Problem: BODY: John/Gia: You asked that we attempt to evaluate our activities. Working with TW, I've valued this one. The California Commission ruled that the "Hector Road" natural gas recent point in California ought to be made a primary receipt point. This would have had the effect of TW losing access right to 200 MMcf/d of capacity at SoCalGas' Needles receipt point. Best case scenario: Under SFV rates, loss to TW is commodity rates (wash) and the fuel margin. TW calculates the fuel margin to be $5.8MM/yr. Bad case: If shippers on TW try to make the case that TW is at fault for losing the primary access rights, then TW is at risk for the demand component of the contracts associated with the 200 MMcf/d. TW calculates the demand charges loss to be $16.5 MM/yr. Worse case: In addition to actual damages listed above, shippers face performance penalties and other contractual damages (from their customers) and they try to pass those costs on to TW. I discussions with TW, we concluded that the most likely case fell between "best" and "bad," somewhere in the $12-15MM/yr range. TW believes that without the assistance of CA Gov't Affairs in the case, the $12-15 MM/yr would have been lost. Be happy to discuss with you further. Best,
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A: SUBJECT: Valuation of GA Activities

Problem: BODY: We will be offering a 4-hour accounting training session to all accounting personnel on Tuesday, August 28. The agenda is as follows: 8:00 - 8:15 Introduction 8:15 - 9:00 SFAS 133 / Various DIG Issues 9:00 - 9:45 Determining Funds Flow 9:45 - 10:00 Break 10:00 - 10:45 Business Combinations 10:45 - 11:30 Goodwill 11:30 - 12:00 Closing Q & A We anticipate that the training will be held in one of the Doubletree conference rooms. We will send out a separate email once the location has been determined. Directors and Senior Directors - Please forward this email to your direct reports at the Manager level and below. RSVP's are due back to Virginia Dennard by August 21 so that we can get an accurate head count. Thanks!
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A: SUBJECT: Company-Wide Accounting Training Off-site

Problem: BODY: I will serve as a representative to the Associates PRC meeting that will take place on July 19. As a PRC rep, I have been assigned the Associates to represent in the meeting as indicated on the attachment. The Associates Program has provided me with your name as the PRC supervisor of the associate as listed. Please provide me with the following by Friday, July 14: Associate's accomplishments for the first half of 2000 (prepared by the associate or summarized by you) Description of associate's current responsibilities/assignment (and any additional rotational assignments during this first six months of the year) Pre-ranking of the associate from your business unit PRC , or your suggestion on ranking if no business unit PRC process has been completed (Superior, Excellent, Strong, Satisfactory, Needs Improvement or Issues) Any other information that you believe will be helpful in accurately representing the associate in the PRC process Recommendation for promotion, if any I will receive a copy of the Consolidated Supervisor Feedback from the PEP system through the Associates Program. I will be on vacation until Monday, July 17. My assistant, Patti Thompson, will be contacting you next week to ask if you would like to meet with me for a few minutes on Monday or Tuesday, July 17 and 18 (or phone call) to discuss your associate and his/her performance in more detail. Thanks for your attention to this. If you are not the appropriate PRC supervisor for the associate listed on the attachment, please reply by e:mail as soon as possible and my assistant will research where I should go next for this input.
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A:
SUBJECT: Associate PRC - Input Needed