----- Forwarded by Jeff Dasovich/NA/Enron on 02/14/2001 02:03 PM -----

	"Ronald Carroll" <rcarroll@bracepatt.com>
	02/14/2001 10:24 AM
		 
		 To: <acomnes@enron.com>, <dfulton@enron.com>, <jdasovic@enron.com>, 
<jhartso@enron.com>, <jsteffe@enron.com>, <mary.hain@enron.com>, 
<smara@enron.com>, <snovose@enron.com>
		 cc: 
		 Subject: Fwd: SoCal Edison unsure banks will extend deadline


----- Message from "Tracey Bradley" <tbradley@bracepatt.com> on Wed, 14 Feb 
2001 07:58:32 -0600 -----
To:	"Paul Fox" <pfox@bracepatt.com>
cc:	"Alfredo Perez" <aperez@bracepatt.com>, "Andrea Settanni" 
<asettanni@bracepatt.com>, "Charles Shoneman" <cshoneman@bracepatt.com>, 
"Ronald Carroll" <rcarroll@bracepatt.com>
Subject:	SoCal Edison unsure banks will extend deadline
Tuesday February 13, 7:02 pm Eastern Time

SoCal Edison unsure banks will extend deadline

NEW YORK, Feb 13 (Reuters) - Embattled California utility Southern California 
Edison said on Tuesday it didn't know whether its bank lenders will extend 
their Tuesday deadline for the utility to clear up its credit line defaults.

``We don't have any indication'' the banks will extend their ``forbearance,'' 
said Ted Craver, chief financial officer of SoCal Edison parent Edison 
International (NYSE:EIX - news) in an investor conference call Tuesday 
afternoon.

Craver said the utility formally asked for an extension in a Tuesday morning 
conference call. Failure to get one could tip the utility much closer to 
bankruptcy, though Craver said the banks aren't looking to worsen the power 
crisis.

``My view of the relationship with the banks is that it's strong, and that 
they are, generally speaking, looking for ways to be cooperative and 
constructive in this process,'' he said.

SoCal Edison, California's No. 2 utility, and Pacific Gas & Electric Co., the 
No. 1 utility and unit of San Francisco-based PG&E Corp. (NYSE:PCG - news), 
are trying to avoid bankruptcy.

They have been unable to recover about $12 billion because of a rate freeze 
imposed under California's 1996 utility deregulation law, which has left them 
unable to pass on their soaring wholesale power costs to consumers.

SoCal Edison has about $800 million of debts due this week. On Thursday a 
grace period to pay about $206 million of principal and interest on a 
five-year note issue expires.

Pacific G&E and its parent are also in default of various credit lines.

Creditors including independent power suppliers Dynegy Inc. (NYSE:DYN - 
news), Mirant Corp. (NYSE:MIR - news) and Reliant Energy Inc. (NYSE:REI - 
news), meanwhile, are threatening to send both utilities into bankruptcy if 
they don't pay their debts.

Gov. Gray Davis and the state legislature are expected soon to create a plan 
that could allow the utilities to pay down some of their debt. Craver said 
``we're not betting the farm on getting a proposal'' by Friday.

Shares of Edison International, which is based in Rosemead, Calif., closed 
Tuesday on the New York Stock Exchange at $12.10, down 43 cents. PG&E shares 
closed on the Big Board at $12.30, down 25 cents.

Several bank lenders declined on Tuesday to discuss how they plan to address 
the utilities' defaults.

Bank One Corp. (NYSE:ONE - news), Citigroup Inc. (NYSE:C - news) and J.P. 
Morgan Chase & Co. (NYSE:JPM - news) are among PG&E's lenders, while Bank of 
America Corp. (NYSE:BAC - news), Citigroup and J.P. Morgan Chase are among 
the lenders to SoCal Edison and its parent.

``We do not comment on customer relations,'' said Bank One spokesman Tom 
Kelly. J.P. Morgan Chase declined to discuss the matter. Bank of America and 
Citigroup did not return phone calls.