Subject: "APS Line Loss Payback".

Body: FYI - We will be paying back line losses to APS tomorrow @ 4C - 1 mw @ HE 6, 1 mw @ HE 11. I've gone ahead and prescheduled this payback to ensure that it gets tagged. All you have to do is make sure this makes it into the El Paso model (EPE is the source). Following are the deal and tag numbers, just in case..... Deals - 800427/800467 Tag - 34307 Again, no need to do anything for this. Just put in in the model. And let me know if you have questions.

Subject: "PG&E PCB Meeting with John Woodyard".

Body: In light of the recent PCB issue with PG&E on the Topock Lateral, I have asked Mr. John Woodyard of Roy F. Westin to c ome to Houston and make a presentation on PCB's in natural gas pipelines. Mr. Woodyard has considerable experience in the management of PCB's and works closely in industry associations (INGAA and GRI), Mr. Woodyard also works as a consultant in this capacity. The date of this meeting will be on Friday, September 3rd, beginning at 9:00 am. Lou Soldano will be setting up a meeting room and will notifiy all attendees via lotus notes prior to the September 3rd meeting date. I think this meeting will be very interesting and informative and and encourage all to attend, if possible.

Subject: "Enron Online Report".

Body: I wanted to introduce myself and let you know that the Portland West Desk has a new person in Deal Control. I'm sure you know from working with Carla Hoffman that the position requires quite a bit of communication with your group regarding Enpower program development; so if there is anything I can do to facilitate the speed or success of your tasks, please let me know. The first Enpower question I have is regarding the Enron Online Report. Apparently Carla had requested a few changes, which were then put into a stage version of the program. I'm wondering if we can get that report into production, and more importantly, if we can make a few more minor changes to it. Right now I'm running reports by logging on as Carla, which is fine, but eventually we'd like to see the EOL report up and running for everyone to use. I know that Carla and Nicolay have worked on it in the past, and I think it would be relevant to talk with them about issues and obstacles they found in the report. I look forward to meeting you (via telephone or otherwise!). Thanks,

Subject: "Omnibus - Section 4 (Remedies) with respect to aggregation of Gains, Losses and Costs".

Body:
In discussing the Omnibus with outside counsel on a deal, I am not clear that the definition of "Loss" picks up the concept of "Unpaid Amounts." Arguably it does (although the concept of "Unpaid Amounts" is built into the ECT Master upon which the Omnibus was based for Early Termination for Events of Default but not followed through entirely for Accelerated Termination Date). My guess is that we decided that Omnibus "Loss" pv of economic loss includes both past amounts owed/subsequent valuation. Can you recall?