Listed below are dates and actions required to finish the year-end PRC 
process.  Please make a note of these dates and perform any required 
actions.  If you have questions, please contact me.

December 15:  All PRC meetings and ratings will be finalized for Sr. Director 
and below positions.
January 25:  Performance reviews must be completed by this date.  All 
performance review information, including bonus payment and salary increase, 
must be communicated to employees.
February 5:  Bonus payment made to eligible employees.

Since we have many new employees, I thought I would provide the following 
information and philosophy about our performance review system.  Enron is 
very proud of its employees and is known for hiring the most talented people 
available in the marketplace.  I believe that is true in West Power Trading.  
The challenge for managers is to provide valuable feedback, and the most 
accurate rating, to employees so they can enhance their performance and 
progress in their current roles and within the company.

There are basically two objectives to our performance review system.

Career Development/Feedback on Performance:  This part of our performance 
review system includes the meetings and discussions surrounding the following 
four documents that are in each review package:  Goals, Expectations, 
Accomplishments, Feedback.  Employees prepare a listing of their Goals to 
accomplish by the next review period and a list of their Accomplishments 
since the previous review period.  Managers prepare Feedback and prepare a 
list of Expectations during the next review period.  These documents are the 
cornerstone for constructive two-way feedback during a performance review.

Performance Rating:  Enron uses a merit-based approach to determine 
promotions, raises, and bonuses.  This is accomplished in the PRC 
(Performance Review Committee) meetings.  In these meetings, the ENA 
management team assigns a performance rating to each employee.  We attempt to 
make this process as fair and objective as possible.  For West Power Trading 
employees, each person's performance is assessed relative to responsibilities 
defined in the "Expectations" document.  Performance is also gauged relative 
to your peers throughout ENA--Portland, Houston, and Calgary.  Each person's 
manager had tremendous input into this process.  I personally represented 
each person in our group in the final ENA PRC meeting in Houston.  I feel 
confident the process was fair and that the tremendous achievements of our 
office were acknowledged.

The following is a review of the various rating categories.

NEEDS IMPROVEMENT:  Does not meet most expectations.  Demonstrates some of 
the criteria.  Further development needed in most areas.

SATISFACTORY:  Meets many but not all expectations.  Demonstrates most of the 
criteria.  Further development needed in many areas.

STRONG:  Meets most and exceeds some expectations.  Role model for some of 
the criteria.  Further development needed in some areas.

EXCELLENT:  Exceeds most expectations.  Role model for most criteria.  
Further development needs are minimal.

SUPERIOR:  Consistently goes above and beyond expectations.  Role model for 
criteria.  Very little need for growth and change at current level.

My commitment to you is that by January 25, you will receive your 
career/development feedback and your performance rating.  Hopefully this 
information aids you in understanding the PRC review system.  If you have any 
questions about the process, please see your manager or me.  Also, Amy 
FitzPatrick would be happy to answer any questions you have or provide 
assistance with the PRC Process.