recent developments

Several recent developments, and in the interest of economy (mine!), I am
copying all of you, who will have varying interests in this.

First, as soon as the upper house of parliament passes legislation, Austria
will have accelerated their market oppening, to 100% in power by 2001,
October, and by 2002, October for gas. Sadia, you will want to reflect this
in what you are doing for Kyran/EES, and Kathryn, you will want to note this,
if Investor Relations is updating this data for analysts. Margaret, FYI to
you, too.

Second, I note that this decision was reached after being supported by a
studyby the Austrian Institute of Economic Research (WIFO), saying
liberalisation would bring down prices by 12-15%. Paul H., suggest you have
Viviana get a copy, and if in English, send copies to Margaret Carson.

Belgian cabinet has approved draft regulation lowering power threshold to
20GWh p.a. This goes to 10 GWh on 31 December 2002. Sadia, I think this is
again an acceleration, to be reflected in your updated numbers. Margaret and
Kathryn, also note.

Finally, Kyran, I see that EnergieNed has issued a study saying that there is
"not a direct relationship between efficiency and deregulation". I may take
issue with this, depending upon what the full text says. Can you work with
Teun/Sadia to obtain a copy, and, if not too lengthy, get it translated for
my review (and presumably your's, too)? thanks

Please do not hesitate to contact me should any of you have any questions.
thanks mcs