John,

I assume that you are working Marsha's values into our analysis of Southern 
Co.'s rate from Zone .  The Southern Co./Sonat transportation contract has 
the following discount rate.  

 Term     Rate
 June 2004 - May 2007   .1973
 June 2007- May 2012   .2219 plus GDP not to exceed 3% in any year
 June 2012 - May 2017   GDP w/no cap not to exceed max rate of $.2663

Max Rate from Zone 1 to 2 is $8.10 or $.2663 which would be the absolute cap 
unless Sonat raised rates during the term of the Southern Co/Sonat contract.

When are we going to meet tomorrow to go over this?  I'm open in the morning 
if ok with you and Breese.

---------------------- Forwarded by Phil DeMoes/Corp/Enron on 12/13/2000 
01:23 PM ---------------------------
   
	
	
	From:  Marsha Francis                           12/07/2000 01:38 PM
	

To: Phil DeMoes/Corp/Enron@ENRON
cc:  

Subject: US GDP Deflator 12/06/00

Phil,

Attached is the GDP curve. Let me know if there is anything you need me to do 
as far as incorporating this into a model.


Marsha 
---------------------- Forwarded by Marsha Francis/Corp/Enron on 12/07/2000 
01:34 PM ---------------------------
   Maureen Raymond                12/07/2000 09:51 AM

Sent by: Yana Kristal
To: Marsha Francis/Corp/Enron@Enron
cc:  
Subject: US GDP Deflator 12/06/00

Attached is the US GDP deflator forecast dated 12/06/00.


Regards,
Yana Kristal for
Maureen Raymond- Castaneda