In order to better align our engineering and operations capabilities with the 
commercial businesses they support, we are pleased to announce the following 
organizational change will be effective immediately.  A new business unit, 
Enron Engineering and Operational Services (EEOS), is being formed which will 
include our existing operations in Enron Engineering and Construction Company 
(EE&CC), Operational Energy Corporation (OEC), and National Energy Production 
Corporation (NEPCO).

Brian Stanley, as President and Chief Executive Officer, and Keith Dodson, as 
Chief Operating Officer will provide the leadership for this new 
organization, reporting to the Office of the Chairman of Enron Wholesale 
Services.  NEPCO will continue to operate as a stand-alone business under 
John Gillis, President.

With the majority of EE&CC and OEC,s activities focused on assets and 
projects which are in Wholesale Services, this will better align the efforts 
of EEOS with the commercial businesses it supports.  While EEOS will be a 
stand-alone unit within Enron Wholesale Services it will work very closely 
with and have direct accountability to the business units it supports.

This realignment also centralizes our engineering and operations capabilities 
in a single business segment and should ensure that innovation and best 
practices are shared and implemented across our many operations and will also 
allow for better identification of priorities and more effective allocation 
of resources to these projects.  Consistent with this approach, Development 
Engineering will have dual reporting to both EEOS and the business units 
which they support.  

With an extensive and varied portfolio of assets around the world and a wide 
variety of new development opportunities available to Enron, it is critical 
that we continue to maintain the best in class capability to design, 
construct, commission, and effectively manage and operate Enron,s assets on a 
global basis.

This new global business unit should insure that we will continue to enhance 
these demonstrated capabilities and provide us with a sustainable advantage 
as we advance our business strategy around the world.

Please join us in congratulating Brian and Keith on their new assignments.

Mark Frevert & Dave Delainey