EOL Products

please print.
---------------------- Forwarded by Jeffrey A Shankman/HOU/ECT on 10/23/2000
03:33 PM ---------------------------

Jim Goughary
10/23/2000 02:51 PM
To: Jeffrey A Shankman/HOU/ECT@ECT
cc:
Subject: EOL Products

Following are my sugestions for the next three EOL gasoline products;

1. 2nd month NYMEX UNL
2. MTBE front month swap, U S Gulf fixed price.
3. Cal 02 UNL gasoline crack spread (this one probably requires VAR increase)
4. WTI swaps that match the timing of our gasoline and HO cracks. This gives
customers the option to convert crack spread positions to fixed price
gasoline and HO swaps through EOL.

Regarding long dated gasoline positions we are long 75 kb per month cal 02
gulf coast gas cracks which probably won't move much in value until
march/April 01. I view this position as very low risk and good profit
potential but this position does tie up VAR. If marketing can sell at $3.80
or better happy to get out of this for now. This is the only long dated
position in my book.