we have had trouble valueing transmission, literally forever.  we finally released a spread option model last night to value transmission.  it spit out some huge values for out of the money transmission because it is valued as a daily option.  for example, transmission from big eddy (in the northwest) to nob spit out a value of $28 million -- all extrinsic.  given the state of affairs in california right now, i find it highly unlikely that we will take power from the northwest to deliver into the capped market.  last night we recognized $16 million of transmission value, almost all intrinsic value associated with closing open positions.  we reserved $36 million associated with extrinsic value.  we will revalue the options once a week and make appropriate adjustments to the reserves.  let me know if you have any questions or concerns.