My understanding ( as of last week) was that trades done Online were binding 
to the counterparty holding the ID under which the trade was transacted, and 
that confirms (if needed) would we done in that name. A follow up procedure 
was discussed for written assignment to the "correct" counterparty.  This was 
not the case yesterday, where the deal was changed internally to the 
"correct" counterparty without a written assignment.

Mark, Jeff, please comment on the the legal aspects of doing these moves 
internally without a written assignment. Does a verbal OK from each 
counterparty (assignor and assignee)  suffice?

Thanks,

Debbie





	Kathryn Cordes
	12/13/99 05:15 PM
	
To: Bob Shults/HOU/ECT@ECT, Debbie R Brackett/HOU/ECT@ECT, Jennifer 
deBoisblanc Denny/HOU/ECT@ECT, Mark Taylor/HOU/ECT@ECT, Jeffrey T 
Hodge/HOU/ECT@ECT
cc: Brent A Price/HOU/ECT@ECT 
Subject: Aquila

We need to know what the resolution plan is to getting Aquilia straight for 
trading Physical and Financial products.   Today we saw Aquilia Risk trade 
Next Day Physical Gas again and we were asked to move the deal to Aquilia 
Energy.  What is being done to get Aquilia Risk from continuing to enter 
Physical trades on line?  My concern for this trade was that we brought it to 
Credit's attention this morning and did not get final word to move the deal 
to Aquilia Energy until late in the day (4.45pm) which affects Logistics 
ability to nominate for next day business.  Logistics has been made aware of 
the late nom and will be working with the Pipe to get the nom in.  If there 
are issues with this late nom from the pipeline we will let you know.

I'm not comfortable with the internal process of  counterparty name changing 
of EOL deals and would like to get comfortable with how we are going to set 
this process up.  I think there should be legal review of all deals that we 
change and would suspect that some form of communication would need to be 
conveyed to the counterparty.  


KC