Importance:  High
---------------------------------


Here is Randy's reply,  I think he handled the issue fairly clearly.  Should 
I forward this to Don and Fede as a "FYI" as well?  Do you want to forward 
this to Sara?  I will be talking to her later today to discuss the proposed 
deal and I will call Andrea Bertone today to discuss coordination of issues.

How was the All Employee Meeting?

---------------------- Forwarded by Brent Hendry/ENRON_DEVELOPMENT on
14/07/99 10:25 AM ---------------------------


Randy Young
14/07/99 01:01 PM

To:   Scott Porter/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc:   Brent Hendry/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Andrea 
Bertone/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Andrea
Calo/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
Subject:  Re: Financial Trading in Brazil  (Document link: Brent Hendry)

Sara Shackleton is in the trading group in Houston.  She is in the same legal 
group as Brent Hendry and Andrea Calo.  To my knowledge she is not dedicated 
100% to South America.

I would be happy to share with you what I know about how the reorganization 
will impact the legal department structure.  Please come by the office when 
you can.  As it relates to trading activities in the region, it does not 
appear that there will be any material change in the structure.  Brent and 
Andrea Calo will continue to report to a trading group ultimately headed by 
Mark Haedicke.  We will continue to work closely together in the way we have 
been.

On Brazil matters, continue to go to Andrea Bertone as the "generalist." When 
we have financial or other trading issues, Brent Hendry (and whomever else he 
thinks appropriate in Houston or elsewhere) will be involved.  Brent, Andrea 
B and Andrea C are communicating virtually every day; therefore, I would just 
assume Andrea and Brent are communicating on each deal.  Feel free, however, 
to call Brent directly if you like.  Andrea Bertone is given the "point"  for 
the convenience of your guys.  She is not to function as the
"gatekeeper."

Brent and I are together on this, and I spoke with him today. Hope this is 
helpful, but let's discuss.

Regards,
Randy



Scott Porter
07/14/99 01:23 AM

To:   Brent Hendry/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Randy
Young/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc:

Subject:  Financial Trading in Brazil

Who is this lawyer and who do they report to?  Are they dedicated 100% to 
South America?  Can someone explain to me how the recent reorganization will 
impact our legal department structure, especially with regard to support for 
trading activities in the region.  Thanks.

Scott
---------------------- Forwarded by Scott Porter/ENRON_DEVELOPMENT on
07/13/99 10:22 PM ---------------------------


Andre Cangucu
07/13/99 01:37 PM

To:   Gustavo Junqueira/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Michael 
Guerriero/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, David S 
Reinfeld/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Allison 
Venditti/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Maria Ines 
Granado/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Scott 
Porter/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Idel 
Metzger/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Corbin 
Barnes/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Ricardo 
Lisboa/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Marcelo 
Parodi/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Claudia 
Brun/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, D'Arcy 
Carroll/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Andrea
Bertone/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc:
Subject:  Financial Trading in Brazil

Thanks Sara.

I'm talking about OTC commodity swaps (kraftliner paper). Gustavo will be 
probably contacting you in the next days to get more information about that 
since I will be moving to Houston. I will be rotating into the former EI 
Structuring Group (Commodity Price Risk) starting next week. Let's see if we 
can seat together the next or the following week so I can give you some 
details of the financial prepay and why we need a separate swap.

Regards,

Andre
---------------------- Forwarded by Andre Cangucu/ENRON_DEVELOPMENT on
07/13/99 03:30 PM ---------------------------


Sara Shackleton@ECT
07/12/99 05:05 PM

To:   Andre Cangucu/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc:   Brent Hendry/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT

Subject:  Financial Trading in Brazil

Per my voice mail, please contact me regarding swaps and other derivative 
activity in Brazil.   I am replacing Yao Apasu as the Houston based trading 
lawyer.  Houston/Buenos Aires  have been in contact with lawyers at Tozzini 
regarding financial trading matters.  Would like to discuss issues with you. 
Are ;you talking about OTC or exchange traded swaps?  commodity?  equity or 
fixed income?  Please call and send your fax number.  Thanks.  Sara

phone:     713/853-5620
fax:            713/646-3490