Sheila:

A few points:

(1)  I've sent a request to London to review the SFA reps and LIFFE provisions; Jonathan Marsh is out of the office until Nov. 5.  Jonathan is the regulatory expert.

(2)  Page 5 -	7.1 (MDL and CLR fees/charges) and 7.2 (direct payment by CLR of MDL costs).  Do you already have a fee schedule?  Since ECT will be clearing through GSI and MC&Co., should we delete references to CLR? or shoudl we markup the CLR references as if we would be clearing through CLR?  I suppose you may decide to clear throug CLR.

(3)  Page 6 -	7.5 (account debit for fees)

(4)  Page 11-	15.2.  I don't think we would object if CLR had the right to assign to Credit Lyonnais, but does ECT need to right to assign to another entity (without first obtaining consent)?

(5)  Page 16-	4 and 5.2.  Also, will we be settling outside the U.K. per 6.2?  I didn't know if this could be an issue.

(6)  Page 19-	8.1.  Have you agreed to alternative interest arrangements?

(7) What exchanges will you be trading on through MDL?  This terms of business contains a Schedule 3 (LIFFE terms) and 7.3 of that Schedule will apply to all other exchanges per 3.3 on page 3 of the terms of business.

Thanks.



   

Sara Shackleton
Enron Wholesale Services
1400 Smith Street, EB3801a
Houston, TX  77002
Ph:  (713) 853-5620
Fax: (713) 646-3490