FYI - See Ed's comments.  We helped ENA significantly in getting this "Favor" 
from our friends at PSE&G and it is a good feeling to see that they 
recognized it.
---------------------- Forwarded by Steve Montovano/NA/Enron on 04/24/2001 
12:49 PM ---------------------------


Ed McMichael@ECT
04/24/2001 12:39 PM
To: Andrew Kelemen/Enron@EnronXGate, Amanda Colpean/Enron@EnronXGate
cc: Raymond Bowen/enron@enronxgate, Rodney Malcolm/Enron@EnronXGate, Steve 
Montovano/NA/Enron@Enron 
Subject: FW: Garden State Paper

Attached please find the long awaited, much anticipated Garden State 
Paper/Public Service Electric & Gas amendment which will do the following for 
GSP:
1)  Secure TETCO M3 receipt through 10/31/2007
2)  Secure the current discounted LDC transportation rate through 10/31/07
I have reviewed the document and it seems in good order.  This agreement does 
hedge GSP against increases in the base transportation rate on the LDC and 
insures that GSP will have TETCO M3 (as opposed to the currently higher 
Transco Z6 NY) as its receipt point, but it does NOT hedge GSP's M3 basis 
exposure.  That exposure can be hedged through ENA or other wholesale gas 
trading companies.  

Please review it and execute two (2) copies soon as possible.  Thereafter, 
please mail them to the attention of:
Mr. David W. Wohlfarth
Public Service Electric and Gas Company
80 Park Plaza
Newark, New Jersey  07101
(phone) 973-430-5674

Credit for securing this amendment should go to Steve Montovano, VP Gov/Reg 
Affairs.  He was very instrumental in getting PSEG to give GSP this amendment.

If you have any questions, please ask.
Regards,
Ed

---------------------- Forwarded by Ed McMichael/HOU/ECT on 04/24/2001 12:06 
PM ---------------------------


"Wohlfarth, David W." <David.Wohlfarth@pseg.com> on 04/23/2001 12:50:59 PM
To: "'ed.mcmichael@enron.com'" <ed.mcmichael@enron.com>
cc:  
Subject: FW: Garden State Paper



Ed:  This is the draft that went to Ken Carretta.  I don't expect any
changes to it.  I will send down a copy to be signed by someone from Garden
State, or Enron, I guess, acting as agent.


>  -----Original Message-----
> From:  Caffery, David F.
> Sent: Monday, April 23, 2001 11:31 AM
> To: Wohlfarth, David W.; Carretta, Kenneth R.
> Subject: FW: Garden State Paper
>
> Let's try that again with the file......
>
>
>  <<gardenstateamend.doc>>
>
>
>
>  -----Original Message-----
> From:  Caffery, David F.
> Sent: Monday, April 23, 2001 11:29 AM
> To: Wohlfarth, David W.; Carretta, Kenneth R.
> Subject: Garden State Paper
>
> Attached is the second draft of the amendment to the GSP TSG-NF discounted
> transportation agreement.
>
>
>
>
>
>
> Dave

 - gardenstateamend.doc