Hey guys,

In order to help keep track of the companies defaulting deals with us Steve set up a spreadsheet for us.  You can find it in the 24Hour folder under Steve Pan. It's the "cuts" excel spreadsheet. M:Electric/24Hour/Steve Pan/cuts.exl

Reese and I have tried to document everything as best we can in Lotus Notes (in the scheduling window) and on the spreadsheet.  The companies have cited they are not obligated to fax us anything so we've tried to get as much done over the phone as possible.  For the guys checking out Saturday-Monday, you might want to look at the notes we put in the scheduling window for schedules flowing Dec 1.  

Don also asked that we check out defaults with all counter-parties just like regular schedule checkouts so we know for sure what is flowing and what is not.    

anyway, just giving the weekend crew a heads up. have a most wonderful time.
  
Carrie



 


 -----Original Message-----
From: 	Garcia, Miguel L.  
Sent:	Wednesday, November 28, 2001 3:46 PM
To:	Berlin, Jason; Greer, Andrew; Larkworthy, Carrie; Reves, Brant; Blaine, Jay; Errigo, Joe; Laurent, Dean; Baughman Jr., Don; Seely, Michael; Trejo, Reese; Pan, Steve; Maskell, David; Rawal, Punit
Subject:	Enron- Firm LD Transactions

Hey crew,

In the midst of all the uncertainty going on with our credit issues and the Big E, a situation might arise in the near future (today forward)  when our counterparties default on their obligations to EPMI. The heads of the desk have requested that the hourly group monitor these defaults in a timely manner and report instances to our credit dept ASAP.

This is an example of what might occur and how we should handle the situation:

DETM has a preschedule with us that they are obligated to deliver 50 MW 7-22. They will call EPMI and say we are not going to deliver the power due to the fact of EPMI's credit issues. If this call occurs, we are then short to our downstream, and must notify that counterparty that they will not be receiving the power because our upstream is not delivering the power and our downstream can pass Firm LD's upstream. 

Before we let DETM off the phone, we must get some information from them: First, note the name, time, schedule, tag involved, and also tell them they need to send a fax stating DETM is not agreeing to their FIRM LD obligation. The fax number to TJ's desk is 713.646.8272 If they disagree, make sure you get the information above to let the lawyers track the information flow.

Also, we need to keep track of hourly prices across the eastern inter-connect. This is coming directly from Kevin Presto. We are going to compile a database to use when handling FIRM LD Obligations and what the market prices were at that exact time. The prices are going to be vital in getting an accurate read of what to charge our customers. Be prepared to handle a call from a desk head (Kevin,Fletch,Dana) regarding any possible schedule curtailments and what prices are anywhere in the eastern inter-connect

Please work hard to fulfill these requirements. 


If you have any question, let Don or myself know

MG

713.306.2508