Cash collateral in Canada

Carol: Hope all is well. We are missing you every day.

(1) On a "swap" related note, we have a Canadian party requesting the
ability to post cash collateral to ENA. Can you recall where we left off on
the issue? I seem to remember conflicting advice (Peter's insistence upon
the Stikeman memo and ENA simply not agreeing to accept cash) and uncertainty
as to how ENA could perfect its interest and what law governs (in cash held
in a U.S. account).

(2) On a "credit" related note, I was forwarded the 7/24/00 Margin Exception
Report (originally sent to your attention). What were you doing to follow up
on this report? Yesterday, Mary gave me a copy of a "collateral letter"
being sent by Molly Harris. Did you speak with Mary about working on this
project in your absence?

Edward Ondarza is moving to EBS. Stephanie Panus starts on Monday. That's
all the news for now.

Talk to you soon. Sara

P.S. Can you send photos over the net?