fyi
---------------------- Forwarded by Christopher F Calger/PDX/ECT on 
09/27/2000 07:42 AM ---------------------------
   
	Enron North America Corp.
	
	From:  Chip Schneider @ ENRON                           09/27/2000 06:35 AM
	

To: Christopher F Calger/PDX/ECT@ECT
cc:  
Subject: EIX Provides Update on Revenue Shortfall

FYI.
---------------------- Forwarded by Chip Schneider/NA/Enron on 09/27/2000 
08:22 AM ---------------------------


"Patterson, Paul" <paul.patterson@csfb.com>@fir.fbc.com on 09/27/2000 
07:08:18 AM
Sent by: owner-eqr_alevi@fir.fbc.com
To: "eqr_alevi, list" <list.eqr_alevi@csfb.com>, "# CSEQ US Sales, All 
(Generalists)" <cseq-us-sale-all-gen@excham.csfb.com>
cc:  

Subject: EIX Provides Update on Revenue Shortfall


 <<EIX092600.pdf>>
Good morning,
Today we have a note out on EIX,
1. On September 26, Edison International filed an 8K updating the
amount of revenue shortfall, resulting from its inability to recover high
wholesale power prices from its retail customers.
2. As of August 31, Southern California Edison's revenue account
undercollection was $1.97 billion.  Importantly, this pre-tax figure does
not include the revenues that EIX receives from its remaining generation and
is likely to change over time.
3. Management has indicated that it plans to file a petition with the
California PUC over the next few weeks and pursue other options, including
litigation, to ensure the recovery of its revenue account undercollection.
4. For now, we are maintaining our 2000-2001 EPS estimates of $2.04 and
$2.30, which are based on EIX resolving the purchase power issue in a
favorable manner. However, investors should be cognizant of the high degree
of uncertainty at both the company's regulated and non-regulated businesses.

Paul Patterson, 212-325-5876
Andy Levi, 212-325-0893
Neil Stein, 212-325-4217
Emily Lao Chua, 212-325-1982
Wen-Wen Chen, 212-538-0223

 - EIX092600.pdf