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Enron Mail |
The "bid" is for an EPC Contract with the equipment. The implied bid for the equipment is -$16.7MM. The implied margin in the EPC Contract is $32MM plus $11MM of contingency. If the risk/reward on the EPC contract is reasonable, then this seems like a great deal. At the same time, we will attach a Turbine LOI to the EPC LOI making it clear to Allegheny that we can offer the turbines on a stand alone basis. Should we offer at the $10MM discount or are you OK with -$16.7MM? Ben and I would hit a -$16.7MM bid. This would probably close this in January, but we ould try to get a turbine down payment in December.
Chris Calger 503-464-3735
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