This is the content of an email: Hello Tracy, I wanted to share some conversations that I've had with both Demetrics and Hoang this week related to the project. On of the biggest issue seems to be with resources. I know that you guys have been quite busy with your planning process but it has been very difficult to get the required information or time from the resources that are committed to the project. This is due to the fact that they currently have a heavy workload and cannot dedicate the time necessary for the project. It is having an impact on the timeline. The home office model could be a lot further along if some of the required information was delivered as requested. Also, I am also getting a sense that there is a lack of ownership with regards to the Adaytum application. It is important that the users have a comfort level with the application otherwise it will become very difficult to transition it when the project is over. We need to think about who will administer the system once it is in full production. This individual should be identified and running the administration duties as soon as possible. My fear is that without proper ownership of the application and a dedicated administrator (at least in the short run), it will be very difficult to transition the roles. We've had some technical issues with the production and development environment. Although these issues have been resolved, it has had an impact on the timeline. There are times that the definition for the model is not clearly articulated and it has resulted in the redesign of the model. Much time has been spent on gathering business process information from various people which has caused a delay in the model development. I hope that we can constructively talk through these issues tomorrow and produce solutions that will rectify the situation, mitigate the risks, and result in a successful implementation. Our call is scheduled for 1:30 tomorrow but I can be available earlier if you would like to discuss this.

Subject: Project Update

This is the content of an email: Attached is the final version of of Transwestern's response to the CPUC's protest in Docket No. RP97-288-017. The attachment was filed with FERC last Wednesday.

Subject: TW Response to CPUC Protest

This is the content of an email: Mary: Enclosed is the Counterparty form that we have come up with for Multi-Product Guarantys. Depending upon the products that need to be covered, each Guaranty will need to be modified to make sure that it describes the proper entities and products. I will send along the Enron form of this shortly but please pass this along to the appropriate people in the credit group. Jeff, Stacy and Harry, Are you going to change the Physical product form of Guaranty to look more like this? Power has changed their form and it may help for us to all be consistent especially when we are asked to amend an existing Guaranty to include more products. If you do decide to amend your form, please send the new form to credit. Thanks for everyone's input.

Subject: Multi-Product Counterparty Guaranty

This is the content of an email: Dear Potential Gas Supplier As some of you may know our authority to buy gas off our existing spot agreement will come to an end on December 31, 2001. While we will honor current commitments for gas to be delivered after that date, but we will not be able to use the spot agreement to buy any more gas. The reason that this is happening is that our City Attorney has interpreted the new City Charter as not allowing delegations of authority such as employed in the way we buy gas now. We are seeking approval for an ordinance which must be approved by the City Council that will restore our former ability to buy gas with the kind of agreement most gas suppliers are familiar. We have the ordinance approved by the City Attorney and it will shortly be in the pipeline for approval by our Board and the City Council, but until then, this contract is a stop gap to keep us operating. I've attached the new contract and a cover letter which explains what we are doing. The deadline is November 8, 2001 at 4:00 PM. We will take the executed contracts to our Board with the counterparties listed on a Board Resolution and, if it is approved, we will be allowed to buy gas from this group after the new year begins. This is not the ideal contract but one we feel our Board will be comfortable with until we can get around the Charter problem. I can't make any changes to this contract. There is a notice published in the LA Times about the availability of the contract but I am sending it to you directly as someone we have already done business with (and undoubtedly have satisfied all our boilerplate requirements) and will probably be interested in what we are trying to do here. I Hope most of you will respond. Thanks (See attached file: Spot Gas Cover Letter.doc)(See attached file: New Spot Gas Contract.doc) - Spot Gas Cover Letter.doc - New Spot Gas Contract.doc
Subject: LADWP Gas Contract