Enron Mail

From:w..delainey@enron.com
To:s..muller@enron.com, jeremy.blachman@enron.com
Subject:FW: Contract sale idea
Cc:don.black@enron.com, john.lavorato@enron.com, janet.dietrich@enron.com,lamar.frazier@enron.com, vicki.sharp@enron.com, dan.leff@enron.com
Bcc:don.black@enron.com, john.lavorato@enron.com, janet.dietrich@enron.com,lamar.frazier@enron.com, vicki.sharp@enron.com, dan.leff@enron.com
Date:Tue, 27 Nov 2001 13:45:38 -0800 (PST)

Guys, I think Don has a good idea here - but it needs to be managed prudently.

a) Mark who do we talk with in Dynegy to inform them that we are selling or otherwise disposing of material contracts or assets of EES?
b) Jeremy, it is important to have a view on the viability of getting these customers to agree to an assignment and releasing us on confidentiality issues so that we can approach dealers/producers/utilities with a tight book?
c) Vicki, clearly legal issues on the contract (ie) confidentiality, assignability, DASRing or assignment in a post non-deregulated California, etc.

These issues need to be vetted before we approach any producers.

The idea is to raise significant cash quickly

Please respond ASAP.

Regards
Delainey

-----Original Message-----
From: Black, Don
Sent: Tuesday, November 27, 2001 3:19 PM
To: Delainey, David W.
Cc: Lavorato, John
Subject: Contract sale idea
Sensitivity: Confidential


Over $50mm listed below.

I think Sempra or one of the producers would have interest in buying these contracts (obviously with a haircut)

I will wait to hear from you how to move forward. Thanks


CntrParty_NM CG_NM MTM
Newark Group Inc., The CA-PG&E 10,229,801
Sutter Health System Procurement CA-PG&E 8,626,295
Tissurama Industries, Inc. CA-SOCAL Gas 4,600,862
Lockheed Martin Corporation CA-PG&E 4,451,494
Nissin Foods (USA) Co., Inc. CA-SOCAL Gas 4,204,934
Castaic Clay Manufacturing Co. CA-SOCAL Gas 4,049,547
Chroma Systems Partners CA-SOCAL Gas 3,926,683
Bay City Flower Co, Inc. CA-PG&E 3,361,741
Paradise Textile Corp. CA-SOCAL Gas 3,235,771
U.S. Dyeing & Finishing, Inc. CA-SOCAL Gas 3,076,664
Huntington Memorial Hospital CA-SOCAL Gas 2,957,537