FYI - John's only issue was "inhouse" vs "outside" counsel legal opinion. And he apologized profusely. No harm done. Sounds like you did a good job. Have a great weekend. Sara
Q: What is a potential subject line for this email?
answer: What a day!
Notes from Bryson conversation with Ken Lay: Urged us to "stay at the table". Says teams in Washington have all the demand curves from the utilities (from which to calculate offering prices). QF meeting starts at 7:00 pm tonight. says average cost of QFs today is 15?/kwh (amounts to 30% of supply). believes that cost can be brought down significantly if gas is purchased forward (perhaps by state entity). Says all utility generation (another 30%), mostly hydro and nuclear is cost based at 4?/kwh. If suppliers come in at 5.5? (or even 6? ), there is room under the 7? new commodity rate component to recover securitized costs (amounts to about 40% of SCE supply). Says good progress was made today. Believes they may have a framework this evening. Believes 5.5? is causing problem; maybe room to squeeze it up (perhaps as high as 6.0?). Thinks governor will slightly increase rates (or pay more at government facilities) if the parties can get 97% of the way to a solution. Thinks it's nearly a "done deal" that DWR (state entity) will buy power. Says securitization may be harder to get. Bryson's questions to Ken (and Ken's to us): Are we willing to forbear payment of amounts owed to us and continue to sell power to the utilities over the next several weeks. Ken realizes that Bryson may be overstating the progress made, and made no commitments to Bryson. Let's discuss at 10:30 call tomorrow.
Q: What is a potential subject line for this email?
answer: Bryson Conversation
All, attached is a redline of Master Netting Agreement against the previous Cook c draft and the proposed Collateral Annex. Please review and provide your comments to me by first thing Tuesday morning. Major issues for resolution: 1. We have determined that we should file on cash collateral in Canada. Peter Keohane is reviewing the forms and processes for such, including how to determine and establish priority with respect to same. Peter will coordinate with Credit concerning the mechanics of accomplishing the filings. 2. Due to the continued concern by some counsel in respect of mutuality issues for setoff and netted settlement (another form of setoff) "aggregate liability clauses" set forth in 3a and 3b have been included for our consideration. We must come to a consensus as to whether this language/concept should/must be included. If the answer is yes, is the language included the best tactic? 3. Mary Perkins is reviewing LC matters with banks to be sure the modified format set forth in this draft is satisfactory. Timing Objective: Our objective is to provide everyone another draft on Tuesday and finalize on Wednesday. This will require a conference call sometime Monday afternoon. Carol, Rick, David, Peter and Elizabeth please provide Esmeralda Gonzalez, my assistant, at 713 345-7621 with your Monday afternoon availability and she will set a time and advise you. For those of you who had a prior draft of the Collateral Annex, I could not get this redlined for some reason, I apologize. Carol, since I am out Friday will you please call Cadwalader and be sure they received this. Further, will you ask them to review the NY choice of law provision in light of Canada cash collateral issue. Thank you. David and Rick, in your review please give special attention to the calculation mechanisms utilized for the determination of the Collateral Requirement. Esmeralda, after you have determined availability, please send email to Carol, Elizabeth, Rick Antonoff, David Mitchell and Peter Keohane advising of the time (Houston time). We will call other parties and do not need a call in number.
Q: What is a potential subject line for this email?
answer: Master Netting Agreement
Dear Mr. Lay: On behalf of Senator Bayh, thank you for the kind invitation to attend the "U.S. Energy Policy at a Crossroads: Alternative Futures for the Current Energy Crisis," on October 3-4, 2001. The Senator appreciates your thinking of him, but unfortunately he has a prior commitment, which will prevent him from attending the forum. Please accept his sincere regrets. Again, thank you for your thoughtful invitation. I wish you the best of success
Q: What is a potential subject line for this email?
answer:
Senator Bayh's Office