Max:
Have you sent to Sara a copy of the LC?  If not, please do so ASAP.
 

Carol St. Clair 
EB 4539 
713-853-3989 (phone) 
713-646-3393 (fax) 
281-382-1943 (cell phone) 
8774545506 (pager) 
281-890-8862 (home fax) 
carol.st.clair@enron.com 

-----Original Message-----
From: Mellencamp, Lisa 
Sent: Tuesday, January 8, 2002 10:02 PM
To: Sonnonstine, Max; Hodge, Jeffrey T.; St. Clair, Carol
Subject: RE: Texex Energy Partners


did this get taken care of as not sure i understand all the facts??

-----Original Message----- 
From: Sonnonstine, Max 
Sent: Fri 1/4/2002 4:24 PM 
To: Hodge, Jeffrey T.; Mellencamp, Lisa; St. Clair, Carol 
Cc: 
Subject: Texex Energy Partners



Good Afternoon, 
        Credit has an issue with Texex Energy Partners that you should be aware of.  We received an amendment of an LC that reduces the coverage amount to $4mm and extends the expiry date to 1/15/02.  It covers physical MTM which we are in the money approx $2mm.  I assume that we are not performing on these contracts (some go out to 6/02), but Texex has not terminated.  I believe we should call Texex to extend the LC to protect the value of these contracts and if they refuse, we terminate and draw on the current LC.  Do you buy into this strategy?  Please advise at your convenience.

Thanks, 

Max Sonnonstine 
x58261