FYI.
----- Forwarded by Jeff Dasovich/NA/Enron on 03/12/2001 02:14 PM -----

	"JOHN G KLAUBERG" <JKLAUBER@LLGM.COM>
	03/12/2001 01:43 PM
		 
		 To: Jeff.Dasovich@enron.com
		 cc: 
		 Subject: Re: FERC Order and DWR

Jeff:  I am assuming you have already heard back from the FERC experts, but 
that generally would be my understanding (subject to a change in the 
order)--and, as we discussed, hopefully the bilateral forward market contract 
deals with CDWR ultimately will be specificaly excluded from the cap rules, 
etc. (Joe Hartsoe indicated this morning that no one has indicated that the 
bilaterals should be subject to the FERC order).  John

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John Klauberg
LeBoeuf, Lamb, Greene & MacRae, L.L.P.
212 424-8125
jklauber@llgm.com

>>> <Jeff.Dasovich@enron.com> 03/12/01 01:00PM >>>
Quick question to Joe and/or Christian, John and Mary:

I'm assuming that any deal we sign with DWR that falls below the $150/MWH
soft cap is free and clear of the order FERC issued on Friday as well as
any other refund risk associated with FERC's December order.  Is that
correct? Thanks.

Best,
Jeff