Mr. Shankman:

In preparation for the meeting on December 11th with Larry Kellner, CFO, 
Continental Airlines I have noted below some background on the 
Enron/Continental relationship and the purpose for the meeting.  We would 
appreciate your answers to a couple of questions below.

Background:

Ron Howard, Vice President, Continental Food Services, met earlier this year 
with George Wasaff, Managing Director, Enron Corporation Global Strategic 
Sourcing and Tracy Ramsey, Sourcing Portfolio Leader,  to review the strong 
business relationship in fuel management and travel services which  Enron has 
had with Continental Airlines.  Discussions were held as to how this 
relationship could be expanded favorably for both companies.

A subsequent meeting held October 25th enabled decision makers from both 
companies to act on these earlier discussions and explore opportunities to 
expand beyond the current fuel management and travel initiatives to those in 
weather derivatives and plastics hedging.

December 11th Meeting Purpose:  Follow-up from October 25th meeting to 
specifically address Larry Kellner (who could not make the October 25th 
meeting) on three initiatives in order of $ magnitude:  (1) fuel management, 
(2) weather derivatives, and (3) plastics hedging -- VaR analysis.

Location:  Larry Kellner's office will be getting back to us regarding his 
availability to do a quick tour of the trading floor.  If he can make it for 
a trading floor tour Kellner would meet at Enron Corporation; otherwise, he 
is requesting that Enron Executives meet in his executive offices at 1600 
Smith Street.  Is either location fine for you or do you have a specific 
preference?

Meeting Attendees from Continental Airlines:

Ron Howard, Vice President, Food Services
Larry Kellner, Chief Financial Officer
Greg Hartford, Vice President, Fuel Management Company
Jeff Misner, Vice President and Treasurer (tentative)

Mr. Shankman, who would you like to have at the meeting from Enron? To date, 
we have coordinated through John Nowlan.  At the October 25th meeting,  Alan 
Engberg and Mark Tawney presented the plastics hedging and weather 
derivatives opportunities, respectively.  

Next week, I will be forwarding a short briefing which outlines  Enron's 
current relationship with Continental in fuel management and the proposed 
initiatives in both weather derivatives and plastics hedging.  Larry 
Gagliardi, Craig Breslau, Alan Engberg, and Gary Taylor are all providing 
input on this.

Sarah-Joy Hunter
Enron Corporation
Global Strategic Sourcing -- Business Development
#(713)-345-6541