This is the content of an email: Steve - Question has come my way regarding bus - mass transit subsidy for '02. Employees want to be sure they will not need to set aside pre-tax $, via open enrollment now in place, to cover anything less than 100% bus subsidy. Currently (and throughout '01) Enron subsidizes bus passes to employees @ 100% of cost. This will be a $2.5 mill. expense in '02. During budget cycle several months ago it was discussed that Enron could cut this expense in half if subsidy was capped at $50/mo. - same as Parking subsidy. My records show this was not accepted and we plan to continue with 100% subsidy next year. Just checking if you. Given temper of average employee today, I assume this is still the right decision. - Bill

Subject: Bus Subsidy - '02

This is the content of an email: Gentlemen, I thought I would pull together a brief email outlining where we are on certain tasks. Here goes: Hub Agency Agreement - Gregg recently met with Peoples to discuss some of the outstanding commercial issues relating to the Hub Agency Agreement. Roy is putting together a summary of the outcome of that meeting. Gregg and I decided it would be better to not send Peoples the current draft of the agreement which has been circulated internally, but instead will send a draft which incorporates the outcome of these discussions. Memo regarding restricted activities - David has prepared a draft for Enron's review. Here's the draft: Gregg and I need to review it. Gregg and Peoples have been working on the grandfathered transaction list. Since both sides are running behind on this, David prepared a very straight forward amenment to the LLC agreement, exending the time frame for finishing the task. Here it is: Policies - Gregg "Policy Man" Penman has been working on a credit policy, cash management policy, risk management policy, and probably a couple of others I'm forgetting. Revolving line of credit - Gregg has been working the internal Enron system to get approval for a $50mm line of credit for MEH. He has raised the issue of Peoples needing to provide a guarantee for their half. Also, it may be necessary or advisable to document that the line of credit will be paid before any distributions are made to either member. This is still under internal review at Enron. I will check around to see if Corp (the lender) has a form of credit facility we should use. Miscellaneous: Decide about services agreement Confidentiality agreements Transfer pricing documentation Other agreements (ISDA, GISB, Peaking Agency, Third Party Master) Board resolution appointing officers/managers Budget and marketing plan Other administrative functions (per Gregg's Business Setup Items list) Hope this is helpful. Kay

Subject: Status of MEH activities

This is the content of an email: Howard, during a recent strategy meeting we had several questions as to how the virtual process will be implemented, and how that will change the markets we trade. In particular, we are curious about the resolution of certain issues including system integrity insofar as SCUC is concerned and how ancillary costs will be passed. Obviously, we certainly are still very curious about the latest expected start-date. Please let us know your thoughts on these issues and any others you feel relevant. Thanks.

Subject: Virtual Bidding in NYISO

This is the content of an email: FAMILY COURTS TEMPORARY QUARTERS Harris County Civil District Judges have offered to share courtrooms temporarily with Family District Judges. The arrangements are as follows: 245th Family Court will be located in the 11th District Court, 301 Fannin, 2nd floor, Room 212, ext. #5-6253 246th Family Court will be located in the Ceremonial Courtroom, 301 Fannin, 3rd Floor, Room 310, ext. #5-4753 247th Family Court will be located in the 269th District Court, 301 Fannin, 3rd Floor, Room 304, ext. #5-5513 257th Family Court will be located in the 151st District Court, 301 Fannin, 6th Floor, Room 604, ext. #5-6289 308th Family Court will be located in the 113th District Court, 301 Fannin, 2nd Floor, Room 211, ext. #5-6294 309th Family Court will be located in the 165th District Court, 301 Fannin, 3rd Floor, Room 312, ext. #5-6321 310th Family Court will be located in the 333rd District Court, 301 Fannin, 5th Floor, Room 510, ext. #5-7760 311th Family Court will be located in the 270th District Court, 301 Fannin, 6th Floor, Room 607, ext. #5-5509 312th Family Court will be located in the Ceremonial Courtroom, 301 Fannin, 3rd Floor, Room 310, ext. #5-4753 All hearing times will be as per that court's normal policy. All uncontested divorces must be scheduled one day in advance to allow for files to be pulled.
Subject: Family Courts Info. from Judge Squier