RE:

i don't even know your salary now.

-----Original Message-----
From: Lambie, Chris
Sent: Friday, January 18, 2002 2:13 PM
To: Zufferli, John
Subject: RE:

Has there been any real explanation why it is no..... One small difference between the two is I am not talking about an equalization between C$ and US$ salaries. Mine is just simply a case of Enron paying under market because they could in the past. I don't believe that is the case anymore. Two years ago I was willing to accept less than market to see behind the curtain, but that is no longer the case. I am not saying that it needs to be in the UBS document, but I would need your word you would do everything in your power to fix it. If you can honestly tell me that I am paid the max. that is available to Directors I will drop it.

-----Original Message-----
From: Zufferli, John
Sent: Friday, January 18, 2002 1:57 PM
To: Lambie, Chris
Subject: RE:

I am reading your mail, I have asked for the same thing regarding my base. Especially since I came up here with a base salary converted at 1.48 CDN/USD and with no raise since being here at 1.61 CDN/USD I have received a 9% pay cut relative to my peers in Houston. Not to mention that my base salary is $50-$100 USD/year lower than what other shops are offering. However, after three attempts, I have been unsuccessful in championing my own cause.

-----Original Message-----
From: Lambie, Chris
Sent: Friday, January 18, 2002 1:51 PM
To: Zufferli, John
Subject:

Zuff

Just a quick note after my first look at the numbers. The only concern I have is with the base number. Seeing as there is no money up front, the future payments look a lot more like long term comp. than any real signing or retention bonus. When I came to Enron two years ago I took a $35,000 decrease in base pay in exchange for options and the opportunity to trade for number 1. That is no longer the case (no options and UBS is not #1) therefore I would look for my base to better reflect market on a go forward basis. If you are able to accommodate a reasonable adjustment in base I would be very excited about the opportunity to sign with UBS.

I would like to talk about this on Monday, after I have had a chance to look at the paper in full.

Chris.