Re:

Jeff,
I called Joe this morning and left him a pre-email voicemail on this. I
referenced the power of 100% focus and the accountability for someone driving
the earnings and his pressure to make earnings in trading and electricity.

I like your email and tone. I would like to recommend you add a statement
about Morten being very strong and that we aren't attempting to "own" him vs.
having a 100% dedicated weather guy. I would also add that you want to talk
him about this and how we could move quickly to complete our global vision
with tawney.

MIke

From: Jeffrey A Shankman on 02/07/2001 09:03 AM
To: Mike McConnell/HOU/ECT@ECT
cc:
Subject:

take a look
----- Forwarded by Jeffrey A Shankman/HOU/ECT on 02/07/2001 09:08 AM -----

Jeffrey A Shankman
02/07/2001 08:30 AM

To: Joseph P Hirl/AP/ENRON, Thor Lien/OSL/ECT, Paul Quilkey/ENRON_DEVELOPMENT
cc:
bcc:
Subject:

As Mike and I look across all of our business units, we continue to look for
optimal organizational structures that will enable each business unit to
achieve it's targets for 2001 and beyond. In our weather business, there
appears to be a lack of seamlessness. Reporting relationships, P&L, and
vision for this business are not best alligned as this business exists
today.

Mike and I would like to address this as follows: all employees in the
weather business will now become full time employees of EGM and report to
Mark Tawney. We need 100% full time dedication from each of these employees
in the weather business. It is obvious that the organizations and product
lines can lever each other and the synergies will provide powerful results in
our regional gas and power businesses in particular.

If you look at coal, lng, equities, etc, we have employees based in each of
your regions who report back into the appropriate business unit within EGM.
This restructure will similarly align weather.