John:

Camargo Correa is a construction company in Brazil who recently received an allocation of energy from a plant as a bonus for early completion of the hydro facility.  The plant is located in the south, but the company thought that they could deliver energy in the southeast due to a regulatory exception.  Last week, we offered them a R$80/MWhr floor in exchange for 50% of the spot price upside above the floor (11 months out of Feb 02) or a fixed price of R$110/MWhr for approximately 100 average MWs.  This was the best offer they received, but have since come back stating that they can only deliver in the south.  We revised our offer for the south to R$70 and R$110 for the floor and fixed price respectively.  We are seeing some politics creep into the deal and I think the probability is decreasing.

Brett


From:	John J Lavorato/ENRON@enronXgate on 05/22/2001 07:38 AM CDT
To:	Brett R Wiggs/SA/Enron@Enron
cc:	 
Subject:	

Brett

Have you heard of a deal called Camargo Correa.  Its listed as a high probability deal for q2 with 8.4 Million of Origination.