Subject: "Nipsco".

Body: You may already know this, but I heard from guys at Nipsco that they did their first nom on Vector yesterday. Also, Border interconnect expected Dec. 15th. The heater hit a bridge so they are trying to do some field repairs. Not much else to report.

Subject: "Broker Connect Agreements".

Body: In case you haven't already looked at the Fee Agreement draft, here is a slightly revised version. Also attached is a revised BETA. The changes marked in the BETA are a combination of the commercial guy's comments and my revisions of those comments (hopefully marked separately). Unfortunately I didn't get the changes in the Fee Agreement marked.

Subject: "The Industry Selector*".

Body: The Fourth Quarter and Year 2001 Performance: The model portfolio has gained 12.78% during the fourth quarter versus a 10.42% gain for the S&P500. While the market has not delivered positive returns for the year, we are happy to point out that the Industry Selector is in positive territory as the year comes to an end. The year to date gain of 1.12% is leading the benchmark by 1407 basis points. Looking forward to the first quarter of 2002, our Industry Selector favors: Aerospace/Defense, Auto Parts & Equipment, Communication-Equip/Mfrs., Distributors, Electronics (Semiconductors), Electric Companies, Electrical Equipment, Equipment (Semiconductors), Financial (Diversified), Foods, Footwear, Health Care (Drugs), Insurance Brokers, Insurance (Life/Health), Publishing (Newspapers), Retail Stores (Dept. ), Retail Stores (Drug). (full article attached) LJE www.lajollaeconomics.com

Subject: "New Certification Form".

Body:
As part of our on going effort to streamline the ICAP process, we are implementing a new method and form for the monthly ICAP certification process. Starting with the August 24, certification date please use the attached form. Both Suppliers and LSEs will use the same form thus eliminating two forms for those who buy and sell ICAP. Also, the forms will not longer be faxed to our office. We are requiring that you password protect the workbook and email it to us. Your password will be the same one you are currently using for bid and offer forms. If you do not have a password, please contact Serena Barrett or myself and one will be issued to you. It is important that you read the legal page in the workbook. Please review the workbook spreadsheet "List Page" and find your company's 8 character registrant name. If you do not find your company or the name of a company you do ICAP business with please contact me. Starting with the winter strip auction your 8 character registrant name will also be your new registrant name for bid and offer forms. Attached are three workbooks. The one you will use monthly is blank and ready for use. The other two were developed as examples to answer your basic questions. Please contact me by email if you have any questions. Regards,