That is correct, I returned comments to Accounting, not AA directly.
I don't think I sent my comments to Drew, but I don't remember very clearly.




Tony Jackson
10/13/2000 03:21 PM
To: Susan Scott/ET&S/Enron@ENRON
cc:  

Subject: Re: 1999 Form No. 2 Review - Legal  

Susan,

That is pretty much all we needed for now Susan.  I appreciate your offer of 
the comments, but I will get back to you later if it looks like we need to 
see those.  

You mentioned you sent comments to someone at AA.  I assume you mean the 
comments were returned to the NNG and TW accounting folks instead (where 
Allen is).  Also, do you send your comments to Drew as well.  

Thanks for the quick response.

Tony




Susan Scott
10/13/2000 02:00 PM
To: Tony Jackson/AA/Corp/Enron@ENRON
cc: Maria Pavlou/ET&S/Enron@ENRON, Harry Walters/ET&S/Enron@ENRON, Allen 
Joe/ET&S/Enron@ENRON, Gerrad Heep/AA/Corp/Enron@ENRON, Denise 
Linthicum/AA/Corp/Enron@Enron 
Subject: Re: 1999 Form No. 2 Review - Legal  

I reviewed the 1999 Form 2 for Transwestern and sent some comments to someone 
at AA (I apologize, I don't remember who, but I think it might have been 
Allen Joe).
If you need to see my comments, I believe I kept a hard copy in my file.

I also reviewed the 1998 Form 2 for Transwestern.

If you need further information, please let me know.




Tony Jackson
10/13/2000 02:36 PM
To: Maria Pavlou/ET&S/Enron@ENRON, Susan Scott/ET&S/Enron@ENRON
cc: Harry Walters/ET&S/Enron@ENRON, Allen Joe/ET&S/Enron@ENRON, Gerrad 
Heep/AA/Corp/Enron@ENRON, Denise Linthicum/AA/Corp/Enron@Enron 

Subject: 1999 Form No. 2 Review - Legal

Maria/Susan,

My name is Tony Jackson with Arthur Andersen, and I am the experienced staff 
on the Enron Transportation Services (with a focus on NNG and TW) audit 
team.  Right now, we are in the midst of several internal control reviews 
related to various risk areas. 

We are currently testing the risk that NNG and TW reserves (regulatory, legal 
contingencies, etc.) are inappropriately valued and/or established.  One of 
the controls that Accounting cited to mitigate this risk was that both Legal 
and Rates reviewed the NNG and TW FERC Form No. 2s prior to issuance.  Harry 
Walters and Allen Joe mentioned to us that there is no formal "sign-off" or 
approval process by Legal and Rates of the Form 2s, but instead, drafts were 
sent to the groups and any comments were then reviewed with Accounting.  Your 
names were mentioned as those they sent the 1999 Form 2 drafts to for Legal 
to review (Maria-NNG and Susan-TW).   

In order for us to test this control, we need to confirm with your group that 
this type of review was performed for the 1999 NNG and TW Form No. 2s.  What 
role did you and your group play in this review?

Please let me know if you have any questions.  Thanks for your time.

Tony - AA
x33050