Enclosed is a version of the Commodity Exchange Act, redlined to show how it 
has been revised by the CFMA.  This document was e-mailed to me earlier today 
by Cadwalader, Wickersham & Taft.



Chris, the language in the "Definitions" sections (Section 1a) is what 
concerns us most.

A new definition has been added -- "EXEMPT COMMODITY" which is (14) of Sec. 
1a (not to be confused w/ "EXCLUDED COMMODITY," which is (13) of Sec 1a.).  
The new "scheme" is as follows -- an "excluded" commodity (essentially, 
financials and weather) is the most deregulated, an "exempt" commodity is 
almost but not quite as deregulated, and agricultural commodities are still 
subject to full jurisdiction of the CFTC and the Commodity Exchange Act.

As you can see, the definition of "Exempt Commodity" is simply stated as 
everything other than an excluded commodity or agricultural commodity.  The 
ambiguity is that "agricultural commodity" is not defined, so the question is 
-- is the reference to "agricultural commodity" here meant to encompass 
coffee, sugar and cocoa as well as grains and meats? 

FYI, the list of "enumerated" agricultural commodities is in (4) of Sec 1a, 
in the old definition of "COMMODITY," which remains in the Act.  Usually, 
when regulators wish to reference the restricted list of grains and meats, it 
is this section they refer to.  In fact, Congress referred expressly to this 
list in other places in the CFMA.  For example, see the new Section 4p(c)(1) 
(which is on page 59 of the attached document).

Please feel free to call me w/ any comments or questions.  Thanks -- Bob






Robert E. Bruce
Senior Counsel
Enron North America Corp.
T (713) 345-7780
F (713) 646-3393
robert.bruce@enron.com