Enron Mail

From:steve.gilbert@enron.com
To:tracy.geaccone@enron.com
Subject:Depreciation
Cc:john.keiser@enron.com
Bcc:john.keiser@enron.com
Date:Tue, 28 Aug 2001 08:51:18 -0700 (PDT)



Attached is a file showing depreciation for NNG Commercial after excluding depreciation for the capital dollars associated with rate case settlement (lines 13-16). The 2002 depreciation is calculated to be $4.379 million.

I think philosophically it s a good idea to track capital projects within NNG Commercial based on the life of the contracts used to justify the project. I don't think Neubauer is quite there yet.

My concern is that we have developed an IBIT target for 2002 by using a 2001 number that does not include depreciation. It seems that we ought to offset the 01 starting point by the amount of the 02 depreciation. Lets talk further with Rod.