Tim 

Give me a call on this I don't understand.

John

 -----Original Message-----
From: 	Belden, Tim  
Sent:	Wednesday, February 14, 2001 5:25 PM
To:	Lavorato, John; White, Stacey; Beck, Sally; Beth Perlman/HOU/ECT@ENRON; Nat, Steve
Subject:	Potential Gas System Exposure

For some period of time, various West Power desks have been the default desk which received gas positions for new books that were not properly setup in TAGG.  I have worked with our risk team and the techology group to get West Power out of this problem.  I'm happy with the result from the West Power point of view.  

I am writing to alert you that one half of the problem still exists.  If someone does a gas deal and hasn't set up a new book properly and doesn't carefully track his/her position, the trade goes into a dummy book that nobody manages.  Days, weeks, or months later you discover the trade and take the hit or the gain.  I think that this risk is real because we were the ones finding the misplaced gas trades before -- not the gas desk with the misplaced trade.  Now nobody will find them unless the gas trader realizes that some of his/her position is missing.

These are the facts as I understand them.  I'm sure that Stacey White, Steve Nat, and Monica Lande could fill you in with more detailed information.  Let me know if I can be of further assistance.
---------------------- Forwarded by Tim Belden/HOU/ECT on 02/14/2001 02:18 PM ---------------------------

 
Monica Lande
02/14/2001 02:34 PM
To:	Tim Belden/HOU/ECT@ECT
cc:	Fran Chang/PDX/ECT@ECT, Valarie Sabo/PDX/ECT@ECT, Samantha Law/PDX/ECT@ECT 
Subject:	RE: Remaining problem with West tot   << OLE Object: StdOleLink >> 

Tim,

Steve has described the problem accurately.  Setting up a dummy book solves the problem for us, but not for Enron as a whole.  If no one monitors the dummy book on the daily basis (which probably won't happen if there is no ownership), then you still have the possibility of positions falling into that book and never showing up in the book that they were intended.  Why can't a process be put in place for the initial set-up of a book in TAGG?

Monica


To:	Fran Chang/PDX/ECT@ECT, Monica Lande/PDX/ECT@ECT, Valarie Sabo/PDX/ECT@ECT, Samantha Law/PDX/ECT@ECT
cc:	 
Subject:	RE: Remaining problem with West tot

do you guys agree?
---------------------- Forwarded by Tim Belden/HOU/ECT on 02/14/2001 01:23 PM ---------------------------
From:	Steve Nat/ENRON@enronXgate on 02/14/2001 03:49 PM CST
To:	Tim Belden/HOU/ECT@ECT, Stacey W White/HOU/ECT@ECT
cc:	Beth Perlman/ENRON@enronXgate 
Subject:	RE: Remaining problem with West tot


Tim,  The root problem was related to the default mapping logic in the 'interface' job that moves the ERMS gas calc results to the portcalc results tables.  If mapping logic is not set up for a new book, the job was defaulting the gas deals to the ST-PLT desk.  The default mapping has been changed to a dummy  ZZ_erms book, which will prevent the deals from showing up in the wrong book if the mapping logic is not updated.

In reference to Beth's concerns... turns out this was a limitation in our production code, not an IT change to production data, so we should be OK on that front.  

The long-term solution would be to remove the hard-coded logic, set-up table structures, and maintain the mapping rules through a user screen.  Given our other priorities, and the default logic change, we will not pursue this option.

Let me know if you have any other questions or concerns.

Steve

 -----Original Message-----
From: 	Belden, Tim  
Sent:	Wednesday, February 14, 2001 11:49 AM
To:	White, Stacey
Cc:	Perlman, Beth; Nat, Steve
Subject:	RE: Remaining problem with West tot

thanks for the concise description of the problem.  i should have cc'd you on the original message.  your description is much better than mine.  now that beth has a better understanding of the issue, how long will it take to get solved!?


To:	Beth Perlman/ENRON@enronXgate @ ENRON
cc:	Tim Belden/HOU/ECT@ECT, Steve Nat/ENRON@enronXgate@ENRON 
Subject:	RE: Remaining problem with West tot   << OLE Object: StdOleLink >> 

The problem is not that we should enter a reversing trade in the system as this would misrepresent the positions across the board.  The problem is that the position belongs to another book within Enpower.  The users have no access to the screens which define where our gas books are mapped in Enpower; therefore, IT has to manually define the correct mapping for us.  When the manual fix has not been made, we have true positions for one book mapped to another book.

Stacey


From:	Beth Perlman/ENRON@enronXgate on 02/14/2001 11:14 AM
To:	Tim Belden/HOU/ECT@ECT, Steve Nat/ENRON@enronXgate, Stacey W White/HOU/ECT@ECT
cc:	 
Subject:	RE: Remaining problem with West tot

Tim,

Sorry about this.  A better question to ask is why are systems people manipulating data?  Why can't the users put on a reversing trade?  I'm having fits about IT resources touching production data and I can't tell you how many times we screw ourselves up because IT does this. 

I'll let you know the end result.  Sorry again, but these practices have to stop!

Beth

 -----Original Message-----
From: 	Belden, Tim  
Sent:	Wednesday, February 14, 2001 7:59 AM
To:	Beth Perlman/HOU/ECT@ENRON
Subject:	Remaining problem with West tot

words cannot describe how distressing this problem is.  in terms of mis-reporting our risk, we are dropping mmbtu's from some other book into our book as mwhs.  mmbtus go for around $10.  mwhs go for around $400.  why is this problem so hard to fix?
---------------------- Forwarded by Tim Belden/HOU/ECT on 02/14/2001 04:58 AM ---------------------------

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Fran Chang
02/13/2001 06:27 PM
To:	Tim Belden/HOU/ECT@ECT
cc:	Monica Lande/PDX/ECT@ECT, Valarie Sabo/PDX/ECT@ECT, Samantha Law/PDX/ECT@ECT 
Subject:	Remaining problem with West tot

Tim:

Please note that as of 2/13 there will still be 1,321 MWhs of Nymex Swap position in ST-PLT book (COB) which is yet to be cleared out by IT.   I have sent out an email to Norman Lee in IT and will follow up with him to make sure this problem is removed asap.  (The "unknown" position of the -311,354 MWhs showing up on 2/12 has already been taken cared of.)  

Regards,
Fran
x7973
















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