I made the decision last week to disband the Strategic Initiatives team which 
reported to Mary Solmonson within my organization.  The group was led by a 
director, and consisted of 2 managers, 1 senior specialist and 4 
specialists.  The employees were made aware of this decision last Friday 
afternoon.  My HR rep was on hand to explain the help that all will receive 
in finding new assignments within Enron through the Enron Corp. Re-deployment 
Team.  Mary Solmonson continues as one of my direct reports, focused on 
CommodityLogic and our business development efforts regarding the 
commercialization of mid and back office services.  

As part of my on-going effort to deliver both the best value and quality of 
service within Energy Operations, I reviewed core versus non-core activities 
within my team.  I am committed to investing appropriately in people 
resources to support core activities.  And I believe that we can become even 
more effective if investments in non-core activities are eliminated.    The 
role played by the Strategic Intiatives team in coordinating systems projects 
will be more appropriately shouldered by the IT project leads and the 
respective business sponsors/end users.  The "middle-man" role played by the 
Strategic Initiatives team had ceased to deliver appropriate value.  

I wanted you to be aware of my decision in case you hear anything about the 
re-deployment effort.