Subject: "MEETING VERIFICATION re: Discussion of Rod Wright Meeting in LA".

Body: Harry: Seems like a good idea for you to participate to ensure that EES is in the loop. Assemblyman Rod Wright's trying to find a solution that the whole industry can embrace, which he'd then foist on the Governor. Sandi, Parquet and Day attended the first meeting last week. I'll forward to you Parquet's notes from the meeting. We'll be setting up a call in number first thing Monday morning. Best,

Subject: "See Attached".

Body: Jim, my understanding is that there continues to be some discussion on whether there will be functional seperation of the retail and wholesale businesses and to what extent and under what strategy these are undertaken. I am not sure that we want to put ourselves in a box under any structure until these things are completely ironed out eg) country managers et al. I'm not in agreement with any memo that further details the organization beyond what was outlined in the original memo. However, I am in agreement that this needs to get resolved ASAP unfortunately Frevert and Skilling and most of the first world is out this week. I ask for your patience. Lets discuss. Regards

Subject: "PGE Dailies".

Body: I just spoke with Kim Hundl in the Confirms group. She's been told by PGE that they do not want confirmation letters sent for daily deals. Apparently there are a bunch of these in the system under your desk that are noted to be confirmed. The confirms group can change all of these deals to "no confirm," but they wanted to double-check with you guys first. Do you agree with PGE, or would you like these deals confirmed? Let me know. Thanks,

Subject: "TCO Storage".

Body:
Use the "Daily Activity" worksheet in this file. The CES storage balance as of 7/31/2000 is 4,053,932 dth (see balance in cell L146). The actual sale to CES for the storage injections is deal 268094 - this deal shows the daily and monthly activity. If I remember correctly, the only confusion we had on the TCO storage was the beginning balance. There was 170,981 dth in storage on March 31st. To correct for this, we adjusted the injections for April so that the balance on April 30th was 13%. Let me know if you have questions.