Communicatins Regulatory Issues

Scott Bolton and I have spent the week with Enron India communications
employees, reviewing the regulatory environment with them and even attending
one meeting with TRAI with regard to issuance of the long-distance policy
regulations.

We see the high level regulatory issues as four-fold:
1. Issuance of the TRAI policy regulations.
2. Obtaining a license for Enron pursuant thereto.
3. Lobbying to open up the VSNL international landings without failing to
support the sanctity of contract cncept.
4. To the extent possible, lobby to remove the 49/51% ownership requirement
for the data center. This issue falls more into the legal/financial
structuring arena than gov't affairs/regulatory; but we will fully assist
the search for a solution.

Steve Kean already plans to hold a meeting with regard to overall India
Government and Regulatory Affairs issues when I am back in Houston next
week. These communications issues will be added to the list of issues to be
addressed.

To those of you who gave Scott and me your time, thank you. I, and through
me, Scott, look forward to working with you all.