Scott,
Legal's position is exactly as Rob Cass explained on his email below. You can 
also confirm it with whether Gerald Nemec x33512 (he created both, GTC & 
P. Desc.) or  with Mark Taylor.
Please let me know if you have any questions. Thanks,
Carlos

---------------------- Forwarded by Carlos Alatorre/NA/Enron on 11/08/2000 
10:53 AM ---------------------------


Robert B Cass@ECT
11/08/2000 10:35 AM
To: Jennifer deBoisblanc Denny/HOU/ECT@ECT
cc: Dale Neuner/HOU/ECT@ECT, Sheri Thomas/HOU/ECT@ECT, Torrey 
Moorer/HOU/ECT@ECT, Lisa Lees/HOU/ECT@ECT, Carlos Alatorre/NA/Enron@Enron 

Subject: Re: New Product Type: US Pipeline Capacity Release  

I believe that it would be Legal's position that we not ignore the reference 
to the "General Terms and Conditions" since it serves as additional terms to 
the "special terms" of the transaction.  GTC's allow for resolution of 
payment failure, force majeure, liability, etc.  To include it in the 
description guarantees that those terms are included.  Without the inclusion, 
the product description would have to be expanded to include many (if not 
all) of the terms contained in the GTC.  

Eventhough the transaction may not be "confirmed," the Counterparty may elect 
to request the GTC at any time.  Reason?  The GTC resolves potential 
conflicts and defines the rights of the parties.  The counterparty may not 
necessarily require a confirmation.

Ultimately, Legal will need to approve the action if the GTC is removed from 
the product description, but I would be interested to know on what basis they 
would allow the GTC to be dropped from the description.  These are my 
thoughts (recommendations?).

- Rob            


   


From:  Jennifer deBoisblanc Denny                                             
                11/08/2000 08:35 AM	
	
	
	                           
	

To: Dale Neuner/HOU/ECT@ECT, Robert B Cass/HOU/ECT@ECT
cc: Sheri Thomas/HOU/ECT@ECT, Torrey Moorer/HOU/ECT@ECT, Lisa 
Lees/HOU/ECT@ECT 
Subject: New Product Type: US Pipeline Capacity Release

fyi
Dale/Rob
Were are your thoughts on the GTC question?
---------------------- Forwarded by Jennifer deBoisblanc Denny/HOU/ECT on 
11/08/2000 08:34 AM ---------------------------
   
	
	
	From:  Scott Mills                           11/08/2000 12:56 AM
	

To: Jennifer deBoisblanc Denny/HOU/ECT@ECT
cc: Bob Bowen/HOU/ECT@ECT, Sylvia A Campos/HOU/ECT@ECT, Russ 
Severson/HOU/ECT@ECT, George Grant/HOU/ECT@ECT, Steve Venturatos/HOU/ECT@ECT, 
Victor Lamadrid/HOU/ECT@ECT, Edward Terry/HOU/ECT@ECT, Robert 
Superty/HOU/ECT@ECT, Bob M Hall/NA/Enron@Enron 
Subject: New Product Type: US Pipeline Capacity Release

The product description specifically designates a GTC -if we are not 
confirming the transactions should we make this reference?  Other than that, 
it seems ok.  For those that have not been involved in the discussions, this 
type of transaction will not bridge automatically from EOL to Sitara.  It 
will have to be monitored and entered manually.  Since this will be a 
capacity release deal, the pipeline contract number that we a releasing will 
be a crucial piece of information when entering the transport capacity deal.

SRM (x33548)
---------------------- Forwarded by Scott Mills/HOU/ECT on 11/08/2000 12:43 
AM ---------------------------
   


From:  Carlos Alatorre @ ENRON                                                
             11/07/2000 07:18 PM	
	
	
	                           
	

To: Scott Mills/HOU/ECT@ECT, Mark Taylor/HOU/ECT@ECT, Frank 
Hayden/Corp/Enron@Enron, Tom Moran/HOU/ECT@ECT, Jeff Blumenthal/HOU/ECT@ECT
cc: Gerald Nemec/HOU/ECT@ECT, Dale Neuner/HOU/ECT@ECT 
Subject: New Product Type: US Pipeline Capacity Release

A new Product Type has been created for US Gas Capacity Release (US Pipeline 
Capacity Release).
We will certainly appreciate your approval so we can move forward and have 
everything ready for launching on Wednesday Nov. 15th.
Below you can see an example of the Prod. Description in case you can not see 
the complete text on Datamanager.
If you have any questions or comments please let me know.
Thanks
Carlos
X5-8705