I wanted to update you on a few items for the Calgary office.  We have 
continued to recruit for the Risk group.  On Tuesday, August 8, Brian Gillis 
will be starting as a manager in the Risk group.  Brian was previously a 
controller at Koch and was someone that Drew Lynch had tried to recruit 
previously when Brian was at Price Waterhouse.  The expectation for Brian is 
that he will learn our Risk systems and assume some of the leadership role 
for the junior risk employees from Kathy Reeves.  This will get Kathy out of 
the day-to-day risk activities, and allow me to broaden her skill sets 
outside of the Risk area.  Kathy is the best candidate to train as backup for 
me (not that I am planning to leave anytime soon!), so I want her to spend 
some time in the documentation area and eventually logistics.  We are still 
looking for one additional risk person because of the power activities which 
will be significantly increasing by year end.

In the documentation department, I have promoted Dianne Seib to a Lead 
position.  Dianne is very strong and will now assume work direction and 
performance review responsibilities for the eight employees in that 
department.  I have also hired one senior clerk who will start on September 
1st in preparation for the increased power activities.  This will give the 
new person time to train on physical and financial confirmations prior to the 
start up of the power trading.

I will be loaning Chris Wiebe to the IT group for a three-month period to 
work on developmental IT activities.  Many of the departments in Calgary have 
need for higher level excel skills, macros, queries from the various 
databases, development of access databases, etc. that will increase the 
efficiency of our processes.   Chris has a lot of skills in these areas.  
Because we are not sure if this position is a long-term or short-term 
requirement for Calgary, we will put Chris into this role for three months 
and then evaluate the status of the position at that time.  Chris will still 
work part-time in my department particularly with respect to input on the 
next generation systems requirements which are now underway. 

Because of the addition of three risk employees that were not previously 
budgeted for, I will be exceeding my budget for the remainder of the year.  I 
know that Houston is in the same situation, but I wanted to make sure you 
were aware that Calgary will have the same issue.  Both Rob Milnthorp and Jon 
McKay are aware of the situation, and were supportive of the expansion of the 
risk department as they ultimately benefit from this.

I don't know if you've picked any tentative dates for your trip to Calgary, 
but I wanted to let you know that Beth Perlman is also planning a trip up 
this month.  We had tentatively talked about sometime during the week of 
August 21st.  I haven't been able to confirm her final plans as she has been 
on vacation for the past two weeks.

This is my schedule for the remainder of August:

 Vacation;  August 14 - 18
 Customer event: Monday - August 21
 Back office golf tournament - afternoon of August 28th
 Cross-Alta golf tournament - afternoon of August 29th

The back office golf tournament is an annual event and includes all of my 
staff and Laura's and is a lot of fun.  We have a mix of golfers and 
non-golfers so we set it up as a no-pressure scramble tournament.  If you 
want to come on the 28th, we'd be happy to include you in the tournament.

Thanks again for talking to Wes about Laura Scott.  I really appreciate it.  
Just something to think about, since Laura has the client services function 
for Calgary, would it make sense if she reported to you instead of Wes?

Talk to you soon.
Peg