SGT Reyna,

Definitely a good idea -- and one that EBS has flirted with a couple of 
times.  In early '99 the Network Development group sent me out to meet with 
military facilities managers along our proposed fiber route from Houston to 
Jacksonville.  I had a few good meetings, stocked up on cheap class six 
liquor, and reported back some interest from the Navy.  Unfortunately there 
was not much follow up from our sales folks (though it did begin our 
relationship with NASA).  

6 Months later a new vertical was set up at EBS to sell services to federal 
agencies, including the DOD.  The group piggy-backed their efforts with Enron 
Federal Solutions - the EES-esque vertical to outsource energy to military 
bases.  However, because of much legislative and regulatory uncertainty (Bob 
Frank can elaborate) the EBS tie-in never really took off with the EFS 
business.  

The upshot?  I think there is still a viable business there, especially if we 
can demonstrate massive cost savings to the DOD through our trading 
organization, but EBS has never fully engaged in a focused effort in this 
area.  The only way I see EBS at this point doing any significant deals with 
the DOD is if they create a better team - with federal government knowledge 
and a handle on military-speak to pursue these deals, or if EBS "falls into" 
opportunities through origination leads that come from our group  (much like 
the U.S. Space Alliance-NASA leads) or through ENA/EES.   A good idea -- 
difficult to execute.

Thoughts anyone?

SPC Bolton





	Margo Reyna@ENRON
	11/30/00 08:41 AM
		 
		 To: Sue Nord/NA/Enron@Enron, Scott Bolton/Enron Communications@Enron 
Communications, Marchris Robinson/NA/Enron@Enron
		 cc: 
		 Subject: Just an Idea

Although it is altogether different from the electric industry, is it 
possible that EBS could realize significant commercial opportunities if it 
were to look into providing broadband services to military bases?

Margo Reyna
Regulatory Analyst
Enron Corp., Government Affairs
Phone:  713-853-9191