Kinko's comments

Richard- I am talking with Larry at Kinko's today at 4 pm to address the comments he has outlined in the file below
I need your help in addressing his change of language request (see 2.8 Last few sentences under Contractual comments)
He does not want us to keep the potential credits from green power-see his comment on page 2 of document below
Can you help me address this with him?
Please give me a call - I don't think it is necessary for you to have to sit thru the call with us this afternoon on all other comments
thanks
Kay
---------------------- Forwarded by Kay Quigley/HOU/EES on 09/17/2001 11:05 AM ---------------------------

"Larry Rogero" <LarryR@kinkos.com< on 09/07/2001 10:27:28 PM
To: <kquigley@enron.com<
cc: <LizaM@kinkos.com<, <TeresaR@kinkos.com<
Subject: Re: 1 year pricing

Kay,
Thanks for the one year proposal. It will be beneficial in moving our decision process forward.

I have attached Kinko's comments to the Enron Sales Agreeement for power in TX. I have divided the comments into three separate sections: Administrative, Contractual and Clarification Questions/Comments. At first glance it might seem like a lot, but once you get a chance to review it, you will see there are really only a handful of issues we need to iron out. I will give you a couple days to review it, then I would like to try and set-up a conference call some time later this week with both of our Legal Departments involved.

Thanks for your help to date, and I'm looking forward to making this agreement beneficial for both our firms.

Take Care,
lr

<<< "Kay Quigley" <kquigley@enron.com< 09/07 3:06 PM <<<

Larry, I have revised pricing behind all 4 utilities to reflect a one year term.
Please keep in mind that the shopping credits or PTB are estimates- these
numbers
will not be finalized for these utilities until early October. Since we are now
talking an October
close date, we cannot start services until Dec. which will only give you a one
month discount.
I would recommend we just price the deal assuming no discount (might be lower
fixed gen rate)
and just start services 1/1/02.
I would rather not refresh the 3 year pricing unless you really need it because
it makes more
sense for us to do it when we are ready to execute. You can just assume the
pricing I sent to
you 8/20 is about a $1.00 Mwh lower than what is shown for fixed gen.
Thanks
Kay
(See attached file: kinko's proposal-revised 1 year term.xls)

- Kinko's Comments to Docs of 8-23.doc