Regulatory Energy Commission and other appropriate agencies. There are likely to be a number of investigations into this issue, and as we have with all current investigations, we will cooperate fully with these efforts. If you should be contacted in regard to this matter, I encourage you to contact Bob Williams in our legal group at 713-345-2402. However, while these investigations continue to look into the past, our focus must be on the future and on moving this company forward. Thanks for your continued efforts,
======
A:
SUBJECT: Memos Discussing California Market