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Enron Mail |
---------------------- Forwarded by Brent Hendry/ENRON_DEVELOPMENT on
24/08/99 02:18 PM --------------------------- D'Arcy Carroll 24/08/99 05:44 PM To: Andrea Bertone, Brent Hendry/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT cc: Claudia Brun, Don Black Subject: Champion - legal Pls find overview listed re ECE-Champion-Elektro transaction: ECE selling equivalent of 3MW (Peak- and Off-peak) energy eg consumption take-or-pay for period Sep - Oct - Nov Price will be R$42.75 which represents 5% discount to present average Elektro rate of R$45 ECE wants to adjust on a monthly basis the R$42.75 sales price downward should the price of PPI UK A$ cut size 80g index or the PPI UK A4 Reels 60g index average below Strike Price x (Pounds per Metric Ton). The adjustment will be based on formula: Avg. Monthly hedged volume * (Index avg-Strike Price) * R$/Pound spot price We are trying to finalize negotiations this afternoon re both the energy sale and the incorporated index and strike etc.,... and should feel like we have substantial flexibility to articulate how best to structure the transaction. Pls shoot any/all inputs including needs for additional information.
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