I assume you have heard that EOL is soliciting HoustonStreet.com and 
QuickQuote.com in order to 
increase their volume and market coverage.  The message below is from Ron 
Nolte, our IT person
for the confirmation systems.  I think he is asking some very pertinent 
questions that may need your
legal opinion.

I guess my fear is that you have not been included in the conversations and 
set-up of EOL's discussions
with HoustonStreet.com and QuickQuote.com.


---------------------- Forwarded by Bob Bowen/HOU/ECT on 10/19/2000 10:26 AM 
---------------------------


Ron Nolte
10/16/2000 12:37 PM
To: Bob Bowen/HOU/ECT@ECT, Jennifer deBoisblanc Denny/HOU/ECT@ECT, Torrey 
Moorer/HOU/ECT@ECT, Jeff Johnson/Corp/Enron@Enron
cc:  
Subject: City Streets


Just came back from a meeting in which Jennifer deBoisblanc Denny and Torrey 
Moorer informed everyone about the new venture 
between HoustonStreet.Com and Enron and QuickQuote.com and Enron.   In 90 
days, HoustonStreet.Com and QuickQuote.com will be offering products offered 
on EOL.

I solicit comments from everyone.

As I understand it, a party wishing to trade gas and power can log onto 
HoustonStreet.Com and  deals offered on EOL will 
magically appear. The party might think, "Hey, I can't do better than this on 
EOL, I'll take this deal".  The deal is transacted   
and HoustonStreet.Com number is assigned.  As soon as the "Do the Deal"  
button is clicked, the transaction is sent to EOL where
it is validated.  An EOL deal number is assigned but as far as the party 
doing the deal is concerned, the deal is a HoustonStreet.Com deal.

In the case of a gas deal,  the deal will be bridged to both Sitara and 
TAGG.  The deal at this point would have four deal numbers:

  HoustonStreet.Com Deal #
  EOL Deal #
  Sitara Deal #
  TAGG Deal #

Based on the meeting, the following requirements surfaced.  If you are in 
TAGG,  you should be able to access the deal using
HoustonStreet.Com  Deal #, or the EOL Deal #, or the TAGG Deal #.

If you are in DCAF II,  you should be able to access the deal using 
HoustonStreet.Com Deal #, or the EOL Deal #, or the Sitara Deal #.

This requirement implies that the capture windows in TAGG and Sitara ( I 
assume ) will need to be changed to capture both
the HoustonStreet.Com Deal # and EOL Deal #.  The TAGG Deal number itself  is 
assigned by the Capture program.

This will require a database change as well as fairly significant ( it was 
assumed that there is only one "Originating System")  program modifications 
to TAGG Deal Capture, TAGG Deal Clearing,  DCAF II, and Enpower Autoconfirm ( 
clears Power deals ).

Now for some issues:

1) Who is the internal party on the deal that is to appear on the 
confirmation?  Will a HoustonStreet.Com and
 a QuickQuote internal party be set up in Global Counterparty?  

 There are implications for Global Counterparty since all address information 
is set up based on who the external party is doing business with.

 In other words, if there are new internal parties, the address information 
set up for these same external  parties that do trades on EOL will
 have to be set up again for doing business with the new internal parties.

2) Is the confirm to sport a HoustonStreet.Com logo and a QuickQuote.com logo?

3) Who is to sign the confirmation letters when signatures are required?

4) Contract numbers will have to be set up just as they are for trading under 
EOL.  But who are the contracts between?  If
 new internal parties are set up for HoustonStreet.Com and QuickQuote.com, 
then contracts will have to be set up
 between the new internal parties.  But since a HoustonStreet.Com deal goes 
through EOL, how will the appropriate
 contract be assigned?; i.e., if Koch does a deal through HoustonStreet.Com, 
is  a different contract assigned 
 in EOL versus if Koch does the deal through EOL itself?