No issues from an accounting structuring perspective.  

Since we are exercising the purchase option, I assume Enron is comfortable 
putting four turbines on the balance sheet (actually netted in Costs in 
Excess of Billings/ Billings in Excess of Costs pursuant to accounting for 
construction contracts).

If you have any questions, please let me know.

Thanks.


   
	Enron Global Finance
	
	From:  Catherine Clark                           11/27/2000 11:28 AM
	

To: Ben Jacoby/HOU/ECT@ECT, David Leboe/HOU/ECT@ECT
cc: Eric Boyt/Corp/Enron@Enron, Sheila Tweed/HOU/ECT@ECT, Kay 
Mann/Corp/Enron@Enron, Lisa Bills/Corp/Enron@ENRON, robtaylor@akllp.com 
Subject: Austin Turbine Take-Out from West LB

Re: Purchase Option Assignment and Assumption Agreement for Austin turbines
I've added the equipment description in Schedule 1 and changed the date of 
the agreement to November 30, 2000 (see attached redlined version).
Ben/Eric - can you verify that my unit numbers in Schedule 1 match your list 
of unit numbers?
David - can you sign off on this for accounting?
Once we have sign-off from accounting, we can circulate the document once 
more with Winston & Strawn.  Hopefully it should be in pretty good shape by 
tomorrow.  Thanks,
-Catherine
x3-9943