EOL Regulation - CFTC or FERC?

As you are all probably aware, FERC staff will be conducting a visit to Enron
next Monday to discuss EOL and electronic trading's role in the energy
markets. Dave Forester, Kevin Presto, and Phillip Allen will be giving
presentations about the EOL platform, power trading, and gas trading,
respectively.

In preparing for the meetings, the issue of which agency, CFTC or FERC,
regulates the EOL platform and any energy related financial products sold by
Enron (everyone agreed that physical deals through EOL were FERC
jurisdictional) came up.

It is unclear about Enron's current position. While there is a strong case
that both the EOL platform and any energy related financial products are
regulated by the CFTC, some people believed that Enron had previously
informed FERC that they were the "appropriate" agency for the energy related
financial products.

We do not intend to make an issue of this topic with the FERC staff on
Monday, but rather wanted to make sure that everyone was on the same page
going forward.

Please let me know if we need to have a meeting to bring this to closure.

Jim