Ed,

Gerald, Joe and I meet today at 3:30pm regarding MCV. It was decided that we still need to continue to cure the contract. According to our accounting group they have been paid for December and November. I spoke with Lee Smith today at 3:50pm. He said MCV will have nominations in place to accept supply for the month of February. We are looking to buy gas from the following counterparties. MidAmerican, Nicor Enerchange L.L.C., and Sequent.

Sylvia