Michael:
Appreciate the idea.  However, with my natural long, I'm not looking to 
really trade around the position.  I believe ENE will continue to be range 
bound, but in case it is not, I don't want to forgo 50% of my option premium.
I have price targets of where I would like to lighten up exposure to ENE and 
will use calls to implement the stategy.  To that regards, I noticed I was 
not approved to sell naked calls.  I would like that ability in order to 
hedge some exposure I have of unexercised vested options.  Please look into 
that for me.
John.




"Michael Gapinski" <michael.gapinski@painewebber.com> on 02/20/2001 06:28:27 
PM
To: "'Arnold, John'" <john.arnold@enron.com>
cc:  
Subject: Buying back calls


John -

I was looking at the recent pullback in ENE and thinking it might be an 
opportunity to buy back the calls you sold.  Of course, you would then be in 
a position to sell calls again if the stock makes a bounce.  I'm not sure 
that ENE @ 75 is the place, but maybe @ 73.  Call me if you're interested.

Michael Gapinski
Account Vice President
Emery Financial Group
PaineWebber, Inc.
713-654-0365
800-553-3119 x365
Fax: 713-654-1281
Cell: 281-435-0295



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