That explains the Sep trade.  No, the confirm they returned does not work 
because it does not reference the guarantor.  Thanks.




Tiffany Williams@ENRON
10/23/2000 03:26 PM
To: Tanya Rohauer/HOU/ECT@ECT
cc:  
Subject: Re: Paperboard Industries International  

Tanya,

The May confirmation (NH9975.1) was signed and returned to me on October 19.  
On this confirmation, the counterparty change the name from (PII) to (PIC).  
Can we now say that this confirmation is valid?  

There was a swaption (NZ0399.1) with a trade date of 9/8/00 and an expiration 
date of 9/13/00 -- that may explain the 9/13 template.  However, that 
swaption was not exercised.

Thanks,

Tiffany


To: Sara Shackleton/HOU/ECT@ECT, Susan Bailey/HOU/ECT@ECT, Tiffany 
Williams/NA/Enron@Enron, Tracy Beardmore/NA/Enron@Enron
cc:  

Subject: Paperboard Industries International

I spoke with Louise Paul and she confirmed that they would like to use 
Paperboard Industries Corporation (PIC) as the contracting entity and would 
be willing to provide a corporate guaranty from Paperboard Industries 
International (PII).

I am confused as to how many trades actually exist.  Per TAGG, there are two 
(NH9975.1 done on May 12 and Q25809.1 done on October 4); however, in the 
legal database Susan references a September 13 template sent out which Louise 
Paul also mentioned.  Is this a real deal or was it just a draft?

As the May confirm was never signed, I do not know if we will need to 
actually assign it to the new entity.  We need to make sure that all of the 
confirms reference PIC as the contracting entity with PII as guarantor.  All 
of the credit terms apply; however they will apply to the guarantor now 
instead of the counterparty.   I have also changed the MAC trigger to B+ as 
PII has been downgraded from BB- to B+.  I have attached a new credit 
worksheet for your reference. If there are any other inconsistencies to the 
previous documents other than what I have referenced, please let me know. 

Also, the database mentions the Enron Corp gty that was delivered in 
conjunction with the May trade.  Can you confirm the amount at $15MM as well 
as send me a copy for my file?

Louise has asked that all correspondence be directed to her attention. Please 
let me know if you have questions.

Thanks,
Tanya