Genco

Dave:
I was talking with my brother-in-law who is Kinder/Morgan's VP of Corp
Development and they would be interested in talking with us about
contributing their 5,000 MW's of generation into a JV/Partnership to lead
into a public offering. We are still under several different CA's with them,
due to our past conversation's regarding generation.
With our previous discussions, Rich Kinder had suggested to Kevin Hannon if
Enron would be interested in buying the whole Orion Project, but at that
time ENA was only interested in the first couple of projects, due to the
delivery of the turbines.
In light of our past discussions and KMI's desire to exit the generation
business, this JV would give them the perfect "exit strategy". Also, it
would give us a better growth strategy, with respects to our talks with other
parties. I know that bringing in a potential third party would complicate
the deal structure, but I think that it would build a much better growth
story to Wall Street.
If you think this would be a good idea, I can begin to set up a meeting as
soon as possible with Kinder/Morgan. Thanks!
Ben