Enron Mail

Date:Wed, 16 Aug 2000 09:31:00 -0700 (PDT)

Per our meeting today, I spoke with Sherrie about lines of credit at
(PaineWebber) PW.? We have about another $5 million available with a little
bit of cushion.? I also spoke with Rocky about how they arrive at their loan
to value calculations and he is going to have me talk with the person in
that department to walk me through it.? Regardless of how much that number
moves, I told Sherrie that you would like to know where it stands at the
time she provides the information for all of the other lines.? I told her
that we should have that updated once a week.
I also?thought it would be good?within the?partnership to borrow against the
PW accounts, which include Fayez, Cypress, Eagle, and Harris Bretall for
some of these private investments.? The combined gross value is at $2.5
million so that would allow for an additional $1.25 million to be borrowed
at 50% loan to value.? It may be a higher number, but with a small cushion
that is probably a good estimate.? I talked to Rocky about this and he said
it would be no problem and he would give us the same rate 70 basis points.
With regards to rates and the PW/UBS merger, Rocky said that he thinks that
he can get our borrowing rate down from 70 basis points plus LIBOR to 20
basis points plus LIBOR come this November when the merger is completed.
I have Rocky working on much better reports, like that which was provided to
be by Mueller/O'Shaughnessy at MSDW.? I told him that they needed to work on
what they have?been providing to me.? I have not been impressed with the
last couple of reports he has produced so that is why you haven't seen
them.? Rocky informed me that?he has sense gone out and purchased a better
system for that purpose.
I also told him that I would like an update on the performance reports that
are run on managers, specifically ours.? Also,?I am having him include
managers that invest in Latin America.? I though it would be good, since
Robert Day of TCW has been positive about that?geographic area.
With regards to any future selling of personal Enron stock, Rocky recommends
selling within your?retirment plan since the taxes are deferred and
diversify within it.? Maybe set-up some of the managed accounts here.? I
inquired about the Enron 401(k) plan?with regards to any additional choices
to be offered.? He said that he?was in talks with the people at Enron who
handle it, but nothing would probably happen anytime soon.? I don't know if
that meant he was implying a need for a push from?Enron's upper management?
to make it happen.
I know that Sherrie is working her tail off to try and get you the July
Financials before your trip.? I know she is planning on staying late to get
it completed.? I told her that you want them before you depart on your trip
I think that that is all for now.
- Beau