BUSINESS HIGHLIGHTS

Enron Industrial Markets
Enron Industrial Markets announced the signing of definitive agreements with 
Huntco, Inc. under which over a 15-year period Enron will provide inventory 
price risk management services and will eventually provide more than 600,000 
tons per year of hot-rolled, cold-rolled and galvanized steel products to 
Huntco Steel.  The agreements provide Enron access to Huntco,s network of 
steel distribution centers nationwide.  The agreements also provide for Enron,
s acquisition of Huntco,s cold rolling and certain coil pickling operations 
in Blytheville, Arkansas.

These transactions with Huntco have the potential to fundamentally change the 
way steel is bought and sold in the United States.  It gives Enron immediate 
access to physical steel and positions Enron geographically to serve the 
steel industry in a variety of ways.  In addition to providing physical 
products on both a spot and term basis, EIM,s goals for the steel industry 
include developing commodity risk management products, providing structured 
finance products and establishing the market-making capabilities that Enron 
has brought to the natural gas, power and other commodity markets.

Enron North America-Upstream Products
Upstream Products has partnered with Duke Energy Field Services (DEFS) to 
close a 20-year NGL exchange and transportation deal with Formosa 
Hydrocarbons and Williams Energy Field Services to handle raw make product 
from the Williams Markham plant. Formosa Hydrocarbons is building a 40,000 
BPD fractionator to handle this and other Gulf Coast NGL production.  The 
accompanying pipeline will be known as the Seabreeze pipeline system and will 
be constructed by DEFS. Texas Brine LLC will provide NGL storage services for 
Formosa Hydrocarbons on this system. Primary production for this system is 
coming from the Boomvang Nansen field in the deepwater GOM and will be the 
first deepwater GOM production to come onshore in Texas. 
Upstream Products has also worked to arrange a 20-year transportation lease 
agreement on the Dean Pipeline (owned by TEPPCO) for refinery grade propylene 
service to be utilized by Formosa Plastics. Coupled with this transaction, 
Enron Clean Fuels has entered into a propylene storage agreement with Formosa 
Plastics to utilize ECF,s Mt. Belvieu storage facilities.  In addition, Enron 
Global Markets has been able to amend its current transportation agreement 
with TEPPCO to prematurely terminate a take-or-pay obligation and realize 
additional transportation revenues from interim NGL production coming from 
the Williams Markham to be delivered to Mt. Belvieu.  
Upon close, Upstream Products was monetized out of its initial position by 
DEFS and retained a risk-free net profits position on the Seabreeze Pipeline 
going forward for an additional 20,000-40,000 BPD of excess capacity on the 
system.
ENA West Power
Southwest Power, an ENA affiliate, signed a 222MW 15-year tolling agreement 
with Allegheny Energy Supply for all of the output of Southwest's Las Vegas 
expansion project, scheduled for completion in September, 2002.  With the 
tolling agreement done and construction underway, the project will now be 
marketed to qualified generators.

IN THE NEWS

&To truly understand Enron,s Jeffrey Skilling ) the hypersmart, 
hyperconfident chief executive of what may now be the largest energy trading 
company on the planet ) head to your local video store and check out that 
classic American cinema, Wayne,s World.  At 15, Skilling helped launch a 
no-budget television station in Aurora, Illinois ) the very thing that Mike 
Myers and Dana Carvey so famously spoofed on Saturday Night Live and in two 
movies.  The TV skit even begins with a sketch of a teenage cameraman, the 
role of the real-life Skilling.8 )-- Randall Lane, Worth Magazine. May 2001.

Calgary, Alberta -- Enron Canada has settled its lawsuit with NGX, Canadian 
Enerdata, OM Gruppen and Richard Zarzeczny, regarding the compilation and 
methodology for calculating the Alberta natural gas price indices published 
by the Canadian Gas Price Reporter.  By the terms of the settlement there 
will be a joint press release issued regarding the settlement, which is to be 
the only public communication regarding the matter unless agreed to by all 
parties. Otherwise the settlement is confidential to the parties.  
Accordingly, there is to be no formal or informal discussion with media, 
colleagues, competitors, counterparties or otherwise.

WELCOME
New Hires
EGM  - Salil Pradhan, Randy O,Conner, Ricardo Charvel, Greg Fields, Ken 
Newman, John Ashman, Rick Cantrell, Tim Klaiber, Trevor Woods, 
EIM   - Tim Asterman, Maxine Leclaire, Jerry Newton, Philip Siewert, Janamon 
Johnson, Darralyn Briskey, Theodore Rogers, 
ENA  - Rae Meadows, Tiffany Winship, Adrianne Engler, Kimberly Yates, Jackie 
Verity,

Transfers (to or within)
ENA )Christa Winfrey, Mario Alonso, Paul Rizo-Patron, Nick Ploitis, Misti 
Day, Robert Cothran, Susan Wilson, Diane Cutsforth, David Owen
EGM ) Mark Friedman, John Groves, Deirdre McCaffrey, William Windle

EnronOnline Statistics

Below are the latest figures for EnronOnline as of May 9, 2001.

* Total Life to Date Transactions > 963,575
* Life to Date Notional Value of Transactions > $579 billion


NUGGETS & NOTES

Reminder:  Brown Bag Lunch, Thursday, May 17 at 11:30 AM in 5 C2. The speaker 
is Michael L. Miller discussing Principal Investments.

&Historically, Newsprint has been sold under strong relationships as a highly 
differentiated, branded product to &very discriminating8 buyers at newspaper 
publishers. EIM believed differently.  By the end of March, EIM had succeeded 
in closing on its 2nd Newsprint mill, making it the 7th largest Newsprint 
manufacturer in North America.  Remarkably, in just 2 months, EIM,s Newsprint 
team has succeeded in closing $100MM total notional value &Enron commodity 
style8 fixed price contracts with terms of 1 to 5 years(..and they said it 
wasn,t a commodity.8
Rodney Malcolm ) Vice President, Forest Products Sales and Marketing

Travel Tip of the Week:  Book flights 7 days in advance.  The cost savings 
can be considerable if you plan ahead ) at least 7 days.
 For example:  Houston to Portland
       Less than 7 days:  $ 1,652
       7 day advance ticketing $    324


Congratulations to Kimberly and Eric Thode, director of ENA Public 
Relations.  They are the proud parents of Whitney Marie, born on May 3.  She 
weighed 8 lbs. 8 oz.

Congratulations to proud parents Nettelton and Louise Kitchen, COO, Enron 
Americas. Their son, Scott William, was born on May 9 and weighed 9 lbs.1 oz.


NEWS FROM THE GLOBAL FLASH

Enron closes major coal deal in Germany
After almost six months of negotiations, Enron's coal team has signed a 
contract with Stadtwerke Bremen to supply this major German municipality with 
coal until 2006. Under the deal structure, Enron will deliver a total of 4.6 
million tonnes of coal - equivalent to an overall contract volume of almost 
$200 million  (DM 440 million).

The agreement represents Enron's first significant long-term coal supply deal 
in Germany. The annual contractual volume amounts to around 3% of total 
German coal imports and provides us with continuous volume flow in Northern 
Germany, enabling us to grow our position in the market.

Parallel to this deal, Enron also entered into a separate agreement with HMS 
Bergbau Agentur, a company specialising in Polish exports. Under this 
agreement, HMS will be the handling agent and a potential supplier of Polish 
coal to us over the lifetime of the contract.

Congratulations to the whole team involved: Sven Becker, Manfred Ungethum, 
Cornelia Luptowitsch, Peter Bradley, Jez Peters and Michael Schuh.


LEGAL STUFF
The information contained in this newsletter is confidential and proprietary 
to Enron Corp. and its subsidiaries.  It is intended for internal use only 
and should not be disclosed.