Enron Mail

Subject:Update - May 25, 2001
Date:Fri, 25 May 2001 14:33:38 -0700 (PDT)

On Thursday, May 25 you were repaid $2,535,786.72 from the refinance of Da=
vid's home ($1mm) and my home ($1,535,786). We forwarded the funds to pay=
down your personal Bank of Amercia (BA) LOC. The Family Partnership had t=
o borrow from your personal line at BA $200,000 to cover the $588k cash ca=
ll for SRE properties. With today's closing prices, the Family Partnershi=
p's available BA line is between $25k-$50, which is an estimate because mu=
tual funds don't post their NAVs until around 5pm (Central time). That ma=
kes the Partnership's total payable to KLL/LPL personal line at $1,303,50=
I contacted the guys regarding the BBT Fund (Bass family). Per our conver=
sation, I told them that the timing was bad, but we did not want to miss o=
ut before they close the fund. I indicated that our initial investment wo=
uld be the following: KLL/LPL personal $250,000; KLL & LPL Investments, Lt=
d. $100,000; Foundation ? (possibly $100,000). The initial investment amo=
unt for the partnership, and possibly the foundation, are about as low as =
we can go if we want to get into the fund. I am aware that the Foundation=
is waiting to as long as possible to pay out any contributions os I wasn'=
t sure if we wanted to make something happen there. Also, I indicated tha=
t we would prefer to fund as late as possible, which looks like July . I=
f we decide on doing something in the foundation they have an Offshore Par=
tnership to eliminate the tax implications of UBIT. The Offshore Partners=
hip is run exactly the same as the Onshore version, but is unitized and pa=
ys a dividend rather than distributions to the investors. Let me know if =
the amounts (above) to invest are okay with you and if you want anything i=
n the Foundation.