Kay,
 I've been working on the break out agreements for CA Energy
Development at Peter Thompson's request (attached).  As you mentioned,
we need the site specific information to complete the agreements;
however, there are a few additional points that I wanted to bring to
your attention:

1.  Please confirm that Unit 17 is going to CA Energy Development I, and
Unit 18 is going to CA Energy Development II.

2.  The document needs a fax number for Ben Jacoby and the Agreement
Reference number.

3.  I need to get the cost of the dual fuel option so I can calculate
the maximum liability amount. (Peter mentions that there's a change
order 1.  Do you have that available?)  Also, I assume that we'll simply
add the dual fuel cost to the contract value to calculate the maximum
liability amount and add 25% of the dual fuel cost to the January
payment to arrive at the new payment amount.  Is this correct, or is
there another way it should be done?

4.  Also, I need the unit serial numbers if you'd like them included in
the agreement.

5.  Will the Retention Letter of Credit be structured differently now
that only one turbine is being sold per agreement? (I'm assuming that
the figure will be 5% of the purchase price after the dual fuel cost is
included).

That's all I have for now.  Peter has been in a conference call all
afternoon, so if you've already given some or all of this information to
him, please let me know.  You can reach me via e-mail or at (202)
662-3016.  Thanks, Chris
 <<break out agreement--CA Energy Devlopment II (12/1/00).DOC>>
<<Breakout Agreement: CA Energy 12/1/00.DOC>> 
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