
Date: Thu, 4 May 2000 09:09:00 -0700 (PDT)
From: scott.mills@enron.com
To: chris.germany@enron.com
Subject: Re: Capacity question
Cc: thomas.engel@enron.com, dave.nommensen@enron.com, scott.goodell@enron.com,
judy.townsend@enron.com, dan.junek@enron.com,
colleen.sullivan@enron.com, brenda.fletcher@enron.com,
carrie.hollomon@enron.com
Bcc: thomas.engel@enron.com, dave.nommensen@enron.com, scott.goodell@enron.com,
judy.townsend@enron.com, dan.junek@enron.com,
colleen.sullivan@enron.com, brenda.fletcher@enron.com,
carrie.hollomon@enron.com

Depends on how the deals were entered originally.  If the sum of both deals
will make up the total expense that will be paid to pipeline, then the
waivers/discounts need to be included on both tickets.  If the tickets have
been entered by some other method, a review might be necessary.

Even though we know that we will pay the pipeline based on the net activity
across all deals, each deal will be treated independently in Unify when
determining the expense.  If two deals are entered assuming the tariff rate
applies, then later one deal is modified to a negotiated price, only the
volumes that are moved on the negotiated price deal will be valued this way,
the volumes that move on the other ticket will still be valued at tariff rate.

Hope this helps.

SRM




