Pre and post breakout invoice was received this morning.  New amount is $94,768.60.

 -----Original Message-----
From: 	Nicolay, Christi L.  
Sent:	Wednesday, January 16, 2002 8:13 AM
To:	Baughman, Edward; Thome, Stephen; Crandall, Sean; Scholtes, Diana; Wax, Brandon; Sewell, Doug; Schneider, Chip; Aucoin, Evelyn; Helton, Susan; Steffes, James D.; Racicot, Paul; Nord, Sue; Kingerski, Harry; Frank, Robert; Comnes, Alan; Hall, Steve; Belden, Tim
Cc:	'melanie.gray@weil.com'
Subject:	FW: PGE Transmission Contract

I spoke last evening with Rich George, a lawyer at Portland General Electric.  He said that EPMI needs to make sure that it only pays the post-petition part of the Dec transmission services invoice (received by EPMI on 1/2/02).  Apparently, this bill had Dec 1-2 (pre-petition) separated.  I understand that Steve Thome is retrieving the bill to make sure that EPMI pays only the post-petition amount (bill is in line to be paid this Friday).  

Rich understands that EPMI is not going to pay the pre-petition at this time and said that PGE is not planning to curtail EPMI's transmission.  However, he asked that EPMI consider accepting or rejecting the transmission agreement in bankruptcy court fairly soon.  MELANIE -- Can you please let us know what to do in this regard?  This is a Long Term (13.5 years remaining) electric transmission agreement with an estimated in the money value to EPMI of $5 mill.  EPMI would consider transferring it or possibly holding it for its value.  Thanks.

 -----Original Message-----
From: 	Baughman, Edward  
Sent:	Friday, January 11, 2002 1:12 PM
To:	Nicolay, Christi L.
Subject:	FW: PGE Transmission Contract


Christi:

Would you please follow up on this transmission issue as well ? Thanks.

Ed
 -----Original Message-----
From: 	Thome, Stephen  
Sent:	Friday, January 11, 2002 12:59 PM
To:	Sewell, Doug; Schneider, Chip
Cc:	Crandall, Sean; Scholtes, Diana; Baughman, Edward; Wax, Brandon
Subject:	RE: PGE Transmission Contract

Structuring just estimated the value of this contract at $5 MM.

 -----Original Message-----
From: 	Thome, Stephen  
Sent:	Friday, January 11, 2002 10:41 AM
To:	Sewell, Doug; Schneider, Chip; Aucoin, Evelyn; Helton, Susan
Cc:	Crandall, Sean; Scholtes, Diana; Baughman, Edward; Wax, Brandon
Subject:	PGE Transmission Contract

We have not paid PGE Transmission for November (invoice 12 on my schedule).  This contract has intrinsic value going forward.  Anytime Mid-C and COB spread exceeds $1 this contract is in the money.  

This is firm transmission.  Regardless of the issue pre-petition claims by utilities, if we do not pay these invoices PGE can terminate this contract and force us to go back to OASIS for transmission on a non-firm basis.  Significant value will be lost by the estate.  

Structuring is running an NPV of the basis differential.  We would like to do whatever necessary to convince the estate to pay this pre-petition claim. 

Steve