I have asked my asst, Twanda Sweet, to set up a conf. call on this for 
Friday. Jim is right--we need to be prepared for anything. Bill- I heard 
today that PG&E has sent us a letter or otherwise communicated to us that 
they are looking for a letter from us on valuation and are going to challenge 
our setoffs. Any news?



	"JAMES HUEMOELLER" <JLHUEMOE@LLGM.COM>
	04/17/2001 03:00 PM
		 
		 To: "Elizabeth Sager" <elizabeth.sager@enron.com>, 
richard.b.sanders@enron.com, travis.mccullough@enron.com
		 cc: "CARL A. EKLUND" <CEKLUND@LLGM.COM>, "JOHN KLAUBERG" 
<JKLAUBER.NYC2.HEADQUARTERS#032#NEW#032#YORK@LLGM.COM>
		 Subject: Close out of contracts


I don't want to make a pest of myself, but I'm curious as to how the process 
of closing out the terminated contracts is coming.  In particular has Enron 
completed the process of obtaining quotes so that the amount of the 
Termination Payments is set.  I'm concerned that PG&E would be more likely to 
hit the LC's once the amounts have been set.  We'll be ready to file 
something if they try that, but I'd like a heads up so that we know the 
possibility is out there.


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