George, it is probably worth  speaking to them about the US assets - probably 
the smaller Virginia sites which are probably less core and may be great 
brownfield sites. I'm not sure we would have an interest in UK coal fired 
assets. I would speak to Sherriff on that one. However, I would caution that 
real value is created through RAPID brownfield development leveraging on 
Enron's development, electricity, coal and emissions talents.  

For ComEd and Homer City, Mission has already paid up for these assets based 
on gas being on the margin.  Now that was before a lot of the run up so it 
may be worthwhile; however, I think it may be difficult to arb these guys.  
As well, I think it may be difficult to get the asset out of them - I'm not 
sure that they can turn their strategy or show a loss this quickly from a 
Wall Street point of view.  

We should probably take a shot at the smaller probably less core Virginia 
assets. Are they in QF, if so there may be upside in the deal from Duran's 
point of view..

Dave, given the rise in gas prices and gas being on the margin for a larger 
part of the load curve, coal assets or coal QF's may be great assets for us 
from a restructuring and power asset (expansion/brownfield) point of view.  
Have we looked at this?  Are there many in the market?

Regards
Delainey
---------------------- Forwarded by David W Delainey/HOU/ECT on 07/13/2000 
08:17 PM ---------------------------
   
	
	
	From:  George McClellan                           07/12/2000 03:44 PM
	

To: David W Delainey/HOU/ECT@ECT
cc: Michael J Beyer/HOU/ECT@ECT, Daniel Reck/HOU/ECT@ECT, Janet R 
Dietrich/HOU/ECT@ECT 
Subject: Edison Mission Energy

Dave - as we know Mission is under pressure with regards to the poor 
performance of their non-regulated generation assets in the US and UK.  It 
appears their  UK coal fired assets (Fiddlers Ferry and Ferrybridge) are for 
sale.  We should consider contacting them to determine their interest to 
divest any part of their US generation asset portfolio as well.

EME owns the former Comed coal and gas fired assets in Chicago, and Homer 
City in Pa.  In addition they have small coal fired generation assets in West 
Virginia and Virginia.  It may be possible to pick up one or more coal fired 
generation assets from Mission, and expand their existing capacity.

We are continuing to work on identifying brown field coal fired sites.  This 
may be another approach to pursue as well.  

Let me know if you think we need to work EME.  Thanks.