Enron Mail

Date:Tue, 12 Dec 2000 09:26:00 -0800 (PST)

John, you have my approval. Jim

From: John West on 12/12/2000 03:50 PM
To: James Derrick/Corp/Enron@ENRON


Jim, In 1998, ENA removed from its balance
sheet a loan made to The American Coal Company through a transaction with
Society Generale. In 1999 the deal was restructured and Soc Gen was taken
out by Bank of America. As part of both transactions, there was an absolute
put agreement to Enron in favor of Soc Gen and B of A. B of A has indicated
it intends to exercise the put which will have the effect of moving the loan
back on the books of Enron. Enron's business people don't want this to
happen and are going to arrange to have a Whitewing entity buy out the B of A
position. In order to timely complete the project, outside counsel needs to
be engaged. John Dawson at Vinson & Elkins worked on the original
transaction and has been contacted about this project. Please acknowledge
that it is acceptable to use John Dawson and the firm of Vinson & Elkins on
this project. The dollar amount of the transaction is approximately
$92.0mm. Thank you for your quick response as the business parties want to
close the deal asap. John West