Any interest?
----- Forwarded by Steven J Kean/NA/Enron on 11/01/2000 03:38 PM -----

	"Vidar J. Jorgensen" <vidar@worldcongress.com>
	10/31/2000 05:27 PM
		 
		 To: "Steve Kean" <skean@enron.com>
		 cc: 
		 Subject: GlobalCashExchange can establish Enron with corporate CFOs and 
treasurers worldwide



Dear  Steve,
?
I am sending this to Jeff Skilling, but?I wanted  to send you a copy as well 
to make sure it got into the right hands.? This  is a big idea that Enron is 
especially well positioned to benefit from.? I  will telephone you to follow 
up.
?
Sincerely,
?

Vidar J. Jorgensen 
Global Cash  Exchange
500 West Cummings Park 
Suite 5200 
Woburn, MA? 01801
P:? 781-939-2572
F:? 781-939-2574
Cell P:? 781-929-2965
vidar@cbinet.com
?
?




?

?

October 31, 2000 

Mr. Jeffrey K. Skilling P: 713-853-6161

President & COO F: 713-646-8381

Enron jeff.skilling@enron.com 

1400 Smith Street

Houston, TX 77002


E-Mail Subject: GlobalCashExchange can establish Enron with corporate CFOs  
and treasurers worldwide


Dear Jeff:

I have worked with Ken Lay and others at Enron through the World Economic  
Development Congress where we brought together ministers of finance and oil  
immediately prior to the IMF/World Bank Meeting. 

InfrastructureWorld, of which I am co-founder and vice chairman, has 
recently  received $10 million each in funding from the IFC division of the 
World Bank and  Bechtel. GlobalCashExchange is a separate, but related 
business. We have the  plan, the experienced management team and proven 
technology, and we will be  selecting major financial institution as a 
partner. 

At the request of our corporate CFOs we are developing an internet based  
exchange for foreign exchange, short-term cash and credit that could give 
Enron  a powerful product to sell to corporations worldwide. I have attached 
and  executive summary and a business plan. I would like to discuss this with 
you at  your earliest convenience.

Major sources of trade, development and investment friction and inefficiency  
in large developing countries in particular include the facilitation of 
foreign  exchange, short term cash, credit and working capital transactions. 
This is a  source of high cost and frustration even for major global 
corporations, and for  middle and smaller corporations these are even greater 
burdens. Today there are  no reliable and continuous flowing price sources 
for softer currencies as there  are for hard currencies. Even the larger soft 
currencies like the Real or Rupee  are quoted only 3 to 4 times a day on 
Reuters, and the only spot quotes are  available from traders who are 
motivated to benefit from a large spread. The  GlobalCashExchange will allow 
buyers to transact at the middle of the interbank  spread. There are lots of 
Internet based foreign exchanges, and none that I have  actually seen support 
buyer to buyer transactions.

GlobalCashExchange will develop an Internet based exchange for foreign  
exchange, short term cash and credit. The goal is to reduce costs of such  
transactions. Global Cash Exchange can also greatly enhance capital 
formation  and the formation of local capital markets in developing 
countries. This is a  large and complex undertaking where we will need to be 
partnering with one or a  group of major financial institutions like 
Citibank, Cantor Fitzgerald, State  Street Bank, Schwab and the World Bank. 

As you know, the Foreign Exchange (FX) market is the largest and most  
participated financial market in the world with over $1.5 trillion exchanges  
daily throughout the world. There is no central market place for FX  
transactions: all FX transactions are conducted through a network of banks,  
dealers and brokers. Approximately 2/3 of FX transactions involve banks 
dealing  directly with each other. The potential market for short term cash 
and credit  --which will ultimately reduce the need for foreign exchange 
transactions -- is  even larger.

We are funding this internally and are starting to develop outside investor  
support. We have established great partnerships with organizations such as  
Standard & Poor's and Medley Global Advisors  (http://www.medleyadvisors.com
), for ratings and content on the site, VMAC (a  division of FSA that has 
patented the concept of providing pooled credit  enhancement facilities 
http://www.fsa.com), for revolving credit enhancement  facilities and 
Gen3Partners (http://www.gen3partners.com), for strategic and  technological 
advice. Transactions that cannot be matched can be cleared through  
Deerhurst, a leading foreign exchange fund manager who has agreed to provide  
liquidity from day one. We also know that we can purchase insurance for 
around  $7 billion of annual transactions for just under $1M a year. GCX is 
now at a  point that it has answered most of the questions that we had. We 
have a  commitment from Ashton Technologies for full build out of SEC 
approved  technology in exchange for equity. This technology has been used 
successfully  for more complex securities transactions and allows for many 
equity market  facilities that Forex markets do not currently have such as 
reserve book, limit  order and so forth. A description of the Ashton 
technology and an executive  summary that we use for our corporate clients 
are attached. 

We have good corporate support through World Research Advisory (WRA), an  
affiliated provider of research for corporate treasurers. WRA supplies 
Gartner  and Forrester type subscription research and advisory services to 
global 2000  companies. The contact list includes the CFO's of the following 
companies, many  of whom have agreed to participate in the Global Cash 
Exchange:
 

ALCOA  
ALLSTATE INSURANCE COMPANY  
AT&T  
BELLSOUTH CORPORATION  
CHUBB CORPORATION  
CNF TRANSPORTATION, INC.  
COMPAQ  
CONTINENTAL AIRLINES, INC.  
DELL  
DUPONT  
DYNEGY, INC.

EXIDE CORPORATION

FDX CORPORATION  
FEDERAL RESERVE BANK OF CHICAGO  
FORD MOTOR CORPORATION  
FPL ENERGY, INC

GENZYME CORPORATION  
GILLETTE COMPANY  
HALLMARK CARDS INC.  
HEWLETT-PACKARD  
INTERNATIONAL PAPER  
KPMG  
LOCKHEED MARTIN CORPORATION  
LITTON INDUSTRIES  
LUCENT TECHNOLOGIES  
MASTERCARD  
MCDONALDS CORPORATION  
MERCK & COMPANY  
MERISEL, INC.  
MICROSOFT CORPORATION  
MOTOROLA, INC.  
NORDSON CORPORATION  
ORACLE CORPORATION  
PECO ENERGY COMPANY  
PEOPLESOFT  
PEPSICO, INC.  
PHILIP MORRIS COMPANIES INC  
PPF INDUSTRIES  
RYDER SYSTEM, INC.  
SCHOLASTIC CORPORATION  
SEAGATE TECHNOLOGY, INC.  
SEALY, INC.  
SIEMENS  
SONOCO PRODUCTS CO.  
SUN MICROSYSTEMS  
U.S. POSTAL SERVICE  
WESTINGHOUSE

 

So we have willing and interested contacts at Global 2000  companies.
 

I will telephone you to follow up. I can be reached by telephone at  
781-939-2572, by fax at 781-939-2574 and via e-mail at  
v.jorgensen@worldcongress.com.
 

Sincerely,

?

Vidar J. Jorgensen

GlobalCashExchange
 

Attachments: 

1. IFC World Bank Press Release (00-0926-06)

2. Ashton Technology Product Description (00-1025-03)

3. Executive Summary for prospective corporate clients (00-1018-06)

4. GCX Business Plan 


cc: Kenneth Lay

Chairman and CEO

Enron Corporation

1400 Smith Street

Houston, Texas 77002

P: 713-853-6088

F: 713-853-3129
	
	Donald Lassere
	
	President 
	
	Enron Broadband Services
	
	1400 Smith Street
	
	P: 713-853-6341
	
	F: 713-646-8795
	
	donald_lassere@enron.net
	
 

00-1031-03/jm

 - 00-1031-03.doc
 - 00-0926-06.doc
 - 00-1018-06.doc
 - 00-1025-03.doc
 - gcxbusinessplan (3).doc