Starting July 1 we implemented cost savings initiatives designed to reduce Enron's cost structure by over $200 million on an annual basis.  Additionally there has been a substantial amount of restructuring in both EBS and in EES to reduce costs and refocus our business on high value opportunities.  As Ken has said, though, the basic business model and strategy of Enron is sound and promises continued growth -- no changes there.  For example, in the Enron Industrial Markets and Enron Global Markets groups -- efforts begun just over a year ago -- we have already experienced enormous volume and revenue growth and we are making money already in these "first mover" businesses.  Successes like these prove the advantages of our overall strategy and business model.  Combined with some long overdue focus on costs, we should be well on our way to even greater gains in recurring earnings.

 -----Original Message-----
From: 	Clark, Mary  
Sent:	Thursday, August 16, 2001 4:32 PM
To:	Kean, Steven J.
Subject:	FW: Stock Price

Steve, can you suggest an answer to these questions?  Thanks

 -----Original Message-----
From: 	Sera, Sherri   On Behalf Of Office of the Chairman,
Sent:	Thursday, August 16, 2001 3:04 PM
To:	Clark, Mary
Subject:	Stock Price


---------------------- Forwarded by Sherri Sera/Corp/Enron on 08/16/2001 03:04 PM ---------------------------

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Anonymous

To:	
cc:	 

Subject:	Stock Price


Mr. Skilling consistently stated over the past few months that we needed to "earn our way" to a higher stock price.  Following his departure, Mr. Lay has stated that one of his top priorities would be to rebuild our stock value.  My question is, will the company have any changes to existing policies in order to facilitate this growth?  Will company spending (Teaming events, Travel and Expense Policy, Investment in new technology, and so on) be cut back in order to bolster earnings?  Basically, do we have a new gameplan (aside from the EBS restructuring) or will we proceed forward and operate as we have been.  

Regards, 

Dan Luciano
Enron Net Works
dan.luciano@enron.com
713-345-3911