Tim, here is a copy of the email that Greg sent me that prompted my call to you.  Thanks for discussing the matter with us today and please keep me informed as you &/or others in your area work through this issue with Greg.      
Regards,
Ed

 -----Original Message-----
From: 	Penman, Gregg  
Sent:	Friday, December 28, 2001 10:42 AM
To:	Luce, Laura; McMichael Jr., Ed
Cc:	Tomaski, Richard
Subject:	enovate/EMW bank accounts

As part of our ongoing discussions regarding the viability of enovate/EMW, we need to further address the bank account and funds flow situation.  Here are the facts to the best of my knowledge:

1 - enovate has a separate Citibank bank account that should be able to send and receive payments.  There have been some bumps along the way, but I think they may be resolved.
2 - Pre-petition, EMW shared the same bank accounts as ENA.  Money that came into the account was allocated back to the appropriate entity by accounting.
3 - Post-petition, EMW shares the same bank accounts as several other non-bankrupt Enron companies.  
4 - However, Accounting and Treasury have told me that we cannot use the new account because funds are not flowing out of the account and that if any money comes into the account it may not be released or credited to the appropriate entity.  

In order to preserve the viability of enovate/EMW and fulfill our obligations, we would prefer to be able to move funds through EMW.   Attached is a quick example of a transaction that would normally flow through EMW.  

Ed - we can talk more about this at 11:00 

Thanks - Gregg