** Related to critical commercial issues. **

The ESA internet home page launch is ca. 4 weeks old and has met with 
reasonable success.  

The hits to the site continue to grow to several thousand per week; however, 
the issues outlined below referring to our need to establish appropriate 
commercial support to the site and proactively readying upgrades and next 
generations integrated to the commercial efforts have fallen short.

---------------------- Forwarded by D'Arcy Carroll/SA/Enron on 11/15/2000 
12:09 PM ---------------------------


D'Arcy Carroll
11/07/2000 05:23 PM
To: Joe Kishkill/SA/Enron@Enron
cc: James M Bannantine/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Diomedes 
Christodoulou/SA/Enron@Enron 

Subject: internet site - Enron South America

I wanted to forward some comments on the situation of the Enron South America 
internet site and :

Emphasize the need to accelerate and integrate the understanding of the 
leverage of the e-platform to the commercial business, including the need to 
change the present priorities and responsibility of the commercial groups in 
the region towards aggressively supporting and promoting the internet tool 
and 
Offer some comment on lessons learned implementing version 1 and 
recommendations for more effectively executing a version 2
Comments:
1.    The support functions ( e-mail generated and internal allocation for 
prompt responses to customer inquiry, text and content upgrades and editing, 
etc.,..)  is  THE critical issue to realising the functional goal (efficient 
customer capture ) of the site.     To my knowledge, the issue outlined in 
the e-mail below (the  most recent of several urging action and some 
decision-making) remains unaddressed, this almost 1 month following the 
launch of the site.    From my  perspective and commercial experience, the 
present situation which has inquiries being directed directly into a generic 
e-mail system with part-time  support from the orginal PR staff is not 
acceptable, nor advisable - as was extensively discussed in the weeks prior 
to launch.   

 Though I understand that the commercial structure and strategy is in flux, 
the clear indecision and lack of ownership reflects a lack of vision and   
understanding of the power of the e-business tool, particularly in the 
Brazilian market.   I forward the information to you because it's my view 
that the   situation directly threatens Enron's credibility in the market at 
a time when some of Enron's competitors (AES and Duke) are not only 
established, but have,  at the same time as Enron's launch at Oil & Gas,  
launched 2nd generation sites. 

2.      Version 2

Brazil and South America. I am convinced that the poor civil infrastructure 
and the physical distances restricting easy access to customers present 
enormous opportunities for e-business platform business (Energy, Financial 
Product and other commodities).   The best example of world class product- 
and service-driven sites to date our, in my view, the on-line banking sites 
(Itau, Bradesco).   They set a good, healthy benchmark. 
IT.   In the development of the site, we need to consider technology 
constraints in the bandwidth capacity and computer screen graphics of 
targeted consumers in Brazil and elsewhere in the region.  The constraings 
limit the degree of dynamism (Flash technology, Sound, 3-d 
graphics/photography, etc.,..) that characterize world-leading sites familiar 
in the US i.e., for now, there is a tradeoff between degree of "sexy-ness " 
of the site vs. prohibitive time to load and navigate. 
e-Biz Expertise. Enron UK has an in-house internet consulting group that 
continues to develop but that provides comprehensive support and development 
services to the product lines ( Houston tends to outsource or contract much 
of the project work ); examples of the work they have produced are available, 
impressive and much closer to cutting edge.   The Enron UK group should own 
the devleopment of version 2 - pls note that there is already a significant 
number of projects in their pipeline.
e-Biz Support/Operations.The operation of the site including specifically the 
IT component which addresses customer response and participation (tracking 
hits voluem, storing profile questionnaire, e-mail response, etc.,..) is 
probably the critical determinant for the functional success of the site.  
Cutting edge technologies and their timely implementation to site or versions 
launch needs to be absolutely mandatory with high deliverables.
Competition. AES, Duke Energy have both launched 2nd versions of their 
regional internet sites in the 6 months between initial launch and today; 
both have upgraded pretty completely in terms of offering and functionality.
Commercial.  The site is designed to streamline and deliver efficiencies and 
value directly to the Commercial ( Trading and Origination ) exercises - 
these groups need to be formally accountable to sign on and contribute to a 
strategy, to initial and sequential content and graphics, language 
translations, etc.,.. Either the Commercial groups drives the e-biz 
initiative, or the e-biz initiative will fail.
Ownerhsip. The breadth and integral importance of both commercial, regulatory 
and IT issues complicate the ability to develop and execute the site 
effectively.  It is a Development business and, as such, needs a clear 
Project Manager (s) with the necessary authority establshed over the 
contributing groups.   

Pls forward any, all inputs and thank you for efforts extended to help 
address the issues.  Note: Please be aware that I understand that to a large 
extent all of the above is outside of my responsibility, but feel I need to 
bring responsible closure to my contributions to and participation in the 
launch of version 1.

---------------------- Forwarded by D'Arcy Carroll/SA/Enron on 11/07/2000 
11:30 AM ---------------------------


D'Arcy Carroll
10/25/2000 06:15 PM
To: Jose Bestard/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Joao 
Guimaraes/SA/Enron@Enron
cc: Orlando Gonzalez/SA/Enron@Enron, Keith Miceli/Corp/Enron@Enron, Miguel 
Padron/SA/Enron@Enron, Steve Nagy/SA/Enron@Enron, Brett R 
Wiggs/SA/Enron@Enron, Don Black/SA/Enron@Enron, Joe Kishkill/SA/Enron@Enron 

Subject: candidate - Monica Matias, PR support for Enron SA - site


Keith, though Commerical has the largest stake in the success or failure of 
the regional e-business product, i understood that  PR has the budget 
allocation and, as agreed regarding the operational support of the site, the 
policing/3rd party role to play i.e., ownership over this particular issue.  

Gentlemen, this site is launched as of last week's Oil&Gas Conference ... or 
certainly maintains an imminent, broader launch.  For starters, we need to 
execute the agenda item outlined below and in previous e-mails which 
allocates operational responsibility for commercial follow-up for the 
site.    

Today the contact resource for Brazil is a voice mail which is temporary 
anyway and wasn't working until I called this morning asking about a message 
I'd left on it last week; in addition, we haven't trained the present 
operational support to understand how and to which groups to direct customer 
inquiries. 

e-bis. the e-business platform needs to get elevated to the next level - 
follow-up for customer capture, responsible and timely response to inquiries, 
etc.,.., not to mention more formal and public marketing of the site.   

phase 2. the natural consequence of having a product and first phase site, is 
that there will be plenty of internal comments and reactive idea generation 
for a second phase site; this is fine and natural, but also will likely fall 
into the responsibilities of the same position - initially at least, in terms 
of information gathering and distribution. 

if really necessary, why don't the relevant parties copied on this wire have 
a 30 minute conference call to make this and other related decisions, so that 
we move forward.  pls consider prioritizing this so that we execute in the 
next few days.



---------------------- Forwarded by D'Arcy Carroll/SA/Enron on 10/25/2000 
05:39 PM ---------------------------


D'Arcy Carroll
10/18/2000 12:24 PM
To: Jose Bestard/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc:  

Subject: candidate - Monica Matias, PR support for Enron SA - site

Jose, here is the orginal communication.   

The design of the site is to make progress toward alleviating the enormous 
bottleneck and inefficiencies in the marketing effort to contact ( the 
hundreds of small) national power generators, not to mention streamline the 
customer capture costs for the broader EES product line.    If we don't 
expect a need for a ( and eventually several ) full-time commercial support 
for the site, then the launch will be a dismal failure.     

But with the site "launching"  this week and following a lot of work 
yesterday and this morning cleaning up the kinks in the Monday version, we 
need to be ready get her in position immediately.      What's more, she's 
does almost all of the work carrying the load for the 3 assistants on the 4th 
floor - that work needs (anyway) to get delegated to the other 2 assistants 
ie., they either pick up the slack with competence, or be moved elsewhere.
 
I am in Houston fthr Friday at 713-646-7929 - caution, I don't know (yet) how 
to get any phone messages!

---------------------- Forwarded by D'Arcy Carroll/SA/Enron on 10/18/2000 
12:20 PM ---------------------------


D'Arcy Carroll
10/06/2000 10:11 AM
To: Keith Miceli/Corp/Enron@Enron
cc: Steve Nagy/SA/Enron@Enron, Orlando Gonzalez/SA/Enron@Enron, Joao 
Guimaraes/SA/Enron@Enron, Nadege Araujo/SA/Enron@Enron, Don 
Black/SA/Enron@Enron, Jose Bestard/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT 

Subject: candidate - Monica Matias, PR support for Enron SA - site

Keith, as discussed, Joao Carlos and  I talked at length and want to propose 
Monica Matias as a candidate to be promoted, full-time into the position you 
outlined and with the additional responsibilities below.

Monica has been an outstanding support to the Direct Sales effort, both in 
terms of consistently competent and proactive contributions but also in terms 
of her enthusiastic "can-do" attitude.   The position is a critical, integral 
support and service function for the Enron SA site launch; Monica's applied 
exposure to and experience with the personnel and content of the Direct Sales 
initiatives will afford her and the group an efficient and timely transition 
in line with the scheduled Oct 15th launch.   

Propose that she report directly to you, Keith, and dotted to Joao Carlos 
Guimaraes, Orlando or Jose. 

Communication Coordinator/Content Manager: The PR offices in Argentina and 
Brazil would be responsible for these tasks, which will entail two primary 
responsibilities: (a) All web-generated inquiries will be received by the PR 
office; they will be logged into an Excel database, and forwarded to the 
appropriate office (commercial, PR, or HR) for a response.  A monthly report 
will be provided to senior management and Houston ESA PR.  This system will 
be centralized by virtue of having the PR office identified.  (b) weekly 
solicitation of identified commercial and regulatory groups for updated text 
and developments, collecting, articulating and distriubting to key Enron 
managers customer feedback, inputting information of closed transactions, and 
communicating to key Enron managers update on the ongoing improvements to the 
site.  

Contact Us section, which appears on every page on the left navigational 
bar.  Inquiries can be made by phone, fax or email.