You would not need to amend the ISDA.  Payment Dates are stated in the 
confirmations.  Regarding your item 4, you might wish to talk to Sara 
concerning the history of the payment date as 5th after determinable.  The 
issue has been discussed often over the years between settlements and 
treasury.  Mary


Cordially,
Mary Cook
Enron North America Corp.
1400 Smith, 38th Floor, Legal
Houston, Texas   77002-7361
(713) 345-7732 (phone)
(713) 646-3490 (fax)
mary.cook@enron.com



	Peter Keohane
	Sent by: Sharon Crawford
	02/08/2001 03:11 PM
		 
		 To: Peggy Hedstrom/CAL/ECT@ECT, Melinda Whalen/CAL/ECT@ECT, Laura E 
Scott/CAL/ECT@ECT, Cheryl Dawes/CAL/ECT@ECT, Mary Cook/HOU/ECT@ECT, Russell 
Diamond/HOU/ECT@ECT
		 cc: Grant Oh/CAL/ECT@ECT
		 Subject: Premstar Energy Canada Ltd. - Financial Transaction Nos. QF3405.1, 
QG7130.1, NY2665.1 and NY5271.1

Premstar Energy Canada has requested that the Payment Dates for the above 
noted financial transactions be amended to conform with physical settlement 
from "The fifth (5th) Business Day following the date on which the Floating 
Price is determinable" to "The twenty fifth (25th) day of the month following 
each Determination Period.  Should the Payment Date fall on a weekend or 
statutory holiday, payment shall be made on the next Business Day.".

My comments are as follows:

1. Russell, kindly confirm that there is no credit concern with extending the 
financial payment cycle;

2. Laura/Cheryl, kindly confirm that it is something that we have done in the 
past for financial transactions;

3. Melinda, assuming that Russell, Laura/Cheryl do not have concerns, please 
prepare an amendment to each of the Confirmation Letters as requested by 
Premstar, except that the final sentence of their requested amendment should 
read:  "Should the Payment Date fall on a Saturday or statutory holiday other 
than a Monday, then payment shall be made on the immediately preceding 
Business Day, and if the Payment Date is a Sunday or statutory holiday 
falling on a Monday, then payment shall be made on the immediately following 
Business Day.".  This will make the Payment Dates consistent with physical 
gas settlement.

4. Melinda, if this amendment is not approved by Russell, Laura or Cheryl, I 
think that an amendment is nonetheless necessary to the Payment Date, as it 
is not the fifth (5th) Business Day following the date on which the Floating 
Price is determinable, but rather the fifth (5th) Business Day of the month 
following each Determination Period.

5. If possible, Premstar would like the amendment to be effective for the 
February, 2001 Determination Period.

6. Premstar would also like this provision to extend to any and all future 
Financial Swap transactions done with them.  Mary, is there any amendment 
required to the ISDA to effect such a permanent amendment, or is this a 
matter that can be dealt with in each subsequent confirmation letter?


Regards,
Peter