Well Head Accrual Income Calculation

---------------------- Forwarded by Eric Bass/HOU/ECT on 05/16/2000 02:49 PM
---------------------------

Enron North America Corp.

From: George Weissman 05/05/2000 09:12 AM

To: Eric Bass/HOU/ECT@ECT
cc: Gregory L Sharp/HOU/ECT@ECT, Susan Smith/HOU/ECT@ECT, Melissa
Graves/HOU/ECT@ECT, Jill T Zivley/HOU/ECT@ECT
Subject: Well Head Accrual Income Calculation

Eric,

We've reviewed your wellhead accrual income data for February, 2000 and
present our input on the attachment. Generally, we have a few minor
questions relating to the Comstock/Sun deals (do improper prior bookings
account for the difference between the purchase price in some cases - ie.
$2.477 vs. 2.508?) and certain deals do not appear to be wellhead related
(Western Gas 500752 & 507804 and Pan Energy 500560). The dollar amount
involved are quite minor.

I believe, on a going forward basis, the large Coastal negative number
($92,233) will disappear beginning on 4/1/2000. As we discussed, would you
therefore provide us with your wellhead accrual income data for April, 2000
so we can see the net effect of correcting the Coastal booking? Thanks.

George x3-6992

---------------------- Forwarded by George Weissman/HOU/ECT on 05/05/2000
08:39 AM ---------------------------

Enron North America Corp.

From: Eric Bass 04/26/2000 08:55 AM

To: George Weissman/HOU/ECT@ECT
cc:
Subject: WH DATA

Here is the wh data. I have included the file for February only. Keep in
mind that some deals, such as Costilla, have multiple tickets in the system
so it is impossible to estimate accrual revenue/expense in the system
accurately. I have made top level adjustments to these deals.