Subject: "PG&E PX Credit Calculation".

Body: Attached is a summary of PG&E's notes on how they calculate the PX Credit (until January 19, 2001 when they hardwired $150/mwh). We continue to try and get a handle on how the FERC Refund case will impact the PX Credit and Negative CTC. If anyone has any issues or comments, please let me know. Thanks.

Subject: "Stipend to UC Berkeley Policy School".

Body: Hi Ginger: Rick and I spoke and decided that it would be a good idea to provide UC Berkeley's Graduate School of Public Policy with a small stipend of $2,500 to help underwrite a conference they're sponsoring with the business school on Monday. I'll be participating in the conference. Could you please make the check payable to (the faceless) "UC Regents" and send it to: Heather Cameron Richard and Rhoda Goldman School of Public Policy University of California 2607 Hearst Avenue Berkeley, CA 94720 The school's Federal Taxpayer ID is: 946002123. Thanks very much. If you have any questions, don't hesitate. Best,

Subject: "LOI - Choice Energy Ltd.".

Body: At the request of Daniel Diamond, I am attaching our proposed form of Letter of Interest. If the enclosed meets with your approval, please execute the agreement and return it to me via fax no. (713) 646-3490. I will then have it executed by Enron. If you have any comments or questions, please call Mark Greenberg, Senior Counsel, at (713) 345-8897 or me at (713) 853-3399. We look forward to hearing from you.

Subject: "View on Global Crossing".

Body:
Here is my initial perspective. I am still waiting for call backs on some information. Bull Case Best positioned among emerging backbone carriers Core network build done Cash EBITDA positive (adjusted for IRU sales) Broad network coverage Reasonable liquidity: $2.6B forecast YE01 Potential upside $21 Bear Case: Extreme capacity supply/demand imbalance Pricing pressure, no apparent elasticity Low visibility in IRU and dark fiber sales business (28% revenue) $9B debt & pref Hard to make a constructive case on demand in intermediate term Potential issue with cash movement between Parent and Subs, covenant test Seems fairly valued on peer group risk-adjusted basis, absolute fair value $6 Conclusion: Debt yielding 23%, why would you buy equity? Probability of recap: 50% Chance of survival without restructuring: 25% If a proposed deal involved some cash exchange for equity upside I would be hard pressed to recommend that transaction. I don't understand all the dynamics of a deal so if you want me to do any more in-depth work let me know. I will pass on the additional information as I get it. Regards,