TRANSPORTATION MODEL

---------------------- Forwarded by Phillip K Allen/HOU/ECT on 08/09/2000
02:11 PM ---------------------------

Enron North America Corp.

From: Colleen Sullivan 08/09/2000 10:11 AM

To: Keith Holst/HOU/ECT@ect, Andrew H Lewis/HOU/ECT@ECT, Fletcher J
Sturm/HOU/ECT@ECT, Larry May/Corp/Enron@Enron, Kate Fraser/HOU/ECT@ECT, Zimin
Lu/HOU/ECT@ECT, Greg Couch/HOU/ECT@ECT, John Griffith/Corp/Enron@Enron,
Sandra F Brawner/HOU/ECT@ECT, John J Lavorato/Corp/Enron@Enron, Hunter S
Shively/HOU/ECT@ECT, Phillip K Allen/HOU/ECT@ECT, Scott Neal/HOU/ECT@ECT,
Thomas A Martin/HOU/ECT@ECT, Steve Jackson/HOU/ECT@ECT
cc: Julie A Gomez/HOU/ECT@ECT, Stephanie Miller/Corp/Enron@ENRON
Subject: TRANSPORTATION MODEL

Please plan to attend a meeting on Friday, August 11 at 11:15 a.m. in 30C1 to
discuss the transportation model. Now that we have had several traders
managing transportation positions for several months, I would like to discuss
any issues you have with the way the model works. I have asked Zimin Lu
(Research), Mark Breese and John Griffith (Structuring) to attend so they
will be available to answer any technical questions. The point of this
meeting is to get all issues out in the open and make sure everyone is
comfortable with using the model and position manager, and to make sure those
who are managing the books believe in the model's results. Since I have
heard a few concerns, I hope you will take advantage of this opportunity to
discuss them.

Please let me know if you are unable to attend.