Subject: "Instinet".

Body: FYI - I spoke with Thomas Fay in NY about setting up Instinet in London. I HAVE BOTH INSTINET FILES IN MY OFFICE. Sam, I told Thomas that we do not need copies of any agreements. You must have been looking for them while I was on vacation. Remember, broker'futures agreements are in RED files to make them visible. SS

Subject: "KCS Amendments".

Body: Stacy: Harry Stout is ready to sign these so could you call or e-mail me with the information that is needed to fill in the blanks with respect to the physical contracts. I believe that all I need to know is how in each agreement KCS was referenced. Tahnks. carol

Subject: "Crude Oil Purchase Agreement".

Body: Jeff: Janice and I have been working on a deal with Fred LaGrasta that involves entering into a Crude Oil Purchase Agreement. Their lawyer has come back with the following requests which Janice has asked me to run by you: 1. They want to delete the arbitration provision or at the very least delete the waiver of the right to recover attorneys fees. They claim that this conflicts with an indemnity clause in the agreement for non-performance which allows for recovery of attorneys fees. 2. They want to delete subsection (e) of the submission to jurisdiction clause which contains a waiver of the right to claim immunity from suit, execution, attachment or other legal process. Can we give on these points? They owe us back payments on financial swaps that we have done with them and the purpose of entering into this Purchase Agreement is to be able to offset what they owe us under the swaps with what we owe them for the crude that we purchase. It's a long story as to how we ended up here but suffice it to say that this is our only hope of getting them to recognize the swaps and honor their obligations under the swaps so if there is any way taht we can accommodate their requests to get the deal done, that would be great. Carol

Subject: "Agreements".

Body:
Further to our conversation, please see the attached sample form for your review. Please do not hesitate to give me a call with any questions you may have regarding the enclosed. Regards,